Why “Family” Isn’t the Culture You Need

The Research

Every organisation has a culture, spoken or unspoken, that shapes how people interact, make decisions, and feel at work. Two common styles are “family-style” cultures and more egalitarian ones.

Family-style cultures centre on loyalty, harmony, and belonging; values that can create deep bonds and a strong sense of community. Research shows these environments do have strengths. For example, a 2011 study of Taiwan’s tech sector (Family Business Review Journal) found that family (clan) cultures help employees feel connected and satisfied. Similarly, Wiley’s 2021 State of the Workplace report suggests they can contribute to work-life balance by fostering support among team members.

However, these benefits can come with trade-offs. A 2020 Harvard Business Review study found that family-like cultures sometimes discourage transparency. Employees in such environments were less likely to report wrongdoing, fearing they’d disrupt the sense of harmony. Over time, that silence can limit innovation, accountability, and fairness.

In contrast, egalitarian cultures focus on shared leadership, openness, and fairness. These cultures, common in countries like Sweden, place less emphasis on hierarchy and more on collaboration, independence, and equity. A 2019 cross-national study showed that people working in egalitarian cultures reported fewer clashes between work and family life and higher overall job satisfaction.

A compelling example of this shift comes from Volvo IT. They transitioned from a complex, family-like structure to a flatter, more open workplace. As a result, their project success rate rose from 55% to 90%, alongside noticeable improvements in customer satisfaction and employee engagement (SweetRush, 2021).

The Context

In today’s world, conversations around Diversity, Equity, and Inclusion (DEI) are more visible; and more scrutinised than ever. Some organisations are unsure how to continue their DEI efforts in a way that feels true to their identity.

For many, especially businesses built on strong personal values, the instinct is to emphasise unity and fairness by “treating everyone the same.” But this can sometimes reinforce informal hierarchies where only those who fit in easily are heard or promoted.

Family-style cultures can unintentionally discourage dissent, reward conformity, and favour loyalty over equity. This puts underrepresented team members at a disadvantage; not due to bad intent, but because the culture isn't designed for inclusion.

Evolving toward egalitarianism doesn’t mean walking away from what matters to you. It means building on your values while opening up space for new perspectives, more transparency, and broader participation.

How is this relevant to the workplace?

If you're a leader in a values-led organisation, evolving your culture begins with reflection, not disruption. The goal isn’t to dismantle what works; it’s to strengthen your workplace by making it more transparent and performance-focused.

Here are a few practical steps:

• Start with insight: Ask yourself, does your culture reward sameness, or support equity and difference?

• Communicate your intention: In a time when silence can be read as resistance, being clear that inclusion matters sets a powerful tone.

• Revisit leadership structures: Who gets to make decisions? How are ideas surfaced and heard?

• Train your managers: Help them recognise the difference between comfort and fairness. Inclusive workplaces often thrive on respectful disagreement and learning.

• Build fairness into the system: Policies around pay, hiring, development, and promotions should reflect a commitment to equity, not just belonging.

Future-Proofing Your Culture

You don’t have to give up what makes your organisation trusted. But evolving your culture, with intention, will ensure your values scale sustainably, your teams stay engaged, and your business stays future-ready.

At Intentional Tenacity, we work with values-led firms that want to lead with clarity, fairness, and purpose. Whether you’re just beginning to ask the right questions or ready for a strategic culture shift, we’re here to help.