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CareFusion offers blueprint for culture makeover in a spinoff: The Wall Street Journal

The Wall Street Journal writer Joann Lublin examines the cultural implications of forging a distinct culture when an enterprise is spun off from a parent amid a downturn.

The article focuses on CareFusion Corp. Chief Executive David L. Schlotterbeck's efforts, guided by Senn Delaney, to build a distinct corporate culture now that CareFusion has just begun operating as a subsidiary of Cardinal Health Inc.

Senn Delaney Founder and Chairman Dr. Larry Senn told Lublin: "Completing a spinoff nowadays heightens employees' anxiety because they worry about the sour economy and leaving the mothership."

Schlotterbeck resisted pressure from some senior leaders to kill or delay a culture change initiative that is being rolled out to 16,000 employees by December 2010. "Investing in culture is about improving performance," he told Lublin.

Schlotterbeck offered these tips for crafting a fresh corporate culture during a downturn:

• Don't let the economy be an excuse to delay.
• Leaders must set the example.
• Stick to the culture even if business conditions change.
• Get leaders on board, then quickly reach remaining employees.
• Give everyone a common language and set of expectations.

To here to read the complete article.