A very popular phrase these days is: Corporate Culture. The expression of an organisation’s beliefs and values. But are these always about good values or simply engraining vices? This episode will take a closer look at the big picture.
What is it?
In this context, Culture is defined as:
The ideas, customs, and social behaviour of a particular people or society.
Here obviously, we can replace “society” with Organisation to get an immediate understanding of the phrase. In addition the words beliefs and values are often associated with the expression.
In fact, the phrase “Organisational Culture” was first coined by a Canadian Psychoanalyst by the name of Dr. Elliot Jaques, in his book called: The Changing Culture of a Factory: A Study of Authority and Participation in an Industrial Setting.
In brief, the book explores – in collaboration with the Tavistock Institute of Human Relations, the ways in which the members of an organisation (a metal factory) went about their various tasks. Moreover, what newcomers into the firm must learn or appreciate in order to be accepted. Essentially as the title suggests, the book has more to do with the interrelationships between Management, the workers and how potential differences are prevented and resolved.
For the avoidance of doubt, in this article, I’ll simply use the phrase Corporate Culture just to keep things simple!
In The Workplace
When I first decided to write about this topic, I thought mainly in terms of beliefs and values. Two words we always associate with Corporate Culture. These two words are also very important from a Coaching perspective. This poses the questions:
- What constitutes a belief in a company?
- What constitutes the values in a company?
In answering these two questions we get an idea of what the expression means and therefore what we can determine as being our own specific Corporate Culture(s).
Beliefs – are essentially the acceptance or faith in something or someone. For example, I work in the energy industry which, for those who don’t know has, over the last 20 years, gone through enormous change.
For environmental reasons most companies now need to redefine their strategies for the coming years. These (financial considerations aside) will be influenced by what they believe to be the best way forward. Wind energy, solar energy, hydro energy, more efficiencies from existing methods (gas, coal etc) or a mixture of all.
Much depends on what option(s) the company wants to focus on. In reality there is no right or wrong answer. Only that which they believe in the most.
Values – are essentially principles for what is acceptable or judgements of importance. Thus using our energy industry example. These would be the organisation’s way of going about achieving their strategy.
Would it be a high risk approach? That’s to say all available resources both financial and personal, busy developing products and solutions as quickly as possible. Or alternatively, a more patient approach – standing back to see how things develop? Deploying resources as new developments come to light.
How Do We Establish a Corporate Culture?
To bring this down to a deeper level. Culture in my opinion, is akin to behaviour. In my last article, I discussed Diversity and Inclusion. How this topic is dealt with will also partly define the corporate culture of an organisation.
The common belief is that an organisation’s culture is set by the example of leadership. A company like Apple for example, still has the culture instilled by the companies former CEO, the late Steve Jobs. A man who’s approach centred around creativity, simplicity and beauty.
Over time his products have become synonymous with the arts and creativity industries. As well in the home. The T-Shirt and jeans.
Microsoft on the other hand has the culture instilled by the former founder and CEO Bill Gates. A man often perceived as being more businessman-like. Office orientated in the traditional sense. Functionality over form.
Over time the products have become considered for work. The traditional suit and tie environment.
In Summary
Essentially, corporate culture is driven by the organisations leadership. The analysis from Jacques absolutely holds true in so far as the relationship between authority and participation is key.
When faced with an authoritative (personality) in leadership, we can argue that progress is often stifled due to the lack of freedom or autonomy that comes with such an approach.
Conversely, a relaxed (personality) in leadership can often result in more freedom and creativity. From which innovation is inevitable.
In order for a Corporate culture to be of value, it must allow creativity and freedom. Leadership in this context doesn’t assume the ability to know, but the ability to not know and trust others that do into a community with the same vision.
When leadership doesn’t allow for creativity and freedom, then corporate culture becomes a vice. Simply because it prevents very human instincts creativity and freedom, which are essential for advancement.
Quote: An nation’s organisation’s culture resides in the hearts and in the soul of its people.
Until next time,
Your Coach Ben