Many leaders know the saying, “People don’t quit bad jobs, they quit bad bosses.” But the truth runs deeper: They quit bad cultures. A poor workplace culture fuels employee disengagement, leading to significant losses in productivity and higher turnover rates. According to Gallup’s State of the Global Workplace: 2025 Report, disengaged or actively disengaged employees cost the global economy $8.9 trillion in lost productivity.
“Organizational culture requires the most investment, because it has the greatest return on investment possible,” said John Bostain, president of training and coaching company Command Presence Leadership, during SHRM25 in San Diego.
Culture is the shared values and principles that shape how employees show up every day. When company culture is strong, recruiting becomes easier, retention improves, and morale rises. Bostain identified three key strategies for leaders looking to transform and strengthen workplace culture.
Provide Leadership Training at All Levels
Cultivating leadership across all levels of an organization — not just at the top — encourages employees to take ownership of the culture they help shape. “Everybody is deserving of leadership training, no matter who they are in the organization,” he said.
Foundational leadership training for nonsupervisors should focus on self-leadership, finding purpose, and developing strong followership skills. As Bostain put it, “If you wouldn’t follow yourself, why should anyone else?” — a reminder that leadership begins with personal accountability.
For midlevel leaders and supervisors, training should be built around developing the skills needed to lead high-performing teams. This may include mastering effective communication or facilitating team collaboration. At the executive level, training should shift to leading entire organizations. According to Bostain, “The larger the organization, the more difficult it becomes.” Building a strong organizational culture begins with a leader who is truly committed to fostering it.
Intentionally Design the Culture Your People Deserve
A positive workplace culture plays a crucial role in employee motivation and performance. According to SHRM’s The State of Global Workplace Culture in 2024 report, 83% of employees who rated their workplace culture as good or excellent said they feel motivated to deliver high-quality work — compared with only 45% of those in poor or toxic workplace cultures.
“Make your culture your competitive advantage ahead of everybody else,” Bostain said. Leaders can design a purpose-driven organizational culture by articulating a clear mission, promoting fundamental behaviors, and creating an environment of psychological safety.
Define Purpose with a Mission Statement
A mission statement plays a key role in defining an organization’s purpose. Bostain said a strong mission statement embodies three characteristics.
- Purpose-Driven: A mission statement should be why-based and purpose-filled. It should answer the question: “Why does our organization exist?”
- Internally Focused: It should be written for your people, not your external audience. A strong mission should resonate with your team and answer the question: “Why do we show up to work every day?”
- A Guiding Compass: A mission statement should act as the organization’s “North Star.” When making decisions — whether at the organizational, team, or individual level — ask: “Does this align with our mission?”
Establish Fundamental Behaviors
Core values are the foundation of many organizations. But as Bostain explained, “If they’re not supported by specific, fundamental behaviors, then they’re meaningless.” To give values meaning, they must be paired with clear, measurable actions.
Take integrity as an example. How do you measure integrity or assess it as a core value in a performance review? While interpretation may vary, fundamental behaviors provide clarity. They’re observable actions that leave no room for ambiguity; you’re either demonstrating them or you’re not. Behaviors such as “honor commitments” or “take ownership” translate abstract values into tangible actions.
To truly uphold your organization’s core values, identify the fundamental behaviors that align with them. Define them clearly, ensure they are actionable, and commit to upholding them consistently.
Foster Psychological Safety
Psychological safety is a cornerstone of a healthy workplace culture. It fosters employee empowerment, minimizes conflict, and supports organizational success. “You cannot have a healthy culture if you don’t have a psychologically safe environment,” Bostain said.
Employees must feel comfortable voicing their ideas and opinions without fear. Creativity, innovation, and growth cannot thrive without this foundation.
Succession Planning for Talent, Not Just Title
To ensure sustainable growth and resilience for future challenges, create a succession planning framework that prioritizes cultivating talent and skill-based competencies. “We should think about promoting leaders instead of just doers,” Bostain said. This can be achieved through well-structured mentoring and career development programs.
Mentorship programs: Establish a formal mentoring program to pair individuals with a mentor who holds a role aligned with their desired career path. Mentors and mentees should meet regularly to cultivate meaningful guidance and support.
Career-pathing programs: More than just detailed job descriptions, career development programs provide a clear road map for professional growth and development. Bostain suggested using a KSA [knowledge, skills, and abilities] document to outline detailed role requirements. Beyond experience and education, a KSA document highlights actionable steps that employees can take to position themselves for success, such as relevant courses to complete or certifications to earn.
This approach allows skills to outweigh experience, highlighting individuals who may have less professional background but who have actively invested in their personal growth and leadership development.
Build a Thriving Organizational Culture
Strong organizational cultures are built through intention, consistency, and leadership at every level. That means giving people the tools to lead, translating values into daily behavior, and creating clear pathways for future growth. When leaders make culture a priority, they create teams that are more connected, more capable, and ready to thrive in any environment.
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