The culture of an organisation is a direct reflection of the personal consciousness of the leaders. Therefore, cultural transformation or whole system change cannot occur without a change in the behaviours of the leaders. This is why we recommend that organizations begin by mapping the values of the senior executives before they map the values of employees.
This is important for two reasons: a) the senior group must: i) be aware of the scope and depth of the cultural issues, and ii) be willing to do something about them, including committing to personal change, before the rest of the company is involved in the process of values clarification; and b) if the senior group balks at the prospect of personally participating in whole system change process then it is important not to raise the expectations of employees by asking them to participate in the values assessment.
If the senior group is not willing to commit to a change in their behaviors, the culture will not change. That is why it would be counterproductive to involve all employees in the values assessment too soon in the process.
Here are some key facts about leadership and shareholder value.
Fact 1: Employee fulfillment drives customer satisfaction.
Fact 2: Customer satisfaction drives shareholder value.
Fact 3: Leadership development drives employee fulfillment.
Thus, there is a causal link between leadership development and shareholder value that passes through employee fulfillment and customer satisfaction. We have found this link to be present in all successful companies. This is in alignment with the mantra I outlined in Liberating the Corporate Soul:
Organizational transformation begins with the personal transformation of the leaders. Organizations do not transform; people do!
Here are some more facts:
Fact 4: Cultural alignment can occur at any level of consciousness, but only full spectrum consciousness creates sustainable high performance and long-term resilience.
Fact 5: Achieving full-spectrum organizational consciousness requires full-spectrum leaders.
The challenge therefore in implementing cultural transformation or whole system change projects is to take the leadership group and the senior level managers through a programme of personal alignment and group cohesion. They are responsible for creating the current culture, and they are the ones who must create the new culture. Part of this process involves carrying out a 360 degree Leadership Values Assessment and providing coaching for every member of the leadership group.
The CEO or the leader of the organization must be willing and committed to his or her own personal transformation in order to change the culture. The leaders must be the change they want to see. They must set an example by walking the talk.