{"id":58566,"date":"2023-08-25T09:26:45","date_gmt":"2023-08-25T13:26:45","guid":{"rendered":"https:\/\/www.sogolytics.com\/blog\/?p=58566"},"modified":"2023-09-26T10:57:32","modified_gmt":"2023-09-26T14:57:32","slug":"how-leadership-affects-company-culture-and-cx","status":"publish","type":"post","link":"https:\/\/www.sogolytics.com\/blog\/how-leadership-affects-company-culture-and-cx\/","title":{"rendered":"How Leadership Affects Company Culture and Its Impact on CX"},"content":{"rendered":"<p><iframe loading=\"lazy\" width=\"100%\" height=\"166\" scrolling=\"no\" frameborder=\"no\" allow=\"autoplay\" src=\"https:\/\/w.soundcloud.com\/player\/?url=https%3A\/\/api.soundcloud.com\/tracks\/1625204832&#038;color=%23024502&#038;auto_play=false&#038;hide_related=false&#038;show_comments=true&#038;show_user=true&#038;show_reposts=false&#038;show_teaser=true\"><\/iframe><\/p>\n<div style=\"font-size: 10px; color: #cccccc;line-break: anywhere;word-break: normal;overflow: hidden;white-space: nowrap;text-overflow: ellipsis; font-family: Interstate,Lucida Grande,Lucida Sans Unicode,Lucida Sans,Garuda,Verdana,Tahoma,sans-serif;font-weight: 100;\"><a href=\"https:\/\/soundcloud.com\/sogolytics\" title=\"Sogolytics\" target=\"_blank\" style=\"color: #cccccc; text-decoration: none;\" rel=\"noopener\">Sogolytics<\/a> \u00b7 <a href=\"https:\/\/soundcloud.com\/sogolytics\/how-leadership-affects-company-culture-and-its-impact-on-cx-sogolytics-blogcast\" title=\"How Leadership Affects Company Culture and Its Impact on CX | Sogolytics BlogCast\" target=\"_blank\" style=\"color: #cccccc; text-decoration: none;\" rel=\"noopener\">How Leadership Affects Company Culture and Its Impact on CX | Sogolytics BlogCast<\/a><\/div>\n<div class=\"div-spacer\"><\/div>\n<p>Welcome back to our series focused on looking at how leadership affects CX!<\/p>\n<div class=\"div-minispacer\"><\/div>\n<p>Catching up? Previously, we explored the relationship between leadership and customer experience (CX) and how effective leadership contributes to building a foundation for customer experience excellence.<\/p>\n<div class=\"div-minispacer\"><\/div>\n<p>We all know that leaders run their own ships, and it\u2019s from them that the rest of the crew get their heading and understand what values and mission they are supposed to have. Without strong goals and customer-centric strategies, things may not go as planned.<\/p>\n<div class=\"div-minispacer\"><\/div>\n<p>Ensuring your corporate culture is strong, positive, and customer-focused is one of the first steps to improving your CX. So, in this second blog of <a href=\"https:\/\/www.sogolytics.com\/blog\/how-leadership-affects-cx\/\" target=\"_blank\" rel=\"noopener\">the series<\/a>, we will delve deeper into how leadership affects company culture and, in turn, how company culture influences CX.<\/p>\n<div class=\"div-minispacer\"><\/div>\n<p>We\u2019re going to do this in several key areas to firmly understand:<\/p>\n<div class=\"div-minispacer\"><\/div>\n<ul>\n<li>Why company is culture is so important to CX<\/li>\n<li>The negative effects of ineffective leadership on CX<\/li>\n<li>The positive effects of leadership on CX<\/li>\n<li>How leadership can change company culture<\/li>\n<li>Leadership styles conducive to better CX, including:\n<ul>\n<li>Transformational leadership<\/li>\n<li>Servant leadership<\/li>\n<li>Collaborative leadership<\/li>\n<\/ul>\n<\/li>\n<li>How leadership can empower managers for better CX<\/li>\n<\/ul>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-large wp-image-58570\" src=\"https:\/\/www.sogolytics.com\/blog\/wp-content\/uploads\/2023\/08\/pexels-fauxels-3182824-1024x683.jpg\" alt=\"leadership directly impact company culture \" width=\"1024\" height=\"683\" srcset=\"https:\/\/www.sogolytics.com\/blog\/wp-content\/uploads\/2023\/08\/pexels-fauxels-3182824-1024x683.jpg 1024w, https:\/\/www.sogolytics.com\/blog\/wp-content\/uploads\/2023\/08\/pexels-fauxels-3182824-300x200.jpg 300w, https:\/\/www.sogolytics.com\/blog\/wp-content\/uploads\/2023\/08\/pexels-fauxels-3182824-768x512.jpg 768w, https:\/\/www.sogolytics.com\/blog\/wp-content\/uploads\/2023\/08\/pexels-fauxels-3182824-1536x1024.jpg 1536w, https:\/\/www.sogolytics.com\/blog\/wp-content\/uploads\/2023\/08\/pexels-fauxels-3182824-2048x1365.jpg 2048w, https:\/\/www.sogolytics.com\/blog\/wp-content\/uploads\/2023\/08\/pexels-fauxels-3182824-600x400.jpg 600w, https:\/\/www.sogolytics.com\/blog\/wp-content\/uploads\/2023\/08\/pexels-fauxels-3182824-50x33.jpg 50w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/p>\n<h2>Why is company culture important to CX?<\/h2>\n<p>There are several reasons to have a positive culture\u2014and they all aren\u2019t about positive CX. However, these pieces work together to directly influence customer experience, positively or negatively.<\/p>\n<div class=\"div-minispacer\"><\/div>\n<ul>\n<li><strong>Employee experience (EX) fosters improvements to CX<\/strong> \u2013 The simplest direct effect is this: the happier and more satisfied your employees are, the more they are invested in the organization&#8217;s success and that of your customers. Higher levels of employee satisfaction lead to <a href=\"https:\/\/www.sogolytics.com\/blog\/eq-effective-emotional-intelligence-leadership-6-things-to-watch-out-for\/\" target=\"_blank\" rel=\"noopener\">greater emotional intelligence<\/a>, better skills to improve experiences, and more positive micromoments across customer touchpoints.<\/li>\n<li><strong>Manager support for better customer journeys<\/strong> \u2013 <a href=\"https:\/\/experience.sogolytics.com\/remarkable-cx-leaders-ebook\/\" target=\"_blank\" rel=\"noopener\">Leaders who are good at CX<\/a> do it differently. They think outside the box with customer focus at the forefront. Through their management team, leaders make sure that corporate culture is positive through the organization and ensure implementation of strategies goes smoothly. This, in turn, leads to better supported employees and happier customers!<\/li>\n<li><strong>Growth potential and profitable relationships with better CX<\/strong> \u2013 Of course, with increased CX, there are more chances to improve customer loyalty and trust, extending the customer life cycle and potential revenue. Without a doubt, it\u2019s cheaper to retain customers than to acquire new ones, so building better relationships with your current customer base is a worthwhile pursuit. <a href=\"https:\/\/www.sogolytics.com\/blog\/what-is-customer-engagement-marketing\/\" target=\"_blank\" rel=\"noopener\">Customer engagement marketing<\/a> can be a great way, here, to make sure your customers are interacting with your much stronger brand.<\/li>\n<\/ul>\n<span class='bctt-click-to-tweet'><span class='bctt-ctt-text'><a href='https:\/\/twitter.com\/intent\/tweet?url=https:\/\/www.sogolytics.com\/blog\/how-leadership-affects-company-culture-and-cx\/&#038;text=A%20positive%20corporate%20culture%20is%20the%20foundation%20of%20excellent%20CX.%20Are%20you%20getting%20it%20right%3F&#038;via=Sogolytics&#038;related=Sogolytics' target='_blank'>A positive corporate culture is the foundation of excellent CX. Are you getting it right? <\/a><\/span><a href='https:\/\/twitter.com\/intent\/tweet?url=https:\/\/www.sogolytics.com\/blog\/how-leadership-affects-company-culture-and-cx\/&#038;text=A%20positive%20corporate%20culture%20is%20the%20foundation%20of%20excellent%20CX.%20Are%20you%20getting%20it%20right%3F&#038;via=Sogolytics&#038;related=Sogolytics' target='_blank' class='bctt-ctt-btn'>Click To Tweet<\/a><\/span>\n<div class=\"div-spacer\"><\/div>\n<p>Now that you know why corporate culture is so important to CX, let\u2019s look deeper at the role leadership plays to make sure all the working parts are operating as one.<\/p>\n<div class=\"div-spacer\"><\/div>\n<h2>Negative effects of ineffective leadership on CX<\/h2>\n<div class=\"div-minispacer\"><\/div>\n<p>When leadership fails to prioritize customer-centric values and focuses solely on short-term financial gains, it can have detrimental effects on CX. Employees may become incentivized to prioritize sales targets over meeting customer needs. This can lead to aggressive sales tactics, misaligned customer interactions, and overall poor customer experiences.<\/p>\n<div class=\"div-minispacer\"><\/div>\n<p>Moreover, leaders who exhibit autocratic behaviors and do not value employee input can create a toxic work environment. Employees may feel disengaged, undervalued, and lack the motivation to go above and beyond to deliver exceptional CX.<\/p>\n<div class=\"div-minispacer\"><\/div>\n<p>That isn\u2019t conducive to continued growth or positive CX for customers. We mentioned earlier how EX can affect CX, and here can see this connection dissolve. <a href=\"https:\/\/www.ncbi.nlm.nih.gov\/pmc\/articles\/PMC9760724\/\" target=\"_blank\" rel=\"noopener\">56% of employees<\/a> note they are currently under a toxic CEO and are less engaged at work and with customers because of it.<\/p>\n<div class=\"div-spacer\"><\/div>\n<h2>Positive effects of leadership on CX<\/h2>\n<p>On the other hand, leaders who prioritize customer-centricity and foster a culture of empathy and service can have a transformative impact on CX. When leaders actively listen to both customers and employees, they gain valuable insights into customer pain points and expectations.<\/p>\n<div class=\"div-minispacer\"><\/div>\n<p>When leaders empower employees with the autonomy to make decisions that benefit the customer, it leads to quicker issue resolution and greater customer satisfaction. Employees feel empowered and motivated to take ownership of CX, resulting in improved interactions and positive customer feedback.<\/p>\n<div class=\"div-minispacer\"><\/div>\n<p>It\u2019s a great benefit of course, as all of these benefits lead to greater CX personalization and adherence to customer success. This is something every organization wants to achieve, as companies that lead in CX personalization have increased their revenue by <a href=\"https:\/\/www.mckinsey.com\/capabilities\/growth-marketing-and-sales\/our-insights\/the-future-of-personalization-and-how-to-get-ready-for-it\" target=\"_blank\" rel=\"noopener\">up to 15%<\/a>.<\/p>\n<div class=\"div-spacer\"><\/div>\n<div class=\"sogo-divider\"><\/div>\n<p style=\"text-align: center;\"><strong>Wondering how your organizational culture is impacted by current leadership?<\/strong><br \/>\nFind out with a free <a href=\"https:\/\/www.sogolytics.com\/survey-templates\/employee\/company-culture-survey\/\" target=\"_blank\" rel=\"noopener\">company culture climate survey template<\/a>!<\/p>\n<div class=\"sogo-divider\"><\/div>\n<div class=\"div-spacer\"><\/div>\n<h2>How leadership can change company culture<\/h2>\n<p>Leadership plays a central role in shaping company culture. To foster a culture that prioritizes CX, leaders must lead by example and consistently reinforce customer-centric values. This requires clear and consistent communication of the organization&#8217;s vision and values, emphasizing the importance of delivering exceptional customer experiences.<\/p>\n<div class=\"div-minispacer\"><\/div>\n<p>Leaders should also invest in <a href=\"https:\/\/www.sogolytics.com\/blog\/employee-leadership-development\/\" target=\"_blank\" rel=\"noopener\">employee training and development<\/a> programs that focus on building <a href=\"https:\/\/www.sogolytics.com\/blog\/empathy-at-work\/\" target=\"_blank\" rel=\"noopener\">empathy<\/a>, communication, and problem-solving skills. By nurturing these qualities in employees, leaders can cultivate a culture where customer needs are at the forefront of decision-making.<\/p>\n<div class=\"div-spacer\"><\/div>\n<h2><strong>Leadership styles conducive to better CX<\/strong><\/h2>\n<p>Several leadership styles align with fostering a customer-centric culture and, consequently, better CX:<\/p>\n<div class=\"div-minispacer\"><\/div>\n<ul>\n<li><strong>Transformational leadership:<\/strong> Transformational leaders <em>inspire and motivate employees<\/em> to reach their full potential. They encourage innovation, creativity, and continuous improvement, all of which are essential elements for delivering outstanding customer experiences.<\/li>\n<li><strong>Servant leadership:<\/strong> Servant leaders <em>prioritize the needs of their employees and customers<\/em> over their own. By leading with empathy and humility, they create an environment where employees feel valued and supported, leading to better customer interactions.<\/li>\n<li><strong>Collaborative leadership:<\/strong> Collaborative leaders <em>foster teamwork and open communication between departments<\/em>. This breaks down silos and promotes a holistic view of CX, where everyone works together to enhance the overall customer journey.<\/li>\n<\/ul>\n<p>As you can see, these leadership types are selfless in nature but are geared toward the success of employees and customers alike. They each work differently to create a balance between EX and CX, but they remain the best for better CX and corporate culture outcomes!<\/p>\n<div class=\"div-spacer\"><\/div>\n<h2><strong>How leadership can empower managers for better CX<\/strong><\/h2>\n<p>Managers play a crucial role in delivering CX on the frontline. Day to day, managers deal with the first line and second line of staff and are the driving force behind implementing strategies from the C-suite.<\/p>\n<div class=\"div-minispacer\"><\/div>\n<p>Effective leadership empowers managers by providing them with the necessary resources, training, and support to lead their teams effectively. By giving managers the autonomy to make decisions that prioritize customer satisfaction, leaders create a cascading effect of customer-centricity throughout the organization.<\/p>\n<div class=\"div-minispacer\"><\/div>\n<p>The name of the game here is empowerment. Trust your managers and look for feedback they get from employees. You can never be sure where your next innovation comes from, and ignoring the feedback from your frontline employees could leave you blind navigating positive customer experiences. Enable your managers to make decisions, to have active parts in CX and strategies, and support their development to increase trust and morale.<\/p>\n<div class=\"div-spacer\"><\/div>\n<p>Leadership has a significant impact on company culture, which, in turn, influences the overall customer experience. Leaders who prioritize customer-centricity and foster a positive work environment create a foundation for delivering exceptional CX. By adopting leadership styles that inspire, empower, and collaborate, organizations can cultivate a customer-centric culture that drives long-term success.<\/p>\n<div class=\"div-minispacer\"><\/div>\n<p>In our next blog in this series, we will explore how leadership can foster a holistic view of CX within the organization. But until then, if you\u2019re looking for a partner in creating a better corporate culture and improving your CX, Sogolytics is here for you. <a href=\"https:\/\/www.sogolytics.com\/request-a-demo\/\" target=\"_blank\" rel=\"noopener\">Let\u2019s connect<\/a> and create a unique solution just for you.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Sogolytics \u00b7 How Leadership Affects Company Culture and Its Impact on CX | Sogolytics BlogCast Welcome back to our series focused on looking at how leadership affects CX! Catching up? Previously, we explored the relationship between leadership and customer experience (CX) and how effective leadership contributes to building a foundation for customer experience excellence. We all know that leaders run their own ships, and it\u2019s from them that the rest of the crew get their heading and understand what values and mission they are supposed to have. Without strong goals and customer-centric strategies, things may not go as planned. Ensuring your corporate culture is strong, positive, and customer-focused is one of the first steps to improving your CX. So, in this second blog of the series, we will delve deeper into how leadership affects company culture and, in turn, how company culture influences CX. We\u2019re going to do this in several key areas to firmly understand: Why company is culture is so important to CX The negative effects of ineffective leadership on CX The positive effects of leadership on CX How leadership can change company culture Leadership styles conducive to better CX, including: Transformational leadership Servant leadership Collaborative leadership How leadership can empower managers for better CX Why is company culture important to CX? There are several reasons to have a positive culture\u2014and they all aren\u2019t about positive CX. However, these pieces work together to directly influence customer experience, positively or negatively. Employee experience (EX) fosters improvements to CX \u2013 [&hellip;]<\/p>\n","protected":false},"author":71,"featured_media":5041,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[204,156],"tags":[239,176,379,164,564,241,655,168,793,384,382],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v19.7.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How Leadership Affects Company Culture and Its Impact on CX - Sogolytics Blog<\/title>\n<meta name=\"description\" content=\"There are several ways in which leadership impacts company culture, and ultimately the customer experience. 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