Most mid to high level managers assume that culture and employee engagement is a waste of time. In contrast, most c-level executives place a great deal of importance on developing a culture of high performance. Much of the disconnect is due to the ambiguity of the subject of culture. Many assume that culture development cannot be related to the bottom line of a company. In this presentation I provide compelling evidence from James Heskett that actually shows the financial implications of a strong culture. In addition, I present the 3 most important components of developing a strong culture in your organization. The three keys are alignment, engagement and execution. These lay the foundation of culture development. Finally, I attempt to motivate you toward action in creating a plan for culture development and following through. The most important take away is that culture is like a garden, it must be nurtured and taken care of on a daily basis to affect change. Thus the executive team must condition the managers to integrate culture development into their daily routines. Please contact me for speaking & consulting opportunities.
Business Model Canvas (BMC)- A new venture concept
Strategic Culture: 3 Keys to Creating a High Performance Culture in Your Organization
1. Presented by Rob Lewis, M.S. www.EmpowerSalesFormula.com
Strategic Culture
3 Keys to Creating a High Performance Culture
Rob Lewis, M.S.
1
2. Presented by Rob Lewis, M.S. www.EmpowerSalesFormula.com 2
Together we become greater than the sum of our parts
Let us put our differences aside, let us collaborate, learn, and propel this industry
forward
Keynote Template
3. Rob Lewis, M.S. www.EmpowerSalesFormula.com 3
Purpose
Inspire you to embrace the profitable power of
conscious culture creation and motivate you
toward action.
4. Rob Lewis, M.S. www.EmpowerSalesFormula.com 4
Visualization Exercise
Contrasting Gardens
5. Rob Lewis, M.S. www.EmpowerSalesFormula.com 5
Visualization Exercise
Beautiful Garden
Daily Focus
Water
Beauty
No Focus
Chaotic Garden
No Water
Weeds
6. Rob Lewis, M.S. www.EmpowerSalesFormula.com 6
Visualization
How does the garden example relate
to organizational culture?
Small daily actions with the long term goal in mind can
produce both a beautiful garden and a thriving culture.
7. Rob Lewis, M.S. www.EmpowerSalesFormula.com 7
Culture Shock
Given enough time and money, your
competitors can duplicate almost everything
you’ve got working for you. They can hire
away some of your best people. They can
reverse engineer your processes. The only
thing they can’t duplicate is your culture
“
”- George Bradt
8. Rob Lewis, M.S. www.EmpowerSalesFormula.com 8
Culture Shock
Culture eats strategy for breakfast“ ”
- Peter F. Drucker
9. Bad Culture
What does it feel like?
Bad Customer Experience
Low Member Retention
High Employee Turnover
Employees Don’t Care
Poor Reviews
10. Rob Lewis, M.S. www.EmpowerSalesFormula.com 10
Culture Definition
a system of shared assumptions,
values, and beliefs, which governs
how people behave in
organizations.
What is Culture?
Ability to infuse values
& mission into the DNA
of the firm
11. Rob Lewis, M.S. www.EmpowerSalesFormula.com 11
Domino Effect of Culture
Great
Culture
Engaged Managers
&
Employees
Longer Tenure
Fewer External
Hires
Lower Hiring $,
Recruiting, & Training
Costs
Source:”The Culture Cycle: How to Shape the Unseen Force that Transforms Performance”
By James L. Heskett (HBS Professor)
12. Rob Lewis, M.S. www.EmpowerSalesFormula.com 12
Domino Effect…
Higher Productivity
Fewer Lost Sales
Higher Sales per
Employee
Source:”The Culture Cycle: How to Shape the Unseen Force that Transforms Performance”
By James L. Heskett (HBS Professor)
13. Rob Lewis, M.S. www.EmpowerSalesFormula.com 13
Domino Effect…
Better Customer
Loyalty = Referrals
Lower Marketing Costs
Higher
Profitability
Source:”The Culture Cycle: How to Shape the Unseen Force that Transforms Performance”
By James L. Heskett (HBS Professor)
14. Rob Lewis, M.S. www.EmpowerSalesFormula.com 14
Culture Shock
At least half of the difference in operating
profit between organizations can be
attributed to culture.
“
”
James L Heskett 50%
Source:”The Culture Cycle: How to Shape the Unseen Force that Transforms Performance”
By James L. Heskett (HBS Professor)
15. Rob Lewis, M.S. www.EmpowerSalesFormula.com 15
3 Keys to Culture
Align
Establish Values
Infuse Values
Regulate
Engage
Inspire
Empower
Execute
Pulse
Strategize
Act
16. Presented by Rob Lewis, M.S. www.EmpowerSalesFormula.com 16
Align
Establish - Infuse - Regulate
Keynote Template
17. Rob Lewis, M.S. www.EmpowerSalesFormula.com
Why
Goals
What
How
Metrics
17
Alignment
Source: Joel Peterson - Chairman of Jet Blue
Values
Objectives
Strategy
Tactics
Controls
Establish
Infuse
Regulate
18. Presented by Rob Lewis, M.S. www.EmpowerSalesFormula.com 18
“The relationship between Stated values and
Acted values will determine a company’s culture”
Rob Lewis
Keynote Template
19. Rob Lewis, M.S. www.EmpowerSalesFormula.com 19
Establish Values
What Are Values?
Principles or standards of behavior; one’s
judgment of what’s important in life.
Establish
Infuse
Regulate
As a company what’s important about the way we do things?
What are our standards of behavior?
20. Rob Lewis, M.S. www.EmpowerSalesFormula.com 20
Establish Values
How to Establish Values
With a partner discuss the things you might observe from that
employee and how they translate to a certain value.
Imagine the Ideal Employee
If you were to observe them working
during an entire day, which behaviors
would stand out the most? Observe
not just what they do, but HOW they
do it.
Establish
Infuse
Regulate
21. Rob Lewis, M.S. www.EmpowerSalesFormula.com 21
Key
Takeaways
1Take Away
2Take Away
3Take Away
Takeaways Example
50% of difference in operating profit can
be attributed to culture
Alignment is the most important
component of culture
Conduct Ideal Employee Exercise back at
the office
22. Rob Lewis, M.S. www.EmpowerSalesFormula.com 22
Infuse Values
What is the Most Powerful way to Communicate Values & Behaviors?
Infuse
Establish
Regulate
Hiring & Firing Example
Recognition Propaganda
23. Rob Lewis, M.S. www.EmpowerSalesFormula.com 23
Infuse Values
You can’t talk your way out of a culture you
acted your way into.
“
”
-Dr. Steven R. Covey
What’s the fastest way to Destroy a culture?
Stating values as one thing, and doing the opposite
(misalignment)
Infuse
Establish
Regulate
24. Rob Lewis, M.S. www.EmpowerSalesFormula.com 24
Infuse Values
Zappos Values
1. Deliver WOW Through Service
2. Embrace and Drive Change
3. Create Fun and a Little Weirdness
4. Be Adventurous, Creative, and Open-Minded
5. Pursue Growth and Learning
6. Build Open and Honest Relationships with Communication
7. Build a Positive Team and Family Spirit
8. Do More with Less
9. Be Passionate and Determined
10. Be Humble
Infuse
Establish
Regulate
25. Rob Lewis, M.S. www.EmpowerSalesFormula.com 25
Regulate
Seek & Destroy
Seek out misalignments in:
- Business Practices
- Behaviors
- People
You should feel so strongly about the values
that you are willing to hire, fire, and iterate
existing policies and procedures that do not
align with those values
Regulate
Establish
Infuse
26. Presented by Rob Lewis, M.S. www.EmpowerSalesFormula.com 26
Engage
Inspire - Empower
Keynote Template
27. Rob Lewis, M.S. www.EmpowerSalesFormula.com 27
Engage
What is engagement?
12 People are on a crew boat
2 are paddling their hearts out
4 are helping but are constantly checking
their text messages
4 are doing nothing but sitting passively
2 are actively trying to sink the boat
28. Rob Lewis, M.S. www.EmpowerSalesFormula.com 28
Engagement
How many definitions exist for “employee engagement”?
50
29. Rob Lewis, M.S. www.EmpowerSalesFormula.com 29
Engagement
Conference Board: Expert Panel to Define Engagement
a heightened emotional and intellectual connection that an
employee has for his/her job, organization, manager, or coworkers
that, in turn, influences him/her to apply additional discretionary
effort to his/her work.
30. Rob Lewis, M.S. www.EmpowerSalesFormula.com 30
Engagement
“There are only three measurements that
tell you nearly everything you need to
know… employee engagement, customer
satisfaction, and cash flow.
It goes without saying that no company…
can win over the long run without
energized employees who believe in the
mission and understand how to achieve
it.” - Jack Welch
Former CEO of GE
33. Rob Lewis, M.S. www.EmpowerSalesFormula.com 33
Inspire
Most Start at What…Inspire
Empower
Square footage
Equipment
Amenities
Hours
WHAT
Source: “Start With Why” Simon Sinek
34. Rob Lewis, M.S. www.EmpowerSalesFormula.com 34
Inspire
Some start with How…Inspire
Empower
We focus on you
We are enthusiastic
We wow the customer
We hire the best trainers
WHAT
HOW
Source: “Start With Why” Simon Sinek
35. Rob Lewis, M.S. www.EmpowerSalesFormula.com 35
Inspire
Few start with Why…Inspire
Empower
The reason we do what we do is:
The founder started this company…
We believe in our members…
We strive to inspire greatness…
WHAT
HOW
WHY
Source: “Start With Why” Simon Sinek
36. Rob Lewis, M.S. www.EmpowerSalesFormula.com 36
Inspire
Share Your WHY…Inspire
Empower
Partner with someone you do not know (1-2 minutes)
• Why did you get into this industry?
• What was the pivotal moment that you had to make a
decision?
• Get emotional about it!
37. Rob Lewis, M.S. www.EmpowerSalesFormula.com 37
Inspire
WHY Action StepsInspire
Empower
Develop your Why Story
Share it at your next meeting
Always Share it with your new hires
Share it with your customers
BEWARE of Delivery Fatigue! If you feel like a broken record, keep
going. It’s likely that someone who hasn’t heard your why is
present
38. Presented by Rob Lewis, M.S. www.EmpowerSalesFormula.com 38
Empower
Circle of Safety - Creativity & Learning - Growth & Development
Keynote Template
39. Rob Lewis, M.S. www.EmpowerSalesFormula.com 39
Circle of Safety
Circle of Safety
Empower
Inspire
What was the worst thing for a Spartan warrior to lose in battle?
Answer: Shield because the shield is what made them virtually
indestructible when they worked together.
Source: “Leaders Eat Last” Simon Sinek
40. Rob Lewis, M.S. www.EmpowerSalesFormula.com 40
Manager Shield
Is the manager’s shield protecting
herself ?
or
Does the manager’s shield protect her
team?
Circle of Safety or Fear?
Employee Shield
Shield against their manager and peers?
or
are they part of the shield formation,
protecting the team, the company?
Who do you let in the Circle?
Zappos example:
$2,000.00
Do you nurture the circle?
How does your company foster and
strengthen relationships?
Empower
Inspire
Circle of Safety
41. Rob Lewis, M.S. www.EmpowerSalesFormula.com 41
Immediate Action for Circle of Safety?
•Organize a fun team outing
• Overcome Obstacles as a Team
Empower
Inspire
Share one or two ideas with a partner.
Circle of Safety
42. Rob Lewis, M.S. www.EmpowerSalesFormula.com 42
Creativity & Learning
20% Rule Peer EduCross-Train
Leverage
Strengths
Mind Valley
Share learn meetings where
employees teach and learn
on different topics
Discover Strengths
Make an effort to discover strengths of
employees, find them the “right seat on
the bus” & leverage their talents
Costco
Cross trains employees, look
at how long employees stay
with Costco.
Google
Require 20% of paid time to
be outside normal duties. If
not possible, what might
be?
Empower
Inspire
43. Rob Lewis, M.S. www.EmpowerSalesFormula.com 43
Employees
< 25 yrs
Professional Development
#1
#2 Career Progression
Employees
25-35
#1
#2
Growth & Development
Source: 2014 Recognition trends report | Quantum Workplace
Professional Development
Career Progression
Empower
Inspire
44. Rob Lewis, M.S. www.EmpowerSalesFormula.com 44
Career Development Plan
Growth & Development
Culture of Leader Creation
Mentorship Programs
Empower
Inspire
Growth & Development
45. Rob Lewis, M.S. www.EmpowerSalesFormula.com 45
Communication
Clear
Expectations
Recognition
Empower
Inspire
Communication
46. Rob Lewis, M.S. www.EmpowerSalesFormula.com 46
✒
End Result vs. Behaviors
Clear Expectations
Google OKR Goals
Share what you are judged on
Empower
Inspire
Clear Expectations
47. Rob Lewis, M.S. www.EmpowerSalesFormula.com 47
Satisfied Cleaning Staff Cleaner Facility
31%
Lower
Turnover
Recognize
High Recognition Cultures
Empower
Inspire
Higher Member SatisfactionIncreased Profitability
B
48. Rob Lewis, M.S. www.EmpowerSalesFormula.com 48
Recognition
Tactics
Frequent 1 on 1’s
Thank You Cards
Acknowledge 1 / Day
Supervisor Recognition
Employee of Month
Public Acknowledgement
Hard & Soft Rec.
Pocket Pennies
Recognition
49. Presented by Rob Lewis, M.S. www.EmpowerSalesFormula.com 49
Execute
Pulse - Strategize - Act
Keynote Template
50. Rob Lewis, M.S. www.EmpowerSalesFormula.com 50
Execute - Pulse
Pulse
Strategize
Act
Financial numbers measure the past and lead to ‘rear view
management’
“
” - James L. Heskett
51. Rob Lewis, M.S. www.EmpowerSalesFormula.com 51
Employee
Referral
Returns to
Labor
Employee
Retention
Customer
Relationships
Productivity
Change in output divided by
marginal change in labor
Loyalty
Measurable factors include customer
referrals, family add ons, positive
reviews
Falling / Rising
Decrease in employee
retention is a primary
indicator of misalignment
Join the team!
Employees who recruit
other employees is a strong
indicator of a strong culture!
Execute - Pulse
The Four R’s Predict the Future
Pulse
Strategize
Act
52. Rob Lewis, M.S. www.EmpowerSalesFormula.com 52
Execute - Strategize
Biggest TakeawaysStrategize
Pulse
Act What are the 3 most pressing initiatives you must
execute upon your return? Review the takeaway
sheets.
53. Rob Lewis, M.S. www.EmpowerSalesFormula.com 53
Culture
Jump Start
1Initiative
2Initiative
3Initiative
Strategize
Pulse
Act
Execute - Strategize
54. Rob Lewis, M.S. www.EmpowerSalesFormula.com 54
Strategize
Pulse
Act
Execute - Strategize
Culture
Jump Start
1
Action
Start Date
2
Action
Start Date
3
Action
Start Date
1
Action
Finish Date
2
Action
Finish Date
3
Action
Finish Date
55. Rob Lewis, M.S. www.EmpowerSalesFormula.com 55
Decide & Share
1.Decide who you are going to share your 3 initiatives
with on your team
2.Tell your neighbor who you are going to share it with
and why. (10 sec.)
Snap & Send
1. Snap a picture of your answers to the previous slide
2. Send it to the person you chose… Now
Testify Share your testimony for 30 seconds of why you
believe conscious culture creation is imperative to the
success of your organization
Let’s
Act!
D
6
5Act
Pulse
Strategize
Execute - Act
56. Rob Lewis, M.S. www.EmpowerSalesFormula.com 56
Either you take control of your culture now, or it will take
control of you… regardless… you will have a culture
“
”
- Rob Lewis
57. Rob Lewis, M.S. www.EmpowerSalesFormula.com 57
Contact 5
Speaking
&
Consulting
PO Box 270493
San Diego, CA 92198
United States
Phone: 858 213 9025
3 rob@EmpowerSalesFormula.com
LinkedIn.com/fitbiz
twitter.com/Rob_Empower
9!