Leadership Bites: Week 1 π
People: Why culture breaks earlier than you think, and how to fix it.
Process: The hidden bottleneck slowing down smart teams.
Data: When your best metric works against you.
π₯ People: When Culture Breaks Earlier Than You Think
First, let’s get clear on what culture actually is.
Most people think culture is remote work policies, unlimited PTO, office snacks, or work-life balance.
And while all these strongly affect employee motivation, they are not culture – they are benefits and perks.
Culture is how decisions get made when no one is watching.
It’s how problems get solved under pressure. It’s what people do when they’re unsure and can’t ask for help.
I remember working with a CEO who was certain about the amazing culture of her organization- she pointed out flexible work policies and friendly team slack banter.
However, they’d just hit 40 employees and something felt off.
“Our culture survey scores are fine,” she said, pulling up the dashboard; “But decisions feel slower, and new people seem lost longer.”
She compared this to their earlier days – people instinctively knew how to prioritize, decisions happened quickly, and most problems got solved without escalation.
By digging deeper I discovered:
The problem wasn’t that their culture was dying – it was that every new leader was unconsciously reshaping how work actually got done.
The Hidden Truth About Culture at Scale
Culture isn’t about perks or policies. Culture is the operating system for how work gets done.
When people talk about “company culture,” they usually mean the superficial benefits – remote work options, team outings, casual dress codes.
But real culture is deeply embedded in each employee: β How fast decisions should happen β What level of quality is “good enough” β How people handle conflict β What gets escalated.
With remote teams, culture shifts happen much earlier than the traditional 100-person threshold. I’ve seen it start as early as 25-30 people, when you add your first layer of middle management.
As companies scale, every leader becomes a culture custodian. When this gets ignored, you end up with multiple microcultures that work against each other.
The critical insight: Revenue and profitability are the goals, but if you don’t consciously nurture a culture that supports achieving those goals, you end up with a culture that impedes them.
The Solution for Remote-First Teams
Make every leader a deliberate culture transmitter, not an accidental culture modifier.
The CEO started requiring that all team leads document decisions made and insights on their approach.
New managers spent their first month shadowing different leaders to see decision-making in action.
Most importantly, they created “culture checkpoints” – monthly conversations where leaders discussed not just what got done, but how it got done and whether it aligned with their core approach.
Within two months, new employees were making decisions more efficiently, even across a distributed team.
π‘ Try this week: Identify your newest team lead. Ask them to document how they approached their last three decisions, not just what they decided. Share this with other leaders to spot culture drift early.
What does culture mean in your organization? Comment below π
β‘ Process: The Decision Bottleneck That Almost Killed Growth
I spent six months with a company that couldn’t figure out why everything took forever.
Smart people β Clear priorities β Decent systems β
But simple decisions – like approving a $3K software purchase or changing a marketing campaign – would sit in Slack threads and email chains for weeks.
The CEO was frustrated. “Everyone’s empowered to make decisions,” he insisted. “I don’t understand the delays.”
Then we mapped their actual decision flow for routine choices.
The average business decision pinged between seven different Slack channels and email threads before getting resolved.
Not seven approvals – seven digital touch points where each decision could get stuck, questioned, or tagged with “need more information.”
The Real Problem
The issue wasn’t unclear authority – it was unclear speed expectations.
People knew they could make decisions, but not how quickly they should make them.
Most companies try to solve this with approval matrices or spending limits.
But decision velocity matters more than decision authority.
People need permission to be wrong faster rather than right slower.
The solution: “Decision speed limits” – like highway signs for business choices.
π Decisions under $5K: 24 hours maximum π Under $15K: 48 hours maximum. π Anything requiring more time: explicit escalation with reasoning
The transformation was immediate.
Not because people made better decisions, but because they made faster decisions and learned from outcomes in real-time.
π‘ Try this week: Pick one type of routine decision your team makes weekly. Set a maximum time limit for resolution and announce it. Track what happens to your velocity.
How long do routine decisions take in your organization? Share your experience π
π Data: When Your Best Metric Becomes Your Worst Enemy
I was reviewing quarterly results with a client when she showed me their crown jewel: 94% customer satisfaction rate, trending up for six quarters straight.
But when we dug into revenue numbers, something didn’t add up.
High satisfaction β Growing customer base β Retention revenue flatlining β
Customers loved them but weren’t spending more.
The problem: They’d optimized so heavily for satisfaction that they’d stopped challenging customers to grow.
High satisfaction scores were masking low customer ambition.
The Metric Trap
I see this pattern repeatedly with companies that find one reliable metric and ride it too hard.
The metric that saved your business in Year 2 can become the metric that limits your business in Year 5.
Her team had trained themselves to never disappoint customers.
But disappointed customers sometimes buy more, invest deeper, and stick around longer than satisfied ones who plateau.
The breakthrough: We started tracking “productive dissatisfaction” – customers who were: β Pushing back on recommendations β Asking for more advanced features β Expressing frustration with their current limits
These became leading indicators of expansion revenue.
Within two quarters, they’d identified their highest-potential accounts not by satisfaction scores, but by engagement intensity.
The customers who argued with them bought 3x more than the customers who just said “thanks, this is great.”
When they compared this to customer purchase history, lifecycle patterns, and cohort analysis, the data was undeniable: productive friction predicted growth better than passive satisfaction.
This analysis revealed: β’ Features customers actually wanted – direct insights for the product team β’ Customer segmentation clarity – which customers were dormant, cash cows, or had high potential β’ Critical retention patterns by cohort – churn rates between new vs established customers
The lesson wasn’t just about finding a better metric – it was about understanding that every metric shapes behavior in ways you don’t expect.
The companies that scale successfully don’t just track numbers; they track the stories behind the numbers.
π‘ Try this week: Look at your favorite business metric. Ask yourself: What important behavior might this metric be accidentally discouraging? Track that behavior for one week.
What metrics are you optimizing for? Are they helping or hurting? Let’s discuss π
π§ Tonio’s Corner: The Monday Morning Energy Audit
At Monday meetings, I take the time to do an energy audit – I scan to see who’s engaged, whose video is off, who’s checked out.
Why does this matter? Because small energy dips often signal bigger issues brewing – and a simple check-in can turn things around before they become problems.
Scan your team’s video calls, notice response times and message tone: β Who seems energized in meetings? β Who’s taking longer to respond? β Who’s missing their usual engagement?
Here’s what matters: Energy patterns predict performance better than perceived competence.
A talented person operating at 50% energy will underperform an average person operating at 90% energy.
The leaders who build sustainable teams track energy as rigorously as they track output. Not to micromanage, but to spot patterns before they become problems.
The fix is simpler than you think: A quick DM asking “How are you feeling about the week?” or sharing something lighthearted about the team can completely shift someone’s energy.
It’s not about solving their problems – it’s about showing you notice.
π‘ Try this week: Do a Monday energy audit with your team. Notice who seems off in video calls or Slack interactions. Send them a quick DM by Wednesday – not to fix anything, just to acknowledge what you observed.
How do you track team energy in your organization? Share your approach π
π This is Week 1 of Leadership Bites
Coming in Week 2: Fix leadership teams that avoid real conflict, stop great ideas from dying in handoffs, spot when teams optimize for wrong outcomes, and build succession capacity that actually works.
Hit subscribe to get notified when it drops.
New here? I’m Tonio, and I help scaling leaders build systems that grow people and profits. Follow for weekly frameworks that turn leadership chaos into competitive advantage.
What’s your biggest culture challenge right now? Let’s discuss in the comments π
Which insight resonated most with you this week? Tag a leader who needs to see this.
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