Summary of “The Corporate Culture Survival Guide” by Edgar H. Schein (2009)

Summary of

Human Resources and Talent ManagementWorkplace Culture

“The Corporate Culture Survival Guide” by Edgar H. Schein is a seminal work that delves deeply into the intricacies of organizational culture. The book serves as a practical manual for leaders, managers, and employees who seek to understand, manage, and change corporate culture to align with strategic objectives. Below is a structured summary highlighting its key points and concrete actions to implement the advice from the book.

Introduction to Corporate Culture

Major Point: Definition and Importance of Culture
Schein begins by defining corporate culture as a pattern of shared basic assumptions learned by a group as it solved its problems. These assumptions, considered valid, are taught to new members as the correct way to perceive, think, and feel in relation to those problems.

Action:

  • Awareness Campaign: Organize workshops or training sessions to educate employees about the concept and significance of corporate culture.

Layers of Culture

Major Point: Artifacts, Espoused Values, and Basic Assumptions
Schein elucidates the three distinct layers of culture:
1. Artifacts: Visible organizational structures and processes.
2. Espoused Values: Strategies, goals, and philosophies.
3. Basic Assumptions: Unconscious, taken-for-granted beliefs and values.

Example: An organization might have a well-documented customer service policy (espoused values) but if the employees do not genuinely believe in customer-centricity (basic assumptions), the policy will not reflect in actions (artifacts).

Action:

  • Cultural Assessment: Conduct surveys and interviews to identify and document artifacts, espoused values, and basic assumptions within the organization.

Common Organizational Cultures

Major Point: Typologies of Culture
Schein describes several common types of cultures including:
1. Power Culture: Dominated by a central figure or group.
2. Role Culture: Defined by bureaucratic structures and roles.
3. Task Culture: Driven by task accomplishment.
4. Person Culture: Individualistic, focused on personal development.

Example: A startup might typically have a task culture where achieving specific milestones is paramount, contrasting with a long-established corporation that might operate on a role culture basis.

Action:

  • Identify and Align: Assess which culture type your organization aligns with, then adjust leadership styles and HR practices accordingly.

Diagnosing Culture

Major Point: Cultural Analysis for Leaders
Schein emphasizes that leaders must act as cultural analysts. They need to decipher the underlying culture to manage effectively.

Example: A leader new to a company should spend considerable time observing interactions, asking questions, and understanding the unwritten rules before making strategic decisions.

Action:

  • Immersion Period: Implement a 90-day immersion period for new leaders to observe and understand the corporate culture before making impactful changes.

Culture and Leadership

Major Point: The Critical Role of Leadership
Schein argues that culture and leadership are two sides of the same coin. Leaders shape and reinforce culture through their behaviors, decisions, and communication.

Example: A CEO who consistently emphasizes the importance of innovation through both words and strategic investments fosters an innovative culture.

Action:

  • Walk the Talk: Leaders should actively demonstrate the values and behaviors they want to see across the organization.

Change and Transformation

Major Point: Managing Cultural Change
Changing an entrenched culture requires a multi-faceted approach. Schein highlights the need for incremental changes rather than sweeping transformations to avoid resistance.

Example: When IBM wanted to transition from a product-focused to a service-oriented company, they started with pilot projects to slowly integrate new cultural elements.

Action:

  • Pilot Programs: Start with small, manageable pilot programs to test and iterate cultural changes before scaling organization-wide.

Enhancing Cultural Alignment

Major Point: Aligning Culture with Strategy
Cultural alignment with the organization’s strategic direction is vital for long-term success.

Example: If a company’s strategy focuses on customer intimacy, its culture should emphasize personalized customer service and client relationships.

Action:

  • Strategic Workshops: Organize strategic alignment workshops that include diverse employee groups to ensure the culture aligns with the strategic objectives.

Cultural Assessment Tools

Major Point: Use of Tools and Frameworks
Schein introduces several tools and frameworks for cultural assessment, such as cultural audits and the use of external consultants to provide unbiased perspectives.

Example: A tech company used focus groups and anonymous surveys to identify gaps between its espoused values and the values experienced by employees.

Action:

  • Cultural Audit: Conduct an annual cultural audit using a combination of surveys, interviews, and focus groups to continuously assess and improve cultural alignment.

Subcultures and Their Management

Major Point: Understanding Subcultures
Subcultures exist within larger organizations and can either complement or conflict with the dominant culture.

Example: A global corporation might have subcultures in its R&D department that are significantly more innovative than the more conservative financial department.

Action:

  • Subculture Mapping: Perform a mapping exercise to identify and understand the different subcultures within the organization and their impacts.

Overcoming Cultural Resistance

Major Point: Handling Resistance to Change
Resistance is natural in culture change processes. Schein advises developing a clear change narrative and involving employees at all levels.

Example: When a large manufacturing company faced resistance in implementing lean practices, they created a “Change Champion” team comprising employees from various levels to advocate and model the new behaviors.

Action:

  • Change Champions: Develop a Change Champions program to enlist and train employees who will advocate and model desired cultural changes throughout the organization.

Case Studies and Examples

Major Point: Learning from Real-World Applications
Throughout the book, Schein provides numerous case studies to illustrate his points, from IBM’s cultural transitions to General Electric’s leadership styles.

Action:

  • Case Study Discussions: Integrate real-world case studies into training programs to help employees relate abstract cultural concepts to concrete outcomes.

Conclusion

Major Point: Continuous Cultural Evolution
Schein concludes by emphasizing that culture is not static; it must evolve continually to stay relevant in a changing environment.

Example: Google’s approach to maintaining an open and innovative culture through regular feedback loops and best practice sharing sessions.

Action:

  • Feedback Loops: Establish regular feedback loops such as town halls, suggestion boxes, and innovation contests to keep the culture dynamic and responsive.

In “The Corporate Culture Survival Guide,” Edgar H. Schein provides a robust framework for understanding and managing corporate culture. By implementing the actionable steps outlined above, individuals and organizations can work towards creating a productive and aligned work environment. This practical guide is essential reading for anyone involved in organizational development and transformation.

Human Resources and Talent ManagementWorkplace Culture