This book had some good examples, but most stories I've heard before. I did not find many new insights here. Here are my highlights:
McHale walks through the process of culture transformation, including how to analyze where your culture is broken, reframe roles within your company, break deeply embedded patterns, and consolidate gains. Louis Gerstner, the former chairman and CEO of IBM, said turning a bad culture into a good culture is like teaching a herd of elephants to dance.
Corporate culture is “the patterns or agreements that determine how the business operates” and “it’s how things work around here.” No published policy can create a corporate culture. No document outlining an organization’s bedrock values can guarantee that people will faithfully practice those values. Culture emerges not from a proclamation or code of ethics but from how people, especially the organization’s leaders, behave day in and day out. Culture differentiates one company from another. Think of it as an organization’s personality, the set of unique attributes that give it life, make it stand out from the crowd, and give it an edge over its rivals; or it can undermine an organization’s ability to create and sustain a competitive advantage. If you get the culture right, the results will follow.
To create true and lasting change, you must concentrate on the three key elements of workplace culture: mental maps, roles, and patterns. Mental maps, for example, are the perceptions, point-of-view, and images you hold in your head about your work. The maps include expectations, thoughts, feelings, assumptions, values, beliefs, and needs. The mental maps that people hold may not be visible to anyone else, but they strongly influence how people think and feel about their work and the roles they take up. Distinguish the dancers from the dance, the patterns from the behaviors. Culture is less about what happens (the behaviors) and more about how the workplace functions (the patterns)––these patterns hold the key to lasting change.
A study found that the best in class in every industry invested heavily in building strong personal relationships with customers. Relationship building was at the core of these cultures.
There are three major influences on how we are wired to behave: instincts, personality, and role. When you decide to change your organization’s culture, it is often advisable to avoid trying to tackle hardwired instincts or asking people to change their personalities. Instead, focus on what you can more easily and more quickly change: the roles that guide people's behavior.
When you as a leader embark on a change effort, you must put your change initiative at the top of your daily to-do list. That means devoting at least 20% of your time to leading and overseeing the change agenda, especially in the early days.
Mary Barra rose to the position of CEO at General Motors in January 2014. In a few short years, she orchestrated an incredible turnaround, bringing it back from the lowest point in her company’s history—its 2009 filing for corporate bankruptcy. Barra faced a tsunami of criticism in her early days at the helm when, two months after she took charge, GM recalled 2.5 million cars plagued with faulty ignition switches. Company engineers had known about the faulty ignition for at least a decade but had failed to act, a mistake that resulted in 45 deaths and many more injuries. To her credit, Barra did not duck responsibility for the calamity but publicly apologized and issued a blank check to compensate victims. Barra held the whole company accountable as well. No longer would she allow GM’s people to conform to the old pattern of “hiding bad news.” From this day forward, she expected that each and every employee would react to problems with complete openness and transparency.
Purpose is the fuel that drives every successful company’s performance engine. Everyone who works for a living wants to do something meaningful that might enhance the lives of others. It’s a basic human desire. You want to make money, but money is just the yardstick we use to measure whether or not we are touching people’s lives. Do meaningful work and the money will follow. Success depends on purpose and meaning, but it also depends on the right people doing the right work at the right time.
Great leaders are prepared to let talented people go if they do not meet the culture expectations.
Google cascades problem-solving to every level of its organization with the concept “10x thinking,” which encouraged employees to improve what Google offered its customers tenfold rather than the mere 10% that would satisfy most companies. Google also adhered to its famous “20%” rule, giving employees one day per week to work on intractable problems. Many of the company’s greatest innovations have come from this day of innovation, including Google News, Gmail, and AdSense.