Leading by Choice: How Business Leaders Shape and Sustain Winning Cultures

Over the course of my career, I have had the privilege of leading and advising organizations through transformative moments—turnarounds, mergers, growth initiatives, and cultural overhauls. These experiences have given me a deep understanding of the intricate relationship between leadership and company culture. Time and again, I have seen how a leader’s ability to own and shape culture can elevate organizations, align teams, and build enduring trust with stakeholders.

My work has been informed by evidence-based management principles and enriched by practical insights gained from working with diverse teams across industries and geographies. Whether crafting a vision for cultural transformation or embracing the culture of an existing organization, I have consistently witnessed the transformative power of intentional culture ownership.

It has been my experience that culture is a foundational element of every highly successful organization. Leaders focused on the why and how of cultural ownership are better able to unlock innovation, foster alignment, and build organizations that thrive and flourish in an increasingly complex world.

Owning company culture is one of the most profound responsibilities a business leader can undertake. It transcends the notion of simply setting workplace policies or offering perks. Instead, it is a commitment to shaping the values, behaviors, and shared beliefs that define an organization’s identity. In today’s competitive, fast-paced world, company culture is more than a buzzword—it’s a business imperative. Leaders who intentionally choose to own their culture are not only guiding their organizations toward greater alignment and purpose but also cultivating an environment where team members thrive and flourish, and external stakeholders trust the company’s mission.

What Leaders Choose When They Own Their Company Culture

When leaders choose to own their company culture, they are making a series of intentional decisions about what their organization stands for and how it operates. This choice is not about controlling every detail or micromanaging behaviors; it is about setting a foundation of values and behaviors that empower team members and foster a cohesive, thriving workplace. At its core, this decision reflects a commitment to accountability, clarity, freedom, and long-term impact.

Accountability is perhaps the most foundational choice leaders make when owning company culture. They recognize that the organization’s culture is ultimately a reflection of their values and actions. A strong culture does not emerge by chance but through a leader’s willingness to actively shape and sustain it. This commitment to accountability requires consistency—ensuring that the stated values align with actual behaviors and decisions. When leaders fail to take ownership, culture can become fragmented, with competing norms and unaligned priorities creating confusion and distrust among team members (Chatman & Cha, 2003).

A clear and consistent culture provides a roadmap for team members to navigate their roles and contribute meaningfully. Leaders who embrace this choice define their organization’s core values and ensure they are not just words on a poster but living principles that guide decision-making and behavior. For instance, organizations like Netflix have famously articulated their cultural values in ways that are actionable and empowering, helping team members understand expectations while granting them the freedom to innovate within those boundaries (Hastings & Meyer, 2020).

Freedom is central to an effective culture, and leaders who own their culture make deliberate choices to create an environment where team members can thrive and flourish. This involves fostering trust and autonomy, allowing team members to take initiative, experiment, and collaborate without fear of failure. Google’s approach to innovation, through initiatives like their “20% time” policy, exemplifies how freedom within a structured culture can drive creativity and engagement (Amabile & Kramer, 2011). By choosing to provide team members with freedom in this way, leaders unlock potential that would otherwise be stifled by rigid hierarchies or micromanagement.

Owning company culture is also about thinking long-term. Leaders who make culture a priority understand that the decisions they make today will have a lasting impact on their organizations. Cultural values that prioritize sustainability, inclusivity, and ethical practices can ensure resilience in the face of change. A company like Patagonia exemplifies this commitment, embedding environmental stewardship into every aspect of its operations and ensuring that its values resonate with both team members and external stakeholders (Chouinard, 2005).

Real-world examples illustrate the power of these choices. Howard Schultz, former CEO of Starbucks, demonstrated this by closing stores nationwide for a day to conduct cultural training for baristas. This decision, while costly in the short term, sent a powerful message about the company’s commitment to values and customer experience (Schultz, 2011). Similarly, Indra Nooyi’s leadership at PepsiCo showed how cultural ownership could align with broader societal goals through the “Performance with Purpose” initiative, which focused on sustainability and community impact alongside financial growth (Nooyi, 2018).

Choosing to own company culture is a bold and transformative act. It requires leaders to step beyond transactional decision-making and embrace their roles as cultural stewards. By making these intentional choices, leaders not only shape their organizations but also inspire team members to contribute meaningfully and authentically to a shared vision.

How Leaders Demonstrate Culture Ownership

Owning company culture is not just about identifying the need for it; it’s about taking consistent, visible actions that align with the values and vision of the organization. Leaders demonstrate culture ownership through their behavior, decisions, and the systems they put in place to support team members. By embodying their organization’s principles, they inspire trust, foster alignment, and set a standard for others to follow.

One of the most powerful ways leaders demonstrate culture ownership is by leading through example. Research consistently highlights that when leaders visibly embody the values they espouse, team members are more likely to internalize and emulate those behaviors (Grojean et al., 2004). For instance, leaders who prioritize inclusivity by seeking diverse perspectives during meetings or initiatives send a clear signal about what the organization values. These actions are far more impactful than written policies or mission statements alone.

Decision-making is another critical avenue through which leaders demonstrate culture ownership. Every decision—whether it pertains to hiring, resource allocation, or strategic direction—reflects an organization’s cultural priorities. Leaders who own their culture ensure these decisions align with core values, even when it might be more expedient to do otherwise. For example, Patagonia’s refusal to prioritize profits over environmental sustainability reflects a commitment to its core values. This approach not only strengthens internal alignment but also reinforces the trust of external stakeholders (Chouinard, 2005).

Communication is another hallmark of cultural ownership. Leaders who own their culture maintain open, transparent communication channels, ensuring that team members understand the organization’s values and how their roles contribute to them. This includes being receptive to feedback and acting on it when it identifies cultural misalignments. Research has shown that transparent communication fosters trust and engagement, both of which are critical to sustaining a strong culture (Men, 2014).

Creating systems that provides freedom to team members is equally important. By providing resources and removing barriers, leaders ensure team members have the freedom to innovate, collaborate, and excel. Google’s deliberate structuring of teams to foster psychological safety—a culture where individuals feel free to share ideas and take risks without fear of judgment—is a prime example of how systems can reinforce culture (Edmondson, 1999). These systems demonstrate a leader’s commitment to cultural principles in practice, not just in theory.

Real-world examples further highlight how leaders effectively demonstrate culture ownership. Satya Nadella’s transformation of Microsoft is a case in point. By emphasizing a growth mindset, he reshaped the company’s internal culture, encouraging collaboration and innovation across previously siloed teams. Nadella’s emphasis on empathy and inclusivity resonated throughout the organization, fostering a culture of openness and adaptability (Nadella, 2017).

In all these ways, leaders demonstrate their commitment to owning their company culture by ensuring their actions consistently reflect the organization’s values. This alignment between words and deeds builds trust among team members, encourages external stakeholders to believe in the company’s mission, and creates a foundation for long-term success.

The Impact of Culture Ownership on Team Members, Fellow Leaders, and Stakeholders

When leaders take ownership of their company culture, the effects ripple across every facet of the organization. From individual team members to the broader network of stakeholders, cultural ownership sets the tone for how people interact, collaborate, and trust the organization. By fostering a culture rooted in clarity, freedom, and alignment, leaders can profoundly influence engagement, collaboration, and the perception of the company’s values.

For team members, culture ownership creates an environment where they feel free to innovate, contribute, and take meaningful risks. Research indicates that environments emphasizing autonomy and psychological safety lead to higher levels of engagement and creativity (Edmondson, 1999). When leaders consistently embody and communicate cultural values, team members better understand their role in the organization’s mission. For example, Zappos, under the leadership of Tony Hsieh, cultivated a culture of happiness and customer service by embedding these values in everyday practices, allowing team members to express creativity in how they approached their roles (Hsieh, 2010).

The effects of culture ownership also extend to fellow leaders within the organization. A strong, cohesive culture ensures alignment among the leadership team, reducing friction and fostering collaboration. When leaders collectively embrace cultural ownership, they set an example for their teams and build a unified front that reinforces the organization’s values. This alignment is particularly critical during times of organizational change or crisis. Studies have shown that cultural cohesion among leadership correlates with faster decision-making and more resilient organizational performance (Schein, 2010).

For external stakeholders, cultural ownership strengthens trust and reinforces the company’s reputation. Investors, partners, and customers are more likely to engage with organizations that demonstrate a commitment to their stated values. Patagonia, for instance, has earned immense trust among consumers by aligning its operational practices with its environmental advocacy, a direct result of leadership’s cultural ownership (Chouinard, 2005). This alignment has transformed Patagonia into a brand synonymous with integrity and purpose.

The benefits of culture ownership also manifest in the long-term sustainability of the organization. By prioritizing a positive and cohesive culture, leaders reduce turnover and attract talent aligned with the organization’s mission. Research indicates that strong organizational cultures result in higher retention rates and better performance outcomes, as team members who feel a connection to the company’s values are more likely to remain engaged (Cameron & Quinn, 2011).

Culture ownership is not just an internal exercise; it is a signal to the broader world about what the organization values and how it operates. When leaders embrace this responsibility, the impact is felt by team members who experience a sense of freedom and purpose, fellow leaders who find alignment and collaboration, and stakeholders who trust in the authenticity of the organization’s mission. These combined effects create a virtuous cycle that reinforces the organization’s cultural foundation and drives sustainable success.

Challenges and Solutions

Owning company culture is an essential responsibility for leaders, but it is not without its challenges. From resistance to change within established organizations to ensuring cultural consistency across diverse teams, leaders face significant hurdles in their efforts to foster an aligned, thriving and flourishing culture. However, these challenges are not insurmountable. By understanding common obstacles and implementing strategic solutions, leaders can navigate the complexities of cultural ownership and build sustainable cultural systems.

One of the most significant challenges leaders face is resistance to change. Long-standing organizations often have deeply ingrained cultural norms and practices that are difficult to shift. Team members may view changes to the culture as disruptive or unnecessary, particularly if previous leadership did not emphasize cultural alignment. Research has shown that resistance to cultural transformation often stems from fear of the unknown or a lack of trust in leadership’s intentions (Kotter, 1996). Overcoming this resistance requires leaders to clearly articulate the rationale for cultural changes and demonstrate how these changes align with the organization’s broader goals.

Another challenge is maintaining consistency across geographically dispersed or functionally diverse teams. As organizations grow, cultural differences can emerge between offices, departments, or teams, diluting the overall alignment. For example, multinational organizations often struggle to balance a unified global culture with the need to respect regional differences. Studies highlight the importance of clear communication and shared values in mitigating this fragmentation (House et al., 2004). Leaders can address this challenge by fostering a core set of values that transcend regional boundaries while allowing flexibility for local adaptation.

Balancing immediate business pressures with long-term cultural goals is another obstacle. Leaders often face competing priorities, such as meeting quarterly financial targets or addressing operational crises, which can sideline cultural initiatives. This short-term focus can lead to inconsistent messaging or decisions that undermine cultural alignment. Research underscores the importance of integrating cultural considerations into strategic planning to ensure they remain a priority even during challenging times (Schein, 2010).

To overcome these challenges, leaders can implement several evidence-based solutions. First, they can prioritize open communication and transparency. Engaging team members in the cultural transformation process fosters trust and reduces resistance. For example, leaders at Southwest Airlines used frequent, candid communication to reinforce the company’s cultural values during periods of rapid growth, ensuring alignment across the organization (Gittell, 2003).

Leaders can also conduct cultural audits to assess the current state of the organization’s culture and identify areas for improvement. Tools like Edgar Schein’s cultural analysis framework provide structured methods for uncovering underlying assumptions, values, and behaviors within the organization (Schein, 2010). These audits allow leaders to address misalignments and implement targeted changes to strengthen cultural cohesion.

Investing in leadership development programs is another effective strategy. Programs that focus on building emotional intelligence, communication skills, and cultural awareness help leaders across the organization align with the company’s values. Research has shown that such programs can enhance cultural consistency and foster greater collaboration among leadership teams (Goleman, 2000).

Lastly, leaders can also celebrate successes and acknowledge cultural milestones to reinforce positive behaviors. Recognizing team members and leaders who exemplify cultural values creates a sense of shared ownership and demonstrates the importance of these values in everyday operations. Organizations like Adobe, for instance, have built recognition programs that align with their cultural emphasis on creativity and innovation, further embedding these values into the company’s identity (Catmull, 2014).

While the challenges of cultural ownership are significant, they are surmountable with thoughtful strategies and consistent effort. By addressing resistance, fostering alignment across diverse teams, balancing priorities, and investing in tools and programs to support culture, leaders can overcome these obstacles and build a culture that drives sustained success.

A Call-to-Action

Owning company culture is a conscious choice that defines the trajectory of an organization. Leaders who take on this responsibility demonstrate a commitment not only to their team members but also to the broader network of stakeholders who rely on the company’s integrity, vision, and consistency. By choosing to own their culture, leaders create an environment where team members feel free to innovate, collaborate, and contribute authentically. This fosters a cohesive and resilient organization that thrives in the face of challenges and earns the trust of both internal and external audiences.

The journey of cultural ownership begins with intentionality. Leaders who understand the “why” behind their cultural initiatives, recognize the immense impact that a well-defined and consistently applied culture can have on engagement, performance, and long-term sustainability. This requires a commitment to accountability, clarity, freedom, and the prioritization of long-term values over short-term gains. Leaders who embody cultural principles through their actions and decisions serve as powerful examples for their organizations, inspiring alignment and trust across all levels.

Equally critical is the “how.” Demonstrating culture ownership involves clear communication, strategic decision-making, and the creation of systems in which team members can thrive and flourish. By fostering psychological safety, investing in leadership development, and consistently reinforcing cultural values, leaders ensure that culture is not just an abstract concept but a lived experience for every team member. Real-world examples from organizations like Patagonia, Starbucks, and Microsoft highlight how leaders can effectively integrate cultural ownership into their daily practices, creating organizations that align with their values and drive positive change.

Cultural ownership is not without its challenges, from resistance to change to balancing cultural consistency across diverse teams. Yet, these obstacles can be navigated with strategic solutions, such as cultural audits, transparent communication, and recognition programs that reinforce alignment and engagement. By addressing these challenges head-on, leaders build cultures that are not only sustainable but also adaptable to the complexities of modern business environments.

For business leaders seeking to embrace cultural ownership, the path forward begins with a few clear steps. First, take stock of the current cultural state of your organization. Conduct a cultural audit to understand the values, behaviors, and assumptions that shape your team’s experience. Second, align your leadership actions with the core values you want to uphold. Consistency between words and actions is critical for building trust and reinforcing cultural alignment. Third, creating systems and frameworks that foster freedom, innovation, and collaboration. Finally, communicate openly and celebrate cultural milestones to ensure that culture remains a visible and prioritized aspect of your organization.

The opportunity to own and shape company culture is one of the most significant responsibilities a leader can undertake. By doing so, leaders not only influence the success of their organizations but also create environments where team members and stakeholders alike can thrive and flourish. Owning culture is not just a choice—it is a commitment to the values that define who we are as leaders and organizations.The impact of cultural ownership extends far beyond today’s results; it shapes the foundation of success for generations to come.

References

Cameron, K. S., & Quinn, R. E. (2011). Diagnosing and changing organizational culture: Based on the competing values framework. Retrieved from Consensus.

Chouinard, Y. (2005). Let my people go surfing: The education of a reluctant businessman. Retrieved from Consensus.

Edmondson, A. C. (1999). Psychological safety and learning behavior in work teams. Administrative Science Quarterly, 44(2), 350-383. Retrieved from Consensus.

Gittell, J. H. (2003). The Southwest Airlines way: Using the power of relationships to achieve high performance.Retrieved from Consensus.

Grojean, M. W., Resick, C. J., Dickson, M. W., & Smith, D. B. (2004). Leaders’ role in organizational culture: Integrating a review of theory and research. Journal of Management, 30(6), 831-840. Retrieved from Consensus.

Hsieh, T. (2010). Delivering happiness: A path to profits, passion, and purpose. Retrieved from Consensus.

Kotter, J. P. (1996). Leading change. Retrieved from Consensus.

Nadella, S. (2017). Hit refresh: The quest to rediscover Microsoft’s soul and imagine a better future for everyone.Retrieved from Consensus.

Schein, E. H. (2010). Organizational culture and leadership. Retrieved from Consensus.