Tom Peters, in his new book, The Excellence Dividend, which is a follow-up to the classic, In Search of Excellence, he shares two quotes which make an important point which leadders should heed: we all need to address culture!
In 1990, Lou Gerstner, took the helm of IBM, which was failing to adapt to the changing computer landscape. Many people thought it could only survive if major changes took place. Mr. Gerstner previously was CEO of RJR Nabisco – a consumer products company – with little expertise in technology. He was a “strategist’s strategist; he believed that if you “get the strategy right and you’re three quarters of the way down the road.” Yet, he took the time to truly understand the company and do what was needed to turn it around.”
In his book, Who Says Elephants Can’t Dance: Inside IBM’s Hstoric Turnaround, he shares an important perspective: “ If I could have chosen not to tackle the IBM culture head-on, I probably wouldn’t have. My bias coming in was toward strategy, analysis and measurement. In comparsion, changing the attitude and behavior of hundreds of thousands of people is very, very hard. Yet, I came to see in my time at IBM that culture isn’t just one aspect of the game – it IS the game”
Similarly, Parick Lencioni, in his book, The Advantage: why Organizational Health Trumps Everything Else in Business, recounts a story consistent with this issue. “As I sat at the conference listening to one presentation after another highlighting the remarkable and unorthodox activities (people-first dogman, leadership stule, communal culture etc.) that have made this organization so healthy, I leaned over and asked the CEO a semi-rhetorical question: Why in the world don’t your competitors do any of this? After a few seconds, he whispered, almost sadly, ‘You know, I honestly believe they think it’s beneath them.”
Leaders heed the advice: address culture and strategy if you truly want a more successful company. As our Eval2Win system advocates, in a Continuous Improvement Learning Organization (CILO) each person is accountable for specific job responsibilites that fulfill the company’s cultural values and his/her component of its strategic mission. This allows you to hire, develop and promote people to new positions over time while always maintaining an aligned situation in which as employees win, the company also wins.