Culture eats strategy for breakfast ! 🍽️
Culture eats strategy for breakfast!
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Organizational Culture
For 3 consecutive years the author had the privilege of attending The Great Place to Work conference. A collective event where organizations and people come to celebrate & learn from great Organizational Cultures. There, the passion and desire to study and dig deep into organizational cultures begin.
What is "Organizational culture"?
Much more than just a buzzword Organizational culture is the secret recipe of an organization, one that goes far beyond parties and Friday singalongs. Organizational culture represents the living, breathing, kicking guise of a company, capturing the standards, values, ethics and behaviors that define the very character of an organization.
Elliott Jacques was the first to introduce the concept of culture in an organizational context (Jacques. 1951) in his 1951 book The Changing Culture of a Factory.
Later, Edgar Shein who is also known as the godfather of organizational development defined "organizational culture" as having a wide range of characteristics, such as shared "pattern of basic assumptions" that a group of individuals have built up through time, as to learn how to effectively handle issues that are both internal and external to the company. (Schein. 1990)
People take what they've learned from the past and apply it to their daily work, thereby establishing the workplace culture.
Culture is to the organization what personality is to the individual (Kilmann et al. 1985)
In simple terms, Organizational culture is the set of beliefs, values, attitudes, systems, and regulations that define and mold people's behavior within an organization. The organizational culture reflects how employees, customers and stakeholders experience the organization and its brand.
Sometimes organizational culture is defined as our shared values, the way we do things around workplace, or the traditions and stories we share when bringing someone new into the organization. (Marker. 2009)
Organizational culture can be used interchangeably with corporate culture and workplace culture. All terms are used to identify collective values, beliefs, approaches and behaviors.
Why is organizational culture so important?
It is the DNA of an organization. As DNA is unique to an organism, organizational culture is also unique and cannot be copied or re-created. Strategies can be copied and adopted but culture is built in and is nurtured within.
Culture is a form of protection like human Immune system, which is a defensive weapon against situational pressures. It prevents “wrong people” and “wrong thinking” from penetrating the organization in the first place. Organizational culture acts like the human immune system in stopping viruses and bacteria from taking control and damaging the human body. (organization)
Building an effective organizational culture that shares the beliefs and reflects ethics requires a significant investment of time and energy. It's challenging but not impossible, which is why establishing a strong organizational culture is key to success.
- Increased Employee Engagement
- Decreased employee turnover.
- Strong brand identity
- Fosters Innovation
- Creates an impact.
- Supports talent retention.
- Raised productivity.
Are some of the important outcomes of great organizational culture.
"There’s no magic formula for great organizational culture. The key is just to treat your staff how you would like to be treated.” (Branson.R., 2015)
In summation, the saying "culture eats strategy for breakfast" refers to the fact that unless your organization has an appropriate culture, no matter how well-crafted your strategic plan is, it will not succeed.
In the next article, key important aspects of organizational culture will be discussed extensively.
Additional reading :
What does culture eats strategy for breakfast mean? (thecorporategovernanceinstitute.com)
Culture Eats Strategy for Breakfast (youtube.com)
References :
Anthony M. (2009) Handbook of Improving Performance in the Workplace: Volumes 1‐3, 725-744.
Available at: https://scholar.google.com/citations
Branson. R. (2015)
Available at: http://t.co/i0RrdxaJua
Edgar S.H. (1990)
"Organizational culture". American Psychologist. 45 (2): 109–119. doi:10.1037/0003-066X.45.2.109.
Available at: Microsoft Word - Schein _1990_ Organizational Culture.docx (ciow.org)
Elliott J. (1951) The Changing Culture of a Factory: A Study of Authority and Participation in an Industrial Setting (London: Tavistock,)
Favaro. K. (2014) Strategy or Culture: Which is more important? Strategy or Culture: Which Is More Important? (strategy-business.com)
Kilmann et al. (1985) https://www.researchgate.net/publication/285421650_Corporate_Culture_Managing_the_Intangible_Style_of_Corporate_Life_May_Be_the_Key_to_Avoiding_Stagnation
Organizational culture is the set of values, beliefs, attitudes, systems, and rules that outline and influence employee behavior within an organization. The culture reflects how employees, customers, vendors, and stakeholders experience the organization and its brand.(K Wong, 2023)
ReplyDeleteWith the COVID 19 pandemic and the 2022 financial crises in Sri Lanka employees expect more from their employers than ever before. What are the fundamentals of organizational culture? According to my opinion leadership is the most important fundamental.
I somewhat agree, as I believe shared values, beliefs and behavior will shape after great leadership. Post Covid era has seen a major shift in the organizational culture in Sri Lanka. But for some organizations who were already in the change and open to dynamic working conditions responded positively. (Chandhi Dharmarathne, Virtusa 2021)
DeleteYes, organizational culture is based on a system of values and beliefs that drives the organization. Everyone is part of the spirit of culture. However, it has to start somewhere. That is from the Leadership. Leadership should exhibit by example to lay the foundation for others to follow. Moreover, this is all intact like a chain. Which shows that relationships and trust. If the chains of trust is broken it does have significant impact on the organization survival and performance.
DeleteAgree with you..Cultivating and managing organizational culture is an ongoing process that requires leadership commitment, communication, and a focus on aligning the culture with the organization's mission and goals. A positive and strong organizational culture can serve as a competitive advantage and contribute to the overall success and sustainability of the organization
ReplyDeleteYes. A strong culture makes employees look forward to going to work every day. This not only aids in keeping skilled employees but also lowers expenses related to unplanned absence and turnover, freeing up capital for use in strategies that increase market share which gives a competitive advantage.
DeleteThe phrase "Culture eats strategy for breakfast" highlights the paramount significance of organizational culture in shaping an organization's success. While strategy is crucial, a strong and aligned culture often determines how effectively strategies are implemented and executed. A robust culture drives employee engagement, decision-making, and ultimately determines the success or failure of strategic initiatives.
ReplyDeleteAgree with you. Since organizational culture is what drives the strategy's implementation and momentum, it cannot be viewed as a lower priority. The culture of a organization is what inspires everyone to work toward the common goal of moving the organization to thrive. If the organizations culture is resistant to change and does not support the implementation of a successful strategy, this can be a very difficult task.
DeleteAgreed , This implicated that strategies that your organization uses will be no good unless you haven't groomed and equipped with better cultural values and it is not always about how fancy the office environment , How many entertainments activities but how your employee is molded to face the pressure , How they play fairly in competition , So in a nut shell we can say that it is not always how your employee is using the best strategy's but also being ethical and fair in a real world. (The Alternative Board , 2023)
ReplyDeleteAgreed! Organizational culture makes a world of a difference!
ReplyDeleteVery interesting article. "Culture eats strategy for breakfast" is a well-known quotation from Peter Drucker. This suggests that, regardless of how successful your strategy may be, your company's culture always determines success.
ReplyDeleteDrucker highlighted the significance of the human element in any organization when he stated that culture eats strategy for breakfast. Your projects will not succeed even if your strategy is well-thought-out and implemented by individuals who do not foster the right culture.
Culture isn't just about comfortable chairs and good times at work. It matters more how your staff handles pressure and responds to different challenges, as well as how they interact with partners, clients, and one another in high-stress situations.