Most senior executives and business owners have some level of preoccupation with catalysing their culture to higher levels of performance and/or excellence. In a world characterised by exacting deadlines, relentless competition, limited resources, globalisation and unwavering expectations from customers, shareholders and employees alike, “culture” seems to be so much more important these days and must be recognised as a significant enabler of a business’ value proposition.
But measuring culture is no easy task.
One of my mentors many years ago described the challenge via a metaphor. If culture is something that is all around you but you cannot physically see, is it not like a fish in a bowl of water? Then the question is: “Can a fish describe water?”
So what exactly is organisational culture?
According to Professor Rich Hagberg:
“Culture is the 'operating system' of an organisation. It is the living, dynamic interplay of all of the shared beliefs, values, norms, and practices that are operating both consciously and unconsciously within an organisation. Culture guides what people consider important and how they think, act, feel and work.”
Culture is the sum of attitudes, customs and beliefs that distinguish one group of people from another. Organisational culture is no different from ethnic culture except it usually includes people from all different backgrounds and histories.
In an attempt to quantify an organisation’s actual culture, reference to The Competing Values Framework for cultural assessment is useful. This was distilled by Quinn and Rorbaugh (1983) from analysis of Campbell's longer list of effectiveness dimensions into a two axis pattern. From a list of thirty-nine indicators of effectiveness for organisations, Cameron and Quinn found two polarities by statistical analysis that make the difference when it comes to organisational effectiveness.
Organisations have to choose whether they have:
- Internal focus and integration – or – External focus and differentiation
- Stability and control – or – Flexibility and discretion