Role of Organizational Culture in Change management - Literature review Example

Role of Organizational Culture in Change management In the modern functioning of organizations, change has been accepted as an ongoing process that has to be embraced by all within the workplace in order to adapt to the transformations within the industry as a whole. As an approach that reflects the future condition of organizational operation, change management cannot be effective without accommodating organizational culture during the development and initiation of change. Given the importance of culture in determining the values, norms and habits held by the human resource within an organization, organization change will rely on how willing the human resource is willing to adopt these concepts to suit the dynamic working environment. Even though change is necessary for organization to achieve set targets employees do not necessarily embrace these changes as they want to stick to the workplace rituals and habits developed over a period of time. Considering that change within the organization must be reflected in the values, norms and habits of human resource within the organization, this literature review critically analyses the role played by organizational culture in change management. Studies on organizational culture has relied on scholarly work from both the anthropological and the organizational behaviour to inform how values, norms and habits formed by the human resource affects the day to day running of the organizational operations. Continued scholarly research in this area has resulted in the development of a comprehensive body of knowledge that presents a better insight into organizational culture. Research on the role of culture during organizational change process highlights the importance of organizational culture in sustaining the survival of the organization through various change processes that are aimed at improving organizational performance. Organizational culture is seen as an important link that joins all members of the organization together (Austin and Ciaassen, 2008) and therefore creates an understanding between employees on how their functions contribute to overall organizational output. Researchers have different perspectives in their definitions of organizational culture with emphasis being on meaning, transmission, applications on the organization in addition to those who see organizational culture as pattern of behaviour exhibited by members of the organization (Iivari, 2005). However, these perspectives presented by definitions of organizational culture emphasize the important role played by culture to both the organization and human resource since it is the organizational culture especially as an important contributor in the definition of values, norms and habits. Austin and Ciaassen (2008) assert the role of organizational culture as a mechanism that makes employees’ world meaningful and predictable and is therefore important in minimizing anxiety and creation of stability within the workforce. This is because employees of specific organizations have their own patterns of behaviour that underlies their personal and interpersonal interactions and therefore differentiates from other organizations. Given that organizational culture serves as a memory bank about the values held by the organization Stoyko (2009), it is important that change should preserve organizational history by categorizing aspects that need adjustment while maintaining other aspects for consistence. Before implementing a change process, managers need to undertake an assessment of the cultural orientation of the organization as a part of the preparatory stage for effecting the necessary changes. According to Cabrera, Cabrera and Barajas (2001), assessing the cultural orientation of the organization serves different functions among them being the identification of areas of strength that will offer a base for implementation of the predetermined changes within the organization. Further, the researchers report cultural assessment before effecting change help determine possible areas of resistance before the change is undertaken by reporting on the attitude of both managers and members of organization on the change process. Given this role of organizational culture even in the early stages of organizational change process, managers cannot afford to separate the process of change from the attitudes and values of members of the organization (Austin and Ciaassen, 2008). Studies on the role of organizational culture in change management are based on the emotions that the changes trigger in the members (Kiefer, 2005; Wanberg and Banas, 2000; Smollan, 2006). The emotions exhibited by employees can be positive or negative depending on their perception regarding the contribution of change to their well being as part of the organizations, mechanisms used in implementing the change process, the nature of leadership in addition to the speed, timing and frequency that changes are being initiated. When the management consult employees on how their interests will be taken care within the change process, there is an increased chance that they will have a positive emotion towards the change process and therefore be willing to offer total support. Organizational culture should be able to support mechanisms for employees to express their emotions as the change process proceeds since they can have different perceptions during the course of implementation. Scholars in the role played by organizational culture in change management have explored the necessary conditions under which change can be effected with minimal level of resistance from the employees. Employee resistance to change can result into a breakdown of organizational operations as people will not implement to the maximum level what they do not support. Janicijevic (2012) emphasize the need to have all members included at an advanced level in the formulation of various strategies that will inform the necessary organizational changes since especially with a view of making everyone to be an agent of change within the organization. Participation in the change process by all members of the organization will provide a chance for managers to determine the best way to ensure smooth transition from the usual practices to the new policies even when the change significantly affects organizational culture. Even when managers bring all employees on board during formulation and implementation of the change policies, they need to make an analysis of overall impact that the change will have on organizational culture. Research into the role played by organization culture on performance levels of organizations indicates a positive correlation with organizational culture having a powerful effect on the performance and long-term effectiveness of the organization (Gregory, Harris, Armenakis, and Shook. 2009; Janicijevic, 2012). During change process, it is important that leaders exercise an awareness of the critical role played by organizational culture in performance level of employees. During times of change, organizational culture is an important psychological tool that maintains the bond between members of the organization by proving them with guiding beliefs and attitudes necessary for common action. Consequently, preserving the bond created by organizational culture will ensure managers maintain these connections within the organization for smooth transition in addition to maintain a high level of performance. The need to preserve the bond that has been established between members though organizational culture does not mean managers cannot implement changes that have the potential of transforming organizational culture. Given the importance of culture in ensuring continued productivity, improved performance, efficiency within the organizational and quality of employee working life, there is no reason for managers not to peruse change within their organizations. The only precaution for managers is to ensure they adopt the most efficient method when formulating and implementing change strategies. Iivari (2005) notes managers can adapt the intended culture to suit new organizational models given that the existing organizational culture can be controlled and modified. For smooth transition from the previous to new organizational practice, it is important for change agents to ensure the demands of existing culture are suitable for the kind of change that is being advocated by management. Organizational leaders are therefore better placed to determine the most suitable model that reflects the organizational culture as a key pointer to the direction and the objectives adopted by the organization. Scholars agree that the strength of an organizational culture influences implementation of the change process (Cabrera, Cabrera and Barajas, 2001; Austin and Ciaassen, 2008; Stoyko, 2009). It is relatively easy to effect change when the organization operates on a weak culture than in conditions where the organizational culture is strong. An organizational environment with a strong culture and is highly homogenous with a unified perception about corporate mission, goals, strategies of objective achievement, assessment and measurement of performance in addition to having an effective corrective mechanisms. During change process organizations with strong culture have increased possibility of resistance new ways since members of the organization will not be willing to sacrifice what they deem to be their way of life for the proposed changes. This is particularly true for organizations with strong culture that is faced with uncertainty and unpredictable environment and is therefore in need of a flexible strategy to adapt to the changes. Given the high risk of resistance to change for organizations with strong cultures, scholars have explored the risk such culture pose to the overall performance when the organizational culture does not adapt to a dynamic environment (Cabrera, Cabrera and Barajas, 2001; Iivari, 2005). In dynamic environments there is always the possibility that economic circumstances within the industry can change. However, due to strong rigid organizational culture, established system of shared values will continue to inform organizational values. This will negatively affect organizational effectiveness since the old values might not reflect the needs of a new environment. When such cases are experienced within the organization, managers are forced to work with obsolete values at least in the short run as they attempt to device effective measures to respond to the changes (Austin and Ciaassen, 2008). In such cases, managers have the task of forcing cultural change to reflect the new trend in the industry by rallying other members to adjust to the new realities. Managers should stress the need for employees to realize organizational culture should not be static but flexible enough to accommodate new trends that results in competitive advantage within the industry. To achieve this, managers should help members perceive the change process as a continuation of the organizational practice and not necessarily a modification of the old one. Perceiving themselves as part of a continuous process will maintain the confidence levels of members of the organization as they will realize their past contributions are respected by the change agents (Austin and Ciaassen, 2008). As a consequence of the need for organizational culture to reflect the change process, managers should encourage the development organizational culture that responds quickly to the changing needs of the organization. To be able to respond to rapid changes in the organizational Janicijevic (2012), calls for the application of coercive power. According to the researcher, this strategy will be able to provide results within a short period of time since managers do not rely on consensus among members of the organization as a basis of introducing change. When there is no time for consultation this method that relies on message coming from the top most authority downwards can assist organizations initiate changes based on the existing culture. The manager does not initiate the necessary transformation that will ensure members change their values and attitudes are only interested in adjustment to the conditions in the operational environment. Even as this method can result in the realization of results in a short period of time, it is not feasible over a long period of time when not accompanied by a shift in organizational cultural change. Literature and the empirical evidence on the role organizational culture on change management emphasises the link between the adjustment of the organizational culture and the success of the intended change process (Iivari, 2005). For a sustainable organizational change to be achieved, significant resources should be directed in adjusting the organizational culture to reflect the direction the organization intends to take. Consequently, even when in situations that calls for rapid adjustment to the changing industry trends, managers should not go for superficial changes but build sustainability through carefully planned organizational culture change. Stoyko (2009) warns for organizational culture to continue offering orientation to new and young employees, there is need for less reliance on coercive leadership. Given the realization that culture can enhance or damage the chances for a successful change process, it is important that change agents view organizational culture as a necessary component in the change process (Kiefer, 2005; Wanberg and Banas, 2000; Smollan, 2006; Higgs, and Rowland, 2010). This perspective in the implementation process will result in the strengthening of organizational values before introducing the change process. The strengthened value then acts as a template on which the change process is mapped therefore making the organizational culture strong. Given that values are the basis for the formation of organizational culture, organizational members will exhibit greater willingness to support efforts that strengthen their values. By relying on this willingness of members change agents will be assured of sustainable future of the orga­nization as all stakeholders work towards achievement of a similar goal. Further, changes in the organization should take into consideration the past accomplishments by members to inform change process that aim for a better future (Cabrera, Cabrera and Barajas, 2001). By creating a change process that is based on improving past experiences while encouraging those in the present situation to look back at past achievements, the members increase their determination to accomplish the proposed changes. Consequently, it is important that change agents bring in members who contributed to past achievement so that they can help end anxiety due to the uncertainty experienced by members who had not gone through a change process before. As a part of overall cultural practice for members of an organization, rituals also plays a crucial role in ensuring organizational change is successfully implemented. Given that in most cases resistance to change stems from uncertainties about the new working environment, developing rituals such as celebrations helps reduce anxiety and create an atmosphere of that encourages a of sense of security. The management should put in place mechanisms to celebrate accomplishments during the phase when various changes are being implemented to make the members realize their contribution is being realized even as they continue with the transition period. From the foregoing literature review on the role played by organization culture in change management, it has emerged that organizations are undergoing constant changes that needs effective mechanisms to ensure the changes are widely accepted and support by members of the organization. Resistance to the change process within the organization has been found to be the biggest challenge to effective implementation of the change process. When not adequately prepared for the coming changes, employees to do not support changes since they feel their past contribution in not being appreciated by the change agent. Consequently, managers should put in place mechanisms to make members of the organization perceive the change process as part of a continuous development in organizational culture building on the established organizational values. Additionally, change agents are tasked with developing mechanisms that can react rapidly to the dynamics of the industry that the organization operates in. For this to be possible, it organizational culture needs to be flexible to accommodate the proposed changes without negatively affecting the organizational performance. In conclusion, the role of organizational culture is to provide stability even during the change process but this is only possible when the change agent brings all the stakeholders on board during formulation and implementation of the process. References Austin, M. J., & Ciaassen, J. (2008) Impact of organizational change on organizational culture: Implications for introducing evidence-based practice. Journal of evidence-based social work, 5(1-2), 321-359. Cabrera, A., Cabrera, E. F., & Barajas, S. (2001) The key role of organizational culture in a multi-system view of technology-driven change. International Journal of Information Management, 21(3), 245-261. Gregory, B., Harris S., Armenakis, A. and Shook, C. (2009) Organizational culture and effec­tiveness: A study of values, attitudes, and organizational outcomes.” Journal of Business Research 62: 673-679. Higgs, M., and Rowland, D. (2010) “Emperors with Clothes On: The Role of Self-Awareness in Developing Ef­fective Change Leadership.” Journal of Change Management 10: 369-385. Iivari, N. (2005) The Role of organizational culture in organizational change: Identifying a Realistic Position for Prospective IS Research. ECIS 2005 Proceedings. Paper 46. Janicijevic, N. (2012). The influence of organizational culture on organizational preferences towards the choice of organizational change strategy. Economic annals, 57(193), 25-51. Kiefer, T. (2005) Feeling bad: antecedents and consequences of negative emotions in ongoing change. Journal of Organizational Behavior, 26(8), 875-897. Smollan, R. K. (2006) Minds, hearts and deeds: cognitive, affective and behavioural responses to change, Journal of Change Management, 6(2), 143-158. Stoyko, P. (2009) Organizational Culture and the Management of Organizational Memory. In Girard, J. P. (Ed.) Building Organizational Memories: Will You Know What You Knew? Hershey, PA: IGI Global. Wanberg, C.R. and Banas, J.T. (2000) Predictors and outcomes of openness to changes in a reorganizing workplace. Journal of Applied Psychology, 85(1), 132-142. Read More