Which of the following signals a misalignment between culture and strategy?

• A. Turnover is high and morale is low
• B. High levels of cross-functional collaboration
• C. Strong alignment with strategic goals
• D. Consistent, transparent communication about goals

Answer: (A)

Misalignment between culture and strategy shows up when people aren’t buying into the direction or the environment doesn’t support the strategic goals. High turnover and low morale signal exactly that: employees are leaving or disengaging because the culture—values, norms, and daily practices—doesn’t support what the strategy requires. When morale is low, people aren’t motivated to execute changes or adopt new behaviors, which undermines strategic initiatives.

In contrast, strong cross-functional collaboration, clear alignment with strategic goals, and transparent communication about those goals all indicate that the culture is reinforcing the strategy, enabling people to work together toward the same objectives. So the turnover and morale indicator is the best signal of a misalignment.