berlin: how leaders build cultural capital--a masterclass

How Leaders Build Cultural CapitalRichard Barrett

Powerful metrics that enable leaders to measure and manage cultures.www.valuescentre.com

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MY SPEECH TODAY

HOW TO CREATE A VALUES-DRIVEN CULTURE

MY TALK THIS EVENINGHOW LEADERS BUILD CULTURAL

CAPITAL

BUT FIRST WHO AM I?


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Who am I?Chairman and Founder of the Barrett Values Centre(www.richardbarrett.net)

OUR MISSION

To support leaders in building positive values-driven organizations.

OUR VISION

To create a positive values-driven society.


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Organizational Transformation

“Richard Barrett has made extraordinary contributions to our understanding of organisational values and culture. His frame-works for measuring culture and enabling whole system change are elegant. His reservoir of know-ledge is vast and his connection to timeless wisdom is profound.”

Raj Sisodia, Co-founder and co-chairman of Conscious Capitalism Inc. and Professor of Global Business, Babson College, USA.


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2013 2016

My Books

1998 2006 2010 20111995

2012 2013 2014 2015 2016

Books about Personal Transformation

1995

2012

Books about Organizational Transformation

1998 2006

2013

Books about National Transformation

2011

2015

Books about Leadership

2010

2014

Books about Psychology

2012 2014 2016


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… powerful metrics to support leaders in building values-

driven organizations and values-driven

societies.

provides …

Phil Clothier, CEO of Barrett Values Centre.

Cultural Transformation Tools

MEASUREMENT TOOLS FOR INDIVIDUALS

Personal Values AssessmentIndividual Values AssessmentLeadership Development ReportLeadership Values Assessment

MEASUREMENT TOOLS FOR HUMAN GROUP STRUCTURES

Cultural Values AssessmentCultural Evolution ReportEspoused Values AnalysisSmall Group AssessmentMerger/Compatibility ReportCustomer Values AssessmentCommunity Values AssessmentNational Values Assessment


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Key Stats:Founder: Richard BarrettSince: 1997Scale: Over 6000 organisations use CTT assessments in 94 countiesValues Assessments for:Individuals, Leaders (360°), Teams Corporations, Governments, NGOs, Schools, Communities and NationsGlobal Network: Over 5,000 Certified Practitioners and Consultants

Supporting Leaders in Building Values-Driven Organisations


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THE SECTORS WE WORK IN:

• Agriculture / forestry / fishing• Banking / Financial Services• Central / Local Government• Chemical and pharma• Construction• Education / University• Fast Moving Consumer Goods• Food and drink• Healthcare• Hospitality / Entertainment /

Tourism• IT/ Telecoms/ Electronics • Manufacturing

• Media/Film/TV/Publishing• Military• NGO / Not for profit• Oil/gas/mining• Police & Justice• Professional Services• Retail and wholesale• Scientific / Technical /

Engineering• Scientific and technical• Social housing• Transportation


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MY SPEECH TODAY


HOW LEADERS BUILD CULTURAL CAPITAL

(MAKE ORGANIZATIONS MORE VALUABLE)


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WHY ARE VALUES-DRIVEN CULTURES IMPORTANT?

Values Alignment

Perfo

rman

ce

BECAUSE VALUES-DRIVEN CULTURES ARE THE MOST SUCCESSFUL ON THE PLANET


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WHY ARE VALUES-DRIVEN CULTURES THE MOST SUCCESSFUL?

BECAUSE THEY CARE ABOUT THE NEEDS OF THEIR EMPLOYEES, AND …


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… THEY ALSO CARE ABOUT THE NEEDS OF ALL THEIR STAKEHOLDERS

Suppliers Community


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WHEN YOU CARE ABOUT PEOPLE …

PEOPLE CARE ABOUT YOU


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Chapman and Sisodia, “Everybody Matters” 2015.

Everyone wants to do better. Trust them. Leaders are everywhere. People achieve good things, big and small, every day. Celebrate them. Everybody matters. Show

them.

The Extraordinary Power of Caring for your People like your Family


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Bob Chapman, CEO of the $1.7 billion company Barry-Wehmiller.

The Extraordinary Power of Caring for your People like your Family

Raj Sisodia, Professor of Global Business, Babson College, USA.


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S&P 500

Average Annualized Return 16.39%

Average Annualized Return 4.12%

BCWF

The Best Companies to Work For engender high levels of employee engagement and commitment, because the leaders of these organisations focus on meeting their employee’s needs.

The Top 40 Best Companies to Work For (USA)


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Highly Engaged Employees

Highly engaged employees identify with the company. They care passionately about the future of the company. They bring passion and purpose to their work. They are willing to invest their discretionary effort to make

the company a success. They want the company to do the right thing. They want to feel pride in the way the company behaves.


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Intangible Assets make up most of market value

1975 1985 1995 2005 20150%

20%

40%

60%

80%

100%

17%32%

68%80% 84%

83%68%

32%20% 16%

Intangible Assets Tangible Assets

Source: Ocean Tomo LLC, January 2015

Components of S&P 500


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I am going to show you values assessments of two teams.

Based on the results, I want you to decide which team you would

choose to work in.


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Customer satisfactionMaking a difference

CommitmentEmployee fulfilment

Continuous improvementHumour/funShared vision

Customer collaborationBalance (home/work)

Teamwork

CURRENT CULTURE of TEAM “A”

Long hours(L)Confusion (L)

Short-term focus (L)Blame (L)

Information hoarding (L)

Manipulation (L)Hierarchy (L)

Results orientationBureaucracy (L)

Quality

CURRENT CULTURE of TEAM “B”


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Which of these teams do you think is the most successful?

Customer satisfactionMaking a difference

CommitmentEmployee fulfilment

Continuous improvementHumour/funShared vision

Customer collaborationBalance (home/work)

Teamwork

Long hours(L)Confusion (L)

Short-term focus (L)Blame (L)

Information hoarding (L)Manipulation (L)

Hierarchy (L)Results orientation

Bureaucracy (L)Quality

CURRENT CULTURE of TEAM “A”

CURRENT CULTURE of TEAM “B”


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“No matter how far reaching the vision or how brilliant the strategy, neither will be realized if it is not supported

by the organisational culture.” Luther Johnson

Peter Drucker

“CULTURE EATS STRATEGY FOR BREAKFAST”


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Kegan and Lahey, “An Everyone Culture: Becoming a deliberately developmental organization”. 2016.

The culture you create is your strategy. The key to success is

developing everyone.

The Culture is your Strategy


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Investments in Values and Culture pay back!

>500 Culture Ambassadors to facilitate and support values-driven culture

“Dedicated and persistent

work with our wanted

culture is one of

our most critical

success factors”

ResultsCustomer Satisfaction From 60 to 90%Employee Satisfaction 90% …5 yearsOwners Trust Low to High!Delivery Precision 55 to 90%Attractive Employer Best in Class!

Systematic Approach

>100 tools and methods for active dialogues and reinforcement

Consistently Shared

Mission, Vision Values

MY SPEECH TODAY


LET’S TALK ABOUT VALUES

WHAT ARE THEY?WHY ARE THEY IMPORTANT?


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Peters and Waterman, “In Search of Excellence: Lessons from America’s best run companies”, 1983

Clarifying the value system and breathing life

into it are the greatest contributions a leader

can make.

The Leader and the Values


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What are Values?

A shorthand way of describing our individual and collective motivations and what is important to us.

They are the energetic drivers of our aspirations and intentions.


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Positive of Potentially Limiting?

Values can be positive or potentially limiting.

Positive Values: Trust, creativity, passion, honesty, integrity, clarity

Potentially Limiting Values: Bureaucracy, power, blame, greed, hierarchy, status-seeking


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Positive values, such as friendship, trust and creativity, help us to build relationships, connect with others and make a contribution to the world.

Potentially limiting values do just the opposite. They may help us meet our ego’s short-term needs, but in the long-term they are divisive. They are counterproductive to the desires of the soul; they suppress self-expression and prevent connection and contribution.

Potentially limiting values are sourced from the fears the ego has about getting its needs met. Potentially limiting values support the ego’s self-interest.

POTENTIALLY LIMITING VALUES


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When a person has a fear-based belief about not having enough of what they need to survive, no matter how much money they earn they will always want more; they will subconsciously stay focused at the survival level of consciousness until they can release the fear-based belief that they don’t have enough.

The same is true for the relationship and self-esteem levels of consciousness. When you have a fear-based belief about not being loved or not being recognized, your conscious or subconscious awareness will remain focused at the relationship or self-esteem levels of consciousness until you release those fears.

POTENTIALLY LIMITING VALUES


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Let’s explore our values


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1. Write down two values that are important to you:

EXAMPLE: Friendship and Clarity

2. Write down your beliefs that support this value:

EXAMPLE: Clarity bring focus to decision making

3. Write down the behaviours that support this value:

EXAMPLE: Seek many opinions, synthesize multiple data points to understand the big picture

EXERCISE: VALUES BELIEFS AND BEHAVIOURS


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EXERCISE: VALUES BELIEFS AND BEHAVIOURS

AccountabilityAchievementBalance (home/work)Clarity CommitmentCompassionContinuous learningCooperationCourageCreativityEnthusiasmEfficiencyEthics

ExcellenceFairnessFamilyFinancial gainFriendshipsFuture generationsHealthHonestyHumor/funIndependenceIntegrityInitiativeIntuition

Making a differenceOpen communicationOpennessPersonal fulfillmentPersonal growthPowerRespectResponsibilityRisk-takingSelf-disciplineSuccessTrustWisdom


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Where do our Values come from?

Our values are a reflection of our needs. (What ever we need we value.)

We have two sets of needs:

• The needs of the stage of psychological development we are currently operating from.

• The needs of the stages of psychological development we have passed through where we still have unmet needs.


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PERSONAL VALUES ASSESSMENT

www.valuescentre.com/pva


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PRIMARY MOTIVATION

THE NEEDS OF THE STAGE OF PSYCYHOLOGICAL DEVELOPMENT YOU ARE AT.


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SECONDARY MOTIVATION

THE UNMET NEEDS OF THE STAGES OF PSYCYHOLOGICAL DEVELOPMENT YOU HAVE PASSED THROUGH.

The needs you have failed to master. Personal entropy.


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Facilitating human potential

This is not a book about coaching per se, it is about the framework of human development that coaches need to be familiar with to facilitate the full emergence of their client’s potential.


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MY SPEECH TODAY


STAGES OF PSYCHOLOGICAL DEVELOPMENT

WHAT ARE THEY?WHY ARE THEY IMPORTANT?


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A personal journeyEvery person is on an evolutionary journey of psychological development.

Surviving

Conforming

Differentiating

Individuating

Self-actualizing

Integrating

Serving


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Stages, Levels and World Views

We grow in stages of psychological development

We operate at levels of consciousness

We live inside (are embedded in) cultural world views


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Levels of Consciousness

All things being normal, the level of consciousness we operate from will

correspond to the stage of psychological development we have reached.


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Stages and Levels

Stages Levels of ConsciousnessServing SERVICE

Integrating MAKING A DIFFERENCE

Self-actualising INTERNAL COHESION

Individuating TRANSFORMATION

Differentiating SELF-ESTEEM

Conforming RELATIONSHIP

Surviving SURVIVAL Evol

ution

of P

erso

nal C

onsc

ious

ness


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Stages of Psychological Development

Surviving


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INFANCY 0-2 Years Old

Staying alive! COMPETENCY

Ability to meet basic physiological needs.

Surviving

Stage Motivation


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Conforming


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Conforming

Stage Motivation

CHILDHOOD 3-7 Years Old

Keeping safe and secure!BEING LOVED

Ability to feel accepted and sense of belonging.


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Differentiating


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Differentiating

Stage Motivation

TEENAGER +8-24Years Old

Distinguishing yourself!CONFIDENCE

Ability to feel respected and recognized by others.


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INDIVIDUATING


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INDIVIDUATING

Stage Motivation

YOUNG ADULT25-39 Years Old

Releasing your fears!ACCOUNTABILITY

Finding freedom and autonomy to understand

who you really are.


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SELF-ACTUALIZING


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SELF-ACTUALIZING

Stage Motivation

ADULTHOOD40-49 Years Old

Becoming who you are!SELF-EXPRESSION

Ability to satisfy your desire for meaning

and purpose.


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INTEGRATING


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INTEGRATING

Stage Motivation

MATURE ADULT50-59 Years OldAligning with others!

CONNECTIONAbility to satisfy the desire

to make a difference in your world.


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SERVING


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SERVINGStage Motivation

SENIOR60+ Years Old

Finding fulfilment! CONTRIBUTION

Ability to satisfy your desire to serve the

greater good.


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Key findings of the Grant Study

“It is the quality of a child’s total experience, not any particular trauma or any particular relationship, that exerts the clearest

influence on adult psychopathology.”

George E. Vaillant: Director of the Grant

Study from 1972-2005HARVARD UNIVERSITY


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Other research

“The LSE research indicates that a child’s emotional

health is far more important to their satisfaction levels as an adult than other factors,

such as, whether they achieve academic success

when young, or wealth when older.”

Lord Richard Layard LONDON SCHOOL

OF ECONOMICS


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The impact of early love in our lives

Love in the early stages of life literally shapes the brain and affects us for a lifetime. It determines how long we live and what illnesses we will fall prey to later in life. It is no exaggeration to say that very early

lack of love already sets the limits on how long we will live and how happy

our lives will be. Dr. Arthur Janov

PSYCHOTHERAPIST


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Surviving prepares you for Self-actualizing

Individuating

Integrating

Differentiating

Conforming

Surviving

Stages of Development

Serving

Self-actualizing

SOUL

EGO

Competence

Self-expressionEGO-SOUL ALIGNMENT


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Conforming prepares you for Integrating

SOUL

EGO

Belonging

ConnectingIndividuating

Integrating

Differentiating

Conforming

Surviving


Serving

Self-actualizing

SOUL

EGO

EGO-SOUL ALIGNMENT


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Differentiating prepares you for Serving

SOUL

EGO

Recognition

ContributingIndividuating

Integrating

Differentiating

Conforming

Surviving


Serving

Self-actualizing

SOUL

EGO

EGO-SOUL ALIGNMENT


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What motivates employees is the

satisfaction of their needs.


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What Employees Value at different levels of consciousness

A safe working environment and pay and benefits that are sufficient to take care of family

Opportunities to work in a congenial atmosphere where people care and respect each other

Opportunities to grow professionally with support, feedback and coaching

Opportunities and challenges by being made accountable for projects and processes

Opportunities for personal growth and develop-ment to support you in living your life purpose

Opportunities to leverage your contribution by collaborating with other like-minded individuals

Opportunities to serve others and care for the well-being of the Earth’s life support systems

Surviving

Relationship

Self-esteem

Transformation

Internal cohesion

Making a difference

Service

Levels of Consciousness Primary Motivations


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75


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1. What is your primary motivation at work?

2. What is your primary motivation outside work?

3. Are you able to get your motivations met at your current place of work?

4. Discuss with a partner.


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DONALD

TRUMP


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DONALD TRUMP

In the Introduction to The New Leadership

Paradigm I plotted the values of several

leaders based on the books they had written

about leadership.


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DONALD TRUMP

DisciplinedGiving backImage (L)LoyaltyPassionProfitReciprocityRevenge (L)Ruthless (L)Winning

A toxic mixture of

values

2010

Unmet needs


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MY SPEECH TODAY


SEVEN LEVELS OF CONSCIOUSNESS MODEL

ORIGINS AND APPLICATIONS?


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Origins of the Seven Levels Model

Growth NeedsWhen these needs are fulfilled they do not go away, they engender deeper levels of motivation and commitment.

Deficiency NeedsAn individual gains no sense of lasting satisfaction from being able to meet these needs, but feels a sense of anxiety if these needs are not met.

Physiological

Safety

Love & Belonging

Self-esteem

Know and Understand

Abraham Maslow

Self Actualization


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N e e d s C o n s c i o u s n e s s

Self-Actualization

Richard Barrett

Safety

Love & Belonging

Self-esteem

Physiological

Safety

Love & Belonging

Self-esteem

Know and Understand

Abraham Maslow

Maslow’s Needs to Barrett’s Consciousness


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Maslow’s Needs to Barrett’s Consciousness

N e e d s C o n s c i o u s n e s s

1. Expansion of self-actualization into multiple levels.

2. Substitute states of consciousness for

hierarchy of needs.

3. Each state of consciousness is defined

by specific values and behaviours.

Physiological

Safety

Love & Belonging

Self-esteem

Know and Understand

Service

Making a difference

Internal Cohesion

Transformation

Self-esteem

Relationship

Survival


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The Shift from “I” to “We”

Service

Internal Cohesion

Transformation

Self-esteem

Relationship

Survival

COMMON GOOD AND CONTRIBUTION (WE)

SELF INTEREST AND PERFORMANCE (I)

TRANSFORMATION

Evol

ution

of P

erso

nal C

onsc

ious

ness

Making a difference


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SEPARATION AND ISOLATION COMMUNITY AND COHESION

The Shift from “I” to “We”

Seven Levels of Personal ConsciousnessPositive Focus/ Excessive Focus

Service Service to Humanity and the PlanetCompassion, Humility, Future Generations.

Making a DifferenceMaking a Difference in the CommunityActualising Meaning, Collaboration, Intuition, Mentoring, Empathy.

Internal CohesionFinding Meaning in ExistenceIntegrity, Alignment, Authenticity, Creativity, Passion, Honesty, Trust.

TransformationContinuous Growth and DevelopmentAdaptability, Continuous Improvement, Courage, Team Player.

Self-esteemBuilding a Sense of Self WorthPride in Self, Self-Reliant, Self-discipline, Positive Self Image. Arrogance, Status, Power, Glamour, Rigidity.

RelationshipHarmonious RelationshipsFamily, Friendship, Belonging, Open Communication, Ritual. Blame, Jealously, Judgment, Conflict, Gossip.

SurvivalPhysical Survival and SafetyHealth, Nutrition, Financial Stability, Self-Defence.Violence, Greed, Corruption, Territorial.

Seven Levels of Organisational ConsciousnessPositive Focus/ Excessive Focus

ServiceService to Humanity and the PlanetSocial Responsibility, Future Generations, Long-Term Perspective, Ethics, Compassion, Humility.

Making a DifferenceStrategic Alliances and PartnershipsEnvironmental Awareness, Community Involvement, Employee Fulfilment, Coaching/Mentoring.

Internal CohesionBuilding Internal CommunityShared Values, Vision, Commitment, Integrity, Trust, Passion, Creativity, Openness, Transparency.

TransformationContinuous Renewal and LearningAccountability, Adaptability, Empowerment, Teamwork, Goals Orientation, Personal Growth.

Self-esteemHigh PerformanceSystems, Processes, Quality, Best Practices, Pride in Performance. Bureaucracy, Complacency.

RelationshipHarmonious RelationshipsLoyalty, Open Communication, Customer Satisfaction, Friendship. Manipulation, Blame.

SurvivalFinancial StabilityShareholder Value, Organisational Growth, Employee Health, Safety. Control, Corruption, Greed.


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BUILDING A VALUES-DRIVEN ORGANIZATION

START WITH A VALUES SURVEY


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The Culture Change Process

1. Cultural Values

Assessment

2. Share results and start dialogue

3. Prioritize values

4. Identify behaviours

5. Create culture

development plan

6. Implement changes and programmes

ENTROPY

PERFORMANCE


90

PERSONAL VALUESWhich of the following values/behaviours most reflect who you are? Pick ten.

CURRENT CULTUREWhich of the following values/behaviours most reflect how your organisation currently operates? Pick ten.

DESIRED CULTUREWhich of the following values/behaviours most reflect how you would like your organisation to operate? Pick ten.


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Placement of Values by Level (100 employees)

Top Ten Values

1. tradition (L) (59)

2. diversity (54)

3. control (L) (53)

4. goals orientation (46)

5. knowledge (43)

6. creativity (42)

7. productivity (37)

8. image (L) (36)

9. profit (36)

10. open communication (31)

10

42 5

7

9

6

8

3

110

Current Culture

Service

Making a difference

Internal Cohesion

Transformation

Self-esteem

Relationship

Survival


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11%

1

2

3

4

5

6

7

Cultural Entropy

Placement of Values by Level (100 employees)

Current Culture

Service

Making a difference

Internal Cohesion

Transformation

Self-esteem

Relationship

Survival


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What is Cultural Entropy?

The amount of energy that is consumed in an organisation doing unnecessary or unproductive work that does not add value.

It is a measure of the conflict, friction and frustration that employees encounter in their day-to-day activities that prevent the organisation from operating at peak performance.


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Cultural Entropy and Employee Engagement

Cultural Entropy Most employees are ….

10% or less Highly Engaged

11% to 20% Engaged

21% to 30% Becoming Disengaged

31% to 40% Disengaged

41% or more Highly Disengaged


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Cultural entropy significantly

impacts employee

engagement.

0% 5% 10% 15% 20% 25% 30%25%

35%

45%

55%

65%

75%

85%

Cultural Entropy

Empl

oyee

Eng

agem

ent

Research carried out in 163 organisations in Australia by Hewitt Associates and the Barrett Values Centre in 2008.

Low Entropy = High Engagement

High Entropy = Low Engagement

Cultural Entropy and Employee Engagement

Highly Engaged Team (19)

customer satisfaction 13 2(O)

making a difference 13 6(S)

commitment 10 5(I)

employee fulfilment 10 6(O)

continuous improvement 9 4(O)

humour/ fun 9 5(O)

shared vision 9 5(O)

customer collaboration 8 6(O)

balance (home/work) 6 4(O)

teamwork 6 4 (R)



employee fulfilment 10 6(O)


shared vision 9 5(O)

continuous learning 8 4(O)

accountability 6 4(R)

innovation 6 4(O)

teamwork 6 4(R)

trust 6 5(R)

Values PlotCopyright 2015 Barrett Values Centre

I = IndividualR = Relationship

Black Underline = PV & CCOrange = PV, CC & DC

Orange = CC & DCBlue = PV & DC

P = PositiveL = Potentially Limiting (white circle)

O = OrganisationalS = Societal

Matches

PV - CC 4CC - DC 6

PV - DC 4

Cultural Entropy:Current Culture

7%

family 15 2(R)


humour/ fun 11 5(I)

well-being 11 6(I)

continuous learning 10 4(I)

commitment 8 5(I)


financial stability 7 1(I)

trust 7 5(R)

compassion 6 7(R)

Level Personal Values (PV) Current Culture Values (CC) Desired Culture Values (DC)

7654321

IRS (P)=6-4-1 IRS (L)=0-0-0 IROS (P)=1-1-8-1 IROS (L)=0-0-0-0 IROS (P)=0-3-6-1 IROS (L)=0-0-0-0

Highly Engaged Team (19)

Personal Values

Values DistributionCopyright 2015 Barrett Values Centre

Positive ValuesPotentially Limiting Values

Current Culture Values

Desired Culture Values

C

T

S 2

1

3

4

5

6

7

C = Common GoodT = TransformationS = Self-Interest

1

2

3

4

5

6

7

0% 20% 40% 60%

0%

0%

0%

5%

14%

9%

21%

25%

17%

9%

1

2

3

4

5

6

7

0% 20% 40% 60%

2%

0%

5%

6%

10%

4%

20%

28%

24%

1%

1

2

3

4

5

6

7

0% 20% 40% 60%

0%

0%

0%

5%

9%

10%

27%

23%

22%

4%

CTS = 51-21-28 CTS = 53-20-27 CTS = 49-27-24Cultural Entropy = 0%

Cultural Entropy = 7%Cultural Entropy = 0%

Low level of Cultural Entropy = High level of

Employee Engagement

26%

46%

28%

25%

48%

27%

26%

50%

24%


99

Highly Engaged Employees

Highly engaged employees identify with the company. They care passionately about the future of the company. They bring passion and purpose to their work. They are willing to invest their discretionary effort to make the company a

success. They want the company to do the right thing. They want to feel pride in the way the company behaves.

Highly Disengaged Team(24)

confusion (L) 15 3(O)

long hours (L) 12 3(O)

short-term focus (L) 11 1(O)

blame (L) 10 2(R)

information hoarding (L) 9 3(R)

manipulation (L) 8 2(R)

hierarchy (L) 8 3(O)

results orientation 7 3(O)

bureaucracy (L) 6 3(O)

quality 6 3(O)


information sharing 10 4(O)

quality 9 3(O)


teamwork 8 4(R)


professionalism 7 3(O)

efficiency 6 3(O)

balance (home/work) 6 4(O)

continuous learning 6 4(O)

Values PlotCopyright 2016 Barrett Values Centre

I = IndividualR = Relationship

Black Underline = PV & CCOrange = PV, CC & DC

Orange = CC & DCBlue = PV & DC

P = PositiveL = Potentially Limiting (white circle)

O = OrganisationalS = Societal

Matches

PV - CC 0CC - DC 1

PV - DC 2

Cultural Entropy:Current Culture

47%

commitment 26 5(I)

honesty 12 5(I)

integrity 9 5(I)

adaptability 8 4(I)

continuous learning 8 4(I)

responsibility 8 4(I)

cooperation 8 5(R)

efficiency 7 3(I)

family 6 2(R)

humour/ fun 6 5(I)

Level Personal Values (PV) Current Culture Values (CC) Desired Culture Values (DC)

7654321

IRS (P)=9-3-0 IRS (L)=0-0-0 IROS (P)=0-0-3-0 IROS (L)=0-3-5-0 IROS (P)=0-3-8-0 IROS (L)=0-0-0-0

Highly Disengaged Team (47)

Personal Values

Values DistributionCopyright 2016 Barrett Values Centre


Current Culture Values

Desired Culture Values

C

T

S 2

1

3

4

5

6

7

C = Common GoodT = TransformationS = Self-Interest

1

2

3

4

5

6

7

0% 20% 40% 60%

2%

0%

0%

6%

10%

13%

21%

36%

7%

5%

1

2

3

4

5

6

7

0% 20% 40% 60%

11%

11%

25%

6%

6%

11%

16%

7%

5%

2%

1

2

3

4

5

6

7

0% 20% 40% 60%

2%

0%

0%

3%

10%

18%

32%

23%

9%

3%

CTS = 48-21-31 CTS = 14-16-70 CTS = 35-32-33Cultural Entropy = 2% Cultural Entropy = 47% Cultural Entropy = 2%

High level of Cultural Entropy

= Low level of Employee

Engagement


102

Cultural entropy is a function of the personal entropy of the current leaders of an organisation and institutional legacy of past leaders as embedded in the structures, systems, policies and procedures.

How Does Cultural Entropy Arise?


103

What is Personal Entropy?

Personal entropy is the amount of fear-driven energy that a person expresses in his or her day-

to-day interactions with other people.

It is a measure of a lack of a person’s lack of personal mastery skills. Fear-driven energy arises from the

conscious and subconscious fear-based beliefs of the ego about meeting its deficiency needs.


104

The Three Mantras of Organizational Performance

Cultural Capital is the new frontier of competitive advantage.

Mantras Implications

The Culture of an organizations is a reflection of leadership consciousness

Measurement matters. If you can measure it, you can manage it.

Who you are and what your organization stands for is vitally important.

Organizational transformation begins with the personal transformation of the leaders

You can make the evolution of consciousness, conscious

Focus on Vision, Mission and Values

Begins with Leading Self

Measure and Map the Values

continuous learning 11 Level 4generosity 11 Level 5commitment 10 Level 5positive attitude 10 Level 5vision 10 Level 7ambitious 9 Level 3making a difference 8 Level 6results orientation 8 Level 3honesty 7 Level 5integrity 7 Level 5intuition 7 Level 6leadership developer 7 Level 6

1. customer satisfaction 16 Level 22. commitment 11 Level 53. continuous learning 11 Level 44. making a difference 11 Level 65. global perspective 9 Level 36. mentoring 9 Level 67. enthusiasm 8 Level 58. leadership development 8 Level 69. integrity 7 Level 510. open communication 7 Level 211. optimism 7 Level 512. shared values 7 Level 5

Cultural Evolution Begins with Personal Evolution

Cultural Entropy 7%Personal Entropy 9%

Culture ValuesLeader’s Values

The culture ofan organisationis a reflectionof leadership consciousness.

CVA Current Culture

PL= 12-0 | IROS (P)= 4-2-5-1 | IROS (L)= 0-0-0-0

Internal Cohesion

LVA Feedback 27 Assessors

PL = 12-0 | IRO (P) = 9-1-2 | IRO (L) = 0-0-0

Internal Cohesion

The culture ofan organisationis a reflectionof leadership consciousness.

LV A Feedback 14 Assessors

PL = 1-9 | IRO (P) = 1-0-0 | IRO (L) = 1-8-0

Cultural Evolution Begins with Personal Evolution

power (L) 11 Level 3

blame (L) 10 Level 2

demanding (L) 10 Level 2

manipulative (L) 10 Level 2

experience 9 Level 3

controlling (L) 8 Level 1

arrogant (L) 7 Level 3

authoritarian (L) 6 Level 1

exploitative (L) 6 Level 1

ruthless (L) 6 Level 1

1. short-term focus (L) 13 Level 1

2. blame (L) 11 Level 2

3. manipulation (L) 10 Level 2

4. caution (L) 7 Level 1

5. cynicism (L) 7 Level 3

6. bureaucracy (L) 6 Level 3

7. control (L) 6 Level 1

8. cost reduction 5 Level 1

9. empire building (L) 5 Level 2

10. image (L) 5 Level 3

11. long hours (L) 5 Level 3

CVA Current Culture

PL= 1-10 | IROS (P)= 0-0-1-0 | IROS (L)= 2-4-4-0

Cultural Entropy 38%Personal Entropy 64%

Culture ValuesLeader’s Values


107

How to Measure Personal Entropy?

LEADER’S VALUESWhich of the following values/behaviours most reflect how you operate? Pick ten.

ASSESSOR’S OBSERVED VALUES OF LEADERWhich of the following values/behaviours most reflect how Leader “X” operates? Pick ten.

http://www.valuescentre.com/our-products/products-leaders/leadership-values-assessment-lva

LEADERSHIP VALUES ASSESSMENT

long hours (L) 16 3(I)

quality conscious 13 3(O)

drive and determination 12 4(I)

analytical 10 3(I)

commitment 10 5(I)

cautious (L) 8 1(I)

reliable 8 3(R)

achievement 7 3(I)

demanding (L) 7 2(R)

internally competitive (L) 6 2(R)

strategic thinker 6 4(I)

High Entropy Leader (20 Assessors)

Matches 3

adaptability 4(I)

connecting with stakeholders 6(R)

drive and determination 4(I)

goals orientation 4(O)

innovative 4(I)

long hours (L) 3(I)

making a difference 6(O)

strategic thinker 4(I)

vision 7(I)

win-win partnerships 6(O)

Level Leader Observed Values7654321

PL= 9-1 | IROS (P)=5-1-3-0 | IROS (L)=1-0-0-0 PL= 7-4 | IROS (P)=5-1-1-0 | IROS (L)=2-2-0-0

Orange=Values Match P=PositiveL=Potentially Limiting (white circle)

I=IndividualR=RelationshipO=OrganisationalS=Societal

Entropy = 27%

1

2

3

4

5

6

7

0% 20% 40% 60%

10%

50%

30%

10%

CTS = 40-50-10Entropy = 10%

CTS = 20-20-60

Entropy = 27%

Leader

High Entropy Leader (20 Assessors)


Observed Values

C

T

S

C=Common GoodT=TransformationS=Self-Interest

1

2

3

4

5

6

7

0% 20% 40% 60%

9%

8%

10%

1%

7%

25%

20%

12%

5%

3%

1

2

3

4

5

6

7


110

BUILDING A VALUES-DRIVEN CULTURETHE JOURNEY

SA Bank: Evolution of Current Culture

1. cost-consciousness2. profit 3. accountability 4. community involvement 5. client-driven 6. process-driven7. bureaucracy (L)8. results orientation 9. client satisfaction10. silo mentality (L)

2005

1. cost-consciousness2. accountability 3. client-driven 4. client satisfaction 5. results orientation 6. performance driven7. profit8. bureaucracy (L)9. teamwork 10. community involvement

2006

1. client-driven 2. accountability 3. client satisfaction 4. cost-consciousness5. community involvement6. performance driven 7. profit8. achievement9. being the best 10. results orientation

2007 2008

1. accountability2. client-driven 3. client satisfaction 4. community involvement 5. achievement6. cost-consciousness7. teamwork8. performance driven9. being the best 10. delivery

3 Matches CC-DCEntropy 25%





2009 2010 2011

1. accountability2. client-driven 3. client satisfaction 4. cost-consciousness5. community involvement 6. achievement7. teamwork 8. employee recognition 9. being the best10. performance driven

1. accountability2. client satisfaction 3. client-driven 4. teamwork5. brand reputation6. being the best7. achievement8. commitment9. community involvement10. cost-consciousness

1. accountability2. client-driven 3. client satisfaction4. brand reputation5. achievement6. teamwork7. environmental awareness8. commitment9. being the best10. cost-consciousness




2012

1. accountability2. client satisfaction 3. client-driven4. brand reputation5. teamwork6. employee recognition7. environmental awareness8. performance driven9. community involvement10. people-centred



2013 2014



1. accountability2. client satisfaction3. client-driven4. brand reputation5. employee recognition6. performance driven7. teamwork8. achievement9. integrity10. community involvement

1. accountability2. client satisfaction 3. client-driven 4. brand reputation5. employee recognition6. teamwork7. performance driven8. environmental awareness9. community involvement10. commitment

Despite a slight rise in cultural entropy,

profitability and productivity

continue to increase year on year.

Evolution of Number of Survey Participants

20052006200720082009201020112012201320140%

10%

20%

30%

40%

50%

60%

70%

80%

90%

8%

25%

38%

51%

67%73%

77% 75% 74% 75%Percentage of employees voluntarily participating in the values assessment grew significantly each year as people realized that the leaders of the organisation were paying attention to the results of the assessment.

Cultural Entropy Evolution

Cultural entropy reduction led to improved performance through increased employee engagement, increased revenues, improved productivity, and increase in share price. 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

0%

5%

10%

15%

20%

25%

30%

25%

19%17%

14%13% 13%

11%10%

11%13%

Cutlural Entropy

Income Evolution

2005 2006 2007 2008 2009 2010 2011 2012 2013 20140

50001000015000200002500030000350004000045000

0%

5%

10%

15%

20%

25%

30%

Income Cultural Entropy

Annual income

increases as cultural

entropy falls.

Global Economic Meltdown

2005 2006 2007 2008 2009 2010 2011 2012 2013 20140

200

400

600

800

1000

1200

1400

0%

5%

10%

15%

20%

25%

30%

Revenue per Capita Cultural Entropy

Income per capita

increases as cultural

entropy falls.

Productivity Evolution


2005 2006 2007 2008 2009 2010 2011 2012 2013 20140

2000

4000

6000

8000

10000

12000

0%

5%

10%

15%

20%

25%

30%

Profit Cutlural Entropy

Profit increases as cultural

entropy falls.

Profit Evolution



119

Free material on Change & Transformation

To grow a shared culture

To lead people through change

Available on www.valuescentre.com

To plan and lead cultural transformation

Checklist and overview

http://www.valuescentre.com/


120

MY SPEECH TODAY


VALUES-DRIVEN SOCIETIES

CTT National Assessments – Status November 2015

Denmark 2008

Latvia2007

Sweden2009, 2010, 2011, 2012, 2013, 2014

Iceland2008, 20102014

Belgium2010,2014

UK2012

Finland2010, 2011

Switzerland2011

France2012, 2013 2014

USA2009, 2010, 2011

Australia2009

Canada2009

South Africa2011

Bhutan2007

Brazil2010

Nigeria2012

Argentina2001**

Singapore2012, 2015

UAE2012

South America

North America

Africa

Asia

Oceania

Europe

Venezuela2010 **

Trinidad & Tobago2012

** Not statistically valid

Italy2012


122

Cultural Values Assessment of Iceland

Iceland Economic Collapse 2008


123


materialisticshort-term focuseducational opportunitiesuncertainty about the futurecorruptionelitismmaterial needsWaste\d resourcesgender discriminationblame

accountabilityfamilyemployment opportunitiesfinancial stabilityoptimismdependable public serviceshonestysocial responsibilityhuman rightspoverty reduction

familyhonestyresponsibilityaccountabilityfinancial stabilitytrustfriendshippositive attitudehumour/funadaptabilityrespect

Personal Values Desired CultureCurrent Culture

Cultural Entropy 53%


124


Iceland National Assembly 2009/2010

1200 Citizens + 300 Government, NGOs & Institution Leaders + 500 VolunteersThemes: Education, Economy, Equal rights, Family, Environment, Public administration, Welfare,

Sustainability

The Value of Values


126

Cultural Values Assessment of Latvia

Beliefs DivideValues Unite


127

Cultural Values Assessment of Latvia


129

Cultural Values Assessment of USA

familycaringhonestyresponsibilityhumor/ funaccountabilityrespectpositive attitudeintegrityfriendship

caringfamilyhumor/ funhonestyfriendshipresponsibilitycompassionrespectaccountabilitypositive attitude

Democrat Personal Values

RepublicanPersonal Values

Community Building in AustraliaValues based development for poor and socially excluded citizens to reintegrate into work and society

Grass roots community development

Community Transformation in Australia


The journey of community transformation and the path to self determination

starts with....Extensive community engagement and the

identification of community values and vision.

‘Self belief leads to self determination and community ownership’


RESULTS

60% Increase in employment 100% Reduction in children

attending “safe house” 50% Decrease in adult court

appearances Community owned policy

and programs


community engagement 6(S)

community ownership 4(S)

leadership development 6(O)

opportunity 4(O)

working together 4(R)

teamwork 4(R)

belonging 2(R)

positive attitude 5(I)

confidence 3(I)

hope 4(I)

respect 2(R)

blame (L) 2(R)

confusion (L) 3(O)

caution (L) 1(I)

control (L) 1(R)

information hoarding (L) 3(R)

human rights 7(S)

leadership development 6(O)

working together 4(R)

exploitation (L) 1(O)

respect 2(R)

Level 2011 CURRENT CULTURE 2014 CURRENT CULTURE7654321

IROS (P)= 0-2-1-1 | IROS (L)=1-3-2-0 IROS (P)= 3-4-2-2 | IROS (L)=0-0-0-0

CULTURAL ENTROPY

13%

33%2011

2014

Community Building in Sweden

Transforming public administration in municipal communities


136

StorumanHärnösandLeksandÖsthammarMellerudGöteborgVärnamoHalmstadSölvesborg

Community Transformation in Sweden


137

Politicians Civil Servants

Citizens

"Bridging the government citizen

gap"


138

UK Values AllianceFormed in 2012 after UK National Values Assessment

Putting values at the heart of UK Society

http://valuesalliance.co.uk/

UK Values AllianceThe UK Values Alliance is a collaborative group that is seeking to promote values in society. We formed as a result of the recent UK National Values Survey, which demonstrated a large gap between the personal values of UK residents and the values they see at a national level.

We are a hub for individuals and organisations active or interested in the field of values. Our belief is that by acting together, we can make a bigger difference than we can by acting alone. Our stated purpose is to build a better UK society by helping individuals and organisations be more aware of, understand and live their values.

For more informationand get a copy of this presentation

go to:

www.richardbarrett.net&

www.valuescentre.com

http://www.richardbarrett.net/

http://www.valuescentre.com/