These days, employees are more often associated with interpersonal relationships at work because they are in work spaces for most of their lives. The emergence of open-office designs, group based work, and team-building activities demonstrate the increasing fact that work culture goes beyond simple powerpoint presentations and company reports making it very complex.
At the core of this shift in work activity is a question that is powerful beyond its simplicity: How does friendliness among employees impact effectiveness and the degree of satisfaction in work?
In the past, management theories viewed workers as independent units of production, but new findings show that relationships at the workplace are intentionally constructed and controlled to achieve business goals. Workplace friendships can be a complex phenomenon because they can stimulate collaboration and loyalty, but at the same time, they can lead to slackness or interpersonal conflict.
In this article, the characteristics, psychology, and practical possibilities of friendships at work and their impact on processes are described to make the reader more critically aware of the functions of friendship in business.
The Evolution of Workplace Relationships: From “Colleagues” to “Workplace Friends”
Employee friendships have always been present, but its significance has shifted dramatically since the start of the 21st century. The traditional workplace structure had hierarchical boundaries which discouraged personal relations. Employees were meant to adhere to the emotional disconnect of the industrial era, “leave your personal life at the door,” and instead focus on the efficient functioning of the workplace.
This paradigm has shifted with the creation of knowledge economies and the gig economy. An employee who considers a colleague their best friend has shown a 35% increase in job satisfaction and is 27% more likely to stay with the workplace in the long run. This transition reflects a cultural shift that prioritizes the mental well-being of employees as well remedying the fact that employers tend to view employees as robots rather than people who need care.
Similarly, business tools such as Slack have created non-work spaces enabling employees to communicate on a personal level which in turn blurs the boundaries set by ‘professional etiquette.’ But what drives this behavior?
Psychologists attribute this phenomenon to Social Identity Theory which states that a person’s self esteem can be correlated to the group we belong in. When coworkers become friends, they form an in-group which cultivates loyalty and support.
The Neuroscience of Connections – Understanding how Friendship Changes our Brains and allows us to be more Productive
There is a scientific basis to the productivity of employees where friendships are established and maintained and it goes beyond circumstantial evidence. Scientific studies have shown that when a person interacts positively with others, there is the creation of oxytocin, popularly known as the ‘trusting’ hormone. As discovered by the University of Pennsylvania, groups exhibiting close interpersonal relationships had a 50% higher efficiency in solving problems compared to those who were less connected.
On the other hand, friendships reduce stress through lower cortisol production. The American Institute of Stress estimates that chronic stress alone costs United States organizations more than $300 billion a year in absenteeism and productivity. Diverse friendships in the workplace serve as informal buffers to protect…undue stress and burnout. One study of nurses conducted by Harvard Business Review found that those with close friends at work had a 40 percent lower stress level during busy shifts compared to their peers.
Admittedly, there are gaps in understanding how the brain functions with friendships. While trust can strengthen relationships and enhance collaboration, it can also blur professional lines when taken to the extreme.
Productivity Considerations: The Effects of Friendships on Performance Work
The correlation between duplicity and performance is multifaceted. The phrase, ‘work hard, play hard’ encompasses a lot of how one feels when they have friends at work. One such example is:
- Enhanced Communication: Friends understand one another and hide no shortcomings when it comes to conversations.
- Increased Accountability: They report on time so as not to let their friends down.
- Knowledge Sharing: The intricate skills, as well as the culture that comes along with the organization, gets passed around using informal networks.
From this perspective, a multi-decade project called Google’s Project Aristotle reported a team’s number one lack of motivation and feeling scared was, ‘feeling psychologically unsafe.’ Friends create that environment for each other.
The reverse, however, is also true. A study from The University of Michigan reveals that teams that were more ‘socially tight’ spent 18% more time chatting and less time being productive. Also, the prescriptive, as well as overt, favoritism, can cause feelings of discontent. A survey conducted by the Society for Human Resource Management (SHRM) reported that coworkers witnessed treating friends in the workplace with bias. That is guaranteed to kill the company morale.
Job Satisfaction: The Positive Impact that Friendships Have at Work
Job satisfaction goes beyond title or salary and is indeed a matter of concern to an individual’s wellbeing. Friendships at work, in its essence, satisfies three key psychological needs as articulated in the Self Determination Theory.
- Autonomy: Friends foster emotional resources that initiate action.
- Competence: Trust boosts confidence because of peer acceptance.
- Relatedness: Social groups provide a sense of purpose and satisfaction.
According to the Journal of Vocational Behavior, the meta analysis of 58 studies indicates workplace friendships have a correlation towards a 30% increase in job satisfaction as well as a 20% decrease in turnover intention. Additionally, remote workers are included. The 2023 Buffer report shows that 62% remote workers link increased activity engagement to virtual ‘watercooler’ talk.
However, the quality of friendships is critical. These so-called “instrumental friendships” prove less useful than those that are grounded in respect and trust and are referred to as superficial or transactional. Friendships that are toxic, such as ones that gossip and compete, result in employees suffering from increased anxiety levels by 25%. This was reported by Stanford University.
The Misunderstood Side of Workplace Friendships.
All friendships at the workplace are not advantageous. Some common mistakes include the following:
- Cliques: Groups that are exclusive and intentionally leave others out.
- Conflict escalation: Arguments among friends often become personalized.
- Ethical compromise: Loyalty to friends may rend an individual blind to organizational morals.
For example, Wells Fargo had branch manager who encouraged his pals to sell more than what they could, resulting in the opening of fake accounts, and this was the reason Enron’s scandal was partially caused due to the “camaraderie culture” where workers were reluctant to challenge values of friends.
There are many lines im which corporations need to find equilibrium. Such policies that espouse social interaction but feel professional, like mentorship programs or team-building activities, can reduce risks.
Case Studies: Friendship in Action
Southwest Airlines
The airlines prides itself with the “fun-LUVing” culture and believes friendships are always advantageous. As such, friendships are considered for the very low staff turnover rate (7% compared to industry norm of 20%). While off-duty, pilots and flight attendants work together when needed and socialize during off duty to foster teamwork.
Zappos
The online retailer’s “culture book” speaks about friendship as a major goal. Employees are satisfied with their jobs,but experienced challenges with relationships when the company tried to grow quickly.
Toyota
The automaker adopts a “kaizen” philosophy in business and attempts to promote problem-solving in teams. Friends from other departments help in breaking down barriers and bring fresh new ideas.
The Future of Workplace Friendships in a Hybrid World
According to a Microsoft report, like on field interviews, friendships are harder to come by now in the post-post pandemic world where remote and hybrid work is incoorperate. One issue raised was 53% hybrid employees have reported to feel less connected. Alternatively, do make it possible to have headset meets in virtual reality or using AI inspired “connecting boosts”.
Time have to change. Salesforce, for example, introduced virtual coffee breaks through its “Ohana Culture” (family in Hawaiian) to strengthen relationships with colleagues in different time zones, along with empathy training.
Cultivating Healthy Workplace Friendships
Forming favorable friendships at the workplace can be fostered by these companies by encouraging versatility in relationships:
Designing Collaborative Spaces, they may have open offices with break-out areas for casual talk and using the time together to work – in a more creative atmosphere.
Let’s look at how, while doing one of these cross-functional or cross-departmental projects, you could be promoting collaboration between departments.
Even though fostering friendships at the workplace has its risks, the advantages of loyalty, creativity, and resilience are too enormous to ignore. As we look to the future of the workplace, companies that promote strong social bonds will be the ones that flourish.
