Thursday, July 29, 2010

The Way We Do Business Around Here

One of the best definitions of organizational culture that I have ever heard is also the simplest--the way we do business around here. The subject of culture is on my mind owing to its being the focus of the second meeting of the accomplished principals participating in the new NC Distinguished Leadership in Practice program at the Raleigh Sheraton last week. I’d like to share a bit of what happened there to underscore how we can all improve both workplace relationships and the bottom line by benchmarking how local industry leaders do business around here.

A primary task last week was to go on “field trip” to some of the NC Triangle’s most successful businesses where, with the assistance of on-site senior managers, principals explored the cultural practices that have contributed to the well-being of those industry leaders. All principals visited SAS, named this year by Fortune magazine as “The Best Place to Work in the World.” Due to time constraints, however, principals experienced first-hand only one other company—either Marbles Kid’s Museum, BB&T, GlaxoSmithKline, WakeMed, RBC, or Progress Energy.

Guided by Patricia Willoughby, a member of the NC State Board of Education and Executive Director of NC Business Committee for Education, DLP leaders had requested in advance that business representatives make a brief presentation about their company, focusing on organizational mission, vision, values, and core beliefs; policies and practices; and the history of the organization. Guides were also instructed to take principals on a tour of the workplace where they could ask any question of any employee.

So what happened? For starters, principals began to notice how written mission, vision, and values statements actually live in a successful company. While the letters in BB&T, for example, actually stand for “Branch Bank & Trust,” employees say the acronym means “Best Bank in Town.” I was personally on the visit and every time I asked that question, I got the same answer—with a big smile.

Principals also learned that how managers treat employees is recapitulated in how employees treat customers. At SAS, they heard this: “The employee is not only our first customer but our greatest asset. When they drive out of the parking lot at night, we want them to look forward to coming back the next day. Our bottom line depends on it.” Principals also learned that M&Ms, a gymnasium, a childcare center, a banking facility, and other amenities too numerous to mention are available at no cost—a hard act to follow!

Finally, principals began to notice how architecture, symbols, and stories inform and influence the culture. WakeMed employees, for example, talked about “The Wake Way,” sharing narratives about specific patients admitted to the emergency room who were treated and released not only within a time exceeding industry standards, but that left patients and family secure in the knowledge that they had just experienced high-quality care at the hands of compassionate medical professionals.

I feel really good about what was taught and what was learned. Sometimes I think that organizational culture is like air—as long as it’s healthy we hardly notice it. When it becomes fouled with ugly stories, attitudes, and relationships, however, the stench of it is all you can smell. I am betting that our principals have a new understanding of the importance of using their nose before it is needed rather than afterward. How’s the air where you lead, I wonder?

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