Culture Matters: Lessons from the Haas School of Business at UC-Berkeley

The Berkeley-Haas school has codified a well-defined culture into a set of core brand values: namely, “question the status quo (innovate and champion bold ideas),” “students always (never feel you have learned all you need),” “beyond yourself (consider larger interests than short-term profits, go beyond personal ambition), and “confidence without attitude (without arrogance employ analysis, trust and collaboration).” The values are oriented toward the reduction of overconfidence and self-focus, which are perceived to be excessively present among the business graduates and leaders of the leading business schools.

These values are highly differentiated, have substance, are true to the heritage and are consistent with the perceptions of the school. Most remarkably, they are not simply communication tools but drive operations from the curriculum, research priorities to staff programs and faculty hiring. The curriculum, for example, has been extensively revamped in order to introduce elements of creativity, innovation, collaboration, ethics and social responsibility.

The latest dimension to be touched is admissions. Applicants to the Berkeley-Haas school are now asked to address the four values in one way or another in their application. The admissions class of 2011-2012 is the first class in which all were exposed to the values-influenced application. Dean Richard Lyons, the chief culture builder, challenged the admitted to consider that “the business school choice is lifelong —don’t make lifelong choices that don’t fit.”

According to Dean Lyons, the result was extraordinary. The students have an extreme level of cohesiveness (“they love each other”) and a common purpose that other classes at Berkeley-Haas did not have. It is both palpable and remarkable. The fact that they passed a culture screen and became motivated to attend because of the culture clearly had an impact.

Of course, the power of a strong culture applied to hiring has been demonstrated before by a few other organizations that are blessed with a culture that drives operations and strategy. Zappos, for example, has 10 values including “be a little bit weird” that guides hiring. Applicants are asked to describe something that they did that was weird. Further, new hires are given several thousand dollars to leave if they feel after joining that there is not a culture fit for them.

However, these examples are relatively rare, and Berkeley-Haas stands out as a case study for how a culture codified with brand values can make a huge difference in a competitive arena in which there seems to be little real differentiation.

Posted January 18, 2012 / Permalink / Subscribe (e-mail) / Subscribe (RSS)
Tags: branding college admissions culture differentiation haas school of business uc-berkeley

Share


Comments

Great article Mr. Aaker. As a former recruiter I am a strong proponent of culture and feel it is one of the most important attributes a company can create. What would you say are the key steps towards changing a company culture if you find the one you have created is lacking your initial vision? There seems to be a gap between saying and doing when it comes to culture change.

Stephen, first you need to determine what the vison or mission of the firm is. That has to be something the CEO and utimately the firm believes is inspiring, worth doing, and doable. Second, you bring it to life with CEO actions, programs, imact on real decisions, incentives, etc. If you look at role models like Zappos.com, Apple, Virgin, Harley etc. you can see how it has been done.

Thanks for a great post Mr Aaker. I work as a Managing Director in a small web development company. We are a value driven company. I believe that a company culture using their values as a guide for good behavior have a better chance to succeed in the long term. I loved your Berkeley- Haas school case. We will try to implement something similar in our recruitment process.

Victor, take a look also at the Zappos.com approach.


(required)
(required, but will not be shown)
type the word INSPIRE below

remember your name, e-mail, and website

receive notifications of comments posted after yours


Sign up for e-mail updates

This blog post from Aaker on Brands was published on January 18, 2012. To see more posts, visit the blog home page.

Next: What Readers Should Know While Reading Jim Stengel’s “Grow”

Previous: Great CEOs are Born, not Made


Share