Takeaways from the episode are below:
Culture often feels like it just emerges, or something that happens to you, but it's created by people. It does not have to be accidental. Every company has a way of doing things that is shaped by the people within the organisation.
Everyone in an organisation shapes its culture. Those with higher status have the greatest ability and obligation to affect the culture.
The highest-status individuals in a company are the leaders. At the end of the day it is the leader of an organisation who is responsible for culture. Leaders have formal and informal status (e.g. ability to hire/fire). That status gives them huge influence over norms and behaviours.
People often think of HR when ‘culture’ is mentioned. In some companies HR is now even called ‘People and Culture’. And though indisputably HR influences culture they are not the ones responsible for culture. When HR handles hiring, performance reviews, and onboarding, they can influence the culture, but the status game means leaders matter more.
All the people in an organisation influence culture, but some individuals have outsized effects. We discussed leaders above^, but others can have a large effect too.
Research on ‘bad apples’ shows even one toxic team member degrades group performance. Free-riding, negativity, or violating norms spreads and affects trust, morale, and collaboration.
This reinforces the role of leaders in shaping culture. It is their job to call out bad behaviour and ensure it doesn’t permeate the culture.
Culture is a status game of sorts. Culture is defined by how status is distributed and pursued. Humans are wired to seek status: food, safety, belonging all depend on it.
There are 3 sources of status identified in the literature (or 2, depending on the source, some leave out virtue):
Dominance (might makes right)
Prestige (skill or competence)
Virtue (morality, goodness)
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