By Fred Patitucci Chief People & Culture officer
Aligning culture and strategy in today’s fast-changing business environment is not only beneficial, but essential. In this process, creating a safe space for honest and open conversations is crucial. It fosters trust, accountability and a shared future vision.
Transparency has always been an important principle at Philip Morris International. Since announcing publicly our vision in 2016, our company has shared openly our progress, our challenges and our learnings. This reinforces a business culture and business built on accountability and transparency.
Shaping an organization with a common purposeThrough our experience, we’ve learned that cultural changes begin with honest discussions, not only about what we do but also how we do it. Our shared purpose at PMI is very clear: whatwe are doing–building a smoke-free world–and howwe accomplish it–through shared values. This dual focus has not only shaped our business strategy, but also how we work together.
We knew that to achieve our goal of a world free from cigarettes, we would need a major shift in mindset, capabilities and working methods. We made bold investments of more than 14 billion dollars in science, product development, and research. Investment alone is not sufficient. Transparency is at the core of our approach. Sharing our scientific findings openly with others, both internally as well as externally, is key to building trust and aligning our efforts. We are changing perceptions about smoke-free alternatives by making our research available and engaging with experts and regulators.
Creating a culture that values collective ownership
As we evolved from a single-category company to a multi-category one driven by impact and innovation, our culture identity was refined. For this journey, together with our employees, we created a framework of culture, the PMI DNA. This framework embodies three core values: We care, We’re Better Together, and We’re Game Changers.
The PMI DNA is more than a set or principles. It defines the way we work every day to ensure we remain true to our mission in approximately 180 markets. The PMI DNA provides a shared basis, empowering teams to move ahead with confidence, clarity and a collective sense of responsibility.
How to create a culture of improvement by using feedback
To sustain a successful company and a culture that is strong, it takes more than just defining values. It requires a constant dialogue. Feedback is an important catalyst for growth at PMI. It allows us to improve and learn from our experiences.
Four key steps are required to make daily feedback a habit:
- Ask two questions to encourage reflection: What do I do well?, and what can I improve?.
- Ask: Proactively solicit feedback to understand different perspectives, and uncover growth opportunities.
- Give: Share honest and constructive feedback with others to improve their performance.
- Act and Repeat: Transform feedback into action to reinforce a culture for continuous improvement.
We recognize that having open, honest and transparent conversations is essential for making the best of every day. We empower our employees by fostering psychological security and embedding the feedback as a core behavior.
Leading with Vulnerability
Transparency is encouraged and expected when people lead with purpose and authenticity. We at PMI believe that leadership isn’t about knowing all the answers. It’s about being honest about our weaknesses, our strengths and creating an environment of learning and growth. We empower teams and individuals to adopt this mindset and create a workplace that fosters trust, accountability and continuous improvement.
Our leaders are also encouraged to share openly their experiences and lessons learned from failures and successes. They can also demonstrate a commitment towards continuous improvement when they talk about learning as an ongoing process rather than a final destination. They cultivate trust by leading with vulnerability and encouraging an open, honest dialog across the organization. This mindset reinforces the idea that growth isn’t just an expectation of employees but also a responsibility shared by leaders.
These leadership principles are universal for organizations that want to embed culture. Genuine, inclusive leadership with a focus on transparency can inspire employees and foster unity and trust in times of change.
Listening to impact, measuring it and driving it
Reflection is essential to maintaining a culture of innovation. We at PMI go beyond measuring success with the PMI DNA. Instead, we track multiple cultural indicators to provide a transparent and holistic view of our workplace.
We assess employee engagement, the manager effectiveness index, and the culture diagnostics to determine the confidence and clarity of our PMI DNA. We also evaluate the impact people managers have on employees and their overall sentiment. These insights allow us to identify our strengths, tackle our challenges, and make sure that our culture evolution is aligned with strategic objectives. We reinforce accountability and build trust by sharing our key findings and progress.
Since the PMI DNA was launched in 2024, employees have reported that they understand its values and behaviors, and 91% of them believe it’s critical to the future success of our company. Both figures are well above the external benchmarks. But measuring is only the first step.
We identify opportunities and strengths for improvement by actively listening to our employees, and acting on the feedback they provide. This ensures that our business and cultural evolution is aligned with strategic goals.
Building a culture of endurance
A strong culture does not have a destination. It is a journey. The PMI DNA permeates every aspect of the business, from recruitment to leadership development and daily decision making.
A culture that is clear also opens the door to growth. By seeking out different perspectives, learning continuously, accepting feedback and supporting each other, we create an environment where people and businesses thrive.
The takeaway for HR leaders is clear: Transparency does not only mean sharing information. It is also about creating a culture in which trust, alignment and shared purpose are key to meaningful change and business success over the long term.
The first time HR News published the article Transparency is at the core of business and cultural transformation.
