Exploring the Connection Between Organizational Culture, Motivation, and Talent Retention

Abstract

This thesis explores the influence of organizational culture on the retention of young talents within the context of a case company in the tech industry. The primary objective of this research is to investigate the relationship between organizational culture of the case company and employee motivation and the subsequent retention of young talents. To achieve this goal, a qualitative research approach is adopted, employing semi-structured interviews to gain insights from the perspective of young employees within the organization. The research findings offer insights into seven factors that drive intrinsic motivation among the specific group of young talents studied. Consequently, these factors are suggested to influence talent retention as they could contribute to shaping an organizational culture that effectively retains them. These factors are (1) purpose – a clear and meaningful sense of direction in their roles, (2) psychological safety – an environment that promotes open expression and risk-taking without fear of negative consequences (3) autonomy – the degree of independence and decision-making authority given to employees, (4) work-life balance – a healthy equilibrium between work responsibilities and personal life, (5) sense of belonging – the feeling of being part of a cohesive and supportive work community, (6) P-O Fit – the alignment between individual values, goals, and organizational values, and (7) diversity and inclusion – an inclusive culture that values diverse perspectives and backgrounds. The insights obtained from this research contribute to the understanding of how organizational culture can be leveraged to create an appealing workplace environment for young employees, ultimately contributing to increased retention rates. This thesis underlines the importance of organizational culture as a key determinant in talent management, especially of early talent.