This year, dishonesty in our banks and abuse in our institutions uncovered by royal commissions, the protection of misogynist ‘talent’ in the entertainment industry exposed by the #metoo movement, and the (less traumatic) cheating by the Australian Cricket team, have all highlighted the risks that culture can pose to the achievement of organisational goals.
These industries and organisations had no notable lack of rules or compliance systems. In every case, there were policies and procedures that prohibited the frauds, fabricated reports, abuses and cover-ups, but cultural norms and power dynamics within the organisation allowed illegal or inappropriate conduct. In every case, a media storm ensued, senior leaders resigned or departed, and boards were criticised for insufficient oversight of what was really occurring on their watch.