The Culture Myth: You’re Not Creating a Culture…It Already Exists

Every company has a culture. Whether it’s intentional or accidental, good or toxic, structured or chaotic—it exists. Yet, many inexperienced leaders believe their job is to create a company culture. The reality? Culture isn’t something you build from scratch; it’s something you shape and refine based on what’s already happening.

The Misconception of Culture Creation

One of the biggest mistakes leadership makes, especially in startups and rapidly scaling companies is assuming that culture can be dictated through mission statements, core values, and team-building exercises. They invest in these initiatives believing they will create culture. However, culture isn’t words on a wall or a statement on a website.

Culture is the sum of how decisions are made, how leaders behave, how employees interact, and what gets rewarded or Consequences. It’s not what a company says it values it’s what actually happens in the day-to-day.

Your Culture Already Exists: The Question Is, What Kind?

Before trying to redefine culture, leaders need to assess what already exists. Ask yourself:

  • How are decisions made? Is leadership top-down, or does input matter?

  • How does the company handle mistakes? Are they learning opportunities or moments of fear?

  • What behaviors get rewarded? Do promotions and recognition go to those who align with stated values or those who drive revenue at all costs?

  • How does the company handle difficult conversations? Is transparency encouraged, or do people avoid conflict?

These behaviors and norms shape culture more than any set of values written on a wall. If a company’s leadership ignores toxic behaviors but emphasizes ‘collaboration’ in their mission statement, employees quickly learn what’s actually valued.

Leadership Dysfunction Fuels a Toxic Culture

A fragmented leadership team that prioritizes personal agendas over team goals creates a toxic work environment. When leaders are at odds with each other, it causes confusion and division throughout the organization. Instead of collaborating as a cohesive unit, they fuel an atmosphere of disconnection and lack of trust.

In such environments, communication breaks down, and a "cover your ass" culture takes hold. Leaders become more focused on protecting their own interests and reputations than working together to advance the company. This results in an environment driven by fear, political gamesmanship, and competing priorities rather than unity and shared purpose.

Employees in these settings often sense the dysfunction at the leadership level and may begin to mirror these behaviors. As a result, morale and engagement plummet. People start to disengage, keeping a low profile and doing the bare minimum to avoid scrutiny—also known as “flying under the radar.”

This behavior not only undermines productivity and innovation but also erodes company culture. Trust is replaced by suspicion, and burnout sets in as employees and leaders alike become disillusioned with the workplace. A toxic environment like this contributes to high turnover, declining performance, and long-term organizational damage.

The Role of Leadership: Shaping, Not Creating

Instead of trying to manufacture a culture from nothing, leaders should focus on reinforcing the right behaviors and dismantling harmful ones. This means:

  • Acknowledging what’s already there - Good or bad, your company has a culture. Identify it before trying to change it.

  • Leading by example - Leaders shape culture more through their actions than their words. If you want a culture of trust, transparency, or accountability, embody those traits first.

  • Making tough calls - Culture is determined by what you tolerate. If you allow toxic behaviors from high performers, you’re reinforcing a cutthroat culture - whether you intend to or not.

  • Aligning systems with values - Hiring, promotions, performance management, and rewards should reinforce the behaviors and mindsets you want to see.

Final Thought: Culture Is a Living, Breathing Force

You don’t create culture…you influence it. Every interaction, decision, and policy adds another layer to your company’s cultural DNA. Whether that’s fostering innovation, trust, toxicity, or disengagement is entirely up to leadership.

If your company is struggling with culture issues or leadership dysfunction, Human Capital EQ can help. We don’t do generic HR fixes—we provide strategic human capital solutions that actually move the needle. Whether it’s aligning leadership, optimizing people strategies, or transforming a toxic culture into a high-performing one, we help leaders shape a workplace that drives real results.

Not every company is the right fit for us, however, if you're serious about change, let’s talk.

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