The EOS Model® provides a useful foundation for businesses, but it falls short in addressing key aspects of creating an growth. By incorporating additional elements from the Gravitas 7 Attributes of Agile Growth® model, businesses can create a more comprehensive system that promotes growth while maintaining smooth operations. Focusing on Leadership, Strategy, Execution, Customer, Profit, Systems, and Talent, the 7 Attributes of Agile Growth® offer a more encompassing approach to achieving success.
Rethinking ‘Family’ Culture in Business: Fostering Performance and Success
How to Create a High-Performance Culture While Maintaining Family Values
Introduction: The Importance of Company Culture
I strongly believe that company culture is essential to a business’s success. It shapes your identity, attracts employees, and influences behavior. Jim Collins famously stated that the most important thing is “Who is on the Bus.” However, many clients and business owners I talk to claim they have a “Family” culture within their organizations. This response often raises a red flag for me, as it may indicate potential organizational performance issues.
Understanding the ‘Family’ Culture
What does a “Family” culture really mean? At first glance, it may seem like the organization provides a nurturing and supportive environment for its employees. However, the reality is often different, with conflicts arising and employees falling into roles similar to those in a dysfunctional family.
Typical ‘Family’ Roles in Organizations
Some common dysfunctional roles found in organizations with a “Family” culture include the matriarch/patriarch, favored child, second-class child, drunk uncle, bitter sibling, and outcast. These roles can hinder the performance and success of the organization.
Why ‘Family’ Culture Can Be Problematic
Employees often leave organizations due to losing respect for their supervisors. This loss of respect is commonly attributed to the supervisors’ tolerance of “B” and “C” performers. High-performing employees want to be surrounded by other top performers, but in a “Family” culture, poor performance is tolerated, driving away the most talented workers.
Creating a Performance-Oriented Culture
To foster a culture that values performance, organizations should avoid claiming a “Family” culture. Instead, they should focus on specific family values they want to emphasize, such as nurturing, development, or training.
Success Factors for Family Businesses
Successful family businesses often have clear rules for family members who wish to join the company. These rules may include working elsewhere before joining, applying for open positions, possessing the necessary qualifications, being interviewed and selected by non-family members, reporting to non-family members, and understanding that they can be fired for non-performance.
Conclusion: Emphasizing Performance and Values
If you want to create a high-performance culture in your organization, avoid relying on the concept of a “Family” culture. Instead, focus on the specific aspects of family values you want to emphasize and incorporate them into your company culture.
Copyright (c) 2021, Marc A Borrelli
Recent Posts
EOS is just that, an Operating System
What has COVID done to Company Culture?
COVID has affected everyone. However, companies need to examine if they have lived their core values during COVID, how they are reinforcing them in a WFH environment, and especially with the onboarding of new hires.
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?
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.
Rethinking ‘Family’ Culture in Business: Fostering Performance and Success
Explore the importance of company culture and the potential pitfalls of adopting a “Family” culture in organizations. Learn how to foster a high-performance culture while maintaining key family values and discover success factors for family businesses. Rethink the “Family” culture concept and create a thriving environment for your organization.
Do You Truly Know Your Core Customer?
Knowing the profit of your core customers is key to building a growth model. Many companies have identified core customers that are generating a sub-optimal profit and so they cannot realize the profits they seek. Identifying the correct core customer allows you to generate profits and often operate in “Blue Ocean.”
The Spectacular Rise and Fall of the European Super League
The European Super League (ESL) collapsed within 48 hours of its announcement due to hubris, a lack of value creation, and fan backlash. The founders’ arrogance led them to disregard European football’s deep-rooted traditions and culture. At the same time, the focus on wealthy club owners instead of merit undermined the essence of the competition. The fierce backlash from fans, who felt betrayed by their clubs, demonstrated the importance of prioritizing supporters’ interests in football.
When Should I Sell My Business?
Many business owners want to sell at the top of the market. However, market timing is tough. Is this the best strategy? Probably not.
Does Your Financial Model Drive Growth?
Working with many companies looking to grow, I am always surprised how many have not built a financial model that drives growth. I have mentioned before a financial model that drives growth? Here I am basing on Jim Collin's Profit/X, which he laid out in Good to...
COVID = Caught Inside
As we emerge from COVID, the current employment environment makes me think of a surfing concept: “Being Caught Inside When a Big Set Comes Through.” Basically, the phrase refers to when you paddle like crazy to escape the crash of one wave, only to find that the next wave in the set is even bigger—and you’re exhausted. 2020 was the first wave, leaving us tired and low. But looking forward, there are major challenges looming on the horizon as business picks up in 2021. You are already asking a lot of your employees, who are working flat out and dealing with stress until you are able to hire more. But everyone is looking for employees right now, and hiring and retention for your organization is growing more difficult.