Like any business or organization, independent agencies have unique organizational cultures that can foster desired behaviors and decisions by employees. And when aligned with a business strategy, that culture can enhance an agency’s performance.

“Organizational culture” is a way of thinking and behaving within an organization or a business, including norms and shared values that encourage consistency in the decisions and practices of employees and owners. This consistency is the key to how culture drives performance.

In order for a culture to prompt behaviors and decisions that support an agency’s business strategy, employees must understand the strategy and values of the agency. If employees are not aware of these factors—or worse, these factors are not in place—they cannot be expected to act in accordance with them.

Business strategy: Employees should understand agency goals and the plan for achieving them. They should also understand the agency’s market, strengths and weaknesses. Familiarity with business strategy will help guide employee behaviors and decisions to align with the execution of that strategy.

Core values: These are characteristics attributable to an agency’s way of doing business and can help shape the behaviors and decision-making processes of employees. It’s not enough to just have core values—agency leaders, including owners and managers, must demonstrate these values with actions before they catch on and become a part of the culture.

Mission statement: A mission statement that employees know and understand is an important tool in shaping an effective performance culture at an agency. Your mission statement should explain the purpose of your company and provide a brief framework for understanding its sales and service goals, directed at employees, customers and even outside parties. In order to make sure all parties are on the same page, agency leadership should communicate the mission statement often and display it physically on location. 

Agencies can develop and shape performance-driven cultures as desired. But it requires constant mindfulness and effort on the part of agency owners and managers. Once a business strategy and core values are in place, leadership must communicate them relentlessly to the agency workforce, monitoring employee behaviors and decisions with recognition or rewards for supporting the agency’s business strategy.

In time, these behaviors will become norms—and a performance culture will follow suit.

Rick Braile is a partner at Bay Harbour Insurance Agency, Inc. in Patchogue, New York and holds a master’s degree in human resource management.