Is organizational culture change needed

Is organizational culture change needed

organizational culture change needed

Is organizational culture change needed

A study from Booz & Company: 96% think culture change is needed in their organization. Here are the “Cultures Role in Enabling Organizational Change”:

Organizational culture change – What should stay? What should go? What is missing?

  • 84 percent of respondents, believe that their organization’s culture is critical to business success
  • 60 percent said culture is more important than the company’s strategy or operating model
  • 96 percent said some form of culture change is needed within their organization
  • 51 percent believe their organization is in need of a major culture overhaul
  • 45 percent do not think their culture is being effectively managed
  • 48 percent do not think they have the capabilities required to deliver lasting change


organizational culture change needed

Corporate culture is clearly a powerful force

Corporate culture is clearly a powerful force. That powerful that Deutsche Bank had it on their annual press conference last year (New corporate values and cultural change):

The impact of the economic crisis has made a long-term change of corporate culture in the financial sector absolutely imperative and in addition to cultural change new corporate values are also needed. We understand the message: Responsibility has to be the focus of our actions.

A combination of performance-based incentives with a long-term focus and value-based behavior contributes to delivering outstanding business performance in the long term and while also ensuring integrity.

Deutsche Bank concentrating on three dimensions in this context: integrity in client dealing, operational discipline and collaboration across functions. The goal is to

  • Establish the values and beliefs which will form the basis for our culture in these areas
  • Define the behaviors which exemplify these beliefs
  • Define the metrics by which the bank can monitor the progress of cultural change.

But if culture is a contributing cause to the banking crisis, then it’s especially concerning, considering the survey where 96 percent of respondents felt culture change was needed in their organization and 51 percent felt a major culture overhaul was needed.

Take the steps to understand and effectively manage organizational culture

Sure – major system transition, personnel changes, reorganizations, new strategies, etc. – are all important, but leaders needs to priorities organizational culture change or face the tragic consequences in an fast moving world.

Before an organization can change its culture, it must first understand the current culture, or the way things are now.

  • What should stay? Write down the aspects of the organizational culture that should be preserved
  • What should go? Write down the aspects of the organizational culture that must die
  • What is missing? Write down aspects of the organizational culture that seem to be missing or weak.

Culture always hungry

Culture eats strategy for breakfast and ……. But wait … can’t the two align?


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About The Author

Torben Rick

Experienced senior executive, both at a strategic and operational level, with strong track record in developing, driving and managing business improvement, development and change management. International experience from management positions in Denmark, Germany, Switzerland and United Kingdom

Blog Comments

Now if you mean change organizational culture not the cultures of a organization, sure. If a current organizational culture is not providing the desired results change may help. From my experience doing any significant culture change takes drastic action and the results of that change does not become evident right away.
It all depends on the situation.

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