My Career as a Culture Sleuth

.....Lessons You can Apply

in Your Own Life

Illustration / Image Needed

By

Terri Kruzan

©Culture Consulting, Inc 2010 Page 1

Culture Matters. What I learned in my 20 years of helping organizations change is that
culture matters.

If you expect to be a 21st century leader - taking charge of culture is your job, within
organizations and working across national boundaries. It will be your personal source
of competitive advantage.

Culture Is Bigger Than an Individual.

Leaders—most of whom inherited their organizational cultures—do not understand its

magnitude, what needs to be done to shape it and how to model new behaviors. The
next generation of leaders is quicker to understand this. Cultural barriers can hinder
your ability to change behaviors needed to achieve goals - and move forward. Thus,
understanding the role of culture is critical for those who want to spur progress.

Why Blog About Culture? I began blogging to help people adapt to change more
easily and become better leaders. – I wanted to share my skills on ‘culture sleuthing.’

As a medium, blogging is the best way to reach an international, diverse audience with
immediacy. By sharing examples of those who are shaping governments, companies,
countries, communities and families - we can demystify culture.

I’ve grouped the most compelling posts to tell a story—to help readers start their journey
of taking charge of culture as 21st century leaders.— and compiled them into this e-
book.

The (Cultural) Bottom Line. Culture is all around us. Its impact is enduring and
profound—endlessly fascinating and there to be shaped.

Through blogging, I’ve engaged with people in the U.S., Asia, Australia, the Middle East
and Europe—especially young people, students and leaders responsible for change
within their organizations.

I hope you'll join our online community; Leading-Workplace-Change and continue on

your 21st century leader journey

Terri Kruzan

Founder, Culture Consulting …turned Culture Sleuth

May 2010

©Culture Consulting, Inc 2010 Page 2

After being introduced to the idea that culture matters for 21st
century leaders, your next thought is how do I know where to
look for culture…

©Culture Consulting, Inc 2010 Page 3

How To Be A Culture Sleuth
Lesson Learned... by digging below the surface, skillful cultural sleuths can solve
problems
The job of an armchair culture sleuth is to find the underlying reasons for people's
actions. Those actions may have been formed during another time and place. By
looking for clues, the savvy sleuth can uncover a set of shared values or a belief system
that can help resolve a problem.

So why should you be an armchair culture sleuth? To become more successful at

recognizing and solving problems in the workplace, in community organizations or in
your own family.

The best culture sleuths are curious. They keep their antennae tuned, continuously
digging deeper for data that can be linked together to detect the underlying causes for a
problem. By uncovering clues and developing leads, they learn why issues are not
always easily solved.

Imagine yourself as an investigative reporter - such on as the TV show CSI or a writer

for The Smoking Gun website . And, here are four steps to get you started in how to be
a culture sleuth.

 Observe what is put up on the wall (pictures, plaques, web-pages)

 Investigate what an organization or community measures (annual reports)
 Dig deeper into stories about founders, leaders - their response to crisis and
success (news articles & history timelines)
 Link the clues together (create a shared culture map)

For example, let's look into the 'lack of confidence problem' facing many banks today.
The culture sleuth observes the pictures and captions on a local bank's website. They
project images of reliability and saving for the future.

Investigating further, she reads the bank's recent annual report and notes a recurring
strategic focus on higher margin, higher risk products.

The culture sleuth digs deeper and reads about increasing annual bonuses paid to the
bank's executives in recent years - while reviewing the bank's history timeline, she finds
the past focus was on stable and conservative dividends paid to stockholders.

After linking the clues, the culture map is revealing. It appears to chart a shift in the
bank's underlying values from stability and reliability to high-risk and high gain.

This culture sleuthing work reveals a possible underlying reason for the ‘confidence
problem’ facing banks today. And most likely guides the sleuth as to where to put her
next IRA savings deposit!

©Culture Consulting, Inc 2010 Page 4

In your journey of becoming a culture sleuth, it is important to
realize how much national background influences beliefs - the
source of culture. In this short e-book, the focus is on how ‘being
American’ influences culture.

©Culture Consulting, Inc 2010 Page 5

Harnessing the Hustler

Lesson Learned..."winning at all costs" requires ground rules to play by.

It is always fun to write about how the American persona manifests itself in the
corporate cultures of many companies.

One of the clear themes in historian Walter A. McDougall’s book Freedom Just Around
the Corner - A New American History, 1585-1828 is that “we are a country and a people
with a ‘penchant for hustling’ - in both the positive and negative senses.” He talks
about:

...how hustlers are folks who are known for getting things done, but also cut corners
and cheat and above all are always in a hurry… fleeing into the future.

You can sense that hustler persona emerge in companies today, especially those with
win-at-all-costs cultures. When asked what it takes to be successful in these
companies, the following behaviors are often noted by employees:

 Must create opportunities and exploit them

 Must be aggressive, compete and take calculated risks

 Must do whatever it takes to get the deal done

Harnessing the hustler instincts of the American persona is what good leaders should
be about – providing ground rules, incentives and consequences to structure the
competition.

This is not an easy job and usually very much a juggling act on the part of leadership.
Their work is to set and maintain the organizational mission front and center at all times
- without sacrificing the willingness of individuals to take personal risks and create
opportunities for the future.

©Culture Consulting, Inc 2010 Page 6

Bullying in the Schools and the Workplace

Lesson Learned...rugged individualism needs to be aligned with institutional mission

Recently, I was asked to bring my knowledge about shaping organizational culture to a

symposium for educators on Stopping Youth Bullying.

I started the workshop with the question: “What are the underlying reasons why
American teachers, families and children have a hard time addressing the bully?” The
answers were varied, but a consistent response was: Some people think bullying helps
kids ‘toughen up’ for the real world, so a little bit is OK

These responses reminded me of feedback from folks within organizations as to why

harassment of employees—a form of bullying—is tolerated within the workplace:

 Hazing of newcomers is just expected in the workplace

 Just ‘keep your mouth shut and look the other way’ around aggressive managers
or you could become their target

The questions then becomes: does bullying and harassment go with or against the
grain of U.S. national beliefs? Is it primarily about the need for some to seek attention,
power and control through humiliation, as postulated by the Workplace Bullying
Institute? Or is there something within our national DNA that allows children and adults
to gather around and cheer the bully on or just ignore it?

It became clear after much discussion that bullying may go with the grain of our
traditional American frontier roots - our belief in the importance of rugged individualism.
We admire people who stand up for themselves and show initiative and stamina. This
rugged individualism can lead to creativity and innovation--a core component of U.S.
success. In the workplace, that translates into valuing people who are self-starters.

No one wants to get rid of the self-starter instinct in the American culture. But left in its
traditional pure form , it appears to influence a passive acceptance of the practice of
bullying. There is a need for leaders to balance and align this cultural driver with the
organizational mission. For schools, that means 'creating a safe place to learn.'

©Culture Consulting, Inc 2010 Page 7

As a country, we are not alone in the wilderness anymore; we live and work in a
complex, inter-related global marketplace. Shifting our national belief in a pure form of
rugged individualism as represented in the cultures of many American-based institutions
will not be easy, but it’s important for our country’s long-term success.

©Culture Consulting, Inc 2010 Page 8

Just Say No to Shrimp?

Lesson Learned...thinking differently is the first step toward acting differently

My family likes to eat shrimp all year. But I recently read an article in the Atlanta
Journal & Constitution (7/10/08) about “The Hidden Cost of Shrimp,” and I am ready to
feed my family shrimp far less often.

The article explains that both farm-raised and wild caught shrimp can spread disease
and contribute to the destruction of the ecosystem. The reporter, Meredith Ford,
recommends we eat less shrimp, saving them for special occasions. She outlines their
cost to the planet as being greater than their cost per pound in the store.

This article provides an example of one kind of push people need to change how they
act --thinking about things differently is the first step toward acting differently.

In the U.S., people don't think that less is more. It is at odds with Americans' traditional
belief of having unlimited natural resources.

For example, utility companies in the 1950s promoted the use of electric appliances to
sell more electricity and car companies through advertising and easy credit created the
demand for multi-car families.

Americans are starting to question the national belief in unlimited natural resources.
Utility companies are offering energy saving tips, rebates, and car companies are
moving toward more fuel efficient vehicles. And there are articles like the one I read in
my local newspaper about encouraging consumption of locally sourced shrimp, in
season.

It made me think differently and pushed me to act differently.

©Culture Consulting, Inc 2010 Page 9

Another culture clue to seek is for differences in perspective by
length of service within an organization or by age. Generations
have always collided within communities and within
organizations. It is important to know what issues are causing the
disconnect and if these generational differences are influencing
the strength of a culture to respond to change.

©Culture Consulting, Inc 2010 Page 10

These Folks Are Not Willing to Pay Their Dues

Lesson Learned...be careful when valuing tenure over expertise and training

During a recent Saturday night dinner discussion, a friend started talking about his work
and how the “young folks just did not want to pay their dues.” His voice started getting
louder and he said that they need to put their time in and not expect to be landing the
big jobs right away.

My response was. “It sounds like you value tenure over training and expertise.”

No, he said, “I just think this younger generation is pushy.”

His wife smiled and gave his arm a light tap. He looked at me and said, “What do you
mean?”

“You may want to think about what is really needed to achieve results in a job: years of
experience, expertise or both. You can then make your decision about who to put on a
project team based on what is required to do the job rather than on your personal
preferences. It’s important to communicate job requirements when talking to the
younger folks in your company to let them know what to aspire for."

He replied, “Hey that sounds like work!”

We all laughed, and I said, “Yes, that is what we ‘old-timers’ need to be doing--
managing people as part of our job.”

©Culture Consulting, Inc 2010 Page 11

My First Experience with a Daddy Knows Best Culture
Lesson Learned...generational differences influence the strength of company cultures

Twenty years ago, I had my first experience as a consultant in a company with a strong
Daddy Knows Best culture. It was uncomfortable. In hindsight, it reinforces for me the
power generational differences have on employees' engagement in their job.

Daddy Knows Best workplaces are a form of a top-down culture where employees are
primarily told what to do by managers without input. There is a family feel about the
work environment where employees are taken care of; job security usually guaranteed;
and, in return, employees are expected to be loyal.

As a consultant, I was presenting the results of a culture assessment to the top

management team of this Fortune 100 company. We were at the point of
recommending next steps, when the CEO’s assistant came in and whispered in the
CEO’s ear.

The CEO politely excused himself. No one said anything; we all just waited. Ten
minutes, thirty minutes, forty-five minutes. It was uncomfortable for everyone - and
clear through body language, waiting for the CEO to return to the meeting was expected
behavior. I started to worry about how anything got done in this company.

Finally, the door opened and the CEO came back into the room. We took up where we
left off.

My experience in the board room that day reinforced my choice to remain in a small
entrepreneurial workplace. The perks of a Daddy Knows Best culture where ‘loyalty =
security’ were not for me. And in my work as a consultant, I learned to look first for
cracks in the strength of a company's culture by checking for differences in perceptions
by age.

©Culture Consulting, Inc 2010 Page 12

In times of rapid change, cultures of organizations are vulnerable.
Look for culture clues regarding their ability to adapt or die.

©Culture Consulting, Inc 2010 Page 13

Leaders Admitting to Their Mistakes

Lesson Learned...actions are more important than words in times of turmoil

Admitting to a mistake is never easy. But as a leader, it is both an important capability

and an action that needs to be done thoughtfully in times of crisis.

In late October 2008, when I read in the papers about former Federal Reserve
Chairman Allan Greenspan admitting to a fundamental flaw in his thinking about the
self-correcting power of free markets, I sat up and took notice.

This was not just an expression of regret about a day-to-day action. It was an
acknowledgement of a flaw in one of his own fundamental beliefs that impacted his
decisions in guiding the U.S. economy!

Notice in the following statement made by Mr. Greenspan before the House Committee
on Oversight and Government Reform that he includes a personal reference and an
emotional response to his mistake:

Those of us who have looked to the self-interest of lending institutions to protect

shareholders’ equity, myself included, are in a state of shocked disbelief…

He did not go into elaborate detail at the Congressional hearing, but he took
responsibility for his mistake and later in the hearing, briefly noted an idea for corrective
action.

In the world of organizational culture, how current and past leaders respond to mistakes
has profound implications. In cultures where adaptability and innovation are engrained,
leaders regularly model learning from mistakes by doing it themselves and rewarding
others who do the same.

©Culture Consulting, Inc 2010 Page 14

Healthcare Reform and Organizational Culture
Lesson Learned...in times of change, alignment between leader and employee values
is critical

The past 20 years have been a wild ride for doctors, patients, hospitals, insurance
companies and legislators. We have all experienced the pain and the little triumphs of
trying to fix our healthcare system in an ad hoc, change-as-we-go manner.

The conversation is even turning to what role organizational culture will play in our
change efforts.

The Annals of Internal Medicine recently published research connecting healthcare

working conditions with quality of patient care. The results are not conclusive, but
Medpage Today, an on-line resource site for physicians starts their analysis with this
synopsis:

Adverse working conditions for primary care doctors, including time pressures and an
unfavorable organizational culture, may lead to stress, burnout and ultimately to lower
quality patient care...

The aspect of organizational culture that seemed to have the strongest connection to
patient care had to do with the alignment of values between physicians and leaders: the
higher the alignment, the higher the quality of care.

It would be interesting to know exactly what shared values are important between
leaders and physicians within healthcare organizations, but we surmise from recent
news articles that they include:

 Emphasis on preventive medicine or medical treatment

 Believing healthcare is a social mission or a for-profit business
 Focusing on quantity or quality of patient contacts

©Culture Consulting, Inc 2010 Page 15

The challenge of fixing our U.S. healthcare system is far from over. But as in any
change management effort, clarifying common goals is an important first step.

The next step is for leaders to work on defining and aligning core values. These core
values will guide strategies and allow for more unified action among the myriad of
stakeholders within healthcare organizations.

©Culture Consulting, Inc 2010 Page 16

Is 'Bigger- Better' for Banks?

Lesson Learned...bigness leads to arrogance and to the fall of empires

One of the big business topics in October 2009 was how to address banks considered
'too big to fail.' According to Allan Greenspan, former Chairman of the U.S. Federal
Reserve - “If they’re too big to fail, they’re too big.”

I do not have an easy answer to what is a complex regulatory decision, but I do have
some knowledge from an organizational culture perspective about how the bigger is
better belief plays out in organizations.

This belief may start with founders and/or leaders focusing on measuring their
company’s success through growth in market share, revenues or customers. If this
approach proves successful, they may find that bigness brings benefits, such as
domination of their industry or elimination of competitors.

As a result, the company may play an industry leadership role, setting their own rules
and driving government oversight and regulations. Maintaining a reputation and images
of strength, bigness and power are all-important.

The classic downside of the cultural belief in bigness is a corresponding sense of

organizational arrogance and inflexibility that leads to the perspective that 'we know
what is best for our customers, regulators and the industry.'

The death knell for most organizations with a bigger is better cultural belief is similar to
many kinds of empires: somebody smarter, faster or stronger comes along and pulls
them down.

Consequently, using this cultural perspective as a guide, let’s think about the question
of what to do with banks that are considered 'too big to fail.'

From the empire perspective, I’m not sure I want our financial centers that provide credit
and a flow of money for all kinds of private, public and not-for-profit entities around the
world to be on paths to eventual failure.

©Culture Consulting, Inc 2010 Page 17

It looks to me that Allan Greenspan maybe right: “If they’re too big to fail, they’re too
big.”

©Culture Consulting, Inc 2010 Page 18

Being a culture sleuth can make you an optimist. Many
organizations survive difficult times by identifying timeless beliefs,
such as…what’s good for the community is good for
business.

©Culture Consulting, Inc 2010 Page 19

Corporate Cultures With 'Win-Win' Strategic Drivers

Lesson Learned...sustainable business practices are not new—but they work

We usually think of people as heroes/heroines who use their power to serve others. But
today is it also important for our business corporations to take on that role? And are
their certain companies who will be able to embark on heroes’ quests more easily due
to their corporate cultures?

The answer is yes, based on my findings. Some American-based companies have a

practical, 'win-win' strategic belief that doing things for the common good can be good
for business.

I first encountered a deeper understanding of this belief when investigating the culture
of an insurance company founded in the mid-1800’s. One of the insurance company’s
first corporate donations was for the building of a community fire station and the
purchase of a steam fire engine. The community benefited from a state-of-the-art fire
protection service and the insurance company benefited from the likelihood of reduced
insurance claims due to fire damage.

A more recent example can be seen in the Coca Cola Company investment of $40-50
million in a PET plastic recycling plant as part of their long-term goal to recycle/reuse
100 percent of its bottles and cans in the United States. When speaking of this project,
a Coke executive describes the same kind of ‘win-win’ belief that echoes the insurance
company nearly 150 years ago:

The long-term sustainability of our business depends on our ability to ensure the
sustainability of our packaging. This new recycling facility represents a
significant mile stone as we work to advance recycling in the U.S. and ensure a
strong end-market for our PET packaging.

I do not think that Coca Cola sees itself as on a heroes’ quest. But I do believe that
corporations with ‘win-win’ beliefs that doing things for the common good can be good
for business will be at the forefront of change in our world.

©Culture Consulting, Inc 2010 Page 20

Corporate Culture and Environmental Sustainability
Lesson Learned...once goals set, execution cultures are capable of making change
happen

My recent focus has been on identifying companies who are culturally capable of
moving through hard economic times - to become leaders in re-fashioning our global
society. My last post identified Coca Cola with its sustainable packaging efforts .

Wal-Mart is also embarking on the quintessential heroes’ quest. In this case, it’s the
quest to practice environmental sustainability as an opportunity to improve both the
future of its business and the future of the world. Retiring Wal-Mart CEO H. Lee Scott
Jr. articulated this underlying cultural belief well in his last public speech as CEO:

As businesses, we have a responsibility to society…Let me be clear about this

point. There is no conflict between delivering value to shareholders and helping
solve bigger societal problems. In fact…they can build on each other when
developed, aligned and executed right.

After reading about Wal-Mart’s efforts, I sense that the company is truly working to 'walk
its talk.' It is also using its operational business model to force its suppliers to transform
their business practices and products.

I was curious: is there anything in the company’s traditional culture that will support its
business transformation quest? As a culture sleuth, I turned to Wal-Mart’s history and
to its published values.

At Wal-Mart, they are called Mr. Sam’s Values after the company’s founder, Sam
Walton, and they appear to focus strongly on finding ways to bring the highest quality
product at the lowest price to the customer. They talk about never being satisfied and
the importance of asking: 'Is this the best I can do?'

©Culture Consulting, Inc 2010 Page 21

This is a culture that sets goals and then moves mountains to achieve them.
Accordingly, once environmental sustainability goals are set, I sense Wal-Mart is a
company that will execute to plan and bring all of us along on their heroes’ quest.

©Culture Consulting, Inc 2010 Page 22

The Cultural Bottom Line is to remember - values inform
culture. If you want to see people act differently, the fastest and
most enduring method is to align desired behaviors with a shared
set of values to guide their actions.

©Culture Consulting, Inc 2010 Page 23

How to Tinker With Organizational Culture

Lesson Learned…build on the values already working within your organization

Economic instability is still with us. And, we keep hearing it is going to take awhile to
work ourselves out of this financial crisis of the new global age. Are there culture best
practices that allow some companies to make it through hard economic time more
easily than others?

Management guru Peter Drucker, recommended in 1991 that leaders build on their
existing culture to spur change. He gave examples about how Japan and Germany re-
built their societies after the Second World War through rewarding new habits based on
traditional national values.

His advice is still the most reliable and quickest way to redirect organizational culture.

An important heads-up for leaders before they start tinkering is to first understand the
lay-of-the-land: what are the organization's current beliefs and values - and what new
habits are needed to move forward into the future?

Now comes Drucker's best-kept secret of culture change - Do Not Reinvent the Wheel.
Instead, seek out individuals or groups within your organization that already exhibit
these desired new habits and ask them how they do it. Next shift recognitions, rewards
and consequences in support of the new desired habits.

And finally, the hardest part: leaders need to practice the new habits themselves. They
must be willing to make mistakes and tinker some more, until the formula is found that
helps their organization move through the hard economic times and into the future.

Voila - best practices for tinkering with culture in five easy steps!

©Culture Consulting, Inc 2010 Page 24

MBA Oath and Corporate Culture

Lesson Learned...shared values are key to developing next generation of business

leaders

Have you heard about the MBA Oath?

It was put together by a group of Harvard Business School students in May 2009 - part
of a growing movement within the business school community to resurrect social,
personal and organizational stewardship responsibilities among business professionals.

The Oath is a voluntary code of conduct created to bind together business school grads
with a set of shared values to guide their day-to-day actions and decisions as future
managers and leaders.

The MBA Oath is not as naive as you might think. Some professions, such as
medicine, require graduating students to take the Hippocratic Oath which focuses on
the social as well as the clinical responsibilities of practicing physicians.

It seems reasonable to establish shared professional values for business students as

well.

These professional standards also have the promise of affecting the workplace cultures
of the organizations business graduates will someday lead. And the business world that
effects all of us.

The culture of organizations are most strongly influenced by the personal beliefs and
training of their founders and long-term leaders. The behaviors they model and reward
are one of the primary culture-creating mechanisms in corporations.

©Culture Consulting, Inc 2010 Page 25

What better place to start than in the classroom and at graduation ceremonies?

©Culture Consulting, Inc 2010 Page 26

What’s next for 21st century leaders who want to take charge of
culture – and make it a source of personal competitive
advantage? Start observing and digging deeper for culture clues
that help you understand and resolve problems.

To support you, I will continue to monitor pop culture, the news

and provide examples of how to be a culture sleuth. Moving
forward, blogging will continue at Leading-Workplace-Change
with an expanded focus on Why Differences Matter, Working in
Networked Organizations and in the Global Arena – the new
frontiers for 21st century leaders.

Look for more lessons to apply in your own life.

Thank you.

Terri

©Culture Consulting, Inc 2010 Page 27

About Terri Kruzan

Terri is a workplace culture specialist with more

than 20 years of experience integrating culture
knowledge into broad-based organizational
change efforts at more than 100 companies.

She believes it is important to take the mystery

out of managing culture and supports managers
and leaders in practical “how-to” skills to apply
culture knowledge to their day-to-day tasks.
Her blog “Leading-Workplace-Change,” features insights and stories of
personal and organizational adaptations and won a Finalist Stevie’s Award
for Women in Business for 2008 Blog of the Year.

She received her MBA from the Goizueta School of Business at Emory
University and her BA from Mt. Holyoke College. She studied
organizational culture under Dr. Edgar Schein of M.I.T. and Dr. Roosevelt
Thomas. She co-authored the book A Guide to Culture Audits.

Terri's business is Culture Consulting at www.cultureconsult.com .

©Culture Consulting, Inc 2010 Page 28