
Performance culture - utopia or necessity?
CHRO X-Change:
Insights & Exchange at Axel Springer SE
Many people are increasingly concerned about Germany as a business location. Rising energy costs, expanding bureaucracy, and the ongoing need for digitalisation are dominating the news. Additionally, the productivity and motivation of the German workforce are under growing scrutiny. While the unemployment rate is rising, labour force participation and working hours are falling. Location ratings are falling, even as exports begin to rise again. The press and politicians are debating the work ethic of Gen Z and Millennials, while Baby Boomers and Gen Y are also showing signs of wanting to scale back.
Together with Axel Springer SE, we issued an invitation on the topic:
Productivity and performance culture in focus – an exchange on the future of People Management in Germany as business hub
What do the facts really tell us? And what do they mean for:
People strategies: What can an effective HR strategy look like in order to increase motivation and productivity?
Digitalisation and artificial intelligence: How can digitalisation and AI be used profitably not only in business, but also in HR?
Employee recruitment: What are qualifications and characteristics that are in demand today and in the future?
Individual and organisational skills: How do we develop the right skills to meet the challenges of the future?
Automation, nearshoring and offshoring: what role do these processes play in the modern working world?
Organisation and culture: How do we establish a performance culture that motivates and increases productivity?
The role of the CHRO: How can CHROs help to make Germany more attractive as a business location from an investor's perspective?
Discussing performance culture together
At the beginning of November 2024, selected HR managers came together in Berlin to discuss the future of performance culture in Germany. Now more than ever, companies have a responsibility to create a motivating and performance-enhancing culture.
In a mix of impulses, group breakouts and open discussion, the participants shared exciting insights and practice-oriented solutions.
Some of the inspiring perspectives from CHRO X-Change:
- Tilmann Knoll, Head of Global People & Culture at Axel Springer SE: "As a society and a workforce, we've lost a bit of our hunger in Germany. I miss that."
- Fanny Jimenez Chief of Staff at Business Insider Germany pleaded for direct, honest and highly frequent feedback. She emphasized that in addition to intrinsic motivation, extrinsic motivation - encouraged by good leadership - is crucial to unlocking performance potential.
- Jens Müller-Oerlinghausen, Partner at undconsorten, emphasized that the desire for a constructive culture is noticeable worldwide. A healthy performance culture is not at odds with employee satisfaction or health. However, companies have a responsibility to actively shape the narrative of a positive performance culture.
Conclusion of the event: Germany is facing major challenges as a business location, and a declining performance culture, which is due to many different factors, is contributing to this. However, companies have the opportunity to promote productivity with targeted measures for cultural development, leadership and the clear role of HR. The key lies in embedding it in the business through:
- Measuring performance culture
- Strengthening leadership
- The professional integration of HR as a culture driver
In this way, companies can contribute far more to competitiveness than would be possible through cost reductions alone. A sustainable performance culture creates added value and future security.
Tillmann Knoll concludes: "I am delighted that we had the topic of performance on the agenda. We companies have a responsibility - we are the nucleus of the performance culture in the country."
