3. Overview
• About Work Effects
• Organizational Health
• Purposeful Culture
• Creating a Healthy and Purposeful Culture
• Phase I: Define Needed Culture
• Phase II: Discover Your Culture
• Phase III: Develop the Actions
• Phase IV: Deploy the Needed Culture
• Partner with Work Effects
5. The Company
• Over 20 years of experience in leadership and
organizational development
• WE help organizations to leverage reciprocal trust
• WE inspire leaders to establish purposeful culture
• WE align organizational culture with business
strategy to drive performance and results
• WE hold expertise in creating the right:
o Metrics: “You can’t change what you can’t
measure!”
o Methods: the change process and
technology
o Movement: facilitation, training, and
coaching
Transform leader and culture beliefs to align with business
strategy to create competitive advantage.
Our Mission
7. Work Effects Approach Our Commitments
What You Get
• Build a collaborative approach and partnership
to create accountability
• Pay attention to details
• Provide a positive experience
• Meet timelines and budgets
• Be responsive, creative, and innovative
• Purposeful culture
• Competitive advantage
• Ease of making things
happen
• Employees take greater
ownership of their work
• Increased workforce
productivity
• Strong belief systems
• Highly committed
workforce
9. Organizational Health
• Seeks to improve performance through
employee well-being
• Ability to function effectively, cope adequately,
change appropriately and grow from within
• Typically expressed through organization values
and employee engagement
• Is typically viewed from bad to good
10. Trends and Benefits of Engagement
Source: Aon Hewitt 2016 Trends in
Global Employee Engagement Report
Source: McKinsey Quarterly
Organizational health: The ultimate
competitive advantage
12. Why Health?
• Greater engagement enhances performance
and productivity
• Provides higher employee retention and
ability to attract quality talent
• Values driven organizations build trust,
reduce conflict, and create healthy behaviors
• Healthy organizations increase customer
satisfaction, adaptability, quality, and financial
performance.
Healthy Organizations Have…
13. Measuring Health
• Every organization should become as healthy as possible
• Engagement and values are not unique nor aligned to your strategic goals
• You need more to create distinction. You need to define “how work gets
done”
14. Healthy Organization Summary
• Healthy is bad to good
• Being healthy has proven ROI
• Being healthy is necessary
• Every organization should become as healthy as possible
• Being healthy is good...but not sufficient
• Engagement and values are not unique nor aligned to your
strategic goals
• You need to create lasting distinction
• You need to define “how work gets done” specific to your
organization
16. Purposeful Culture
• Purposeful culture is unique to an organization…no two alike
• Defines “how work gets done”
• Is aligned to the organization’s strategy
• Measured on a scale of good ↔ good
17. Strategy Leadership Trust Culture Capability Results
Strategy to Results
Strategy must go through culture to produce results
Culture eats strategy for lunch –Peter Drucker
18. When Culture Becomes a Crisis
18
Organizational
Pain
Change in
Leadership
Merger or
Acquisition
Sudden or
Unexpected
Downturn
Talent
Armageddon
(Brain Drain)
Exponential
Growth
Shift in Strategy
19. ROI of Purposeful Culture
Watson Wyatt High Trust Organizations Study,
2012
James Heskett The Culture Cycle, 2012
• Culturally aligned organizations with
high-trust return 286% more value to
stakeholders than low-trust
organizations1
• Purposeful culture can account for as
much as 50% of the competitive
difference between organizations
over a 10 year period2
Outcomes Healthy Purposeful
Revenue 166% 692%
Stock Price 74% 901%
Net Income 1% 756%
Job Growth 36% 282%
21. Health vs. Culture
Organizational Health
• Leadership
• Trusted Organization
• Trusted Individual
• Individual Capacity
• Team Capacity
• Organizational Climate
• Organizational Capacity
Purposeful Culture
• Customers
• Market Approach
• Loyalty
• Focus
• Risk Tolerance
• Operational Approach
• Decision Making – Information
• Decision Making – Location
• Atmosphere
• Results
22. • Culture has often been vague, hidden, and embedded in the organization
• Culture may be the molasses that hinders strategy execution
• When culture is purposefully defined it creates structure:
It can be measured
It can managed
It can be more easily changed
• Purposefully aligned culture consists of:
Defining the culture you need
Discovering the culture you have
Developing the actions to close the gaps
Deploying the culture champions to sustain the transformation
• Make conscious choices about “how work gets done” on a continuum
Purposeful Culture Defined
26. Why Purposeful Culture
• Enables you to measure and manage it
• Increases workforce productivity
• Makes getting things done easier
• When aligned, makes strategy execution possible
• Creates a lasting competitive advantage
27. Creating a Healthy and
Purposeful Culture
The Four Phases
Don’t try to eat the elephant in one bite – Take the journey one phase at a time
30. Phase I: Define
Audience: Teams with common
goals (workgroups to leadership
teams)
Duration: 75 minutes to half day
Outcomes:
~Reinforces goals
~Creates interdependent teams
~ Establishes contextual definitions
~Identifies the critical beliefs
required to execute strategy
~ Provides new communication
approaches
Step 1: Clarify strategic goals
Step 2: Discuss the culture you have
Step 3: Define the culture you need
Step 4: Prioritize the critical few
Step 5: Individually rehearse “how
work needs to gets done”
Strategy Culture Alignment
Planning Session
32. Case Study:
National Food Service
Company
New strategy focused on
three areas:
• Fresh go-to-market strategy
focused on the value
proposition to the
customers
• A structured sales process
that will be utilized across
all regions with a focus on
rebid opportunities
• Learning and development
initiatives across all levels of
the organization to ensure
learning of processes and
organizational values
Results
Focus
Operational Approach
Customers
How What
Current xx xxxxx xxxxx x
Future X
Transactional Intimate
Current x xxxx xxxxxxx x
Future X
External Internal
Current xx xxxxxxxx xxx
Future X
Low
Variation
High
Variation
Current x
xxxxxxxxx
xx
x
Future X
Priority
1
Priority
2
Priority
4
Priority
3
33. Case Study:
National Food Service
Company
New strategy focused on
three areas:
• Fresh go-to-market strategy
focused on the value
proposition to the
customers
• A structured sales process
that will be utilized across
all regions with a focus on
rebid opportunities
• Learning and development
initiatives across all levels of
the organization to ensure
learning of processes and
organizational values
Priority
1
Priority
2
Priority
4
Priority
3
Low
Variation
High
Variation
Current XXX X XXXXX
Future X
Fact Intuition
Current XXXX XXXX
Future X
Disciplined Social
Current XX XX XXXX
Future X
Risk Tolerance
Operational Approach
Decision Making - Information
Atmosphere
Risk
Mitigation
Embrace
Risk
Current XXXXX XXX
Future X
35. Phase II- Discover
Audience: All employees
Duration: 8 weeks
Outcomes:
~Identify critical populations
~Pinpoint Gaps
~Roadmap for transformation
Step 1: Conduct Organizational Survey
• Establish benchmarks for organization health
and culture metrics
Step 2: Analysis of Information & Organization
• Determine the 20% of the organization that
produces 80% of the value and focus there
• Qualitative and Quantitative gap analysis by
experts to tell your story
Step 3: Executive Debrief
• Provide executives with summary results,
themes and trends, and roadmap for
transformation
Health + Culture Gap Analysis
36. Health + Culture Survey Content
Company Feedback
4 Standard questions Custom questions can be added
Organizational Culture
40 questions
10 dimensions of
Organizational Culture
Good to Good Scale
Organizational Health
40 questions +
5 indicators w/ norms
7 dimensions of
Organizational Health
Bad to Good Scale
37. Survey Methods
• System generated login sent to participants via email
• Participants logon to website to take the survey
• Data is processed by WE I/O Psychologists
– Able to run many different demographics
• Workgroup
• Location
• Years of Service
• Age
• Results summarized back to Senior Leadership to determine best
practices to leverage and gaps to address
Comment coding is performed
on open ended questions to
determine organizational
strengths and opportunities.
43. Factor Sample Comment
Organizational Climate
I love the team atmosphere that I get in my unit. everyone is willing to help each other with
tasks that fall into their scope of work. also, I really enjoy the 12 hour shifts. It makes it easy
to balance work and life when only required to work three days a week.
Individual Capability Being able to assist people when they need help and having the resources to do so.
Organizational Capability
1. We provide the best service for our customers.
2. We are an operating company, and have the ability to tap in to resources across the
system.
Leadership
It is also nice to see some of the leadership around the area at different points, and to know
they are not just in an office looking at numbers and statistics, but that they go to the
teams and interact with employees.
Trusted Organization
I feel confident that we are a leader within the industry, and this motivates me to work to
my potential. We are innovative, invest in our leaders, establish high standards of quality
and promote accountability and discipline.
Team Capability
I like the structure and protocols for how tasks are carried out. I enjoy working with all my
teammates and the incredible support we have from each other.
Trusted Individual As long as we are doing our job correctly, I like the fact that we are not micro managed.
Sample Positive Comments
49. Phase IV – Deploy
Audience: Key Influencers / Change
Champions
Duration: 6-12 month assignment
Outcomes:
~Sustainability
~Aligned culture
~Demonstrated Impact
Step 1: Identify Culture Champions
Step 2: Prepare Culture Champions
Step 3: Sustain Culture Transformation
Step 4: Monthly Dashboard Metrics
Phase IV Steps
50. Step 1: Identify Culture Champions
• Who are they? Culture Champions are the trusted influencers
within the organization. They are natural leaders and skilled in
coaching and developing others.
• Where they come from? All levels and functions… Executives,
Directors, Managers, High Potentials, HR
• How to identify them? Leadership scores (from assessments and
surveys), Talent planning, Key People Indicator.
Key PeopleTop 25% assessment scores
1. I have confidence in my leader?
2. Leader is willing to make a change?
3. Leader acts with integrity?
4. Leader inspires me?
5. Leader removes obstacles?
6. Leader builds trusted relationships?
7. Leader follows through
8. Leader is skilled and knowledgeable?
51. Step 2: Prepare Culture Champions
• Provide curriculum:
- Health and Culture content and process
- Group facilitation
- Coaching
- Change management
• Assign Culture Champions to Managers
- Ratio of 1:5-7
- Criteria: Basic functional knowledge,
not in direct hierarchy of influence
• Review Survey Results of Assigned Workgroups
52. Step 3: Sustain Culture Transformation
• Responsibilities
Provide ongoing (monthly) guidance and/or direct assistance to
managers for:
• Workgroup results feedback
• 1:1 Manager employee feedback
• Facilitate workgroup action planning
• Provide oversight and review of final action plans
• Provide manager with ongoing best practices
• Assist in overcoming obstacles within the workgroup
• Cohort Learning
- Meet with cohort of culture champions monthly for at least 6 months
- Share learning from workgroups (best practices and obstacles)
- Gain insights and expertise from culture change expert
53. Step 4: Monthly Dashboard Metrics
• Establish Tracking Metrics:
1. Key financial metrics – revenue, profit, expense, etc.
2. Key customer metrics – satisfaction, loyalty, growth, market share,
etc.
3. Key operational metric – throughput, quality, billable hours, etc.
4. Key people metrics – turnover (desired or regretful), time to fill,
HiPo, etc.
5. Rate of change – rate of action items accomplished
• Track and Report to Senior Management Monthly
57. → Where you’re going
→ How you’ll get there
→ Enablers & Inhibitors
STRATEGIC
GOALS
PURPOSEFUL
CULTURE
HEALTHY
ORGANIZATION
Aligning Strategy and Culture requires a
Healthy Organization
58. Thank you!
WE can partner together to create your
Purposeful Culture
WORK EFFECTS
527 Marquette Ave S. Suite 900 | 612.333.4272
Minneapolis, MN 55402 | info@work-effects.com
Add vertical lines
Coca-Cola (International bottling and beverage corporation): Leadership, collaboration, Integrity, Accountability, Passion, Diversity, Quality
Teach for America (American non-profit teacher placement): Leadership, Diversity, Respect, Teamwork
Barnes & Noble Booksellers (New Jersey – large retail bookseller): Customer Satisfaction, Quality, Respect, Integrity, Teamwork, Responsibility
AT&T (Dallas, TX – international telecom): Innovation, Customer Satisfaction, Community, Integrity
Major League Baseball MLB (New York): Excellence, Dedication, Teamwork
Shifts in strategy lead to 5 scenarios
Leadership changes: When a new leader or members of the leadership team change, a change in strategy is almost a certainty and alignment of the culture must follow suit for the new strategy to be effective.
Merger or acquisition: When two or more organizations combine there may or may not be a new strategy however there is certainly competing cultures. 85% of mergers or acquisitions fail because of alignment of cultures are not addressed effectively.
Drastic downturn: When performance results suddenly drop, there is certainly going to be a change in strategy to address the shortfall. While structural changes are often taken the underlying belief systems which created the downturn are rarely addressed.
Brain Drain: When an organization has a number of tenured employees leave combined with turnover of new hires there is brain drain and often requires a change in strategy, culture, or both.
High growth: When organizations experience high growth there is a need to rapidly assimilate new people to the embedded culture that created the success. These periods of change create uncertainty at a time when the demands on people are considerably heightened and the alignment of culture will determine success or failure.
p.16
What
Employee Survey to establish organization Health + Culture benchmarks
Different from other engagement surveys because it assesses purposeful culture
Able to reuse engagement data from other organizational surveys too! We can be flexible and use existing data so as to not resurvey populations
Why
Results define a roadmap for transformation to a purposeful culture
Who
Client project manager works hand-in-hand with a Work Effects Client Ambassador
All employees are invited to participate in the survey
Executive team receives results
How
Online survey (option for paper) available in 19 different languages
Results are analyzed by I/O psychologists to determine organizational strengths and opportunities
What
Employee Survey to establish organization Health + Culture benchmarks
Different from other engagement surveys because it assesses purposeful culture
Able to reuse engagement data from other organizational surveys too! We can be flexible and use existing data so as to not resurvey populations
Why
Results define a roadmap for transformation to a purposeful culture
Who
Client project manager works hand-in-hand with a Work Effects Client Ambassador
All employees are invited to participate in the survey
Executive team receives results
How
Online survey (option for paper) available in 19 different languages
Results are analyzed by I/O psychologists to determine organizational strengths and opportunities
Modules for training people leaders to be effective in facilitating groups; order: IC, F, SI, CM, VCGS, PM (title?); how do you have good listening skills and draw out info to be successful as a facilitator?
How
Establish oversight for quality action plans
Create resources for workgroup leaders
Provide means for regular reporting of progress and accountability for change