Culture as a Living System: Dr. Josie McLean on Leadership, Complexity, and the Art of Organisational Change

In a world where cultural change is too often attempted through metrics, off-the-shelf tools, and superficial symbols, Dr. Josie McLean offers a refreshing and deeply human counterpoint. As the author of Purposeful Cultures and Big Little Shifts: A Practitioner’s Guide to Complexity for Organisational Change and Adaptation, Dr. McLean brings over two decades of hands-on experience shaping leadership and culture across sectors, blue chip companies, government, education, and regenerative businesses alike.

In a recent conversation with guest host Michelle Bloom for the Menzies Leadership Foundation’s Leadership: Cultivating Organisational Cultures for the Greater Good podcast, Dr. McLean opened up about why culture can’t truly be measured and why the effort to do so might be missing the point entirely.

Culture Begins with Context

Dr. McLean’s journey into complexity and culture was sparked by a moment of unexpected insight during a conversation with coaching legend Sir John Whitmore. “There’ll be wars over water one day,” he said offhandedly. In that moment, McLean saw clearly that humanity was veering off course and that leadership held the potential to shift our trajectory. Initially believing the answer lay in transforming the worldview of CEOs, she soon realised the limitations of this top-down approach. “Culture has more influence on leaders than they often have on it,” she said. “We’re working within deep social and environmental systems, not just organisations.”

Measuring Culture: The Wrong Question?

While many organisations turn to culture surveys and diagnostic tools, McLean is deeply sceptical. “We’re often just measuring artifacts,” she says, referencing Edgar Schein’s three levels of culture— artifacts, espoused values, and underlying assumptions. “These tools give us surface-level indicators, but culture is what’s invisible. It’s the fabric of unconscious assumptions that influence everything.” She offers a telling anecdote from a recent workshop where an organisation surprised her by returning a detailed spreadsheet of responses to questions intended for open dialogue. “That told me more about their culture than any survey could. It’s just how they do things around here, structured, pre-emptive, and transactional.”

Cultural Archeology Over Cultural Metrics

Rather than relying on metrics, McLean advocates for a method she jokingly calls “cultural archaeology.” That is: exploring context, relationships, language, power dynamics, and history to better understand an organisation’s inner life. “When we join a new organisation, we instinctively look for how to belong,” she explains. “We start asking: How do I fit in here? And the answers come through subtle cues, not written rules.” To better sense culture, McLean suggests talking with newcomers, those still able to see what others have unconsciously absorbed.

The Danger of Measuring the Wrong Things

McLean warns that measurement, when misapplied, can actively distort culture. In one organisation she worked with, a culture survey tool became so performative that teams began “gaming” it to produce the desired results, simply to avoid the arduous “improvement workshops” that followed negative scores. “It wasn’t malicious,” she says. “But people knew what would please the CEO, and over time, that distorted the feedback loop. The measurement tool became performative, not informative.”

An Evolving System, Not a Static Target

To Dr. McLean, culture is not something that can be defined and fixed. It’s a living, evolving system, constantly adapting to its external environment and internal needs. Her approach is to guide organisations into a process of discovery, often through bespoke leadership development programs that invite reflection, conversation, and connection across the system. She describes a typical engagement starting with deep listening at the executive level, followed by codesigned leadership programs tailored to the lived experience of staff. Crucially, her programs attract the “willing”, early adopters ready to engage, rather than volunteers coerced into attendance.

Creating the Conditions for Change

“We’re not looking to define the ideal culture,” McLean explains. “We’re helping people learn how to influence the direction of their culture by building agency, connection, and shared meaning.” She draws on the words of Margaret Wheatley, seeking to “let the system hear itself” through crossboundary dialogue and shared learning. Her workshops emphasise the power of conversation—not content, to catalyse change. And yet, even conversation must be carefully held. “With younger generations, I’m seeing a growing fear of being judged, even among close friends. If we can’t have simple honest conversations about food preferences without fear, how can we talk about real systemic issues like race, climate, or injustice?”

“We’re not looking to define the ideal culture,” McLean explains. “We’re helping people learn how to influence the direction of their culture by building agency, connection, and shared meaning.”

From Alignment to Connection

In closing, Dr. McLean reframes a common corporate mantra: aligning staff behind purpose and values. Instead, she suggests something more nuanced. “What if we asked: How can your personal purpose connect with this organisation’s purpose? How do your values intersect with ours?”

This approach, she believes, is more liberating and effective, inviting genuine commitment rather than performative compliance.

Dr. Josie McLean’s work is a reminder that culture is less about dashboards and more about dialogue. It’s not static, it’s not easily quantified and it certainly doesn’t live on the wall in the values statement. True cultural work invites people to connect, reflect, and evolve together.

As McLean says, “Culture is shaped by everyone in the system. If we want it to be different, we all have to contribute to that change.”

 

Originally interviewed for:

Podcast Series: Leadership: Cultivating Organisational Cultures for the Greater Good

Episode Guest: Dr. Josie McLean

Host: Michelle Bloom

Presented by: Menzies Leadership Forum

At the Menzies Leadership Foundation, we recognise that culture is not a set of values pinned to a wall, nor a number on a dashboard — it is an ever-evolving system shaped by context, conversation, and collective meaning.

In a world quick to quantify and standardise, we champion a slower, more human approach. One that values connection over compliance, reflection over reaction, and depth over display.

Through leaders like Dr. Josie McLean, we are reminded that cultural transformation begins not with control, but with curiosity — and the courage to listen differently.

We invite you to reimagine what it means to lead cultural change — not from the top, but from within.

Natasha Eskinja

Digital Communications Coordinator

Natasha is driven by a profound passion for both creativity and analytics, a synergy that fosters authentic storytelling in the digital realm with both innovation and integrity. 

Throughout her career, she has consistently integrated the overarching marketing and communications narrative with the emotional connections of audiences. She is currently pursuing a Certificate in Society and the Individual from Flinders University, furthering her exploration of human behaviour and the critical importance of connectedness between organisations, individuals, and communities.

LinkedIn | natasha.eskinja@menziesfoundation.org.au

Sarah Jenkins

Strategic Communications Manager

Sarah has more than 18 years’ experience in communications and marketing leadership across a range of sectors.

Communications strategy and organisational growth is a continuing theme in Sarah’s career. Most recently, she leads the development of a Leadership Movement, evaluated by Menzies Viral Co-efficient Model; a contribution to the NFP. 

Sarah’s early career centred around best practice in marketing and communications which later culminated into the establishment of her very own agency. This work extensively spanned across PR, traditional media, event management, strategy, digital marketing, graphic design and business development consultancy. 

In 2019, Sarah joined the lean and robust team at the Menzies Foundation. She has since crafted the Foundation’s narrative and communication strategy. The development of this strategic communications platform is essential for ‘movement building’ and requires a strong strategic, management and communication skills set. Sarah has brought so much to this important work, which sits at the forefront of communication practice. 

Sarah continues to contribute to the NFP sector through her commitment to Purpose; as she reflects on her own leadership, builds her own leadership capability and contributes to the greater good. 

LinkedIn | sarah.jenkins@menziesfoundation.org.au | 0401 880 071

Rohan Martyres

Director, Strategy and Partnerships

Rohan has 15 years’ experience in facilitating cross-sector collaborations to address complex social and health challenges.  He has worked with the World Economic Forum in Australia, led an international conflict resolution field team in Nepal, and directed a 10-year £40m initiative to reduce health inequity in London.

Most recently, Rohan was Major Grants Development Manager at the Ian Potter Foundation.  He refined the foundation’s major grants strategy, and co-developed a series of large scale initiatives, including joint philanthropic-government funding for a new national organization to support place-based approaches across Australia.

Rohan has held several non-executive roles, including with an international NGO and with London Funders, the peak body of independent foundations in London.  He holds several qualifications including a graduate degree in innovation and strategy from the Judge Business School, University of Cambridge.

When Rohan isn’t exploring Melbourne’s creeks with his partner and 6yo daughter, he’s working on his currently weak Australian accent (after 15 years in the UK).

LinkedIn | rohan.martyres@menziesfoundation.org.au | 0404 505 954

Trudy Morrison

Operations Manager

A marketing and communications specialist with over 20 years experience in government, corporate and consumer marketing, Trudy brings her adaptive and organisational project management skills to the Menzies Foundation team. 

With a BA degree in Public Relations, Trudy began her career with the City of Melbourne and in magazine publishing, before moving into marketing communications consulting. She has worked in strategic marketing leadership roles with retail brands and enjoys juggling many projects and tasks simultaneously. Her skills were further enhanced when managing her own communications business representing industries across private education, financial services, aviation, government and the health industry. 

Trudy is passionate about leadership and all people being encouraged to reach their full potential through research and educational initiatives and opportunities throughout Australia. A skilled and accomplished writer and editor Trudy is enthusiastic about bringing her variety of skills to the Menzies Foundation team. 

LinkedIn | trudy.morrison@menziesfoundation.org.au | 0402 361 878

Liz Gillies

Chief Executive Officer

Liz Gillies has had over 25 years experience in a range of fields focused on initiatives for social impact. She has held roles in multiple sectors and academia.

In 2018, Liz was appointed CEO of the Menzies Foundation which aspires to build a leadership movement that supports Australians to pivot to purpose, build their leadership capability and contribute to the ‘greater good’.

Liz joined the Melbourne Business School in 2009 and was instrumental in establishing the Asia Pacific Social Impact Centre (APSIC) and The Centre for Ethical Leadership. In November 2011 she was appointed as research fellow to lead a partnership focused on strategic philanthropy which culminated in the release of the reports: Philanthropy: Towards a Better Practice Model (2018) and the Philanthropy: The Continued Journey to Real Impact and better Practice (2021).

Liz has extensive governance experience, having served on the Board of the Publish Galleries Association of Victoria, Social Firms Australia, Uniting Care Community Options, United Way Australia and the Development Committee of the Towards a Just Society Foundation. She is currently on the Philanthropy Reference Group of Barmal Bijiril and a Director of Philanthropy Australia.

LinkedIn | liz.gillies@menziesfoundation.org.au | 0416 112 703

Natasha Eskinja

Digital Communications Coordinator

Natasha is driven by a profound passion for both creativity and analytics, a synergy that fosters authentic storytelling in the digital realm with both innovation and integrity. 

Throughout her career, she has consistently integrated the overarching marketing and communications narrative with the emotional connections of audiences. She is currently pursuing a Certificate in Society and the Individual from Flinders University, furthering her exploration of human behaviour and the critical importance of connectedness between organisations, individuals, and communities.