The FCA’s recent discussion paper, DP18/2: Transforming Culture in Financial Services, focused heavily on how to drive cultural change within an organisation.
A number of the paper’s contributors highlight that focusing solely on senior management behaviour and the ‘tone from the top’ overlooks the complexity of organisational culture and the role all employees have in shaping it.
Employees play a key role in driving and embedding cultural change, so firms should focus on the following four areas:
- Enable them: By educating staff about your firm’s purpose, values and desired culture, you are enabling them to put it into practice in their daily duties.
- Empower them: Staff should have the autonomy to deviate from standard procedures in order to achieve the right outcomes.
- Engage them: Treating your staff well is a key part of maintaining a motivated workforce and keeps them engaged and emotionally invested in their roles and the wider business.
- Encourage them: Recognising and rewarding the desired behaviours among staff helps maintain momentum and embed change.
Once cultural change is embedded across the business, it is important to maintain momentum in each of these areas through regular monitoring and address any weaknesses or changes that occur.
Phil Deeks is technical director at TCC