Corporate Culture – Leader’s Secret Asset | Harald Port | TEDxLugano

Summary

The speaker shares a personal travel experience, emphasizing how corporate culture and employee behavior influence customer choices. After a flight cancellation, the airline's swift rebooking, accommodation, and shuttle arrangements left a positive impression despite initial frustration. The speaker connects this experience to the broader impact of corporate culture on business success, citing studies that highlight how companies prioritizing culture see significantly higher stock price growth. The talk encourages leaders to manage corporate culture like a valuable asset, aligning it with business strategy and embedding desired behaviors across all organizational levels for sustained success.

Takeaways

• ✈️ The speaker had a challenging travel experience when their flight to Australia was canceled after landing in Dubai.
• 😡 Initial emotions were frustration and anger due to disrupted plans, including missing an event at the Sydney Opera House.
• 🤝 Despite the flight cancellation, the airline's quick rebooking and assistance by ground staff impressed the speaker.
• 🏨 The airline had pre-booked hotels and arranged shuttles for passengers, showcasing exceptional customer service.
• 👍 The speaker's perception of the airline shifted positively due to how the situation was handled, leading them to consider flying with the airline again.
• 🌍 The experience highlights how a company's behaviors and culture can significantly impact customer choices and loyalty.
• 📊 A study comparing companies that prioritize corporate culture shows that those firms experience much greater stock price growth.
• 👔 Business leaders acknowledge the importance of corporate culture, but many fail to incorporate it into their daily practices.
• 🛠️ Companies often appoint individuals to manage tangible assets, but should also focus on managing culture as an asset.
• 🔄 Culture asset managers can ensure that corporate behaviors align with the company's strategy, leading to improved customer experience and long-term success.

Q & A

What was the initial problem faced by the speaker during their trip to Australia?

The speaker's flight from Dubai to Australia was canceled, leaving them and other passengers stranded and needing rebookings.

How did the speaker initially feel when they found out the flight was canceled?

The speaker felt anger and frustration, especially because they had made specific plans, such as attending an event at the Sydney Opera House.

What surprised the speaker about the airline’s response to the flight cancellation?

The speaker was surprised and impressed by how the airline proactively rebooked all passengers onto the next flight, arranged hotel accommodations, and provided a shuttle service—all with the help of on-ground staff who were available to assist passengers with alternative travel plans.

What key realization did the speaker have about the airline's service and customer behavior?

The speaker realized that it wasn’t the flight cancellation that would make them choose to fly with the airline again, but the airline's professional, responsive behavior in handling the situation, which influenced their perception of the airline's corporate culture.

What connection does the speaker draw between corporate culture and business success?

The speaker suggests that a company’s corporate culture, reflected in how staff behave and handle situations, can influence customer choices and contribute significantly to long-term business success.

How does the speaker use the airline experience to illustrate the concept of learned behaviors?

The speaker explains that behaviors are learned through experiences, both personal and professional, and in the case of the airline staff, their positive behaviors were likely shaped by the company's corporate culture and how they were trained to handle situations.

What study does the speaker reference to highlight the financial impact of corporate culture?

The speaker references a study by Kotter and Heskett, which showed that companies that prioritize corporate culture saw a 12-fold increase in stock price over 11 years, compared to those that did not focus on corporate culture, which only experienced a 74% increase.

What issue does the speaker raise about business leaders' approach to corporate culture?

The speaker notes that while over 80% of business leaders recognize the importance of corporate culture for business success, only a small fraction actively integrate it into their day-to-day operations.

What solution does the speaker propose for managing corporate culture effectively?

The speaker suggests appointing a 'Culture Asset Manager' to be responsible for overseeing and improving corporate culture, much like how companies assign someone to manage other assets, like cabin design in airlines.

How does the speaker suggest a 'Culture Asset Manager' can ensure the long-term success of corporate culture?

The 'Culture Asset Manager' should work with executives to define ideal behaviors aligned with the company’s strategy, translate those behaviors into day-to-day operations for all parts of the organization, and collaborate with HR to ensure hiring, promotions, and incentives support those behaviors.