Summary of “Culture by Design: How to Build a High-Performing Culture Even in the New Remote Work Environment” by David J. Friedman (2021)

Summary of

Human Resources and Talent ManagementWorkplace Culture

Introduction

David J. Friedman’s “Culture by Design” provides a comprehensive guide to creating and nurturing a high-performing organizational culture, even in the evolving landscape of remote work. Drawing from his extensive experience, Friedman outlines actionable steps for leaders to build, maintain, and enhance workplace culture intentionally and thoughtfully. Below, we’ll explore the key elements of the book, illustrating each with concrete examples and specific actions individuals can take.

Understanding Culture

Key Point: Defining Culture

Friedman emphasizes that organizational culture is the collective behavior of its members and an essential driver of business performance. Understanding this is the cornerstone of his approach.

Actionable Step: Conduct a culture audit in your organization. Use surveys, interviews, and observation to gather insights into the current cultural climate.

Example: A finance company used a combination of anonymous surveys and focus groups to identify that their current culture led to high stress and low morale. This audit informed their next steps towards improvement.

The Eight Steps to Building Culture

Key Point: Define Core Values

For Friedman, the foundation of building a high-performing culture begins with clearly defining and articulating core values. These should be actionable, memorable, and reflective of the organization’s true ethos.

Actionable Step: Organize a workshop to define or refine your organization’s core values. Ensure every member of the leadership team participates and that the values are specific and action-oriented.

Example: A tech startup engaged in a three-day retreat where they defined core values such as “Customer Obsession,” “Ownership,” and “Bias for Action.” These values were then integrated into their daily operations and decision-making processes.

Key Point: Ritualize the Behaviors

Friedman argues that culture is built on daily behaviors, not just lofty ideals. Ritualizing the desired behaviors ensures they become ingrained in the organizational fabric.

Actionable Step: Create rituals that emphasize core values. For example, start every meeting with a brief discussion of how one of the core values was demonstrated recently.

Example: A marketing agency introduced a “Values in Action” segment at the beginning of their weekly huddle, where employees shared stories of colleagues exemplifying core values.

Key Point: Align Hiring Practices

Hiring methods should reflect the organization’s cultural aspirations. Friedman suggests designing interview processes that assess cultural fit as critically as technical skills.

Actionable Step: Develop behavioral interview questions that relate directly to your core values. Train interviewers to assess potential hires on both skillset and cultural alignment.

Example: An apparel brand revamped their hiring process to include questions that explored candidates’ previous experiences with teamwork and innovation, ensuring new hires were aligned with company values of “Collaboration” and “Creativity.”

Key Point: Internal Communication

Effective internal communication is crucial in fostering a strong culture, especially in remote environments. Transparency and engagement are key components.

Actionable Step: Implement regular, clear communication channels. Consider using weekly newsletters, regular video updates from leadership, and interactive Q&A sessions.

Example: A multinational company introduced a monthly CEO video update, which included company performance, strategic updates, and shout-outs to employees exemplifying core values. This initiative bolstered transparency and employee engagement.

Enhancing Culture in the Remote Work Environment

Key Point: Leveraging Technology

In a remote work environment, leveraging technology to maintain culture is essential. Tools like video conferencing, project management software, and collaborative platforms can help bridge physical distances.

Actionable Step: Invest in reliable communication and collaboration tools. Provide training on how to use these tools effectively to foster interaction and engagement.

Example: A software development firm adopted Slack for real-time communication and Asana for project management. They also scheduled regular virtual coffee breaks to maintain a sense of community.

Key Point: Building Trust Remotely

Trust is a critical component of any culture, and it can be harder to build remotely. Friedman suggests consistent, authentic interactions to foster trust.

Actionable Step: Schedule regular one-on-one check-ins between managers and team members. Focus not just on work but also on personal well-being and career development.

Example: An online education company implemented bi-weekly one-on-one virtual meetings. Managers used these sessions to discuss workload, provide professional development advice, and simply connect on a personal level.

Key Point: Recognition and Rewards

Recognizing and rewarding employees for living the core values sustains a high-performing culture. This is crucial in remote settings, where spontaneous recognition is less likely.

Actionable Step: Develop a formal recognition program that highlights and rewards behaviors aligning with core values. Use virtual reward platforms if necessary.

Example: An e-commerce company launched a “Culture Champion” program. Employees could nominate peers for demonstrating core values, and winners received virtual applause in company-wide meetings and digital gift cards.

Key Point: Social Interaction

Creating opportunities for social interaction is vital for remote teams to feel connected and engaged.

Actionable Step: Organize virtual social events like happy hours, game nights, or online fitness classes to build camaraderie.

Example: A consulting firm hosted monthly virtual trivia nights. These events became a staple of their remote work culture, helping employees build stronger personal connections.

Sustaining and Evolving Culture

Key Point: Continuous Improvement

Friedman notes that culture isn’t static. It requires continuous attention and improvement based on feedback and changing circumstances.

Actionable Step: Establish a culture committee to regularly review and assess cultural initiatives and suggest improvements. Include employees from various levels of the organization.

Example: A healthcare provider created a “Culture Task Force” that met quarterly to review cultural practices, gather feedback, and propose enhancements. This ensured their culture remained vibrant and aligned with changing organizational needs.

Key Point: Leadership’s Role

Leadership plays a pivotal role in sustaining culture. Leaders must model desired behaviors and be visibly committed to nurturing the culture.

Actionable Step: Ensure leaders at all levels participate in cultural initiatives and openly share how they incorporate core values into their daily work.

Example: The executive team of a logistics company publicly shared personal stories in their internal blog about how they apply the core values in their leadership practices. This transparency inspired employees at all levels.

Conclusion

David J. Friedman’s “Culture by Design” is a pragmatic and actionable guide for leaders aiming to build and sustain a high-performing culture, particularly in the new remote work environment. By understanding the essence of culture and implementing the eight steps outlined—defining core values, ritualizing behaviors, aligning hiring practices, enhancing internal communication, leveraging technology, building trust, recognizing and rewarding contributions, fostering social interaction, and ensuring continuous improvement—leaders can create an environment where employees are engaged, values-driven, and aligned towards a common purpose. Each step provides tangible actions that can be tailored to suit specific organizational needs, ultimately contributing to a thriving, resilient, and high-performing workplace culture.

Human Resources and Talent ManagementWorkplace Culture