The Smell of the Place - Why Culture Shapes Everything
4 Common Pitfalls and How to Reverse Them
Huh, not another corporate training session !
Throughout my career, I’ve attended countless seminars and workshops. Honestly, many sadly felt like a waste of time, leaving me to question if I’d learned anything at all.
But occasionally, a training program genuinely stands out —one that challenges your thinking and leaves lasting lessons.
I recall a memorable leadership training in Fontainebleau, a charming town in France known for its beautiful palace and lush forest. While the location was lovely (I won’t lie), what made the experience truly special was a session dedicated to understanding company culture.
It struck me that a company’s culture is much like the environment we operate in: it can either energize us or weigh us down.
It’s clear to me now that culture shapes everything—from how teams communicate to how organizations adapt to change. In today’s fast-paced world, understanding this dynamic is crucial for any leader.
The Smell of the Place: A Masterclass on Culture
In class, we huddled around the screen and watched this grainy video clip of the late Professor Sumantra Ghoshal speaking at the World Economic Forum in Davos. In this brilliant speech, he emphasizes that the environment leaders create directly affects how teams perform. It’s still a powerful 8 minutes for every leader to watch.
He compares downtown Calcutta in the stifling summer heat to the refreshing Fontainebleau forest in springtime. Calcutta made him feel tired, drained, and unproductive, while Fontainebleau in the spring filled him with energy and optimism. His key point? He was the same person in both environments—yet both environments drastically affected his mindset and performance.
This idea has stayed with me, underlining how a company’s culture, much like the air we breathe, can either stifle or fuel performance and innovation.
The Bad Smell : The 4 C’s
Professor Sumantra Ghoshal identifies four critical elements that create a negative cultural environment in organizations—what he describes as the “bad smell.” These elements can stifle initiative and enthusiasm among team members:
Constraints: Employees often feel boxed in by rigid processes and limitations that stifle creativity and innovation.
Compliance: An overemphasis on rules and regulations creates a culture of fear rather than empowerment.
Control: Micromanagement can sap energy and motivation, leaving little room for autonomy.
Contract: Viewing relationships through a transactional lens hinders genuine connection and trust.
Practical Advice : How Leaders Can Create Fontainbleau
To cultivate a thriving workplace culture, leaders should shift from the negative aspects of the 4 C’s to more empowering alternatives:
Stretch vs.
Constraints: Foster a mindset of growth where individuals are encouraged to exceed their own expectations, creating a culture of ambition rather than limitation.Discipline vs.
Compliance: Emphasize self-discipline, encouraging teams to uphold shared values and norms without the need for constant oversight.Support vs.
Control: Position management as a source of support, providing resources and guidance to help employees succeed rather than exercising control over their actions.Trust vs.
Contract: Build an environment of trust where relationships are based on mutual respect and understanding rather than strictly contractual agreements.
Take-home message :
🦉 Culture shapes everything.
By transforming the negative 4 C’s—Constraints, Compliance, Control, and Contract—into positive forces like Stretch, Discipline, Support, and Trust, leaders can create an environment that enhances productivity, innovation, and employee engagement.
Now, go create a little Fontainebleau in your organization!
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About the Author:
Nick is passionate about enabling people and businesses to reach their full potential. He taps into over 25+ years of truly diverse leadership experience, challenging the status quo - to ultimately define a clear strategic path forward and propel success.
Thought Leader | Board member | Founder of Aktina Group Consulting | Proud Father
Organizations like this tend to be very hierarchical where change comes slowly and the status quo can survive an atomic bomb. 💣
I love the compliance to discipline shift, especially from a perspective of modeling, teaching, and coaching self-discipline. Taking care of people doesn't mean coddling them. We must challenge them to be better, and we can do it in a way that is additive instead of subtractive.