Culture is a product of what people in an organisation co-create simultaneously. It is also steered by senior leaders in the organisation.
This culture will reinforce itself and can either facilitate or hinder value creation. As such, leaders and managers cannot leave culture creation to chance and have to play an active role to deliberate shift cultures in order that mindsets shift. When mindsets start to shift, the way value is created also shifts.
How can culture function as a barrier to value creation? There are some telltale signs of this phenomenon:
- Initiatives fizzle out and fail.
- There is a gap between product/service promise and delivery.
- There is a high attrition rate that is not due to pay issues or the workload.
- Rsistance to change and even deliberate sabotage to change.
- Departmental walls that prevent information sharing and collaboration.
- There is a deep-seeded fear of reprisal within managerial ranks
In order for an organisation to succeed, it has to align its culture to the corporate strategy. Without the culture moving, the strategy will be inhibited and limited. The flexibility to adapt and change is critical to success, and for that to happen, culture has to be addressed at the top management level.