is your culture eating your strategy for breakfast?

Is Your Culture Eating Your Strategy for Breakfast?

Monday, March 26, 201210:45 – 12:00Hub Tag: #ideas12LS5

Jodie Slaughter, FASAEPresident and Founding Partner

McKinley Advisors

Why are you here?

• What drew you to this session?• What do you hope to learn?• How can we (all of us) help you?• Tell us about you!

What will we cover today?

• Define organizational culture • Define the cultural attributes that are ideal for

associations• Take a self-assessment quiz on the culture of

your association• Review the widely-accepted varieties of culture

and see where yours fits• Gain insights on culture change

Why does culture matter?

“A company's culture is often at the root of difficult people-related problems such as motivation, morale, absenteeism, communications, teamwork, retention, injuries, and insurance claims.”

Barry Phegan, Developing Your Company Culture, the Joy of Leadership

For associations, it matters even more!

Members are the Great Differentiators

YOUR TURN: Culture – What does it mean to you?

Culture – a definition from the dictionary

“The behaviors and beliefs characteristic of a particular social, ethnic, or age group: the youth culture; the drug culture.”

Culture – my definition

“What’s normal. The combination of specified and implicit accepted and expected behaviors of your environment.”

YOUR TURN: Think about culture outside the workplace

• Your health club• Your circle of friends• Your favorite hang outs and restaurants• Where else?

What do these say about culture?

What does this say about culture?

Outward manifestations vary…

Washington State Concrete and Aggregates Assn

Florida Hospital Assn

American Medical Assn

Where does it originate?

• Who sets culture?• Who supports it?• Who drives it?• Do members have a role? Staff? Leaders?

YOUR TURN: Designing the ideal association culture

• The feel of the organization, “This place feels like…”

• The leadership style• The management style• “The glue” that holds the place together• Strategic emphasis• Success measures (what management monitors)

Is there one ideal association culture?

What’s the culture of your organization?

• Take the self-assessment – Each section adds to 100

• Plot your results according to the instructions

0

50

100

Instructions:Find your average values for each letter (A,B, C, D, and E). To find these averages, add up all of the values in each letter row and divide by 6.Plot “A” value on the “A” axisPlot “B” value on the “B” axisPlot “C” value on the “C” axisPlot “D” value on the “D” axis2. Connect points on A, B, C, and D axes.3. Plot “E” value on all four axes.4. Connect four “E” points in a different color/line type if you have one.

A

B

C

D

0

50

100

Exter

nal Fo

cus a

nd

Differentiati

on

Flexibility and Discretion

Stability and Control“Hierarchy”

“Adhocracy”

“Market”

A

B

C

D

Internal

Focu

s and

Integration

“Clan”

E = Toxicity

The Five Categories

• Clan-Collaborate• Adhocracy-Create• Hierarchy-Control• Market-Compete• Toxic

Bruce M. Tharp“Organizational Culture”

CLAN – a sociable working environment ADHOCRACY – energetic and creative

Leaders: facilitator, mentor, team builder Leaders: Innovator, entrepreneur, visionary

Values: commitment, communication, development

Values: Innovations, change, agility

Success: addressing the needs of the clients and caring for the people

Success: new product roll-outs, market innovations

HIERARCHY – formalized and structured MARKET – results based, competitive

Leaders: efficiency-based coordination Leaders: hard drivers, producers, competitors

Values: efficiency, timeliness, consistency, uniformity

Values: marketshare, achievement, profitability

Success: low costs, smooth planning, trustful delivery

Success: market penetration, leadership

What about Toxic?

YOUR TURN: Your Discoveries

• What was your culture according to the assessment?

• Are you surprised with what you saw? Happy?• Do you want to make changes?

Culture – How do you change it?

“Specified and Implicit Behaviors”• What do you say? • What do you do?• What do you demand?• What are you willing to endure?

Culture – How do you change it?

Culture is largely informed by

WHAT YOU OR YOUR ORGANIZATION PAYS ATTENTION TO

Culture – How do you change it?

RIGHT NOW: What kinds of values are currently shown in the culture of your organization?

FUTURE: What kinds of values need to be shown in the future in order to be most effective?

REWARDS: What behaviors are being rewarded right now? (Can you make changes here?)

MEMBER EXPECTATIONS: What kinds of values do you expect your members would value your organization as showing toward them?

Culture – How do you change it?

Change begins with conversations and agreementsActions DO speak louder than wordsInfluencers need not be those officially in charge

Questions?

Learn Anything New?

Will you do anything when you get back?

Thank You for Coming!Jodie Slaughter, FASAEPresident and Founding PartnerMcKinley Advisors202.333.6250 ext 301jslaughter@mckinley-advisors.comwww.mckinley-advisors.com

A Parting Thought

“It is important to remember that values do not drive the business; they drive the people within it. Values must be internalized by the people in the organization to have meaning.”

Ryan Reiches

A Parting Picture: A Manifestation of Culture in Our Firm