Culture is a complex system that is only as strong as its weakest parts. Moreover, if a piece is missing it doesn't work. An engaged workforce doesn't mean you are heading in the right direction. Organisation values are essential but on their own they are not enough.
Conventional wisdom suggests that culture follows strategy. The dilemma is that in a world where strategy is persistently under attack, "the plan" has to be constantly revisited. The new dictum is culture enables strategy. What endures, what provides the platform for growth, what shapes future performance, what enables different strategic scenarios to unfold … is the organisation's culture.
The challenge, of course, is not merely to possess a strong culture but to build a business environment that shapes how people act and, at the same time, supports emerging strategic scenarios. This speaks to changing the patterns of play, measurement, the ability to shape the culture conversation, bringing middle managers on board and inspirational leadership.
Even where all the building blocks of culture are in place, if the leader in question lacks the ability to take people places they otherwise would not go, you still don't have much!
Our own research - and that of others - suggests that only 20% of organisations manage their culture. Power moves into a vacuum. If you are not managing your culture someone else is! And if those at the helm lack culture savvy take it as a given - the future of the business lies in the wrong hands.
And the difference that makes a difference: Recognise that culture is managed from the outside-in but demands leadership from the inside-out; provide structure and guidance into how to have the culture conversation; become a storyteller; measure culture and work diligently to uncover (global) best practice - then improve on it. Our species are, above all else, copying machines with an inherent desire to be better than all the rest.
Insights from "Tomorrow's Leadership Will Be Different".