Posts Tagged ‘Core Values’

How Transparent is Your Culture?

Monday, February 16th, 2009
culture1What is the essence of an organization’s culture?  What makes it work?  For some time now I’ve had this image in my mind – it’s the purest description of Organizational Culture I’ve been able to think of .  
 
It has been said before that organizations with a strong culture are those in which the staff respond to stimulus because of their alignment to organizational values.    Companies like Nike, Southwest Airlines, Apple, Google – they all have what most would describe as a strong culture
 
I would argue that culture goes beyond simply aligning the employees around a set of organizational values.  I would say that strong cultures have very defined and distinct components around three broad areas:
 
Purpose – This is a much better word than “values.”  Purpose defines a broad sense of one’s aim, intention, role, determination and resolve.  Simply aligning people around a set of values will not get you results.  Purpose provides people – in this case employees and customers - the ability to link cause and effect to the achievement of a goal in a given system.  Purpose is what guides decision-making in choosing appropriate actions within a range of strategies based on varying degrees of abiguityof knowledge that creates a context for action.  More simply put – purpose allows people to change the conditions in an environment in order to make it better.  This is a complex yet powerful concept.
 
Alignment - This goes well beyond organizational structure.  Alignment is the adjustment of an object or activity in relation to other objects or activities.   It goes much deeper than the ”structure” an organization’s decision-making takes.  In this context, alignment refers not just to the people but also the activities and the information.  When combined with a common purpose - employees will re-orient their position, activities and behaviors in order to achieve the desired results.  Too many have confused “command and control” with alignment.  Go to any successful restaurant and walk into the kitchen.  A well-aligned kitchen means that everyone knows precisely their necessary activity, and everyone has the ”information” to pull all the dishes together in the most efficient manner.
 
Empowerment - This is the last piece to the puzzle.  Empowerment provides people with information and resources to make decisions and take action.   This is also where individuals take initiative to improve how they currently do their work in an effort to seek a more effective and more efficient method.  It is also where individuals learn that they are a part of the continuous process where change is never ending, and change is self-initiated.   Empowerment is also where your employees gain (or enhance) a positive self image.  Empowerment is also where your employees identify, deal with and overcome barriers; this increases their ability to use discreet thinking to sort out right from wrong. 
 
Three simple words to describe a complex, dynamic, yet difficult state to achieve.  Everything that’s part of your culture exists within these three simple areas.  What I do know is that achieving results like the companies mentioned - is not an easy task.  It takes never-ending faith, focus and effort – not just by you the CEO, but by everyone in the organization.  It’s up to you to decide if it’s worth it or not.
 

Best Practices – Bringing Core Values to Life

Tuesday, February 3rd, 2009

I was first exposed to the concept of “core values” when I attended The Birthing of Giants program hosted by the MIT Enterprise Forum.  The facilitator, Verne Harnish, was instrumental in my entrepreneurial growth, and is someone I consider to be one of my top 5 influences.  It was Verne who first introduced me to the concept of core values and ideologies — what they mean and why they’re important.   Suffice it to say, I started to drink the Kool Aid by the gallon. 

Over the last eight years, I’ve worked tirelessly to define my own set of core ideologies, and incorporate them into each of my businesses.  Throughout this process, I’ve found it equally difficult to accurately portray a statement of core ideologies, as well as  effectively communicate that to all stakeholders.  If I had to give myself a grade, it would be a solid C+.  This isn’t because I’ve not given it time and energy, but because it’s difficult to find the exact words that tie to the concepts and the ideas that exist in our minds.  I believe this is because our ideologies are closely related to our purpose in life.  Not only is it hard to find the words, there is also the inability, for many of us, to articulate what our purpose is. 

My experience shows that any organization that grows and does not have a clear definition of their core ideology is putting their people and their future at significant risk.  As the organization grows, employee and partners are forced to “translate” the information they have to  make choices and decisions.  Sometimes the choices they make are not well aligned with what’s in the mind of the organization’s CEO.  Anyone who’s grown a business understands this dynamic.  The more you grow, and the faster you grow, the more you rely on your people to make the right choices and decisions – the ones that would be most consistent with your own ideologies.example-of-visual-display-of-core-ideologies2

Today I found the best example of someone who has brought their core ideology to life.  This is a picture of the core ideologies GotVMail.  David Hauser and his team have been able to bring to life – through a picture – the essence of their ideology.  I can only imagine the impact this will have over time.  If they’re able to effectively communicate this picture to as many people as possible, their success will be unlimited.  I am going to do the same for my new business because a picture is worth a thousand words.  Thank you for the inspiration, David!