$101 billion. As of 2016, that’s the total amount of fines paid by banks implicated in the mortgage bubble responsible for the financial crisis of 2008. While the federal government did find some areas of law-breaking, regulators also found that many of the actions that led to the housing crisis weren’t necessarily illegal — just violations of banking standards.
Many organizations view “culture” as a problem that needs to be solved, typically after an increase in employee turnover, declining performance, or some disruption such as a merger or acquisition. By the time culture is raised as an issue, there is usually already a lack of energy, focus, and dedication.
The era of big data has allowed sales and marketing professionals to exponentially expand their reach over the past 10 years. Analytics do the heavy lifting, providing insights about consumer behavior and trends that companies can use to their advantage.
Culture change or evolution is one of the most challenging projects for a leadership team to undertake. It requires every leader, manager, and employee to internalize a new set of priorities which constitute the aspirational culture for the company’s future. This process takes time, and requires a consistent and quantifiable framework for tracking progress.
For HR and business leaders, employees are customers. This means that analyzing and improving each stage of employees’ journey within the company is crucial. Creating a fulfilling place to work is a major part of any employer’s job. You don’t do this out of a sense of altruism but because it is the best thing for the value of your company. Happy and engaged employees onboard more quickly, are more productive, stay longer, and continue to spread goodwill after they leave.
When we were first pitching Pomello to investors, one of the most frequent criticisms we heard was that a great company culture is nice to have, not need to have. Here was the parting line they would leave us with as they told us they weren’t going to invest.
I’ve been thinking a lot about team-building and traditions lately as our team has grown. It has been really exciting and challenging to see how each additional team member brings their own needs, strengths and ambitions to Pomello. When you’ve been working so long with one person – shout out to my awesome co-founder, Oliver – it can be easy to get set in your ways. And so it is refreshing to have new perspectives and personalities.
To those of us in the business world, academia can appear to move at a glacial pace. But academic research plays an essential role in identifying successful organizational strategies and mechanisms that might not be apparent, even to the actual teams that are implementing them. Pomello is built based on a large body of research which validates the relationship between strong organizational culture and key metrics like employee performance, engagement, and turnover.
As somebody who has been through a huge merger, and the resulting reorganization, I can tell you that reorgs are the worst. They deservedly have a terrible reputation, because they are dehumanizing, demoralizing, and damaging to your company. So why do companies do them? They are necessary. Strategic shifts, changing economic environments, industry disrupting innovations can all force leadership teams to stir things up. The problem that every leadership team runs into is that reorgs are incredibly costly in terms of lost productivity and turnover.
One of the topics we get asked about most often is how to change the culture on a team. We are rarely in a position to start building a culture from scratch, and are often trying to adjust our team culture to fit a new strategy or a changing business environment. Once you’ve determined how you want to evolve your team culture here are 3 critical factors for your success: