Cultivating a culture of caring

What do the people in your organization care about? Most organizations today would say they have a culture which is guided by their values. CEO’s who are not incorporating the values of younger employees into their culture could be putting competitiveness at risk.

Sustainability strategies fuel growth and drive competitive advantage. Aligning social sustainability goals with business objectives can accelerate positive changes in equity, inclusion and well-being in organizations, creating shared potential benefits.

Companies are realizing that to generate value for investors, customers and regulators, sustainability strategies need to go further than a focus on regulation and governance. Success needs investment in technology, innovation and people – and it can transform corporate culture too.

By 2035, it is estimated that over 80 percent of the global workforce in advanced economies will be comprised by younger generations¹. These Millennial, Generation Z and Alpha employees are reshaping company culture as they have different expectations about organizational values; they have a purpose that goes beyond personal and organizational gain. Companies that fail to embed social purpose and sustainability into their core strategy risk disengaging the younger workforce they increasingly rely on.

A healthy culture is more than good governance and strong ethics; it is based on a clear, compelling vision of the organization's purpose, values and goals. It also must align with younger workers' values - if they do not feel inspired and included by your organization, they will not remain part of it.

Why is culture important?

A strong organizational culture supports an organization’s strategy and is fundamental to its success.

Embedding values into an organization is challenging and requires consistent effort. Often, they are treated as add-ons rather than being fully integrated into strategy and daily operations, leading to a gap between what they represent and actual practice.

Successful cultural change demands shifts in people, processes, and behaviors. As the demographics of the workforce changes, cultures need to be proactive and dynamic to incorporate the values of the younger workforce. These are typically centered around social issues such as diversity, equity and inclusion, equal pay, social responsibility and accountability and mental health.

In 2025, for example, Mental Health UK’s annual Burnout report found that while the proportion of people needing time off work due to poor mental health caused by stress remained constant, the proportion of those aged under 44 who needed time off for this reason had increased. It was also found that the youngest workers (18-24) are less likely to share concerns about stress with their line managers².

The foundations of culture architecture

A company’s culture architecture supports its strategy, generating a unique cultural identity that differentiates one company from another. A healthy organizational culture encapsulates shared behaviors that guide everyday decisions and actions.

The KPMG culture, for example, is guided by our values and doing great work. We are building a culture that is open, safe and inclusive, and operates to the highest ethical and quality standards. It is also a culture and environment that is continually listening, learning and evolving³.

While company cultures are different, values and behaviors can be integrated into operations and decision making so they become norms.

This commonality in culture architecture is based on organizational "pillars" that connect a company’s strategic foundations with its corporate strategy. These pillars make it easier to integrate values into strategic priorities and decision making. They are supported by "building blocks" (behaviors and mindsets), “scaffolding” (systems and processes), and “design elements” (symbols) that reinforce core messages.

Through extensive collaboration with various clients, KPMG professionals have identified recurring pillar patterns—or archetypes—that consistently drive specific culture outcomes. For instance, when pillars such as empowerment, recognition, service, feedback, and collaboration are combined, they tend to foster a culture of customer centricity. This alignment connects strategic priorities with everyday behaviors and decisions. The general result is a cohesive environment where behaviors and mindsets (like proactive problem-solving), systems and processes (such as performance management), and design elements (including language and workspace design) all reinforce a shared commitment to the customer. Over time, these elements can help shape unspoken norms, embedding customer centricity into the company’s identity and ways of working.

The relevance of the caring archetype

The dominance of younger people in the global workforce has already changed how employers and employees interact. The disruption of the Covid pandemic, which necessitated changes in global working practices, means connecting with the younger workforce is more difficult as workers frequent the office less. Meanwhile managers, generally, are inexperienced in handling the concerns of younger employees.

Today younger employees are often carrying burdens with them into the workplace. Personal issues such as bereavement, divorce and childcare challenges are being exacerbated by concerns over living costs, student debt and fears around geopolitics and climate change. Whereas previous generations might have left such issues at the office door, this is no longer the case.

Prioritizing the caring archetype of organizational culture can support companies to create a more caring and inclusive culture. It embodies the principles of sustainability while strengthening connections with ecosystems, communities, and the workforce. In short, it puts people at the heart of an organizations culture, where they belong.

Organizations that adopt the caring archetype typically establish pillars focused on growth, empathy, belonging, respect, and accountability. Each pillar collectively forms a supportive, inclusive, and empowering culture.

The growth pillar's focus on development fosters higher levels of engagement and adaptability, while empathy cultivates understanding and enhances collaboration. Respect reinforces trust, and accountability drives commitment to organizational values.

These pillars create a culture of care, where employees feel valued, form stronger and more meaningful connections, allowing them to better engage with their organization’s mission – one they believe, now aligns with their own concerns and values.

Sowing seeds of kindness

In Japan, the foundation of a compassionate society is established from an early age, with values such as compassion, empathy, and collective responsibility actively demonstrated in early childhood education. The historical context of Hiroshima and Nagasaki has greatly influenced Japan’s commitment to integrating Sustainable Development Goals (SDGs) into early childhood learning, fostering a more socially aware generation. Children learn to see themselves as part of a community through collaborative activities, like classroom cleaning, while educators model empathetic behavior by resolving conflicts through dialogue aimed at restoring relationships.

The nurturing of kindness and patience emphasizes well-rounded development over solely academic content. The concept of “kizuna”* meaning human bonds, reflects a fundamental social ideal in various areas, from school curricula to disaster response frameworks. As these children transition into the workforce, they often observe a stark contrast between the values cultivated during their education and the realities of professional environments. This dissonance between the caring norms from their formative years and the corporate cultures they encounter may empower the next generation to reimagine how corporations operate and engage with their communities and the environment.

*Japan - concept of Kizuna

The caring archetype approach

Growth
Empathy
Belonging
Respect
Accountability

Definition

This pillar emphasizes the importance of ongoing professional and personal development, encouraging individuals to seek learning opportunities and embrace challenges.