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FranklinCovey On Leadership

Eric Ries: Your Culture Is the Problem—Not Your People

FranklinCovey On Leadership

FranklinCovey

Business, Management

4.6215 Ratings

🗓️ 21 April 2026

⏱️ 36 minutes

🧾️ Download transcript

Summary

When teams fail to innovate, leaders often blame execution, alignment, or talent. Eric Ries argues the real issue is leadership itself. Drawing on ideas from The Lean Startup and his latest work on building “incorruptible” organizations, Ries explains why companies unintentionally suppress creativity through rigid systems, misaligned incentives, and a fear of failure. He outlines a practical path forward: start with small, leader-led experiments, challenge legacy planning assumptions, and redesign systems that reward learning—not just outcomes. Ries also introduces the concept of the “culture bank,” where trust is built through consistent decisions that prioritize long-term value over short-term gains. For leaders navigating uncertainty, the message is clear: sustainable innovation requires changing how you lead, not just what your teams do. Listen to explore how to build organizations that adapt, innovate, and earn trust at scale. FranklinCovey’s world-class learning solutions—delivered Live-Online, On Demand, or Live In-Person—are designed to build exceptional leadership skills and enrich your culture at every level of your organization. To learn more, email us at info@franklincovey.com, visit franklincovey.com, or call us at: 1-888-868-1776

Transcript

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0:00.0

You know, when I meet senior leadership teams, they always complain to me about the same things.

0:03.6

Like, no one follows our instructions.

0:05.5

Communicating is really hard.

0:06.6

We have different teams pulling in different directions.

0:08.8

Everyone's, you know, slavishly devoted to the plan, even when the plan makes no sense.

0:12.2

People don't experiment enough.

0:13.2

There's not enough innovation.

0:14.2

Blah, blah, blah, blah, blah, blah.

0:14.9

And I always say, great, excellent.

0:16.1

I'm sure all that is true. Now look in the mirror. Now you're looking at the problem. All those people work for you.

0:23.9

So if they're all, I can think about it, if they're consistently doing the wrong thing, what is the

0:28.0

one thing they have in common? You. They all work for you. You are the source of the problem.

0:33.7

Are you really willing to change? And most people are like, nope, thanks for coming in. Like, I'd rather, can you sell me a tonic? You know, can you sell me some snake oil? Can I, you know, and you see that now all these AI vendors being like, oh, instead of you having to change anything, just sprinkle a little AI fairy dust on there and boom, all your problems will be solved. No, at the end of the day, how you hold people accountable, what you hold them accountable for, and what your values are as a leader, ultimately will determine how the organization

0:58.5

adapts and evolves over time.

1:04.0

Welcome to Franklin Covey's On Leadership.

1:07.6

I'm your host, Jennifer Colosimo.

1:10.4

On Leadership provides insight to our listeners through discussions

1:14.2

with senior leaders, thought leaders, practitioners with earned experience, all focused on the

1:21.3

human side of strategy and transformation. Today's guest, Eric Reese, is the author of the book, Incorruptible,

1:30.0

Why Good Companies Go Bad and How Great Companies Stay Great,

1:33.9

a guide on maintaining company integrity and mission as organizations grow.

1:40.3

As the author of The Lean Startup, The Startup Way,

...

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