Building high performance cultures

Joanna BarclaySenior ConsultantGroupe Intersol [email protected]

Introductions

Welcome

Name and role?

What attracted you most to attending this workshop?

Workshop objectives

Core Business Challenges

How to attract, keep and engage top people;

How to increase innovation, productivity and client satisfaction;

How to ensure ethics permeate the organization.

Current Reality

Pandemics

Climate Change

Global Economy

GlobalTerrorism

Poverty Reduction

Food Resilience

Natural Disasters

Technology

Species Extinction

WaterShortages

The significant problems we face cannot be solved at the same level of thinking that created them.

Evolution of Business Paradigms

Manpower

Agricultural Age

19001800

Information Age Intellectual Capital

Industrial Age Quality of Product

Consciousness Age Cultural Capital

2000

Age of Consciousness

Terms comfortably used in mainstream business culture: affection, love, joy, authenticity, empathy, compassion, soulfulness, loyalty, trust;

Earn a share of employees heart and they will give a quantum leap in productivity and quality;

Aging population altering the course of humankind into a kinder, gentler society.

“Share of Heart”

“People want to know you care, Before they care how much you know”.

Tell us about some companies you love.

Not just like, but love.

What Does High Performance Look Like?

Values- Driven

Values are deeply held principles that people hold or adhere to when making decisions.

Individuals express their values through their behaviors.

Organizations express their values through their culture.

Culture Defined

The way things are done around here

The culture of an organization or any group of individuals is a reflection of their values, beliefs and behaviours.

Values Driven Organizations

INF

LU

EN

CE

Values drive culture.

Culture drives employee engagement.

Employee engagement drives customer/citizen satisfaction.

Customer satisfaction drives shareholder & stakeholder value.

Exercise: Values, Beliefs and Behaviors

1.Choose 2 values that are important to you personally and enter them in the left hand column of the worksheet.EXAMPLE: Humor

2.Write down your beliefs that support this value in the middle column.EXAMPLE: I believe that people who enjoy their work are more productive. I believe laughter reduces stress and creates a good work environment. I think play promotes innovation.

3.Write down the behaviors you exhibit that support this value.EXAMPLE: You’ll find me quick to smile, laugh, and looking for the humor in things.

YouTube video

“Bringing your values to Work”

http://www.youtube.com/watch?v=cnwKEkWYug0

Richard Barrett

14

””Winds”Winds”Reason, LogicReason, Logic

””Winds”Winds”Reason, LogicReason, Logic

””Currents”Currents”Spirit, Spirit,

EmotionsEmotions

””Currents”Currents”Spirit, Spirit,

EmotionsEmotions

Plans, Vision,Strategy, Goals,

Structure, Systems

Habits,Attitudes, Traditions,Prejudices, Patterns,

Feelings,Fear,

Values,Beliefs

“Culture eats strategy for breakfast”

Culture and Brand

Employee Perspective Customer Perspective

CultureValues, Beliefs, Behaviors

Who you are on the inside, looks a lot like who you are on the outside

Do you consciously create your culture, or do you have a default,

unconscious culture?

Culture Brand

New theories of organizational success

Measurement matters. If you can measure it,you can manage it.

Measurement matters. If you can measure it,you can manage it.

Cultural Capital

So understanding the current culture matters.

If you can name it, measure it, and understand it, you can manage it and align it.

Cultural Transformation Tools

Cultural Transformation Tools® (CTT) Powerful metrics which enable leaders to actively measure and manage cultures.

They make the intangible, tangible. They link performance to culture.

RichardRichard BarrettBarrett

Derivation of Consciousness Model

Know and Understand

Physiological

Safety

Love & Belonging

Self-esteem

Self-Actualization

AbrahamAbraham MaslowMaslow Know and

Understand

NeedsNeeds ConsciousnessConsciousness

Alignment of employee and organizational consciousness

Difficult to hire and keep people who are hereDifficult to hire and keep people who are here

IndividualConsciousness

When organizations are here…When organizations are here…Corporate

Consciousness

Cultural Transformation Model

Know and Understand

Physiological

Safety

Love & Belonging

Self-esteem

Key Attributes:

Makes it possible to translate qualitative data into quantitative dataMakes it possible to translate qualitative data into quantitative data

Provides a base-line measurement instrument for monitoring changes in the organizational cultureProvides a base-line measurement instrument for monitoring changes in the organizational culture

Provides a method for measuring cultural capitalProvides a method for measuring cultural capital

Positive Focus / Excessive Focus

Financial StabilityShareholder value, organizational growth, employee health, safety. Control, corruption, greed

Employee RecognitionLoyalty, open communication, customer satisfaction, friendship. Manipulation, blame

High PerformanceSystems, processes, quality, best practices, pride in performance. Bureaucracy, complacency

Continuous Renewal and LearningAccountability, adaptability, empowerment, teamwork, goals orientation, personal growth

Building Corporate CommunityShared values, vision, commitment, integrity, trust, passion, creativity, openness, transparency

Strategic Alliances and PartnershipsEnvironmental awareness, community involvement, employee fulfillment, coaching/mentoring

Service To Humanity and the PlanetSocial responsibility, future generations, long-term perspective, ethics, compassion, humility

Seven Levels of Organizational Development

Service

Making a Difference

Internal Cohesion

Transformation

Self-Esteem

Relationship

Survival

Barrett Model

Cultural Transformation Tools

Measuring the existing culture

• Which of the following values and behaviours most represent who you are?

• Which of the following values and behaviours most represent who you are?

• Which of the following values and behaviours most represent how your organization operates?

• Which of the following values and behaviours most represent how your organization operates?

• Which of the following values and behaviours most represent how you would like your organization to operate?

• Which of the following values and behaviours most represent how you would like your organization to operate?

Three questions:

Placement of top ten Current Culture values

Organization ABC - 100 Employees

Top Ten Values

1. tradition (L) (59)

2. diversity (54)

3. control (L) (53)

4. goals orientation (46)

5. knowledge (43)

6. creativity (42)

7. productivity (37)

8. image (L) (36)

9. profit (36)

10. open communication (31)

ServiceService

External cohesionExternal cohesion

Internal cohesionInternal cohesion

TransformationTransformation

Self-esteemSelf-esteem

RelationshipRelationship

SurvivalSurvival

4422 55

77

99

66

88

33

1110

Cultural Entropy

Cultural entropy is the amount of energy in an organization that is consumed in unproductive work.

It is a measure of the friction and pent-up frustration that exists within an organization.

Cultural Entropy

Energy available for productive work

Non-productive or destructive energy

What does 41% entropy look like?

Best Employers have Lowest Entropy

Cultural Entropy

Employee Engagement

Tier 1 (Best) 5% 89%

Tier 2 8% 76%

Tier 3 15% 55%

Tier 4 (Worst) 21% 40%

This research of 163 organizations was carried out by Hewitt Associates and the Barrett Values Centre in 2008

Local and Central Government Example Group(2990)

Level 7

Level 6

Level 5

Level 4

Level 3

Level 2

Level 1

Personal Values Current Culture Values Desired Culture Values

IRS (P)= 4-4-0 | IRS (L)= 1-0-0 IROS (P)= 0-0-3-1 | IROS (L)= 0-3-3-0 IROS (P)= 1-4-5-0 | IROS (L)= 0-0-0-0

1. honesty 1484 5(I)

2. reliability 1160 3(R)

3. family 1062 2(R)

4. commitment 1029 5(I)

5. humor/fun 1006 5(I)

6. fairness 978 5(R)

7. adaptability 919 4(I)

8. caring 914 2(R)

9. job security (L) 817 1(I)

10. balance (work/ non-work)

767 4(O)

Black Underline = PV & CC Orange = CC & DC P = Positive L = Potentially Limiting I = Individual O = Organizational

Orange = PV, CC & DC Blue = PV & DC (white circle) R = Relationship S = Societal

1. bureaucracy (L) 1690 3(O)

2. target focus 1617 3(O)

3. hierarchy (L) 1063 3(O)

4. client focus 1036 2(O)

5. blame (L) 1013 2(R)

6. control (L) 1003 1(R)

7. short-term focus (L) 991 1(O)

8. productivity 924 3(O)

9. making a difference 798 6(S)

10. manipulation (L) 794 2(R)


2. accountability 1584 4(R)

3. delivery of promises 1261 3(O)

4. continuous improvement

1084 4(O)

5. staff recognition 1023 2(R)

6. information sharing 971 4(O)

7. open and honest 950 5(R)

8. professionalism 859 3(O)



Values Plot Copyright Barrett Values Centre

TTTTTTTTTTTTTTTT

TTTTTTTTTT


Level 7

Level 6

Level 5

Level 4

Level 3

Level 2

Level 1





3. family 1062 2(R)





8. caring 914 2(R)



767 4(O)







5. blame (L) 1013 2(R)

6. control (L) 1003 1(R)









1084 4(O)








TTTTTTTTTTTTTTTT

Matches

CC - DC 3CC - DC 5CC - DC 7


Level 7

Level 6

Level 5

Level 4

Level 3

Level 2

Level 1





3. family 1062 2(R)





8. caring 914 2(R)



767 4(O)







5. blame (L) 1013 2(R)

6. control (L) 1003 1(R)









1084 4(O)








TTTTTTTTTTTTTTTT

Matches

CC - DC 3CC - DC 5CC - DC 7


Level 7

Level 6

Level 5

Level 4

Level 3

Level 2

Level 1





3. family 1062 2(R)





8. caring 914 2(R)



767 4(O)







5. blame (L) 1013 2(R)

6. control (L) 1003 1(R)









1084 4(O)








Matches

PV – CC 0CC – DC 1PV – DC 3

4%

1%

1%

4%

15%

18%

30%

6%

4%

18%

0% 20% 40%

1

2

3

4

5

6

7

10%

12%

22%

4%

5%

15%

6%

5%

3%

19%

0% 20% 40%

1

2

3

4

5

6

7

2%

0%

1%

2%

14%

20%

20%

9%

4%

26%

0% 20% 40%

1

2

3

4

5

6

7

Local and Central Government Example : Group(2990)

C

T

S

CTS = 40-18-42Entropy = 6%

CTS = 14-19-67Entropy = 44%

CTS = 33-26-41Entropy = 3%

Personal Values

Current Culture Values

Desired Culture Values

What is the cost of limiting values in your organization?

Lost opportunity or Lost productivityin % terms in % terms

Anxiety & UncertaintyBureaucracy Blame

Control

1. integrity 7 5(I)

2. respect 7 2(R)

3. balance (home/work) 6 4(I)

4. honesty 6 5(I)

5. leadership 6 6(I)

6. achievement 5 3(I)

7. ethics 5 7(I)


9. positive attitude 5 5(I)

10. excellence 4 3(I)

11. family 4 2(R)

12. humour/ fun 4 5(I)

Votes Level

1. achievement 7 3(I)

2. cooperation 6 5(R)


4. teamwork 6 4(R)

5. goals orientation 5 4(O)

6. respect 5 2(R)



9. customer satisfaction 4 2(O)

10. open communication 4 2(R)


Votes Level


2. ethics 5 7(O)

3. excellence 5 3(I)

4. leadership 5 6(O)

5. clarity 4 5(O)


7. continuous learning 4 4(O)

8. inclusiveness 4 4(R)


10. mission focus 4 4(O)

11. teamwork 4 4(R)

12. trust 4 5(R)

Votes Level

Client Service Committee (13)

Personal Values Level Current Culture Values

Level Desired Culture Values

Level

Ethics 7 Cooperation 5 Ethics 7Making a Difference 6 Commitment 5 Leadership 6Leadership 6 Information Sharing 4 Clarity 5Integrity 5 Teamwork 4 Commitment 5Honesty 5 Goal Orientation 4 Trust 5Positive Attitude 5 Adaptability 4 Accountability 4Humour /Fun 5 Achievement 3 Continuous Learning 4Balance (Home/Work) 4 Professionalism 3 Inclusiveness 4Achievement 3 Respect 2 Information Sharing 4Excellence 3 Customer Satisfaction 2 Mission Focus 4Family 2 Open Communication 2 Teamwork 4Respect 2 Excellence 3

Selecting Values and Behaviour

Voting process – 2 rounds to identify reasons for selection Create 3 measureable behaviours for each valueDevelop an action plan to support implementation of the behaviours

Entropy 13%Entropy 25% Entropy 19% Entropy 17% Entropy 14%

Nedbank: Current Culture Evolution

1. cost-consciousness2. profit 3. accountability 4. community involvement 5. client-driven 6. process-driven7. bureaucracy (L)8. results orientation 9. client satisfaction10. silo mentality (L)

20052005

1. cost-consciousness2. accountability 3. client-driven 4. client satisfaction 5. results orientation 6. performance driven7. profit8. bureaucracy (L)9. teamwork 10. community involvement

20062006

1. client-driven 2. accountability 3. client satisfaction 4. cost-consciousness5. community involvement6. performance driven 7. profit8. achievement9. being the best 10. results orientation

20072007 20082008

1. accountability2. client-driven 3. client satisfaction 4. community involvement 5. achievement6. cost-consciousness7. teamwork8. performance driven9. being the best 10. delivery

20092009

1. accountability2. client-driven 3. client satisfaction 4. cost-consciousness5. community involvement 6. achievement7. teamwork 8. employee recognition 9. being the best10. performance driven

5 matches4 matches4 matches3 matches 6 matches

Organizational transformation begins with

the personal transformation of the leaders.

Organisations don’t transform. People do.

New theories of organizational success

The Leader and the Values

Leadership style accounts for 70% of emotional tone which determines 30% of business performance

FoE* Leadership knows that extraordinary confidence in employees causes them to perform extraordinarily – t rise above, surpass, exceed and excel.

Employees so regarded rise to levels of performance well above those of their peers in companies where employees still sweat under the heels of command and control.

FoE* - Firms of Endearment, How World Class Companies Profit from Passion and Purpose, 2007

Human systems – Four quadrants

IndividualIndividual

CollectiveCollective

InternalInternal ExternalExternal

Individual values and beliefs

Individual behaviors

Culture

Group values and beliefs

Social Structures

Group behaviors

Values Alignment

Mission Alignment

Structural Alignment

Personal Alignment

Group Cohesion – Capacity for Collective ActionGroup Cohesion – Capacity for Collective Action

When Leaders Transform, the Organization Transforms

11

33

22

44

Wilber’s Four Quadrants

When leaders change their beliefs and values (1), their behaviours change (2).

This influences the culture of the group (3), which in turn changes the behaviours of the group (4).

Stages in the Development of Leadership Consciousness

Wisdom/VisionarySERVICE TO HUMANITY AND THE PLANETSocial responsibility, future generations, long-term perspective, ethics, compassion, humility

Partner/MentorCOLLABORATION WITH PARTNERSStrategic alliances, community involvement, environmental stewardship, coaching, mentoring

Integrator/InspirerINTERNAL COHESIONShared values, vision, commitment, integrity, trust, passion, creativity, openness, transparency

Facilitator/InfluencerCONTINUOUS RENWAL AND LEARNINGAccountability, adaptability, empowerment, teamwork, innovation, delegation, personal growth

Manager/OrganizerHIGH PERFORMANCESystems, processes, company pride, quality, best practices,

CommunicatorRELATIONSHIPSEmployee recognition, employee and customer loyalty,conflict resolution

Financial ManagerFINANCIAL STABILITYProfit, compliance, shareholder value, employee health and safety

Positive Focus / Excessive Focus

Control, Greed

Manipulation, Blame

Power, Status,

Leadership Values Assessment

360 ° Assessment

The Leadership Values Assessment

supports CEO's and senior executives in

broadening and strengthening their

leadership skills.

The assessment highlights the issues that

an individual needs to address in order

achieve their potential and/or grow as a

leader.

Level 7

Level 6

Level 5

Level 4

Level 3

Level 2

Level 1

Rebecca's Values Assessors' Top 11 Values

Matches 1

Rebecca Doe

balance (home/work) Level 4

clarity Level 5

continuous learning Level 4

employee fulfillment Level 6

excellence Level 3

fairness Level 5

initiative Level 4

personal development Level 4

respect Level 2

teamwork Level 4

Orange = Values match P = Positive I = IndividualL = Potentially Limiting R = Relationship

(white circle) O = Organizational

Leadership Values Plot Copyright 2008 Barrett Values Centre August 2008

ambitious Level 3

commitment Level 5

goals orientation Level 4

Image (L) Level 3

positive attitude Level 5

reliable Level 3

efficiency Level 3

results orientation Level 3

teamwork Level 4

achievement Level 3

internally competitive (L) Level 2

PL = 10-0 | IRO (P) =5-3-2 | IRO (L) = 0-0-0 PL = 9-2 | IRO (P) = 5-2-2 | IRO (L) = 1-1-0

Whole System Change – Preparation Phase

Whole System Change – Implementation Phase

Benefits: A Clear Roadmap

A collective view of your values Shifts the dialogue from us/them to we

A shared vision for moving forward

Identifies strengths of your organization Allows you to build on and foster the positives

A quantitative health index Names what is causing waste and energy drain Antidote is provided

Identifies alignment/misalignment Points to what you need to do to create the desired

culture

The ABC’s of High Performing Cultures

Awareness

Sample of Government/Utility Clients

Mackay Local Government AustraliaState Government Victoria AustraliaState Government of Western AustraliaErgon Energy AustraliaDelfzijl City Council NetherlandsGroningen Council NetherlandsUithoorn Council NetherlandsVlagtwedde Commune SwedenHuddinge Commune SwedenKungalv Commune SwedenLantmateriet Commune SwedenVatenfall SwedenSpe Luminuous BelgiumIndaver BelgiumCeznet Czech Republic

Public Works and Government Services Canada British Colombia Hydro CanadaOntario Power Generation CanadaNova Scotia Local Government CanadaBrownsville Public Utilities USAGrand Rapids Public Utilities USACity of Austin Power USANorth Western Energy USAKnox City Council USADurham County Council UK South Gloucestershire County Council UKBath City Council UK Oldham City Council UKNational Grid Facilities UK

Insights and Reactions

Question 1:

What key insights or messages resonated for you in this workshop?

Question 2:

What are your reactions to the Cultural Values Assessment (CVA)?

Question 3:

How can you see the CVA being implemented?

Question 4:

What are the next steps?

Managers are the creators and carriers of corporate culture. They translate the principles and goals of renewal into the realities of daily work.

Bibliography

Building a Values-Driven Organization. A Whole System Approach to Cultural Transformation. (2006) Richard Barrett

Firms of Endearment. How World-Class Companies PROFIT from Passion and Purpose. (2007) Raj Sisoda, Jag Sheth David B. Wolfe

Websites for information on the Barrett’s Cultural Transformation Tools: www.valuescentre.comwww.valuesjournal.com

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