How Workplace Norms Shape Team Performance (For Good and Bad)

Managers spend a lot of time focusing on strategy, goals, and performance. But beneath all of that visible work lies something far more powerful and often far more limiting: workplace norms.

Norms are the unwritten rules of how work actually gets done. They shape how decisions are made, whose voices are heard, how success is defined, and what behaviors are rewarded or discouraged. Because they’re rarely named, they’re easy to overlook. And yet, they quietly influence whether teams feel energized or drained, creative or constrained.

Author of Our Best Work, Nilofer Merchant, explores the invisible norms that shape modern workplaces and how managers can begin to change them. What follows is a practical, manager‑friendly exploration of those ideas, with a focus on what you can start noticing, naming, and redesigning on your own team.

What Are Workplace Norms and Why Do They Matter?

At their simplest, norms are “how we do things around here.” They include expectations about working hours, communication styles, decision‑making, authority, and even what counts as “good” work.

The tricky part is that norms are rarely written down. New employees are expected to absorb them through observation and trial‑and‑error. When someone breaks a norm by asking a question, challenging a decision, or working differently, they often feel the consequences long before they understand what they did wrong.

Because norms operate below the surface, people tend to experience them emotionally rather than intellectually. You feel the tension, the frustration, or the disengagement before you can explain what’s causing it. Over time, teams default to these patterns not because they’re effective, but because they’re familiar.

For managers, this matters because norms are one of the biggest forces shaping performance. Teams don’t fail because they lack talent or effort. They struggle because the water they’re swimming in makes it hard to do their best work.

When Work Isn’t Working, It’s Not Personal

Many managers look at widespread disengagement and assume the problem is individual motivation or capability. But the data tells a different story. Large percentages of employees report feeling disengaged, unheard, or disconnected from meaningful contribution.

When these patterns show up everywhere, they stop being personal problems and start being systemic ones. People often blame themselves (“I just need to try harder”) or their boss (“I need to find a better manager”). What’s missing is an examination of the norms shaping behavior across the organization.

Instead of asking, “What’s wrong with this person?” a more useful question is, “What norms are making it hard for people to contribute fully?” This shift alone can be liberating for managers and teams alike.

Norm #1: How We Define “Smart”

One of the most powerful and limiting norms in many organizations is how intelligence is defined.

In many workplaces, “smart” is narrowly equated with rational analysis, polished language, spreadsheets, and slide decks. This creates the illusion that intelligence has a single form and that good leadership always looks analytical and linear.

Nilofer highlights that real work requires many kinds of intelligence. Intuition, emotional awareness, somatic understanding, creativity, and presence all play critical roles, especially when teams are under pressure.

Nilofer shared an example of a leader whose team had just been demoralized by a difficult client interaction. Instead of pushing through with more analysis, she took the team for a short walk. The goal wasn’t problem‑solving; it was regulation. By helping people reset, reconnect, and return to the present moment, she enabled better thinking and collaboration afterward.

When you define intelligence too narrowly, you miss crucial forms of leadership. Expanding what counts as “smart” creates space for more people to contribute meaningfully.

Norm #2: The Myth of Right and Wrong

Another deeply embedded norm is the belief that there is a single right answer or approach and that leaders are responsible for finding it and enforcing it.

Nilofer explains that this mindset creates a false sense of control. It also limits creativity. When people believe there’s one correct way, they stop exploring alternatives and focus instead on pleasing whoever holds authority.

In reality, most workplace challenges and tasks have many viable solutions. Even something as mundane as washing dishes has hundreds of possible methods, depending on context and constraints. Work is far more complex.

Shifting away from “right vs. wrong” opens a more generative question: Does this work for us? When teams evaluate ideas based on shared effectiveness rather than correctness, they move from power struggles to collaboration.

As a manager, this means positioning yourself less as the judge of answers and more as the designer of conditions where good answers can emerge.

Norm #3: Pleasing the Boss Over Serving the Work

Many employees face a constant tension: do what they believe is right for the business, or do what keeps their boss happy? Research suggests that job security often depends more on manager approval than on contribution quality. Over time, this creates a culture of dependency, where care flows through personal relationships instead of organizational systems.

While this dynamic can feel supportive on the surface, it actually limits innovation. People become cautious, focused on approval rather than impact.

Nilofer pointed to an alternative framework from management thinker Mary Parker Follett: the “law of the situation.” Instead of authority flowing from hierarchy, leadership shifts based on what the situation requires. Sometimes you lead. Sometimes you support. Sometimes you step back.

For managers, Nilofer underscores that this means encouraging people to orient toward the work itself, not just toward you. When teams work together, literally looking in the same direction, roles can flex, and contribution becomes more dynamic.

Job Descriptions Are Not the Same as Value Creation

One of the most common fears employees have is stepping outside their job description. Many have learned, through painful experience, that “overstepping” can be punished.

But value creation today doesn’t come from staying neatly in a box. It comes from perspective. A customer service representative who notices a pattern in complaints or a salesperson who sees why deals are falling through holds insight that no org chart can capture.

Managers play a crucial role here, says Nilofer. You can signal explicitly that insight is welcome, regardless of where it originates. Simple practices, like asking “Are you open to a new idea?” can dramatically lower the barrier to contribution.

Nilofer also highlights that equally important is designing meetings so ideas don’t have to fight for airtime. When meetings are structured primarily for updates or presentations, creativity gets squeezed into the margins. When they’re designed for sense‑making and exploration, participation expands.

Norms Live (and Can Change) in Meetings

If you want to change norms, start with meetings.

Meetings are where hierarchy, voice, and decision‑making norms are most visible. Small changes can have outsized effects. For example:

• Begin with a brief check‑in so people can name where they’re coming from.

• Encourage “plus‑one” contributions that build on ideas rather than repeat them.

• Design agendas that prioritize dialogue over monologues.

  
  

These practices aren’t about being softer; they’re about being more effective. When people feel grounded and heard, the quality of thinking improves.

Naming Norms Is the First Step to Changing Them

Nilofer explains that norms can’t be changed until they’re named. Giving language to what’s happening allows teams to decide whether a pattern still serves them.

Performance reviews offer a powerful example. Many traditional systems are rooted in judgment and comparison. But research and experience show that people perform better when supported and coached rather than ranked.

Nilofer suggests managers help teams name this dynamic to open the door to alternatives. 

From Awareness to Action

Change doesn’t require perfection. It requires intention.

Once norms are visible, teams can experiment with small shifts: changing how meetings run, how feedback is given, or how decisions are framed. Over time, these shifts cascade, influencing culture far beyond a single practice.

For managers, the invitation is simple but profound: start noticing the invisible rules your team is following. Ask whether they help or hinder your collective best work. And then, together, begin designing something better. Because when norms change, everything else can too.

Listen to the entire episode HERE to learn more about how workplace norms shape Team performance.

Keep up with Nilofer Merchant

- Connect with her on LinkedIn here

Guest Bonus: Early Access to the Growth Assessment

Intangibles now drive 84% of value creation, yet most managers are flying blind. This early access gives you visibility into the invisible drivers of growth—and data on what actually happens when you address what matters. 

Get this guest bonus and many other member benefits when you join The Modern Manager Podcast+ Community.

---------------------

The Modern Manager is a leadership podcast for rockstar managers who want to create a working environment where people thrive, and great work gets done.

Follow The Modern Manager on your favorite podcast platform so you won’t miss an episode!