Leaders of Aussie companies lack insight on culture

Melbourne, Wednesday, 18 September 2019: Australia’s C-Suite does not have a realistic

view of company culture, according to a report by the Australian HR Institute (AHRI).

The ‘5 Hard Truths About Workplace Culture’ Report conducted by AHRI and Insync found

C-level executives at Australian companies are less likely to recognise a shortfall in

company culture than other employees.

The report says boards and CEOs need a reality check. They have to take accountability for

their organisation’s culture, culture change, and to ensure that competent HR backed by

industry certification guides cultural change.

Lyn Goodear, CEO of AHRI said: “Despite the wake-up call delivered by the Hayne Royal

Commission, it is alarming to see a clear disconnect still remains across Australian

businesses between the CEO’s impression of company culture and what is being felt at the

frontline.”

HR team members proved the hardest critics of company culture. These team members

ranked the company’s practices lower than their peers, seeing the greatest disparity

between current sentiment and best practice.

Insync CEO, Nick Barnett, said: “This research is a rallying cry for leaders to role model and

galvanise a much more ethical and sustainable culture in their organisations from the inside

out. Only then will the recent massive loss of trust in business and business leaders start to

be rebuilt.”

The ‘5 Hard Truths’ identified in the report are:

1. Culture problems are pervasive

2. Culture problems are often immense

3. Larger organisations have larger culture problems

4. CEOs have trouble seeing culture problems

5. Organisations need HR as a professional culture partner

Goodear added: “HR teams are in a challenging environment, with their work cut out for

them. HR practitioners who are AHRI certified by the National Certification Council are

equipped with the skills, techniques and strategies to bridge the gap between C-Suite and

what is happening at the coalface”.

For a copy of the ‘5 Hard Truths’ Report, visit www.ahri.com.au/get-connected /.

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