The 5 Most Common Drivers of Corporate Culture Change

The 5 Most Common Drivers of Corporate Culture Change
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Are You Facing Any of These Drivers of Corporate Culture Change?
We find most organizations that want and need to change their culture must face at least one, if not many, of the above drivers of corporate culture change.  Because strategy must go through culture to be fully executed, changes in leadership, strategy, or business circumstances often create the need to change how work gets done.

Any organization struggling to consistently execute their strategy in a way that makes sense to the business and to the people should to take a hard look at its culture. While most organizations could benefit from increased productivity, a unique competitive advantage, and an easier way to get things accomplished, many organizations have not thought about culture from a strategic perspective.

Some Examples of Drivers of Corporate Culture Change

  • Change in Leadership: A services client hired a new CEO to replace the founder and to drive higher growth.  While the founder had focused internally on systems and processes to improve efficiencies, the new CEO’s growth plans required an external focus on markets, customers and competitors.
  • Mergers and Acquisitions: After several major acquisitions over the last five years, a high tech organization was struggling to execute company-wide strategies.  They were suffering from poorly integrated acquisitions with misaligned and conflicting approaches to market leadership, decision making, and customer intimacy.
  • Sudden or Unexpected Downturn: A healthcare client facing an unexpected downturn realized that their siloed culture was inhibiting their ability to cross-sell and up-sell their full suite of offerings.
  • Brain Drain: A high-tech client faced increased attrition of top talent in key strategic roles.  They realized that their cultural approach to people and innovation had to change in order to retain key talent and meet their targets.
  • Exponential Growth: A professional services client grew 30 percent per year for three years.  In order to support and continue the profitable growth trajectory, they needed to change their cultural approach to work to be more standardized.

The Bottom Line
Keep an eye out for any of the five most common drivers of corporate culture change.  They often create or warn of cultural misalignment.  When they happen, be wary of going directly from strategy design to action planning or capability assessment.  Invest the time to ensure that the way work needs to get done (THE HOW) is fully aligned with your strategic goals (THE WHAT).

To learn more about how to handle drivers of corporate culture change, download A Purposeful and Aligned Organizational Culture – Your DNA for Success 

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