John Makarewicz

There's a saying in the business world coined by Peter Drucker, "Culture eats strategy for breakfast." While strategies, plans, and tactics are essential, it's the culture of an organization that truly drives its success. Culture is the heartbeat of a company, the shared values, beliefs, and behaviors that determine how employees interact, make decisions, and approach their work.

Let's consider a tale from the tech industry. A few years ago, a leading tech company known for its innovative products and employee-friendly culture underwent a leadership change. The new CEO, with a reputation for aggressive strategies and a focus on short-term profits, quickly implemented changes that, on paper, seemed like they would boost the company's bottom line.

However, as the months went by, something began to shift. The company's once vibrant and collaborative culture started to erode. Employees felt less valued, less inspired, and less connected to the company's mission. They felt fearful of speaking up in meetings and were told by the senior leadership team by way of the new CEO that certain items were non-negotiable or off the table. The focus shifted from innovation and long-term growth to meeting quarterly targets. And while the company did see a short spike in profits, it wasn't sustainable. Employee turnover increased, product quality suffered, and the company's reputation began to tarnish. The once-thriving tech giant was now struggling to keep up with its competitors. And, not only that, profits quickly eroded.

This story underscores the power of culture. A strong, positive culture can propel a company to new heights, while a weak or toxic culture can bring even the most strategically sound businesses to their knees. It's not just about having the right plans in place; it's about fostering an environment where employees feel valued, motivated, and aligned with the company's vision.

In conclusion, while strategies are essential, it's the culture that truly defines a company. As leaders, it's our responsibility to nurture and protect that culture, understanding that it's the foundation upon which all our successes are built.