In their best-selling book, Execution, Larry Bossidy and Ram Charan argue that creating a culture of realism is an essential precondition of execution success. ìYou cannot have an execution culture without robust dialogue ó one that brings reality to the surface through openness, candor, and informality.î Despite the importance of realism, however, all too many organizations ìare full of people who are trying to avoid or shade reality. . . . Nobody wants to be the messenger who gets shot or the troublemaker who challenges the authority of her superiors.î
Hay Insight employee opinion norms confirm that many organizations today are struggling to establish organizational climates characterized by open and honest debate. Over one quarter of respondents indicate that constructive criticism is not encouraged in their organizations, and a similar percentage report that open discussion of conflicts is not supported.
Our research with Fortuneís Most Admired Companies has shown that these companies distinguish themselves from others by fostering open dialogue about organizational issues and business conditions. Most Admired Companies are more likely than their peers to report that leaders are honest about the realities of the business with each other and in communications with employees. Most Admired Companies are also more likely to indicate that leaders are not afraid to surround themselves with people who will challenge them on their thinking, nor afraid to encourage employees to speak candidly with them.
Reflecting on management meetings at FedEx, Mike Brown, Co-CEO of FedEx Services, observes that ìdiscussions do get heated from time to time.î But, he adds, ìitís just business. Itís not personal. Weíre trying to make the best possible decisions for our company, our employees, and our shareholders. Weíre all comfortable with each other and not afraid to challenge each other. We have a culture that rewards people for bringing things forward.î
Distributed by HR Marketer.com
Do you really want me to tell the truth?

Organizations struggle to create a culture of realism ó a precondition off success among Most Admired companies