Organizational Culture: How To Turn Value Statements In Values

We’ve all seen the nice laminated value statements that hang on office walls. Many of these beautiful calligraphed statements are developed by a well-meaning executive team at an offsite retreat – usually somewhere in the mountains where they can be close to divine inspiration. They bring back the inspired document as if it were the “Ten Commandments,” and “roll them out,” with a well formulated communication strategy. Once they have been communicated and posted on the walls, then everyone goes back to work and the statements are forgotten.

Does this process sound familiar in your organization? No wonder cynicism is abundant about this process. We write the statements. We put them on the wall. Raise expectations. And nothing else happens. What we have is a nice set of value statements. What we don’t have yet is a set of real values.

There is an alternative. In my next few blogs, I will give you a process for turning value statements into real values.

  1. Build a cohesive executive team. A high trust, aligned, cohesive organizational culture starts with a high trust, aligned, cohesive executive team. In his book, The Advantage: Why Organizational Health Trumps Everything Else In Business, Patrick Lencioni observes, “It’s like a family. If the parents’ relationship is dysfunctional, the family will be too.” We start working with culture by taking the executives away for two days to build trust, clarify their vision and strategy, and define the culture required to realize the vision and strategy.
  2. Develop an executive team code of conduct. Once the executive has pristine clarity about the kind of culture required they develop a code of conduct for what they expect of each other and how they will, as an executive group, hold each other accountable for living the values. They then develop a plan for how they will stand united as an executive team and make a promise to the organization how it can count on them to live the values and be held accountable for living the values.
  3. Turn values into behaviors. As the executive team models the way, the expectation is that every positional leader will have the same conversation with every one of their direct reports. To move the organizational value statements off the wall and into the hearts and actions of every employee, every employee must be engaged in a conversation with their manager:
    • What exactly do these values mean to me and to you in your specific role?
    • What behaviors will demonstrate our values?
    • What do we expect from each other?
  4. Turn conversations into accountability agreements. To ensure trust in your organizational culture, an accountability agreement must lay within each conversation. It provides clarity about what is expected, what is promised, and what support requirements are necessary. The key here is clarity. Ambiguity breeds mediocrity.
    • What is the expectation – and the promise – of every leader to live the espoused values?
    • What can you count on from me?
    • What can I count on from you?
    • What are our support requirements of each other?
  5. Get people engaged. Research tells us that it isn’t clarity of organizational values that engages people. It’s clarity of personal values. You have to get to people’s hearts before you can ask them for a hand. Accountability without passion is drudgery. Accountability without connection is compliance.
    • Find out what matters to people: what do people value at work and away from work?
    • Get people living their values in their jobs. Maybe it means shuffling some roles around, discovering and developing their talents or working with people’s strengths. Fit people; don’t fix people.
  6. Continuous Reinforcement. To keep your values alive and keep people engaged in your culture, you have to have continuous reinforcement.
  7. Tell the story. Before every staff or leadership meeting, take a five minute “culture moment,” where someone on the team tells a story of how someone else lived the values.
    • Focus on success. Shine a light on success. Link success to the values. Give public acknowledgment to people when they live the values.
    • Embrace the negative. Welcome people to tell you when you aren’t living the values. No one is going to get this perfect. The issue isn’t perfection or even the illusion of perfection. The issue is – can we have the conversation when there is a perceived lack of alignment with the values? Don’t be afraid of the bad news. One of the indicators of trust is that people feel safe to bring the bad news to you. Then you can work toward the solution together!
    • Reinforce the message. If you aren’t sick of talking about the culture and the expectations of each other in the culture, then you haven’t talked about it enough. You have to keep giving the message.
    • Again and again and again.
    • Keep the values visible. Visibility drives accountability.
    • Work these conversations into every one of your systems.
      • Hiring will now be based not only on operational competence but also on how they will live the values.
      • Assessing leadership competence. You’ll know what kind of leaders you need to build the kind of culture you have defined.
      • Promotions will now not happen unless the potential leader demonstrates the values.
      • Performance reviews will now have an element of values and expected attitudinal behaviors embedded in them.

A few points to consider:

  1. Don’t be afraid of this process being perceived as superficial, especially in the beginning. Like learning any new skill or developing a new muscle, expect it to feel unfamiliar and even phony at the beginning. Be honest about this, and keep at it.
  2. Exercise patience with yourself and with others. Remember: there’s a difference between being willing to live the values vs. not doing it perfectly. If a positional leader is not willing to live the espoused values, they should not be in that position and possibly should not even be employed in the organization. But assuming good will, then be both patient and forthright about approaching those who are perceived as not living the values.
  3. You don’t have to start this process at the very top with your senior executives. If you run a division, get the executives of that division together and start the process. If you manage a team, start with your team. If you run a not-for-profit board, treat your board as the executive and start building an aligned culture. You can even begin with your family, where the parents are the executive. The principles of this process can work with any group of people who are working together toward a shared vision.

How To Build An Aligned Leadership Culture

We’ve been asked to facilitate a lot of leadership culture alignment initiatives with organizations lately. Here’s a three step process that senior leaders have found to be helpful:

  1. Identify the critical leadership practices required to support and achieve your organization’s strategic goals and objectives. In doing so, your high potential development process will be grounded in helping future leaders be authentic by aligning their career development goals and capability requirements with your organization’s business goals and objectives.
  2. Define what “high potential leaders” means using objective, behavioral terms. This allows the organization to clearly define “high potential” in an objective and observable way that provides a benchmark from which individuals can be assessed and create a meaningful and relevant development plan.
  3. Create and provide a framework your organization can use to communicate this information throughout the organization. This provides a common language and opportunity for your organization to create a “community” in which high potentials, their managers and mentors can support the development, engagement, commitment and retention of key employees in the organization.

Granting Grace – A Key To Building A Good Culture

What if we could sit down and ask for what we need and want from each other? What if we could talk openly with each other, in the spirit of goodwill and respect, about what would make us happy and loyal in our workplace? What if we could then negotiate what we can do and what we can’t do to meet these needs? What would happen to our workplaces, our communities, and our families if we all practiced being a little more honest and direct with each other in a respectful way?

We can all learn to be more direct with each other, and it takes continual practice, but there’s something more. Farm Credit Canada, one of my clients and an organization that practices good culture, has taught me a very important concept around building strong culture. One of the key principles in their cultural practices and one which they work at relentlessly, is the concept of granting grace in their interactions with each other. They hold each other accountable for creating a safe environment where people can speak up without fear of repercussion.

I spent three days with one of their teams this week, and “grace” was a central part of our conversations. They work hard at talking straight in a responsible manner. They are committed to the success of others and hold each other accountable to not engage in “conspiracies” against people. They strive for patience with themselves and others but also respectfully acknowledge when they operate outside the expectations of grace. They don’t get it perfect, but they get it right.

This kind of commitment lends itself to learning to be open and direct with each other. I love the idea of “granting grace.” What does “granting grace” mean to you? How do you operate with “grace” in your workplace? What effect does “grace” have on engagement, commitment, and productivity?

Ten Steps For Building An Aligned Culture

A lot of people ask about our process for building an aligned culture. Here, in abridged form, is our process. We welcome your comments, suggestions, and feedback.

Step 1. Define your culture.

Decide on the scope of the culture that you are committed to build – that lays within your sphere of influence. Is it your company, department, division, community association, team, family?

Step 2. Define your leadership team.

Identify your 5-6 key leaders – allies that you will depend on to build your culture. These will be people who have the positional power, capacity, and commitment to make it happen. Be sure you have a Chief Emotional Officer on your team: a person with the positional power as well as the passion (a monomaniac with a mission) to take accountability for the culture.

Step 3. Get alignment at the top.

Identify your core values that you, as a leadership team, are committed to living. Have an “offsite” leadership meeting to ensure that you are all committed to living the values, first with each other and then with your entire culture. If you are a “subculture” – a culture within a larger system, you will want to take the larger organizational cultural value statements and make them real for your culture.

Step 4. Develop a team “code of conduct” with your leadership team.

Once you have decided upon your core values, you will need to develop a process that outlines your promises to each other: how you will hold yourself and each other accountable for living these values. This is about turning values into specific expected behaviors.

Step 5. Assess Alignment – And Connect to Reality.

Decide on a process for assessing your current alignment between your “vision,” your “claim,” and your “reality” as an entire culture. In order to do this you will need to pay attention to the “visible” culture and the “real” culture – your current reality. You may need to take the time to get into the hallways, the coffee conversations, etc. to get to the grapevine and current reality.

Step 6. “Roll out” your values with your entire culture.

Once you are clear about the current alignment, meet with your entire culture. Have your leadership team at the front of the room and outline:

  • Your vision as a leadership team for this culture
  • Your core values
  • Your assessment of the current reality in your culture and the degree of alignment you see between your vision, your claim, and your reality
  • Your leadership code of conduct
  • How you expect to be held accountable for living these values as positional leaders – your promised actions as a leadership team
  • An outline of the remaining process for getting these values lived at every level of the culture

Step 7. Have each of your leadership team members define – and build – their own leadership teams.

Meet with each of the leaders on your leadership team and help them define their own leadership teams, and go through the same process with their respective teams. This will continue throughout the culture until, ideally, every person is eventually assigned to a “leadership team” or at least closely affiliated with a leadership team.

Step 8. Engage your employees – at every level.

  • Begin and sustain the process – and build trust – through the power of courageous conversations:
  • Start – and continue – to create conversations around your core values, at every level.
  • Turn every conversation about value statements into mutually agreed upon actions and promises.
  • Tell the story. Schedule time in meetings, planning sessions, etc. to tell a story about where someone in the group recently lived one or more of your values.
  • Shine the light. Acknowledge when and where individuals lived one or more of your values.
  • Repeat the message. Find a way to get the message out there. Consider a cultural “kudos committee,” a group of committed people who find creative ways to capture the stories and get the message out there in organizational newsletters, bulletins, etc.
  • Embrace the negative. Don’t be afraid of conversations that address misalignment between the claim and the reality.
  • See mistakes as learning opportunities. Keep learning and growing together. Have high standards of yourself and others, and be patient with yourself. It’s about progress, not perfection. Keep reminding people that direction is more important than velocity.
  • Stick with the winners. Put the majority of your time, energy, and resources into the people who are committed to living the values.

Step 9. Define how you will convey to stakeholders outside the culture how you will live your values.

  • How will you convey your values to your customers?
  • What needs to be written in your marketing materials/web site, etc.?

Step 10. Get your values into every system.

  • Bring values into your hiring processes, your performance management system and HR practices.
  • Only promote leaders who are living the values.
  • Make it tough to not live the values.

The Five Key Ways To Unleash Greatness On Your Team

I meet some amazing leaders in my work. People hire me to work with their organization and I end up growing by spending time with them. One such leader who has turned into a good friend is John Liston. John was formerly a regional director at Great West Life, and now is the principal of Liston Advisory Group. John lives what he leads. He’s a person of strong character. He’s passionate. He cares. He cares about his people. He cares about the work. He cares about his organization. And his approach to leadership produces results. When he was at Great West Life, his region was the top region in Canada in 2010, 2011 and 2012.

Unleash Greatness Within A Team

In a recent conversation with John about his coaching experience with his daughter’s Under 19 Ringette team, he explained how he coaches the same as he leads. Same philosophy. Same approach. Same leadership. Here are John Liston’s five keys to unleash greatness within a team:

  1. Hire Great People.
    You need to know the skills you need from your people but, more importantly, you need to know the kind of attitude you want from the people around you. You can always teach skills, but you can’t teach attitude. Building a great team means knowing precisely the kind of person you want on your team. It means hiring s-l-o-w-l-y. Take your time. Ask questions and assess the right fit. If you study what we do in business you find that we spend our time hiring for competence (resume, experience, etc.) and we almost always fire for character. What John, and other great leaders do, is hire for character, and train and develop for competence.
  2. Create an environment for people to be their best.
    When are you at your best? Typically it is when you are focused, but not worried about mistakes or failing. In John’s words, “When we win, we party; when we lose, we ponder.” This means it’s okay to make mistakes, as long as you learn from them. See the best in people. Fit people don’t fix people. Find their strengths and build on those strengths. Find a place where people can take their gifts, their passion, and their talents, and make a contribution. It takes coaching, mentoring, and, most importantly, time. When you create these environments, people “chose to” come to them; they don’t feel they “have to”.
  3. Understand the why before the what or the how.
    At the 1963 Washington D.C. Civil Rights March, Martin Luther King did not stand up with a “strategic plan.” Martin Luther King had a dream. He had a “why.” He gave people a reason. John Liston understands this. He understands that people aren’t accountable if they aren’t motivated. If they aren’t accountable, it’s because they don’t have enough reason to be accountable. A vision, a “why,” is what gives people a reason to get on board. John uses the vehicle of sport to teach character – that is the why. Some people get confused and think sport is about winning. Professional sport may be, but all others are about character. Winning is a by-product. It works the same in business.
  4. Execute with precision.
    John is a master of accountability cultures. He understands that you have to inspire people, and then you have to link that inspiration to clearly defined outcomes and a precise way to get there. This is where John is tough. He models the values. While he cares about people, he has a precise, results driven process for creating an environment for people to hold themselves accountable – to themselves and each other.
  5. Celebrate Success.
    In John’s words, “you have to know what success is, know how to get there, and know how to celebrate it when you’ve achieved it.” You have to know what “right” is, and then catch people doing it right. You have to care and you have to connect. Celebration can be big or it can be small, but most importantly it has to be meaningful.

John’s passionate, inspiring energy is contagious. It’s always been important to him to create an environment in which people have a chance to be their best, to realize their potential, and to be recognized for their achievements. John is the kind of leader people want to work for. He’s also the kind of friend people seek.

What kind of environment are you creating on your team?

Engaging Employees in Economic Uncertainty

The recent economic slowdown has created great uncertainty for businesses and, adding to the pressure, are the debates regarding how much oil and gas companies will be affected and in what way. What we can be certain about is that employers that consciously manage their work culture and employees during times of uncertainty will position themselves to take advantages of opportunities in the face of obstacles.

Why is it business critical for organizations to invest in a great work culture, especially now?

Demographics alone point to a continued trend of labour shortages due to an aging workforce, especially in in-demand occupations.

Many oil companies have long service employees whose experience is deep technically and broad in terms of institutional knowledge and intelligence. Many of these long-term employees will be eligible to retire soon, and statistics show us that as a population ages we see increases in short term vs. long term employment. It is more important than ever for oil companies to have a strong workplace culture to both attract, retain and engage employees to transition their knowledge and experience to the next generation of workers.

Additionally, Statistics Canada stated that in 2011, the percentage of working-age Canadians in the labour force is expected to peak. In other words, beginning in 2012, the number of workers leaving the labour force is already exceeding the number of new entrants and labour shortages continues to be an on-going concern. This trend is expected to continue. Employees, especially those in in-demand occupations, will continue to have choice. Employers need to evaluate the long-term risks associated with an aging workforce, recognizing that the skills and experience they need in the future may not be readily available.

In times of slowing economies, the mantra of leading employers becomes how to stabilize and engage employees in a highly proactive, productive way. The practices of attraction, retention, engagement and how employers manage their culture and employees still apply.

In our experience, there are several shifts in emphasis that will ensure success:

  • Engaged employees see themselves as “owners” not “tenants or renters” of an organization. Employers who are dedicated to employee engagement provide them with a framework of accountability, so they know not only ‘what’ they are expected to do but ‘how’ (what behaviours will get them there). Employers who foster a culture of personal responsibility where employees feel a part of the whole (“we” vs “they”) during times of stress can leverage collective intelligence to work through real work challenges.
  • Engage employees to make the best use of their skills and abilities. Many employers make the mistake of assuming employees will be happy with just having a job vs. utilizing their strengths in the right job. Keeping people busy is not synonymous with real engagement and productivity.
    Engage employees to realize future success – use the wisdom of the many over the ideas of a few.
  • Involve employees in problem solving to address current business challenges. This approach goes hand in hand with the theme of open communication as employers need to be open about current business challenges in order to be successful in this engagement strategy. It ultimately provides employees a sense of control over their own future and the future of the company. The leading edge employer who adopts this approach will not only attract and retain the best employees but will become highly productive and well positioned for future opportunities when others are struggling to survive.
  • Communicate, Communicate, Communicate. Timely, consistent communication of what employers know and especially what they don’t know, removes the ‘cloak of secrecy’ and creates an environment of trust, so that employees are confident that leaders will provide the truth. In the absence of open transparent information employees will draw their own conclusions, often fearing the worst. Effective communication in times of uncertainty is not just about making timely announcements or the distribution of information. Genuine two-way communication that leads to productive employee engagement and mutual trust has a grassroots “water cooler” conversational quality to it. It is about listening, not surveying, paying attention, not getting attention. In many ways, employee engagement is less about the information you provide and more about what you draw out of your employees.
  • Employee engagement is also about managing the work culture and environment. Uncertainty is stressful. When people are stressed, they can feel threatened, which often results in behaviors that counter a productive workforce.  Therefore, it is important for organizations to be vigilant in reinforcing a mutually respectful workplace during times of uncertainty.

Most companies have spent the last few years trying to find ways to become the “Culture of Choice” and retain and leverage the best in their talent pool. Economic downturns always test employers in this quest.  Now more than ever is the time to implement an employee engagement and productivity strategy.

By Janice Clark and Pat Hufnagel-Smith, ©2015 Irvine & Associates, Inc.

Irvine & Associates Inc. provides training and consulting solutions to assist employers with employee engagement by creating a vibrant accountable culture resulting in delivery of real time business results.