The Evolution of Workplace Culture: Why It Matters More Than Ever in 2025 

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Oumeima Abrougui

One universal workplace experience is the emotional imprint left by an organization—its energy, trust, and sense of belonging. Although experts may agree on what constitutes workplace culture, revisiting its origins helps us understand the historical context and progression that brought this concept to life. Understanding these foundations reveals how culture shapes the way we build, lead, and belong today. 

The History of Workplace Culture: When Did It Begin? 

The idea of workplace culture might feel like a contemporary concern, but its roots stretch much further back, interwoven with shifts in how we understand work, people, and organizational life. 

The first traces of what would become a philosophy around workplace culture date back to the early 20th century. The Hawthorne studies, a series of experiments conducted at Western Electric, marked a turning point in how employers viewed workers. These studies revealed that productivity was influenced not just by physical conditions but by social dynamics and employee morale. This shift laid the foundation for what later became the human relations movement, which emphasized that organizations were not machines but social systems. 

Building on this early momentum, the 1950s brought a more explicit effort to define and study culture within organizations. Dr. Elliott Jaques was among the first to use the term “organizational culture” in his research. Observing daily life inside a British factory, he identified two key pillars of culture: the unspoken rules guiding how people worked and the deep-set beliefs and values that employees held, often mirroring those of leadership. Jaques’ book, The Changing Culture of a Factory, marked one of the earliest articulations of what we now refer to as culture at work. 

As the field matured, the decades that followed expanded and deepened these insights. From the 1960s onward, the study of workplace culture broadened. Scholars like Edgar Schein in the 1980s offered a clear framework, showing that culture exists on three levels: visible artifacts, stated values, and underlying assumptions. Meanwhile, Geert Hofstede’s cross-cultural research demonstrated how national and regional values influence organizational behavior across global workplaces. 

By the late 20th century, these frameworks collectively set the stage for modern perspectives on workplace culture, highlighting its role as both a reflection of broader societal shifts and a driver of organizational outcomes. 

Together, these milestones illustrate that workplace culture is not a recent idea but a steadily evolving field, one that continues to shape how people experience, contribute to, and find meaning in their work. As history shows, each new shift has reflected broader changes in society, technology, and leadership, paving the way for the transformations we see today. 

These early theories laid the groundwork for today’s understanding, where culture is no longer a side note but a defining force in organizational success. 

Why Workplace Culture Matters More Than Ever Today 

As economies globalized and technology transformed how we work, the spotlight on workplace culture grew sharper. It became clear that culture, defined as the collective beliefs and values that guide how people behave within organizations, isn’t just a background element. It directly shapes performance, reputation, and business outcomes. 

A strong, distinctive culture became a strategic differentiator. Companies with clear values, aligned behaviors, and a people-first philosophy were seen to attract better talent, retain top performers, and outperform competitors. In fact, culture started to gain recognition not just as an HR focus but as a business imperative. 

Among those who famously recognized this was management thinker Peter Drucker, who asserted that “culture eats strategy for breakfast.” His point: even the best-planned strategies can fall flat in an unhealthy culture. But when culture is nurtured, it becomes a powerful engine for collective success. 

 

The Rise of the Employee Experience (EX) 

As workplace culture evolved, the focus gradually shifted from utility and productivity to engagement and experience. What we now call the employee experience reflects the everyday reality of working within an organization: interactions with leaders, the tools and technologies employees use, the processes that guide their work, and the programs and events that shape their sense of belonging. 

These daily experiences directly influence performance and, increasingly, determine whether professionals feel trusted, supported, and able to grow. 

In today’s post-pandemic world, with remote work more common, layoffs on the rise, and uncertainty a constant, culture carries even greater weight. A healthy culture not only drives engagement and performance but also fuels innovation and helps organizations maintain a competitive edge. This is why more companies are investing in initiatives that strengthen their people’s experience and enable them to thrive at work. 

The Great Place To Work® Advantage: A Workplace Culture Built on Trust 

This evolution has also inspired leading frameworks that help organizations assess and strengthen culture, the most influential being Great Place To Work®. 

The story began in 1981, when journalist Robert Levering was invited to write a book titled The 100 Best Companies to Work for in America. Alongside fellow journalist Milton Moskowitz, he embarked on a research journey that went far beyond a writing assignment. It became a mission to uncover what truly makes a workplace great. 

What he discovered wasn’t a list of perks, benefits, or office artifacts. The real differentiator was something deeper and far more human: trust

After revisiting 20 of the original companies he profiled, Levering concluded that the core of every great workplace lies in the relationships people have with those they work for and with. A truly great workplace is one where employees: 

  • Trust their leaders 
  • Take pride in their work 
  • Enjoy the people they work with 

This insight led to the creation of the Great Place To Work® Institute, which took these findings and developed them into a model for measuring and building high-trust workplace cultures. 

The Trust Index™ model sits at the heart of the culture assessment companies undertake as part of their certification with Great Place To Work®. It measures trust, pride, and camaraderie through a set of comprehensive questions, answered anonymously by employees. 

Since then, the Institute has worked with over 21,000 organizations, reaching more than 20 million employees worldwide. Its trusted methodology helps companies not only assess their current culture but also unlock insights to drive real, lasting transformation grounded in research, benchmarking, and a growing global knowledge base. 

Every year, the Best Workplaces™ lists published through leading media outlets around the world shine a spotlight on organizations that are creating environments where people flourish. 

At its core, Great Place To Work® is the leading authority on what drives real, impactful workplace cultures. The certification journey signals a commitment to building a better world by creating better workplaces. 

 

Great Place To Work® Middle East: A Shared Mission 

Building on this global foundation, Great Place To Work® in the Middle East carries the same mission into a regional context, supporting organizations across the region to build cultures rooted in trust, pride, and camaraderie.

We believe every organization, regardless of size or industry, can become a Great Place To Work®. Across the region, forward-thinking companies are already shaping the future of work, creating cultures where people can thrive. 

 

Discover How to Build a Culture of Trust 

Culture does not happen by chance. It is deliberately built and maintained. Ready to build a culture of trust? Begin your Great Place To Work® certification journey and transform your workplace.

 

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Let the Trust Index™ Survey reveal your workplace’s hidden strengths and areas for growth. Start transforming today.

Oumeima Abrougui

Oumeima Abrougui is a content creator and writer for Great Place To Work®. Oumeima has experience covering workplace culture, communication, and well-being. Her work shines a light on the insights and stories that reflect Great Place To Work’s mission of building a better world by helping every organization become a great place to work For All™. 

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