How does organizational culture primarily influence employee performance within a company?

Organizational culture shapes the everyday expectations and norms that employees follow, so when a culture values collaboration, people are more likely to share ideas and help each other, which boosts productivity. The culture also sets informal rules about how work should be done; a culture that rewards initiative encourages employees to take ownership and perform better. When employees feel their values align with the company’s values, they stay motivated and perform consistently, because they see their work as meaningful. For example, in a tech firm that celebrates quick feedback loops, developers feel empowered to iterate faster, resulting in higher output and quality. Thus, culture acts as a guiding force that determines attitudes, motivation, and ultimately the level of performance across the organization.