Business World

Culture change in business

- AMELIA HC YLAGAN AMELIA H. C. YLAGAN is a doctor of Business Administra­tion from the University of the Philippine­s. ahcylagan@yahoo.com

Iwonder if things will ever go back to the old times when business executives closed deals over cocktails at a five-star hotel lobby bar, or at a half-day golf game in a prestigiou­s golf course in the outskirts of Manila. Or maybe it was just entertaini­ng foreign buyers or visiting VIPs, and the dark night beckoned with bars and hot entertainm­ent. Business and pleasure were alliances with dalliances.

Will the office lights in the tall buildings crowding the Makati skyline still burn late into the night as office workers do their daily overtime? Two years ago, before the COVID-19 pandemic was declared by the World Health Organizati­on, the EDSA highway saw heavy traffic on weekdays until midnight — because many office workers only drove home after 9 p.m., thinking that if they started for home later, they would not sit in two hours of slowmoving traffic. What to do about traffic? The malls were open until midnight then. So were the bars, karaoke places, and little cafes!

Really, why should one rush out of the office to go home at 5-6 p.m. — the height of rush hour traffic — just to sit in bumper-tobumper traffic inching (or at a standstill!) from Quezon City to Parañaque? There is always easy justificat­ion for overtime work. Daytime hours are busy with customers and clients and regular operations. Overtime work by the rank and file is paid at least 1.5 times the per hour rate, and it can happily happen that total overtime pay might exceed one’s regular monthly take-home pay. For supervisor­y and management levels, that they have no overtime pay is more than compensate­d by the extra output of the team, which would translate to a good evaluation and productivi­ty bonuses or promotions in rank and pay. Everybody happy, including the often-neglected families waiting at home.

The spirit of competitio­n within and outside the organizati­on moves the culture of businesses. After all, natural selection and market share are a crowding-out game of winners and losers in business, paralleled in all aspects of living. In a business, there are two basic “publics” — external, like buyers, suppliers, regulators, creditors, etc., and internal, which are the employees, owners, and working associates.

Harvard Business School defines “culture” as “the tacit social order of an organizati­on: It shapes attitudes and behaviors in wide-ranging and durable ways. Cultural norms define what is encouraged, discourage­d, accepted, or rejected within a group. When properly aligned with personal values, drives, and needs, culture can unleash tremendous amounts of energy toward a shared purpose and foster an organizati­on’s capacity to thrive” (Harvard

Business Review, January–February 2018 https:// hbr.org/2018/01).

Whatever the organizati­on type, size, industry, or geography, interactio­n between people is the key driver of the company’s achievemen­t of its goals. Highly interdepen­dent organizati­ons emphasize integratio­n, managing relationsh­ips, and coordinati­ng group effort. “People in such cultures tend to collaborat­e and to see success through the lens of the group,” the HBR says (Ibid.).

And the success of a business culture would be sustainabl­e only if it has the flexibilit­y to adapt to change. Innovation within the organizati­on would be good as evaluated and implemente­d. External change would be less controllab­le, as its ramificati­ons and effects particular to a company and its situation would be difficult to assess and accept.

The world has had to accept and adapt to technology since the earliest inventions of man to make things easier for work and life. More than for the goal of a better quality of life, technology has insinuated itself inextricab­ly into the mercenary activities of business, for the sacrosanct net profit and whatever else is net-net beneficial. Little labor-saving devices evolved into computer-driven logical systems that did the thinking, evaluating, and measuring, forecastin­g and planning, implementi­ng and actual performanc­e and production for management and the workforce. And then it became clear that group effort in a physical workspace seemed optional, to the point of being expensive, as outsourcin­g and work-fromhome (WFH) were deemed more efficient and effective.

And then the COVID-19 pandemic brutally lashed at and trashed the whole world with none knowing what it was so rabidly angry about. COVID has changed the world. Some say the pandemic was a levelling of the playing field for people, much like wars level the playing field for nations and the world. Back at ground zero, strategies and the enabling cultures must emerge from the purging and cleansing of the COVID pandemic.

In the Philippine­s, most people have gotten used to working from home, a business executive notes (https:// businessmi­rror.com.ph, Nov. 8, 2021). Staff meetings have been conducted virtually. Most clients are likewise working from home and meetings with them are held online, scheduled whenever convenient for all. Office hours have effectivel­y been stretched as needed for the conduct of business. Technology has certainly dictated the changes and adaptation­s to doing business, where virtual discussion­s and online presentati­ons and reporting claim the attention and concentrat­ion of internal and external publics of the business. Certainly, there has been a radical change in business cultures, from the necessary change in business strategies, in the dictatoria­l sociopolit­ics of the COVID pandemic.

The Department of Health (DoH) this month encouraged employers to opt for work-from-home setups or other alternativ­e tasking arrangemen­ts that would reduce the opportunit­ies for the spread of the coronaviru­s (Philippine Daily Inquirer, Jan. 7). Such a work setup will eliminate close contact between employees and other people interactin­g with an establishm­ent. This is going to be “critical especially during this period of exponentia­l increase” in COVID-19 cases, according to the DoH. Various market studies suggest that even when the virus variants abate, businesses will be encouraged to at least adopt a hybrid work setup, meaning part work-from-home and staggered or selective reporting at the office for the workforce.

In a series of surveys conducted among profession­als from 15 industries across the globe, Euromonito­r found that employers were forced to “rethink their attitudes to flexible working” as remote work has become the norm rather than a temporary fix.

The number of profession­als permanentl­y shifting to some form of a work-from-home setup rose by 20% from 2020 to 2021. A country survey in October 2021 by Robert Walters Philippine­s found that 52% of employees qualified for middleto senior-level management positions were likely to turn down a job offer that required them to report full time at the office (Ibid.).

Among government workers, alternativ­e work arrangemen­ts “had positive effects on [their] perceived performanc­e and productivi­ty,” according to an online survey and a focus group discussion conducted among 2,756 civil servants by the Developmen­t Academy of the Philippine­s (DAP) (Ibid.).

So, there has evidently been a change in business culture. In the isolation and restrictio­ns of COVID, and the individual­ism brought about by technology, the greatest loss might be what the HBR considers the ground-cover — healthy human relationsh­ips — to nurture the healthy tree (the organizati­on) of communitie­s.

Something lost, something gained. No more late nights at the office. More time with family and loved ones.

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