Not all climate change makes headlines—and not all of it is bad. In organizations, climate refers to the daily employee experience—how it feels to show up and do the work—which has a powerful effect on motivation, engagement, and performance. While culture defines long-term identity, climate reflects the here and now. Leaders have the ability to shape that climate—and ensure it changes for the better.
There is a great deal of discussion about the value of corporate/organizational ‘culture’, particularly its contribution to recruiting employees and building an engaged workforce. Culture is driven by values and vision. It sets expectations for behaviour and guides the way employees approach their work and interact. While it requires effort, most leaders consider it an investment worth making.
But culture tells only part of the story. Leaders also have the ability (and responsibility) to shape the workplace climate, the everyday conditions that influence how people feel, act, and perform.
This raises an important question: what about investing in climate too?
Organizational climate is arguably more tangible and immediately responsive than culture because it is determined by factors more directly under a leader’s control. Instead of being value-based, organizational climate is related to employees’ perceptions of their workplace environment.
Think of it this way, culture is the organization’s DNA—deeply embedded, shaped by years of habits, rituals, stories, and expectations. Climate, by contrast, is the weather. It shifts in response to leadership actions, operational changes, and team dynamics.
For leaders, the message is clear: culture and climate don’t just happen—they’re shaped from the top. According to research, CEOs influence up to 70% of workplace culture through their behaviour and decisions. Leaders must be intentional about building the culture that sets the foundation—and consistently modelling the behaviours that shape the climate employees experience every day. If culture is the long game, climate is the daily scoreboard.
Here’s a side-by-side breakdown to help differentiate the two:
While distinct, culture and climate are interdependent.
Culture lays the foundation—values, rituals, and long-held norms. Climate is the day-to-day expression of that foundation. A culture that promotes openness, for instance, often fosters a climate of psychological safety and engagement.
But if the climate turns negative—marked by stress, ambiguity, or lack of recognition—it can erode even the strongest cultural foundation.
Leaders who intentionally shape climate can reinforce and sustain the culture they’ve worked to build. When aligned, the results are powerful: greater energy, stronger trust, and better performance.
As we’ve said before, a high-performing workplace climate can be created by addressing eight key drivers of employee engagement: clarity, commitment, responsibility, standards, recognition and teamwork.
→ Read more on the 8 Drivers of Employee Engagement
Beyond these drivers, leaders can influence climate through:
A climate that enables people to show up, speak up, and do their best work isn’t just good for morale—it’s a performance imperative.
A positive organizational climate isn’t just “nice to have.” It’s a critical lever for performance, especially in times of disruption.
Of course, a positive organizational climate is not a goal unto itself. Rather, it contributes to a company’s ability to maintain and improve performance. Successful leaders look to ignite a chain reaction that improves climate, increases engagement, and enhances performance.
In today’s world—defined by hybrid work, economic volatility, and evolving employee expectations—leaders need immediate tools that drive results. Climate offers a way to stabilize and energize teams, even when conditions are uncertain.
When climate is off, even the best culture can feel fragile. But when it’s nurtured, employees feel seen, supported, and motivated to deliver—no matter the challenge.
Stratford’s People & Culture team helps executives and HR leaders shape both culture and climate through:
Whether you’re responding to disruption or proactively enhancing employee experience, we help leaders make clear, confident decisions that lead to lasting change.
→ Explore Stratford’s Workplace Investigation and Restoration Services
A positive organizational climate may not make headlines, but it makes all the difference. When it’s healthy, it fuels performance, retention, and innovation.
It’s a powerful asset in good times—and an imperative in tough ones.
Creating an environment where people feel supported and energized isn’t just good leadership—it’s essential. That's the kind of climate change we like to hear about.
This blog post was originally published in 2014 as 'Building Climate vs. Culture.' It has been updated with new content.