The effect of COVID on company culture is an issue for all business leaders to consider seriously. I see the following areas for examination:

  • Have you lived your culture during COVID?
  • How are you maintaining your culture and connections in a WFH world?
  • How are you instilling your culture into new hires in a WFH environment?

Have you lived your culture during COVID?

COVID has forced many companies to pivot, cut costs, and adjust strategy. However, did the leader and management team live up to the company’s culture while executing these changes? As everyone’s cultural values are different behaviors to consider.

  • Did you check in with your employees regularly to see how they were coping?
  • Did you communicate effectively and often with your employees, so they knew what was happening?
  • When making changes, did you explain why and where the company’s new direction was aimed?
  • When terminating people, did you do it in person or by email?

The above is just a sample of behaviors that maybe didn’t live up to the company’s values. If you didn’t, then you need to work hard to fix it. As with any crisis like this, there are a few key steps:

  1. Get in front of it. It has happened, so it is hard to get in front of it. However, do an audit of behaviors and values during COVID. Identify the lapses and then plan accordingly. Don’t wait for the Zoom cooler talk to destroy any belief in the companies values.
  2. Admit It. Let your employees know you recognize that you didn’t live up to your values in the identified situations.
  3. Own It. Say it was the leadership’s fault. The buck stops with you, and that is why you get paid the big bucks! Deflecting the blame will only weaken a fragile state and create further disbelief in any values you may have.
  4. Correct it. Layout a plan to correct the behaviors from happening again and what steps the organization will take to reinforce its values in the future. This plan needs to have SMART metrics tied to it so that employees can see the progress being made and it not just more “CEO Bingo.”

Maintaining your culture and connections in a WFH world?

For many, the move to WFH has gone well overall. Productivity is generally up, and work is getting done. Many CEOs and business leaders are considering to what degree they can allow WFH going forward, permanently, one to five days a week, etc. However, one of the reasons that WFH has gone so well is that before COVID, we had strong relationships with our coworkers. We knew them, had worked with them, and most importantly, had built some degree of trust. But the longer we don’t connect with them, the weaker these bonds grow. While we are connecting with them over Zoom, Teams, Slack, or email, that is not the same as in person. If we lose the culture or connections, it weakens the ability of the company to respond to other threats, and people will leave for companies where they see better relationships.

The more time we are remote, the bonds between us grow weaker. Long distant relationships have a 58% chance of success, basically a coin toss. There are stronger connections in a romantic relationship than a work one, so the chances of a “long-distance” work relationship working are less than 50%. So leaders need to figure out how to maintain the connections and culture among employees as they go forward with a WFH policy. If employees are only going to be in the office rarely, the company needs to increase how it builds connections between employees and promotes its culture.

Regular gatherings of employees at events where they can strengthen their relationships will be essential. Getting them to share personal information to build stronger bonds will also be a crucial part of the effort. Doing this will differ among companies, but figure it out and ensure that the events have a clear purpose that everyone understands and get feedback on to know if you are achieving your goals.

Instilling your culture into new hires

New hires are posing the most difficult challenges for companies. Historically we know that 70+% of people regret making the job change on the first day. Now we are in a WFH environment where there are fewer personal connections. If we cannot build those connections and get them to buy into the culture, they will shortly leave, which is expensive for the organization and poses new problems when people are hard to find.

The leader and leadership team need to work with their HR departments to figure out how to effectively onboard new hires and simultaneously install the firm’s culture and develop personal connections among the teams. Achieving this won’t be easy, but the effort will pay huge dividends.

Why Does This Matter?

It doesn’t take much to destroy the employees’ belief in the company’s values and attribute them to just words on a wall. If this is where you are, the road back to get alignment around values will be hard. Without core values, nothing connects the employees to a common bond and purpose, so they are more likely to leave.

If your employees are not connected, they are less likely to have a good friend at work. Without a good friend in an environment where they spend a third of their time, there is less keeping them attached. With demand for employees increasing, and thus wages, they will be tempted to move if there is no downside to leaving the tribe.

Those organizations that live their culture and whose employees have strong bonds of trust will outperform those that don’t. The work to achieve this is not always easy but very beneficial.

 

Copyright (c) 2021, Marc Borrell

 

0 Comments

Submit a Comment

Your email address will not be published. Required fields are marked *

Recent Posts

You Have to be Famous For Something

You Have to be Famous For Something

In a meeting last week, one of my Vistage members discussed his expansion into a new business area and how to price his services. The way he described the new market was comprehensive. As usual in Vistage, this lead to a great discussion challenging his assumptions...

How do you price your products and services?

How do you price your products and services?

Many businesses do not take full advantage of the value they offer to price effectively. Many struggle to price at a point that makes them a great margin. Here is a way to look at it see where you can price to improve your business.

Do you know your Profit per X to drive dramatic growth?

Do you know your Profit per X to drive dramatic growth?

I recently facilitated a workshop with several CEOs where we worked on the dramatic business growth model components. One of the questions that I had asked them beforehand was, "What is Your Profit/X?" The results showed that there this concept is not clear to many....

Five Ways to Attract Prospective Employees

Five Ways to Attract Prospective Employees

There is a war for talent. How do you attract talent to your company and have them apply for jobs there? You have to show why they should consider you, who you want, what you offer, and how your current employees feel.

Are you killing your firm’s WFH productivity?

Are you killing your firm’s WFH productivity?

Productivity remained during WFH with COVID. However, further analysis found that hourly productivity fell and was compensated for by employees working more hours. What was the culprit – Meetings. Want to increase productivity, have fewer meetings.

EOS is just that, an Operating System

EOS is just that, an Operating System

For those of you who are not aware of EOS, it is the Entrepreneurial Operating System. It seeks to improve businesses by getting six components aligned to enhance business operations. The six are: the vision the people the issues traction - meetings and goals...

Profit ≠ Cash Flow

Profit ≠ Cash Flow

Knowing how much cash you generate is essential for planning for growth. Too many companies don’t know and when they grow they find they are continually running out of cash. Understand your cash flow generation and how to improve it through improvements in your Cash Conversion Cycle and using the Power of One.

What Are Your Critical and Counter Critical Numbers?

What Are Your Critical and Counter Critical Numbers?

The key to achieving long term goals is to define short term goals that lead you there. Focusing those short term goals around a key metric is essential. However, ensure that the metric will not lead other areas astray by having an appropriate counter critical metric act as a counter balance.