{"id":47255,"date":"2020-02-13T16:28:28","date_gmt":"2020-02-13T21:28:28","guid":{"rendered":"https:\/\/www.sogolytics.com\/blog\/?p=47255"},"modified":"2024-03-28T09:03:20","modified_gmt":"2024-03-28T13:03:20","slug":"why-senior-managers-are-ignoring-workplace-culture-and-why-its-bad-news","status":"publish","type":"post","link":"https:\/\/www.sogolytics.com\/blog\/why-senior-managers-are-ignoring-workplace-culture-and-why-its-bad-news\/","title":{"rendered":"Why senior managers are ignoring workplace culture, and why it\u2019s bad news"},"content":{"rendered":"

It\u2019s been ten years since Rachel McAdams played a spunky new studio exec who quickly (and publicly) fired the deadweight co-anchor from her struggling morning show.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

She explained it to her boss pretty simply. \u201cHe was lowering the morale of the show.\u201d<\/span><\/p>\n

\u00a0<\/span><\/p>\n

We love watching a creep get publicly canned on the big screen because we relate. Unfortunately, most people have worked in a crummy workplace at least once in their careers.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Even so, you may not realize just how bad a toxic workplace can be for business.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

In <\/span>The Values-Driven Organization<\/span><\/i>, author Richard Barrett quotes David Gebler, who believes \u201c… the cultures created by our leaders can be a significant risk factor to a company\u2019s success.\u201d<\/span><\/p>\n

\u00a0<\/span><\/p>\n

If that\u2019s the case, why isn\u2019t every senior manager making workplace culture<\/a> their top priority?<\/span><\/p>\n

\u00a0<\/span><\/p>\n

What exactly is work culture?<\/b><\/h2>\n

\u00a0<\/span><\/p>\n

While culture isn\u2019t as tangible as profits or sales, it can make or break both.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

According to one definition<\/a>, \u201cCulture is the character and personality of your organization. It’s what makes your business unique and is the sum of its values, traditions, beliefs, interactions, behaviors, and attitudes.\u201d<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Barrett places significant focus on values, saying \u201cI predict that in the twenty-first century, the rat race will be replaced by the values race.\u201d<\/span><\/p>\n

\u00a0<\/span><\/p>\n

\u201cWho you are and what you stand for<\/a> have become just as important as the quality of the products and services you sell,\u201d he says.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

\"Workplace<\/p>\n

 <\/p>\n

Why is a negative work culture a big problem?<\/b><\/h2>\n

\u00a0<\/span><\/p>\n

\u201cLeaders who allow fear-driven values to dominate the culture of their organization are a liability to investors,\u201d says Barrett.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Financial disasters like Enron and the 2008 mortgage crisis back him up.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

The potential risks you\u2019ll face by ignoring a toxic culture are grim: ethical violations, stress-related sickness, high staff turnover, an inability to attract talent, and lower profits.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Fostering a positive workplace culture is more important than ever<\/b><\/h2>\n

\u00a0<\/span><\/p>\n

People are checked out at work, and employee engagement<\/a> is suffering.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

\u201cThirty percent of U.S. employees are engaged at work, and a staggeringly low 13% worldwide were engaged,\u201d according to a Gallup study<\/a>.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Barrett wants to tackle this problem with a paradigm shift \u201cfrom short-term decision-making to long-term decision-making; from \u2018what\u2019s in it for me\u2019 to \u2018what\u2019s best for everyone,\u2019 from being the \u2018best in the world\u2019 to the \u2018best for the world.\u2019\u201d<\/span><\/p>\n

\u00a0<\/span><\/p>\n

He\u2019s not wrong. When you invest in fostering a positive corporate culture the results are clear.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

\u201cAccording to E&Y, 55 percent of the FTSE 350 companies have seen a 10 percent increase in operating profits driven by their investment in culture,\u201d Barrett tells us. <\/span>\u201cOverall 92 percent of the Board Members of these companies said a focus on culture has improved their financial performance.\u201d<\/span><\/p>\n

\u00a0<\/span><\/p>\n

What does a positive work culture look like?<\/b><\/h2>\n

\u00a0<\/span><\/i><\/p>\n

Trust and engagement<\/i><\/strong><\/p>\n

\u00a0<\/span><\/p>\n

\u201cLeaders and organizations need to embrace and live their most deeply held values because that is how they generate trust,\u201d says Barrett.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Trust is critical for productivity because \u201cemployees are more willing to do all they can for leadership when they are confident leadership will have their backs,\u201d note authors Osborne and Hammoud in an article focused on effective employee engagement<\/a>.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

And Stephen Covey states in <\/span>The Speed of Trust,<\/span><\/i> \u201cTrust always affects outcomes\u2014speed and cost. When trust goes up, speed will also go up, and costs will go down. When trust goes down, speed will also go down, and costs go up.\u201d<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Autonomy<\/i><\/strong><\/p>\n

\u00a0<\/span><\/p>\n

After trust is built, you need to show your faith by getting out of your employees\u2019 way and listening to them.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

\u201cWhen employees are competent and recognized, group dynamics converge to create a sense of ownership of outcomes, workplace environment, and organization,\u201d report the authors of a study on ethical leadership in the Journal of Business Ethics.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

And Osborne & Hammoud tell us that there\u2019s value in listening to your employees vent. It\u2019s a great way to find out what they need to succeed.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Well-being<\/i><\/strong><\/p>\n

\u00a0<\/b><\/p>\n

\u201cWork-related stress has become a major issue all over the world. In 2002, the European Commission calculated the costs of work related stress at \u20ac20 billion per year in the 15 member nations,\u201d says Barrett.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Feeling unable to cope with work demands, a lack of connection and resonance with your direct superior, a mismatch between your values and the values of your organization, and an inability to meet your psychological needs are all causes of workplace stress.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Others include change programs, cost reduction exercises, staff cuts, sexual harassment, racial discrimination, and bullying.<\/span><\/p>\n

\u00a0<\/b><\/p>\n

It all adds up to burnout.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

When you meet your employees\u2019 needs \u201cyou will be able to unlock their creative potential,\u201d says Barrett instead of making them \u201cfrustrated, angry and depressed\u201d if you don\u2019t.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

\"Workplace<\/p>\n

 <\/p>\n

How do I build a positive work culture?<\/b><\/h2>\n

\u00a0<\/span><\/p>\n

The first step is to measure the culture of your company using a tool designed to do just that. Barrett has created two scores to tell you if your workplace culture is working for you: <\/span>Cultural Entropy vs. Cultural Health<\/span>.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Once you\u2019ve gathered the data<\/a>, you can improve workplace culture based on what you\u2019ve learned.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

The bottom line is it has to come from the top. \u201cIf you want the culture of your organization to evolve, you must either change the leaders or the leaders must change,\u201d says Barrett.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Key takeaways<\/b><\/h2>\n

\u00a0<\/span><\/p>\n

\u201cIn a volatile, uncertain and increasingly complex world… we need to let our deeply held human values dictate our decisions,\u201d says Barrett.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Ignoring workplace culture is an unnecessary risk you can mitigate by fostering values like trust, autonomy, and well-being.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

All you have to do is ask your employees what they really need to succeed<\/a>, and go from there.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

It\u2019s been ten years since Rachel McAdams played a spunky new studio exec who quickly (and publicly) fired the deadweight co-anchor from her struggling morning show. \u00a0 She explained it to her boss pretty simply. \u201cHe was lowering the morale of the show.\u201d \u00a0 We love watching a creep get publicly canned on the big screen because we relate. Unfortunately, most people have worked in a crummy workplace at least once in their careers. \u00a0 Even so, you may not realize just how bad a toxic workplace can be for business. \u00a0 In The Values-Driven Organization, author Richard Barrett quotes David Gebler, who believes \u201c… the cultures created by our leaders can be a significant risk factor to a company\u2019s success.\u201d \u00a0 If that\u2019s the case, why isn\u2019t every senior manager making workplace culture their top priority? \u00a0 What exactly is work culture? \u00a0 While culture isn\u2019t as tangible as profits or sales, it can make or break both. \u00a0 According to one definition, \u201cCulture is the character and personality of your organization. It’s what makes your business unique and is the sum of its values, traditions, beliefs, interactions, behaviors, and attitudes.\u201d \u00a0 Barrett places significant focus on values, saying \u201cI predict that in the twenty-first century, the rat race will be replaced by the values race.\u201d \u00a0 \u201cWho you are and what you stand for have become just as important as the quality of the products and services you sell,\u201d he says. \u00a0   Why is a negative work […]<\/p>\n","protected":false},"author":1,"featured_media":5041,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[156],"tags":[239,383,164,384,382],"yoast_head":"\nWhy senior managers are ignoring workplace culture, and why it\u2019s bad news - Sogolytics Blog<\/title>\n<meta name=\"description\" content=\"While workplace culture can be a major blindspot for managers focused on growth, it has a huge impact on a company's current and future success.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.sogolytics.com\/blog\/why-senior-managers-are-ignoring-workplace-culture-and-why-its-bad-news\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Why senior managers are ignoring workplace culture, and why it\u2019s bad news - 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