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Basics of Culture Audits CS By Cynthia Solomon

Culture defines acceptable and appropriate behaviors in an organization. As

such, it is a management resource that can be used to meet organizational

objectives, just like knowledge, machinery, raw materials, dollars, and human

resources.

Before attempting any kind of culture change initiative, the organization needs to

know what the culture is and how it works, what type of culture would best

support organizational strategy, recognize and use the levers that influence

culture, and be clear about whether it wants to change the culture.

The culture audit is the tool to use to get at the substance of an organization’s

culture so that the organization understands where and how to drive change

toward the preferred culture

Common organizational cultures

Here are some common descriptions of various kinds of organizational cultures.

As you read them, consider what words might be ideal descriptions for your

organization given its strategy and mission. Do the outward expressions of

culture that you have observed support the described ideal?

Also note that few of these cultures could be directly described as bad or good for

an organization. However, some are more appropriate for certain kinds of

organizations than others.

• Safety. A safety culture conducts its work with particular attention to the

protection of workers, equipment, and the environment.

• Quality. A quality-oriented culture conducts work with attention to the quality

of the organization’s products and services and prides itself on being the best

in the business. Organizations with a quality culture continuously strive to do

better.

• Ethical. An ethical culture stresses ethical behavior. The employees of ethical

organizations are expected to follow a code of conduct and deal honestly with

other employees, clients, and the public.

• Technology-driven. A technology-driven culture uses state-of-the-art

technology to provide products and services to customers. Organizations with

this type of culture pride themselves on being up-to-date with the latest in

technology.

• Innovation. Innovation cultures are willing to take risks on new ideas,

processes, and products to stay on the cutting edge. Organizations that have

this kind of culture are willing to be wrong, or experience failures once in a

while to be open to the new discoveries that drive their ultimate success.

• Customer service. Organizations that are customer-service oriented focus on

customer needs and expectations for their products and services. These

organizations focus on keeping customers happy because they want to

encourage repeat customers who will make referrals.

• Caring and compassion. Cultures that are characterized by the terms “caring”

and “compassion” are particularly attentive to the feelings and needs of the

people they serve, especially in vulnerable or high-need situations. The

emergency ward example given previously could be described as a caring and

compassionate culture.

• Team. Team cultures value the heightened effectiveness of a diverse group of

people who pool their individual talents to achieve more and better results

than individuals can alone.

• Represented employee In a represented-employee culture, a union speaks

with one voice on behalf of its constituent member employees.

• Military. Military culture is characterized by strict chains of command and the

following of orders from persons in superior positions.

• Constructive. In a constructive culture, employees are highly collegial with one

another. They are expected to help each other reach high degrees of job

satisfaction, personal and group achievement, and social or relationship ties.

• Passive-defensive. In a passive-defensive culture, members feel they must act

in a safe way to avoid personal risk. This type of culture is characterized by

individuals who seek approval, avoid risk, and acknowledge their dependence

on others.

• Aggressive-defensive-competitive. In this type of culture, members are

expected to be engaged in highly energetic execution of their roles and be

forceful to protect themselves and achieve individual goals. In this kind of

culture, individuals are competitive and perfectionist, and they seek power,

position, and personal reward.

What’s in a culture audit?

According to Daniel Denison, the process of a culture audit typically involves

examination of the documents of the official culture: corporate histories, findings

from internal and external studies, and standard sources of data on financial

performance.

The phases of an audit are selecting an audit instrument or tool, collecting data,

analyzing data, and preparing recommendations for change. The heart of an

audit, however, is to uncover values and beliefs through interviews, focus groups,

surveys, and direct observations of people.

The areas most frequently examined in a culture audit include:

• organizational mission, vision, and values

• understanding of and extent of buy-in to mission, vision, and values

• how values are symbolized

• value differences between the organization and its competitors

• identification of key measures of success

• type of leadership required

• the behaviors and attitudes of management and leadership

• background of top managers, including schooling, time with the organization,

job experiences, current duties and status, and career path policies,

procedures, training requirements, and recognition systems that support or

inhibit the ideal culture and behaviors

• incidents and examples that illustrate what is really important to the

organization

• shared language or terminology

• other strategic influences in the environment, such as competitive or allied

organizations that may influence behavior

• cultural heritage or history since founding

• organization’s structure and its relation to culture and strategy

• behaviors that reinforce core values

• identification of subcultures and their roles.

Using a valid and comprehensive process and appropriate instruments will give a

global perspective on the current state of the culture. Alternatively, you can carry

out an audit on a smaller scale by selecting only one or two characteristics or

only one part of the organization.