In my view leadership is about creating a vision and inspiring followership. A critical part of which is to create the right environment or culture where people feel inspired to work collaboratively towards a common goal.
In the past 25 years, the concept of organisational culture and the positive impact that it has on business results has gained wide acceptance. Simply put, the culture is the way things are done around here. It is the norms, expectations, symbols and guidelines that enable or inhibit employees to engage and align to the strategy of the business and deliver their best performance.
Over this time there have been many studies which have shown the correlation between managing the culture and business performance. It is possibly the most critical factor determining an organisation’s capacity, effectiveness, and sustainability. It also contributes significantly to how customers and prospective customers perceive the organisation’s brand image and brand promise.
I am often asked what leaders can do do manage the organisational culture more effectively.
It is a simple process but one that needs leadership and management input and should be reviewed each time there is a review of the strategy or business plan.
- As part of the strategy review process – define the culture that will enable success.
- Conduct a quasi gap analysis – where are we now against where we want to be
- Create a route map of those interventions that will move the culture closer to the desired state
- Evaluate results – over time, it is possible to both assess impact of investment in for example development and/ or correlate the investment in culture on bottom line results
In the recently published 10th annual survey of ”UK’s Best Workplaces’ compiled by The Great Place to Work Institute found that:
- Europe’s Best Workplaces grew their revenues by 15% on average, in the midst of the recession;
- Sickness absence in the UK’s Best Workplaces was 30% lower than the national average saving those organisations £20,760 per 100 employees per year;
- Almost 90% of employees in the UK’s Best Workplaces believe that management is open and honest in their organisation, against the national average of 55%
Solid justification for managing organisational culture. Please do get in touch to share your experience or if you would like more information.