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Culture, compliance, and the board

Tom Fox | October 24, 2017

Belated, very belated it seems, boards of directors are waking up to the fact that culture matters, especially to the extent that it impacts the bottom line. In a recent interview, Uber board member Arianna Huffington said, “We are recognizing that what’s happening in the culture has direct consequences to the bottom line” and gave several different examples of where she believed that a negative and even toxic culture had negatively impacted the company.

The first was the culture of “burnout and constant stress,” which she said existed at Uber when she arrived. As a company with a data-driven culture, she said the company and its employees need to listen to the data that indicates that burned-out employees both act out inappropriately and are prone to more and greater mistakes. She said, “We all know that when we are running on empty, when we’re exhausted, we operate at our worst...

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