How Leadership (and Followers) Create Organizational Culture

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“It didn’t take me long to realize that my new company had a toxic organizational culture. Everyone only looked out for themselves, and tried to sabotage everyone else” — newly hired program manager

“I look back on a company that I worked for eight years ago and realize that it was ‘heaven on earth’—people were supportive and really cared about one another” — an administrative assistant

Most of us have worked in different organizations over our careers. It is clear that different organizations, and even different teams/departments, have unique cultures. Some are positive, others negative. What is the role that leadership, and followership, can play in shaping an organization’s culture?

The Leader’s Role

Leaders can set the tone for an organization’s culture and are ultimately responsible for managing it. Much of the research on positive/exemplary forms of leadership focuses on how a leader’s behavior can influence how followers feel and behave, and how team members relate to one another.

For example, relationship theories of leadership encourage the leader to foster good interpersonal relationships between the leader and followers but also create a climate for good peer-to-peer relationships. Robert House’s Path-Goal Theory of Leadership argues that the leader’s role is to focus on shared goals/outcomes and to try to facilitate the team’s attainment of those goals—getting members to work well together.

Building a cohesive, successful team is perhaps the most important leader objective, and encouraging a positive culture/climate for the team is essential to keep team members on board.

Follower as Culture Leader

In some teams and organizations, a particular team member—sometimes an individual without any identifiable leadership title—can play an important role in fostering a positive team and organizational culture. I was associated with a consulting organization where one of the team members took on the role of being the “curator” of the company’s positive culture.

She was a dynamo and always had her eyes open for ways to build a positive climate. She organized recognition lunches for employees and stood up to the boss when she thought that he was being overbearing.

The Power of Organized Followership

In larger organizations, it is easy to tell which departments have a positive culture and which are lacking. In many instances, better departmental cultures exist because all members strive to maintain them. Members are inclusive, without being cliquish. There is a sense of shared professionalism and camaraderie. If members commit to maintaining a good climate/culture, it can exist with or without the participation of the leadership.

Shared Leadership and Organizational Culture

As organizational hierarchies are becoming flatter, many organizations follow a “shared leadership” model—with members working together to enact the company’s leadership. I’ve seen this in sales organizations and in healthcare settings. The key is that the organization’s members/leaders need to value a positive organizational culture.

The references contain some readings that can help improve an organization’s culture.