Unpacking the Proliferation of Toxic Work Cultures: 11 Key Insights

While it is foolish to expect perfection, it is irresponsible not to aim for it.

Culture, defined as the actions required to survive within a group, is far-reaching, self-regulating, and prone to greatness and straying from the well-intended course. Is it easy to obtain? So then, why do so many toxic cultures exist?

Do you think there is a culture problem? Employee engagement is as low as 17%, compared to a historical average of 30% (Gallup).

If Great Cultures are a win-win-win (company, staff, customer), then why is there resistance? Even with unlimited information, evidence, and studies, we still live in a time when leadership cannot provide an organization with a culture of happy, fulfilled, and productive staff members, where leaders act as if “they” should just be glad to have a job! We have a cool product; we are a household name and offer a great experience. And they still want fulfillment? It reminds me of the quality debate: do you want it right or fast?

Welcome to the world of “AND,” where those who cannot provide the best product AND customer service, the latest technology AND low price, a great working environment, AND the best outputs will have a short shelf life.  

The GAP

It occurs with all easy-to-understand theories. Business theories, regardless of their focus on management, leadership, quality, innovation, or culture, are not filled with abstract concepts; they are practical and often considered common sense.

The fact that the ideas are so simple and easy to agree with only adds to the difficulty of implementing them.

The ability to memorize and hold an intelligent and engaging conversation regarding any subject matter does not necessarily equate to understanding. The real skill is putting theories into practice and overcoming the gap between theory and usefulness.

Lack of Self-Awareness

Suppose an individual or an organization does not know what makes them great and provides a unique market advantage. How will they build a culture that sustains their superiority? Organizations are NOT products; great products do not stand alone and have a limited life. Know who you are: product, service, delivery, customer service, innovation, leadership, and culture. Organizations that build a culture based on who they are stand the test of time. Amazon is not just an online bookstore.

Not Understanding What Influences Culture

The word culture often brings to mind images such as wearing shorts and flip-flops, ping-pong tables, espresso machines, bean bag chairs, free lunches, and flexible schedules. While these expressions of culture can strengthen or weaken a culture based on whether they are consistent with the organization’s culture or a blind attempt to copy others, they are not cultural influences.

So, what influences culture? Every action, inaction, communication, policy, decision, and every detail, seen and unseen, affects culture and every touch point (internal and external customers).

Using the Wrong Criteria to Measure a Great Culture

Great cultures are not measured solely by the financial success of the organization, and cool products or industries do not necessarily equate to cool cultures. Many very successful organizations have toxic cultures, where staff tolerate abusive leaders, over-the-top demands, and disrespect for the whole person as a tradeoff for the experience, as a resume builder, a stepping stone, or simply to secure a paycheck.

Great cultures enable individuals to be the best versions of themselves, have a well-developed and continually improving employee life cycle, and foster high employee involvement and engagement. They are a source of energy, providing a sense of contribution, belonging, making a difference, and even giving purpose to life. Extra effort is a sense of accomplishment and energizes staff, the opposite effect that a toxic culture has.  

Culture Not a Priority

But BEFORE Product or Services? It might seem like an odd concept to establish a culture before producing even a single widget, extending service to your first client, or even before you know what business you are in. But in truth, it is about as odd as installing the roof of a house before pouring the foundation.

Does it seem odd to anyone else that organizations have individuals accountable for the outcome of every measurable objective, but not for the underlying driving factor? Managers, VPs, C-suite of accounting, finance, technology, law, and many cute HR titles. But how many organizations have a staff member whose primary responsibility is cultural integrity and advancement

Missing or Weak Critical Component

Culture and Cultural Strength = Building Trust through Leadership, Transparency, Accountability, Consistency

In the best case, a weak cultural component will lead to a hybrid culture. Leadership sets the tone, has the vision, determines the direction, and creates the ideal target culture. The other elements (which apply to all) determine how closely the actual culture resembles the theoretical culture.

Leaders who do not define, accept exceptions, and do not take 100% responsibility for their culture are not determining it. Exceptions modify cultures.

Lack of Listening and Action

Action = I heard you, I value you

Commit to action. Did leadership hear me if no action was taken? Staff members communicate with leadership to address concerns; inaction discourages future communication. Words, empathy, or understanding mean nothing without action.

Action is not defined as doing precisely what was recommended, but rather as taking swift, purposeful, practical, efficient, well-thought-out, and comprehensive steps to resolve the root cause of a concern.

Commit to action. Nothing encourages staff engagement more than taking action.

Buying into Cultural Myths

It’s our Industry, location, and people; we need to hire differently. They have an incredible culture, so copy it, but my staff is not like that; staff members are constant complainers and don’t care. There are many myths surrounding organizational cultures, but they are excuses by unprepared leaders who are unaware of their role in furthering the organization. Cultures are a direct result of action or inaction. Cultures self-regulate, whether formally or informally, driving all staff members' range of acceptable cultural behavior.

Creating Cultures with an Expiration Date

Without constantly tweaking every aspect of your business with the customer as your guide, it is irrelevant how innovative your product is, how superior your service is, how great your leadership is, or any other competitive advantage your organization may hold. Your organization is a sitting target waiting to take a back seat to the knock-off that sees an opportunity. Regardless of the gap or first-to-market advantage, your organization will be passed up or worse. Success is fledgling for organizations that cling to what made them successful: tradition, comfort, and the old ways.

Staff understand that organizations that do not advance put their future at risk. Staff members view leaders who do not respond to constantly changing needs as inept. Organizations must realize that it is not change that individuals fear, but instead, it is the fear of poor leadership. Standard chance process, transparency, communication, and action make change desired.

Not Understanding the Inverted Organizational Chart

All your hard work has finally paid off. You are the boss, a position of authority where you tell people what to do. You correct, scold, talk down to, threaten, and demand. You are under pressure, and they need to avoid making mistakes or asking questions. Just do their job!! They are replaceable.

Great leaders in great cultures take the traditional organization chart and place the customer at the bottom, below entry-level employees. Then, flip it upside down. Managers might not like the vantage point from down there. However, it sure does focus where it needs to be, on the customer and staff who identify needs and drive the organization.  Organizations and cultures advance by constantly addressing the needs of their staff and customers. The Whole World is Upside Down

Unaware of Enemies of CSC-All Great Cultures for that Matter

The integrity of your culture faces threats from all directions. In addition to those above, there are a few others worth mentioning. Exceptions: There is no such thing as a minor issue when it comes to behavior inconsistent with the organization’s culture, politics, or comfort. Things are generally going well, and people avoid dealing with problems, not wanting to cause waves, and avoid necessary confrontation. They also want to maintain their good standing and avoid making mistakes that could jeopardize their financial stability.

Short-term focus, Ego-organizational, and individual’s Gold: either individual or organizational past successes do not guarantee future success; safe decisions versus right decisions; doing things like every other organization and taking the easy way; hiring titles and degrees rather than skills and cultural fit; promoting; training to check boxes; and so many more broken staff lifecycles.

The culture you desire is that easy.

You can define your culture or let it be defined.