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Organizational Culture Assignment/Case Study Solution

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Organizational Culture assignment/case study solution.

Organizational culture can be conceptualized as an intricate, unified and integrated system of norms and values which outlines the acceptable and unacceptable behavior in an organization. Along with that it also facilitates the process of development of the various behaviors supported by beliefs and values that can shape the process of a firm (Clegg, Kornberger & Pitsis, 2011). It seems to serve as a guideline for the employees and management to adopt the verbal communication patterns which are agreed upon by the personnel. Furthermore, the corporate culture is also used as a basic framework for engaging in different workplace behaviors.

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Organizational Culture

Introduction:

Organizational culture can be conceptualized as an intricate, unified and integrated system of norms and values which outlines the acceptable and unacceptable behavior in an organization. Along with that it also facilitates the process of development of the various behaviors supported by beliefs and values that can shape the process of a firm (Clegg, Kornberger & Pitsis, 2011). It seems to serve as a guideline for the employees and management to adopt the verbal communication patterns which are agreed upon by the personnel. Furthermore, the corporate culture is also used as a basic framework for engaging in different workplace behaviors.

The culture of an organization can be as concrete as mission statement or reflected in more abstract formats such as language, symbols, meaning and interpretation shared by the personnel, attitude towards knowledge creation and sharing etc.  This paper intends to carry on an in-depth exploration of this phenomenon, addressing the key ideas in the extant literature. It will also offer a critique of these notions presented by different scholars within the context of the contemporary corporate world.

The complexity of Organizational culture:

Every employee who is a part of an organization carries in his own cultural belief system and values in the firm. To make the development of corporate culture a more intricate phenomenon, the complex interaction between the employees and management generates a set of values which are commonly acknowledged and shared by the personnel in a business entity. Hellriegel & Slocum (2007) have argued that the development of corporate culture is base on the formal as well as informal means of communication and interaction eminent in the firm. Therefore, the formal rules and regulations can also ascertain the culture of an organization. Furthermore, the informal values can also help in the development of the culture of the organization as a whole.

On the other hand, the development of corporate culture has also been viewed as a progression consisting of various phases, thus simplifying the conceptualization of the concept. According to Griffin and Moorhead (2011; 504), the development of organizational culture can encompass five phases, which have been identified as, “formulate strategic values, develop cultural values, create vision, initiate implementation strategies and reinforce cultural behaviors”, thus considering it to be a systematic process.

The management plays an important role in facilitating the development of strategic values, which are communicated to the employees, thus paving the path to the creation of cultural values in the entity. Once these values are established, it is easier for the management to focus on the development of a vision which is in alignment with the strategic and cultural values. The next phase is related to the behaviors in which the employees engage in to attain the objectives identified by the management. In addition to this, the management maintains the corporate culture by offering reward to the employees, or simply by accepting the cultural values and facilitating their communication throughout the firm over the years as a gesture of reinforcing such values and beliefs. However, the perception of the development of organizational culture as a simple process has also been critically viewed by researchers who have considered it to be a complex progression (Baker & Maddux, 2005).

 

Impact of Organizational Culture:

Organizational Culture and Performance:

Organizational culture seems to serve as a platform on the basis of which the patterns of interaction among the management and personnel are developed and maintained. Researchers have indicated that the absence of an integrate framework of corporate culture can have serious implications for the performance of an organization in the short and long term (Lee & Yu, 2004).  The corporate culture establishes pattern of handling the processes in the workplace, thus having a significant influence on the manner in which the employees carry out their job related responsibilities and deal with the designated tasks. Companies such as Southwest Airlines have been able to create a distinctive position in the market by embedding the values of fun and liveliness as a part of their corporate culture, which was in turn translated through the behavior of their employees (Miles & Mangold, 2005).

On the contrary, Griffin and Moorhead (2011) have indicated that corporate culture is not the only factor that can result in effective performance of a firm. The degree of expertise of the management and the skills of the employees also play a significant role in the ability of a firm to gain a competitive position in the market. Nevertheless, the presence of an organizational culture that is supportive of the mission and values of the firm can play an integral role in the successful achievement of the short and long term objectives of a business (Simpson & Cacioppe, 2001).

 

Organizational Culture and Change:

The rapidly changing business environment has propelled the management to adopt effective change management initiatives to keep on with the pace of evolution in the industry. The phenomenon of organizational culture can serve as a barrier as well as a facilitator in the implementation of change in the organization. It is also important to note that the change in the process can’t be successfully implemented, unless the people have been included as active participants of the change process (Clegg et al., 2011)

Rashid, Sambasivan and Rahman (2004) have asserted that the corporate values and beliefs hold a significant position in the success of change implementation in a business entity. These findings are in alignment with the popular notion that the introduction of an alteration in a firm will be moderated by the perception of employees and management towards such an initiative. Another important finding of the study indicates that the level of openness held by a firm towards such alterations determines how readily a change is embraced. Furthermore it is also an important factor in determining the likelihood of rejection of a change initiative.

It should also be noted that the process of change is not entirely dependent upon the culture existing in the firm. The leadership style of the management, the ability to address the concern of the employees, and the ability to portray a clear vision for the personnel are also important factors in the process (Clegg et al., 2011).  Therefore, organizational culture can’t be regarded as the central feature promoting the implementation of an alteration at any level in an organization.

 

 

 

Organizational Culture and Innovation:

The use of creativity in handling organizational processes and achieving the goals in regarded as organizational innovation.  Researchers have established linkages between the corporate culture and its role as a facilitator in the use of innovative for attaining creative endeavors, such as in case of organizations such as 3M (Griffin and Moorhead, 2011). Organizational culture can promote the use of innovation, as the management can provide the employees with a work environment that is conducive to new ideas, development of innovative means of handling the processes, use of innovation to bring something new in terms of product etc (Clegg, et al., 2011).

Valencia, Valle and Jiménez (2010) have further elaborated this concept by indicating that the culture of a firm can either establish an environment where innovative ideas can flourish, or restricts the use of creativity by the employees. The organizations where handling of various processes is based on the bureaucratic structure, the management favors a culture where employees are able to precisely follow the instructions received from the top management. On the other hand, creative ideas can flourish in work environment where the management appreciates the development of new ideas, encourages the use of creativity and reinforces innovation among the personnel; thus developing a culture that is supportive of innovation (Valencia et al., 2010).

 

Summary and Conclusion:

The phenomenon of organizational culture has been explored by various scholars, offering insight into the dynamics of this element. Organizational culture has been viewed as a process that could be simplified into phases. However a different perspective considers it to be a complex phenomenon as it is based on the formal and informal processes in the firm. Along with that the interaction between the cultural background of the individual employees and corporate values can also play an integral role in shaping the culture of the business entity.

Organizational culture seems to have a major impact on the performance of a firm, in terms of its ability to attain financial success, as well as gain a competitive edge over the rival companies. Critics have argued that organizational culture can’t be deemed as the central factor determining the performance of an organization in the industry, as factors such as the capability of a firm’s human resources and management can determine the financial achievements. The phenomenon of organizational culture has also been linked with change management, as the researchers have considered the corporate values to facilitate the implementation of change. Another perspective offers the role of leadership a more central position than corporate culture. The paper has also addressed the role of organizational culture in the use of innovation, as the values of the management can allow the personnel to use their creativity to bring in new ideas. Therefore it can be concluded that organizational culture has a significant impact on processes and people in a firm.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

References:

Baker, G. & Maddux, H. (2005). Enhancing organizational performance: facilitating the critical transition to a process view of management. S.A.M. Advanced Management Journal, 7(4), 40-60.

Clegg, S., Kornberger, M & Pitsis, T. (2011). Managing and Organizations: An Introduction to Theory and Practice. USA: Sage Publications, Inc.

Griffin, R. W & Moorhead, G. (2011). Organizational Behavior: Managing People and Organizations. USA: South Western Cengage Learning.

Hellriegel, D & Slocum, J. W. (2007). Organizational Behavior. USA: Thomson South-Western.

Lee, S. K. J & Yu, K. (2004). Corporate culture and organizational performance. Journal of Managerial Psychology, 19(4), 340 – 359

Miles, S. J & Mangold, W. G. (2005). Positioning Southwest Airlines through employee branding. Business Horizons, 48(6), 535–545

Rashid, M. Z. A., Sambasivan, M & Rahman, A. A. (2004). The influence of organizational culture on attitudes toward organizational change. Leadership & Organization Development Journal, 25(2), 161-179

Simpson, S & Cacioppe, R. (2001). Unwritten ground rules: transforming organization culture to achieve key business objectives and outstanding customer service. Leadership & Organization Development Journal, 22(8), 394 – 401

Valencia, J. N., Valle, R. S & Jiménez, D. J. (2010). Organizational culture as determinant of product innovation. European Journal of Innovation Management, 13(4), 466 – 480

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