Business Advice

Culture a problem for Australian business leaders

- September 19, 2019 < 1 MIN READ

Australia’s business leaders have no concept of company culture according to a report by the Australian HR Institute (AHRI).

The ‘5 Hard Truths About Workplace Culture’ found C-lsuite executives at Australian companies are unlikely to recognise the signs of poor company culture.

The report suggests boards and CEOs need a reality check. They have to take accountability for their organisation’s culture and culture change.

Lyn Goodear, CEO of AHRI suggested business leaders need to better engage with their staff to bridge the gap between frontline staff and those at the top.

“Despite the wake-up call delivered by the Hayne Royal Commission, it is alarming to see a clear disconnect still remains across Australian businesses between the CEO’s impression of company culture and what is being felt at the frontline.”

The ‘5 Hard Truths’ identified in the report are:
1. Culture problems are pervasive
2. Culture problems are often immense
3. Larger organisations have larger culture problems
4. CEOs have trouble seeing culture problems
5. Organisations need HR as a professional culture partner

Insync CEO, Nick Barnett, described the report as a rallying cry. He called for business leaders to role model more ethical and sustainable culture in their organisations.

“Only then will the recent massive loss of trust in business and business leaders start to
be rebuilt.”



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