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Sustainable Growth:

Institutional Excellence

Corporate Culture

Achieving Higher Results Through Sustaining Employees' Focus on What To Do and How To Do It

by Vadim Kotelnikov, Founder, The first-ever Ten3 Business e-Coach for Innovative Leaders, 1000ventures.com

"Everybody talks about the weather, but no one does anything about it" - Mark Twain

 

Corporate Culture is5:

  • shaped by our past and learning

  • formed from a pattern of commonly held attributes, values, beliefs and assumptions

Corporate Culture: Surface, Middle and Deepest Levels

by Edgar Schein

  1. Surface Level: At this level, culture is both enacted and reinforced through visible appearances and behaviors, such as physical layouts, dress codes, organizational structure, company policies, procedures and programs, and attitudes.

  2. Middle Level: Here, culture is manifested through our beliefs and values.

  3. Deepest Level: At this level, culture is manifested through basic assumptions - our long-learned, automatic responses and established opinions.

Selected Culture Models and their Limitations

Culture Model

Limitations

"Playing it safe"

Risk taking is inherently discouraged

Conformity, loyalty to the company way, blind obedience to authority

Creative outside-the-box thinking is discouraged

"Go along to get along"

People who are inclined to challenge rules and boundaries are devalued

Cutthroat, competitive, and secretive

Humanity, collegiality and openness are devalued

Strategies for Building a Growth Culture2

  • Emphasize the future, not the past

  • Emphasize the possibility, not the constraints

  • Reach customers outside through the employees inside

  • Encourage risk taking and discourage political protecting

  • Reward collective, not individual, successes, but maintain clear individual accountabilities and keep heroes visible

  • Look for alternatives before seeking closure

  • Ensure a high level or personal freedom and trust

  • Encourage debate before consensus

Six Golden Rules

that are given to every new recruit in one winning organization

  1. Do more than just get by

  2. Train and be trained

  3. Take advantage of every opportunity

  4. Be fair to the company

  5. Seek solutions and not problems

  6. Enjoy your work - and smile

Communicating Culture3

Your firm sends its signals about its culture through three mechanisms:

  1. the behavior of senior management

  2. the promotion and reward system

  3. control and decision-making mechanisms

Related Chapters of the Business e-Coach:

Innovation-Adept Culture

Establishing Institutional Excellence

Shared Values

Relentless Growth Attitude

Innovation System

What is Corporate Culture?

Culture refers to an organization's values, beliefs, and behaviors. In general, it is concerned with beliefs and values on the basis of which people interpret experiences and behave, individually and in groups. Cultural statements become operationalized when executives articulate and publish the values of their firm which provide patterns for how employees should behave. Firms with strong cultures achieve higher results because employees sustain focus both on what to do and how to do it.

Case in Point: 25 Lessons from Jack Welch

At General Electric (GE), corporate values are so important to the company, that Jack Welch, the former legendary CEO of the company, had them inscribed and distributed to all GE employees, at every level of the company.

The sum is greater than its parts at GE as both business and people diversity is utilized in a most effective way. A major American enterprise with a diverse group of huge businesses, GE is steeped in a learning culture and it is this fact that makes GE a unique company.

As Jack Welch puts it: "What sets GE apart is a culture that uses diversity as a limitless source of learning opportunities, a storehouse of ideas whose breadth and richness is unmatched in world business. At the heart of this culture is an understanding that an organization's ability to learn, and translate that learning into action rapidly, is the ultimate competitive business advantage."...More

Case in Point: Dell Computer Corporation

"I wish it were possible for me to interact with everyone at Dell as I used to. But it's not possible to scale the number of interactions to be consistent with the growth of the company", says Michael Dell6, Chairman and CEO of the Dell Computer Corporation. "We've found there are, however things you can do to bridge the distance between you and your people in a larger organization, and develop the fast-paced, flexible culture that's a source of competitive advantage...More

 

 

 

 

Bibliography:

  1. "Corporate Culture and Performance", John Kotter and James Heskett, 1992

  2. "Results-Based Leadership", Dave Ulrich, Jack Zenger and Norm Smallwood, 1999

  3. "Hard-Core Management", Jo Owen, 2003

  4. "Driving Growth Through Innovation", Robert B. Tucker, 2002

  5. "Developing a Culture for Diversity", Chris Speechly and Ruth Wheatley, 2001

  6. "Direct from Dell", Michael Dell with Catherine Fredman, 1999

Founder - Vadim Kotelnikov. © Copyright by Ten3 East-West.  | Copyright | Glossary | Links | Site Map |

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