The Value of Company Culture

While nearly every multifamily operator touts the merits of a thriving culture, it’s more than a snappy slogan or a series of organizational platitudes. In survey after survey, a positive corporate culture is the one of the top attributes potential employees look for when hiring. Culture is also credited with long-term employment, and it’s ultimately what will get teams through the difficult times.

So how can organizational leaders instill a thriving culture? It takes time and persistence, but the benefits of a robust company culture undoubtedly will boost happiness, efficiency and performance throughout the organization. 

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Here are a few building blocks leaders can lean on to ensure teams are equipped with what they need to steadily build a flourishing culture:

Understand the depth 

Culture is generally experienced in two different ways. First and foremost is the organizational culture, in which leaders impart what they believe the company needs to do to succeed. 

But in many companies, leaders only regularly speak to about 20 percent of the organization. The second layer consists of that 20 percent—the people who regularly interact with the other 80 percent of the company. Leaders need to properly convey the message, so nothing is lost in translation. What is our mission and sense of vision? What are we trying to do, and as importantly, how are we trying to do it?

Efficient problem-solving

An old adage states that if you solve the people problem, you solve the problem. To that end, the best approach whenever an issue arises is to go directly to the person or people driving the issue.

Granted, it takes time to understand the person or group, which isn’t always immediately feasible in a fast-paced industry. The best solution is to focus on the person closest to the work and aim to understand it from their standpoint.

Fail fast

The old mantra of “don’t be afraid to fail” remains relevant. The quicker you can understand that something isn’t working, the faster you can move on. Successful companies enable associates not necessarily to fail but to partake in a learning cycle. That provides them the ability to “learn up,” whether new practices are effective or otherwise.

For instance, an organization operating its first student housing community should copiously document its initial leasing season to discover what worked and what didn’t. It will enable them to move on from any shortcomings and be better by the time the next set of renters comes through rather than wait several years to uncover any deficiencies. 

Investment of executive time

Effective leaders communicate with their people. If having an effective operation requires a monthly meeting with every community manager and every service manager at each property, make it happen. Maybe it doesn’t have to be as frequent, but this enables teams to communicate any issues in person rather than wonder if their concerns will ever be heard. 

Leaders should delegate a fair share of their time—perhaps as much as a third—to research and strategic initiatives to ensure the company is always in forward-thinking mode. 

Disciplined approach to technology 

It’s tempting to fall for the shiny new thing. Many new innovations are “must-haves” and are being instantly snatched up by competitors, but before adopting anything new and shiny, properly vet it to make sure it’s a fit for the organization, both strategically and culturally. 

Remember how blockchain was a must-have for any organization and now no one talks about it? Essentially, don’t listen to the noise, but also be conscious of things that might have a positive impact.

The same can be applied artificial intelligence. In the people business of multifamily, anything that makes life easier for teams and residents is great. If it’s managed well, AI will increase productivity—but don’t let it be an end-all. 

Foster effective communication 

You never want to be the one accused of ghosting someone, whether a resident or coworker. Train your teams to respond in a timely manner—typically within 24 hours—to any communication, even if the answer is that you don’t know yet. Make it an organizational obligation. 

Ultimately, building a robust company culture isn’t a snap-your-fingers process, but a series of actions geared toward the greater good. When your organization has it, you’ll know it and the positive results will follow suit. 

Savas Karas is the Chief Operating Officer & Chief Transformation Officer of CAPREIT, a Maryland-based multifamily operator.