Thursday, September 02, 2010

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The Emerging Science of Creating Great Corporate Culture

Michigan’s emerging science and technology sectors are stoking the state’s economic development engine with opportunity. But no matter how amazing the discoveries and inventions are, one thing remains the same: People work together to create them, sustain them and take them to the next level.

Ironically, as companies experience initial success and move from start-up to their next stages of growth they face real threats to their corporate culture. A start-up can hold a company meeting around the conference room table, but as they grow it becomes more difficult (and expensive) to bring everyone together. At the same time, the camraderie and culture that developed naturally needs to become more systematic.

Start with values

Corporate culture begins and ends with corporate values. Companies that take the time to integrate positive values into how they work together and with their customers are on track to create a successful and sustainable corporate culture.

Written or not, every company has values that are continually being evaluated by their employees. If the company founder works 90 hours every week, he or she is clearly communicating that value and expectation to employees.

Values must be modeled by a company’s leadership because their behavior is being scrutinized by their employees every day.

A key step with values, that some leaders miss, is defining and communicating why any particular value is important for their company. If you list “integrity” as a core value at your company, no one is going to argue; it sounds pretty solid. But will people be able to translate what that means for their day-to-day work?

So, consider the next step.

Validate and document your ideal corporate culture

How do you document, systematize, teach and manage a corporate culture? The same way you create success in other parts of your business: planning, execution and evaluation.

To turn corporate values into a corporate culture they must be:

Compelling: This is really the toughest part. It takes time to validate compelling values. As you brainstorm values it is vital to continually ask “why?” Why is this value important to us? How do we specifically define it and how will we use it to run our business? What elements of our values may be represented by our hiring process, benefits, work environment and processes?

•   Repeatable: Ensuring that everyone is applying a particular value in the same way takes time in the planning stages, too. Use small group discussion to seek detailed input on what each value looks and feels like at your company (i.e., “I know someone is demonstrating innovation when they do this…”).

•   Teachable: How do you introduce your values and corporate culture to new employees? If you’re serious, it won’t be enough to give them a copy of the values in their orientation packet; it needs to be communicated regularly across a variety of platforms.

•   Measureable: What methods will your organization use to ensure you are living the values? Employee and customer surveys are one way. Including values as part of employee and manager reviews is another way.

•   Memorable: How will you make it stick? Use stories and examples of people demonstrating the values. Customer feedback about employees who went above and beyond the call of duty can be added to employee orientations.

Plan for the future

Like emerging sciences and technologies, corporate cultures will need to change, adapt and evolve. Your company’s corporate culture initiatives should be a key part of your strategic and tactical planning process.

Aditionally, you should continually be looking for ideas to enhance the culture and connect it to your values. Use the following areas as a springboard:

•   Workplace communication and collaboration

•   Innovation and creativity

•   Recognition and rewards

•   Training and development

•   Career and succession planning

•   Community service

The companies that are deveoping mid-Michigan’s emerging science and technology sectors are bright parts of our region’s compelling future. Their success—and the success of every company—begins and ends with employees and the corporate culture that drives strategy.

Bob Metzger is special projects manager at the Michigan Economic Development Corporation and program director for Michigan’s Next Great Companies.

 

 

 

 

 

 

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