The Power of Organizational Cultures Russ Linden Email: [email protected] website: Russ...

The Power of The Power of Organizational Cultures Organizational Cultures

Russ LindenRuss Linden

Email: [email protected]: [email protected]

website: www.russlinden.comwebsite: www.russlinden.com

Russ Linden

609 E. Market St., Suite 206

Charlottesville, Virginia 22902 Phone: (434) 979-6421

About Russ LindenAbout Russ LindenRuss Linden is a management consultant who specializes in organizational change methods. Since 1980, he has helped government, non-profit and private-sector organizations develop leadership, foster innovation, and improve organizational performance. He is an adjunct faculty member at the University of Virginia, and the Federal Executive Institute. He writes a column called “Management Insights” for Harvard’s Kennedy School of Government, and for Governing Magazine.

Russ’ current teaching and consulting interests include; collaborating across organizational boundaries, learning organization principles, customer-focused organizations, and relationship management. He has published numerous articles, and his first book, From Vision to Reality: Strategies of Successful Innovators in Government, came out in 1990. His next book, Seamless Government: A Practical Guide to Re-engineering in the Public Sector (Jossey-Bass, 1994), was excerpted in the May, 1995 issue of Governing Magazine, and has been translated into Chinese. His most recent book, Working Across Boundaries: Making Collaboration Work in Government and Nonprofit Organizations, was published in 2002. His clients have included the National Geographic Society, Departments of the Navy and Army, Health Data Services, Inc., U.S. Customs Service, U.S. Dept. of State, Metro Information Services, Inc., Government of the Cayman Islands, U.S. Information Agency, FBI Academy, U.S. Dept. Of Education, two state attorneys general and over four dozen state, local government, and non-profit agencies. Several local governments are redesigning their organizations using the principles in his book, Seamless Government.

Before beginning his full-time practice, Russ was a Senior Faculty Member at the Federal Executive Institute. He served as the Director of Executive Programs at the University of Virginia's Center for Public Service, taught at the UVa McIntire School of Commerce, and managed in the human services field for seven years.

Russ Linden's bachelor's and master's degrees are from the University of Michigan. His Ph.D. is from the University of Virginia. He lives in Charlottesville, VA with his wife.

Russ Linden & Associates 2

Organizational Cultures Organizational Cultures

Many definitions of “org. culture.” My Many definitions of “org. culture.” My favorite:favorite:

““The way we do things around The way we do things around here.”here.”



My first day in Japan – learning how the My first day in Japan – learning how the Japanese expect you to look at their Japanese expect you to look at their

business cards -- an introduction to the business cards -- an introduction to the power of culture!power of culture!



Exercise:Exercise: Think about your first trip to a foreign Think about your first trip to a foreign country (or, your first few days in a new country (or, your first few days in a new organization): organization):

- What were your initial impressions?What were your initial impressions?

- What led to those impressions? What led to those impressions?


Organizational Cultures – Organizational Cultures – Two ExamplesTwo Examples

At GE, former CEO Jack Welch used to meet with his company At GE, former CEO Jack Welch used to meet with his company presidents and ask them what was new or different. They soon presidents and ask them what was new or different. They soon learned that he wasn’t interested when they discussed an learned that he wasn’t interested when they discussed an innovation that they developed internally. He only wanted to innovation that they developed internally. He only wanted to know what they had borrowed or adapted from another GE know what they had borrowed or adapted from another GE company or division. Why?company or division. Why?

Because Welch was fiercely committed to breaking down internal Because Welch was fiercely committed to breaking down internal silos and getting managers and leaders to share ideas and silos and getting managers and leaders to share ideas and information. The longer he asked, “what have you learned from information. The longer he asked, “what have you learned from others?” the more his people started to work across internal others?” the more his people started to work across internal boundaries. boundaries.

And today, GE’s culture is considered a model of information- and And today, GE’s culture is considered a model of information- and knowledge-sharing.knowledge-sharing.


Organizational Cultures – Organizational Cultures – 2nd Example2nd Example

A very different kind of organizational A very different kind of organizational culture:culture:

A jazz groupA jazz group


Organizational Cultures – Organizational Cultures – ObjectivesObjectives

1.1. Understand what “organizational culture” means, and Understand what “organizational culture” means, and why it is so important to overall performance.why it is so important to overall performance.

2.2. Learn examples of effective and dysfunctional Learn examples of effective and dysfunctional cultures.cultures.

3.3. Assess your organization’s culture: where is it now, Assess your organization’s culture: where is it now, where do you want it to be?where do you want it to be?

4.4. Learn concrete steps you and others can take, to Learn concrete steps you and others can take, to close the gap between current and desired state.close the gap between current and desired state.


Org. Cultures -- Why Do They Org. Cultures -- Why Do They Matter?Matter?

1. Why does culture matter in your work with 1. Why does culture matter in your work with different organizations?different organizations?

2. In terms of culture, what 2. In terms of culture, what

questions do you want us toquestions do you want us to

to discuss today? to discuss today?

Example of Powerful Org. Example of Powerful Org. Culture – The FedEx StoryCulture – The FedEx Story

1. How would you characterize the FedEx 1. How would you characterize the FedEx culture?culture?

2. From the video, what helps shape the FedEx 2. From the video, what helps shape the FedEx culture?culture?

Org. Cultures – What are Org. Cultures – What are some of their elements?some of their elements?

Culture is made up of several things, including:Culture is made up of several things, including:

• Power – who makes decisions, who controls resources, etc.Power – who makes decisions, who controls resources, etc.• Rites and rituals – how the organization marks important occasionsRites and rituals – how the organization marks important occasions• Values and priorities – what’s most important, how people get Values and priorities – what’s most important, how people get

ahead, ahead, how people get derailedhow people get derailed• Symbols – these are often clues as to who, and what, is valuedSymbols – these are often clues as to who, and what, is valued• Stories and myths – the ways some organizations convey to others Stories and myths – the ways some organizations convey to others

what is valued therewhat is valued there• Control systems – the ways organizations monitor and manage Control systems – the ways organizations monitor and manage

what what goes ongoes on• Language – certain words/phrases are in good currency in each Language – certain words/phrases are in good currency in each

culture, and certain ones aren’t usedculture, and certain ones aren’t used

How do we learn about an How do we learn about an org. culture?org. culture?

Many methods:Many methods: Ask various employees to identify examples of org. success. Then Ask various employees to identify examples of org. success. Then

have them discuss what led to the successes, and look for common have them discuss what led to the successes, and look for common themes (this is part of a method called “Appreciative Inquiry”).themes (this is part of a method called “Appreciative Inquiry”).

Ask employees, and clients, to compare the organization to another Ask employees, and clients, to compare the organization to another country. Ask them to explain their answer. country. Ask them to explain their answer.

Interview employees (and others), and ask questions like, What gets Interview employees (and others), and ask questions like, What gets rewarded here? How do people get ahead? What would you never do rewarded here? How do people get ahead? What would you never do here? What are the unwritten rules? How would you describe the here? What are the unwritten rules? How would you describe the “pecking order?“pecking order?

Complete a questionnaire on org. cultures; compare the “as-is” and Complete a questionnaire on org. cultures; compare the “as-is” and “to-be” states. “to-be” states.


Learning about culturesLearning about cultures

Question: Question:

What has helped What has helped you learn about you learn about organizational organizational cultures?cultures?


Assessing your agency’s Assessing your agency’s culture: A tool culture: A tool


Deal and Kennedy’s Culture Deal and Kennedy’s Culture Tool Tool


• Work-hard, play-hard culture:Work-hard, play-hard culture: Some restaurants, Some restaurants, software companies, sales forces, hair stylists, software companies, sales forces, hair stylists, advertisingadvertising

• Macho culture:Macho culture: police, surgeons, athletes, trial police, surgeons, athletes, trial attorneys, news anchorsattorneys, news anchors

• Bet-the-company culture:Bet-the-company culture: oil companies, aircraft oil companies, aircraft manufacturers, building contractors, parts of NASAmanufacturers, building contractors, parts of NASA

• Process cultures:Process cultures: banks, insurance companies, banks, insurance companies, academics, much of government, regulated industries academics, much of government, regulated industries

Assessing your agency’s Assessing your agency’s culture: A questionnaireculture: A questionnaire


1. Identify the questionnaire items most important to 1. Identify the questionnaire items most important to your organization’s performance (those you rate “3” or your organization’s performance (those you rate “3” or higher).higher).

2. Respond to both questions for each of those items.2. Respond to both questions for each of those items.

3. Which items must be improved to achieve the 3. Which items must be improved to achieve the performance your organization needs? performance your organization needs?

Now What? How do we help Now What? How do we help the culture move in the the culture move in the

desired direction?desired direction?

1. 1. Identify what’s getting in the way: Identify what’s getting in the way: “In the first place, do no “In the first place, do no harm…”harm…”

- Ask the employees, What meetings, Ask the employees, What meetings, forms, processes, policies, add no forms, processes, policies, add no value and consume time? GE’s value and consume time? GE’s “Work-Out” program is an “Work-Out” program is an excellent tool to do this.excellent tool to do this.

- Hold a Silly Rules contest – and Hold a Silly Rules contest – and change/eliminate the rules that change/eliminate the rules that make no sensemake no sense

- Ask customers and partners what Ask customers and partners what the organization does that makes it the organization does that makes it hard to do business with youhard to do business with you



2.2. Recognize your own power to alter the culture:Recognize your own power to alter the culture:

- Manage by wandering around (“MBWA”)Manage by wandering around (“MBWA”)

- Remember the “How’s little Charlie?” story -- Check in with Remember the “How’s little Charlie?” story -- Check in with employees, send them a note, take a personal interestemployees, send them a note, take a personal interest

- Introduce a method that reinforces the kind of behavior Introduce a method that reinforces the kind of behavior your organization needs (for instance, After Action Reviews)your organization needs (for instance, After Action Reviews)

- Manage the first impressions people get when they walk Manage the first impressions people get when they walk into your office/first meet you (see next 2 slides). into your office/first meet you (see next 2 slides).

What messages does your What messages does your office send?office send?

A manager in an intel agency has these two bulletin boards behind his desk.A manager in an intel agency has these two bulletin boards behind his desk. He’s He’s

making his agenda and needs visible, without telling employees what to do.making his agenda and needs visible, without telling employees what to do.

So go ahead and

Do!!!

A poster used in a manager’s office:



2.2. Recognize your own power to alter the culture (cont):Recognize your own power to alter the culture (cont):

- Ask employees, who gets promoted? Who gets plum projects? Ask employees, who gets promoted? Who gets plum projects? What do their answers tell the workforce about what you What do their answers tell the workforce about what you value? What message do you value? What message do you wantwant to send? to send?

- Use visuals that reinforce key messages you trying to send Use visuals that reinforce key messages you trying to send (see next slide for one example)(see next slide for one example)

- Remember the teacher who gave weekly grades: Increase the Remember the teacher who gave weekly grades: Increase the speed of feedbackspeed of feedback

- The “Form 47” story – create a “line of site”The “Form 47” story – create a “line of site”



When Kip Hawley became Ass’t Secretary of TSA, he declined to have When Kip Hawley became Ass’t Secretary of TSA, he declined to have an official portraitan official portrait

taken to hang in TSA offices. Instead, he sent mirrors to hang next to taken to hang in TSA offices. Instead, he sent mirrors to hang next to portraits ofportraits of

important officials (e.g., Pres. Bush). “When our airport screeners look important officials (e.g., Pres. Bush). “When our airport screeners look in the mirror,in the mirror,

they will see who is important, who can make a difference, the person they will see who is important, who can make a difference, the person without whom wewithout whom we

can’t succeed,” Hawley said. With that, the “I am TSA” campaign was can’t succeed,” Hawley said. With that, the “I am TSA” campaign was

born.born.



3. Identify the key measures/requirements that 3. Identify the key measures/requirements that affect behavior: are these the behaviors you affect behavior: are these the behaviors you need to succeed in the future?need to succeed in the future?

- Measures that encourage short-term or longer-term Measures that encourage short-term or longer-term thinkingthinking

- Measures that encourage silo thinking and acting, or Measures that encourage silo thinking and acting, or collaborationcollaboration

- Measures that focus on bureaucratic activities, or Measures that focus on bureaucratic activities, or important outputs and outcomesimportant outputs and outcomes

Two different views of measures:Two different views of measures:

“If you’re not keeping score, you’re only practicing.” – Football coach Vince Lombardi

““Not everything that counts is countable; and not Not everything that counts is countable; and not everything that’s countable, counts.” everything that’s countable, counts.”

– – Albert EinsteinAlbert Einstein



4. Get your employees in touch with external 4. Get your employees in touch with external stakeholders, to move the culture in the desired stakeholders, to move the culture in the desired direction.direction.

-- Capture the voice of the customers, get their responses to the -- Capture the voice of the customers, get their responses to the employees who did the work employees who did the work

-- Bring employees to important organizational events (e.g., NASA -- Bring employees to important organizational events (e.g., NASA launches)launches)

-- Invite senior leaders in to talk about the agency’s direction, how -- Invite senior leaders in to talk about the agency’s direction, how your unit contributes, and to hear about your unit’s current your unit contributes, and to hear about your unit’s current performanceperformance

-- Remember the power of competition: post the performance of -- Remember the power of competition: post the performance of another unit that does similar work, challenge employees to another unit that does similar work, challenge employees to exceed that performance level exceed that performance level

What’s the bottom line?What’s the bottom line?

To help all parts of the To help all parts of the organization get on “the organization get on “the same sheet of music,” same sheet of music,” we need to understand we need to understand much more than the org. much more than the org. goals, structure and goals, structure and budget; we need to budget; we need to understand and use its understand and use its cultureculture


The Power of Organizational Cultures Russ Linden Email: [email protected] website: Russ...

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