Wednesday, February 20, 2008

Cultural Fit

Cultural fit is the congruence between individual and organizational values.

Nevertheless, the concept of cultural fit is ambiguous because the choices of values are limited and organizational cultures are rooted in relatively similar if not the same values.

For example, accountability, integrity, and creativity are among the favorite values articulated by companies of different sizes and in different industries. But, companies can go differently about them in every day situations. Regarding accountability, one company can develop a very rigorous performance management system while the other still tolerates low performers and has no processes in place for exiting them. In respect to integrity, this particular value can be non-negotiable for some companies while perfectly negotiable for others. Additionally, creativity can be differently celebrated and practiced differently at various companies.

In fact, companies do not differ so much in the selection of values but in terms of how they cultivate values and are able to impact conditions where they flourish. Similarly, sometimes the values individuals think they embrace (ideal values they should have because of outside influence such as family, religion, or employer) are actually different from those they live (actual values).

Thus, when determining cultural fit, there are two useful tests to run in order to identify peoples’ actual values:
• Calendar test - How much time do you spend each week trying to acquire or increase this value?
• Checkbook test - How much money do you spend each week trying to acquire or increase this value?
The same questions apply of course to companies as well.

Importantly, prerequisites to success for assessing cultural fit are a solid self-awareness of employees and candidates and a sound company’s own organizational awareness.

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