When culture failure strikes an organization, the organization is rarely the same again afterwards.
Culture failure is a leading failure mode in major organizational failures.
If you are responsible for Risk Management in your organization here are some facts you should know:
- All operating cultures harbor deadly flaws that can precipitate large scale organizational failures if not managed and controlled.
- Operating culture is one of the largest organizational risk factors yet this factor often receives the least attention by management.
- When organizations experience large scale culture failure the costs can be counted in both dollars and lives and the organizations involved are rarely the same afterwards.
- Even smaller, everyday culture failures represent significant costs to organizations that affect their bottom line and strategic position.
- Culture cannot be managed the same way other resources are managed. In fact, attempting to “manage” culture as a resource is one of the leading causes of culture failure!
- Culture failure can only be diagnosed and prevented, and positive cultures can only be nurtured, by focusing on and managing with respect to the “basic nature” of operating cultures.
- Operating cultures have “basic natures” that can be measured and predicted.