Leadership and Corporate Culture

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Leadership and Corporate Culture
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What is Leadership?
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Why is the Leader Important to An Organization?
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Levels of Leadership (Jim Collins, HBR, Jan.
2001)

• Highly capable individual
• Contributing team member
• Competent manager
• Effective leader catalyzes commitment to and
  vigorous pursuit of a clear compelling vision,
  stimulate high performance
• Executive builds enduring greatness through
  humility and professional wills

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What are the Leadership Traits of Highly
Productive Organizations?
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Leadership Development

• Leadership skills
• Management skills
• Communication skills
• Problem identification and solving skills
• Strategic development and execution skills

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Leadership Strategies for Productivity
Improvement?
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Leadership Commitment(Donald N. Sull, HBR, June
2003)

• Strategic frame
• Resources
• Processes
• Relationships
• Values

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What Is Corporate Culture?
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Definition of Culture

• Observable
• Artifacts and behaviors symbols, awards,
  stories, heroes, slogans, ceremonies
• Not Observable
• Values and beliefs
• Underlying assumptions

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Purpose of Culture

• Organizational socialization
• Formal
• Informal
• Behavioral conformity
• Values and beliefs
• Behaviors

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Dominant Orientation of Culture

• Market and financial-oriented defined in terms
  of customers needs and financial performance
• Materials- or product-oriented defined in terms
  of the material it works with or the product it
  makes
• Technology-oriented defined in terms of the
  technology that it uses
• People-oriented defined in terms of how
  employees are hired and treated

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Best Values

• They have a grab-you-by-the heart quality
• They often precede and drive strategy
• They are put into place by living them
• They enable people at every level to become
  leaders
• They are consistent with the everyday values to
  which most people aspire
• They get managed as proactively as strategies,
  plans, and budgets.

Robert Waterman, What America Does Right
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What Are the Foundations of A Productivity-Focuse
d Culture?
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Strategies to Create A Culture for Productivity
Improvement?
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Managerial Culture Reinforcement Actions

• The behaviors managers measure and control
• Managers reactions to crises
• Modeling and coaching of expected behaviors
• Criteria for allocation of rewards
• Criteria for selection, promotion, and
  termination of employees

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Actions to Change Culture

• 1. Change peoples behaviors through reward,
• training, policies, etc.
• 2. Justify the new behaviors using new culture
• artifacts stories, symbols, rituals,
  heroes.
• 3. Communicate the new artifacts widely and
• consistently
• 4. Hire new employees who match the new culture
• 5. Remove employees whose behaviors deviate
• from the new culture values

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Making Radical Change

• Anticipating,
• exploiting, and
• creating
• breakpoints

Paul Strebel, Breakpoints
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Organizational Transformation Process (John
Kotter, Leading Change)

• 1. Establishing a sense of urgency
• 2. Creating the guiding coalition
• 3. Developing a vision and strategy
• 4. Communicating the change visions
• 5. Empowering employees for broad-based action
• 6. Generating short-term wins
• 7. Consolidating gains and producing more change
• 8. Anchoring new approaches in the culture

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Strategies to Help Employees Embrace A Change
Initiative?

• Senior Managers
• Middle Managers
• Front-Line Staff

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Organizational Design for Productivity Improvement

• Simplify
• Reduce the number of layers
• Reduce and eliminate bureaucracy
• Empower employees
• Promote cooperation and information sharing
• Teamwork
• Cross-functional teams
• Knowledge and information sharing systems