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AIROI - Artificial Intelligence Return on Invest: The AI strategy for decision-makers and managers

27 February 2025

Mastering cultural transformation: KIROI step 4 to success

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Cultural transformation is a key process that helps companies to systematically and purposefully change their corporate culture. This change is crucial in order to remain competitive in a rapidly changing world and ensure long-term success. Advancing digitalisation and agile transformations are challenging organisations to realign their cultures in order to promote innovation and collaboration[1][2].

Why is cultural transformation important?

Companies that fail to adapt their culture risk being left behind in a dynamic market environment. A successful cultural transformation not only promotes adaptability, but also strengthens employee engagement and work performance[1]. Values and behaviours that are lived in the organisation are crucial for the long-term balance between organisational and interpersonal activities[5].

Carrying out a cultural transformation

The process of cultural transformation begins with analysing the current culture. A corporate culture audit is carried out to understand the existing values and behaviours[2]. The desired goals and values are then defined, which should be closely linked to the company's strategic goals[3].

An important step is the involvement of managers and employees. They must understand the goals and value of the change and actively participate in it[3]. Good communication is the key to successful cultural transformation, as it promotes trust and cooperation within the team[5].

Realisation of the cultural transformation

The implementation of a cultural transformation requires a structured approach. This includes defining a clear strategy, involving all stakeholders and creating measurable goals[4]. Companies can use tools such as the Repertory Grid method to identify and operationalise the driving cultural factors[4].

One example of this is the implementation of agile methods such as Scrum. These promote transparency, trust and continuous improvement within the team, which in turn supports cultural transformation[6].

BEST PRACTICE with a customer (name hidden due to NDA contract): An IT company that had decided in favour of an agile transformation used Scrum to strengthen the team culture. Through regular feedback loops and the creation of a joint working agreement, the team was able to continuously adapt its values and behaviours and thus became a role model for other departments in the company.

Cultural transformation and the role of communication

Communication is crucial to the success of a cultural transformation. It helps to break down barriers and build trust. As a result, values such as respect and honesty can be firmly anchored, which promotes cooperation and employee commitment[5].

The evaluation of cultural factors based on social science can also help to effectively organise cultural transformation. By identifying the driving cultural factors, a company can take targeted measures to implement the desired changes[4].

Conclusion on cultural transformation

A successful cultural transformation requires time, targeted strategies and the active involvement of all stakeholders. By creating a culture that promotes innovation and collaboration, companies can increase their competitiveness and be successful in the long term[1][3].

My analysis

To summarise, cultural transformation is a crucial process for keeping companies competitive in a rapidly changing world. This process can be successfully implemented through targeted communication, clear objectives and the involvement of all employees.

Further links from the text above:

Cultural transformation at undconsorten
4 steps to cultural transformation - AGITANO
Developing corporate culture: Tips & Examples - Salesforce

For more information and if you have any questions, please contact Contact us or read more blog posts on the topic Artificial intelligence here.

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Mastering cultural transformation: KIROI step 4 to success

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#AgileTransformation #compliance #Ethical guidelines #communication #Cultural transformation #Employee participation #Sustainability 1TP5Corporate culture #Chains of responsibility

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