It started in 2012 with a blunt piece of advice from investor Peter Thiel, who, after dropping a cool $150 million on Airbnb, looked CEO Brian Chesky dead in the eye and said: “Don’t f* up the culture.”
Chesky, a little surprised by the colorful language, dug deeper. Thiel explained he loved Airbnb’s culture, but worried that as they grew, they’d inevitably “screw it all up.”
Suddenly, culture wasn’t just a nice thing to have, it was a must-have.
The more Chesky chewed on it, the more he realized they could protect and even build on this special something.
A few months later, he sent a now-famous letter to his team titled “Don’t F* Up the Culture.”
Chesky had a revelation: Culture is the only lasting edge a company can have.
In his words: “The thing that will endure for 100 years, the way it has for most 100 year companies, is the culture. The culture is what creates the foundation for all future innovation. If you break the culture, you break the machine that creates your products.”
So, what makes Airbnb’s culture tick?
Airbnb’s culture is about living the dream, literally. Employees travel in Airbnbs, fostering a sense of belonging and adventure. They’re encouraged to be “hosts” – open, caring, and always creating connections.
Taking risks is highly encouraged. They call it being a “Cereal” entrepreneur – resourceful, determined, and ready to make anything happen.
Of course, it’s not all rainbows and unicorns.
Scaling up can be tough, and challenges arise.
But, Airbnb remains committed to its core values: belonging, adventure, and making a positive impact.
What makes a great company culture?
“Company culture” is the entrepreneurial buzzword of the decade, tossed around like free kombucha at a tech startup mixer.
But beyond the yoga retreats and nap pods, what truly defines this enigmatic force that shapes your team’s spirit and success?
As an entrepreneur looking to build a successful business, you need to have a clear understanding of your company’s culture and what you want it to represent.
While there are many definitions, company culture essentially refers to the shared values, attitudes, standards, and beliefs that characterize your organization and its employees. It’s the personality of your company and impacts everything from how decisions are made to how people interact on a day-to-day basis.
As the founder, you play a pivotal role in defining and shaping that culture from the ground up. It starts with clearly identifying your core mission, principles, work ethic, and goals.
From there, you integrate those cultural priorities into your policies, office environment, employee interactions, and even external messaging. It’s an ongoing process of setting the tone, leading by example, hiring the right people, and constantly reinforcing your standards..
Understanding the Building Blocks
Mission: What’s your company’s purpose?
Start by clearly defining your company’s purpose and objectives and come up with a succinct mission statement that explains your raison d’être. This will serve as the foundation for your culture.
What impact do you want to make on the world?
Your mission statement should be a clear and concise North Star.
Values: The Guiding Principles
What core principles guide your decision-making? Do you prioritize transparency, collaboration, or customer focus?
Respect, integrity, creativity, collaboration, and work-life balance are some common examples, so it’s important to have a list of values that resonate with your mission.
Define your values and ensure they’re reflected in everyday practices.
Attitudes: The Everyday Expression
Attitudes are the visible manifestation of your mission and values. They’re the way your employees show up every day, how they interact with each other and customers, and how they approach their work. Fostering positive attitudes like enthusiasm, ownership, and respect creates a thriving and engaging work environment.
The Synergy Effect
The three elements that make up your culture are inextricably linked
Your mission sets the stage, your values provide the script, and your attitudes bring the story to life.
A strong company culture thrives when all three elements reinforce and support each other. When your employees understand and embrace your mission, live by your values, and embody positive attitudes, then you’ve created a powerful force that propels your business forward.
If you’ve got it, flaunt it!
Once you’ve established your culture- celebrate it!
Prioritize individuals who resonate with your values and display the desired attitudes. This ensures everyone is rowing in the same direction.
Your leaders set the tone, so make sure they embody the values and attitudes you expect from everyone else. Their actions speak louder than words and shape how employees perceive and experience the culture.
Feeling valued is essential for employee engagement and retention.
Be Willing to Evolve
Your mission, values, and core beliefs are the bedrock of your culture. Don’t let them get buried under the weight of rapid growth or changing markets. Regularly revisit them, discuss them with your team, and ensure they remain relevant and inspiring.
But keep in mind that culture isn’t static. As your company grows and matures, your culture needs to evolve alongside it. Be open to change, and adapt your practices to remain relevant and engaging while still adhering to your core principles.
So, what makes a great company culture?
Company culture is not about having the flashiest office perks or the most outrageous team-building exercises. It’s about creating a meaningful environment where people feel valued, respected, and empowered to do their best work. It’s about fostering a sense of belonging where individuals feel like they’re part of something bigger than themselves.
And most importantly, it’s about living your values every day, not just talking about them.
Building a great company culture is an ongoing process. It takes time, effort, and commitment from everyone involved. But when you get it right, the rewards are immeasurable. You’ll attract and retain top talent, boost engagement and productivity, and ultimately, build a business that thrives in the long run.
Take inspiration from Airbnb’s focus on belonging, adventure, and entrepreneurial spirit, but remember to make it your own. What are the core values that matter most to you and your team?
How can you create an environment that empowers people to do their best work? Start asking these questions, and you’ll be well on your way to building a culture that’s truly remarkable.
In the words of Airbnb CEO Brian Chesky, “We will probably never fully realize this vision, but we will die trying.”