a scientific review of how culture impacts change

ACMP UNITED KINGDOM CHAPTER


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A Scientific Review of How Culture Impacts Change

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@Hofstede Insights

Welcome to

“Scientific review on how culture impacts change ”

By Hofstede Insights – Aligning what we do and how we feelSpeaker: Egbert Schram, Group CEO Hofstede InsightsFor ACMP UK Chapter

July 7th 2021

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Your speaker

Egbert SchramGroup CEO Hofstede Insights

• Member of Forbes Business Council• Board member Finnish-Dutch chamber

of commerce• Advisory board member Amcham

Finland• Chairman of the international chapter

of the Finnish HR association.

Dutch native, residing in Helsinki.

A Culture & Strategy Advisory and Analytics

organisation translating Academic concepts into

business applications

A core team of data technicians and communication

professionals, and a global network of 150+ expert facilitators

in 60+ countries

Hofstede Insights

WE MAKE EMOTIONS AND PRACTICES TANGIBLE

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OUR CUSTOMERS

5000+ GLOBAL ORGANISATIONS ON EVERY CONTINENT

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What do you see?

Go to menti.comCODE TO BE ADDED

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What does change mean to us?

Changing our processes

Changing our way of thinking

Changing our looks

Changing our value statements

Changing the way we work

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Time

Act

ion

HR / Sweden / Netherlands

Communication / sales / US/UK/ India

Compliance / France/ Japan / Poland / Middle East

Research / Germany / Czech

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So what is Culture?

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Culture In the broad anthropological sense

“The collective programming of the human mind by which one group differs from another group.”

And within organisations; how people relate to each other, their work and the outside world

Professor Geert Hofstede

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“Culture is Important at our firm”

90%

“Improving Corporate Culture would increase value”92%

“Our Corporate Culture is where it needs to be”15%

of new ventures fail due to problems with the team. 60%

Data From research conducted by Columbia Business School; Duke University’s Fuqua School of Business; PWC, KPMG & Deloitte; Klotz, Hmieleski,

Bradley and Busenitz.

of cross border investments don’t add value83%

THE CHALLENGES BEFORE LEADERS...

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Why do things go wrong?

THE “ICEBERG” OF IGNORANCE and the impact on change

Problems known to top managers4%

Problems known to middle managers 9%

Problems known to supervisors74%

Problems known to front line workers100%

Source: Sidney Yoshida

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Human Behavior

Individual

Collective by group

Common to all mankind

InheritedLearned

Learned

Inherited

Personality

Organisational cultureNational culture

Human nature

“Group”: i.e. nation, profession, organisation, family

@Hofstede Insights

The Different Levels of Culture

Practices

Organisational Culture

How we should behave to fit in

- Perceived Culture- Desired Culture- Actual Culture- Optimal Culture (strategy)

Symbols

Heroes

Rituals

Values

Greetings, Meetings

Words, Gestures, Images or Objects

Role-models of society -Alive or Dead, Fictional or Real, Founder, Pioneers

National Culture

“why we feel” strongly about certain practices (our values)

Guides organisational practices

CHANGING CULTURE

The deeper we go, the harder it becomes

MEASURE

CREATE

PRIORITIES

CHANGE

SET TARGETS

ORGANISATIONALCULTURE PROCESS

DEFINE THE GOALS

Define the target and

plan the course of

action.

MEASURE

Measure the current culture of

your entire organization

through a powerful online

survey.

OPTIMAL CULTURE

Define the optimal culture for

your organization. WORKSHOP ONE

GAP ANALYSIS

See whether the current

culture enables or hinders

your strategy and define

priorities.WORKSHOP TWO

STRATEGISE

Create contextually sensitive

plans, pick ambassadors and

ensure buy in into the new

culture.WORKSHOP THREE

CHANGE

Identify and plan the

change effort inside of

the organisation.

OPTIMAL CULTURE

A SIMPLE PROCESS FOR POWERFUL RESULTS

ORGANISATIONAL CULTURE TRANSFORMATION

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Full process picture

Hofstede Insights MFM calculational logic

Each dimension loaded by a variety of questions (6-9).

Multiple dimensions

Neutral answers are averaged out

Entire data set including neutral answers and answer variance is put into our answer pattern database.

Actual D1

q a's b's c's var. loading proposition

2 2 7 5 0.45 63 each day brings new challenges

12 3 5 6 0.60 63 Our strength lies in gaining people's trust

13 2 1 11 0.52 90 Everybody always puts in maximum effort

17 2 5 7 0.52 72 People don't beat around the bush

21 2 1 11 0.52 90 People are told when they have done a good job

25 4 5 5 0.64 54 Nothing ventured nothing gained

31 1 5 8 0.39 81 Inspiring leadership

38 2 5 7 0.52 72 Those who make it show a lot of initiative

43 5 4 5 0.71 50 -- on average --

Total 23 65

In % 0.30159%

Average 0.54 71

Variance in answers is mapped

System reflects on similarities and what is reported out in the final report are symptoms which display certain behavioural patterns.

Pattern benchmark

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ORGANISATIONAL CULTURE TRANSFORMATION

@Hofstede Insights19

Change of culture=

Change of behaviors and attitudes

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Two types of (cultural) change possible

Direct change Indirect change

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Possibilities for change : indirect change

• General change efforts and strategies

• Symbols

• Rituals

• Structures

• Management capabilities and attitudes

• Systems – excl. Rewards

• Formal and informal reward systems

Copyright by Hofstede Insights

Point 1: We need to measure.

41

56

40 42

49 48

30

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69

50

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10

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30

40

50

60

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90

100

Inte

rnal

vs

Exte

rnal

Sectors - D2 Customer Orientation

Findings: (Industry benchmark 50)

Too Internal Too External

Regions/ Sectors: Region 3, Sectors 1,3,4,7 Regions/ Sectors: Sector 9

Recommendations: 1. Results and customer requirements may be

compromised due to too much focus on safety procedures

Recommendations: 1. Safety procedures may be compromised with too much

focus on being flexible and fulfilling customer needs or results /

2. Potential to use these areas to share their learnings

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44

34

63

50

0

10

20

30

40

50

60

70

80

90

100

Inte

rnal

vs

Exte

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Regions - D2 Customer Orientation


Point 2 – We need to have specific details

1. Actual behaviours vs target behaviour

2. Levels of Trust/Anxiety/Change readiness

3. Levels of leadership acceptance


Point 3 – We need to develop consistency in our change plans

We should decrease the pressure to get the job done, and take personal problems of employees

more into account.

Ensure you pick a maximum of 5 items


Point 4 – And understand how communication will be perceived and the leading role leadership plays – consciously or unconsciously.

Example> Leadership needs to become more transparent:

The word “transparency” has big cultural implications – In some cultures “no

news, is good news”, in other cultures “no news, means something is brewing”

In other words – The word “transparency”, what does is really mean? Is a

leader supposed to be proactively transparent, sharing things people never

asked about, therefore loading pressure on their subordinates (which could be

seen as unfair – some burdens are only to be carried by leaders), or only to

respond when asked, risking being perceived as not transparent?

CULTURE NEEDS TO BE QUANTIFIED

...the ‘magic’ is in the details

To summarize

Understand the complex reality of your organisation

Understand the sub-strategies throughout your

organization and ensure consistency

Visualise the actual and desired culture to know

where to surgically intervene

1 32


?There are no “right” or “wrong” cultures. But there are cultures which make change easier, and those which will make it harder

Be mindful of context and ensure consistency


Talk about ”changing the ways in which we can make our organisation more successful” not about culture.

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?Questions and

Answers

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Thank You

Egbert SchramGroup CEOHofstede Insights+358 923 163 043 | +358 451 375 [email protected] 17a00100 Helsinki, FINLAND.

Www.Hofstede-insights.com

More information?

@Hofstede Insights

Click to edit Master title style

New Trends and Developments of ChangePresenter: Tim Creasey, Chief Innovation Officer at ProsciWhen: 8th September, 1-2 UK Time

Panel Discussion: The Good, the Bad, the Ugly: Change StoriesPresenters: TBCWhen: 13th October 2021, 1-2 UK Time

Beyond the Workplace ZooPresenters: Nigel Oseland, Environmental PsychologistWhen: 10th November 2021, 1-2 UK Time


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