Creating a culture of performance
Creative power provides a real competitive edge
Creating a culture of performance
Creative power
provides a real competitive edge
A performance-oriented culture is key to the Otto Group achieving sustainable success in a dynamic market environment. For us, ‘performance culture’ means establishing clarity about goals, bringing responsibility to where it is needed and fostering a bold approach to making decisions. Above all, however, it means bringing a thirst for creativity to life. After all, we will only manage to build a shared future if people are happy to lead the way – with determination, equity and a focus on our customers. An interview with Katy Roewer, Group Executive Board Member for Finance, Controlling and Human Resources.
Katy, ‘performance culture’ is among the pivotal goals of the Otto Group strategy. How would you define the term?
At its core, it is about understanding performance as something positive and communal. We want to create an environment in which goals are clear, comprehensible and tangible for everyone – and in which everyone can see the contribution they are making. It is not about control, but about orientation, transparency and effectiveness.
Many people automatically associate performance with excessive pressure. How do you deal with these reservations?
By making clear: it's not about putting in more hours, but about becoming more effective. This happens when employees understand why something is important, what success looks like – and where there is leeway to find good solutions within a clear framework. For managers, in turn, this also means engaging in constant dialog with employees, accepting critical questions and taking concerns seriously. We demystify performance by clearly stating which goals apply and how contributions are made visible.
What specific changes does this produce in everyday working life?
We have embedded goals more firmly in our daily work. We provide stable guidelines and orientation – on three different levels: individually for employees, at team or department level and for the organization as a whole. This three-pronged approach is essential to advancing a strong performance culture. Each individual and the teams must regularly engage in self-reflection: what is going well, where do we need to make adjustments? At the same time, it is important to work steadily on the organization and processes. Different functions require different systems – what matters most is that they are understandable and verifiable.
And how does this affect the expectations placed on employees?
In three ways. First: responsibility for our own actions. Despite all the collaboration, which is of course very important, there is always a need for clear responsibilities. We place greater emphasis on our employees making decisions and taking charge of the areas they can influence. Second: courage. Expressing ideas, including criticism, trying things out, seeing how they develop – courage is a basic requirement for progress.Especially now. Third: feedback. A culture of honest feedback is essential in order to improve together.
Courage is a basic requirement for progress.
What is the role of leadership in this culture?
One thing is certain: people follow people. Leadership creates orientation and allows room for maneuver. We need clarity about goals, roles and priorities – and at the same time managers who eliminate obstacles and encourage decisions. You also need determination in times of uncertainty: act boldly, decide faster. This applies all the more to managers who shoulder greater responsibility. Entrepreneurial thinking and action are essential, especially in the context of leadership. Only then can we improve as an organization. Especially in times of disruptive change, for example in the interaction between humans and machines, or when it comes to seizing opportunities even in crises.
How far has the Otto Group progressed along this path?
We are making noticeable progress because we are working on several areas at the same time: firstly, we are creating a common language that makes clear what constitutes good results and effective contributions. At the same time, clear structures and professional organizational development strengthen our collaboration and make it more efficient – a strong culture produces strong results. And finally, we are continuing to expand our technological base: data and modern tools make us faster and provide a sound basis for decision-making. Nonetheless: it remains a process, not a project. We have to keep reminding ourselves that working actively on our culture is the cornerstone of economic success.
You often emphasize that it's also about creating a ‘thirst for creativity’. What do you mean by that?
We want people to feel motivated to move things forward. Creative power provides a real competitive edge – especially when we are undergoing profound transformation. People who shape things also drive innovation, decisions and change. For me, therefore, performance culture is a program to build the future and not a control mechanism.
How would you describe the vision in one sentence?
A strong performance culture means: creating clarity, embracing responsibility and shaping the future courageously. After all, everyone wants to work for a successful company. This requires the right culture. Viewed from an overarching perspective, we want to create an environment in which performance and motivation go hand in hand.
