Culture Eats Strategy for Breakfast

Why Your Organization’s Culture Determines Its Success

Have You Ever Worked in a Toxic Culture?

Think back to a job where you felt undervalued, unheard, or confused about expectations. Maybe leadership constantly changed direction, leaving teams frustrated. Or perhaps the workplace felt like a battleground instead of a community. Now contrast that with a time you worked in a healthy culture—one where leaders communicated clearly, recognized your contributions, and provided a roadmap for success. The difference is night and day.

Peter Drucker famously said, “Culture eats strategy for breakfast.” You can have the best strategic plan, but if your organizational culture is toxic or unclear, that strategy will fail. Culture is the shared ways that people perform, believe, relate, and immerse new members. It determines how your organization functions, how people work together, and ultimately, whether your business thrives or struggles.

The Bad Fruit of a Bad Culture

Ignoring culture will always have a negative effect on performance. Research shows that companies with strong cultures experience 4x revenue growth compared to those without (Forbes). On the flip side, toxic workplaces lead to decreased productivity, high turnover, and disengaged employees.

The Six Key Aspects of a Strong Organizational Culture

To build a thriving culture, leaders must be intentional in these six areas:

ONE: How People Are Valued Within the Organization

People need to feel valued—not just in vague ways but in specific, tangible ways. A strong culture recognizes contributions, develops talent, and offers opportunities for growth.

🔹 John Maxwell emphasizes, “People don’t care how much you know until they know how much you care.”

What Leaders Can Do:

• Regularly acknowledge contributions and progress.
• Invest in employees’ hard and soft skills.
• Balance mission-first leadership with genuine care for your people.

TWO: How the Strategic Plan Is Used

A strategic plan is the roadmap for accomplishing your mission. However, if leaders fail to communicate it effectively, employees feel lost, leading to resentment and confusion.

What Leaders Can Do:

• Have a no-prep talk with your team about the strategy—see what they understand.
• Break the plan into 20% increments and review it in monthly meetings or one-on-ones.
• Clarify how each role contributes to the bigger picture.

THREE: How Structure Is Used

Some teams thrive with rigid structure (like IBM), while others perform better with flexible frameworks (like Google). The key is to provide the right level of organization to empower high performance.

What Leaders Can Do:

• Ask employees how much structure they need to perform at their best.
• Clearly define processes while allowing room for adaptability.
• Ensure systems support—not hinder—efficiency and creativity.

FOUR: How Decisions Are Made

Inconsistency in decision-making creates uncertainty. Leaders must define who makes decisions and how to ensure clarity and alignment.

What Leaders Can Do:

• Determine if decisions are made by a point person, committee, or leadership team.
• Clearly communicate the decision-making process to employees.
• Stick to the agreed-upon structure to maintain trust.

FIVE: How Drivers Are Used

Different people are motivated by different things. Some thrive on recognition, others on career growth, financial incentives, or continuing education. A one-size-fits-all approach leads to disengagement and turnover.

What Leaders Can Do:

• Take time to understand what motivates each team member.
• Customize rewards and recognition to align with individual drivers.
• Provide opportunities for employees to grow in ways that matter to them.

SIX: How Problems Are Faced

Healthy organizations don’t avoid problems—they tackle better, tougher problems as they grow. Elon Musk pushes Tesla and SpaceX teams toward ambitious goals, knowing that innovation comes from solving hard problems.

What Leaders Can Do:

• Create a culture where employees feel safe bringing up challenges.
• Reward those who share hard truths—not just good news.
• Ensure every goal has a clear plan to overcome obstacles.

Is It Time to Adjust Your Culture?

• How does your personal leadership style impact culture—positively or negatively?
• Which of these six areas needs the most attention in your organization?

Culture is not a set-it-and-forget-it element. It requires consistent leadership, intentional strategy, and a commitment to improvement.

Work With Terry Porter for Leadership Coaching

Terry Porter offers both one-to-one and group coaching & consulting.

If you’re struggling with high turnover, disengaged employees, or a lack of clarity in your business, let’s work together to transform your organizational culture. I help leaders build strong, thriving teams where people feel valued, motivated, and aligned with the mission.

📌 Book a Leadership Coaching Consultation
📌 Learn More: Terry-Porter.com

Let’s create a culture where people—and businesses—flourish!