The Power of Culture: Lessons from Steve Kerr and the Golden State Warriors
Introduction: The Heartbeat of Organizational Success
In 2020, Harvard Business School researchers published a case study centered on Steve Kerr, the head coach of the Golden State Warriors, and the cultural values that fueled the team’s success. The study underscored a pivotal moment in Kerr’s journey when he sought guidance from Pete Carroll, the head coach of the Seattle Seahawks. During their meeting, Carroll emphasized that a coach’s success is not just about strategy but about the culture they create. This idea resonated deeply with Kerr, who realized that culture is the lifeblood of any organization, shaping how people feel and behave every day. This lesson is as relevant for corporate leaders as it is for sports coaches.
The study highlights how Kerr, in his early days as the Warriors’ coach, identified four core values—joy, competition, compassion, and mindfulness—that he wanted to build his team’s culture around. These values were not just slogans on a wall; they were lived and breathed every day. Kerr’s approach to culture offers valuable insights for leaders in any field, showing how authenticity, intentionality, and storytelling can create a shared sense of purpose that drives success.
The Foundation of Culture: Values That Come Alive
At its core, culture is a set of shared values that guide an organization’s mission, priorities, and decision-making. As Carroll explained to Kerr, these values must be more than just words on a page—they must come alive in the daily lives of the people within the organization. Harvard Business School professor Amy C. Edmondson defines culture as a “24-hour-a-day training program” that shapes behavior even when formal rules are absent. She outlines three essential pillars of an effective organization: a clear value proposition, a system to carry out that purpose, and a defined culture.
Kerr’s approach to building culture was rooted in authenticity. He chose his core values—joy, competition, compassion, and mindfulness—because they resonated with him personally. He then worked tirelessly to ensure these values were not just theoretical but deeply embedded in the team’s practices. For example, he structured practices to be competitive, incorporated mindfulness exercises, and fostered an environment of joy and camaraderie. The result was a culture that felt real and inspiring to his players.
Embedding Values: The Challenge of Making Culture Feel Real
One of the most significant challenges for leaders is turning abstract values into lived experiences. Kerr often asked himself, “How do you take a saying on a locker room wall and make it feel real?” His solution was to create moments of connection and meaning in everyday interactions. He used humor in team meetings, emphasized the importance of mindfulness during practices, and encouraged open communication. These efforts helped his players internalize the values, making them a part of the team’s identity.
The importance of embedding values is echoed by culture expert Spencer Harrison, a professor at INSEAD. Harrison notes that while many leaders recognize the importance of culture, few know how to build it effectively. He argues that culture is not just about big, abstract ideas but also about the small, everyday interactions that make up the “small-C” culture. For example, a coach’s demeanor during practices, the way players interact with each other, and the tone of team meetings all contribute to the cultural fabric.
The Two Sides of Culture: “Big C” and “Small C”
Harrison distinguishes between “Big C” and “Small C” cultures. “Big C” refers to the overarching values and mission of an organization, while “Small C” is the day-to-day reality of how people interact and behave. The interplay between these two is crucial. Organizations with a strong “Big C” culture often struggle with adaptability, as their rigid values can stifle creativity and innovation. On the other hand, organizations without a clear “Big C” culture often drift aimlessly, using culture as a scapegoat for failures.
The Miami Heat’s “Heat Culture” is a case in point. Under Pat Riley’s leadership, the team built a reputation for hard work, professionalism, and toughness. However, when Jimmy Butler joined the team, the culture that once seemed so strong began to fracture. Butler’s competitive nature initially aligned with the Heat’s values, but his refusal to conform to certain team norms created tension. The Heat’s inability to reconcile Butler’s individuality with their “Big C” culture ultimately led to his trade. This story highlights the tension between maintaining a strong cultural identity and allowing for the creativity and diversity that drive innovation.
Leadership’s Role: Building and Sustaining Culture
Effective leaders understand that culture is not something that can be imposed from the top; it must be nurtured and lived every day. Kerr’s success with the Warriors is a testament to this approach. He not only articulated his values clearly but also modeled them in his behavior. He created a sense of joy by encouraging players to express themselves, fostered competition through spirited practices, and demonstrated compassion by prioritizing his players’ well-being.
Leaders like Gregg Popovich of the San Antonio Spurs and Jürgen Klopp of Liverpool have also shown how to bring culture to life. They combine strong “Big C” values with a vibrant “Small C” culture, creating environments where players feel connected and motivated. Popovich, for example, famously prioritized team meals and off-court bonding, creating a sense of family that extended beyond the basketball court. Klopp, meanwhile, used his infectious enthusiasm and belief in the team’s shared purpose to create a culture of collaboration and accountability.
The Challenges of Culture: Navigating High Performers and Change
One of the most difficult cultural dilemmas leaders face is managing high performers who do not align with the team’s values. Edmondson refers to these individuals as “bad apples,” whose behavior can undermine the collective effort. While their individual contributions may be significant, their negative impact on the team’s culture can be even more damaging in the long run.
The Dallas Mavericks’ trade of Luka Dončić to the Los Angeles Lakers is a recent example of this challenge. Dončić, one of the league’s top players, was reportedly traded in part due to concerns about his off-court habits and conditioning. While the move was justified as a cultural decision, it raises questions about whether the Mavericks had a clear and communicated cultural vision. As Harrison notes, when the “Big C” culture is not well-defined, decisions like these can seem arbitrary or inauthentic.
The story of Steve Kerr and the Golden State Warriors offers a powerful lesson for leaders in any field: culture is not just a buzzword but the lifeblood of an organization. It is built on shared values that come alive in everyday interactions, sustained by leaders who model those values, and strengthened by stories that inspire and guide. While culture is intangible, its impact is real—and it is the key to unlocking the full potential of any team.
