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courtney lawrence
Senior Resident Anthropologist
jason marder
Innovation Strategist
white
paper
co-creating
corporate
culture
"Like the unique patterns
of ice crystallized on
glass, every organization
is a unique combination of
forces formed over time.
			 - Courtney Lawrence
—
Cover Photo Credit:
Aja, Star Teacher
C O - C R E A T I N G C O R P O R A T E C U L T U R E | 3I D E A C O U T U R E © 2 0 1 6 |
—content
01
02
03
04
overview
04  The Mounting Crisis
05  Culture’s Impact on Business Health
06  Signals of Disengagement
07  Socio-Cultural Shifts Affecting Engagement
08  Challenges for Large Organizations
the culture solution
09  Culture Goes Beyond Office Perks
09  Culture is Shaped, not Dictated
10  The Potential of Subcultures
10  Embracing Micro Culture Change
activating culture creation
12  Lead From and For the Collective
13  Allow Agency at All Levels
14  Explore and Celebrate Mythologies
15  Embrace Liminality + Experimentation
16  Establish Communitas + Enculturation
17  Create Meaningful Reciprocity
18  Harness Visual + Material Culture
19  Encourage Selfhood
conclusion
20  Key Takeaways
21  About the Authors
22  Who We Are
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overview—
9 0 0 M I L L I O N P E O P L E
D O N ’ T F E E L E N G A G E D B Y
T H E I R W O R K . T H E R E A R E
3 4 0 M I L L I O N A C T I V E L Y
D I S E N G A G E D W O R K E R S A R O U N D
T H E G L O B E
D I S E N G A G E M E N T C O S T S
U . S . C O M P A N I E S B E T W E E N
$ 4 5 0 B I L L I O N A N D
$ 5 5 0 B I L L I O N I N L O S T
P R O D U C T I V I T Y E V E R Y Y E A R
The modern employee lives for work that is
purposeful and engaging; seeking dialogue over
dictation, purpose over pensions, and satisfaction
over standardization. The Googles, Pixars, and
Zappos of the world recognize this and have
intentionally built cultures to meet this need.
As a result, they are not only some of the most
desirable companies to work for, but also some
of the most objectively and commercially
successful. Culture is the key variable.
The Mounting Crisis ∙
The engagement crisis is real.
Increasingly, employees are dissociating
from their stagnant and restrictive
workplaces at unprecedented rates.
According to Gallup’s 2016 “State of the American
Workplace” study, 70% of employees worldwide
report that their work is not engaging. One quarter
of that subset is “actively disengaged,” meaning
they’re liable to publicize their dissatisfaction and
adversely influence their peers. This translates to
approximately 900 million people that don’t feel
engaged by their work and 340 million actively
disengaged workers around the globe.
Such viral, cyclical negativity threatens the
stability of the workforce. Disengagement costs
US companies between $450 billion and $550
billion in lost productivity every year. In 2014,
Deloitte surveyed 2,532 global business and HR
leaders from 94 countries and countless industries.
01
Three quarters of those
surveyed admit they:
/ / G R A P P L E W I T H A
S I G N I F I C A N T E N G A G E M E N T
+ R E T E N T I O N P R O B L E M
/ / S T R U G G L E T O A T T R A C T A N D
  R E C R U I T T A L E N T E D P E O P L E
/ / H A V E A L A C K L U S T E R
E M P L O Y M E N T “ B R A N D ”
C O - C R E A T I N G C O R P O R A T E C U L T U R E | 5
02/ I N E U R O P E A N F I R M S T H A T
C R E A T E F R E E D O M F O R S E M I -
A U T O N O M O U S G R O U P S T O
O R G A N I Z E , 6 8 % R E D U C E D C O S T S ,
8 7 % R E D U C E D T H R O U G H P U T
T I M E S , 9 8 % I M P R O V E D T H E I R
P R O D U C T S A N D S E R V I C E S , A N D
8 5 % I N C R E A S E D S A L E S
Fast Facts:
Culture’s Impact on Business Health ∙
01/ T H O S E C O M P A N I E S T H A T A R E
P U B L I C L Y T R A D E D O N F O R T U N E ’ S
' 1 0 0 B E S T C O M P A N I E S T O W O R K
F O R ' L I S T H A V E O U T P E R F O R M E D
T H E S  P 5 0 0 T W O T O O N E . S I N C E
T H E L I S T B E G A N , T H E 1 2
C O M P A N I E S T H A T H A V E A P P E A R E D
O N T H E L I S T E V E R Y Y E A R
C R E A T E D 3 4 1 , 5 6 7 N E W J O B S , A N
I N C R E A S E O F 1 7 2 % J O B G R O W T H
03/ E X T E N S I V E S W E D I S H
W O R K P L A C E S U R V E Y S
R E V E A L E D T H A T F L E X I B L E
O R G A N I Z A T I O N S A R E M O R E
P R O D U C T I V E ( + 2 0 - 6 0 % ) ,
H A V E L E S S P E R S O N N E L
T U R N O V E R ( - 2 1 % ) , A N D
L E S S F R E Q U E N T H E A L T H -
R E L A T E D A B S E N C E S ( - 2 4 % )
C O M P A R E D T O C O M P A N I E S
T H A T H A V E M O R E
T R A D I T I O N A L O R G A N I Z I N G
S T R U C T U R E S
An authentic and energized
company culture that draws
talent and drives profit
is achievable.
04/  7 1 % O F E M P L O Y E E S
A G R E E T H A T E M P L O Y E E
E N G A G E M E N T I S V E R Y
I M P O R T A N T T O A C H I E V I N G
O V E R A L L O R G A N I Z A T I O N A L
S U C C E S S
05/ C O M P A N I E S T H A T H A V E M O R E
T A L E N T E D M A N A G E R S A N D
H I G H E R P R O P O R T I O N S O F
E N G A G E D E M P L O Y E E S A C H I E V E ,
O N A V E R A G E , 1 4 7 % H I G H E R
E A R N I N G S P E R S H A R E T H A N
T H E I R C O M P E T I T O R S
—
Moskowitz, Milton, and Robert
Levering. The Best Employers in
the U.S. Say their Greatest Tool is
Culture, Fortune Magazine.
—
Totterdill, Peter, Steven Dhondt,
and Neil Devons. The Case for
Workplace Innovation. European
Workplace Innovation Network.
—
The Impact of Employee
Engagement on Performance,
Harvard Business Review, 2013.
—
Beck, Randall, and Jim Harter.
Why Great Managers Are So
Rare, Gallup Business Journal,
March 25, 2013.
01/ 02/03 04/ 05/
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Fast Facts:
Signals of Disengagement ∙
T H E F O L L O W I N G A R E S I G N S
T H A T Y O U R C O M P A N Y ,
T E A M O R D E P A R T M E N T A R E
D I S E N G A G E D :
—
Innovation efforts
that are ineffective
and/or do not gain
traction internally
—
Challenges hiring
the right people 	
or attracting 	
top talent	
—
Requests for
divisional
transfers
—
Frequent salary or
benefits negotiations
—
Overwhelmed HR
departments
—
Reduction in 		
candidate referrals
	
—
Employee
dissatisfaction
with direct managers
—
High number
of sick days
taken, employee
absences and
remote work
requests
—
High levels of
employee turnover
—
Customer
dissatisfaction	
—
Decline in company
profits
—
Shrinking
employee tenure
	
—
Inter-employee
conflicts
C O - C R E A T I N G C O R P O R A T E C U L T U R E | 7
Socio-Cultural Shifts
Affecting Engagement ∙
Engagement emerges from the
investment in a higher purpose. In
business, it means investment in
a role, a company, a brand, and a
community.
The popularity of purpose-led
organizations with purpose-focused
cultures has grown in recent years.
Leadership expert and author, Simon
Sinek made famous the simple, yet
powerful, idea that all organizations need
to first understand their “why”, or their
guiding reason for being, before trying to 	
sell what they do.
Stephen Shedletzky, Head Engagement
Officer at Simon Sinek, Inc., explains,
“no one wakes up in the morning and
says, ‘Ah, I want to be managed today’.
We want to be led. We want to have a
vision and a cause to believe in. We want
to have a WHY.”
Certain socio-cultural shifts support this
desire. When ignored or not met by an
employer, these drivers have the potential
to create employees who are not invested
in the business, the brand, or the work.
When ignored or not met by an
employer, these drivers have the
potential to create employees who
are not invested in the business,
the brand, or the work. Socio-Cultural Shifts ∙
N O T I O N S O F W O R K - L I F E B L E N D I N G / /
A greater acceptance of personhood at work and
expectations of bringing one’s whole self to the job
T E C H N O L O G I C A L E N A B L E M E N T / /
Expectations for greater fluidity in working
environments and greater transparency in
communications
H O L I S T I C L I V I N G / /
Rising health concerns and subsequent desires
to live for personal well-being: physically,
emotionally, mentally
H A P P I N E S S R E - D E F I N E D / /
Rising desire for emotional and spiritual
satisfaction in life beyond material happiness
D I A L O G U E O V E R D I C T A T I O N / /
Greater demand for two-way communication and
conversation in lieu of dictation or dogmatism
E Q U A L I Z I N G P O W E R S T R U C T U R E S / /
Increasing diffusion and flattening of hierarchical
structures and rising power of collaborative
networks
C O M M U N I T Y B U I L D I N G / /
A search for safe, trusting environments and
meaningful connection within communities
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Challenges for Large
Organizations ∙
Many organizations have struggled in their approach
to implement conscious change in large and/or highly
bureaucratic environments, especially those that have
existed for years and enjoyed steady success.
In organizations focused on how much of the top line gets to the
bottom, calculating the impact of culture on profit can seem like
a nebulous or distracting exercise.
However, this cultural neglect can and must be overcome as
companies renowned for their cultures will poach top talent
from direct competitors and adjacent industries. Opportunities
exist for organizations of any size, age or industry to inspire and
engage their workplace if they can identify, explore, and shift
these challenges.
C O N S T R A I N E D S T R U C T U R E S / /
Highly micromanaged change
efforts negate the inherent fluidity
of change. Agile and responsive
approaches are more challenging in
larger organizations.
L I M I T E D R E S O U R C E S / /
Companies lack the capital to
execute a redesign to scale. Whole
system change requires money,
time, effort, and coordination.
B U R E A U C R A T I C B A R R I E R S / /
For complex organizational
structures, it can be years before a
major cultural decision is approved
and, by that time, the change may
no longer be relevant.
C O M M U N I C A T I O N I N E F F I C I E N C I E S / /
Employees who are disconnected
from decisions are often
uninterested in or resist making the
change a reality.
C O L L E C T I V E N O S T A L G I A + F E A R / /
Disrupting a particular norm when
people are comfortable with the
status quo can be intimidating. It is
easier to mobilize change in smaller
numbers.
T O P I C A L A P P R O A C H E S / /
Culture change initiatives that have
a narrow lens can offer topical and
ineffective solutions without getting
to the root problems.
O N E - S I Z E - F I T S - A L L M E N T A L I T Y / /
Change is approached in a
uniform way, without taking into
consideration the particular context
of the team or the organizational
nuances.
S U P E R F I C I A L M E A S U R E S O F I M P A C T / /
Most success metrics and tools
are not detailed enough, aren’t
real-time, and do not consider all
the work-related issues that drive
employee commitment.
These challenges can
and must be overcome as
companies renowned for
their cultures will poach
top talent from direct
competitors and adjacent
industries.
C O - C R E A T I N G C O R P O R A T E C U L T U R E | 9
02
Culture goes
beyond office perks ∙
Culture has become a buzzword, yet for
many organizations continues to lack
meaning and actionability.
While company leaders are increasingly aware that
an engaging culture is crucial for staff retention,
productivity, and business success, it remains
superficial or non-directional. Meaningful culture
is more than a new tagline, values statement, social
perk, or a beautifully designed office. Culture
building is more complex, but it doesn’t have to
be an arduous task if everyone within a system
approaches it in a constructive way.
For anthropologists, culture is a holistic and
intricate system. It emerges from the norms,
rituals, languages, and spaces of a group of
people. It is the set of learned behaviors and ideas,
including beliefs, attitudes, values, and ideals,
that are characteristic expressions particular to
a social group. This system also gives rise to
the production of cultural products or material
artifacts representative of that group.
Culture is shaped,
not dictated ∙
Culture is socially constructed and ever
evolving. Culture is not something that can
be dictated top-down or guided by a set of
assumptions drawn from elsewhere.
Holistic, authentic culture starts
with the input of every member
towards the design of a living,
evolving workplace identity.
the culture—
solution
Just as no two individuals are created equal, when
groups of people organize, the overlap of unique
personalities, skills and preferences gives rise
to a highly fluid, even unpredictable, domain of
interactivity. Culture is never formulaic or mechanic.
Holistic, authentic culture starts with the input of
every member towards the design of a living, evolving
workplace identity. When culture is socially constructed
by an invested democracy, the social, intellectual, and
emotional fabric of a company is directly compatible
with the character(s) of its constituency.
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The Potential of Subcultures ∙
Amongst anthropologists and
sociologists, subcultures are understood
as groups that emerge within the domain
of an overarching culture.
Subcultures are manifest in society in groups such
as underground music movements, alternative
spiritual circles, or community volunteer
organizations. Such groups hold values and norms
that slightly differ from those of the majority
within a wider society, but often still connect to
and align with the dominant culture.
Within organizations, subcultures may form
within individual teams, departments, or entire
operating functions. Subcultures act as a
breeding and proving ground for engagement and
positive change.
Embracing Micro Culture Change ∙
The power of change comes from
incremental action that inspires
movement.
In theories of cultural diffusion, a society can
be compared to agricultural ecologies with
interconnected parts, whereby change in one part
of the system influences and brings change in
another part of the system.
The process of organizational culture change
or creation is impactful when it starts with
one department or a single team. Small-scale
participatory efforts, such as internal inovation
labs, rapid brainstorming events, or employee
committees, provide opportunities for new cultural
norms to be born. Small tweaks to office language
or meeting protocol for example, can serve as
starting points for effective transformation.
S U S T A I N A B L E A N D S C A L A B L E O R G A N I Z A T I O N A L
C H A N G E I S M O R E E F F E C T I V E A N D M A N A G E A B L E
W I T H I N A C H O S E N S U B C U L T U R E F O R T H E
F O L L O W I N G R E A S O N S :
/ / L O W E R C O S T
/ / L O W E R R I S K
/ / P O T E N T I A L L Y H I G H E R R E T U R N
/ / G R E A T E R D E P T H O F U N D E R S T A N D I N G
/ / R E P L I C A B L E
/ / S M A L L E R T I M E I N V E S T M E N T
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activating
cultural
creation—
03
In examining how leading companies motivate
and inspire their workforce, it is clear that eight
key principles drive engaging and thriving culture
no matter size, age or industry.
By activating these principles in incremental
movements within a subculture, pervasive culture is
built. Each culture principle combines concepts from
anthropology, positive psychology, and social change
theory with a concrete manifestation from cultural
exemplars including Pixar, Warby Parker, Medium, and
Burberry.
3 . 1 L E A D F R O M A N D F O R T H E C O L L E C T I V E
3 . 2 A L L O W A G E N C Y A T A L L L E V E L S
3 . 3 E X P L O R E A N D C E L E B R A T E M Y T H O L O G I E S
3 . 4 E M B R A C E L I M I N A L I T Y + E X P E R I M E N T A T I O N
3 . 5 E S T A B L I S H C O M M U N I T A S + E N C U L T U R A T I O N
3 . 6 C R E A T E M E A N I N G F U L R E C I P R O C I T Y
3 . 7 H A R N E S S V I S U A L A N D M A T E R I A L C U L T U R E
3 . 8 E N C O U R A G E S E L F H O O D
—
Note: There is no single way to create culture.
Not all of these principles may apply to your organization. 		
If they do, it may not be all at once.
By activating these principles
in incremental movements
within a subculture, pervasive
culture is built.
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Culture Principle: Lead From
and For the Collective ∙
O V E R V I E W / /
Any well-functioning society has a leader
or leadership group that sets the vision
for the community and leads the people
toward that vision. In the most successful
communities, leadership and the collective
are interdependent. Leadership recognizes
the necessity of the collective’s
involvement and treats them with
humility, respect, and admiration.
R E L E V A N C E / /
Leadership commitment is key to any
change effort. Many organizations
believe it is HR’s job to create or change
culture; however, engaged leaders
demonstrate dedication to making great
culture a reality. Company town halls or
executive-led stand-up meetings show a
willingness to listen, and action on the
outcomes of these meetings demonstrates
the value of employee input.
E X A M P L E / /
M E D I U M H A S W E E K L Y F R I D A Y A F T E R N O O N
M E E T I N G S , O R ' F A M ' F O R S H O R T ,
D U R I N G W H I C H T H E C E O A N D T H E R E S T
O F T H E E X E C U T I V E T E A M F I E L D S “ O P E N
A N D H O N E S T ” Q U E S T I O N S F R O M T H E
E N T I R E C O M P A N Y . T H I S D E M O N S T R A T E S A
C O M M I T M E N T T O C O N T I N U O U S I M P R O V E M E N T
T H R O U G H C O M P A N Y - W I D E D I A L O G U E .
3.1
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Culture Principle: Allow
Agency at All Levels ∙
O V E R V I E W / /
Agency is the notion that each individual
can choose and express by free will his
or her actions, beliefs, behaviors, etc. It
is a cornerstone of anthropological and
psychological theory and a presupposition
of modern society. Agency dictates
loyalty and affiliation; the greater the
level of agency one has, the more likely
that person will be invested in their
community.
R E L E V A N C E / /
Traditional organizations with
authoritarian structures are often
reluctant to distribute agency to the
detriment of culture. Suppressing
expression and choice only deepens
a feeling of disengagement and
disempowerment. Rather than
leaving it up to a management
team to make decisions around
how to affect the culture, it is more
effective to give teams and/or
employees forums for expression
and participation. Participation can
happen at many levels, including
peer mentorship groups, cross-
functional committees, or rotating
employee-led HR councils.
E X A M P L E / /
A T P I X A R , L E A D E R S H I P G I V E S E V E R Y
N E W H I R E T H E C O N F I D E N C E T O S P E A K
U P B Y E M P H A S I Z I N G C O U N T L E S S
E M B A R R A S S I N G M I S T A K E S T H A T H A V E
B E E N M A D E A N D H O W T H E Y W E R E
R E C T I F I E D . T E A M S A R E T R U S T E D T O
M A K E D E C I S I O N S W I T H O U T L A Y E R S
O F A P P R O V A L S B U T W H E N A T E A M
I S S T U C K , T H E Y C A N C A L L A N
I M P R O M P T U 2 - H O U R C O L L A B O R A T I V E
M E E T I N G W I T H “ T H E B R A I N T R U S T ” ,
M A D E O F P I X A R ’ S M O S T S E N I O R
L E A D E R S .
3.2
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Culture Principle:
Explore and Celebrate
Mythologies ∙
O V E R V I E W / /
Stories are a cultural cornerstone that
humans use to create meaning and
belonging. Both verbal and non-verbal
forms of narrative embody how we feel
about the world around us and help to
sustain the communities they document
and describe. To build a cohesive and
engaged culture, one must examine the
stories that are told internally and how
they reflect the values and intentions of
that culture.
R E L E V A N C E / /
Culture change efforts often rely on
quantitative assessment tools to gauge the
current state of the organization. While
valuable and inclusive, these tools can
discount the nuanced sentiments and
stories that employees share amongst
each other or across functions. Language
is valuable in that it can shed light on the
particular challenges or aspirations of
a team or workforce at large. Company
practices and communications, are most
powerful when they consciously account
for the nuanced vocabulary, tone, and
mythologies embedded within the existing
culture.
E X A M P L E / /
A T B U R B E R R Y , T H E L E A D E R S H I P T E A M
W A S L O O K I N G F O R W A Y S T O I N S P I R E
T H E I R W O R K E R S A N D R E - I G N I T E T H E
L E G A C Y O F T H E B R A N D . T H R O U G H I N -
D E P T H E T H N O G R A P H I C I M M E R S I O N A N D
I N T E R V I E W S W I T H E M P L O Y E E S A T A L L
L E V E L S , A B R A N D B O O K W A S C R E A T E D
T O C A P T U R E T H E C U L T U R E T H R O U G H T H E
E Y E S O F T H E E M P L O Y E E S . T H E B O O K I S
N O W T H E B A S I S O F C O M M U N I C A T I O N S F R O M
L E A D E R S H I P A N D I S U S E D W H E N T R A I N I N G
N E W H I R E S .
3.3
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Culture Principle:
Embrace Liminality and
Experimentation ∙
O V E R V I E W / /
The human experience is defined
by constant transition, change, and
uncertainty, or what’s known in
anthropology as ‘liminality’. We go
through many states of liminality
throughout our lives, for example, in
between graduation and finding a job.
The disorientation of liminality comes
to an end as our identity evolves and
integrates. The same principle applies to
groups of individuals who go through a
time of transition.
R E L E V A N C E / /
When an organization finds itself
in an “in-between” state - a recent
merger, restructuring, or rapid growth
- the uncertainty can disrupt cultural
equilibrium. Times of transition
require new oases of collaboration,
experimentation and co-creation, whether
formally or informally. Liminality
suggests that an organization’s people,
teams or departments can socially and
organically construct a desired outcome
if given the space and time to do so.
E X A M P L E / /
A T W A R B Y P A R K E R , N O T H I N G I S E V E R
S T A T I C . E V E R Y W E E K E M P L O Y E E S A R E
A S K E D F O R T H E I R I N P U T O N V A R I O U S
A S P E C T S O F T H E B U S I N E S S . O N E
S U R V E Y A S K S E M P L O Y E E S T O R A T E T H E I R
H A P P I N E S S A L O N G A S P E C T R U M A N D G I V E
S U P P O R T I N G R E A S O N S F O R T H E I R R A T I N G .
A N O T H E R E X P L I C I T L Y A S K S F O R O N E N E W
M A R K E T - F A C I N G I N N O V A T I O N I D E A . T H E
O U T P U T S O F T H E S E Q U E S T I O N N A I R E S
F R E Q U E N T L Y G O O N T O I N F L U E N C E B O T H
P O L I C Y A N D P R O D U C T .
3.4
C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 6I D E A C O U T U R E © 2 0 1 6 |
O V E R V I E W / /
In anthropology, ‘communitas’ refers to
intense feelings of social togetherness
and belonging defined by recognizing
our common humanity, often in
connection with rituals. Enculturation
refers to ways in which newcomers gain
a sense of communitas and how they
integrate into the already constructed
social fabric. The way they’re integrated
dictates how comfortable they feel
within the culture and how enthusiastic
they are about contributing.
R E L E V A N C E / /
In organizations, employees need to
feel kinship and compatibility with their
peers. At a team or department level this
may include acclimatizing employees
to the existing culture by intentional
on-boarding practices that go beyond
information transfer. Belonging comes
about by investing in understanding an
employee’s purpose, personality and
unique contributions, rather than just
their skills and abilities.
3.5
E X A M P L E / /
W A R B Y P A R K E R E X P L I C I T L Y H I R E S F O R
L I G H T H E A R T E D N E S S A N D H U M I L I T Y . F O R
I N S T A N C E , I N T E R V I E W S W I L L I N C L U D E
Q U E S T I O N S L I K E “ W H A T W A S T H E L A S T
C O S T U M E Y O U W O R E ? ” I N O R D E R T O G A U G E
H O W T H E P O T E N T I A L E M P L O Y E E R E A C T S
T O A Q U E S T I O N T H A T F U N D A M E N T A L L Y
R E V E A L S A T T I T U D E S T O W A R D S
U N I N H I B I T E D N E S S A N D P L A Y .
Culture Principle:
Establish Communitas
and Enculturation ∙
C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 7I D E A C O U T U R E © 2 0 1 6 |
Culture Principle: Create
Meaningful Reciprocity ∙
O V E R V I E W / /
Anthropologist Marcel Mauss famously
coined the idea that there is an intrinsic
bond forged between a giver and receiver
in a gifting exchange. The object that is
being gifted is more than just a physical
object; it is imbued with meaning and
creates a moral and magical link between
people. This idea of reciprocity underlies
most social relationships, whereby there
is a perceived obligation to give back
once given to.
R E L E V A N C E / /
To form strong organizational
subcultures, it’s important to define
what constitutes a meaningful exchange
between employer and employee, or
manager and team member. Engagement
requires an employee to feel motivated
and as invested in the company or team’s
success as the company or team is
invested in theirs. To establish a feeling
of mutual investment, leaders may
consider introducing mechanisms like
mentoring or coaching programs, clear
goals and growth opportunities, flexible
working hours, or social activities.
E X A M P L E / /
T O E N S U R E M A N A G E R S A R E C O N T I N U A L L Y
I N S P I R I N G E M P L O Y E E S I N A M E A N I N G F U L
W A Y , T H E M E D I U M P E O P L E O P S T E A M
D E S I G N E D A B E S P O K E H U M A N - C E N T R E D
F E E D B A C K S Y S T E M T H A T R E S U L T S I N
A N A R R A T I V E O F E A C H E M P L O Y E E . T H E
S T O R Y P R O V I D E S A D E S C R I P T I V E A N D
H O L I S T I C A C C O U N T O F O N E ' S S T R E N G T H S ,
D E S I R E S , G O A L S E T C . A N D E V E R Y S I X
M O N T H S A N E W C H A P T E R I S A D D E D .
T H E S T O R Y I S A C C E S S I B L E T O T H E
E M P L O Y E E ' S M A N A G E R A N D P R O V I D E S A N
A C T I O N - O R I E N T E D S Y S T E M R O O T E D I N T H E
N E E D S O F T H E I N D I V I D U A L .
3.6
C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 8
Culture Principle:
Harnessing Visual and
Material Culture ∙
O V E R V I E W / /
Material culture describes the relationship
between people and their things, including
the making, history, preservation, and
interpretation of objects, and how space
and objects create meaning. The things we
create reflect our beliefs about the world,
and the things around us affect the way
that we understand the world and relate to
one another.
R E L E V A N C E / /
There is a direct relationship between
an organization’s physical environment
and the health of its culture. Depending
on whether the material and physical
environment of an office supports
or counteracts the desired cultural
values, it can enhance or disrupt group
cohesion. The physical environment must
deliberately reflect and connect with the
organization’s beliefs and values. Even
small changes to color or seating can
make a difference.
E X A M P L E / /
P I X A R I S B U I L T O N A W H O L E H E A R T E D
B E L I E F I N T H E P O W E R O F C O L L E C T I V E ,
E G A L I T A R I A N C R E A T I V I T Y , W H I C H T H E
O F F I C E E N V I R O N M E N T P H Y S I C A L L Y
R E F L E C T S . T H E C O R N E R S T O N E O F T H E
P I X A R C A M P U S I S T H E E X P A N S I V E L Y O P E N
“ A T R I U M ” , W H I C H C O N T A I N S A M A J O R I T Y
O F T H E B U I L D I N G ’ S M O S T O F T - V I S I T E D
M E E T I N G S R O O M S , T H E C A F E T E R I A , A N D
T H E F I T N E S S C E N T E R . T H I S D E S I G N
P R O M O T E S I N T E R A C T I O N S B E T W E E N
E M P L O Y E E S A N D L E A D S T O S P O N T A N E O U S
C O L L A B O R A T I O N S E S S I O N S T H A T E M B O D Y
T H E P I X A R E T H O S .
3.7 I D E A C O U T U R E © 2 0 1 6 | 1 8
C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 9I D E A C O U T U R E © 2 0 1 6 | 1 9
Culture Principle:
Encourage Selfhood ∙
O V E R V I E W / /
Making sense of one’s purpose and
identity is a life-long pursuit, and the
most driven people are always on a
journey towards self-betterment. As
human beings we crave the ability to
connect to others within a community
while still being recognized for the
individuals that we are. Our identities are
grounded in universal human truths and
emotions, but are also highly dynamic,
emergent, and evolving.
R E L E V A N C E / /
Individuals crave a workplace
where they can embrace and
project their truest selves.
Positive, progressive work
cultures support their employees’
personal journeys by providing
and nurturing opportunities for
growth, self-expression, and
personal exploration. Leaders or
managers that support their people
by placing value and care into
feedback and designing explicit and
implicit mentorship structures are
more likely to have a satisfied and
engaged workforce.
E X A M P L E / /
A T P I X A R , H R H A S B E E N R E B R A N D E D
“ T H E D E V E L O P M E N T D E P A R T M E N T ”
A N D S E E K S T O M A K E E V E R Y E M P L O Y E E
F E E L B A L A N C E D A N D F U L F I L L E D . T O
F O S T E R A C U L T U R E O F L E A R N I N G ,
E M P L O Y E E S A R E E N C O U R A G E D T O
E X P L O R E T H E I R C U R I O S I T I E S , F O R
E X A M P L E B Y P U B L I S H I N G I N A N
A C A D E M I C J O U R N A L O R T A K I N G A N
I N T E R E S T C L A S S O F F E R E D B Y T H E
C O M P A N Y .
3.8
C O - C R E A T I N G C O R P O R A T E C U L T U R E | 2 0I D E A C O U T U R E © 2 0 1 6 |
conclusion—
04
/ / E I G H T K E Y P R I N C I P L E S E X I S T
T O S U P P O R T T H E C R E A T I O N O F
C O H E S I V E C U L T U R E
/ / T R A N S F O R M A T I O N A L C H A N G E
I S O N L Y P O S S I B L E W H E N I T
E M E R G E S F R O M A P L A C E O F
S E L F - R E F L E C T I O N
/ / I N V E S T I N G I N E M P L O Y E E S
C R E A T E S 	A F E E L I N G O F
O W N E R S H I P O V E R S U C C E S S
O F B U S I N E S S O U T C O M E S , AND
ULTIMATELY GENERATES TANGIBLE
BUSINESS VALUE
/ / ENGAGEMENT IS MORE THAN
METRICS, IT’S ABOUT DESIGNING
STRUCTURES TO INSPIRE AND
EMPOWER THE WORKFORCE
/ / AUTHENTIC CULTURE MUST
AND CAN BE BUILT TO CREATE
LASTING ENGAGEMENT
Key Takeaways ∙
/ / C H A N G E I S P O S S I B L E
R E G A R D L E S S O F O R G A N I Z A T I O N A L
S I Z E , A G E , O R I N D U S T R Y
/ / E F F E C T I V E C U L T U R E C H A N G E
C O M E S F R O M C O M M I T M E N T A N D
I N P U T A T A L L L E V E L S
/ / S T A R T A T T H E B O T T O M A N D
A D V A N C E I N I N C R E M E N T A L
F A S H I O N U S I N G S U B C U L T U R E S
T O M A K E C H A N G E M A N A G E A B L E
An Energized Culture
is Attainable ∙
Participatory culture is the
key to a successful and
satisfied workplace. To begin,
organizations must take an
honest inventory of what’s on
their inside.
CEOs and leadership teams must
assess issues with integrity and respect
for the well-being of the collective.
Every organization has different
challenges and working environments
and therefore unique opportunities for
transformation. Each opportunity is an
invitation to bring employees together,
celebrate the collective, and achieve
positive growth. To apply the culture
principles with a team, department,
or organization, a combination of
professional rigorous exploration,
insight, and strategic action is required.
Coupling the culture principles outlined
with small-scale participatory efforts
generates lasting impact no matter who
or where you are.
C O - C R E A T I N G C O R P O R A T E C U L T U R E | 2 0I D E A C O U T U R E © 2 0 1 6 |
C O - C R E A T I N G C O R P O R A T E C U L T U R E | 2 1
about the
authors—
Courtney Lawrence
S E N I O R R E S I D E N T A N T H R O P O L O G I S T
Courtney combines sharp intellectual rigor
with creativity, intuition and compassion.
She tackles complex business challenges
daily. Her expertise in translating insight to
strategy results in meaningful product and
service innovations in any sector. Ensuring a
competitive advantage and on-going market
relevance are two key benefits that Courtney
delivers to clients.
Courtney has worked with companies across
diverse industries to re-design existing
offerings to capture new market opportunities,
launch new products and services to fill
unmet needs, guide brand development for
industry leadership, and develop new strategic
platforms for growth. Creating cohesive
workplace communities through internal
employee, operations and culture innovation
is central to her work. Courtney holds a
Master’s Degree with Distinction in Visual
Anthropology from the University of Oxford.
Notable clients include Proctor and Gamble, Whirlpool
Corporation, lululemon athletica, Telus Communications,
Reckitt Benckiser, UCB, The Hospital for SickKids and the
Canadian Scholarship Trust.
Jason Marder
I N N O V A T I O N S T R A T E G I S T
A journalist named Max Lerner was quoted as
saying, “I’m neither an optimist nor pessimist,
but a possibilist,” and it’s by this maxim that
Jason lives and works. Jason has a passion
for customer experience that stretches back
to his early days as a digital strategist. Prior
to joining Idea Couture, Jason was strategy
consultant at PwC, where, as a core member
of the customer impact team, he collaborated
with clients to better understand their
customers and translate those insights into real
business value.
With a grasp on market sensitivity and a
grounding in design thinking, Jason helps
clients from utilities to hotel groups to
nonprofits realize the possibilities that
result from being more collaborative and
more attuned to customers’ perennially
changing needs. Jason’s work spans a breadth
of complex industries each with distinct
challenges. Jason holds two bachelor of
science degrees from Cornell University; one
in Behavioral Economics  Business Strategy
and one in Technology  Social Influence.
His clients include Whirlpool Corporation, FedEx, VF, Avaya,
Samsung, Bose, Wyndham Hotels, Citi, and Duke Energy.
I D E A C O U T U R E © 2 0 1 6 |
C O - C R E A T I N G C O R P O R A T E C U L T U R E | 2 2I D E A C O U T U R E © 2 0 1 6 |
who
we are
We help leading companies envision
and create differentiating breakthrough
products, services and programs that
fulfill client requirements, build lasting
emotional connections between customers
and brands, and drive new revenue.
We believe in the power of D-School +
B-School™. Delivering value by bringing
the best team of multi-disciplinary minds
to every project, our internal expertise in
anthropology, sociology, futures, strategy,
branding and the design of new product
experiences enables us to negotiate our
way through any consumer, channel or
business obstacle.
I D E A C O U T U R E I S A N A W A R D - W I N N I N G
G L O B A L S T R A T E G I C I N N O V A T I O N A N D
E X P E R I E N C E D E S I G N F I R M .
We are driven by an informed intuition
that combines creativity and rigour,
insight and foresight, art and science,
intelligence and elegance. Every one of
our teams employs an adaptive, holistic
and user-centered approach to the
development of experiences.
With a clear focus on engagement
throughout the lifecycle of every
project, we plan not only the interactions
between users and products but also
the wide range of situations where these
relationships are formed and maintained.
Striking the ideal balance between
rational and emotional contexts is key to
our innovation process.
T O R O N T O
S A N F R A N C I S C O
N E W Y O R K
L O N D O N
S H A N G H A I
M E X I C O C I T Y
S Ã O P A U L O
Scott Friedmann
Chief Innovation Officer
sfriedmann@ideacouture.com
647.827.0412 ext 202
Courtney Lawrence
Senior Resident Anthropologist
clawrence@ideacouture.com
647.448.3830

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Co-creating corporate culture white paper

  • 1. courtney lawrence Senior Resident Anthropologist jason marder Innovation Strategist white paper co-creating corporate culture
  • 2. "Like the unique patterns of ice crystallized on glass, every organization is a unique combination of forces formed over time. - Courtney Lawrence — Cover Photo Credit: Aja, Star Teacher
  • 3. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 3I D E A C O U T U R E © 2 0 1 6 | —content 01 02 03 04 overview 04 The Mounting Crisis 05 Culture’s Impact on Business Health 06 Signals of Disengagement 07 Socio-Cultural Shifts Affecting Engagement 08 Challenges for Large Organizations the culture solution 09 Culture Goes Beyond Office Perks 09 Culture is Shaped, not Dictated 10 The Potential of Subcultures 10 Embracing Micro Culture Change activating culture creation 12 Lead From and For the Collective 13 Allow Agency at All Levels 14 Explore and Celebrate Mythologies 15 Embrace Liminality + Experimentation 16 Establish Communitas + Enculturation 17 Create Meaningful Reciprocity 18 Harness Visual + Material Culture 19 Encourage Selfhood conclusion 20 Key Takeaways 21 About the Authors 22 Who We Are
  • 4. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 4I D E A C O U T U R E © 2 0 1 6 | overview— 9 0 0 M I L L I O N P E O P L E D O N ’ T F E E L E N G A G E D B Y T H E I R W O R K . T H E R E A R E 3 4 0 M I L L I O N A C T I V E L Y D I S E N G A G E D W O R K E R S A R O U N D T H E G L O B E D I S E N G A G E M E N T C O S T S U . S . C O M P A N I E S B E T W E E N $ 4 5 0 B I L L I O N A N D $ 5 5 0 B I L L I O N I N L O S T P R O D U C T I V I T Y E V E R Y Y E A R The modern employee lives for work that is purposeful and engaging; seeking dialogue over dictation, purpose over pensions, and satisfaction over standardization. The Googles, Pixars, and Zappos of the world recognize this and have intentionally built cultures to meet this need. As a result, they are not only some of the most desirable companies to work for, but also some of the most objectively and commercially successful. Culture is the key variable. The Mounting Crisis ∙ The engagement crisis is real. Increasingly, employees are dissociating from their stagnant and restrictive workplaces at unprecedented rates. According to Gallup’s 2016 “State of the American Workplace” study, 70% of employees worldwide report that their work is not engaging. One quarter of that subset is “actively disengaged,” meaning they’re liable to publicize their dissatisfaction and adversely influence their peers. This translates to approximately 900 million people that don’t feel engaged by their work and 340 million actively disengaged workers around the globe. Such viral, cyclical negativity threatens the stability of the workforce. Disengagement costs US companies between $450 billion and $550 billion in lost productivity every year. In 2014, Deloitte surveyed 2,532 global business and HR leaders from 94 countries and countless industries. 01 Three quarters of those surveyed admit they: / / G R A P P L E W I T H A S I G N I F I C A N T E N G A G E M E N T + R E T E N T I O N P R O B L E M / / S T R U G G L E T O A T T R A C T A N D R E C R U I T T A L E N T E D P E O P L E / / H A V E A L A C K L U S T E R E M P L O Y M E N T “ B R A N D ”
  • 5. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 5 02/ I N E U R O P E A N F I R M S T H A T C R E A T E F R E E D O M F O R S E M I - A U T O N O M O U S G R O U P S T O O R G A N I Z E , 6 8 % R E D U C E D C O S T S , 8 7 % R E D U C E D T H R O U G H P U T T I M E S , 9 8 % I M P R O V E D T H E I R P R O D U C T S A N D S E R V I C E S , A N D 8 5 % I N C R E A S E D S A L E S Fast Facts: Culture’s Impact on Business Health ∙ 01/ T H O S E C O M P A N I E S T H A T A R E P U B L I C L Y T R A D E D O N F O R T U N E ’ S ' 1 0 0 B E S T C O M P A N I E S T O W O R K F O R ' L I S T H A V E O U T P E R F O R M E D T H E S P 5 0 0 T W O T O O N E . S I N C E T H E L I S T B E G A N , T H E 1 2 C O M P A N I E S T H A T H A V E A P P E A R E D O N T H E L I S T E V E R Y Y E A R C R E A T E D 3 4 1 , 5 6 7 N E W J O B S , A N I N C R E A S E O F 1 7 2 % J O B G R O W T H 03/ E X T E N S I V E S W E D I S H W O R K P L A C E S U R V E Y S R E V E A L E D T H A T F L E X I B L E O R G A N I Z A T I O N S A R E M O R E P R O D U C T I V E ( + 2 0 - 6 0 % ) , H A V E L E S S P E R S O N N E L T U R N O V E R ( - 2 1 % ) , A N D L E S S F R E Q U E N T H E A L T H - R E L A T E D A B S E N C E S ( - 2 4 % ) C O M P A R E D T O C O M P A N I E S T H A T H A V E M O R E T R A D I T I O N A L O R G A N I Z I N G S T R U C T U R E S An authentic and energized company culture that draws talent and drives profit is achievable. 04/ 7 1 % O F E M P L O Y E E S A G R E E T H A T E M P L O Y E E E N G A G E M E N T I S V E R Y I M P O R T A N T T O A C H I E V I N G O V E R A L L O R G A N I Z A T I O N A L S U C C E S S 05/ C O M P A N I E S T H A T H A V E M O R E T A L E N T E D M A N A G E R S A N D H I G H E R P R O P O R T I O N S O F E N G A G E D E M P L O Y E E S A C H I E V E , O N A V E R A G E , 1 4 7 % H I G H E R E A R N I N G S P E R S H A R E T H A N T H E I R C O M P E T I T O R S — Moskowitz, Milton, and Robert Levering. The Best Employers in the U.S. Say their Greatest Tool is Culture, Fortune Magazine. — Totterdill, Peter, Steven Dhondt, and Neil Devons. The Case for Workplace Innovation. European Workplace Innovation Network. — The Impact of Employee Engagement on Performance, Harvard Business Review, 2013. — Beck, Randall, and Jim Harter. Why Great Managers Are So Rare, Gallup Business Journal, March 25, 2013. 01/ 02/03 04/ 05/ C O - C R E A T I N G C O R P O R A T E C U L T U R E | 5I D E A C O U T U R E © 2 0 1 6 |
  • 6. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 6I D E A C O U T U R E © 2 0 1 6 | Fast Facts: Signals of Disengagement ∙ T H E F O L L O W I N G A R E S I G N S T H A T Y O U R C O M P A N Y , T E A M O R D E P A R T M E N T A R E D I S E N G A G E D : — Innovation efforts that are ineffective and/or do not gain traction internally — Challenges hiring the right people or attracting top talent — Requests for divisional transfers — Frequent salary or benefits negotiations — Overwhelmed HR departments — Reduction in candidate referrals — Employee dissatisfaction with direct managers — High number of sick days taken, employee absences and remote work requests — High levels of employee turnover — Customer dissatisfaction — Decline in company profits — Shrinking employee tenure — Inter-employee conflicts
  • 7. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 7 Socio-Cultural Shifts Affecting Engagement ∙ Engagement emerges from the investment in a higher purpose. In business, it means investment in a role, a company, a brand, and a community. The popularity of purpose-led organizations with purpose-focused cultures has grown in recent years. Leadership expert and author, Simon Sinek made famous the simple, yet powerful, idea that all organizations need to first understand their “why”, or their guiding reason for being, before trying to sell what they do. Stephen Shedletzky, Head Engagement Officer at Simon Sinek, Inc., explains, “no one wakes up in the morning and says, ‘Ah, I want to be managed today’. We want to be led. We want to have a vision and a cause to believe in. We want to have a WHY.” Certain socio-cultural shifts support this desire. When ignored or not met by an employer, these drivers have the potential to create employees who are not invested in the business, the brand, or the work. When ignored or not met by an employer, these drivers have the potential to create employees who are not invested in the business, the brand, or the work. Socio-Cultural Shifts ∙ N O T I O N S O F W O R K - L I F E B L E N D I N G / / A greater acceptance of personhood at work and expectations of bringing one’s whole self to the job T E C H N O L O G I C A L E N A B L E M E N T / / Expectations for greater fluidity in working environments and greater transparency in communications H O L I S T I C L I V I N G / / Rising health concerns and subsequent desires to live for personal well-being: physically, emotionally, mentally H A P P I N E S S R E - D E F I N E D / / Rising desire for emotional and spiritual satisfaction in life beyond material happiness D I A L O G U E O V E R D I C T A T I O N / / Greater demand for two-way communication and conversation in lieu of dictation or dogmatism E Q U A L I Z I N G P O W E R S T R U C T U R E S / / Increasing diffusion and flattening of hierarchical structures and rising power of collaborative networks C O M M U N I T Y B U I L D I N G / / A search for safe, trusting environments and meaningful connection within communities I D E A C O U T U R E © 2 0 1 6 |
  • 8. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 8I D E A C O U T U R E © 2 0 1 6 | Challenges for Large Organizations ∙ Many organizations have struggled in their approach to implement conscious change in large and/or highly bureaucratic environments, especially those that have existed for years and enjoyed steady success. In organizations focused on how much of the top line gets to the bottom, calculating the impact of culture on profit can seem like a nebulous or distracting exercise. However, this cultural neglect can and must be overcome as companies renowned for their cultures will poach top talent from direct competitors and adjacent industries. Opportunities exist for organizations of any size, age or industry to inspire and engage their workplace if they can identify, explore, and shift these challenges. C O N S T R A I N E D S T R U C T U R E S / / Highly micromanaged change efforts negate the inherent fluidity of change. Agile and responsive approaches are more challenging in larger organizations. L I M I T E D R E S O U R C E S / / Companies lack the capital to execute a redesign to scale. Whole system change requires money, time, effort, and coordination. B U R E A U C R A T I C B A R R I E R S / / For complex organizational structures, it can be years before a major cultural decision is approved and, by that time, the change may no longer be relevant. C O M M U N I C A T I O N I N E F F I C I E N C I E S / / Employees who are disconnected from decisions are often uninterested in or resist making the change a reality. C O L L E C T I V E N O S T A L G I A + F E A R / / Disrupting a particular norm when people are comfortable with the status quo can be intimidating. It is easier to mobilize change in smaller numbers. T O P I C A L A P P R O A C H E S / / Culture change initiatives that have a narrow lens can offer topical and ineffective solutions without getting to the root problems. O N E - S I Z E - F I T S - A L L M E N T A L I T Y / / Change is approached in a uniform way, without taking into consideration the particular context of the team or the organizational nuances. S U P E R F I C I A L M E A S U R E S O F I M P A C T / / Most success metrics and tools are not detailed enough, aren’t real-time, and do not consider all the work-related issues that drive employee commitment. These challenges can and must be overcome as companies renowned for their cultures will poach top talent from direct competitors and adjacent industries.
  • 9. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 9 02 Culture goes beyond office perks ∙ Culture has become a buzzword, yet for many organizations continues to lack meaning and actionability. While company leaders are increasingly aware that an engaging culture is crucial for staff retention, productivity, and business success, it remains superficial or non-directional. Meaningful culture is more than a new tagline, values statement, social perk, or a beautifully designed office. Culture building is more complex, but it doesn’t have to be an arduous task if everyone within a system approaches it in a constructive way. For anthropologists, culture is a holistic and intricate system. It emerges from the norms, rituals, languages, and spaces of a group of people. It is the set of learned behaviors and ideas, including beliefs, attitudes, values, and ideals, that are characteristic expressions particular to a social group. This system also gives rise to the production of cultural products or material artifacts representative of that group. Culture is shaped, not dictated ∙ Culture is socially constructed and ever evolving. Culture is not something that can be dictated top-down or guided by a set of assumptions drawn from elsewhere. Holistic, authentic culture starts with the input of every member towards the design of a living, evolving workplace identity. the culture— solution Just as no two individuals are created equal, when groups of people organize, the overlap of unique personalities, skills and preferences gives rise to a highly fluid, even unpredictable, domain of interactivity. Culture is never formulaic or mechanic. Holistic, authentic culture starts with the input of every member towards the design of a living, evolving workplace identity. When culture is socially constructed by an invested democracy, the social, intellectual, and emotional fabric of a company is directly compatible with the character(s) of its constituency. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 9I D E A C O U T U R E © 2 0 1 6 |
  • 10. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 0I D E A C O U T U R E © 2 0 1 6 | The Potential of Subcultures ∙ Amongst anthropologists and sociologists, subcultures are understood as groups that emerge within the domain of an overarching culture. Subcultures are manifest in society in groups such as underground music movements, alternative spiritual circles, or community volunteer organizations. Such groups hold values and norms that slightly differ from those of the majority within a wider society, but often still connect to and align with the dominant culture. Within organizations, subcultures may form within individual teams, departments, or entire operating functions. Subcultures act as a breeding and proving ground for engagement and positive change. Embracing Micro Culture Change ∙ The power of change comes from incremental action that inspires movement. In theories of cultural diffusion, a society can be compared to agricultural ecologies with interconnected parts, whereby change in one part of the system influences and brings change in another part of the system. The process of organizational culture change or creation is impactful when it starts with one department or a single team. Small-scale participatory efforts, such as internal inovation labs, rapid brainstorming events, or employee committees, provide opportunities for new cultural norms to be born. Small tweaks to office language or meeting protocol for example, can serve as starting points for effective transformation. S U S T A I N A B L E A N D S C A L A B L E O R G A N I Z A T I O N A L C H A N G E I S M O R E E F F E C T I V E A N D M A N A G E A B L E W I T H I N A C H O S E N S U B C U L T U R E F O R T H E F O L L O W I N G R E A S O N S : / / L O W E R C O S T / / L O W E R R I S K / / P O T E N T I A L L Y H I G H E R R E T U R N / / G R E A T E R D E P T H O F U N D E R S T A N D I N G / / R E P L I C A B L E / / S M A L L E R T I M E I N V E S T M E N T
  • 11. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 1I D E A C O U T U R E © 2 0 1 6 | activating cultural creation— 03 In examining how leading companies motivate and inspire their workforce, it is clear that eight key principles drive engaging and thriving culture no matter size, age or industry. By activating these principles in incremental movements within a subculture, pervasive culture is built. Each culture principle combines concepts from anthropology, positive psychology, and social change theory with a concrete manifestation from cultural exemplars including Pixar, Warby Parker, Medium, and Burberry. 3 . 1 L E A D F R O M A N D F O R T H E C O L L E C T I V E 3 . 2 A L L O W A G E N C Y A T A L L L E V E L S 3 . 3 E X P L O R E A N D C E L E B R A T E M Y T H O L O G I E S 3 . 4 E M B R A C E L I M I N A L I T Y + E X P E R I M E N T A T I O N 3 . 5 E S T A B L I S H C O M M U N I T A S + E N C U L T U R A T I O N 3 . 6 C R E A T E M E A N I N G F U L R E C I P R O C I T Y 3 . 7 H A R N E S S V I S U A L A N D M A T E R I A L C U L T U R E 3 . 8 E N C O U R A G E S E L F H O O D — Note: There is no single way to create culture. Not all of these principles may apply to your organization. If they do, it may not be all at once. By activating these principles in incremental movements within a subculture, pervasive culture is built. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 1I D E A C O U T U R E © 2 0 1 6 |
  • 12. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 2I D E A C O U T U R E © 2 0 1 6 | Culture Principle: Lead From and For the Collective ∙ O V E R V I E W / / Any well-functioning society has a leader or leadership group that sets the vision for the community and leads the people toward that vision. In the most successful communities, leadership and the collective are interdependent. Leadership recognizes the necessity of the collective’s involvement and treats them with humility, respect, and admiration. R E L E V A N C E / / Leadership commitment is key to any change effort. Many organizations believe it is HR’s job to create or change culture; however, engaged leaders demonstrate dedication to making great culture a reality. Company town halls or executive-led stand-up meetings show a willingness to listen, and action on the outcomes of these meetings demonstrates the value of employee input. E X A M P L E / / M E D I U M H A S W E E K L Y F R I D A Y A F T E R N O O N M E E T I N G S , O R ' F A M ' F O R S H O R T , D U R I N G W H I C H T H E C E O A N D T H E R E S T O F T H E E X E C U T I V E T E A M F I E L D S “ O P E N A N D H O N E S T ” Q U E S T I O N S F R O M T H E E N T I R E C O M P A N Y . T H I S D E M O N S T R A T E S A C O M M I T M E N T T O C O N T I N U O U S I M P R O V E M E N T T H R O U G H C O M P A N Y - W I D E D I A L O G U E . 3.1
  • 13. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 3I D E A C O U T U R E © 2 0 1 6 | Culture Principle: Allow Agency at All Levels ∙ O V E R V I E W / / Agency is the notion that each individual can choose and express by free will his or her actions, beliefs, behaviors, etc. It is a cornerstone of anthropological and psychological theory and a presupposition of modern society. Agency dictates loyalty and affiliation; the greater the level of agency one has, the more likely that person will be invested in their community. R E L E V A N C E / / Traditional organizations with authoritarian structures are often reluctant to distribute agency to the detriment of culture. Suppressing expression and choice only deepens a feeling of disengagement and disempowerment. Rather than leaving it up to a management team to make decisions around how to affect the culture, it is more effective to give teams and/or employees forums for expression and participation. Participation can happen at many levels, including peer mentorship groups, cross- functional committees, or rotating employee-led HR councils. E X A M P L E / / A T P I X A R , L E A D E R S H I P G I V E S E V E R Y N E W H I R E T H E C O N F I D E N C E T O S P E A K U P B Y E M P H A S I Z I N G C O U N T L E S S E M B A R R A S S I N G M I S T A K E S T H A T H A V E B E E N M A D E A N D H O W T H E Y W E R E R E C T I F I E D . T E A M S A R E T R U S T E D T O M A K E D E C I S I O N S W I T H O U T L A Y E R S O F A P P R O V A L S B U T W H E N A T E A M I S S T U C K , T H E Y C A N C A L L A N I M P R O M P T U 2 - H O U R C O L L A B O R A T I V E M E E T I N G W I T H “ T H E B R A I N T R U S T ” , M A D E O F P I X A R ’ S M O S T S E N I O R L E A D E R S . 3.2
  • 14. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 4I D E A C O U T U R E © 2 0 1 6 | Culture Principle: Explore and Celebrate Mythologies ∙ O V E R V I E W / / Stories are a cultural cornerstone that humans use to create meaning and belonging. Both verbal and non-verbal forms of narrative embody how we feel about the world around us and help to sustain the communities they document and describe. To build a cohesive and engaged culture, one must examine the stories that are told internally and how they reflect the values and intentions of that culture. R E L E V A N C E / / Culture change efforts often rely on quantitative assessment tools to gauge the current state of the organization. While valuable and inclusive, these tools can discount the nuanced sentiments and stories that employees share amongst each other or across functions. Language is valuable in that it can shed light on the particular challenges or aspirations of a team or workforce at large. Company practices and communications, are most powerful when they consciously account for the nuanced vocabulary, tone, and mythologies embedded within the existing culture. E X A M P L E / / A T B U R B E R R Y , T H E L E A D E R S H I P T E A M W A S L O O K I N G F O R W A Y S T O I N S P I R E T H E I R W O R K E R S A N D R E - I G N I T E T H E L E G A C Y O F T H E B R A N D . T H R O U G H I N - D E P T H E T H N O G R A P H I C I M M E R S I O N A N D I N T E R V I E W S W I T H E M P L O Y E E S A T A L L L E V E L S , A B R A N D B O O K W A S C R E A T E D T O C A P T U R E T H E C U L T U R E T H R O U G H T H E E Y E S O F T H E E M P L O Y E E S . T H E B O O K I S N O W T H E B A S I S O F C O M M U N I C A T I O N S F R O M L E A D E R S H I P A N D I S U S E D W H E N T R A I N I N G N E W H I R E S . 3.3
  • 15. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 5I D E A C O U T U R E © 2 0 1 6 | Culture Principle: Embrace Liminality and Experimentation ∙ O V E R V I E W / / The human experience is defined by constant transition, change, and uncertainty, or what’s known in anthropology as ‘liminality’. We go through many states of liminality throughout our lives, for example, in between graduation and finding a job. The disorientation of liminality comes to an end as our identity evolves and integrates. The same principle applies to groups of individuals who go through a time of transition. R E L E V A N C E / / When an organization finds itself in an “in-between” state - a recent merger, restructuring, or rapid growth - the uncertainty can disrupt cultural equilibrium. Times of transition require new oases of collaboration, experimentation and co-creation, whether formally or informally. Liminality suggests that an organization’s people, teams or departments can socially and organically construct a desired outcome if given the space and time to do so. E X A M P L E / / A T W A R B Y P A R K E R , N O T H I N G I S E V E R S T A T I C . E V E R Y W E E K E M P L O Y E E S A R E A S K E D F O R T H E I R I N P U T O N V A R I O U S A S P E C T S O F T H E B U S I N E S S . O N E S U R V E Y A S K S E M P L O Y E E S T O R A T E T H E I R H A P P I N E S S A L O N G A S P E C T R U M A N D G I V E S U P P O R T I N G R E A S O N S F O R T H E I R R A T I N G . A N O T H E R E X P L I C I T L Y A S K S F O R O N E N E W M A R K E T - F A C I N G I N N O V A T I O N I D E A . T H E O U T P U T S O F T H E S E Q U E S T I O N N A I R E S F R E Q U E N T L Y G O O N T O I N F L U E N C E B O T H P O L I C Y A N D P R O D U C T . 3.4
  • 16. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 6I D E A C O U T U R E © 2 0 1 6 | O V E R V I E W / / In anthropology, ‘communitas’ refers to intense feelings of social togetherness and belonging defined by recognizing our common humanity, often in connection with rituals. Enculturation refers to ways in which newcomers gain a sense of communitas and how they integrate into the already constructed social fabric. The way they’re integrated dictates how comfortable they feel within the culture and how enthusiastic they are about contributing. R E L E V A N C E / / In organizations, employees need to feel kinship and compatibility with their peers. At a team or department level this may include acclimatizing employees to the existing culture by intentional on-boarding practices that go beyond information transfer. Belonging comes about by investing in understanding an employee’s purpose, personality and unique contributions, rather than just their skills and abilities. 3.5 E X A M P L E / / W A R B Y P A R K E R E X P L I C I T L Y H I R E S F O R L I G H T H E A R T E D N E S S A N D H U M I L I T Y . F O R I N S T A N C E , I N T E R V I E W S W I L L I N C L U D E Q U E S T I O N S L I K E “ W H A T W A S T H E L A S T C O S T U M E Y O U W O R E ? ” I N O R D E R T O G A U G E H O W T H E P O T E N T I A L E M P L O Y E E R E A C T S T O A Q U E S T I O N T H A T F U N D A M E N T A L L Y R E V E A L S A T T I T U D E S T O W A R D S U N I N H I B I T E D N E S S A N D P L A Y . Culture Principle: Establish Communitas and Enculturation ∙
  • 17. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 7I D E A C O U T U R E © 2 0 1 6 | Culture Principle: Create Meaningful Reciprocity ∙ O V E R V I E W / / Anthropologist Marcel Mauss famously coined the idea that there is an intrinsic bond forged between a giver and receiver in a gifting exchange. The object that is being gifted is more than just a physical object; it is imbued with meaning and creates a moral and magical link between people. This idea of reciprocity underlies most social relationships, whereby there is a perceived obligation to give back once given to. R E L E V A N C E / / To form strong organizational subcultures, it’s important to define what constitutes a meaningful exchange between employer and employee, or manager and team member. Engagement requires an employee to feel motivated and as invested in the company or team’s success as the company or team is invested in theirs. To establish a feeling of mutual investment, leaders may consider introducing mechanisms like mentoring or coaching programs, clear goals and growth opportunities, flexible working hours, or social activities. E X A M P L E / / T O E N S U R E M A N A G E R S A R E C O N T I N U A L L Y I N S P I R I N G E M P L O Y E E S I N A M E A N I N G F U L W A Y , T H E M E D I U M P E O P L E O P S T E A M D E S I G N E D A B E S P O K E H U M A N - C E N T R E D F E E D B A C K S Y S T E M T H A T R E S U L T S I N A N A R R A T I V E O F E A C H E M P L O Y E E . T H E S T O R Y P R O V I D E S A D E S C R I P T I V E A N D H O L I S T I C A C C O U N T O F O N E ' S S T R E N G T H S , D E S I R E S , G O A L S E T C . A N D E V E R Y S I X M O N T H S A N E W C H A P T E R I S A D D E D . T H E S T O R Y I S A C C E S S I B L E T O T H E E M P L O Y E E ' S M A N A G E R A N D P R O V I D E S A N A C T I O N - O R I E N T E D S Y S T E M R O O T E D I N T H E N E E D S O F T H E I N D I V I D U A L . 3.6
  • 18. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 8 Culture Principle: Harnessing Visual and Material Culture ∙ O V E R V I E W / / Material culture describes the relationship between people and their things, including the making, history, preservation, and interpretation of objects, and how space and objects create meaning. The things we create reflect our beliefs about the world, and the things around us affect the way that we understand the world and relate to one another. R E L E V A N C E / / There is a direct relationship between an organization’s physical environment and the health of its culture. Depending on whether the material and physical environment of an office supports or counteracts the desired cultural values, it can enhance or disrupt group cohesion. The physical environment must deliberately reflect and connect with the organization’s beliefs and values. Even small changes to color or seating can make a difference. E X A M P L E / / P I X A R I S B U I L T O N A W H O L E H E A R T E D B E L I E F I N T H E P O W E R O F C O L L E C T I V E , E G A L I T A R I A N C R E A T I V I T Y , W H I C H T H E O F F I C E E N V I R O N M E N T P H Y S I C A L L Y R E F L E C T S . T H E C O R N E R S T O N E O F T H E P I X A R C A M P U S I S T H E E X P A N S I V E L Y O P E N “ A T R I U M ” , W H I C H C O N T A I N S A M A J O R I T Y O F T H E B U I L D I N G ’ S M O S T O F T - V I S I T E D M E E T I N G S R O O M S , T H E C A F E T E R I A , A N D T H E F I T N E S S C E N T E R . T H I S D E S I G N P R O M O T E S I N T E R A C T I O N S B E T W E E N E M P L O Y E E S A N D L E A D S T O S P O N T A N E O U S C O L L A B O R A T I O N S E S S I O N S T H A T E M B O D Y T H E P I X A R E T H O S . 3.7 I D E A C O U T U R E © 2 0 1 6 | 1 8
  • 19. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 1 9I D E A C O U T U R E © 2 0 1 6 | 1 9 Culture Principle: Encourage Selfhood ∙ O V E R V I E W / / Making sense of one’s purpose and identity is a life-long pursuit, and the most driven people are always on a journey towards self-betterment. As human beings we crave the ability to connect to others within a community while still being recognized for the individuals that we are. Our identities are grounded in universal human truths and emotions, but are also highly dynamic, emergent, and evolving. R E L E V A N C E / / Individuals crave a workplace where they can embrace and project their truest selves. Positive, progressive work cultures support their employees’ personal journeys by providing and nurturing opportunities for growth, self-expression, and personal exploration. Leaders or managers that support their people by placing value and care into feedback and designing explicit and implicit mentorship structures are more likely to have a satisfied and engaged workforce. E X A M P L E / / A T P I X A R , H R H A S B E E N R E B R A N D E D “ T H E D E V E L O P M E N T D E P A R T M E N T ” A N D S E E K S T O M A K E E V E R Y E M P L O Y E E F E E L B A L A N C E D A N D F U L F I L L E D . T O F O S T E R A C U L T U R E O F L E A R N I N G , E M P L O Y E E S A R E E N C O U R A G E D T O E X P L O R E T H E I R C U R I O S I T I E S , F O R E X A M P L E B Y P U B L I S H I N G I N A N A C A D E M I C J O U R N A L O R T A K I N G A N I N T E R E S T C L A S S O F F E R E D B Y T H E C O M P A N Y . 3.8
  • 20. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 2 0I D E A C O U T U R E © 2 0 1 6 | conclusion— 04 / / E I G H T K E Y P R I N C I P L E S E X I S T T O S U P P O R T T H E C R E A T I O N O F C O H E S I V E C U L T U R E / / T R A N S F O R M A T I O N A L C H A N G E I S O N L Y P O S S I B L E W H E N I T E M E R G E S F R O M A P L A C E O F S E L F - R E F L E C T I O N / / I N V E S T I N G I N E M P L O Y E E S C R E A T E S A F E E L I N G O F O W N E R S H I P O V E R S U C C E S S O F B U S I N E S S O U T C O M E S , AND ULTIMATELY GENERATES TANGIBLE BUSINESS VALUE / / ENGAGEMENT IS MORE THAN METRICS, IT’S ABOUT DESIGNING STRUCTURES TO INSPIRE AND EMPOWER THE WORKFORCE / / AUTHENTIC CULTURE MUST AND CAN BE BUILT TO CREATE LASTING ENGAGEMENT Key Takeaways ∙ / / C H A N G E I S P O S S I B L E R E G A R D L E S S O F O R G A N I Z A T I O N A L S I Z E , A G E , O R I N D U S T R Y / / E F F E C T I V E C U L T U R E C H A N G E C O M E S F R O M C O M M I T M E N T A N D I N P U T A T A L L L E V E L S / / S T A R T A T T H E B O T T O M A N D A D V A N C E I N I N C R E M E N T A L F A S H I O N U S I N G S U B C U L T U R E S T O M A K E C H A N G E M A N A G E A B L E An Energized Culture is Attainable ∙ Participatory culture is the key to a successful and satisfied workplace. To begin, organizations must take an honest inventory of what’s on their inside. CEOs and leadership teams must assess issues with integrity and respect for the well-being of the collective. Every organization has different challenges and working environments and therefore unique opportunities for transformation. Each opportunity is an invitation to bring employees together, celebrate the collective, and achieve positive growth. To apply the culture principles with a team, department, or organization, a combination of professional rigorous exploration, insight, and strategic action is required. Coupling the culture principles outlined with small-scale participatory efforts generates lasting impact no matter who or where you are. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 2 0I D E A C O U T U R E © 2 0 1 6 |
  • 21. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 2 1 about the authors— Courtney Lawrence S E N I O R R E S I D E N T A N T H R O P O L O G I S T Courtney combines sharp intellectual rigor with creativity, intuition and compassion. She tackles complex business challenges daily. Her expertise in translating insight to strategy results in meaningful product and service innovations in any sector. Ensuring a competitive advantage and on-going market relevance are two key benefits that Courtney delivers to clients. Courtney has worked with companies across diverse industries to re-design existing offerings to capture new market opportunities, launch new products and services to fill unmet needs, guide brand development for industry leadership, and develop new strategic platforms for growth. Creating cohesive workplace communities through internal employee, operations and culture innovation is central to her work. Courtney holds a Master’s Degree with Distinction in Visual Anthropology from the University of Oxford. Notable clients include Proctor and Gamble, Whirlpool Corporation, lululemon athletica, Telus Communications, Reckitt Benckiser, UCB, The Hospital for SickKids and the Canadian Scholarship Trust. Jason Marder I N N O V A T I O N S T R A T E G I S T A journalist named Max Lerner was quoted as saying, “I’m neither an optimist nor pessimist, but a possibilist,” and it’s by this maxim that Jason lives and works. Jason has a passion for customer experience that stretches back to his early days as a digital strategist. Prior to joining Idea Couture, Jason was strategy consultant at PwC, where, as a core member of the customer impact team, he collaborated with clients to better understand their customers and translate those insights into real business value. With a grasp on market sensitivity and a grounding in design thinking, Jason helps clients from utilities to hotel groups to nonprofits realize the possibilities that result from being more collaborative and more attuned to customers’ perennially changing needs. Jason’s work spans a breadth of complex industries each with distinct challenges. Jason holds two bachelor of science degrees from Cornell University; one in Behavioral Economics Business Strategy and one in Technology Social Influence. His clients include Whirlpool Corporation, FedEx, VF, Avaya, Samsung, Bose, Wyndham Hotels, Citi, and Duke Energy. I D E A C O U T U R E © 2 0 1 6 |
  • 22. C O - C R E A T I N G C O R P O R A T E C U L T U R E | 2 2I D E A C O U T U R E © 2 0 1 6 | who we are We help leading companies envision and create differentiating breakthrough products, services and programs that fulfill client requirements, build lasting emotional connections between customers and brands, and drive new revenue. We believe in the power of D-School + B-School™. Delivering value by bringing the best team of multi-disciplinary minds to every project, our internal expertise in anthropology, sociology, futures, strategy, branding and the design of new product experiences enables us to negotiate our way through any consumer, channel or business obstacle. I D E A C O U T U R E I S A N A W A R D - W I N N I N G G L O B A L S T R A T E G I C I N N O V A T I O N A N D E X P E R I E N C E D E S I G N F I R M . We are driven by an informed intuition that combines creativity and rigour, insight and foresight, art and science, intelligence and elegance. Every one of our teams employs an adaptive, holistic and user-centered approach to the development of experiences. With a clear focus on engagement throughout the lifecycle of every project, we plan not only the interactions between users and products but also the wide range of situations where these relationships are formed and maintained. Striking the ideal balance between rational and emotional contexts is key to our innovation process.
  • 23. T O R O N T O S A N F R A N C I S C O N E W Y O R K L O N D O N S H A N G H A I M E X I C O C I T Y S Ã O P A U L O Scott Friedmann Chief Innovation Officer sfriedmann@ideacouture.com 647.827.0412 ext 202 Courtney Lawrence Senior Resident Anthropologist clawrence@ideacouture.com 647.448.3830