As generative AI and other technologies continue to transform the workplace, there’s a wrong & growing assumption that highly specialised technical skills are the most critical for career success and business growth. However, research (including the latest research published this week by the Harvard Business Review) keeps indicating that foundational skills—like collaboration, adaptability, and logical thinking—are far more important for both individuals and companies. These foundational skills help workers learn new specialised skills more quickly, advance into more senior roles, and remain resilient in the face of industry changes. These foundational skills are also crucial because specialised knowledge will become obsolete in a very short amount of time. Research is indicating that the time it takes for half of what you know to become outdated, has dropped from about 10 years in the 1980s to just four years today. In this rapidly changing environment, the ability to problem-solve, communicate clearly, and work well in teams is what helps people and organisations ride out each wave of change. In turn these foundational skills are the cornerstone on which to build a strong company culture.

Research clearly indicates that a particularly important subset of these foundational skills are social skills. As work becomes more complex with remote teams and cross-functional projects, firms increasingly rely on people who can align goals, share knowledge, and minimise friction. Research shows that jobs requiring high levels of social interaction have grown significantly, and roles that combine cognitive and social skills offer the highest wages. Major companies like Amazon, Spotify, and Google have all recognized the value of these skills. Google’s Project Oxygen, for instance, found that their best managers excel at coaching, communication, and collaboration, and they now use these soft skills as core promotion criteria. In essence, as technical complexity increases, social skills act as the glue that keeps teams productive.

On the other hand, a strong company culture is the collective behaviour, values, and beliefs that shape how employees interact and work. It is not just about perks or superficial benefits, but rather the underlying fabric that defines a healthy, productive, and cohesive workplace. The above mentioned foundational skills are the cornerstone of building this kind of culture, as they directly influence the key elements that make a culture strong. So what makes a strong company culture? Below is what I observe from businesses that have a strong company culture:-

They have effective communication: Effective communication is the bedrock of a strong culture. Foundational skills like listening, clear expression, and empathy enable employees to build trust and reduce misunderstandings. This creates a transparent environment where information flows freely, and individuals feel safe to voice ideas and concerns, which in turn fosters a culture of openness and psychological safety.

They collaborate and excel at teamwork: Foundational skills are the engine of effective teamwork. When employees possess a solid base of collaboration skills, they can work together seamlessly, share diverse perspectives, and align their efforts toward a common goal. This shared effort creates a sense of belonging and mutual respect, which is essential for a unified culture where people feel connected to something larger than themselves.

They adapt quickly and are resilient: Foundational skills like adaptability allow a company culture to be dynamic and resilient. In a world of constant change, a culture that can pivot and handle setbacks is invaluable. By hiring for and developing these skills, a company ensures that its workforce and, by extension, its culture, can thrive despite external disruptions and internal challenges. This prevents the culture from becoming rigid and resistant to the new ideas needed for growth.

They excel at Problem-Solving: Strong foundational skills in areas like critical thinking and problem-solving create a culture of continuous improvement and innovation. When employees are equipped to solve complex problems together, they are more likely to take calculated risks and find creative solutions, driving the company forward and preventing stagnation.

They offer mutual respect & accountability to each other: Foundational skills foster a culture of respect and accountability. By prioritising abilities like thoughtful communication and collaborative problem-solving, leaders model and reinforce behaviours that build trust. This creates a feedback loop where employees are more likely to hold themselves and their colleagues accountable, knowing they are part of a supportive and respectful team.

However, I constantly observe that many family businesses often do not invest enough in training their key staff members in these critical foundational skills . This oversight has evident negative effects on company culture. A lack of focus on communication and collaboration then leads to internal friction, low morale, and a resistance to change. Furthermore, there is often a hesitation to let people go, even when they do not meet the required performance standards both from a technical and attitude perspective. This reluctance, while sometimes rooted in loyalty and/or fear of having to interview to find a substitute or a desire to maintain harmony, can prevent the company from adapting and thriving. By not prioritising foundational skills and accountability, family businesses risk stagnating and may struggle to build a resilient, forward-thinking culture that is prepared to succeed in today’s dynamic business environment. NOTHING IS MORE IMPORTANT FROM HAVE A STRONG PERFORMANCE CULTURE.

The principles outlined in this article, which highlight the importance of foundational and social skills, are especially relevant for family businesses aiming to build a strong, lasting legacy. The Award in leading a family business course offered by EMCS academy provides a unique opportunity to address these very challenges. This training programme is designed to equip leaders with the soft skills necessary to foster a healthy company culture, manage internal dynamics, and ensure the business is resilient and adaptable for the future. By investing in such a course, family businesses can overcome the common pitfalls of inadequate soft skill development and the hesitation to address poor performance, paving the way for sustained growth and success. Click HERE to REGISTER.