Executive Team and Culture

In his recent article published with Acropolis Investments, Dan Bean (CMA Partner), provides five key steps to successful preparation for the transfer of leadership in family businesses. In this blog entry, we will discuss Step 5: Executive Team and Culture:

The former CEO’s team now becomes the new CEO’s team and the culture will now be primarily driven by the new CEO’s direction and leadership style.

Culture change is a topic CMA works with frequently, and is something many organizations forget to consider during a transition period. Peter Levine recently wrote an article for techcrunch.com entitled, “Building a Culture That Works: The CEO as the Cultural Epicenter.” His description of the CEO’s importance echoes the idea Dan introduced–that the new CEO will be driving company culture from Day 1.

The organization reflects the behavior and characteristics of the CEO, and that establishes the culture. …It doesn’t matter what’s written on a coffee mug or on a “culture” slide, what you do as a CEO, day in and day out, and how you behave will define your company’s culture.

For more information on successfully navigating a rapid culture change, please contact CMA.