In Managing Company Culture, HR Must Go Beyond Talking the Talk

In Managing Company Culture, HR Must Go Beyond Talking the Talk

Not since the term first emerged in the 1980s has there been so much discussion of organizational culture. Considering that discussions of culture on investor calls have increased 12 percent in the past year, it’s not surprising that heads of HR are keen to get this challenge right. When CEB, now Gartner, brought together 20 heads of HR in Melbourne earlier this month, there was a strong consensus in the room: It’s no longer enough to talk about your organization’s culture, you need to be able to walk the walk.

(Before we go further, it might be valuable to provide a shared definition of “culture” as it relates to organizations. As CEB defines it for the purposes of our research: culture is the set of behavioral norms and unwritten rules that shape the organizational environment and how individuals interact and get work done in that environment.)

Historically, a lot of the discussion about organizational culture has been focused on finding the “perfect” culture, with one side advising a “one-size-fits-all” approach and the other proposing different cultural approaches to suit different industries. However, as one head of HR in the room pointed out, we need to turn our focus away from finding the “perfect” culture and instead look at the systems and processes at work that are stopping us from achieving sustainable culture change. Even when business leaders in the C-suite are very effective role models, internal processes often stop employees from fully embracing the culture that the business needs to drive, creating disconnect between the organization and the people tasked with moving its strategy forward. This is one of the key findings of our latest study on culture change management, which CEB Corporate Leadership Council members can read more about here.

This disconnect leads to problems, because even though 70 percent of HR leaders are confident that their organizations can define the culture they need, few are seeing true results in making this culture a reality. When HR leaders fail to create the culture the business needs, such as a culture of innovation, safety, or cost-efficiency, it means that other, less desirable attributes make up the reality of their current culture and stand in the way of the organization’s progress. During our discussion in Melbourne, one of the HR leaders in the room even said that this struggle between desired culture and results had seen progress in some business units move backwards.

Even though we know where we want to go, we seem to be at a loss when it comes to how to actually get there. What our research discovered is that the heads of HR at organizations who have gotten this balance right needed to close three key gaps:

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Australia, New Zealand, and Singapore Look to Reduce Reliance on Foreign Talent

Australia, New Zealand, and Singapore Look to Reduce Reliance on Foreign Talent

While the prospect of Brexit and the Trump administration’s approach to immigration policy are seen by some as the main challenges to global labor mobility in the coming years, the US and UK aren’t the only countries trying to reduce their reliance on imported talent. On Tuesday, Australian Prime Minister Malcolm Turnbull abruptly announced that his government was doing away with the 457 skilled worker visa (the Australian analogue to the US’s H-1B), and replacing it with a more restrictive program that limits the number of eligible occupations and raises the threshold to qualify, the Guardian reports:

“Australians must have priority for Australian jobs – so we’re abolishing the [class] 457 visas, the visas that bring temporary foreign workers into our country,” he said. “We’ll no longer let 457 visas be passports to jobs that could and should go to Australians. It’s important that businesses still get access to the skills they need to grow and invest. So the 457 visa will be replaced by a new temporary visa specifically designed to recruit the best and the brightest in the national interest.”

Turnbull said the new visa would “better target genuine skills shortages” and would include new requirements such as previous work experience, better English-language proficiency and labour market testing. He said the government would establish “a new training fund” for Australians to fill skills gaps.

The number of 457 visa holders currently stands at 95,758, the Guardian adds, with nationals of India and the UK together making up over 40 percent of them. The guest workers are predominantly employed in IT, professional services, and various science and technology jobs. Human Capital delves into the details of the new scheme:

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