Debunking Myths: Why Organisational Culture Matters and How to Get It Right

Organisational culture is more than a buzzword; it’s a critical factor in employee satisfaction, productivity levels, and the success of modern Australian workplaces.

Misconceptions about what constitutes workplace culture and how it benefits an organisation can be costly. In this article, Corporate Diversity Pathways Founder and CEO Jeromine Alpe delves into five common myths surrounding organisational culture. Leveraging her previous experience as a Director of People & Culture, Jeromine demystifies workplace culture and shares strategies for cultivating a thriving, inclusive workplace environment.

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Picture of Written by: Jeromine Alpe

Written by: Jeromine Alpe

As the CEO of Corporate Diversity Pathways (CDP), Jeromine brings over 25 years of experience and a steadfast commitment to advancing diversity, equity, and inclusion (DEI). Her pioneering work in the DEI field ensures that organisations benefit from expertly guided strategies to build inclusive workplaces where every individual can thrive.

Myth 1: Culture Happens Organically

“Don’t fall into the all too familiar trap of believing culture is the by-product of hiring great people,” says Jeromine.  “Letting your team collaborate naturally is a great start, but culture requires deliberate design.”

Unconscious bias is a significant barrier at the heart of decision-making that shapes opportunities and outcomes. Without intentional, unbiased leadership, “natural” culture can exclude certain groups, create a breeding ground for unhealthy competition, or unwittingly sustain outdated practices.

The Solution:

To address unconscious bias, organisations must get clear on their values and commit to increasing awareness by educating employees and leaders to understand its impact and encourage aligned behaviours. Leaders are then better equipped to intentionally cultivate and role model an inclusive culture that promotes fairness and equal opportunities while actively shaping the company culture to avoid exclusion and unhealthy competition. Reinforce a positive culture through workplace policies, processes, and systems to minimise bias in decision-making processes. Finally, establishing accountability measures and a safe, trusted space for continuous feedback ensures ongoing progress and a sustained commitment to reducing bias and fostering inclusivity.

Myth 2: Psychological Safety is Achieved through Perks and Benefits

The approved Work Health and Safety (Managing Psychosocial Hazards at Work) Code of Practice 2024 imposes a proactive duty on directors to exercise due diligence to ensure that organisations identify, manage, eliminate or mitigate psychosocial hazards & risk to psychological health at work.

Psychological safety goes beyond surface level perks such as free lunches or offering a casual office environment, to create an environment where employees feel safe to speak up, share ideas, take risks, and make mistakes without fear of ridicule or retribution. Psychological safety requires cultivating a supportive culture which prioritises mental and emotional security, but is not defined by an organisation’s culture.

The Solution:

Jane Burns, Principal Workplace Wellbeing and Enterprise Professor at CDP highlights that when psychological safety is fostered in the workplace, employees are healthier and more productive. Jane emphasises the essential role of leaders in cultivating this safety and how technology can support the development of a psychologically safe environment. Furthermore, Professor Burns advocates for open conversations around mental health, stressing the significant impact of organisational culture and leadership in supporting mental well-being. 

Making programs visible to your organisation’s workforce through comprehensive communications, sends a resounding message about the positive management of organisational culture.

Myth 3: Organisational Culture is Static

An established culture is not a constant culture. Culture evolves as an organisation grows, diversifies, and faces new challenges. Stagnant cultures that fail to adapt will fall short of meeting employee expectations and changing market conditions.

The Solution:

Organisational culture requires a growth mindset and strong policies linked to targeted initiatives. These guidelines are key drivers of change, with organisations like HealthShare NSW’s Gender Equality Action Plan (GEAP) committing the organisation to promoting a more inclusive and equitable workplace within the healthcare sector. 

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Don’t let common myths hold your organisation back. By embracing intentional strategies for inclusivity, psychological safety, and continuous growth, you can create a thriving, high-performing workplace.

Myth 4: DEI Is Not Essential for Business Success or Employee Satisfaction

DEI is sometimes seen as requiring separate and highly visible employee programs. Instead, DEI should become a natural, intrinsic part of organisational culture, embedded in an organisation’s values and the way people at work collaborate and treat each other, leading to a more inclusive, respectful, productive workplace. 

The Solution:

Integrating DEI into the organisation’s core values and everyday practices, make it a natural and invisible yet highly valuable element of workplace culture. This can be achieved by leaders consistently role-modelling DEI-led values, embedding inclusive behaviours and decision-making into daily operations, leadership practices, and employee interactions.

A diverse group of professionals collaborates in an office setting, focused on a laptop, embodying a culture of continuous improvement

Integrate inclusion initiatives as measurable, actionable priorities starting with a simple diversity audit to establish accountability mechanisms and begin to track progress. Employee resource groups and inclusive benefits such as flexible leave policies are also practical ways to embed inclusion into everyday operations.

Myth 5: Leaders Know Best When It Comes to Culture

A study by McKinsey & Company discovered a severe ‘purpose gap’ between upper management and frontline workers. With 85% of executives believing they were living their purpose at work, and an equal 85% of front line managers and employees answering they were unsure or disagreed that they were living their purpose in day-to-day work. This disparity underscores the need for a more inclusive approach to defining culture. 

Assuming senior executives have the clearest perspective on alignment of work and personal satisfaction, a key element in cultivating a positive and purposeful culture, can create huge misalignment across an organisation. 

When frontline workers contribute to engagement efforts, they help shape the culture to align more closely with their daily experiences, and as Gallup research highlights, companies with high employee engagement experience 18% more productivity and 23% more profitability than those with low engagement.

A team of professionals gathered at a table, utilizing laptops for discussion and collaboration in a modern office setting.

The Solution:

Actively involve frontline employees by creating open channels for two-way communication and anonymous feedback platforms that ensure diverse voices inform leadership decisions. Demonstrate the value of their perspectives by incorporating their insights into decision-making initiatives. A culture of safety and trust is built when employees feel their input directly influences organisational priorities. Creating open channels for two way communication ensures the gap between management and frontline experiences of a workplace culture is narrowed and decisions are informed by diverse voices.

Why Busting These Myths is Crucial

Busting misconceptions about organisational culture is crucial to moving beyond just creating “nice places to work” and becoming serious about building resilient, innovative teams.

Organisational culture is an ongoing journey that requires intentional action, constant feedback, and a commitment to continuous improvement. Adapting to change while authentically embracing diversity, equity, and inclusion ensures that an organisation attracts, retains, and supports a skilled and diverse workforce. 

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Whether you are looking to strengthen your organisation’s commitment to DEI and workplace wellbeing, attract outstanding talent or explore new career pathways, call us today at +61 404 888 335 or email us at hello@corporatediversitypathways.com.