"Culture eats strategy for breakfast."
But does it?
Join Ben Baker and Syya Yasotornrat as they #GnawOnThis week's topic: How important is company culture to grow and thrive?
Gnaw on This...Business Bytes is a weekly TUESDAY livestream on topics we encounter everyday. Is it serious? Sometimes? Is it though provoking? Absolutely!
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Syya’s Website: https://brilliantbeammedia.com/
Ben’s LinkedIn: https://www.linkedin.com/in/yourbrandmarketing/
Ben’s Website: https://yourbrandmarketing.com/
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about business and life is that people
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are the X Factor they constantly
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surprise us both in amazing ways and not
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so much we're Ben Andia and welcome to n
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on this business bites podcast this show
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is all about real life things we all
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deal with every day how they relate to
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business and how to make some sense out
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of our daily chaos welcome to the
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[Music]
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show
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and welcome back to another episode of
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non this business bites I'm Ben and this
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is CA and this week I want to talk
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about how to develop organizational
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culture
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culture no two cultures are the
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same no two companies are the same
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trying to be just like Google doesn't
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work
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work trying to be just like Netflix or
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Amazon or even the company down the
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street even if you do the exact same
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thing is not going to work because my
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people who work for my my company are
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going to be different from the people
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that work from your company my customers
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are going to be slightly different from
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your customers my my people are going to
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want need fear and have
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desires different from some other
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company
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we all need to look at culture as
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something that we build individually
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within our organization and it's going
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to evolve over time you're not going to
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build it
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overnight it's not an absolute and it's
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just like a website if you're not
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continually looking at it if you're not
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continually picking at it if you're not
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continually building upon it it's going
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to fall apart and we need to take a look
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at culture that way is that it's
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something that's continually evolving
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something that we're constantly having
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to look at and sit there and say is this
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still relevant does this still work for
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us is this still who we
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are and then be able to do the hard work
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to change things if the answer is no so
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seea let's know on this oh I love this I
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love this topic because it's it applies
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to both small and large organizations so
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I I worked for big companies I worked
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for Disney I worked for hilet
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Packard you can safely say those are
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large organizations but I've also worked
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for a mid- tier you know SMB size
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company I worked for sonic wall which
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had like less than:2:42
at the time when I was there I work for
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my own company which is less than five
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people right so I think I feel like I've
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got this I've got this topic down
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because I feel it so case in point um
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you reminded me of uh my boyfriend
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worked at this company so I'm going to
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give a shout out to ignite Technologies
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got bought up by sonic wall back in 25
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years ago um it was 25 years ago how
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crazy is that well you were 15 at the
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time so yeah exactly I was 15 so uh the
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thing about their company was uh so
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Sonic well bought them they're reseller
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Partners but they did manage uh security
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and so they wanted that expertise of all
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these Engineers who actually knew how to
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be the Outsource right uh you know
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management
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for security and one thing I loved about
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this group it was only 25 people in that
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company small company but they managed
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some really huge accounts um their
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corporate culture their company culture
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started at the Top If you will it was
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started out by a group of friends and a
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parent investor uh that were
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extraordinary competent people and as
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they
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grew they brought in people that they
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all knew they were all referrals so
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again small company for 25 people it's
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it's you know you should assume at some
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point but they had some out PE out
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Outsiders come in as well and what they
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learned and what I observed was they
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were a bunch of folks who probably
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didn't know HR stuff that you can and
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can't say but that they were learning it
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together and they had the ability to
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give each other Grace to learn and that
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is part of their culture because they
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were also Engineers solving big problems
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they did it together and I think by
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virtue of that job that they were doing
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it just created this like um camaraderie
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uh commiseration together when they're
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like oh no something went down like they
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all jumped in and pitched in to help
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with their expertise uh that as they
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grew even the outside hires kind of
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caught on very quickly this company
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isn't like alone wolf hero situation
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this was all hands on deck when all
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hands on deck needed to be made and I
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loved and I always have loved that uh
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camaraderie that they built up to the
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point where now 25 years later we still
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go meet up we still meet up everyone
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spread out internationally but we will
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meet up in Vegas like you know once a
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year to just to be together again to me
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that is a company culture that you want
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to emulate over and over again and it's
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sometimes difficult to scale that and I
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think it's very difficult to scale that
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and and how do you do that I thought I
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thought hulet Packard actually as they
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grew they really had a great company
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corporate culture for a long time for as
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long as it could sustain itself with the
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economic conditions of Technology it did
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evolve let's be honest it obviously has
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and will always but there was when I
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first joined in:5:48
n we'll just say some time ago there um
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I felt the familial side of it like I
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actually felt like the different
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divisions there was a lot of desire to
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be there and then I won't say whatever
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reason but let's just say it it stopped
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becoming that it it stopped being that
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because we had to be
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competitive and so let me ask you this
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question now that I'm thinking about
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this and I'm walking through the
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process at what point does company
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culture that you cultivate make your
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company complacent and not
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Innovative you know that that's an
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interesting thing and before I get there
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the question comes down to how are you
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you growing are you growing organically
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or are you going through
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acquisition because when you grow
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through acquisition you become a
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Frankenstein company if you're not
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careful it's very difficult to grow
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through acquisition and not become a
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Frankenstein company it's it's our
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culture versus their culture because
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very few companies on board the new
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employees from the from the
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acquisition effectively because they the
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they'll sit there and they'll give you
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your badge and they'll give you your
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business cards and they'll give you your
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desk and your phone and maybe a
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territory but they don't onboard the
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culture they don't spend the two weeks
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needed to a month depending on where it
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is actually getting people involved with
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the culture and building a buddy system
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between people that have been in the
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culture for a while and people that are
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new to the culture and bu helping them
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build that bridge so that's that is I
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find is a big Challenge and the bigger
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the company gets the harder it gets and
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that can lead to what you were saying
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about companies you know losing their
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Innovation because they you're dealing
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with a variety of different cultures
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that might have been in you know some of
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them might have been Innovative some of
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them might have been more conservative
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some of them think this way some of them
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think that way and therefore the culture
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tends to evolve based upon the people
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that are part of it and and quite
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honestly the leadership if you have if
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you have Innovative leadership if you
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have risk you know risk tolerant
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leaderships that have an ability to sit
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there and say look we're going to change
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we're going to evolve this is the beehag
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we're going after this is the the big
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hairy audacious goal these are the
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things that we're aspiring to this is
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why and this is what's we're going to
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get to when we get
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there then you can build doesn't matter
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how big you are
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the ab you have the ability to be able
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to grow and be able to grow through
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Innovation however most large companies
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the bigger they get the more
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conservative they get because they have
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shareholders they have stakeholders they
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have you know uh stock prices that
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they're they're you know that they have
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to justify every every 60 to 90 days you
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know you have all those different
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factors so as companies get
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larger they lose their risk tolerance
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and therefore they become more
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conservative and therefore their culture
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becomes more conservative you know they
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also have layers upon layers upon layers
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of
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management yeah and therefore the
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bureaucracy builds and as the
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bureaucracy builds you either have a
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small group of people that say Hey
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listen better to ask for forgiveness
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than
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permission and those people are either
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tolerated they're spun out or they're
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given their walk
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papers yeah okay so let's think about
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this I I wonder and you made a big Point
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here if we had the ability to cross
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train like meaning all new hires as part
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of their orientation is to work with a
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different division different group and
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learn their ways U maybe it's not a new
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hire maybe it's like a six months into
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the job thing like you got to learn your
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job first right so maybe it might be
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maybe it might be for the folks that
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have been there a year they get an
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opportunity to cross train you know what
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I've never thought about this before
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because I actually did this when I was
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at Disney we got to cross train um with
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the characters because uh when we first
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uh worked with the Goofy's Kitchen
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concept yes I was one of the OG Pilots
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woohoo anyway yeah I done date myself
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yet again uh but the character
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department they were just like dudes you
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can't be like pulling on me all the time
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to get to your table and your restaurant
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you know like we we have a process we
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have to flow through you can't just be
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yanking us all over the place because it
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screws up the flow it screws up the the
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organization of it right because all the
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characters have to like sped their time
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out right absolutely and uh I appreciate
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that cross trading because I got to see
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I got to live in their
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shoe why do you think we don't see that
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often enough okay that's my ultimate
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questions why do you think we don't see
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is it because we don't got time it's not
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important enough what do you think I
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think we don't make the time and we and
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it's not just Justified and seen as
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expens important enough people sit there
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and say this cost money here's a perfect
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example there's a company just
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preco that I was working with and what
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we were going to do is they had just
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acquired they were 50,000 employee
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company and they were just about to
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acquire an 8,000 person company and they
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were basically acquiring them for their
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technology they they make no bones about
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it they were they're buying them because
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their technology
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I said what's it going to cost you guys
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to on board these people oh there' be
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llions it's going to be about:11:36
millionar to onboard about $:11:38
person to onboard these people I said
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okay if you don't onboard them properly
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what we're going to lose now we'll lose
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30% of these people you know easily
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we'll lose 30% of the people I said can
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I say that that's going to cost you you
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know somewhere in the neighborhood of 80
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to $100,000 a a person they said yeah
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that's that's about right so say say
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we're you know we're lose about 2,000
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2,000 people at somewhere in the
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neighborhood of 100,000 80 to 100,000 so
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that's that's six that's $16
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million so you know do we spend $24
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million to save to save $16 million
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that's the question what we proposed
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instead was we created an internal
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private and secure podcast that went out
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to every single employee over three
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years
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and that
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podcast was behind closed doors it was
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stream only it wasn't on its pod Spotify
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it wasn't on iHeart and it was designed
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to build the cultural relationships to
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get everybody to know each other to
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understand why people do what they do
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what do different departments do what's
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important to them how do they how does
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things get passed from one to the other
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and the
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ideology and this was going to cost them
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somewhere in the neighborhood of 10%
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of what it would have cost them to do a
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traditional on board over three years so
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instead of a oneandone it was it was a
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three-year program it was going to cost
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them
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10% and we were all set to go ahead with
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this and then Co came and other
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priorities obviously came the thing but
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the problem is companies don't
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realize what it cost them to not have
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Harmony within the company to to not
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have people understanding why people do
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what they do who the top customers are
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and why what are the what are the pain
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points of the
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customers yeah think of what happened if
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if your operations people understood who
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your top 10 clients were what their pain
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points are what these people did and who
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they
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served do you think that would change
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the way that that that the stuff got
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pick packed and shipped and and and sent
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out and and the level of care and the
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level of attention that God done I think
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it would so we need to take a look at
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say at this is is not just you know a
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singularity but how does it affect how
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does the culture and how does this
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affect the organization as a
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whole you know you just got me thinking
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on that like I'm a huge fan of internal
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podcasts um more so than external facing
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because it's they serve different
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purposes first off right Walmart
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actually has
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an it was originally started as an
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internal podcast that they started
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playing over like like now they call it
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the Walmart radio yep and it's like you
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know hey meet your Regional director and
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all that stuff but you know what you
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also remind me of is like
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that maybe competitive Spirit but there
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was a again a a camaraderie between
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departments when you do you like
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decorate your Christmas tree competition
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you know what I mean and it's like each
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department had their own little thing
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and then everyone would just parade
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around and check each other's out right
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now granted if you're a huge company you
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can still absolutely do it by just doing
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a video competition of your own said you
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know how do you celebrate the holidays
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and
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whatnot it's such a simple Act of just
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giving a moment of reprieve outside of
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your daily task to let your mind wander
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and have some fun that I think I think
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is I think is what's needed to to help
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build that culture of you know I'm not
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saying it's got to be fun times Party
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Times all the time but it's got to be a
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but there ain't nothing wrong with
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having a little fun every now and then
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either right but but a culture and and
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we we should end with this is that a
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culture doesn't always have to be
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Kumbaya no there are cultures out there
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that are hard grinding hard-hitting you
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know business business-only
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cultures and they attract people that
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that's the type of business that they
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want to be in exactly and and there's
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nothing wrong with them if if that if
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you self- select into that culture and
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you sit there and say you know what I'm
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not into this woke stuff I'm not into
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this fairy dust I you know I want to
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work for a company that's serious people
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doing serious things you know to hang
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with political correctness I you know we
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just we just work and we have a lot of
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fun together and you know and we're and
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and everybody works hard and plays hard
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that's a different type of culture 100
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you know what 100% tracks a certain
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level of people so not every culture has
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to be this Kumbaya hold hands and and
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and and go you know go uh you know uh uh
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canoeing together culture there there's
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all sorts of cultures for all sorts of
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companies and what the culture should do
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is not only self- select but self-
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deflect
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interesting I feel like we keep talking
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I know we're running way over time so so
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there we go so we we'll leave it there
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so I'm Ben and I'm seea and we'll see
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you
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soon hey hey hey thanks for listening to
17:07
another episode of not on this business
17:10
fights if you liked what you heard we
17:13
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communicate more effectively within your
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organization contact Ben atyou brandmark
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wait to hear from you so see you next
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week for another episode of not on this
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business
17:49
fights