This is the famous quote from renowned management consultant and writer, Peter Drucker. It is also one of the most relevant quotes to the construction industry. As it can teach us allot about how to effect change on our projects, at our companies, or even in our industry.

First, let’s unpack this metaphor and get to what this cryptic phrase really means. In a nutshell, Drucker is saying that culture is far more important than strategy. This is because even the most carefully crafted strategy relies on the will of the people to execute it honestly. We see this all the time in construction. A carefully and meticulously prepared safe work method statement won’t make the project safer if you have a culture of workers that don’t care to read or follow it. The same can be said for any policy or procedure written up in an office and disseminated down with the expectation of faithful compliance.

As Engineers, we spent four years in Uni studying things, not people. Things obey the science and laws of nature and can be easily modelled and manipulated with math. However, when we reach the level of management in our careers, most of our job are dealing with people not things. Too often do we use our same rational logic that we apply to ‘things’ and expect it to yield the same results when applying to people. Cement doesn’t require motivation to react with water, and the same ratios will yield the same results every time regardless of how included the water felt in the planning.

This all seems obvious; however, the construction industry is full of examples of professionals acting blind to this fact. How many times has there been a safety incident or a costly error from a process not being followed, and after an investigation, the answer was to add another process? “When your only tool is a hammer, every problem starts to look like a nail”. In construction, implementing processes is our hammer. It is a very effective hammer. It is a hammer that can deliver complex and risky projects and may be one of the best hammers in the game. However, that doesn’t mean that it is necessarily the tool for every situation.

A strategy or a process is only effective if it is followed. This is where people come in, and the hard and exact science leaves the chat. Have you ever flown on two airlines and had two completely different experiences with customer service? Presumably both airlines have the same or similar policies regarding customer service. So why did one airline execute it well and the other didn’t? More often than not, the answer is the organisational culture of the company. Culture is the shared beliefs, behaviours, and values that shape how people interact, make decisions, and respond to challenges. We have all experienced this in our careers. Have you been to a project where safety documentation was just a tick and flick with an eye roll vs. a project where at all levels safety was the foremost concern in every activity?

The Battle of Titans: Culture vs. Strategy

1. Culture Defined: Culture isn’t just about bean bags and office parties. It’s the invisible fabric that weaves through an organization—the shared beliefs, behaviours, and values that shape how people interact, make decisions, and respond to challenges. Culture is the heartbeat of a company, often set by its founders and leaders, whether consciously or unknowingly.

2. Strategy Unveiled: On the other hand, strategy is the well-thought-out plan—the roadmap to success. It’s the meticulous alignment of resources, goals, and tactics. But here’s the twist: no matter how brilliant your strategy, it’s the people who breathe life into it.

Why Culture Takes the Crown

• Execution Matters: Imagine a beautifully crafted strategy document. It sparkles with brilliance, but it’s just ink on paper until someone brings it to life. Your team—the real heroes—execute the plan. If they lack passion, alignment, or a shared sense of purpose, your strategy falters.

• Culture as the Game Changer: Culture isn’t a static entity; it evolves with each interaction, mood, and decision. It’s the habitat where strategy thrives or withers. While strategy defines the rules of the game, culture determines how the game is played. Passionate employees, aligned with the company’s vision, transform strategy into reality.

The Dance of Culture and Strategy

• Culture Shapes Behaviour: Culture isn’t a mere buzzword; it’s the unwritten code that guides behaviour. How do your team members act under pressure? How do they treat customers, partners, and each other? These actions define your culture.

• Strategy Sets Direction: Strategy provides the compass. It says, “Head north!” But culture whispers, “How you journey matters.” It’s the difference between robotic execution and inspired commitment.

Key Takeaways

So, when Drucker declared that “culture eats strategy for breakfast,” he emphasized that no matter how robust your strategic plan, it’s the people—their beliefs, attitudes, and behaviours—who determine success. Nurture a culture that aligns with your vision, and watch your strategy thrive.

Never underestimate the power of organisational culture!