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I N N O V AT I O N S • V O L . V I I I , N O. 1 • 2 0 1 6
Perhaps you’ve heard the expression, “Culture eats strategy
for breakfast.”
It’s clever, short, and memorable, to be sure.
But what exactly does that mean?
To me, it suggests that culture and strategy don’t merely go hand-in-
hand, as we’ve long believed. Culture is no longer relegated to companion
status; instead, it drives strategy. Even the best strategy can flounder if the
organizational culture doesn’t support it.
Although culture is defined in many ways – everything from, “that’s
the way we do things around here” to the more pedantic, “group of norms
of behavior and the underlying shared values” – I’ve found the best way to
describe culture is this: it’s the way you think and the way you act. Culture
is the foundation for your corporate identity. It helps attract and retain
employees. And because culture guides the behavior of your workforce, it
ultimately influences business performance.
As an example, consider how culture affects the strategic objective of
improving customer service.
Let’s say there’s a problem with a customer’s order. Which has a more
positive impact on performance and, therefore, bottom line: A culture in
which finger-pointing and assigning blame are the response? Or a culture
where everyone works together to make things right, acknowledges those
positive efforts, and looks for constructive ways to avoid similar problems
in the future?
I think the answer is obvious: the corporate culture that focuses
on behaviors and values, partnership, and cooperation generates better
individual and group performance.
Those same cultural attributes can help organizations be more resilient
in the face of adversity. The ability to survive, rebound, and even thrive
during challenging times – for instance, the current low-price energy
environment – relies as much on culture as it does on cost-cutting.
Finally, the right culture will instill loyalty.
People are loyal to culture, not strategy. Companies that create
a culture that encourages meaningful work and stresses employee
engagement are likely to have more success attracting and retaining
top talent.
In short, culture is your brand. It’s your competitive edge. Others
might copy your business model, your product, your supply or pricing
tactics, but they’ll never be able to replicate your culture.
CAROLINE ANBERRÉE
VICE PRESIDENT,
HUMAN RESOURCES
T.D. WILLIAMSON
E X E C U T I V E O U T L O O K
Culture:
Your Competitive Edge