ASIC embarks on “a crackdown on company culture”
The AFR reported that ASIC is embarking on “a crackdown on company culture”. AFR quotes a ‘governance firm’ Regnan, which worked with Griffith University to discover that companies with ‘high’ culture doubled in value over the last five years, while those with ‘low’ culture lost 50% of their value. Just a reminder for those involved: W. Edwards Deming said 30 years ago that the most important things in business are unknown or unknowable. And, in our experience, great performance doesn’t stem from ‘culture’ (i.e. sum total of behaviour) but from the thinking horizon. Companies which operate with the long term in mind tend to do well, and the long term focus drives the right behaviour, aka culture.