Leader ⇒ Culture ⇒ Organization
So goes the culture, so goes the company – meaning over the long haul, the results the organization achieves will always be a direct reflection of the culture which exists inside that organization. If you want to build something which is going to shine, you have to build an inclusive Circle of Safety. When people trust each other and share their successes, their failures and what they learn, the natural result is innovation.
So goes the leader, so goes the culture – what the leader does always sets the tone for the culture and the organization. There's no way around this dynamic. High quality leaders work to widen the Circle of Safety and make it more inclusive whereas poor leaders act like tyrants in an attempt to preserve their own personal wealth and power. A perfect illustration of this dynamic in action was the experience of U.S. Navy submarine captain David Marquet who took over command of the USS Santa Fe. He had trained to be assigned to another submarine and he realized he didn't know the Santa Fe half as well as the most junior sailor on board. Captain Marquet was therefore forced to give authority to those who were closest to the information rather than to try and issue commands everyone followed without questioning. What surprised about this approach, however, was as this new culture spread, the Santa Fe went from being the lowest-rated vessel in the U.S. submarine fleet to having the best-rated crew in Navy history. That's the power of a great culture.