What Is Organisational Culture All about - Literature review Example

What is organisational culture? How can it be expressed within organisations? Name Grade Course Date It is agreed in literature that while the term ‘organisational culture’ is regularly used in work-related discussions, defining the term is not at all easy (Willcoxson & Millett, 2000). Notably, there is agreement in literature sources about what constitutes culture, but there is also considerable disagreement about specific constructs of culture. This paper does not presume absolute knowledge of what organisational culture is. After all, literature lacks a consensus about what exactly organisational culture is. Notably, culture delineates groups of people from others based on similarities of perceptions and interactions in a social context (Willcoxson & Millett, 2000). Similarly, it would be expected that organisational culture gives the workers in one organisation an identity based on similarities of how they do things. Specifically, organisational culture is defined as “a set of norms, beliefs, principles and ways of behaving that together give each organisation a distinctive character” (Willcoxson & Millett, 2000, p. 93). The distinctive character is observed in how people in a specific organisation perform their duties and interact with each other among other things. Some analysts argue that organisational culture is the factor that binds everyone in the organisation together, while others argue that it is a compass that gives direction to everyone in the organisation (Haworth, 2008). In spite of the foregoing division in arguments and perspectives, it has been noted that in the formative years of an organisation, the employees therein respond to and reflect industry characteristics such as customer requirements, the competitive environment and community values (Gordon, 1991). Young organisations also reflect the behaviours and values of their founders and leaders (Gordon, 1991). As organisations mature however, they face external and internal pressures that force employees to share some assumptions; discover, invent or develop ways of dealing with specific challenges; develop coping mechanisms especially in response to problems of internal integration and external adaptation; and identify the right way “to perceive, think and feel in relation to…problems” (Schein, 1991, p. 247). Over time, the similarities in perceptions, thoughts and feelings become a powerful and observable force, which constitute organisational culture. The founders and leaders still have a significant role to play in shaping the organisational culture, even amid the internal and external pressures. Among the critical roles that organisational culture plays include reducing uncertainty in the workplace since it provides a common language with which people interpret issues and events (Haworth, 2008). The functioning of an organisation to a great part depends on the prevailing organisational culture (Martins & Terblanche, 2003). According to Martins and Terblanche (2003), organisational culture has influences on different organisational processes, and functions, which include internal coordination and integration. It also provides order because teams and team members understand what is expected of them. Further, organisational culture “contributes to a sense of continuity and unity and it offers a vision around which a company can rally” (Haworth, 2008, p. 1). According to Cheney et al. (2011), organisational culture “is embedded in leaders and potentially strengthened by them” (p. 87). Cheney et al. (2011) further observe that by embedding assumptions on goals, missions, work structures and work procedures, leaders can influence organisational cultures. From the foregoing observation, one could argue that organisational culture is a set of beliefs and values expressed by leaders with the intention of guiding the organisation, and which are translated by employees. Employees behave depending on their understanding of the values and beliefs expressed by the leader. As noted by Willcoxson and Millett (2000), organisational leaders can reinforce appropriate behaviours by using rewards and/or sanctions. Organisational culture also offers a “shared system of meanings”, which enhances communication among people working in the same organisation, and mutual understanding (Martins & Terblanche, 2003). It also has a coordinating function, which according to Martins (2000), acts as the social bond that binds different people and functions in an organisation together. It is through organisational culture that people understand the acceptable behaviour in a specific organisation, and when all people have such understanding the social system in the organisation becomes stable. According to Martins (2000), organisational culture is best reflected between the formal announcement in the organisation, and what actually happens in that organisation. However, it is not always clear what organisational culture is and as such, different scholars have developed different models to describe the concept. Sathe (1985 cited by Martins & Terblanche, 2003) developed a model that identifies leadership, personnel and organisation systems as influencers or behaviour patterns seen among the personnel in an organisation. According to Martins and Terblanche (2003) the model by Sathe has been criticised for failing to factor in the effect of external factors on organisational culture. Schein (1985 cited by Martins & Terblanche, 2003) also developed a model that identifies different organisational culture levels. In his model, Schein (1985 cited by Martins & Terblanche, 2003) indicates that basic assumptions, values and artefacts make up different organisational culture levels, and the manner in which different levels interact affects the organisational culture. The organisation system model is another model that posits that organisational culture is a result of complex interactions, which happen in different levels, groups, individuals and with other factors in the external environment (Martins & Terblanche, 2003). The organisation system model is based on the assumption that the structure, management, goals, technologies and the psycho-sociology aspects present in an organisation interact and hence influence the behaviours evident in organisations. The different models notwithstanding, Martins (1997) argues that organisational culture is made up of different dimensions, which include: the mission and vision of the organisation; the external environment; the means of achieving set objectives; the image that an organisation portrays to the outside world; the management process – i.e. communication, control and decision-making process etc; the needs and objectives of the employees and whether the organisation integrates them with its own needs and objectives; the interpersonal relationships that exist between the management and personnel; and leadership and the perceptions that personnel has towards the same (Martins, 1997). With the foregoing dimensions, Martins (1997) developed a model that depicts organisational culture as the interaction that occurs between subsystems in the organisation – i.e. the psycho-sociological, technological, managerial, structural, goals and value subsystems, and the external and internal environments. Tuan and Venkatesh (2010) have termed Martins’ (1997) model as the most comprehensive one because it factors in both the internal and external factors that have some effect on organisational culture. Organisational culture is not static; rather, it can be changed and transformed over time (Willcoxson & Millett, 2000). Schein (1991) observes that just like national cultures, organisational cultures comprises: basic assumptions that are shared among the personnel; inventions, discoveries or developments by groups as they learn to cope with challenges present during internal integration and external adaptation; valid ways of doing things, often identified from experience and passed on to people who join the organisation; and a perceived right way of thinking and feeling in relation to problems and/or challenges. Following the foregoing observation by Schein (1991), it is therefore possible that group parameters such as ideologies, language and work concepts can also be used to describe organisation culture. Schein (1991) further observes that the normative criteria through which an organisation allocates rewards, status, authority, power, respect and friendship can also reflect the organisational culture therein. Organisational culture also determines the factors in the external environment that an organisation monitors and pays attention to (Hofstede, 2001). As such, organisational culture affects strategy since it determines how the organisation perceives external and internal factors, and how it responds to them. Hofstede (2001) posited that there are four cultural groupings that have an effect on organisational culture. He identified them as the dimensions of culture, and indicated them as: power distance, uncertainty avoidance individualism vs. collectivism, masculinity vs. femininity, and long-term vs. short-term orientation (Hofstede, 2001). According to Hofstede (2001), power distance is evident in organisational culture mainly based on how the leaders and managers relate with their subordinates. In some organisations, the inequality is hardly noticeable, while in others, the managers/leaders will act like the bosses, while the subordinates will act like their subjects. Individualism vs. collectivism in organisational culture is evident in the harmony or disharmony among people working in the same organisation. Individualistic cultures will foster an environment where employees are competitive and pursue individual goals, while collectivistic cultures will foster the pursuit of collective organisational goals. The masculinity vs. femininity dimension is reflected in the cultural values, power relations and gender roles as reflected in an organisation. The long-term vs. short-term orientation dimension is evident in an organisation’s strategy. According to Hofstede (2001), organisations where long-term orientation is upheld foster an organisation climate where the truth varies depending with time, context and the situation. In such a climate, the culture can change by altering beliefs and readjusting values. Such organisations according to Hofstede (2001) uphold such values as thriftiness, perseverance, and are also strong believers in saving in the short-term in order to invest in the future. Where short-term orientation is upheld however, absolute truth is sought, traditions are respected, and quick results are also sought. According to Hofstede (2001), such organisations do not have much propensity towards saving for future. There are other approaches by different authors (e.g. Deal & Kennedy, 1982), which for the interest of space, this paper will not discuss. Before delving into the subject of how culture is expressed within organisations, it is important to note that organisational culture means different things to different people. To some, it is the manner in which roles and processes are carried out; to others, it is the values, beliefs, and rituals that help in integrating members of the same organisation (Hofstede, 2001). Hofstede (1981) offers what seems a good answer to the ‘what is organisational culture’ question by stating that organisational culture is a “system of collectively held values” as evident in organisations (p. 21). There are many ways in which organisational culture can be expressed in organisations. According to Bush and Middlewood (2005), “culture is typically expressed through rituals and ceremonies which are used to support and celebrate beliefs and norms” (p. 51). Rituals and ceremonies are behavioural items that shape the patterns of interacting. Other behavioural items in the same classification as rituals and ceremonies include rules and support systems which are set in the organisation (Bush & Middlewood, 2005). Notably, behavioural approaches are not the only methods that can be used in the expression of organisational culture. According to Bush and Middlewood (2005) culture can also be expressed verbally or conceptually, e.g. through using language to tell new organisational members about the aims and objectives of the organisation. As new members settle into the organisation, the culture therein can be expressed materially or visually through such things as uniforms, mottos, memorabilia, facilities, equipment and crests among others. In cases where uniforms are used as symbols, Sagiv and Schwartz (2007) observes that they are used to express the importance of status and hierarchies. In the army for example, different uniforms are used for different ranks, status and hierarchies. Identical uniforms are on the other hand meant to obscure differences that may exist among individuals working in the same organisation. Schein (1997) also observes that rites and rituals are important methods of expressing culture, since they help new members to decipher and communicate any cultural assumptions. Symbols can also have cultural significance, and can also be used in expressing organisational culture. An organisation’s logo is for example a symbol, which can communicate meaning and value to new and existing members. The logo used by Mercedes Benz cars is for example interpreted by different stakeholders as denoting quality. A person who joins the Mercedes Benz car manufacturer therefore goes in expecting to provide quality services in order to ensure that he/she fits into the quality standards that appear to already exist in the company. According to Sagiv and Schwartz (2007), symbols can deliberately be used for cultural expression, and when such is the case, they are positioned to express specific views, or promote certain behaviours and values within the organisation. The fittings, furniture, office arrangements and/or partitions also communicate the existing organisational culture to new and existing members (Sagiv & Schwartz, 2007). An office that has an open format, where the subordinates, middle-level managers and even high-ranking managers share the same open office space is likely to have a non-bureaucratic organisational culture. The opposite is likely to be true where top managers have their offices in the topmost floor of the building while the subordinates occupy lower floors. Rules are also another way that organisational culture can be expressed. Rules or social norms help new and existing members to do what is expected of them in different circumstances (Schein, 1997). In some workplaces for example, employees receive written rules about reporting time and departure time from work. A new member will abide by the rules, but if he/she observes that other employees do not necessary stick to the stated arrival and departure times, he/she will interpret that to mean that the organisation does not have strict time adherence measures. As a result, he/she will become complacent with respect to arrival and departure times too. Schein (1997) further observes that the rules and social norms prevalent in an organisation help to propagate the shared meaning to new and existing organisational members. It is that shared meaning that helps people to make sense of management decisions and whatever else is happening in the organisation. Interpersonal communication is especially a critical method of expressing culture. According to Willcoxson and Millet (2000), satisfying interpersonal communication does “much to support an existing organisational culture and integrate members into a culture” (p. 97). The socialisation process, including induction, training and developing practices also helps express culture by providing acculturation for new or existing members. Willcoxson and Millett (2000) also note that the leadership plays a critical modelling role. Specifically, leaders – i.e. executives, supervisors and managers – can express the desired culture through myths, behaviour, values, and symbols. Through such expression tools, they can demonstrate the desired values and qualities. Overall, culture can be expressed through values, which are premised on the beliefs that are at the heart of the organisational culture. They can also be expressed through heroes or people who embody the desirable organisational values. The rites and rituals as indicated elsewhere in this paper have strong symbolic qualities as they set the routines of interaction. In conclusion, organisational culture as indicated in this paper has different meanings to different people. To some, it is how things are done in a specific organisation; to others, it is the rituals and values that act as the social glue in an organisation. Despite the differences in definitions, it has been noted that organisational cultures are unique depending on the values, vision and mission championed by each organisation. In this paper, it has been established that organisational culture can be expressed through rites and rituals, ceremonies, symbols, rules, social norms, interpersonal communication and leadership modelling. Notably, not all organisational cultures are good for business and as such, organisations need to adjust their cultures to support their business objectives. References Bush, T., & Middlewood, D. (2005). 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