February 6, 2015

There is a lot of buzz about “culture” in today’s workplace. 

  • What is it? 
  • Where does it come from?
  • What impact does it have on a company’s performance?

Cal Harrison spoke about culture earlier this year. Listening to the presentation was a thought-provoking experience for my colleagues and I.

There are 4 functions of a company culture:

1.       To defines a corporate identity
2.       To create a collective commitment
3.       To create a stable social system
4.       To provide a “sense-making” device for decisions

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A company’s culture comes from several different places, but the largest influence is from the top. A company’s culture is created by the founder and is maintained by those that are selected to run and manage the company. In addition, the industry that a company operates within has a large influence on culture, as well as the country that the company is in. When we think of global companies that operate in multiple locations all over the world, there is still an “umbrella” culture that is consistent for that company — but there will be obvious differences in specific office cultures that relate to the specific country.

A company’s culture can have a huge impact on a company’s performance. Harrison introduced the universal truth that “every company’s culture must be managed.” Not all companies recognize this. However, high-performing companies all have this in common: they take time and dedicate resources to defining their company culture, communicating it, and proving it.

While most of us take our company’s culture for granted, when you stop and think about it there are a lot of resources that go into creating and maintaining a positive and unique culture that supports the company’s objectives. The more we know, the better we are all able to engage and contribute!