Any business weighing out whether to pay for a corporate event should understand, right off the top: corporate events are valuable. They’re valuable for your employees, they’re valuable for interpersonal workplace relationships, they’re valuable for productivity, and, importantly for managers and stakeholders, they’re valuable to the bottom line.

In the past, corporate events like teambuilding and parties, have been met with scepticism by budget-minded managers, but the research is pretty clear. Corporate events work. You have to put yourself in the mind of an employee, though, to truly understand the value.

In this post, let’s explore the reasons why corporate events are important, why they make your business more attractive, and why they promise a good return on investment.

Fun Is Good for Culture

Tech startups, Silicon Valley outfits, and just about any millennial business understand this concept pretty well – if you want to develop an attractive work culture, you have to invest in fun.

Your viability in an industry is contingent on attracting talent, whether that’s salespeople, developers, marketers, etc. The most effective way to attract talent, other than offering a salary that bests your competitors’, is to create an attractive workplace culture. And to create an attractive workplace culture, you have to send a clear message that things aren’t all business; your company, and its employees, are capable of having fun once in a while.

Perhaps the most popular “fun” corporate event at the moment is axe throwing – a sport that encourages playfulness, competitiveness, teamwork and stress relief. Creating an attractive workplace culture by booking an axe throwing party at is still far less expensive that trying to outbid your competitors in terms of salary.

A Team That Plays Together, Works Hard Together

Then there are the functional benefits of corporate events. When your employees are allowed to interact and forge relationships outside a work context, their bonds grow. And when bonds grow, productivity benefits.

A team of employees working in mutual solitude is never going to deliver the same results as a team that cross-pollenates ideas and works to bolster each other’s success. You may think you’re just paying for corporate team building activities, but in actuality you’re investing in greater productivity.

Stress Gets in the Way of Success

Employee burnout is a real phenomenon, and it can have injurious effects on your bottom line. If your car overheats, you give it a little while to cool down. You don’t force it to go up another hill. That’s how you wind up broken down on the side of a road.

The same goes for employees – at the end of a tough quarter, you don’t barrel into the next quarter working just as hard. You take a moment to relax, reflect and relieve some stress. That’s one of the reasons the axe throwing party has become so popular – smashing an axe against a wooden target is not only fun, it’s therapeutic!

In short, don’t get rid of your corporate events. They’re good for talent prospecting, good for productivity, and good for mitigating employee burnout.