Fostering an effective business culture

Boxers & Briefs Podcast #5: Company culture explained with Joshna Mistry.

Company culture has become a crucial element in organisational success. But what makes for an effective business culture, and who is responsible for creating and maintaining it? In a recent episode of ‘Boxes and Briefs,’ Joshna Mistry, Partner and CEO at Gilligan Sheppard, shares valuable insights into business culture based on her 20 years of experience in chartered accountancy.

The importance of people-centred culture

The worst-case scenario for any business is failing to acknowledge that people and culture are among the most critical aspects of organisational success.

“I think the worst-case scenario for any business is not acknowledging people in culture, which is the most important aspect or at least in your top three. No matter what your business is, you rely on people somehow, so you’ve got to respond to their changing needs.”

She draws a thought-provoking parallel between business culture and parenting. Just as we wouldn’t expect children to figure out everything on their own, businesses cannot expect employees to thrive without proper guidance and support. Similarly, just as parenting approaches and educational systems evolve, workplace cultures must also adapt to meet changing employee expectations and needs.

The overlooked essential

When asked what most people overlook regarding business culture, Joshna’s answer is straightforward: listening. She emphasises that culture isn’t something that can be dictated from above. Rather, it requires genuine engagement with employees’ ideas and concerns.

“You can’t just say this is our culture, do it. You’ve got to respond to what people want, and it doesn’t mean providing exactly what they want. It’s thinking about why they want this, figuring out if it’s a good idea in accordance with your purpose and your goals, and try and make it work in some way if you can,” she notes.

This perspective challenges the notion of culture as a static concept defined solely by leadership. Instead, Joshna advocates for a responsive approach where leaders actively listen to employees, consider their feedback, and communicate openly about decisions. The old saying ‘one mouth, two ears’ aptly captures this philosophy—listen more than you speak.

Adapting to remote work realities

The conversation inevitably turns to one of the most significant workplace shifts in recent years: remote work. With many employees valuing flexibility and the option to work from home, how can organisations maintain their culture when staff aren’t physically present?

Joshna acknowledges that her organisation initially shared the common concern that bringing everyone back to the office was necessary for maintaining culture. However, she has since recognised that culture extends far beyond physical proximity.

“Culture is about creating a culture of excellence, where your client is the most important to the business, creating a culture of creativity and innovation,” she explains. “People require different environments to be able to do that… culture is way more than just getting a group of people together in an office and seeing how they work together.”

However, this nuanced understanding doesn’t diminish the importance of face-to-face interaction. Joshna suggests finding balance through hybrid approaches, such as designating one day per week for in-person meetings and collaborative work. These gatherings need not focus solely on business matters but can provide space for people to share experiences and learn from one another.

The freedom to be real at Gilligan Sheppard

When asked about Gilligan Sheppard’s specific culture, Joshna describes it as centred around ‘freedom’—particularly the ‘freedom to be real.’ This philosophy encourages authenticity among team members and recognises that, fundamentally, business is about ‘people dealing with other people.’

This freedom fosters creativity and aligns with one of the firm’s core values: ‘the courage to imagine.’ Employees are encouraged to think outside the box and avoid being moulded into particular expectations. Additionally, the culture emphasises collaboration, believing that better results come from working together.

However, Joshna is quick to address potential misinterpretations of this freedom. When asked if ‘freedom to be real’ means one can behave however they please, she clarifies that freedom must be balanced with accountability. While the culture encourages authenticity, it doesn’t excuse inappropriate behaviour.

Leadership’s role in culture formation

On the question of who’s responsible for setting culture, Joshna takes a balanced view. While she doesn’t believe culture can be driven purely from the bottom up, she acknowledges that both leadership and employees play crucial roles.

“Initial setting of culture will be based on led by probably the personalities within that leadership, or how the leadership has flowed over time or evolved over time,” she explains. “But to make sure that we are keeping our people happy and fostering the kind of environment we want, we’ve got to be able to listen to our people and respond accordingly as well.”

For leadership looking to establish a positive culture, Joshna recommends starting with purpose: What is the organisation trying to achieve? What is its vision, strategies, and goals? The appropriate culture should support and enable these objectives.

Addressing cultural challenges

Even in organisations with strong cultures, challenges inevitably arise. When employees don’t feel comfortable speaking up, Joshna sees this as a reflection of how leadership communicates or handles cultural issues. Open communication is essential in listening to employee concerns and explaining decisions, even when they don’t align with employee requests.

When discontented employees affect team morale—becoming the proverbial ‘rotten apple’—Joshna advises promptly addressing the situation. “Don’t avoid it,” she urges, comparing unaddressed discontent to an infection that can become increasingly harmful over time.

How much effort should be invested in turning around a disaffected employee? Joshna suggests that the time invested should correspond to the potential you see in that person, but limits must be set. In some cases, she acknowledges, an organisation might even continue paying an employee while they search for another job—a practice she considers acceptable as long as both parties agree that the current arrangement isn’t working and there’s mutual respect in the transition.

Continuous cultural evolution

Joshna concludes with advice inspired by HubSpot CEO Yamini Rangan: treat people and culture as your ‘second product.’ Just as companies constantly review and improve their products based on performance data and customer feedback, they should apply the same diligence to their culture.

This means regularly reviewing what’s working well with your people and culture, soliciting feedback for improvement, implementing appropriate changes, and continuously reassessing. When asked how often culture should be addressed, Joshna suggests a minimum quarterly review, though the frequency may vary depending on organisational size, industry dynamics, and performance metrics.

The concept of culture as an evolving entity rather than a fixed declaration represents perhaps the most valuable insight from the conversation. In today’s changing business environment, the most successful cultures won’t be those carved in stone but those written in pencil—ready to be refined, enhanced, and adapted as organisations and their people grow together. For businesses looking to thrive in challenging times, investing in a responsive, people-centred culture isn’t just good practice—it’s essential for sustained success. As Joshna’s experience at Gilligan Sheppard demonstrates, when people feel valued, heard, and free to be their authentic selves, both employees and organisations can reach their fullest potential.