At Axialent, we are not experts in Agile. Our expertise lies in helping organizations build the cultures they require, in light of their business strategy, and develop their leaders to be living proxies of that culture. In the last two decades, agile has emerged as an unstoppable practice among organizations, and it is changing their cultures.

The question for us is: are you managing the resulting culture change intentionally? Is agile shaping your culture by accident or by design?

Adopting an agile way of working can be fraught with challenges. We experienced this first hand when we launched an Agile Leadership Program at a leading financial services company. I’d like to share the lessons we learned behind the scenes of what was probably the most audacious adoption of agile in a non-tech industry.

We accompanied the top 200 leaders of this organization, in 24 cohorts, across 11 countries, in a 6-month long journey that combined coaching them individually and as leadership teams. This gave us a privileged vantage point to observe their struggles and the gaps they were trying to bridge.

In this first article of a series, we will focus on the specific challenges we witnessed, because we follow this principle: ‘no gap, no coaching.’ Clarifying the gap before we intervene helps us gain a deep understanding of the problem, empathize with our client, and offer higher chances of finding an adequate solution to prototype, test, and learn.

Here are some of the conclusions we reached after exposing the gap:

1. Agile brings about a new leadership paradigm and not just a more effective way of working.

It is hard to imagine companies embarking on an agile transformation and taking it lightly. They aim to become much better in terms of quality, time-to-market, productivity, and, above all, employee engagement.

Most believe that adopting agile unleashes talent, makes team members accountable and generates one-team dynamics. Other firms might be driving a similar shift, but they’re not calling it an agile transformation. The name is not what matters.

Beyond the rituals and ceremonies they adopt, or the frameworks they embrace, the essence of today’s business transformations lies in changing how leadership is felt, conceived, and performed, in a way that is radically different. This happens in most cultural transformations. The difference that agile brings is the context.

2. From rigid, hierarchical ‘command-and-control’ leadership to servant leadership 

In this company’s context, the gap for leaders was shifting from a rigid, hierarchical ‘command-and-control’ leadership style to a servant leadership style.

This change required the top-most executives to give up being the center of the organization. They were now expected to be at the service of the teams who worked closer to their clients than the leaders ever were. They were supposed to coach those teams, instead of giving them detailed instructions.

Leaders’ main focus now had to be on removing any and all obstacles that prevented those teams from delivering value to the customer as quickly and effectively as possible. Even if those obstacles were the leaders themselves.

Can you see how counter-intuitive this could be for an executive who climbed the ranks by being a good soldier, was promoted for being a great soldier, and just as he or she was about to reach the summit of a 2-decade-or-more climb is told ‘sorry, the glory is down there?’

3. From micromanagement to  autonomy, engagement, and empowerment 

For employees, the central gap was shifting from a culture of micromanagement to one where autonomy, engagement and empowerment are expected, exercised, and promoted.

The intention was to evolve from being managed and having linear career expectations to self-managing themselves and their own career. Why? Because this company believed that it would help them shift from feeling resignation, skepticism, and fear of feedback to feeling engaged, empowered, and looking at feedback with openness and acceptance. The logic was attractive. However, change was not automatic.

From Do Agile to Be Agile

At Axialent we believe that, for any change that truly matters, it must operate first at the Be-level. It’s in that mushy place where thoughts & feelings, values & beliefs, and needs & wants reside (and that top execs seldom look at from so high above) where we have found the most significant leverage.

From there, the leaders and those they lead can shift behaviors more effectively at the Do-level. Training people how to do agile was not enough.

They needed to dive deeper and actually be agile.
In that deep side of the pool, there is anxiety, tension, and even fear among leaders and team members alike. “What will happen to me and my career in this company?”, “How can I protect my safe haven?” “Will we increase risk by letting go of control?” “What do you mean that control is ‘bad’? We’re a regulated company! Control is not only good – it’s mandatory!”

Reconciling these dilemmas was suddenly part of their job description. They looked at their toolkit and realized they needed a different set of tools to deal with this new reality. So, we set off to replenish them from our stock.

Understanding these gaps helped us walk in our clients’ shoes as we embarked on this journey alongside them. In the following two articles of this series, we will explain the design principles we followed and the most prized lessons we have learned and would apply in the next opportunity that comes our way. Come along for the ride!

Many companies begin their culture journey motivated to make big changes. While the intention of major change is there, some will lack the follow-through to sustain focus and solidify lasting change. Taking the time to measure the progress of your culture in a conscious, intentional, and continuous way is important to keep your initiatives on track.

The first step for many organizations is to conduct a baseline culture assessment, typically consisting of quantitative and qualitative data. The purpose of the assessment is to identify their ideal culture, measure the current culture, and find out where the gaps are. This data helps leaders get aligned on their vision, as well as to better understand the mindsets, values, and beliefs that are widely shared in the organization, and how they may enable or get in the way of attaining results.

As the culture transformation process unfolds – roadmaps are defined, workshops are conducted, communication strategies are implemented and change agents are mobilized – measurement typically goes to the bottom of the priority list.  Rarely do we find that the same level of rigor that was used in the assessment step is applied to measure the progress and impact of culture change initiatives.  The approach is often limited to informal sensing based on unstructured conversations and casual observations, or relying on employee engagement surveys, which seldom measure shifts in mindsets and behaviors. This makes it hard to pinpoint where are we making progress and what we need to do to accelerate the change.

However, administering comprehensive culture surveys and conducting multiple interviews and focus groups may not always be feasible if you want to keep the pulse on the change and assess progress in a continuous way.

Here are some ideas to help you design your culture measurement strategy:

Identify where you are in your culture journey

Have you recently started your culture transformation effort?  Have you already started mobilizing people and launching initiatives?  Understanding where you are will help you define what you need to look for (your key hypothesis and key research questions) and the data sources that will be most helpful.  For example, you could assess the following:

  • Change readiness – Do you want to see if leaders and employees are aware, willing, and able to drive change?
  • Culture drivers – Do you want to see how effective the new programs or initiatives are?
  • Mindset changes – Do you want to assess if the desired culture mindsets and behaviors are becoming norms?
  • Outcomes – Do you want to understand how culture is impacting key business and people results?

At the beginning of your culture journey, you may want to focus on measuring change readiness and the effectiveness of culture initiatives.  As your process takes root, you can focus more on behavioral and outcome measures.

Identify potential sources of data

Since culture is experienced, the best insights typically come from a mix of quantitative and qualitative data.  Based on your key research questions, you can strategically identify potential data sources (such as employee lifecycle surveys, leadership 360s, performance evaluation forms, training feedback, sentiment analysis from employee comments, or feedback data) that can be re-imagined for intentionally capturing meaningful culture insights.  If your focus is more on assessing outcomes, consider conducting advanced analytics, integrating people metrics (such as engagement, retention, development and performance measures) with employee surveys and customer data.

Identify potential experiments

Many successful culture change initiatives are rolled out in phases.  This gives the organization the opportunity to learn and adjust, create success stories, and form culture champions.  The phased approach also lends itself to measuring the impact of the culture initiatives over time for certain groups and to compare the differences among groups who have experienced the change vs. those who have not.  Designing and measuring experiments will help you refine your approach before committing to bigger investments, make participants an active part of your broader change process, and assess the ROI of your initiatives.

Conclusion

Your strategy to measure the progress of your culture should be aligned to the mindsets that you are looking to drive – whether it is agility, innovation, accountability, or inclusion.  Be intentional and approach the measurement process with curiosity – you are not looking for a pass or fail grade, but for powerful insights that will help you shape your best next step in your culture transformation journey.

If you ask any leader, “What has been one of the most defining moments in your career?” most likely, the answer will be related to leading a significant organizational change.  This is not surprising: our brains are wired to remember peak moments more vividly. These are experiences that capture us at moments of achievement or courage; or moments that change our understanding of ourselves and the world around us.1
Organizations place a lot of value on leaders who can effectively lead others through change.  In fact, effective change leadership is a common competency used to identify and develop high potential employees.2 However, despite the importance that both leaders and organizations place on change leadership, many organizations lack an intentional strategy to help their leaders become effective change-makers.  Many of us are guilty of having used the ‘sink or swim’ approach disguised as ‘on the job learning’.  Intentionally or not, we throw our up-and-coming talent into leading changes in an environment that is increasingly complex and unpredictable without the benefit of a foundation to help them along the way.
For on-the-job learning to be effective, it needs to reinforce the behaviors we are looking to shift or embed. This means that we need to define the guiding principles of how we should lead through change and the experience that we want to provide our change-makers, employees, partners, and clients.  The benefit of talking about ‘how we lead change’ goes beyond leadership development. It sets clear norms of behavior and common expectations of how we will measure success while empowering our change-makers to ask for what they need.
 

How can we best prepare our current and future change-makers? 

It’s useful to think about the actions that we can take preemptively, through more structured leadership development, coaching, and resources. We should also consider the ‘just-in-time’ support we can provide to help leaders navigate a change event.
The good news is that there is significant overlap between what makes an effective change-maker and what makes an effective leader.  Development activities (such as training and coaching) that encourage leaders to increase their self-awareness and growth mindset and help them become more resilient, inclusive, accountable, and collaborative, will also help them be better change-makers.  In addition, change-makers need to be good at storytelling, influencing, and systems thinking. To maximize impact, we need to be intentional in helping them understand how they can apply these leadership skills in a change situation.
 

As they get ready to embark into a large-scale, high-impact change, we can support change-makers in two dimensions:

  • Change acceptance – In order to lead, change-makers need to be willing to move. In many situations, we ask leaders to take on new initiatives on top of their current responsibilities.  You can increase their willingness to lead by creating a space to intentionally discuss how this initiative fits into the broader organizational picture and what’s in it for them personally.  When they intentionally set their personal goals – whether it is to accelerate their development, build their network, gain a broader enterprise view, learn new skills, or do something with impact – they will feel valued and more energized to take on a new challenge.
  • Change-related skills – Leaders need to feel able to lead the change. Beyond the resources and information needed to execute the ‘what’ of the change, they also need access to practical, ‘just-in-time’ change management guidance and tools. Instead of providing theoretical change toolkits and training that few people will use, employ a design thinking approach to uncover what would be most useful for change-makers as they navigate large-scale change.  This may include practical tools, like a change playbook tailored to your organization, and targeted coaching/advice to discuss ideas and overcome challenges.

Our change-makers can survive a change event, or they can consciously experience and lead the change.  This will not make the change less complex or challenging, but it will help them approach the experience with a different mindset, less fear, and a higher level of confidence.  It will also help advance the business goals that the change is looking to achieve and help build organizational agility and resilience.
 

References
  1. Doll, Karen. (2019). What is Peak-End Theory? A Psychologist Explains How Our Memory Fools Us.com
  2. Fernandez-Araoz, C., Roscoe, A., Aramaki, K. Turning Potential into Success: The Missing Link in Leadership Development. Harvard Business Review, November–December 2017 Issue

When it comes to culture transformation initiatives, complying with change is different from committing to change. For it to be successful, leaders need to be committed to changing how they think, act, and interact. You can’t force this kind of change… at least not sustainably. An essential part of closing the gap between where an organization is now and where they need to be is providing a clear roadmap of the culture plan. This is an important step toward making the necessary changes.
 

Creating the roadmap for culture change

 
The results of the tools we use in Axialent to measure the current and ideal culture (OCI® Organizational Culture Inventory® and OEI® Organizational Effectiveness Inventory®) and the leadership styles and behaviors (LSI® (Life Styles Inventory®) allow an organization to identify levers for change, so they can establish a detailed action plan for successful change management and measure their progress.
Developing an action plan for culture change requires planning for deeper, longer lasting transformation. It is not your regular change management plan.
It needs to cover the following aspects:

  • People need to understand the change, what it implies, and most importantly, why they should change.
  • They need to overcome any negative emotions associated with the change and connect it with positive emotions.
  • They need to be capable of change.
    The “Shadow of the Leader” is long. People will seek their leaders’ example of what it truly means to change. By using the LSI®(Life Styles Inventory®)tools from Human Synergistics, we provide leaders a powerful roadmap for themselves, that weaves neatly into the organizational roadmap because it is built on a common framework and a shared language.
    Most leaders easily “get” what needs to be done at an intellectual level. However, bridging the gap between knowing what they need to do and actually doing it requires working on a deeper level – what we call at Axialent the “being” level. Leaders have to become the leaders that the new culture needs them to be before we can aspire to achieve any true change and get others on board.
    Traditional training is insufficient for this – adaptive learning is a must in most cases.

Only after addressing these three factors can you expect people to be willing and committed to change.
 

Next steps – some food for thought

  • An action plan CAN be simple. It all boils down to who does what, by when.
  • Think of action planning as a proxy of the culture change you want to see. For example, if you want to foster a culture of greater accountability, empower autonomous teams to lead action planning for culture transformation in their sphere of influence and hold them accountable for progress and outcomes.
  • Consider mapping stakeholders by subcultures instead of the usual employee segments and check if this adds value to your action plan.
  • When you have a powerful suite of tools like the LSI, OEI, and OCI, you remove the guesswork from prioritization. You will have the main causal factors that will move the needle toward your desired culture. Concentrate on the handful of measures that will create the most impact instead of merely scratching the surface with various initiatives.
  • When you plan, test if executing short sprints instead of rolling out a titanic change program adds value. Carve out time in your plan to pause, re-measure, and recalibrate your plan itself.
  • Don’t wait until the end to conduct a post-mortem. Make learning an ‘action’ in your action plan by ensuring you will collect and analyze feedback and, more importantly, make time to integrate feedback.
  • Clearly lay out your options once you receive and analyze feedback (for example: pivot, persist, or pull the plug) to facilitate decision-making when that time comes.

 

Conclusion

Ensure that your roadmap for culture change includes actions that get people to truthfully say: “I understand why I need to change, I feel excited/happy/______ (<- your positive emotion goes here) about this change, I feel capable of changing what I am asked to change, and I’m committed to do so”. A clear roadmap of the culture journey will help to ensure success in implementing real and lasting change.
 
 

One of the biggest questions we are asked when working in culture transformation is how do we spread the word across the organization? How do we align all the cells of the organization towards this common goal and embrace change? Creating a common language throughout the organization accelerates culture change.
Shaping a leader’s behaviors is key to culture change. They are the inspirational figure of success within the organization. People look at them and copycat their behaviors, as they represent what is expected, the way we “should behave,” not only to be part of the organization, but to be successful.  Any culture transformation will start with helping leaders walk the talk. This is critical to committing to change and creating confidence that it is real and that we are taking it seriously.
“What you do speaks so loudly that I cannot hear what you say.” Ralph Waldo Emerson
“Talk” is important. What is communicated about the transformation journey, when aligned with a leader’s behavior, systems, and symbols across the organization, helps accelerate change and enables people to feel part of the journey. The way we tell the story of transformation to ourselves and others can have an inspirational power when connected to a purpose and values.
Language shapes reality. The way we talk, the distinction and words we choose, reflects what it is important to us, what we believe, and what we value and the possibilities we seek to create. However very often, we see organizations that invest a lot of effort to talk about their desired culture, but generate very little impact on people.
 

So, how can we successfully create a common language across the organization to accelerate culture change?

  • Connect culture (HOW) to your purpose (WHY) and vision (WHAT): Establish a clear link between your purpose, leadership behavior, culture, and organizational performance. This will give meaning and a clear intention to everything you do. It will help you build a clear picture of the type of culture you need to achieve your strategy and fulfill your purpose.

 

  • Define your desired culture values, attitudes, and behaviors and re-signify “words” when needed: Do not assume everybody holds a common understanding of the same words. For each distinctive behavior, include statements clarifying what IT IS and what IS NOT. Define which behaviors you wish to see/avoid in the organization to deliver sustainable results.The use of diagnostics tools for culture and leadership such as the ones we use at Axialet, the  OCI® (Organizational Culture Inventory®) and OEI® (Organizational Effectiveness Inventory®) in combination with the LSI® (Life Styles Inventory®) are integrated tools. We use them to measure organizational cultural norms and leaders’ behaviors. They help create a common language around the desired cultural norms and leadership styles. When using the OCI, OEI, and LSI, we usually hear organizations and leaders talking about their culture and leadership styles in terms of colors to refer to existing cultural norms/behaviors: passive(green) or aggressive (red) styles or constructive (blue).

 

  • Let’s talk about it: Every conversation and interaction is an opportunity for leaders to talk about the desired culture and role model the desired behaviors.

 

  • Everyone’s contribution matters: When creating a common language, include everybody. Educate people about the desired culture through engagement and communication events. Ask everyone to articulate what is special about the culture and how they contribute to it. Encourage participation and open dialogue.

 

  • Offer clear examples and stories about “our culture in action”: Share stories about leaders exemplifying the new culture. Acknowledge the misses and advances in the learning journey. Changing culture means changing deeply engrained beliefs and it requires a huge amount of grit, resilience, and compassion.

 

Conclusion

When changing culture, creating a common language is a necessary phase for everyone to feel invited, understand its implications, and jump on board. If it happens too soon, before some critical steps are put in place, it may have an opposite, effect generating distrust, disengagement, confusion, and ineffective behaviors from people across the organization.
It reinforces culture change when a holistic culture change approach is put in place: vision and values have cascaded,  leaders are walking the talk, mains systems (eg: performance & talent management) are aligned to new behaviors, and some symbolic changes have happened.
 
Watch the recording of this live webinar where two of Axialent’s culture transformation experts, Thierry de Beyssac and Anabel Dumlao, talked to Tim Kuppler, Director of Culture and Organization Development for Human Synergistics, about the importance of intentionally managing culture and leadership development in an integrated way.
 
This article is part of a series on integrating culture and leadership change in culture transformation work.
5 Reasons To Integrate OCI-OEI And LSI Diagnostic Tools In Culture Transformation
Culture Change: Culture and Leadership are Intimately Connected
Culture Change: For Culture to Change, Leaders Must Change
Culture Change: Measuring the gap makes the invisible, visible

Water is like the culture of an organization, it is always there, but often we don’t see it.When we want to explain culture in our conversations with clients, we often use the metaphor of the sea. We ask participants to put on their imaginary wetsuit for a moment and imagine exploring the waters of a crystal clear ocean. We project a beautiful image of the ocean and ask that they share what they are seeing. They tell us about spectacularly colorful fish, corals, a variety of algae, and rocks. But hardly anyone mentions the water. Clearly, the water is there as an important part of that ecosystem, but it is almost invisible. Water is like the culture of an organization, it is always there, but often we don’t see it.

Measuring the gap makes the invisible, visible

Perhaps you are familiar with the following quotes: “if you don’t see it, it doesn’t exist”. Or “if you can’t measure it, you can’t manage it”. Or in its positive version: “what’s measured gets managed”. That is our goal when we combine the OCI® (Organizational Culture Inventory®), OEI® (Organizational Effectiveness Inventory®), and LSI® (Life Styles Inventory®) tools in our culture transformation projects: we make the intangibles, tangible. We make something that can be as invisible as culture and individuals’ thinking and behavior styles “real” to be able to manage them properly.
I would like to share a recent case to illustrate how we work. A company founded 5 years ago has been working on defining its noble purpose, values, and the associated behaviors. Their ambitious strategy for the next cycle is making them question whether the company’s culture will be ready for such a feat. The culture journey that we propose includes the following elements:

  • Describe and quantify the desired culture. Although the company believes the work they have been doing to define their desired culture is sufficient, we encourage them to use hard data to articulate their ideal culture. This is critical to later identify and measure the gap with the current culture and avoid any type of subjectivity. In order to do this, we use the OCI Ideal tool and qualitative research (interviews and focus groups).
  • Measure and understand the current culture. We use the current OCI and OEI and qualitative research tools (interviews and focus groups) to understand the behavioral norms that employees believe are expected or implicitly required of them to succeed and ‘fit in’ at the organization.
  • Finally, we use the LSI with the leaders to understand their respective thinking and behavioral style.

The results of these three tools are shown on a visual graph that allows us to “see and measure” the thinking and behavioral styles that are driving the performance of leaders, as well as the organization itself.

Why effective measurement is so important

  • It makes the culture challenge “real”. Measurement brings to the surface and measures what was previously hidden. This reduces subjectivity and sets a benchmark measure.
  • It provides awareness about the gap. Not only does it show the gap between what leaders say they value (ideal culture) and the realities of the current cultural norms driving the behavior of individuals, but it also leaders better understand how the organizational culture challenge links to their individual development challenges.
  • It sets accountability. Organizations and leaders take responsibility for their behaviors and the data provides the drive for change.
  • It gives clarity about the path that needs to be followed and helps to prioritize where to focus the effort.
  • It tracks progress, re-assessing with the tools after developing the culture change plan.

Conclusion

Culture can be as invisible as water in the sea, yet its immensely important role is ever-present. Using a clear and defined approach to defining the ideal culture, the current culture, the leadership styles and behaviors, and identifying gaps gives us a clear path forward and makes the invisible, visible.

Watch this live webinar recording where two of Axialent’s culture transformation experts, Thierry de Beyssac and Anabel Dumlao, will be talking to Tim Kuppler, Director of Culture and Organization Development for Human Synergistics, about the importance of intentionally managing culture and leadership development in an integrated way.

This article is part of a series on integrating culture and leadership change in culture transformation work.
5 Reasons To Integrate OCI-OEI And LSI Diagnostic Tools In Culture Transformation
Culture Change: Culture and Leadership are Intimately Connected
Culture Change: For Culture to Change, Leaders Must Change

There is a deep link between leaders’ change and culture change. The impact of their behaviors is probably the most difficult aspect for leaders at the beginning of a culture transformation process.
Leaders usually understand intellectually the logical connection between their behaviors and the resulting organizational culture. In our work at Axialent, we have never seen leaders rejecting their responsibility in that. What seems harder for leaders to envision from the beginning are the implications for their own personal transformation.
 

Communication Is Not Enough

The initial tendency many leaders show, even when they are enthusiastic about the culture change process, is interpreting that leading it means just politically supporting the change. That they only need to be openly and explicitly in favor of the transformation. A well-intentioned leader may think their scope of responsibility includes declaring their support and demanding that others support it too. There is a general interpretation that this is simply a “communication process”. Enthusiastic leaders tend to easily accept the need to re-design structures, processes, and symbols. All of those are necessary conditions, but are not enough.
leaders' behavior paves the wayThe moment of truth comes when leaders become aware that they need to address a deep insight into their personal beliefs and values as a necessary step for culture transformation. The review and transformation of leaders’ individual mental models is the real “work” they’ll have to do to get ahead on the culture transformation highway. Any culture change process that omits this condition will be weak. Without it, there are more chances for resistance to the transformation.   People in the organization may perceive that “all that culture stuff” is just another example of “lip service”. The attempt at culture transformation then runs the risk of becoming another case in which leaders quickly learn to declare and describe the change they want, but appear incompetent to model it consistently through their behaviors.
 

Mental models

For the new behaviors to emerge and be perceived as sincere and legitimate, the mental models in which they are grounded need to change too. For this awareness and commitment process to be possible and agile, the visible connection between the organizational culture gap and the individual leadership style gap needs to be identified. The sooner this happens, the better. This connection must then become a reference to share mutual feedback, to assess progress, and evaluate impact.
One of the most important learnings I’ve had in the 12 years I’ve been managing culture transformation processes, is that culture is built upon the messages RECEIVED by people, not merely on the messages “DELIVERED”. This means that at the end of the day, what matters most is how the organization is reading the leader and how people are interpreting their behaviors. These interpretations could be quite different from how they were intended. A leader’s behavior is a central message carrier in building culture. At the same time, the subjective interpretation of this behavior shows us a critical path to culture change that unavoidably involves the leader’s personal transformation.
 

Leaders must change

So, to be effective culture builders and transformation agents, leaders need to have more than highly developed communication skills. Even if they perceive themselves as “good communicators,” that’s not enough. Transformational leaders need to step up and be aware of how much their behavior alone is sending messages. Messages that are much louder than those coming from their nice words.
 
Watch this live webinar recordning where two of Axialent’s culture transformation experts, Thierry de Beyssac and Anabel Dumlao, will be talking to Tim Kuppler, Director of Culture and Organization Development for Human Synergistics, about the importance of intentionally managing culture and leadership development in an integrated way.
 
This article is part of a series on integrating culture and leadership change in culture transformation work.
5 Reasons To Integrate OCI-OEI And LSI Diagnostic Tools In Culture Transformation
Culture Change: Culture and Leadership are Intimately Connected
Culture Change: Measuring the gap makes the invisible, visible

Team working together with their leader

As my colleague, Elena Ortega, wrote in her recent article, at Axialent we define culture as a set of values, norms, beliefs, and assumptions that govern how we work and what we do. So, how do we go about setting these values, norms, beliefs, and assumptions?

Some believe that to define a company’s culture, its leaders simply have to state what they want the culture to be, the values, and mission statement. Having a clear vision of your ideal culture is an important step toward building a strong one. However, behaviors and decisions from leaders will always be the strongest representation of what the company’s culture truly is. Culture and leadership are intimately connected.

Culture and leadership: You cannot truly understand one without the other

Organizational culture and leadership go hand in hand. To understand the culture of an organization, you must examine its leaders and leadership styles. Employees learn the culture of the organization through the messages they receive from its leaders. Whether the messages are consciously sent or not, we observe what is encouraged and discouraged and usually learn to act accordingly (or are forced out).
Culture also plays a role in shaping leaders and their styles. Those leaders that “fit in” to the current culture will thrive. On the other hand, a new leader who brings a different leadership style that is not aligned with the company’s current culture will come up against a lot of resistance from the organization and its people. Culture is a strong force and leaders also receive messages about what they should and shouldn’t do to fit in. If leaders want to change the culture, all leadership must be on board to do so.
These are some of the reasons why we use the  OCI® (Organizational Culture Inventory®) and OEI® (Organizational Effectiveness Inventory®) in combination with the LSI® (Life Styles Inventory®). The culture assessment tools (OCI-OEI) allow us to take a deep dive into the current culture. We invite a cross-section of employees to answer the culture surveys in order to truly understand their experience of the organization’s culture. At the same time, we measure the top leaders’ thinking and behavior styles with the LSI tool. Because of the links between these tools, the results provide a powerful way to connect the dots between the leaders’ styles and behaviors, and the current culture.

Leaders define the ideal culture of an organization

Leaders have the power to define the ideal culture based on what they value and believe leads to effectiveness. In turn, they shape the organization’s current culture through the messages they send about what is acceptable and unacceptable. In our culture transformation projects at Axialent, we like to take our diagnostic process a step further and define the ideal culture using another Human Synergistics tool: the OCI Ideal. Combining these tools allows us to get a complete look at the culture and the work that needs to be done to achieve the optimal culture for success. The OCI Ideal shows us where the leaders of the organization want the culture to be. The current OCI results show us where the organization is today. And the LSI tool allows us to examine the leaders’ role in the culture and create a game plan to make lasting change.

Conclusion

Culture and leadership are not two separate entities but are intimately connected. One influences the other and vice versa. This powerful information can be an important driving force in creating and maintaining the culture your organization needs to be successful.

Watch this live webinar recording where two of Axialent’s culture transformation experts, Thierry de Beyssac and Anabel Dumlao, talked to Tim Kuppler, Director of Culture and Organization Development for Human Synergistics, about the importance of intentionally managing culture and leadership development in an integrated way.

This article is part of a series on integrating culture and leadership change in culture transformation work.
5 Reasons To Integrate OCI-OEI And LSI Diagnostic Tools In Culture Transformation
Culture Change: For Culture to Change, Leaders Must Change
Culture Change: Measuring the gap makes the invisible, visible

Is your company responding effectively to today’s challenges? Are you prepared to face what the future brings? Regardless of your answer, the culture of your organization has a lot to say. Identifying and properly managing corporate culture has a positive impact on performance and can enhance a company’s ability to respond to the challenges of the environment.
But what is culture? We define culture as a set of values, norms, beliefs, and assumptions that govern how we work and what we do. However, this definition may seem a bit abstract. At Axialent, we have found that company culture can be made tangible and visible using the OCI® (Organizational Culture Inventory®) and OEI® (Organizational Effectiveness Inventory®) in combination with qualitative approaches (focus groups, interviews, etc.).
The OCI provides a diagnosis of an organization’s current culture in terms of the behavioral norms or “unwritten rules” driving the behavior of team members. An organization’s ideal culture can be identified using the OCI Ideal, which can then be used to identify the gaps between the ideal and current culture. This is a key diagnostic tool used to understand where to focus change efforts based on the outcomes or results (innovation, customer experience, etc.) targeted for improvement. The OEI goes far beyond engagement or satisfaction surveys. It measures aspects of the work climate (systems, structures, leadership skills, etc.) that reinforce or shape the current culture.
Additionally, our wide experience in culture transformation has shown us that in order to achieve successful and sustainable cultural change, it is critical to engage the leaders of an organization. We integrate the LSI diagnostic tool as well as the OCI-OEI. The LSI® (Life Styles Inventory®) is a 360º assessment to understand the personal thinking and behavioral style of a leader.

We recommend integrating the OCI-OEI and LSI diagnostics in culture transformation for these five reasons:

Image used to illustrate 5 reasons to integrate OCI-OEI and LSI diagnostic tools in culture transformation

1. Culture and leadership are intimately connected

You cannot truly understand one without the other. Leaders define the ideal culture of the organization based on what they value and believe leads to effectiveness. At the same time, they shape the current culture through the way they behave and the decisions they make.

2. For culture to change, leaders must change

Culture transformation starts with the leaders’ personal commitment to become role models of the culture they want to create. Leaders’ behavior has a significant impact on the organization, with employees emulating it to “fit in” with the company. Therefore, a leader’s transformation is an important lever for others to model their behavior to achieve the desired culture. Furthermore, engaging leaders from the beginning is a powerful symbol for the whole organization. It shows that “this is important and we are all accountable for change.”

3. Measuring the gap makes the invisible, visible

The combination of OCI-OEI and LSI provides a laser-sharp analysis of the norms, behaviors, and attitudes that make up the culture of the organization, both collectively (OCI-OEI) and individually (LSI). Debriefing the results creates awareness about the gap between the current and ideal culture of the organization and the leaders’ personal style. Leaders can therefore better understand how their personal change efforts link to and impact the organizational culture challenge.

4. A common language accelerates the change

Using integrated tools (such as the highly visual circumplex of the OCI and LSI) develops a common language to discuss, measure, and quantify culture and leaders’ individual styles across all levels. This is key to reinforcing a shared understanding of culture and individual behavior.

5. Providing a roadmap to develop plans and take actions

The results allow an organization and its leaders to identify levers for organizational and personal change so they can establish a detailed action plan for successful change management and measure their progress.

Integrate OCI-OEI and LSI diagnostic tools in culture transformation

In our experience, integrating the OCI-OEI and LSI tools is central to any culture transformation journey. They help leaders understand the ideal culture that supports their strategy. They show the extent to which the current culture is aligned with the vision of the company and the work climate that shapes the current culture.  It demonstrates the leadership styles of its top people and how aligned that is with the ideal culture. These integrated findings can then be used to plan and set the priorities for change, to achieve a greater impact, and increase effectiveness.

Watch this live webinar recording where two of Axialent’s culture transformation experts, Thierry de Beyssac and Anabel Dumlao, will be talking to Tim Kuppler, Director of Culture and Organization Development for Human Synergistics, about the importance of intentionally managing culture and leadership development in an integrated way.

In a previous article, I discussed the benefits of an advanced coaching leadership strategy. Now, let’s take it to the next level and examine how to achieve an advanced coaching leadership strategy.

Take the time to truly understand the gaps

Every company is in a different situation with different challenges. Even so, the first step for any company should be to consciously understand where they are, where they need to go, and how to fill the gap between the two. The best way to start this process is to run diagnostics, examining two dimensions:

  • First, stop the never-ending intellectual discussion about your company culture and measure it. I have worked with different culture assessment tools and the top one I recommend is the OCI® (Organizational Culture Inventory) from Human Synergistics. In my experience, companies can spend months and years talking about their need for cultural transformation without reaching any actionable conclusion and results. Using a culture assessment tool allows you and your team to clearly understand the desired culture, speak a common “culture language,” and measure concrete gaps to fill.
  • In parallel, individual and team leadership assessments and transformations are a key part of the process. We all know that the number one influencer of a company’s culture is its leaders’ behaviors and mental models. There are several excellent individual and team assessment tools, and the one I would recommend for transforming a leadership culture is the LSI® (Life Style Inventory), also from Human Synergistics. It allows you to make the connections between your desired culture and your individual and collective leadership transformation. It is then easy and straight forward to make the connection between the 12 leadership styles measured by the LSI® and the mindsets and behaviors corresponding to the “Command & Control” as well as the “Advanced Coaching” Leadership strategies.

Next Steps: How to Achieve an Advanced Coaching Leadership Strategy: leaders on the starting line

Then take action

After completing the diagnostic phase, along with the accompanying debrief sessions about your results, it’s time to take action. First, I recommend taking your team on a strategic off-site workshop to define your leadership culture transformation needs and goals. Use a “From-To” analysis, driven by a solid business case for change.
From this concrete exercise, the executive committee can formalize a kind of “Manifesto.” It will summarize the commitments in terms of mindsets and behaviors that the members agree to. They will need to adopt them individually and collectively, role modeling the desired culture and its impact on the company’s strategic success.
The next step is about empowering the executive committee to walk the talk. In my opinion, the best way of achieving this is through individual and team coaching. They will build a leadership culture and cascade it progressively to the next levels, the executive team leading by example. This has been proven to be the most concrete and effective way to transform a company’s culture quickly.
However, leaders’ (of all levels) mindsets and behaviors are not the only drivers of culture. In parallel, the company will need to align the company, business, and people systems/policies/processes and symbols to the desired culture.

Conclusion

Moving from a Command & Control to an Advanced Coaching Leadership style is part of a business strategy that focuses on the decentralization of decision, control, and accountability by engaging and empowering employees.
Doing this will lead to the transformation of your organizational culture.
In a VUCA world, you can’t afford to wait half a decade to achieve such a culture shift.