Michael Kerr: Why Culture is the Ultimate Driver of Success

Home » Michael Kerr: Why Culture is the Ultimate Driver of Success

We were fortunate to engage in a conversation on the Accelerating Operational Performance podcast with Michael Kerr, an acclaimed speaker and author who emphasizes the transformative impact of a positive culture on all facets of a company’s operations.

From enhanced employee engagement and productivity to exceptional customer service and improved financial performance, culture serves as the foundation for operational excellence. 

Mike has 25 years of experience in the field and firmly maintains that culture represents the ultimate competitive advantage and demands intentional and strategic efforts. 

Recognized as one of Canada’s top speakers, he has earned the reputation of being the “workplace energizer,” igniting enthusiasm and inspiring positive change within organizations. You can watch the full podcast episode here or listen to it here.

Culture as the Driving Force

Mike passionately asserts that culture is the primary driver of success in any organization, even surpassing the importance of a well-defined business strategy. A positive culture acts as an invisible force that permeates every aspect of a company’s operations, significantly influencing its overall performance and achievements.

There is a ripple effect that comes with a positive workplace: it increases employee happiness and engagement, leading to higher levels of productivity and innovation. It can also improve customer service and the overall customer experience, as employees who feel valued and supported are more likely to go the extra mile for their customers!

The impact of culture extends even further, influencing employee retention rates, the ability to attract top talent, and the overall levels of stress and resilience of a workforce.

This is not merely anecdotal; it is backed by concrete evidence. Mike’s research, which involved surveying numerous leaders across various industries, revealed a striking statistic: an overwhelming 95% of these leaders attributed their success primarily to their organization’s culture.

Mike’s message is clear: a company’s culture is not just a peripheral element; rather, it’s the very foundation upon which its success is built. Prioritizing the development and maintenance of a positive culture can unlock the full potential of organizations and create a sustainable path to long-term success.

Every individual must consider themselves a culture leader. There is a difference between management and leadership; leadership involves energizing and interacting with people, while management focuses on tasks and processes.

Key Insight: Culture is the primary driver of organizational success, surpassing even business strategy.

Strategy: Prioritize the development and maintenance of a positive workplace culture.

Impact: Unlock the organization’s full potential and create a sustainable path to long-term success.


“Culture is the number one driver of success. It is your number one competitive advantage. It affects absolutely every aspect of how your business operates.”


Traits of Inspiring Culture Leaders

One of Mike’s books, “Small Moments, Big Outcomes,” outlines eight essential traits of inspiring culture leaders. Below, we touch on three of these traits, each playing a significant role in committing to a positive and thriving workplace culture:

Connecting at a Human Level 

Effective leadership extends beyond managing tasks and processes. It involves establishing genuine human connections with employees and making them feel valued, appreciated and understood. Leaders who prioritize building relationships and showing empathy create a more positive and supportive work environment. Strive to be a “positive energizer” who uplifts and inspires those around you.

Accountability

As a leader, you must not only hold your team accountable for their actions and decisions; you must also create a culture of accountability throughout the organization. This involves setting clear expectations, providing regular feedback, and recognizing both achievements and areas for improvement.

Self-Awareness

Mike identifies self-awareness as a foundational trait for effective leadership. Leaders who possess self-awareness are able to recognize their strengths and weaknesses, understand the impact of their behaviors on others, and continuously seek opportunities for growth and development. 

Not sure if you are self-aware? To develop self-awareness, start by proactively seeking feedback from your team members. Their insights can shed light on your blind spots and be a valuable tool for personal growth and improvement.

Key Insight: The foundation of effective leadership lies in genuine human connection, fostering accountability, and cultivating self-awareness.

Strategy: Cultivate a culture of accountability by setting clear expectations, providing and actively seeking regular feedback, and recognizing both achievements and areas for improvement.

Impact: These strategies will lead to a positive and supportive work environment where employees feel valued, empowered, and motivated to give their best.


“Great cultures don’t happen by accident? You can’t fake it. You can’t buy your culture at IKEA… So you’ve got to be intentional about your culture. You have to be intentional about your leadership. Great leadership doesn’t just happen.”


The Power of Intention

Intentionality in leadership and cultivating a thriving workplace culture is essential. Great cultures and exceptional leadership do not happen accidentally—they result from deliberate and purposeful actions. Be intentional in your leadership approach, actively shaping and nurturing the culture you want through consistent communication, recognizing achievements, and celebrating successes.

The significance of intentionality reaches multiple facets of leadership and cultural development. Leaders should actively seek feedback from their employees, showcasing a commitment to learning and growth. Incorporating humor into the workplace can create a more human and genuine atmosphere. Leaders must also intentionally embody the desired values and behaviors, setting a clear example for others to emulate.

Key Insight: Great cultures and exceptional leadership result from deliberate and purposeful actions, not accidents.

Strategy: Leaders must be intentional in their approach, actively shaping and nurturing the desired culture through consistent communication, recognizing achievements, celebrating successes, seeking feedback, and modelling desired values and behaviors.

Impact: This intentionality will foster employee engagement, motivation, and commitment, leading to a positive and successful workplace where individuals feel valued and connected, ultimately driving exceptional results and long-term organizational success.

Values in Action

Does it ever feel like your company’s values are nothing more than empty slogans or words on the wall? Mike says that values must be deeply ingrained and actively lived by everyone, from leadership to frontline employees, for an organization to truly shape its culture. To achieve this, Mike proposes three key steps:

1. Translate values into concrete behaviors

The first step involves moving beyond generic value statements and clearly defining what each value means in practical, observable terms. This includes:

   – providing real-life examples and stories illustrating the desired behaviors associated with each value
   – making the values tangible and relatable so that employees gain a clearer understanding of how to embody them in their daily work
   – avoiding vague platitudes and instead using specific guidelines for action

2. Model the values

Leaders play a crucial role in bringing your company’s values to life by actively modelling the behaviors they expect from their employees. When leaders demonstrate their commitment to values through actions such as picking up trash in the parking lot, working alongside employees on the factory floor, or personally assisting customers, it sends a powerful message about the importance of living the values and will inspire others to follow suit.

3. Hold employees accountable

The final step involves ensuring that values are not just aspirational but also serve as a basis for accountability. Leaders must:

   – clearly communicate expectations
   – provide regular feedback
   – recognize and reward employees who consistently demonstrate the company’s values. 

Some companies even incorporate values into their performance evaluations, highlighting their significance in shaping the workplace culture. Mike states that values should be treated as “lines in the sand,” guiding behavior and decision making throughout the organization.

Key Insight: Company values must be more than just words; they need to be deeply ingrained in the culture and actively lived by everyone in the organization.

Strategy: Translate values into concrete behaviors by defining what each value means in practical, observable terms; actively modelling the desired behaviors; and holding employees accountable for living the values.

Impact: Implementing these steps creates a culture where values are truly embedded and lived, leading to a more engaged, aligned, and high-performing workforce that embodies the company’s core principles.


“When you take yourself lightly, it creates that environment where everyone else just feels they can be a little more themselves. They can breathe a little easier. They don’t have to walk on eggshells, and it’s okay to be human and make a mistake.”


Humor in the Workplace

Mike is recognized for his expertise on humor’s role in creating a positive workplace culture. He advocates for the judicious use of humor to infuse workplaces with a greater sense of humanity and authenticity. Make no mistake, this should not be about telling jokes;  rather it is about creating an environment where employees feel comfortable being themselves, laughing at the inevitable absurdities of work, and even poking a little fun at themselves.

A bit of self-deprecating humor from your leader signals that it is okay to be human, make mistakes, and not take yourself too seriously.


“The more seriously a person takes themselves, the less seriously we end up taking that person.”


By taking themselves lightly, leaders create a more relaxed and approachable atmosphere, encouraging open communication and collaboration.

There are potential challenges of navigating humor in today’s workplace, where sensitivities and concerns about offensiveness are heightened. Mike reiterates that the key lies in ensuring that it is always used respectfully and aligns with the organization’s values. He highlights that companies with strong, positive cultures rarely encounter issues with humor because any disrespectful or offensive remarks are seen as a violation of the culture itself, rather than a humor problem.

Humor can play a vital role in preserving company culture and boosting morale. An individual who uses it effectively can help maintain a positive atmosphere, break tension, and foster camaraderie among team members.

Key Insight: Humor, when used thoughtfully and respectfully, can humanize the work environment, promote authenticity, and strengthen the overall culture.

Strategy: Leaders should use humor that is respectful and aligns with the organization’s values to create a more relaxed and approachable atmosphere.

Impact: Its strategic use can lead to a more engaging and enjoyable workplace, where employees feel connected and empowered; preserve company culture; boost morale; break tension; and foster camaraderie among team members.

The Culture Advantage: Unlocking Success

Mike’s insights serve as a powerful reminder that a company’s culture is its lifeblood, shaping its success and influencing every aspect of its operations. By embracing Mike’s advice on cultivating intentional leadership, fostering genuine human connections, and strategically using humor, organizations can build a thriving workplace culture that empowers employees, attracts top talent, and drives exceptional results.

If you are an avid reader, Mike is the author of nine books, including “The Humor Advantage,” “The Jerk-Free Workplace,” “Small Moments, Big Outcomes,” and “Hire, Inspire, and Fuel Their Fire.” Interested in finding out more about Mike and his offerings? Visit his website, mikekerr.com

We extend our sincere gratitude to Mike for sharing his expertise and inspiring us to create workplaces where individuals feel valued, motivated, and connected. Your insights serve as a valuable roadmap for leaders seeking to build high-performing cultures that stand the test of time!

 

Did you enjoy this blog?

Here are some related topics that you may find interesting:

Jason MacKenzie: Unlocking Leadership Potential with the Power of Appreciative Inquiry

Stuart Morley: Strategic Business Growth and Leadership

Jason Gscheidmeier: Mastering Leadership Development

Steve King: Strategies for Integration, Leadership, and Innovation