There is now widespread agreement that firm culture is critical. It impacts employee behavior, the success or failure of individual firms, the material interests of shareholders and the broader stakeholder community and, ultimately, the health of the world financial system and economy.
With this recognition has come significant developments in regulatory efforts to assess and diagnose culture at financial institutions. Some diagnostic indicators are straightforward and easily measurable. But others are far harder to observe and may actually be more important in determining organizational health.
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