What is Your Organization's Culture?
- Ivan Arkhipov
- Aug 9, 2024
- 3 min read
Do you truly understand what your organization’s culture is? This question becomes particularly pertinent in organizations where cultural and leadership principles are not yet firmly established. In such environments, I often encounter claims that a candidate was not "a good cultural fit." This prompts me to ask, "What defines a 'good cultural fit'?" Surprisingly, the answer can vary significantly depending on whom you ask. Such ambiguity often results in inconsistent hiring practices, misaligned expectations, and ultimately, dissatisfaction among team members—leading to low morale and high attrition.
Notably, both Amazon and Google have conducted independent studies to explore the correlation between interview performance and subsequent job success. Google, with its focus primarily on technical skills during interviews, concluded that there was no significant correlation between how candidates performed in interviews and their success in the role—equating the predictiveness of interviews to a coin toss. Conversely, Amazon, which divides its interviews into assessments of leadership principles and technical skills, found a strong correlation between candidates' performance in the leadership dimensions of their interviews and their success on the job. This underscores the critical importance of understanding your organization's culture and the leadership principles that define it. By identifying and aligning with these principles, you can more effectively scout for talent that not only possesses the necessary technical skills but also embodies the values and behaviors that are pivotal to your organization's identity.
While I do not wholly align with Jack Welch's methodology, his approach to categorizing employees based on their skills and cultural alignment offers a useful framework:
Individuals lacking both skills and cultural fit.
Those possessing skills but not aligning with the culture.
Those fitting the culture well but lacking the necessary skills.
And finally, those who excel in both technical skills and cultural alignment.
It's clear that retaining the last group is imperative. The presence of individuals from the first category raises questions about the efficacy of hiring or retention policies that allow such misalignments. The real dilemma lies with the middle two categories. Welch argued that altering an individual's character traits is challenging; if they do not resonate with the culture, it may be prudent to part ways. However, individuals who embody the organizational culture but lack specific skills present an opportunity for development, as most can acquire the necessary technical competencies over time.
This brings us to a critical reflection point:
Are you familiar with your organization's principles? Are they universally understood and accepted across the organization?
Do leaders concur on these principles?
One of my initial actions upon joining an early-stage startup or any organization with an underdeveloped technical culture is to conduct in-depth interviews with leaders across the organization. At Jet, I dedicated countless hours to conversations with leaders from the C-suite to front-line managers to discern common values and priorities. Following this comprehensive analysis, I organized sessions to solidify and agree upon the key characteristics that were universally valued, thus establishing a coherent and unified cultural and leadership foundation.
By taking deliberate steps to understand and define your organization's culture, you not only enhance your hiring processes but also ensure that every team member is aligned with the core values and objectives. This alignment fosters a cohesive work environment where individuals are more likely to thrive, innovate, and contribute to the organization’s long-term success.
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