The term “firm culture” is something of a nebulous concept, but most people can agree on the basics. Firm culture, or company culture, is the result of a shared set of goals, attitudes, and practices that make up an organization. It comes from the collective values, history, and expectations of the people that make up the firm.
Why is firm culture important?
The culture of a firm creates the expectations ALL the people of the firm are meant to follow. This sense of shared purpose or values shapes the experience of working there, and in turn affects who wants to be part of the organization. If your firm culture is thriving, you should be able to retain talented people who make the firm shine.
Who defines the culture?
Initially, the founders or owners ‘set the tone’ the culture by their own behavior and how they treat others, staff, clients, consultants, etc. Do they always tell the truth, even when it is not convenient? Do they yell and scream when others make mistakes? Do they give employees the opportunities and experience to grow, to succeed and learn? Do they make and carry out the hard decisions for the good of the whole firm?
Bottom line, culture is the DNA of the firm. Once the culture is defined, it’s hard to change it overnight, but it is susceptible to wrong turns if not managed, reinforced, and maintained.
How is culture maintained?
Leadership. The function of a leader is to guide or direct a group. Leadership happens through direct speech, but possibly even more through models of behavior. When you step back and think about improving the culture of your firm, the first step is to consider your typical behavior as a leader and how this can influence actions and habits of the whole group.
To shed more light on this topic, 9K has been surveying a variety of professionals on firm culture in recent weeks. We will share the results in an upcoming post.
