A few regulators in Europe and Australasia are appointing psychologists to company boards. The regulators believe that psychologists can help identify risks by understanding the culture of the company.
Companies should not wait until a psychologist is forced on them by a regulator, no more than they should wait for a monitor. It’s clear that having someone in the organization who can understand, explain, measure and improve the culture is a plus. Yet, few companies are appointing Chief Culture Officers.
Sometimes, industries self-regulate before governments decide to regulate them. At other times, governments take the first step. When it comes to recognizing the importance of culture, governments now seem to be ahead.