To ensure its team-oriented culture is more than just talk, Gryphon ties 25% of employee performance bonuses to subjective factors like soft skills, personal development, and cultural contribution. This is supported by 360-degree reviews to standardize evaluations and prevent "grade inflation" among different teams.
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One company adapted the traditional nine-box talent assessment—which typically measures performance vs. potential—by replacing the 'potential' axis with 'culture fit.' This modification ensures that evaluations heavily weigh an individual's contribution to the company's culture alongside their performance results.
DEI progress will only accelerate when it's treated as a core business objective, not a philanthropic one. If missing DEI targets impacted a leader's bonus as much as missing financial targets, organizations would see rapid, meaningful change.
At Menlo, peer-driven promotion decisions hinge on a crucial question: "Does the rest of the team perform better when you are part of that project?" This evaluates an individual's value based on their ability to elevate others, prioritizing team amplification over solitary excellence.
Elix mitigates the fear of 360-degree reviews by providing every full-time employee with an external coach. This structure ensures that critical feedback doesn't just feel exposing but is paired with professional guidance, turning potential blind spots into actionable development goals and fostering a true growth culture.
Tom Bilyeu argues "emotional safety" is the cornerstone of a great culture. He suggests tracking unconventional KPIs: the frequency of laughter and physical expressions of camaraderie. These are leading indicators of trust and psychological safety, which are essential for high-performing teams.
To break down silos and encourage a platform mindset, Microsoft CEO Satya Nadella changed performance reviews. Every employee had to document how they contributed to the success of others, directly linking collaboration to their compensation. This made the cultural shift tangible and non-negotiable, moving beyond mere talk.
While peer feedback is more accurate than a manager's, directly tying numerical scores to compensation "weaponizes" the system, leading to score inflation and reciprocity. Use peer reviews for development and as one of many qualitative inputs for a manager's final compensation decision.
Instead of asking "what culture do we want?", BBDO asked "what are the characteristics of people who do best here?". This approach reverse-engineers a culture based on proven success, creating a practical and authentic behavioral language for the entire organization.
Abstract values like "celebrate diversity" are useless for driving behavior. A value is only effective if it's tangible enough to be used in a performance review. Instead, use an observable action like "include all perspectives," which you can coach and evaluate.
To ensure brand consistency at scale, Way created internal "culture codes" on which employees are bonused. Codes like "we keep it real in a way that feels kind" directly reflect the brand's candid public persona. This operationalizes culture and turns every employee into an authentic brand ambassador.
