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FUNDAMENTALS OF COMPANY CULTURE — BEHAVIORS ASSOCIATED

Everyone wants to improve their company culture. Culture has become the ultimate buzzword these days. Leaders also seem to talk about it all the time. Let’s look past the buzz and grasp the roots of organizational culture. If we want to influence our company culture, we have to start with a keen understanding of what culture actually is.

What Is Company Culture?

Culture is the thing we cannot necessarily touch and feel — it is the invisible binds and unspoken rules that enforce “how people do things around here.” However, this definition can be insufficient at times. “The way we do things” feels awfully vague and amorphous, especially when it comes to thinking about how to intentionally create a company culture we’re proud of. As a result, our attempts to influence culture get muddled. We conflate culture with surface-level relics, confusing culture with “Things To Make People Feel Good.” – ping pong tables, happy hours and free lunches. Sure, those are part of “the way we do things” — but it doesn’t explain why we are doing those things. Culture includes that why.

Measuring Company Culture

We can’t. And we don’t want to. Culture isn’t meant to be measured. Why? Because culture, technically defined, is the artefacts, espoused values and beliefs, and basic underlying assumptions that people have. And that can’t be measured quantitatively. Measuring/ quantifying it may erode the point of culture. Culture is an organization’s compass for behaviour. It’s what people use to decide what actions are acceptable, and what are not. For example, at some places it may guide people to publicly report a mistake. At other places, it nudges people to brush a similar mistake under the rug.

Measuring culture is like saying we want to measure a compass. We can pick it up and say, “Hmm, let me rate the shininess of this compass, or weigh how heavy it is.” But, really, what we care about is if the compass points us to where we want to go. Measuring the compass itself doesn’t do you much good. Because if we don’t see culture as a lever that influences what we are trying to accomplish as a team, and instead as the thing itself we are trying to maintain, we lose sight of culture’s power in the first place: Culture helps a group of people get what they want done, done.

As a result, what we can measure are the outputs of culture. The observable behaviors and indicators we see as the consequences of our culture. Possibly the most important output to gauge is progress. Studies show how progress, more than anything, influences employee motivation. This means defining what “progress” looks like on a day-to-day basis. Is it the speed by which things are happening? Is it the quality of the work being produced? Is it the number of people we are helping because our work product exists? It could also mean asking questions like how helpful managers are in supporting people to make progress, or how frequently they encounter frustrating obstacles in a given week. Therefore: If we want to measure culture, we need to start with clearly defining what the outputs of a successful, healthy culture looks like in our context.

Levels of culture

Why this matters

More often than not, there is a misalignment between the invisible and visible layers. The things we actually believe, versus the things we say we believe and the things we do to show it.

A Sample Case Study: Perhaps the most glaring case has been Uber. A company that no doubt had visible signs as “proof” that they valued their employees — lavish office parties and state-of-the-art offices. A company that had 14 cultural values it touted, including that employees should “be themselves.” And yet the basic underlying assumption persisted: Win at all costs, by any means necessary. We saw this in countless of examples of questionable ethics and sexual harassment issues ignored. At its core, Uber’s culture was rooted in this aggressive, toxic mindset — and that manifested in how they treated their people, regardless of what superficial artifacts or espoused values they trumpeted.

If we are looking to truly shift our company’s culture, we have to zoom in on this bottom most layer: our basic underlying assumptions. What we truly believe — not always what we say or outwardly show — is what drives the company’s culture.  Changing the company culture is not about just changing the visible signs. Getting beer taps installed in the kitchens doesn’t make the culture more friendly. Nor does building an onsite gym mean the culture all of sudden cares about employees’ health and well-being. Changing the company culture also is not about just changing the espoused values and beliefs. Saying at all-company meetings, “We believe in honesty and transparency” or writing “We believe in diversity and inclusion” on a website doesn’t automatically make those things true.

Changing company culture is about tapping into the core beliefs of each individual, understanding what their basic underlying assumptions are, and creating an environment where those can be listened to, brought together, and reacted to. If we can understand company culture, we can improve it.

Classification of Culture Types: The Schneider Model

The Schneider cultural model isn’t a new approach but it is relevant today. William Schneider describes culture as the answer of “How we do things around here to succeed?” No one culture type is better than another. They only have strengths and weaknesses. Depending on the type and nature of work, different types of culture may be a better fit. Companies typically have a dominant culture with aspects from other cultures. Different departments or groups may have different cultures. (e.g. development vs. operations), and these differences can lead to conflict.

Four Main Types of Culture

The Schneider Model identifies the primary, underlying culture which shapes the organisation. There are 4 main types: – Control – Cultivation – Collaboration – Competence

Control cultures (COMPANY/REALITY oriented) are process-driven; the company’s success depends on data, processes, etc. Many energy, aviation and defence companies have control cultures. Control cultures prize objectivity. Emotions, subjectivity, and ‘soft’ concepts take everyone’s eye off the ball and potentially get the organization in trouble. Empiricism and the systematic examination of externally generated facts are highly valued. Control cultures want no competition – they want to be the only players in town. Control cultures are command-and-control/ hierarchical- Leaders manage the work. Examples: The military, Police, Exxon.

Collaboration cultures (PEOPLE/REALITY oriented) – people work together towards a shared goal. The Collaboration culture springs from the household. Relationships are key to getting things accomplished. Google is an example, though it also has cultivation culture elements. The way to success is to put a collection of people together, to build these people into a team, to create their positive touching relationship with one another and to trust them with fully applying one another as resources. Status and rank take a back seat.

Cultivation Cultures (PEOPLE/POSSIBILITY oriented) are often cantered around a greater mission. Cultivation Culture is about learning and growing with a sense of purpose. Examples include religious organizations, non-profits, social impact organizations. Leaders remove obstacles that impede attaining the company’s mission. Example – Zappos.

Competence Cultures (COMPANY/POSSIBILITY oriented) are innovative (possibility) and utilize the best talent to bring ideas to bear. Examples: Deloitte, Apple. In a competence culture, being superior or the best is chief. This can mean having the best product, service, process or technology in the marketplace. This culture gains its uniqueness by combining possibility with rationalism. What might be and the logic for getting there are what count.

Fundamental values are knowledge and information. Formalities and emotional considerations are not important compared to proven accomplishment.

Content Curated By: Dr Shoury Kuttappa.

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THE LAYERS OF ISOLATED WORKGROUPS

COVID-19 has forced companies the world over to enact — or create — remote working protocols. The likes of Box, Amazon, Airbnb, Facebook, Google and Microsoft have all told their employees some variation of “work from home”. But so too are more traditional organisations across fields such as real estate, accounting and local government. Zoom team-selfies, are slowly polluting Twitter and LinkedIn feeds.

But like most things worth doing, there are different levels of proficiency and sophistication to scale. Many newly-remote workers seem to conflate simply downloading Zoom, Slack, and having access to email with having this remote working thing sorted out.

But having a ball and a bat does not make you a Cricketer.

A Case – Automattic Company.

When it comes to swimming in the deep end of the remote working pool, few companies are doing it better than Automattic — the company behind WordPress, which powers 35% of all websites on the internet. Automattic has about 1,200 employees scattered across more than 75 countries, speaking 93 languages. It boasts a company valuation of US$3 billion and has made several significant acquisitions such as that of WooCommerce and blogging platform, Tumblr. The company does not have an office, with its employees collaborating almost exclusively online.

Automattic’s founder, Matt Mullenweg (hence the “double t” in the company’s name) recently appeared on a popular podcast to talk on what he calls the five levels of distributed teams (he prefers ‘distributed’ to ‘remote’ because the latter implies that there is still a central place of work). Encouragingly Mullenweg’s sentiments echo the fact that the tools are only as good as how you use them. In fact, abuse of tools can actually make us less productive.

The Five Levels of Distributed Teams

Level 1: Non-Deliberate Action

Nothing deliberate has been done by the company to support remote work, but employees can still keep the ball rolling somewhat if they are at home for a day. They have access to their smartphone, and email. Perhaps they dial in to a few meetings. But they will put off most things until they’re back in the office and will be a shadow of their office-bound selves.

Level 1 is where the overwhelming majority of organisations were prior to the COVID19 outbreak.

Level 2: Recreating the Office Online

This is where most organisations now reside — especially traditional ones. It is where your employees have access to videoconferencing software (eg. Zoom), instant messaging software (eg. Slack) and email, but instead of redesigning work to take advantage of the new medium, teams ultimately end up recreating online, how they work in the office.

This extends to many of the bad habits that permeate the modern office and suppress the ability of knowledge workers to actually think, with..:-

  1. . . . . 10-person video-calls when two people would suffice.
  2. . . . . 60+ interruptions a day — now via Slack and phone calls.
  3. . . . . the sporadic checking of and responding to email more than 70 times a day throughout the day.
  4. . . . . hyper-responsiveness that is expected of all employees, leaving them wired to desktop.

Mullenweg equates lack of redesigning work around the medium. A similar example was with the radio drama of the 1930s, which was essentially the acting out of plays over the airwaves. Adapting the content to the radio medium was not fully considered or appreciated at the time. At Level 2, people are still expected to be online from 9 to 5, and in some cases to be subject to what essentially amounts to spyware, with employers installing screen-logging software on their employee machines to ensure compliance.

Level 3: Adapting to the medium

At level 3, organizations start to adapt to and take advantage of the medium. Mullenweg points to shared documents (such as a Google Doc), that is visible to all and updated in real-time during a discussion, so that there is a shared understanding of what is discussed and decided, eliminating the risk of lost in translation errors and time wasted thereafter.

It’s at this stage that companies start to invest in better equipment for their employees as well, such as lighting for video-calls and background noise-canceling microphones. Effective written communication becomes critical the more companies embrace remote work. With an aversion to ‘jumping on calls’ at a whim, and a preference for asynchronous communication (more on that later), most of Automattic’s communications is text-based, and so accurate and timely articulation becomes key. In fact, Mullenweg says that most of the company’s hiring is performed via text as opposed to candidate phone or vide calls.

When it comes to meetings:

  1. Only hold a meeting if it is absolutely necessary and the same outcomes cannot be reached via a quick ad-hoc conversation, phone call, email, text or instant message.
  2. Set the meeting to 15 minutes by default, and only make it longer if absolutely necessary (the shorter the meeting, the more succinct you will have to be, and the less time there will be for pointless small talk and rambling).
  3. Set a specific agenda and desired outcome going into the meeting.
  4. Invite only ‘must have’ people (unless this is a big Type-1 decision, two people should usually do it with three on the rare occasion).
  5. Agree on next steps, allocate responsible person(s) and set due dates (this is especially important to avoid boomerang meetings).
  6. Never, ever, use a meeting simply to communicate information — that’s what email or IM is for. Many are indeed learning that all those meetings could have in fact been emails.

Level 4: Asynchronous Communication

I’ll get to it when it suits me.’ This is the nature of asynchronous communication. The reality is that most things do not require an immediate response. For most things, a one-way email or instant message should do the job, with the recipient responding when it suits them. If something really is urgent, then the mode of communication should reflect that. Pick up the phone, or tap that person on the shoulder, but only if it is truly urgent.

Aside from the obvious and massive benefit of giving knowledge workers time to think, create and get into the flow state (a psychological state whereby we are up to five times more productive according to McKinsey), but asynchronous communication predisposes people to making better decisions. If you want to cut emotion out of the equation, increase your response time. Giving people time to think between question and response, rather than fall victim to blurting out the first thing that comes to mind in a meeting or when tapped on the shoulders, delivers a compound benefit to the organization over time.

In order to avoid tennis games and duplication of effort, ensure that asynchronous messages:

  1. provide sufficient background detail, where necessary provide clear action item(s) and outcome(s) required.
  2. provide a due date
  3. provide a path of recourse if the recipient is unable to meet your requirements.

For example:

“Hey Sunil. Attached is the incorporation document for our new spin-off company. Please sign the document where requested and send it back to me by 4 pm this Friday. If you have any concerns, give me a call on 555 1983.”

Globally distributed teams, who work asynchronously, and master ‘passing the baton’, can get three times more done than a local team relying on everybody to be in an office between 9am and 5pm.

Awaken the Night Owls

Science suggests that our preferred sleeping patterns — our chronotypes — are programmed at birth. People are either night owls or early birds. Several studies have found that about 30 to 40 per cent of the population are night owls, which means that the modern 9-to-5 workday is sabotaging the creative and intellectual efforts of almost half the workforce. Studies show that while early risers are more alert in the morning, night owls show stronger focus and longer attention spans 10 hours after waking than their early-bird compatriots.

Level 5: ‘Nirvana’

This is where your distributed team works better than any in-person team ever could. Mullenweg equates this level with having more emphasis on ‘environment design’, insofar as the organization’s culture, and the physical environment people work in is concerned.

The disadvantages:

Three big disadvantages or concerns that face newly remote teams, and how to counter them, can be found below:

  1. Team bonding and building
    1. Instead of telling their employees to be at the office 11 months a year, and have 4 weeks off, the script gets flipped. Employees have 11 months of remote work a year and have to make time to travel for up to 4 weeks a year for team bonding and building events.
      1. To counter this, organizations can make use of custom-built apps which keep track of who has met who, and then assign seats, say at a dinner party, so that people sit with people they’ve not yet met before.
  2. Osmotic and office communication
    1. With everybody working online, you miss out on watering hole conversations, overhearing other people say something that you can help with, or just having a general awareness of your team’s activities by virtue of being within earshot of discussions.
      1. To counter this, some organizations use an internal blog, and a place where an incredible amount of conversation and activity is chronicled and captured.
  3. Security
    1. Mullenweg points to endpoint security —computer networks that are remotely bridged to client devices — and used for BYOD such as laptops and smartphones.
    1. The alternative — being inside the office wall, as Mullenweg says —essentially becomes a single point of failure, and compromises depth in defense.
    1. What we should be doing instead is rather than over-emphasizing just access control, we need to be protecting against malicious behaviors. With over 70% of IT hacks using social engineering to get inside, he has a point.

***Concept Courtesy – http://www.automattic.com

Content Curated By: Dr Shoury Kuttappa.