On Culture: Balancing on the Bleeding-Edge

Myste Wylde
Jul 10, 2024
6 min read

Dear Culturati Insider,

This week in On Culture, we explore an exciting array of contemporary leadership topics: the equilibrium between stability and change, the strategic necessity of reskilling, the criteria and consequences for brands taking a stand, the unique challenges and contributions of Gen Z employees, the psychological underpinnings of leadership, and the increasing relevance of AI in augmenting HR functions.

Too good to limit, we're including a 'double feature' from HBR, beginning with Ashley Goodall's insightful piece on the importance of stability management (alongside change...which he takes a step further in this Fast Company article challenging the prevalent 'disrupt yourself' mantra).

On the change management side, we see the widespread adoption of reskilling initiatives reflecting a shift towards continuous learning and practical application in workforce development. We also examine the polarization in public opinion on corporate involvement in current events — a critical consideration for leaders aiming to balance external brand positioning with internal perspectives.

The discussion on Gen Z in the workforce unpacks the challenges and opportunities presented by this demographic as economic conditions evolve. And, looking into the impact of childhood on us all, groundbreaking neuroscience research offers insights into how early life experiences shape leadership instincts and decision-making under pressure.

Finally, in the realm of artificial intelligence, we see how large language models like ChatGPT are being tailored to enhance HR operations, demonstrating the potential of AI to support rather than supplant human expertise in critical areas.

Going deeper into these themes (and others), my fellow bookworms won't want to miss out on McKinsey’s annual recommendations for 2024, a trove of titles endorsed by CEOs and global leaders across various fields, which promise to enrich perspectives and provide solace amidst the hustle of corporate life. We anticipate collaborating with the incredible McKinsey & Company team again this year for Culturati: Summit 2025 which will take place on April 6 & 7 (and for which the last early bird tickets have just been released).

We have special preparations underway for our 10th annual event, including the formation of a CEO / Entrepreneurs Advisory Board and a CHRO / CPO Advisory Board. These groups will play a crucial role in guiding our programming to address the most pressing cultural and leadership challenges.

We've also launched Culturati:AI which will help move conversations from theory to practice while balancing the interests of people and profit. And, on July 24, we will host our next Culturati: LIVE on feedback as a transformative tool for connection, growth, and engagement. You can register now or reach out to discuss any ideas you might have. A few spots remain for LIVE the rest of this year, and we are still filling our Culturati: Connect calendar of dinners.

Together, in the vanguard,

Myste Wylde

COO

Creating Stability Is Just as Important as Managing Change

Harvard Business Review

By Ashley Goodall

Summary: While change is often deemed necessary or inevitable, research indicates that stability is equally critical for optimal productivity. Scientific studies underscore the importance of predictability, control, belonging, and meaningful connections at work. Instead of solely focusing on managing change through new processes and technologies, we should prioritize "stability management" — an approach that maintains conditions fostering employee well-being and performance. Stability management involves continuous attention to maintaining intact teams, honoring rituals, and communicating clearly and directly, thereby preserving the psychological foundations essential for high performance. This shift from change-centric to stability-centric management could redefine our strategic orientations and enhance both individual and organizational outcomes.

READ ARTICLE IN FULL

Designing a Successful Reskilling Program

Harvard Business Review

By Jorge Tamayo, Leila Doumi, Sagar Goel, Orsolya Kovács-Ondrejkovic, and Raffaella Sadun

Summary: In the follow-up to their influential "Reskilling in the Age of AI," the authors present findings from a comprehensive survey of over 1,400 U.S. chief human resource officers and business leaders, revealing that 56% of organizations are actively implementing reskilling initiatives, with 82% committed to continuing these efforts. Despite reskilling's emergence as a mainstream strategy, challenges persist, including integration with business goals, managerial involvement, and the effective measurement of outcomes. The survey highlights a strategic shift towards continuous learning and skill-centric management, with an emphasis on practical application through on-the-job training, yet only 17% guarantee job placement post-training. Organizations are encouraged to foster a more integrated approach across the C-suite, not limited to HR, to enhance the strategic value and effectiveness of reskilling programs. Key areas for development include aligning reskilling with business objectives, ensuring comprehensive leader and manager engagement, and establishing robust metrics to measure impact and return on investment, positioning reskilling as a critical lever in human capital strategy to maintain competitive relevance.

READ ARTICLE IN FULL

Should Your Brand Take a Stand?

MIT Sloan Management Review

By Cynthia E. Clark

Summary: Leaders must carefully decide if and how their companies should publicly address contentious issues. Recent research, including a Bentley University and Gallup survey, shows a nuanced public opinion: 41% of Americans believe companies should publicly address current events, a figure that varies widely by age and political affiliation. The younger demographic (ages 18-29) shows a 53% approval rate, contrasted sharply by the 35% approval among those 45 and older. Political lines also divide opinions, with 62% of Democrats supporting corporate public statements on issues, versus just 17% of Republicans. This polarization underscores the critical need for CEOs to balance external brand positioning with internal employee perspectives, particularly in addressing highly sensitive topics like religion and international conflicts, where public opinion on corporate involvement is low. The evolving responses from leading companies, such as Google and Accenture, illustrate a trend towards carefully moderated engagement, aligning closely with both consumer expectations and corporate values.

READ ARTICLE IN FULL

Gen Z Employees Lack Enthusiasm About Work. Here's Why — Plus 3 Ways to Start Motivating Them.

Entrepreneur

By Cheri Beranek

Summary: As the U.S. economy transitions from an employee-driven market to one where employers hold more sway, leaders face significant challenges in motivating and retaining Gen Z workers — a demographic that prizes engaging work and autonomy. Recent shifts have seen Gen Z’s economic advantage diminish, yet their need for fulfilling and autonomous roles remains strong. Surveys indicate that while Gen Z values engaging work, they often feel undermotivated and prone to job-hopping. To address this, it's crucial for leaders to adapt their management styles and better articulate career opportunities. Understanding Gen Z’s unique perspectives and aspirations is essential for fostering a workplace environment where they can thrive. This involves a multifaceted approach that includes revising managerial practices to align with Gen Z’s expectations of meaningful engagement and clear progression paths, thus enhancing their commitment and productivity in the workplace.

READ ARTICLE IN FULL

We Reviewed 1,200 Studies to Understand How Childhood Shapes the Leaders We Are Today. Here’s What We Found

Fortune

By Nik Kinley and Shlomo Ben-Hur

Summary: In today's fast-paced work environments, where time to deliberate is scarce, leaders often rely on ingrained instincts — default cognitive and behavioral patterns shaped by early neural development. Research spanning over 1,200 studies, initiated in 2020, delves into the neuroscience behind these instincts, revealing that they are largely formed by experiences in early childhood. For instance, attitudes toward authority may be influenced as early as nine months by caregiver relationships, and tendencies towards anxiety traced to parental relationships within the first three years. These early experiences forge neural pathways that influence later responses to stress and decision-making. Under pressure, leaders revert to these deeply embedded responses, affecting their focus, emotional regulation, and relationship management. To counteract unhelpful instincts, the research suggests a three-step approach: identifying influential past experiences, disrupting old neural pathways through behavioral techniques, and consciously forming new, constructive behaviors. This proactive management of deep-seated tendencies is crucial for effective leadership in demanding situations, emphasizing the importance of understanding and reshaping our foundational psychological frameworks.

READ ARTICLE IN FULL

Can ChatGPT Handle HR? Here’s What Happened When We Put It to the Test

Fast Company

By Susan Anderson

Summary: In an in-depth experiment, a team of HR experts with over 18 years of experience each tested ChatGPT versions 3.0 through 4.0 to determine AI's effectiveness in handling complex HR tasks. While GPT-3 fell short in scenarios requiring deep legal nuance, GPT-4 showed marked improvements in accuracy and relevance, demonstrating AI's rapid evolution. Subsequently, the team developed a bespoke ChatGPT model to support over 3,000 weekly HR inquiries, which, despite a slight decrease in efficiency, improved significantly in response quality and user satisfaction during a three-week trial. This test highlights AI's role as a complement to human expertise, enhancing HR operations by allowing professionals to focus on higher-value tasks requiring empathy. The experience demonstrates how integrating AI effectively can be less about replacing human roles and more about augmenting them, ensuring that AI serves as a tool for enhancing business operations and strategic engagements.

READ ARTICLE IN FULL

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