Organisational development without organisational culture development is a one-armed game
Organisational development often starts with processes, structure and performance targets, yet we often find that real progress is stalled where no one touched the organisational culture. A organisational culture development not extra, but essential if you want long-lasting results, especially when managers and HR leaders expect rapid change from teams.
When organisational development is „going well”, but no one believes it. A story from the beginning of a project
A few months ago, I was the HR manager of a manufacturing company in Budapest, Rachel, greeted us with a slightly tired smile.
He said that the process improvement was finally completed, all the KPIs were nicely put together, the evaluation system was new, and the managers had also attended training. On paper, everything was in order. But the reality was different.
Managers still did not ask for feedback, the fear remained in the teams that it was „better not to speak out”, and when the new operating rules were introduced, most just shrugged.
Rachel at one point he snapped:
„Despite all the work we've done, nothing really changes. We must have missed something.”
And we sat there with him, knowing that unfortunately we had seen the same thing in many organisations.
In most projects, there is an inescapable tension: everything is reworked except what is at the root of everyday operations. Shared habits, spoken and unspoken rules, leadership patterns, that is: the culture.
A organisational culture development is not part of the project.
And this is when the slow erosion starts: paper is strong, reality does not follow.
Why don't many people think that culture development is part of organisational development?
Talking to managers and HR managers, we very often hear the same pattern.
1. It seems too „intangible”
Culture is not a tangible process, it doesn't have a map like an org chart and it doesn't follow the numbers reported month by month.
Managers often feel that „it would be nice, but not now, we need concrete results now”.
2. Most projects start under time pressure
The focus is urgent: performance, staffing, quality, customer complaints, turnover.
Culture is not a quick fix.
This is why it is often left out of the plan, even though it is the long-term solution to these problems.
3. Culture requires a leadership presence
Some organisational development projects can be delegated, but culture cannot.
Leaders must lead by example, consistently, over weeks, over months.
In many places, this looks scary.
4. The word „culture” is too soft, but the effect is very hard
An interesting dichotomy.
Culture is often thought of as a mood element, but it is measured in terms of patterns of behaviour, choices, responsibility and cooperation.
Where the culture is not right, the new process simply does not survive.
What do we see in the research? (HBR, Forbes, CNBC - selected external links)
Several analyses in the Harvard Business Review highlight that development projects spend around. 70%-a does not deliver the expected results, when the behaviour of the teams does not change.
Source: Harvard Business Review „Culture is Not the Soft Side of Business”, 2023.
According to an article in Forbes 2024, targeted interventions in culture can significantly reduce turnover, especially in organisations where change is already a burden.
Source: Forbes „Why Culture Work Outperforms Process Change”, 2024.
And a report from CNBC HR reports that more than half of fast-growing companies are now paying special attention to measuring and developing culture because processes alone are not holding teams together.
Source: CNBC „The Missing Piece in Organizational Change”, 2023.
These show that culture is not an additional element, but the medium for the whole development.
Why does CoachLab Coaching Services also believe that culture development is fundamental?
We don't use it very often, but it's in place now: in our view a organisational development will only be sustainable if it is reflected in the project:
- the thinking behind decisions,
- the management function,
- the reality of feedback,
- and the common pattern of the teams.
Together they make up the culture.
Leaving them untouched is like drawing a new floor plan for a house when the walls have been moving for a long time.
What is real organisational culture development and why does organisational development not work without it?
After the introductory story, let's get to what CEOs and HR managers most often ask us:
„What exactly is organisational culture development and how can you see it missing from the project?”
The answer is much simpler than it first seems.
A organisational culture development is really nothing more than the conscious shaping of the patterns that determine how we work with each other.
This includes:
- how we ask for and give feedback
- how to deal with errors
- how much we dare to ask
- how quickly we decide
- how much the opinion of the teams matters
- how leaders show up in everyday life
Without them, the best process will be no more than a document.
What are the signs that organisational development without culture is stalled?
Managers and HR leaders are often looking for where the fault lies, when the signs are very clear:
- New processes are not used, or just formally.
- Leadership patterns do not change, any training was.
- The teams remain silent, even though they would have an opinion.
- No real ownership, everyone points to someone else.
- Decisions are slow, because no one really dares to do it.
- No reduction in turnover, the system is improving in vain.
- Performance improves in the short term, then declines.
These all suggest that the improvement has been on the surface, not at the root of the operation.
Table 1: What happens without culture and what happens with culture development?
(According to the specifications, the table is zebra-striped, blue in colour, with well-structured rows.)
| Without culture | Cultural development | |
|---|---|---|
| Introduction of new processes | Passive resistance instead of acceptance | Faster adaptation, open cooperation |
| Management operation | Old patterns are returning, training impact fade away | Conscious, consistent leadership presence |
| Team dynamics | Quiet, off-peak operation | Open communication, real cooperation |
| Performance | Improves in the short term, then falls back | Stable, lasting improvement |
| Staff turnover | Not significantly reduced | Noticeably lower |
| Decision making | Careful, slow, many laps | Faster, more transparent |
| Liability | Blurred, many uncertainties | Clearer borders, more initiative |
This difference shows that the organisational culture development not a luxury, but a stable base.
What does a culture development focused organisational development look like?
In a typical development project, the focus is typically on processes, structures and roles.
But cultural development brings a different approach.
1. Understand how the organisation really works
This is not clear from the documents, but:
- from interviews
- workshops from
- from observations
- from management interviews
This is where what Adam Grant or Malcolm Gladwell often stresses comes in:
it's the patterns behind the behaviour that really teach us.
2. Identify the three most critical operational patterns
Our experience has shown that the same three areas of the 80% give most of the tension in the organisations:
- feedback habits
- decision-making style
- patterns of responsibility
They are the basic layer of culture.
3. Together with leaders, we build the vision of the desired operation
This step is often unmissable.
Leaders are not only participants, but also shapers.
Here we often use coaching questions to help you get a clearer picture.
4. Making change a part of everyday life
Culture development is not training, it is practice:
- short, targeted meetings
- jointly defined new habits
- regular feedback loops
- support for executive presence
This gives it durability.
5. Tracking and correction
Not one big project, but a continuous tuning.
No new pattern will set itself; support is crucial.
What role does CoachLab Coaching Services play in this?
The CoachLab team uses a two-threaded approach to development:
- organisational functioning
- culture and leadership patterns
The two together give a lasting result.
We mention this for the second time: based on our experience development without culture rarely brings real renewal.
If you are interested in a process that includes organisational culture development, you can find details here:
- https://coachlab.hu/szervezetfejlesztes-coachlab/
- https://CoachLab.hu/executive-coaching/
- https://CoachLab.hu/coaching-arak/
- https://ODLab.hu - Organizational Development
Why is organisational development one-armed without culture?
If all the processes in a development project are put in place, but the way managers and teams operate remains the same, then the change will not take root.
For a manager or HR manager, this is the biggest risk: the project looks successful, but the real work is not moving forward. A organisational culture development fills exactly this gap.
Where culture is part of development:
- shorter lead times
- less resistance
- faster decision-making
- higher involvement
- more durable new operation
Where it is not part of it, everything new is on shaky ground.
CoachLab Coaching Services' practice is that lasting change starts where leaders are able to set a pattern in their own operations and teams feel safe to speak up, ask questions and make suggestions.
This is the essence of culture: a common pattern in everyday life.
If you are looking for support, you can find details of our processes here:
https://coachlab.hu/szervezetfejlesztes-coachlab/
Contact
If you want to find out which patterns in your organisation are holding back progress, schedule a short online consultation.
Contact us here or the On the CoachLab homepage:
Frequently Asked Questions
What is the essence of organisational culture development?
Organisational culture development is the conscious shaping of operating patterns, leadership habits and teamwork. It is the basis for lasting change.
When should you integrate culture development into organisational development?
If process improvement is not making a real difference, if teams are not actively engaged or if managers are following old patterns, then it is absolutely necessary.
Why can't organisational development work without culture?
Because processes alone cannot sustain the new functioning. If behaviours, habits and decision-making patterns do not change, the new system will regress.
How does culture development start?
Through interviews, observations and management discussions. These will be used to identify the key operational patterns that are the keys to change.
How does CoachLab Coaching Services help?
The CoachLab team offers a development process that focuses on both the functioning of the organization and the shaping of culture, thus achieving more stable results. Furthermore, within the CoachLab group, ODLab (https://ODLab.hu) focuses exclusively on Organizational Development and Organizational Culture Development.
