Development of a Competing Value Framework - Research Paper Example

? Research Essay Competing Value Framework Introduction According to Quinn and Rohrbaugh, (1983), the Competing Values Framework (CVF) is one of the most popular framework or models in the history of business in the entire world. It mainly emerged after empirical research on the question of making an organization effective for a long period of time (Quinn and Rohrbaugh, 1983). It has been introduced in order to maintain a high level of performance in the organization in spite of extreme competition in the market. The model of CVF has been studied and tested in many organizations for more than twenty five years by a group of thought leaders to establish the truth that it helps in improvement of the organization in long run. It also helps in improvement of the profit margin and revenue of the organization as compared to other rivals in the market. Other than this, the framework of CVF is also often thought to be as a leadership tool utilized to improve the sales and revenue of the organization. Moreover the CVF might also be used for varied aspects and levels in organizations for their betterment and improvement. Apart from this, the CVF also serves as a map, an organizing mechanism, a sense-making device, a source of new ideas and a learning system to make the organization more and more effective in long run. This research paper mainly describes the meaning and developments of competing value framework (CVF) and the organizational focus with the help of two axis’s long with its benefits for the organization Definition of competing value framework Competing Values is all about accepting and analyzing the ways to appreciate the conflicting values in order to integrate them successfully for the betterment of the organization. This might help the organization to improve its total sale as well as brand image in the market among others in the market. Along with this, it might also help an organization to analyze the strength and weakness so as to make use of it for its improvement and reduce its discrepancies. The Competing Values Framework (CVF) was developed for the benefit of the organization by analyzing the organizational culture, organizational effectiveness, organizational design, information processing, organizational quality, leadership competencies, stages of life cycle development, leadership roles, financial strategy and brain functioning. Therefore after examining all these above mentioned factors, the effectives of the organization may be improved as compared to others (Smart & Hamm, 1993). Other than this, if the organizational profit margin is increased then the level of reliability and trust of the customers over the brand might also increase resulting in amplification of its total customers range. Due to all these advantages, it is considered to be one of the best models to improve the organizational portfolio in the market among others. Consequently it also helps to identify the set of guidelines that might facilitate the managers or leaders to diagnose, congruencies, manage the interrelationships and contradictions among the different aspects of associations to improve the organizations’ performance and market value in the market. So, it is highly appreciated (Quinn & Cameron, 1999). Development of competing value framework The Competing Values Framework came into existence from a series of theoretical framework and empirical studies and research conducted on the idea of organizational efficiency (Quinn & Rohrbaugh, 1983). All these efforts are performed with an attempt to improve the essence of organizational effectiveness in the market (Quinn and Rohrbaugh, 1983). Apart from this, the faculties of University of Michigan also undertook varied types of organizational aspects into consideration so as to improve the fame in the market among other rivals. It consists of two dimensions among which the first one is related to organizational focus on the internal emphasis of the employees of the organization along with the external factors as well. The second dimension represents the contrast between stability and control and flexibility. Therefore, on the basis of all these aspects, the effectiveness is calculated effectively in the long run (Quinn & Rohrbaugh, 1983). It is calculated on the basis of the core assumptions and Statements like: The framework has four quadrants: 1) Internal Process Model: emphasis on measurement, documentation and information management. All these processes bring stability and control (Smart & St. John, 1996). 2) Open Systems Model: readiness, growth, emphasis on adaptability, resource acquisition and external support. The contribution of these processes lies in innovation and creativity. 3) Rational Goal Model: emphasis on rational action. It emphasizes on planning and goal setting to improve the productivity and efficiency. 4) Human Relations Model: emphasis on human resource and training for betterment (Quinn, 1988). The connotations of the CVF: The Competing Values Framework is used for the cultural assessment for the effectiveness of the organization with the help two dimensional patterns: Cultural dimensions Horizontal Axis: The horizontal dimension helps in determining the degree to which the organization focuses on both inward and outward factors. Inward factors mean the employees of the organization and the outward describes the customers, suppliers and the external environment as well. It is done for the betterment of the organization (O’Neill & Quinn, 1993). Vertical: Stability/Flexibility: The vertical axis determines the decision makers of the organization. It is done with the aim to control both the employees and the management of the organization so that it might have some kind of competitive advantage in the market among other competitors. Only then, it might bring stability, reliability and efficiency is at the highest stage but when the environmental forces tries to create a need for change then flexibility becomes more important than stability (Hooijberg, 1996).   The Competing Values Framework for cultural assessment was distilled by Quinn and Rorbaugh (1983) from analysis of Campbell's list of effectiveness aspects into a multifold dimensional prototype. Dimensions of culture Horizontal: In/Out The horizontal dimension refers to the scale to which the association centers inwards or outwards. The attention is primarily inwards to the left and within the organization while to the right, it is outwards and the focus is on the customers, suppliers as well as the external environment. The validity of the internal focus lies where the mode of competition is not customer centric. The challenge must be directly met where the climate of competition prevails and the external stakeholders play a part (Bus.umich, n. d). Vertical dimension The vertical axis determines the decision makers. At the lower end, control is with management whilst at the upper end it is devolved to employees who have been empowered to decide for themselves. Stability is a valid form when the business is stable and reliability and efficiency is paramount, but when environmental forces create a need for change, then flexibility becomes more important (Bus.umich, n.d.). Four Quadrants The four hierarchies presented below are to some point historical in their expansion. Source: (Bus.umich, n. d.) The first quadrant or the “yellow” quadrant the values like communication, loyalty as well as human development aimed towards the betterment of the organization. While the “blue” colored quadrant refers to the purposes like goal achievement, the focus on customers as well as profitability. The next quadrant or the “red” one represents the values like consistency, process and policies. The values like innovation, vision as well as agility of the organization are represented in the last or the “green” quadrant (Bensimon, Neumann and Birnbaum, 1989). Conclusion Conclusively, it may be stated that CVF is extremely essential for the organization for its betterment and improvement in all aspects. References Bensimon, E.M., Neumann, A., and Birnbaum, R. (1989). Making sense of administrative leadership: the 'l' word in higher education. ASHE-ERIC higher education report no. 1. washington, d.c.: the george washington university, graduate school of education and human development. Bus.umich, (No. Date). Competing value framework. Retrieved from: http://www.bus.umich.edu/Leadership/Assessments/Competing%20Values%20Framework.pdf Hooijberg, R. (1996). A multidirectional approach toward leadership: An extension of the concept of behavioral complexity. Human relations, 49(7), 917-947. O’Neill, R.M & Quinn, R.E. (1993). Editor’s note: applications of the competing values framework. human resource management, 32, (1), 1-7. Quinn, R.E. (1988). Beyond rational management: mastering the paradoxes and competing demands of high performance. San francisco: Jossey-bass. Quinn, R.E. & Rohrbaugh, J. (1983). A spatial model of effectiveness criteria: Towards a competing values approach to organizational analysis. Management science, 29, 363-377. Quinn, R.E., Cameron, K.S. (1999). Onderzoeken en veranderen van organization culture. Academic Service: Schoonhoven. Smart, J. C., & Hamm, R. E. (1993). Organizational effectiveness and mission orientations of two-year colleges. Research in Higher Education, 34(4), 489-502. Smart, J. C., & St. John, E. P. (1996). Organizational culture and effectiveness in higher education: a test of the "culture type" and "strong culture" hypotheses. Educational Evaluation and Policy Analysis, 16(3), 219-241. Read More