How to create an effective leadership culture in a tech team?

“This will be a results-oriented culture. I am personally involved in filling all the new key positions in this company because I am looking for people who make things happen, not people who watch and discuss what is happening.”

These were Louis Gerstner’s words to the IBM management team after he took over as CEO in 1993. Why was culture so important to him?

Today, building a culture of leadership in software development teams can be critical to the success of the entire technology-based organisation. Leaders who can create a positive and motivating work environment will gain the loyalty and commitment of employees, leading to better performance and achievement of business goals.

4 steps to building a culture of leadership in your team

In the world of programming, there are best practices related to architecture and application code, which we define as hard skills. However, soft skills such as critical thinking, problem solving, public speaking, teamwork, leadership, work ethic and intercultural fluency are essential to building a leadership culture.

Selection

As well as encouraging people to take initiative, it is also important for leaders to be flexible and proactive. One of the aspects of IBM’s culture that Louis Gerstner wanted to change was the tolerance for missed deadlines and poor execution of plans. IBM emphasised preparation and perfectionism, not implementation and go-to-market.

A critical step in implementing a leadership culture is the selection process, which allows the selection of people with the right approach and character traits to achieve the goals set. Leaders should provide their team with appropriate training and development to increase their knowledge and skills and help them achieve individual and team goals. Proper support for employee development is also a way to increase motivation.

Leading by example

No one will want to follow a vision that can’t be implemented in the real world. So Gerstner started looking for people to emulate — regardless of their position or level of responsibility. A good leader must be a role model for his team, living the values of the organisation he works for. For example, striving to create products or services that excel in quality and innovation. Leaders must be able to adapt their strategies to changing market conditions and make decisions quickly.

Reward system

Communication, constructive criticism and rewarding good performance are crucial to building a positive leadership culture in a team. Individual meetings, regular feedback sessions, team meetings and transparent internal communication are just some of the tools that can be used to build a leadership culture. In addition, a system of recognising and rewarding employees for their efforts and achievements helps to build commitment and motivation.

Socialization

When cultural assumptions are already widely known and applied by leaders, it is important to help other employees understand the changes involved. IBM set a goal of rewarding and promoting employees who adopted the new culture, which led to defining the recommended course of action for others. As a result, a formal set of leadership competencies was published and annual appraisals were conducted. Training programmes were developed to improve specific skills and support employees in their development, and a clear and transparent career progression path was established.

Not just IBM

Photo by Thibault Penin on Unsplash

Another example of how building a leadership culture can contribute to organisational success is Netflix, which focuses on openness, flexibility and innovation. The company’s leaders encourage employees to share ideas and mistakes, leading to continuous improvement of products and services. At Netflix, every employee is treated as a leader responsible for their results and development. The company also provides significant support for training and professional development, helping employees to expand their skills and gain new experiences. New features and services are constantly being introduced to attract and retain customers. Netflix demonstrates that building a leadership culture is critical to organisational success in today’s business world.

Building a culture of leadership in a tech team is critical to an organisation’s success. Choosing leaders who can create a positive and motivating working atmosphere, regardless of their position, helps to gain employee loyalty and commitment. This in turn leads to increased efficiency and the achievement of business objectives. Implementing the right approach and tools, such as effective communication, employee development and flexibility, can help build a positive leadership culture. Examples from companies such as IBM and Netflix confirm the effectiveness of these measures.

Recommended reading:

  • Louis Gerstner: “Who Says Elephants Can’t Dance?”
  • Robert Slater: “Saving Big Blue: Leadership Lessons & Turnaround Tactics of IBM’s Lou Gerstner”
  • Reed Hastings, Erin Meyer: “No Rules Rules: Netflix and the Culture of Reinvention”

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Jakub Mikuś
VMLY&R Poland | Technology Centre of Excellence

Chief Technology Officer @ VMLYR . Technology enthusiast with legal and coaching experience. Automation fan. In love with cycling and F1.