Organizational Culture - Essay Example

Organizational culture helps to shape the performance of an organization as it helps to develop and create the required work culture which increases the chances of achieving the goals. As organization culture is based on common beliefs, customs, traditions and values it helps to bind the organization and bring people together so that better objectivity can be expressed in carrying out the different activities. This provides the required directions and helps to put the entire efforts in a coordinated manner which thereby preserves the valuable resources. This helps in the development of a common norms and principles which also act as a guide and a code of conduct through which the different functions of the organization can be carried out effectively. This paper thereby analyzes organizational culture by looking at what organizational culture is, how it facilitates in the development of organization, the different benefits which organizations are bound to get over a longer period of time and the manner in which having an organizational culture helps in the growth and development of organization. This is supported by different theories and models which will help to understand the different underlying aspect of organizational culture and bring together the entire organization so that the goals can be achieved in the most purposeful manner. This will thereby help to link organizational culture with different aspect of the organization like leadership and will provide the framework through which superior performance can be delivered. Before proceeding ahead it is important to understand what organizational culture actually is. It has been defined by scholars and academicians as set of common values, beliefs, assumptions, feelings and perception which helps to unite and bring the entire workforce together so that they can be guided for a common objective (Leung & Bond, 2009). The culture helps to determine the style of working of the employees and set the directives based on which the employees will act. For example, if an organizational culture denotes innovativeness it will result in the employees taking steps which are innovative and new when faced with a difficult situation (Bass, 2007). This culture will make the employees to find out ways which are better and innovative so that the entire work can be carried in an effective manner. Organizational culture is thereby an important aspect for organization and it facilitates the organization to carry out the different activities in the best possible manner. This act as a point which helps to develop relationship among organization, colleagues, employees, customers and others as every organization denotes a different culture and based on the compatibility between different organization a framework is developed which will help to accomplish the task in the most effective manner (Leung & Bond, 2009). This acts as a point where the management is able to understand the different forces which when acted upon will help to develop the required parameters through which efficiency will be improved and the chances of accomplishing the group goal increases. Every organization thereby exhibits different traits and characteristics which help to find out the culture which is prevalent in the organization. Despite having different organizational traits and characteristics organizational culture highlights the following in common Firstly, organizational culture provides individual autonomy which thereby ensures that the employee can create a personal space for himself. This allows the employees to perform and show his credibility to the organization based on which the long term future of the employee will be determined. Secondly, it facilitates in the development of a structure which helps to establish relationship, develops objectives and performance parameters. This thereby brings all employees under a common umbrella and provides an opportunity through which employees can work in a coordinated and predetermined manner. Thirdly, it develops an environment which helps the employees to understand their roles and responsibilities as correct authority and powers are passed on to employees at all levels (Hickson, Hinings, McMillan & Schwitter, 2004). This develops the required binding within which the employees have to perform as helps the employees to work in the best possible manner Fourthly, it facilitates the creation of identity within the organization as employees who contribute positively can be recognized (Hickson, Hinings, McMillan & Schwitter, 2004). This helps the organization to develop the required talent for future responsibilities and provides the opportunity through which the development of employees for the future becomes possible. Fifthly, it helps in the creation of a reward management system where employees are rewarded based on their contribution towards the organizational goals. Since, organizational culture facilitates the process of identifying the employees who contribute positively so it will ensure transparency in developing the reward management system where the hard working employees will be differentiated from others and will be compensated fairly for their work (Hickson, Hinings, McMillan & Schwitter, 2004). Sixthly, it helps to find out the risk tolerance ability of the organization as organization which are innovative will denote a culture of taking risk compared to the ones which are not and will thereby help to develop the required framework through which future strategies can be planned based on the risk appetite of the employees and the organization on the whole. Organizational culture is thereby a composition of different elements which helps them to distinguish their performance and behavior from other organization in a specific way. Organizations lay importance to developing an organizational culture as it helps the organization to achieve the following Firstly, it helps to prescribe a code of conduct which every employee within the organization is expected to comply with. This helps to lay down the required norms and expectations within which the employees will perform (Burns & Stalker, 2009). It is further expected that no employees will look to move away from the expected norms and will work as per the guidelines provided to them. Secondly, it ensures stability within the organization. This facilitates in the development of better relationship with employees, customers, management, suppliers and others associated with the organization (Burns & Stalker, 2009). This thereby helps the organization to depict a common behavior which will improve the overall relevance of work. Thirdly, it provides the employees with social recognition which thereby motivates the employees (Burns & Stalker, 2009). It helps the employees to fulfill one of the expected desires and provides an opportunity through which they become better committed towards the goals. Fourthly, the use of resources within the organization improves. This is primarily due to the fact that the motivation level of the employees improves. They become more committed towards the organization which reduces wastage and brings the entire workforce to work in the most productive manner (Burns & Stalker, 2009) Fifthly, it creates discipline within the organization which will ensure that the employees will act in a fair manner (Burns & Stalker, 2009). The prescribed code of conduct at this juncture ensures that the level of commitment for the employees’ increases and converts into a point through which overall development of the organization becomes possible. Sixthly, it helps to develop a positive attitude among the employees as it creates the required fundamentals which help the employees to perform in the best manner. This converts into an opportunity for the business which increases the chances of carrying out the different activities in the best manner (Burns & Stalker, 2009). Organizational culture thereby helps the organization and facilitates a process which helps to ensure that the work can be carried out in an effective manner. This provides an opportunity where the resources are used in the best manner. The fact that all organization are different and demonstrate different traits and characteristics it is important that some model are used which will help to understand the manner in which organizational culture will help the organization to work in the most effective manner. One model which looks at analyzing the different traits which an organization highlights is the Trompenaars’ and Hampden-Turner’s which focuses on identification of traits or characteristics of an organization based on seven parameters. The model has identified seven different cultural dimensions on which the organizational culture is to be measured and will help to understand the manner in which the organization will perform. The seven parameters which have been identified are as (Trompenaars and Hampden-Turner, 2013) Universalism versus particularism Individualism versus communitarianism Specific versus diffuse Neutral versus emotional Achievement versus ascription Sequential time versus synchronous time Internal direction versus outer direction The different indicators identified under the model require certain characteristics and traits to be demonstrated by the employees and the organization to be identified as the culture which is largely demonstrated within the organization. For example an organization demonstrating universalism culture will give importance to rules and will work according to the guidelines at all situation where as an organization with particularism culture will look to develop relationship and based on it will look to achieve the goals. The final objectives of both the culture are the same and aim at achieving the organizational goals but in a slightly different way. This thereby ensures that the organizational culture reflects the working style and helps to facilitate a process through which the resources will be used in the best way. Organization which has identified the culture based on its working style and different traits and characteristics are able to ensure that they are able to identify the manner in which they will be able to perform. Those organizations understand their strengths and weakness and based on it looks towards developing steps through which the chances of achieving the goals increases. This will help to facilitate an environment where the organization will be able to use the resources in a better manner. This will also require that the leaders within the organization take additional role in carrying out the different activities which will thereby shape the performance of the entire organization and help to develop a culture which facilitates growth. Another model which can be applied to understand the manner in which organizational culture evolves is the Hofstede’s Cultural Dimension. This model has identified five important parameters based on which culture within an organization can be expressed. Organizations fall under a particular cultural trait and dimension based on the working style which is being demonstrated by the organization. The Hofstede’s Cultural Dimension is based on five traits and is as (Hofstede, 2013) Power Distance Individualism Masculinity Uncertainty Avoidance Long Term Orientation The model has identified the different dimensions and traits based on which the organizational culture is determined. The model is similar to the other organizational cultural model which has been developed and aims at identifying the relationship between organizational culture and the working style. The above mentioned model weighs the organizational culture on all the above mentioned five parameters and looks to identify whether the organization is high or low on a particular model. This thereby helps to lay emphasis on the working phenomenon and helps to establish the required relationship which will focus on long term relationship and developing a working culture which will facilitate growth. Despite, having a particular preference towards a particular culture it is imperative that the leader looks towards transforming the culture in such a manner that it will facilitate the employees within the organization to interact with each other and other organization in a productive manner (House & Aditya, 2007). The process will require that the leader uses his leadership skills to shape the performance and transforms the working culture in such a manner that it highlights productivity and helps the organization to accomplish the bigger goals. Organizational culture thereby facilitates the organization in carrying out the different roles and responsibilities instead of hindering the performance as it looks to lay down a code of conduct. This code of conduct is the guiding rules which every employee within the organization is expected to perform. Since, the code of conduct prescribes the manner in which the employee will act and determines the steps which and behavior which is expected of an employee will help to bring the entire organization together. The process will facilitate in a development of culture where people believe each other and have the mutual trust which will help to accomplish even the difficult task (Gagliardi, 2006). This ensures that the efforts of the employees becomes recognized which will provide them the required zeal and enthusiasm to perform in a better manner. The entire process thereby develops and creates a circle through which the goals will be common and will ensure better level of commitment from the employees. To have a culture where maximum productivity occur it is imperative that the leaders act in a responsible manner. The leader will have to use his leadership skills and will have to shape the performance of the employees. This can be largely achieved by guiding the employees and creating the required culture within the organization. Based on the organizational culture the leader will have to hire the require talent and provide the required training so that the overall culture gets reflected in the working style (Dorfman, 2006). This has to be matched by the required flexibility which will ensure that the organization is able to make the required changes and will be able to deal with different organization in the most effective manner. This will help to ensure better competitors and understanding the overall level of competition will ensure that the goals can be best achieved. Leaders at this juncture have to adopt the different models and theories through which the organization will be able to find out the different directives through which proper organizational culture models can be developed. This will help to understand the different variables which will thereby bring a transformation in the process of carrying out different activities. Developing and molding the correct organizational culture will help to revolve the working style and will develop the overall parameters through which efficiency will be gained. Having an organizational culture which is reflected in the working style will help to ensure proper transformation and use of resources through which ensure that the overall productivity for the organization is developed. Thus, the paper highlights the manner in which productivity within the organization can be changed by developing an organizational culture which will facilitate the development of more and more business. To ensure maximum effectiveness it is imperative that the leader looks towards developing an organizational culture through which productivity improves and the working style will help to bring the overall productivity under control. Working and developing the required parameter will ensure that the overall productivity of the organization will increase and will develop a culture through which the organization improves. The overall productivity will thereby translate into better productivity and will help to ensure that the organization is able to find out the mechanism through which culture develops. Using the different models and theories will further help to improve the overall process and will ensure that the business is able to work on a culture through which business is able to gain maximum productivity. Organizational culture will thereby ensure that the business will be able to develop the required fundamentals through which better performance improves and goals can be achieved in the best manner. References Bass, B. M. (2007). Does the transactional-transformational leadership paradigm transcend organizational and national boundaries? American Psychologist, 52(2), 130-139 Burns, T., & Stalker, G. M. (2009). The management of innovation. London: Tavistock Publications, Tavistock Centre Dorfman, P. W. (2006). International and cross-cultural leadership research. In B. J. Punnett & O. Shenkar (Eds.), Handbook for international management research (pp. 267-349). Oxford, UK: Blackwell Gagliardi, P. (2006). The creation and change of organizational cultures: A conceptual framework. Organization Studies, 7(2), 117-134 Hofstede, G. (2013). Hofstede’s Cultural Dimension. Retrieved on August 8, 2013 from http://www.mindtools.com/pages/article/newLDR_66.htm Hickson, D. J., Hinings, C. R., McMillan, J., & Schwitter. (2004). The culture-free context of organization structure: A tri-national comparison. Sociology 8, 59-80. House, R. J., & Aditya, R. N. (2007). The social scientific study of leadership: Quo vadis? Journal of Management, 23(3), 409-473 Leung, K., & Bond, M. H. (2009). On the empirical identification of dimensions for cross-cultural comparisons. Journal of Cross-Cultural Psychology, 20, 133-151. Trompenaars and Hampden-Turner. (2013). The Seven Dimensions of Culture. Retrieved on August 8, 2013 from http://www.mindtools.com/pages/article/seven-dimensions.htm Read More