Source: forbes.com
When you have a great organizational culture, you’re energized and so is the company. You get results for employees, customers and shareholders. But cultures can be elusive as well, with their complexity, nuance and power.
While culture can be challenging to manage, it’s an important center of gravity today. In the midst of the talent shortage, people choose to join a company and stay with it based on culture. In the midst of a wellbeing crisis, culture can make the difference in people’s mental health and capacity to contribute. And in the midst of a intense competition, culture can be the difference between an organization that succeeds and fails.
What Is Culture
Culture is “the way things get done around here.” It is unwritten rules, norms and assumptions—and it is the collective behaviors of an organization.
The leadership paradox is that cultures outlast individual leaders at the same time individual leaders create (sub)cultures within their organizations. It’s a paradox because both are true.
- Leaders regularly come and go, but cultures tend to last because of the influences of the industry; the market; company mission and direction; policies, practices and processes; reward systems and more.
- At the same time, leaders have a significant influence on the teams they lead, because their choices and behaviors tend to be mirrored in the people and practices that grow up around them.
The primary way that people learn is through watching and listening to others, and by experiencing their behaviors—so each of us has influence on others. And leaders, especially, have impact because of their visibility and locus of control.
How To Lead for a Great Culture
Here’s how to lead for a constructive, productive culture.
Overall and perhaps most important is to be intentional. Your organization will have a culture no matter what you do, but to have the culture you want, you’ll need to plan, act and execute with intention.
1. Model the Way
A primary way to influence your culture is through your own choices and actions. Even if you don’t mean to have that much sway, you will. People tend to focus on leaders—what you do, what you say and how you behave.
And you’ll need to be sure what you say and what you do are in alignment. If there isn’t a match between these, people will believe your actions over your words. This is true at a personal level and in terms of the organization’s practices.
For example, if you want a culture that values growth, you’ll need to be constantly learning. In addition, you’ll need systems that ensure feedback, accountability, development and succession planning. If you want a culture of innovation, you’ll need to behave with openness and curiosity and have systems that encourage people to speak up, debate, share untested ideas, experiment, fail and try again.
You’ll also need to be present and accessible as well as predictable and easy to read. These behaviors are proven to generate trust and inspire people to engage. People want to know you’re paying attention and following through—and they want to know they can count on you consistently.
People won’t expect you to be perfect, but they’ll want to know you’re always seeking to progress and improve.
2. Be Clear
Another key way to foster culture is to provide plenty of clarity. In our world of volatility, uncertainty, complexity and ambiguity, people crave certainty. And while you can’t provide it, you can provide clarity. Let people know where you’re going, what you know and what you’re exploring.
In addition, be crystal clear about your values and how you expect people to act and treat each other. Also, provide clear expectations for people’s work and line of sight regarding how their deliverables affect their teammates’ efforts, the company’s outcomes and the impacts on the customer. Let people know what you need from them, and how they can succeed within the organization.
Be sure your policies and practices reinforce what you value as well—and regularly audit the organization’s approaches to be sure you’re not reinforcing unintended consequences.
Design offices and hybrid working options that both empower and enable people—with digital solutions that reduce friction and spaces to focus, collaborate, learn, socialize and rejuvenate. Offer flexibility and choice in when, where and how people work as much as possible based on roles and responsibilities.
Interestingly, the more clear and explicit an organization is, the more effective its culture tends to be. Let people know how your priorities and values drive your choices, policies and approaches. For example, it’s because you value the customer that you insist on timely deliverables—or it’s because you value connection and community that you sponsor affinity groups or employee resource groups.
Think broadly about the messages you’re sending through both formal channels like email, surveys or town halls—and through informal practices. Be intentionally redundant in they way you communicate—and use multiple channels that reinforce what’s important for people to know.
3. Balance Empathy and Accountability
In an age where wellbeing is deteriorating globally, leaders have a huge impact on mental health—and empathy is significantly correlated with all kinds of positive outcomes from innovation and retention to engagement and productivity.
As a result, a culture of wellbeing is important to build. Develop leaders to pay attention to people, ask questions, listen and offer supportive resources. Ensure practices are designed to ensure civility, respect and equity.
In addition, be mindful about who you reward. Those who are recognized become examples in the organization—and signals for what you value. People will emulate them, and you’ll get more of the behavior they demonstrate.
In addition, you’ll also need to ensure you’re holding people accountable. A culture is significantly determined by the worst behavior it will tolerate—so be sure you’re dealing with bad behavior and that you have zero tolerance for actions that don’t align with your values.
You’ll need to give people space and understanding when they’re going through challenges, but you’ll also need to hold people accountable. Because accountability sends a message that you’re counting on employees and the work they do—it lets them know you need their presence and their contributions for the organization to be its best.
4. Ensure a Growth Orientation
A great culture is also characterized by a growth mindset—and a belief that people and the organization can always learn and improve—even in the face of failures or set backs.
Give people feedback, coaching and development. Invest in employees’ ongoing improvement and increasing capability. Hire people for a career, not just a job—and give them opportunities that align with their passions and potential.
When people can grow their careers within your business, you’ll ensure they stick around—which is especially helpful with today’s talent shortage—but it’s also important to the continuity of the culture. You want employees who can tell stories, share experiences and contribute to the positive beliefs about the organization through their own behavior.
5. Focus on Four Elements
Brilliant research by Denison Consulting has found there are four elements that drive all kinds of results—from employee and customer satisfaction to innovation, profitability and retention.
To build an effective culture, no matter what business you’re in, you’ll need to provide a compelling vision and mission—as well as direction. People want strong leadership and a meaningful purpose. You’ll also need to ensure you provide for involvement and participation. People want clarity in where you’re going—but they also want to collaborate with others and feel a sense of ownership for shared efforts.
In addition, cultures thrive when they have consistency in processes; roles and responsibilities; expectations and ways to handle conflict. At the same time, organizations need the ability to learn, adapt and change in response to the market, customers and competitors.
Pay attention to these four areas—and you’ll be more likely to have a culture that delivers results for people, the organization and its stakeholders.
Lead for the Culture
As a leader, you have a lot to wrestle—and leadership is arguably harder today than ever. But by being intentional about how you sustain your culture, you’ll be contributing to the results you need to achieve for the business and the terrific experience you create for people.