Research by Public Relations firm Weber Shandwick, which included interviews with PR crisis managers, analyses of peer-reviewed articles, and a survey of 1,000
workers, highlights key predictors of cultural crises. They are:
When unrealistic deadlines, aggressive targets, and overbearing management are present, employees may resort to unethical behaviour, straying away from company
and personal values.
For example, Wells Fargo’s 2017 infamous sales scandal was created by bank employees who were under pressure to meet unrealistic sales targets, leading them to open
millions of unauthorised accounts.
When top executives engage in behavior showing a contemptible lack of moral standards, such as sexual harassment or racism, it breeds distrust and disillusionment
within the workforce. Smaller ethical violations, like unfair competition practices, also erode morale.
When poor performers or unethical employees aren’t held accountable, it discourages reporting and encourages a toxic culture.
A lack of training and development not only decreases productivity but also leads to significant reputational risks. For example, studies attributed Uber’s notorious series of scandals to a poor understanding of company strategy among its employees.
Homogeneous work environments lack cultural sensitivity and diverse viewpoints, which lowers decision-making quality.
Besides, a lack of inclusivity may make employees feel ostracised or unfairly treated, discouraging their positive engagement and leading to further cultural decline.
To learn how you can build an engaging, spirited, and productive culture, get in touch with us at hello@vision.build or WhatsApp!
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