{"id":27675,"date":"2016-02-24T05:00:12","date_gmt":"2016-02-24T12:00:12","guid":{"rendered":"https:\/\/tested-neuron.flywheelsites.com\/?p=27675"},"modified":"2017-08-11T11:27:52","modified_gmt":"2017-08-11T17:27:52","slug":"3-reasons-why-culture-is-your-most-important-asset","status":"publish","type":"post","link":"https:\/\/unreasonablegroup.com\/articles\/3-reasons-why-culture-is-your-most-important-asset\/","title":{"rendered":"3 Reasons Why Culture is Your Most Important Asset"},"content":{"rendered":"

Until a few years ago,<\/strong> I felt that any time or money spent on mission statements and corporate values was a monumental waste, except for the consultants getting paid to \u201chelp\u201d you figure that stuff out. I\u2019m a recovering management consultant, so I\u2019m saying this with love, but every time I heard Peter Drucker\u2019s<\/a> famous \u201cculture eats strategy for breakfast\u201d quote, I would have an irresistible urge to roll my eyes.<\/p>\n

I thought \u201cvalues\u201d were for big organizations that needed to fill up their corporate retreat agenda or website \u201cAbout\u201d page to compensate for a lack of purpose or progress. I was convinced that spending time or money on values had no place in a social enterprise that was well run (which by definition would be built around purpose, with a winning strategy and relentless execution).<\/p>\n

Culture eats strategy for breakfast, technology for lunch, and products for dinner.<\/i> Tweet This Quote<\/a><\/span><\/p><\/blockquote>\n

It turns out the consultants were right. Now, I\u2019ve not only embraced Drucker\u2019s mantra of culture-eats-strategy, but I\u2019ve upgraded to Bill Aulet\u2019s<\/a> religion of \u201cculture eats strategy for breakfast, technology for lunch, and products for dinner, and soon thereafter everything else too!\u201d<\/p>\n

Let\u2019s first define culture, and let\u2019s start by defining what it is not. Culture is not the articulation of an organization\u2019s mission and values. It turns out that simply stating your values does nothing for your performance. A recent study of the Value of Corporate Culture<\/a> among S&P 500 companies found that the existence and prominence of a defined set of corporate values made no difference to short or long-term financial performance. But, the study also found that the behavior of a company\u2019s senior managers (and the values their behavior embodied) made a huge difference in determining performance.<\/p>\n

Be deliberate and diligent about making sure company values are reflected in your team\u2019s attitudes and interactions.<\/i> Tweet This Quote<\/a><\/span><\/p><\/blockquote>\n

In other words, spending time and\/or money coming up with an amazing list of your values is not enough. You need to be deliberate and diligent about making sure those values are reflected in your team\u2019s attitudes and interactions. For the purpose of this post, let\u2019s define culture as the combination of shared values, observed behaviors and accepted norms that drive your team members\u2019 daily actions. Here are the top three reasons why a strong culture is your most important asset.<\/p>\n

1. Culture can quadruple revenues and octuple job creation<\/h2>\n

Yes, it\u2019s true. I don\u2019t mean \u201ctrue\u201d in the sense of \u201cif a coconut falls on my head, my head will hurt,\u201d but more in the sense of \u201cI can\u2019t see or touch gravity, but it helps me explain and predict why lots of things happen.\u201d A landmark study and resulting book called Corporate Culture and Performance<\/a><\/em> found that companies with strong, performance-enhancing cultures achieve revenue growth of 4x, employment growth of almost 8x, and profit growth of over 750x versus companies that don\u2019t have strong cultures.<\/p>\n

Companies with strong cultures achieve profit growth of over 750x versus companies with weak cultures.<\/i> Tweet This Quote<\/a><\/span><\/p><\/blockquote>\n

2. Culture can give you a permanent competitive advantage<\/h2>\n

Culture can provide a competitive advantage that money can\u2019t buy, so don\u2019t worry if you can\u2019t afford a barista on every floor serving espressos 24\/7. An awesome idea can be easily replicated, especially in the social enterprise space where most things are open source. A brilliant product or service can be copied in a flash, and a couple year advantage building a customer base or distribution channel can be shrunk down to a few months by a well-funded competitor. But a strong culture\u2014one that propels employees to discover the next big idea, allows teams to consistently achieve outstanding results, and turns employees, customers and suppliers into loyal fans\u2014can\u2019t be easily replicated. As Lou Gerstner said in his book about the turnaround of IBM, Who Says Elephants Can\u2019t Dance<\/a>, \u201cI came to see, in my time at IBM, that culture isn’t just one aspect of the game; it is the game.\u201d<\/p>\n

A strong culture\u2014one that allows teams to consistently achieve outstanding results\u2014can\u2019t be easily replicated.<\/i> Tweet This Quote<\/a><\/span><\/p><\/blockquote>\n

3. Culture is free<\/h2>\n

Building a strong culture is relatively \u201cfree\u201d in terms of money, although definitely not free in terms of time and attention. By no means is it easy, though. It\u2019s hard to find the time to invest in culture when you’re starting up, and even harder to find ways to sustain culture when you’re scaling up. But culture is your most important asset. Taking the time to define your organization\u2019s values and making the effort to consistently model, measure and encourage the behaviors that reinforce those values are going to be the most important things you can do.<\/p>\n

Building a strong culture isn’t easy, but it’s your most important asset.<\/i> Tweet This Quote<\/a><\/span><\/p><\/blockquote>\n

Does your company have an awesome culture? If not, what’s keeping the organization from fixing it? And if so, what approaches have you taken to define, reinforce and sustain it?<\/p>\n","protected":false},"excerpt":{"rendered":"

This post explains why culture isn’t just important, but why it’s THE most important thing to focus on when creating a winning environment for any team.<\/p>\n","protected":false},"author":52,"featured_media":27803,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":"","_links_to":"","_links_to_target":""},"categories":[476,1546,1515,1558,1526],"tags":[2739,498,418,2741,2740,1121,119,365],"class_list":["post-27675","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-article","category-culture","category-leadership","category-team","category-values","tag-3-tips","tag-culture","tag-management","tag-managing-a-team","tag-peter-drucker","tag-anandan","tag-success","tag-team"],"acf":[],"yoast_head":"\n3 Reasons Why Culture is Your Most Important Asset - UNREASONABLE<\/title>\n<meta name=\"description\" content=\"This post explains why culture isn't just important, but why it's THE most important thing to focus on when creating a winning environment for any team.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/unreasonablegroup.com\/articles\/3-reasons-why-culture-is-your-most-important-asset\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"3 Reasons Why Culture Is Your Most Important Asset\" \/>\n<meta property=\"og:description\" content=\"This post explains why culture isn't just important, but why it's the most important thing to focus on when creating a winning environment for any team.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/unreasonablegroup.com\/articles\/3-reasons-why-culture-is-your-most-important-asset\/\" \/>\n<meta property=\"og:site_name\" content=\"Unreasonable\" \/>\n<meta property=\"article:published_time\" content=\"2016-02-24T12:00:12+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2017-08-11T17:27:52+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/unreasonablegroup.com\/articles\/wp-content\/uploads\/2000\/02\/rajesh.jpeg\" \/>\n\t<meta property=\"og:image:width\" content=\"2585\" \/>\n\t<meta property=\"og:image:height\" content=\"1320\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Rajesh Anandan\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@https:\/\/twitter.com\/ultrarajesh\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Rajesh Anandan\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":[\"Article\",\"BlogPosting\"],\"@id\":\"https:\/\/unreasonablegroup.com\/articles\/3-reasons-why-culture-is-your-most-important-asset\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/unreasonablegroup.com\/articles\/3-reasons-why-culture-is-your-most-important-asset\/\"},\"author\":{\"name\":\"Rajesh Anandan\",\"@id\":\"https:\/\/unreasonablegroup.com\/articles\/#\/schema\/person\/1aed9b3409a015ab4eecfbb0dcd6cc1e\"},\"headline\":\"3 Reasons Why Culture is Your Most Important Asset\",\"datePublished\":\"2016-02-24T12:00:12+00:00\",\"dateModified\":\"2017-08-11T17:27:52+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/unreasonablegroup.com\/articles\/3-reasons-why-culture-is-your-most-important-asset\/\"},\"wordCount\":864,\"commentCount\":19,\"image\":{\"@id\":\"https:\/\/unreasonablegroup.com\/articles\/3-reasons-why-culture-is-your-most-important-asset\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/unreasonablegroup.com\/articles\/wp-content\/uploads\/2016\/02\/Rajesh_CultureAnts.jpg\",\"keywords\":[\"3 tips\",\"culture\",\"Management\",\"managing a team\",\"peter drucker\",\"Rajesh Anandan\",\"success\",\"Team\"],\"articleSection\":[\"Article\",\"Company Culture\",\"Leadership\",\"Team\",\"Values\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/unreasonablegroup.com\/articles\/3-reasons-why-culture-is-your-most-important-asset\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/unreasonablegroup.com\/articles\/3-reasons-why-culture-is-your-most-important-asset\/\",\"url\":\"https:\/\/unreasonablegroup.com\/articles\/3-reasons-why-culture-is-your-most-important-asset\/\",\"name\":\"3 Reasons Why Culture is Your Most Important Asset - 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