The best predictor for success of your operations is the human factor. Learn how you can measure your Organizational Culture and what you can do with it in order to align it with Strategy.

1. Organizational Culture
Making Culture work for Performance
and
Strategic Goals

2. If you google “Organizational Culture” you will most likely get something like this:
So, what is this elusive thing called
Organizational Culture?

3. Organizational Culture is NOT a set of
nice-to-have phrases on the
company website.
What it is NOT and what it IS
Organizational Culture is NOT about
feelings, emotions or motivational
speeches.
Organizational Culture is NOT and
can NOT be measured by the same
dimensions used for National Culture.
There is NO such thing as “having a
culture like .....”
Just as people, companies are never
the same and never operate in
identical environment.
Organizational Culture is the factor
which determines how the job is
done across your organization.
Organizational Culture is expressed in
hard numbers and is a tool of
everyday management as well as of
strategic change.
Just as we behave differently in
private life and at work, our National
Culture is about values while
Organizational Culture is about
practices we share at the workplace.
Organizational culture is not good or
bad.
It is functional in the sense that it
supports success strategy, or
dysfunctional if it does not.

4. But it is good to have one company culture, right?
In contrast to what many people think, Organizational
Culture is not a fuzzy soft subject or a set of fashion words
popping up on that Google search.
Organizational Culture is a description of a three-way
process which explains how any organization functions.
Organizational Culture is the way in which the
members of an organization relate
to each other,
to their work,
to the outside stakeholders
Organizational Culture is about process

5. How can these units function together, then?
No organization looks like this:
Organizations usually look
like this:
There is no “one company culture”. Context is king!
An Organization is a system of functional units
each of which is has different functionality,
hierarchy, level of technology, different
interactions with customers etc.
Each functional unit faces specific tasks and
challenges and develops own organizational
culture which reflects its specifics and fit in the
overall structure of the company.

6. How can we achieve this?
When the culture of each unit
supports its own strategy and its
performance, the organization
functions as an orchestrated whole
with good coordination and
collaboration among the different
units.
This is the optimal way in which
people in the organization work.

7. Know your Organizational Culture
The way you really are
is called
Actual culture
The way you need to be
is called
Optimal culture
The way you think you are
is called
Perceived culture
Optimal Culture is this culture which serves as enabler and
supporter of your strategic goals.
It is the culture which ensures successful alignment of people
and processes.
So what exactly is measured?
Perceived Culture reflects the limited point of view about
work reality of one person or one group in the organization.
Actual Culture is defined when measured by:
- scientifically designed surveys
- benchmarking to factual database
- strict anonymity to avoid politically desirable answers
- rendering measurements through algorithms to avoid
subjective interpretations

8. How do we make our work more effective?
Major dilemmas at work
Effectiveness
Where do we get impulse to do what we are
supposed to do?
Customer orientation
How do we ensure coordinated action among
employees?
Discipline and control
What is the glue that holds this organization together?
Focus of employee devotion
How accessible and accepting are we?
Approachability
Do we care about our employees’ well-being or are
we only interested to get the job done?
Management Philosophy
Organizational Cultures are as unique as personalities. Yet, members of every organization are concerned with solving the
same dilemmas when doing their job. These dilemmas are universally applicable and because of that it is possible to measure
and compare different organizations and units.
How are these dilemmas expressed?

9. ORGANIZATIONAL EFFECTIVENESS
Means vs Goal oriented
WORK DISCIPLINE AND CONTROL
Easy going vs Strict work control
APPROACHABILITY
Open vs Closed System
CUSTOMER ORIENTATION
Internally vs Externally driven
FOCUS OF EMPLOYEE DEVOTION
Local vs Professional
MANAGEMENT PHILOSOPHY
Employee vs Work oriented
9
D1
D2
D3
D4
D5
D6
By using statistical methods, it is possible to give numerical expression to
the way people make choices when faced with those major workplace
dilemmas.
Results are represented on a scale of 0 to 100, thus, showing the prevailing
trends in the organization towards one or another of opposing practices.
How does it work?
ORGANIZATIONAL
CULTURE SCAN
THE MULTI FOCUS© MODEL

10. D1: Effectiveness
D3: Control
D2: Customer
orientation
Externally drivenInternally driven
0 50 100
Easy-going Strict work discipline
Dysfunctional window
Means-oriented Goal-oriented
0 50 100
D4: Focus
Local Professional
D5: Approach
ability
Open system Closed system
D6: Management
philosophy
Employee-oriented Work-oriented
31
24
68
64
78
26
Example of Organizational Culture Scan results
Actual position
Optimal position
68
What am I supposed to do with these measurements?

11. Behind the numbers there is a wealth of information about what is
going on in the organization.
The scan is measuring practices i.e. actual behaviors and not
attitudes or feelings.
Create Roadmap for Optimal Culture which best suits performance and strategy
By getting the numbers which reflect how the job is done top
management receives guidelines for creating such Organizational
Culture which can best support their strategic goals.
How does this influence the bottom line?
Translating numbers into organizational behaviors provides
guidance about how different organizational units can operate in
effective and synchronized collaboration across teams and
projects.

12. Traditionally, analyzing the state of organizational
performance is done through accounting,
financial or output numbers.
However, these approaches document the past
state of any organization.
So far, the only meaningful forecast about the future
state of any organization is based on its human
factor i.e. on analyzing the way people perform on
the job.
The best analytic indicator of this is Organizational
Culture.
Can you be more specific?
Predictive Analytics

13. On General Effectiveness
On Management Dynamics
On Incentivizing Employees
On Strategic Readiness
• The degree of orientation to goals and to customers
• What is the focus of performance – safety or creative solutions
• Customer needs – how much employees meet customer
needs
• Customer relations – how flexible employees are at meeting
customer needs
• Do they comply with business ethics and honesty, or are they
taking pragmatic approach
• Attitudes to instructions, work standards, work discipline
• Attitudes to costs
• Whether the culture is effectively supporting or hindering
performance
• Focus of management policy – concern about
employee welfare, or about getting the job done
• Degree of communication and support extended
throughout the organization
• Trust and coordination among organizational units
• Tendencies to play organizational politics
• Degree of collaboration among workers and work units
• Acceptance and preferences about leadership style
• Influence of management philosophy on employee
motivation
• Difference between stay motivation and work
motivation
• Direction of employees’ loyalty
• Impact of trust, anxiety, work load, promotion strategy
on employees
• Social control and social pressure among co-workers
• Managing organizational diversity - acceptance of
newcomers and different others
• Handling information flow and exchange
• What is the identity of our organization
• How ready it is for innovation if strategic goals demand
that
• Does strategy take a long-term or short-term approach
• How ready employees are for diversity
• Capacity for learning and development
• The aptness for change – how easy or difficult it is to
introduce organizational changes
Broad overview of information produced by the Organizational Culture Scan:
insights that top management gets from predictive analytics
Can all this enhance my organizational leadership?

14. Leading for the Future through Culture Change
Changing the values which people have acquired through their Culture of origin is a very
difficult and long process, if successful at all.
Changing practices throughout the organization is not so difficult and is the best option for
improving performance in a relatively short term.

15. About us

16. Who we are
What we do
Hofstede Insights was founded more than
30 years ago inspired by the research of
Geert Hofstede. We translated his
academic work into applicable business
solutions.
https://www.hofstede-insights.com
@HofstedeInsight
#theculturefactor
We have
We manage the impact of Culture on work,
life and commerce by aligning Culture and
strategy.
nearly 100 associate partners in 40
countries.

17. We provide services to over 5000 organizations

18. Daniela Kaneva
Associate Partner
Daniela is Associate Partner at Hofstede Insights, senior
consultant for California, USA, based in Los Angeles.
Daniela’s lifelong career in international sales and
marketing has brought her expert and hands-on
experience with more than 25 nations in Europe, across the
Russian Federation, Western Balkans, Middle East, United
States and Mexico.
Working with clients on national or global business
operations, Daniela designs solutions in the areas of
organizational culture for performance, managing
multicultural diversity and international marketing.
Daniela works with business applications of Culture on its
three levels – national culture differences, organizational
culture optimization and value-based consumer marketing.
https://www.linkedin.com/in/daniela-kaneva/
https://www.hofstede.us
daniela.kaneva@hofstede-insights.com
+1.626.429.0513