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How to build a thriving company culture

Learn how to build a thriving company culture through wellbeing, engagement, connection, purpose, recognition and continuous learning.

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A thriving company culture is built by meeting employees’ core human needs at work: positive emotion, engagement, relationships, meaning, accomplishment and health. For People leaders, that means designing daily practices, manager habits and learning experiences that help employees feel connected, supported, purposeful and able to grow.

Many workplace wellbeing strategies draw on Dr. Martin Seligman’s PERMA framework, which centers on five building blocks of flourishing: positive emotion, engagement, relationships, meaning and accomplishment. For a practical workplace culture lens, People leaders should also consider health.

  1. Positive emotion
  2. Engagement
  3. Relationships
  4. Meaning
  5. Accomplishment
  6. Health

For People leaders striving to impact employee development, understanding these pillars is crucial for identifying gaps in your current culture building strategy.

1. Cultivate positive emotions in the workplace.

Employee satisfaction and productivity often hinge on positive emotions.

Positive emotion is not about forcing cheerfulness. It is about creating conditions where employees experience moments of energy, appreciation and optimism during the workday. You can encourage daily moments of joy through shared music, funny videos, virtual coffee breaks and other enjoyable breaks. Live team-building experiences can also strengthen relationships and add some fun to the day. Creating an atmosphere where people can enjoy each other’s company supports resilience and fosters a more fulfilling work experience.

2. Leverage team strengths for engagement.

Engagement comes from recognizing and utilizing unique skill sets within your team.

Equip your managers with the emotional intelligence needed to identify strengths, delegate tasks effectively, increase productivity and invest in professional development. This matters because Gallup reports that managers drive 70% of the variance in team engagement. Well-trained managers enhance individual growth while propelling teams toward success.

3. Build a connected workforce.

A sense of belonging and connection is vital for employee motivation.

Train your leaders and managers in effective one-on-one meetings, strategies for boosting workplace belonging, navigating difficult conversations and fostering unity during challenging times. A connected team is a motivated team, especially when employees understand how their work depends on and contributes to others.

4. Connect employees to a greater purpose.

Employees are looking for more than just a paycheck from their jobs.

Communicate your company's mission, popularize values and introduce cascading goals. When employees understand the “why” behind their work, it helps ensure your team feels connected to the broader company culture, fostering a sense of purpose in their work. In Deloitte’s 2025 Gen Z and Millennial Survey, respondents with positive mental wellbeing were much more likely to say their jobs let them make a meaningful contribution to society, a reminder that wellbeing and purpose often reinforce each other.

5. Recognize and celebrate successes.

Acknowledging achievements is critical to employee job satisfaction.

Equip managers to set practical goals, embrace failure as a learning opportunity, provide constructive feedback and consistently recognize employee contributions. Recognition is most effective when it is timely, specific and connected to the behaviors your culture values. A workforce that feels valued is a thriving one.

6. Prioritize wellbeing for peak performance.

Holistic wellbeing cannot be ignored when creating a thriving company culture.

Remind remote teams to prioritize self-care through stretch breaks, walks, healthy meals, well-deserved vacations or anything else that helps them feel nourished. Encouraging a health-first mindset helps ensure a balanced work/life dynamic and supports sustainable performance.

Bonus: Create a culture of learning.

Prioritizing personal development is a great way to build a thriving company culture.

Investing in training develops individual leadership skills and fosters a culture of learning within your company. When employees see that their company is committed to their own growth and development, it has an impact. This learning culture becomes ingrained in your organization's DNA, leading to increased employee engagement, collaboration and a stronger sense of purpose.

The strongest learning cultures do more than share information. They give employees opportunities to practice new behaviors, apply skills in real work and build confidence over time. A culture of learning can help attract top talent and retain valuable employees, ultimately contributing to the overall success and sustainability of your company.

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Frequently asked questions

What makes a company culture thrive?

A thriving company culture meets employees’ core needs at work: positive emotion, engagement, relationships, meaning, accomplishment and health. People leaders can support those needs through manager training, recognition, belonging, clear purpose, wellbeing practices and ongoing learning.

How can People leaders improve company culture?

People leaders can improve culture by equipping managers to identify strengths, hold effective one-on-ones, recognize progress, connect work to company purpose and support wellbeing. The strongest culture work shows up in daily behaviors, not just values statements.

Why is learning important to company culture?

Learning helps culture become actionable. When employees can build skills, practice new behaviors and see that growth is supported, they are more likely to feel engaged, connected and prepared to contribute to the organization’s goals.

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