Culture Clash Learn to recognize the warning signs of a business on the verge of collapse.

Is your company headed for trouble? Long before a businessfails, you can count on warning signs to start flashing. "Ifyou have your eyes open and know what to look for, you cananticipate and avoid big problems," says Fran Lipson, a vicepresident and managing director with Boston-based Burke StrategicConsulting Group who specializes in turning around businesses thathave hit a wall and are nearing collapse.

Although there's no disputing the role of shaky finances insmall-business failures, there are other issues that may be equallyimportant. "Human issues--problems in the corporateculture--can play a big part, too," says Lipson.

When a company's culture--its internal belief system, valuesand methods--turns sour, productivity tumbles. "The culture introuble is one that's turned away from the common, collectivegood and focused on egocentric concerns," says John Nirenberg,Ph.D., business consultant and executive director/chair for thedepartment of doctoral studies in business at the University ofPhoenix. Put more plainly, in a company that's going bad,workers stop putting out any effort on behalf of the business as awhole; they do what's required to get by in their jobs andnothing more. "That's not an attitude that spawns businessgrowth," says Nirenberg.