5 Practices For Building Sound Corporate Spirit

published in: Leadership inventory

20 Aug

In the article "What company spirit is", we discussed that sound corporate spirit means to create positive energy and that this is only possible in the moral sphere, through the emphasis on honesty, fairness and high performance standards.

But to have any effect we must have a process.  We need best practices, not good intentions or exhortations.  To get effect this moral sphere - corporate morality - must be completely independent of people’s abilities and attitudes.  It should be a noticeable behavior - something everyone can do, see and evaluate.
Best practices need to motivate improvement.  They need to focus on strengths.

Peter Drucker claims, there are five important best practices for building sound corporate spirit: 5 practices, five practices, management, corporate spirit

1. High execution standards.
No mercy to the poor or mediocre performance. Remuneration must be linked to the execution (performance, results).  And how to deal with underperforming colleagues - read here.

2. Honesty.
Honesty is the absolute requirement for every manager.  She/he must possess that quality at the time of promotion – it can not be expected to develop honesty at a later stage.

3. Each managerial position should be rewarding itself.
Hierarchy should not consist of steps leading to the final goal – “You will be promoted to Sales Director, but first you have to work one year as Head of Sales Department Developing Counties”.

4. Reasonable fair promotion system.

5. Clear written authority to management.

There cannot be situations where it is unclear who has the authority to take the decisions.  In addition, there must be a system where “the victim” can appeal for justice to a higher instance.




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