Most organisations track financial debt. Some track technical debt. Very few track culture debt.
Culture debt is costing them more than they realise.
In strategy sessions, culture often gets a passing mention - usually as an enabler, a blocker, or something to ‘work on later’. Yet culture is quietly compounding in the background, just like any other form of organisational debt.
Left unaddressed, culture debt erodes clarity, slows decisions, undermines trust, and quietly costs you talent.
The signs are everywhere.
- Leaders spending more time smoothing relationships than solving problems.
- Teams that talk collaboration but avoid the hard conversations.
- Projects that get reworked because the right inputs never surfaced at the right time.
What is culture debt?
It’s the accumulated gap between the culture you have and the one you need. It builds up when:
– Outdated behaviours are tolerated
– Values are misunderstood or misapplied
– Broken systems get workaround after workaround
– Friction increases, but no one names it
Culture debt rarely appears on a risk register, but it shows up in project delays, engagement scores, reputational risk, and talent churn. And just like financial debt, it compounds. The longer you ignore it, the more interest you pay.
Why it matters now
Culture debt is not new. But in a world of shifting expectations and leaner resourcing, the cost is harder to absorb. When team capacity is tight, every bit of friction and confusion matters.
Leadership turnover, restructures, and ways of working shifts (hello hybrid) all expose the cracks. If your culture was fraying before, it’s threadbare now.
What you can do about it
You don’t need a full transformation to clear culture debt. Start by doing three things well:
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Name the friction → Where are things getting stuck? What feels harder than it should? Friction is your clue.
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Track the tolerances → What behaviours are being tolerated that don’t match what you say you value?
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Shift the moments → Focus on visible shifts in moments that matter -onboarding, decision-making, performance conversations. These punch above their weight.
Culture debt clears when leaders act consistently, visibly, and on purpose.
The People Game approach
At The People Game, we work with leaders and organisations to shape cultures that accelerate - not stall - your strategic ambition.
We help you assess the strength and shadow of your current culture, co-design the shifts that matter most, and activate everyday actions that bring your chosen culture to life. Fast.
It’s pragmatic. Commercial. Actionable.
Because culture should be a multiplier, not a drag.
The People Game
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