The Importance of Organizational Culture in Management Process of a Company - Essay Example

Organizational culture of the of the Introduction Every organization follows a unique culture which helps it to organize its business process and its employees in an effective way. Organizational culture means the system of sharing beliefs and values of the company for performing its business activities. The beliefs and values of the company influence its employees. It creates an impact on their work performance. By a strong organizational culture a company represents its business principles. According to its culture an organization markets its product and service. Various norms, systems, policies of the company are established after considering the culture of the company. Different philosophies of the company are highlighted in its culture which helps the company to establish its position in competitive market. Different authors had presented almost same definition of organizational culture. There is no such variation in its definition. This case study highlights the importance of organizational culture in management process of a company. Productivity Companies having good management system experiences high productivity. Organizational culture plays an important role in influencing the productivity of the company. Rich organizational culture helps employees to increase productivity of the firm. Culture of an organization contributes a lot in establishing rules and regulations in a company. These rules and regulations provide different benefits to the organizational members. It makes them feel motivated which contributes in increasing their individual productivity. Therefore rules and regulations of management are formed after considering all of these issues (Kotrba, Gillespie, Schmidt, Smerek, Ritchie and Denison, 2012). Organizational culture promoting high morality influences the staffs to elevate their thinking and believe. It helps them to develop new ideas for business development process and in the long run it will increase productivity of the company. Organizational culture show how the employees should behave in the organization and implement code of conduct with increases their efficiency in work. Good organizational culture provides high level of job satisfaction to organizational members. It motivates them to improve product and service quality for benefiting the company. The organizational culture which increases productivity is based on clarity, adaptability and coherence. Management of a company improves these things by developing good organizational culture (Morrill, 2008). Performance Culture of an organization is a useful notion in improving performance of organizational people. Management of the company aims to improve employee performance by implementing various activities and functions. Organizational culture set up a guideline for the employees for enhancing their work performance. Culture helps the organization to indentify the way by which employees can efficiently complete their work and communicate with each other in the company. Organizational culture helps to establish rules, regulation in the company. It helps to combine workforce together which plays a vital role in improving performance of organizational member. Management of big companies establishes corporate culture (OReilly, 1989). It helps the companies to work is a particular direction. Culture of a firm influences the employees to put enough effort for achieving organizational goal. The management system of many companies often establish an organizational culture where employees are encouraged to participate in decision making process and other important activities of business other than their work. This process helps the employees to learn many new things which in the long run contribute a lot in improving their performance. When the culture of a company is easily accepted by its employees and management team then they feels motivated to improve their performance for achieving growth and success. Whereas if an organization culture is not transparent then employees feels many problem to accept it and as a result culture affects employees’ performance negatively (Starkey, 1998). Employee behaviour Positive behaviour of employees in respect to their work and responsibility help the management of the company to establish improved business process. Company’s values and beliefs are properly communicated to its employees by its strong and influential culture. By understanding organizational values, norms, believes etc employees shapes up their behaviour for working in the company according to its culture. Institutionalized belief system of culture, acts as an effective mean of modulating behaviour of employees for achieving objectives and goals of the company. The management of the company makes the employees understand about organizational history by highlighting its culture. According to that, organizational member forms their beliefs and ideas regarding the company (Bamberger and Meshoulam, 2000). A good and influential organizational culture helps the employees to incorporate company’s beliefs and ideas among them. This helps them to maintain a proper behaviour within the company with their superiors and subordinates. Management system of a company can implement collaborative or competitive behaviour among the employees by organizational culture. If the company culture believes in collaboration then employees behave in a certain way that serves the team. But if the organizational culture believes in competition then employees behave in a way which helps them to fulfil their own interests and responsibilities (Hiatt and Creasey, 2003). Safety According to the culture, a company and its management team decides its safety issues and measures. In the present business environment the company considers its human resource as one of its valuable resource. So the organizations are very much concerned about safety and security of its employees. Culture of a firm helps to decide and establish rules and regulations related to safety issues. Safety culture of the company reflects the philosophy of its management system (Reiss, 2012). In this culture the company focuses more on safety of its organizational member and its customers. Employees highly depend on the company and its management system for their growth and success. Their strong efforts help the company to achieve success. Therefore the companies are responsible to look after the safety issues of its staffs. This organizational culture motivates the employees and increases their dedication towards company and their work. Promoting safety culture within the company helps to maintain a smooth workflow and healthy relationship of employees with company’s management. The notion of safety culture improves the management system of the company and provides various benefits to organizational members (Leopold, Harris and Watson, 2005). Workplace Environment Culture of a company acts as its controlling system. Effective organizational culture helps the management impose correct rules and regulations in the company which establishes good and friendly workplace environment. Companies having friendly and supportive organizational culture influence organizational members to improve the business process and functions. Culture encourages employees to reshape their behaviour, performance which helps them to fit into working environment of the company (Mayo, 2005). Internal business environment of a company highly depends on its external factors. Organizational culture influences staffs to understand and accept various factors which play a vital role in establishing a good working environment in a company. Ethical policies of organization define its culture. It helps the company to establish an environment where ethical practices are performed. Unstable working environment of a company hampers its business process. Strong organizational culture helps the management system of the company to enhance its values which improves its business environment. The culture which supports diversity in workplace encourages a friendly environment within the company. Employees belonging from different cultures work together under one organizational culture. It helps the company to enrich its workforce. Managing organizational change In the modern world business environment is experiencing important changes with are affecting organizations and its business process. Company implements changes for satisfying its customers and employees. By applying effective changes the organization establish its position in the competitive market. Culture plays an important role in managing organizational changes. For implementing any change the company needs to develop is employees in such a way that it can implement the change effectively. Various elements of organizational culture facilitate the company in implement changes. Culture of a company focuses on the goal and mission of it. Therefore strong and influential organizational culture can make the employee understand about the need and requirement of implement change for achieving company’s goal (Armstrong, 2009). Culture provides awareness in organizational member for accepting the change. Organizational culture influences the risk taking capability of employees. For implementing change, the company has to take some risk. The organizational culture which support and encourage this, helps to manage the organizational change effectively. Culture also influences the management of the company for conducting training and development programs for staffs to manage changes in the firm or in its business process. Conclusion Definition of organizational culture is very simple and uniform. But for managing a business organizational culture plays an important role. It has a huge contribution in the growth and success of a company. Culture creates a strong impact on organization in various ways. It is a very useful tool of business. Organizational performance highly depends on its culture. Values, beliefs, norms etc of a company are reflected by its culture. It shows how the company treats its employees and customers. Good organizational culture helps to implement various rules and regulations which benefit the employees in several ways. Staffs get motivated by this and their commitment towards the company increases. This leads to increase of business productivity. The organizational culture which supports participative management helps to improve the performance of its employees. Culture plays a vital role for maintaining employees’ behaviour. It facilitates the company to maintain a smooth workflow process. References Armstrong, M. (2009). Armstrong’s Handbook of Human Resource Management Practice, 11th Edition. London: Kogan Page. Bamberger, P. and Meshoulam, I. (2000). Human Resource Management Strategy. CA: Sage Hiatt, J., and Creasey, T. J. (2003). Change Management. New York: Prosci. Kotrba, LM. Gillespie, MA. Schmidt, AM. Smerek, RE. Ritchie, SA and Denison, DA. (2012). Do consistent corporate cultures have better business performance? Exploring the interaction effects. Human Relations. 65( 2). pp. 241-262. Leopold, J., Harris, L., and Watson, T. (2005). The Strategic Managing of Human Resources. Harlow: Prentice-Hall. Mayo, A. (2005). The Human Value of the Enterprise: Valuing people as assets. London: Nicholas Brealey Morrill, C. 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