2508 : Overcoming Cultural Barriers in Conservative Companies: A Challenge for Transformation

For me, this is a very fotunate position because my customers and my company are publicly listed. These companies are typically conservative, and there’s growing recognition, both internally and externally, that we must embrace change to become more sustainable. As Peter Drucker famously said, "Culture eats strategy for breakfast." This is particularly true for conservative companies, where the culture can often be a significant barrier to innovation.

We evaluate these companies, and the bias stemming from their culture becomes clear. The reluctance to change often stems from a long-standing history of success. These companies, many of which have been around for over 50 years, possess brilliant histories and unique technologies that have helped them remain competitive in the market. However, as times change, there’s a growing need for them to adapt and evolve.

Now, let’s focus on employees. When new employees join a company, how much do they really know about the corporate culture? Fresh graduates may not fully recognize the impact of this culture when they first enter the company, but it’s easy to assume that many of them expect the traditional, conservative business methods because they’re drawn to the stability and legacy these companies offer.

These publicly listed companies may follow a trend in business methods or frameworks, but surprisingly, many people within these organizations don’t fully understand them or aren’t interested in them. Most employees are highly qualified and aware of the necessity of change, but there’s often a gap between recognizing the need for transformation and actively pursuing it.

For companies seeking transformation or aiming to become more innovative, I see hiring practices as a major challenge. Without the right approach, these companies will continue attracting conservative candidates who fit the current image of the company. The key issue is that candidates who could drive transformation may not even be applying, as they might perceive these companies as too traditional or resistant to change.

In this blog, I want to share my thoughts on how conservative corporate cultures and their cultural biases are not just ingrained in the companies themselves but are also reflected in their employees. Overcoming these barriers is essential for any transformation, but it’s a significant challenge that requires concerted effort both from the company’s leadership and the employees themselves.