BUS272 TB

A positive organizational culture emphasizes building on employee strengths,
rewards more often than it punishes, and emphasizes individual vitality and growth. 87
Let’s consider each of these areas.
Building on Employee Strengths
Although a positive organizational culture does not ignore problems, it emphasizes
showing employees how they can capitalize on their strengths. As management guru
Peter Drucker said, “Most [employees] do not know what their strengths are. When
you ask them, they look at you with a blank stare, or they respond in terms of subject
knowledge, which is the wrong answer.” Wouldn’t it be better to be in an organizational
culture that helped you discover your strengths and learn how to make the
most of them?
Larry Hammond, CEO of Auglaize Provico, an agribusiness based in Ohio, used
this approach when you would least expect it: during the darkest days of his business.
In the midst of the firm’s worst financial struggles, when it had to lay off one-quarter
of its workforce, Hammond decided to try a different approach. Rather than dwell
on what was wrong, he took advantage of what was right. “If you really want to
[excel], you have to know yourself—you have to know what you’re good at, and you
have to know what you’re not so good at,” says Hammond. With the help of Gallup
consultant Barry Conchie, Hammond focused on discovering and using employee
strengths and helped turn the company around. “You ask Larry [Hammond] what
the difference is, and he’ll say that it’s individuals using their natural talents,” says
Conchie. 88
Rewarding More Often Than Punishing
Although most organizations are sufficiently focused on extrinsic rewards such as
pay and promotions, they often forget about the power of smaller (and cheaper)
rewards like praise. Part of creating a positive organizational culture is “catching
employees doing something right.” Many managers withhold praise because they
are afraid employees will coast or because they think praise is not valued. Employees
generally don’t ask for praise, and managers usually don’t realize the costs of failing
to give it.
Consider Elzbieta Górska-Kolodziejczyk, a plant manager for International Paper’s
facility in Kwidzyn, Poland. Employees worked in a bleak windowless basement.
Staffing became roughly one-third of its prior level, while production tripled. These
challenges had done in the previous three managers. So when Górska-Kolodziejczyk
took over, although she had many ideas about transforming the organization, at the
top of her list was recognition and praise. She initially found it difficult to give praise
to those who were not used to it, especially men. “They were like cement at the beginning,”
she said. “Like cement.” Over time, however, she found they valued and even
reciprocated praise. One day a department supervisor pulled her over to tell her she was
doing a good job. “This I do remember, yes,” she said. 89
Emphasizing Vitality and Growth
No organization will get the best out of employees who see themselves as cogs in
the machine. A positive culture realizes the difference between a job and a career.
It supports not only what the employee contributes to organizational effectiveness,
but also how the organization can make the employee more effective personally and
professionally.
Chapter 10 Organizational Culture 367
Limits of Positive Culture
Is a positive culture the answer to all organizational problems? Although companies
have embraced aspects of a positive organizational culture, it’s a new enough area that
there is some uncertainty about how and when it works best.
positive organizational culture
A culture that emphasizes building
on employee strengths, rewards
more than punishes, and emphasizes
individual vitality and growth.