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Culture Crafters

Culture Crafters – How to Repair the Broken Culture at Boeing

Seeing the regulators catch up to the business world is always interesting. That is what has happened to corporate culture. The Department of Justice is now assessing the corporate culture of any company under investigation. Yet, more than simply complying with this mandate, companies should strive to foster the best culture they can. The reason is deceptively simple: the better the culture, the better the company. However, many business executives and even compliance professionals do not know how to craft a culture that allows your employees and your organization to implement such strategies. How can you unlock the power of a thriving workplace culture?

In this podcast series, Sam Silverstein, the most trusted voice in America on accountability, and Tom Fox, the Voice of Compliance, discuss ways companies can elevate their culture to new heights. This episode examines the current Boeing scandal from a cultural angle.

The recent FAA report on Boeing has shed light on a worrying culture of fear, inadequate training, and mistrust within the company, leading to compromised safety standards. Tom points to management and cultural issues as the root causes of these safety failures. He insists that Boeing needs to foster a culture of safety, transparency, and open communication, without which it cannot rectify its current predicament. Sam emphasizes leadership’s crucial role in shaping a safe and open culture, arguing that leaders must take responsibility for any existing fear or retaliation. Drawing on his extensive experience advising leaders on accountability, Silverstein believes in the necessity of a culture where employees feel valued and can voice their concerns, suggesting that tough love may be the key to navigating Boeing’s safety issues.

Key Highlights:

  • Boeing’s Culture Impacts Safety Standards
  • Encouraging Safety Concerns Through Open Communication
  •  Leadership’s Role in Shaping Organizational Culture
  • How can Boeing start to rebuild its culture?

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Blog

How Boeing Can Begin to Fix its Broken Culture

How bad is Boeing’s culture? It is so bad that, as reported in the WSJ, the CEO has announced his departure from the company, and the Chairman of the Board of Directors has announced he will not stand for re-election. It is so bad that the New York Times asked in a headline, What Should Boeing Do to Fix Its Longstanding Problems? Over this week, I have been exploring how a company can assess its corporate culture, improve it, and make those changes permanent through continuous monitoring and improvement. I want to conclude this blog post series by applying those lessons to the current culture at Boeing.

First, Boeing must create a culture that prioritizes those who speak up about safety issues. An organization’s speak-up culture is essential for fostering open communication, transparency, and employee trust. Such a culture encourages individuals to raise concerns, flag potential issues, and contribute to a safer and more accountable work environment. By prioritizing a speak-up culture, companies can proactively address challenges, prevent safety risks, and promote a culture of continuous improvement.

A speak-up culture is a critical factor in ensuring organizational success and safety. Employees must feel safe, valued, and empowered to voice their opinions without fear of reprisal. Boeing must create a culture of trust and psychological safety to enable individuals to speak up, as a culture that supports open communication leads to better decision-making processes and overall performance. A speak-up culture is pivotal in shaping a positive and proactive organizational environment.

Accountability in leadership is fundamental to setting the tone for organizational culture and fostering a sense of responsibility and integrity among team members. The resignation of the CEO is probably a necessary first step, as leaders who demonstrate accountability not only model desired behaviors but also create a culture where individuals take ownership of their actions and outcomes. Leaders cultivate a culture of trust, respect, and ethical conduct by holding themselves and others accountable for their commitments and decisions. Such leadership is lacking at this point at Boeing.

Sam Silverstein has emphasized accountability in leadership as a transformative impact on organizational dynamics. By stressing that accountability is a way of life rather than a mere task, Silverstein underscored leaders’ profound influence in shaping the values and norms within their teams. He stressed the importance of consistency and fairness in holding individuals accountable, noting that leaders play a pivotal role in setting expectations and driving cultural change. The discussion underscored the critical role of leadership accountability in fostering a culture of integrity and excellence within organizations.

Yet the question remains: How can Boeing change its corporate culture? Changing organizational culture is a complex and multifaceted endeavor that requires a deliberate and strategic approach. To shift its culture, Boeing must first assess the existing norms, values, and behaviors that shape its environment. Boeing can begin by identifying areas for improvement and aligning cultural practices with desired outcomes. Companies can embark on a journey of cultural transformation that enhances employee engagement, performance, and overall organizational success. It all starts with a cultural assessment.

Equally important is the need for the new CEO and Boeing’s senior leadership to fully commit to driving cultural change within organizations. Boeing can initiate meaningful change by defining and measuring the current culture, investing in training and education, and holding individuals accountable for upholding cultural values. Cultural initiatives must be aligned with business objectives and ensure that cultural transformation efforts are embedded in every aspect of the organization. There are significant challenges ahead for Boeing, but the company has the opportunity to achieve lasting transformation.

In short, the company must take the following steps:

  • Analyze its safety failure report to uncover critical insights into safety management protocols and potential areas for improvement.
  • Explore the profound impact of company culture on safety practices and understand how it shapes employees’ behavior and decision-making in critical situations.
  • Implement effective speak-up programs to empower employees to voice their safety concerns without fear of reprisal, fostering a culture of open communication and proactive risk mitigation.
  • Foster safe environments by leveraging leadership’s pivotal role in setting clear safety expectations, modeling best practices, and promoting a culture of accountability.
  • Enhance reporting systems in large corporations to streamline incident documentation, analysis, and communication for proactive risk management and continuous safety improvement.

I hope you have enjoyed this blog post series on corporate culture and that you will follow my latest podcast, Culture Crafters, on the Compliance Podcast Network.

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Daily Compliance News

Daily Compliance News: March 26, 2024 – The Neurodiverse Claims Edition

Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee, and listen to the Daily Compliance News. All from the Compliance Podcast Network. Each day, we consider four stories from the business world: compliance, ethics, risk management, leadership, or general interest for the compliance professional.

  • More neurodiverse claims are made in the workplace. (FT)
  • Singapore’s ex-transportation minister faces more charges. (Reuters)
  • Boeing CEO to step down early. (NYT)
  • Hong Kong’s days as an international business center are numbered. (BBC)

Click here for more information on the Ethico ROI Calculator and a free White Paper on the ROI of Compliance.

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Daily Compliance News

Daily Compliance News: March 25, 2024 – The Neurodiverse Talent Edition

Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee and listen to the Daily Compliance News. All from the Compliance Podcast Network.

Each day, we consider four stories from the business world: compliance, ethics, risk management, leadership, or general interest for the compliance professional.

In today’s edition of Daily Compliance News:

  • EY promotes neurodiverse talent. (BBC)
  • Boeing prepares for closer FAA scrutiny.  (NYT)
  • A MoD report on UK corruption vis-à-vis Saudi Arabia was found in the public archive. (The Guardian)
  • MLB to investigate Ohtani’s translator’s scandal. (WSJ)

For more information on the Ethico ROI Calculator and a free White Paper on the ROI of Compliance, click here.

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Daily Compliance News

Daily Compliance News: March 19, 2024 – The Can’t Post The Bond Edition

Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee and listen to the Daily Compliance News.

All from the Compliance Podcast Network. Each day, we consider four stories from the business world: compliance, ethics, risk management, leadership, or general interest for the compliance professional.

In today’s edition of Daily Compliance News:

For more information on the Ethico ROI Calculator and a free White Paper on the ROI of Compliance, click here.

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10 For 10

10 For 10: Top Compliance Stories For The Week Ending March 16, 2024

Welcome to 10 For 10, the podcast that brings you the week’s Top 10 compliance stories in one podcast each week. Tom Fox, the Voice of Compliance, brings to you, the compliance professional, the compliance stories you need to be aware of to end your busy week.

Sit back, and in 10 minutes, hear about the stories every compliance professional should be aware of from the prior week. Every Saturday, 10 For 10 highlights the most important news, insights, and analysis for the compliance professional, all curated by the Voice of Compliance, Tom Fox.

Get your weekly filling of compliance stories with 10 for 10, a podcast produced by the Compliance Podcast Network.

  1. The Swiss bank settles sanctions violations.  (WSJ)
  2. JPMorgan was fined $350MM. (Reuters)
  3. Accountability and corruption in South Sudan. (State Dept. Press Release)
  4. DOJ should have a policy sprint to get the whistleblower program ready.  (WSJ)
  5. MOD paid millions into a Saudi account. (The Guardian)
  6. Leadership lessons from Robert Oppenheimer.  (WSJ)
  7. The NYT reviews the new off-Broadway play, Corruption. (NYT)
  8. A Boeing whistleblower was found dead. (BBC)
  9. The DoT wants South Africa to increase its fight against corruption. (Reuters)
  10. Boeing overwritten the video of safety work. (Axios)

For more information on the Ethico ROI Calculator and a free White Paper on the ROI of Compliance, click here.

You can check out the Daily Compliance News for four curated compliance and ethics related stories each day, here.

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Daily Compliance News

Daily Compliance News: March 14, 2024 – The Farewell to Tik-Tok? Edition

Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee and listen to the Daily Compliance News.

All from the Compliance Podcast Network. Each day, we consider four stories from the business world: compliance, ethics, risk management, leadership, or general interest for the compliance professional.

In today’s edition of Daily Compliance News:

  • The House passes legislation to require the sale of Tik-Tok. (NYT)
  • Bank regulators weigh greater operational resiliency requirements.  (WSJ)
  • Boeing overwritten the video of safety work. (Axios)
  • The DoT wants South Africa to increase its fight against corruption. (Reuters)

For more information on the Ethico ROI Calculator and a free White Paper on the ROI of Compliance, click here.

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Daily Compliance News

Daily Compliance News: March 13, 2024 – The Corruption The Play Edition

Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee and listen to the Daily Compliance News.

All from the Compliance Podcast Network. Each day, we consider four stories from the business world: compliance, ethics, risk management, leadership, or general interest for the compliance professional.

In today’s edition of Daily Compliance News:

  • The NYT reviews the new off-Broadway play, Corruption. (NYT)
  • CFOs tackle weakened SEC climate reporting rules.  (WSJ)
  • 340 people were detained in a Chinese corruption investigation in the financial services area. (South China Morning Post)
  • A Boeing whistleblower was found dead. (BBC)

For more information on the Ethico ROI Calculator and a free White Paper on the ROI of Compliance, click here.

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Compliance Tip of the Day

Compliance Tip of the Day: The Importance of Culture

Welcome to “Compliance Tip of the Day,” the podcast where we bring you daily insights and practical advice on navigating the ever-evolving landscape of compliance and regulatory requirements.

Whether you’re a seasoned compliance professional or just starting your journey, our aim is to provide you with bite-sized, actionable tips to help you stay on top of your compliance game.

Join us as we explore the latest industry trends, share best practices, and demystify complex compliance issues to keep your organization on the right side of the law. Tune in daily for your dose of compliance wisdom, and let’s make compliance a little less daunting, one tip at a time.

In this episode, we explain the importance of corporate culture in the highest-risk areas for your organization. If you are an airline manufacturer, it’s the safety of your airplanes.

For more information on the Ethico ROI Calculator and a free White Paper on the ROI of Compliance, click here.

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Daily Compliance News

Daily Compliance News: March 8, 2024 – The DOJ Whistleblower Day Edition

Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee and listen to the Daily Compliance News.

All from the Compliance Podcast Network. Each day, we consider four stories from the business world: compliance, ethics, risk management, leadership, or general interest for the compliance professional.

In today’s edition of Daily Compliance News:

  • The DOJ announces a whistleblower program.  (WSJ)
  • More from DAG Monaco. Changes to ECCP regarding AI. (Compliance Week)
  • The NYT asks for Boeing whistleblowers. (NYT)
  • SEC prepares to be sued for pro- and con-climate reporting rules. (FT)

For more information on the Ethico ROI Calculator and a free White Paper on the ROI of Compliance, click here.