Organisational Culture and How It Is Reflected in an Organisation - Coursework Example

Organisational culture and how it is reflected in an organisation Introduction Organisational culture is a vague and multifaceted concept that lacks a standard or precise definition. Nonetheless, it is commonly described as an organisation’s conventional practices and modes of operation. Organisational culture is also considered as an organisation’s general climate or ambiance (Evans, 2001). Over the years, researchers have come up with different definitions for the concept of organisational culture. For instance, Schein (1984) defines organisational culture as the basic pattern of assumptions that guides decision making in an organisation. On the other hand, Ojo (2009) considers organisational culture as a set of characteristics, beliefs, values and behaviours that distinguish an organization from others. Nevertheless, the essence of organisational culture is that it epitomises the way things are done in an organisation. Essentially, organisational culture is a basic pattern of assumption relating to how members of an organisation cope with variables in their external environment and how they act within the organisation. These assumptions determine how members of an organisation perceive, feel , think and act in their day to day undertakings in the organisation (Smith, 2003). Alvesson (2012) notes that, organisational culture significantly impacts on leadership, management practice, organisational effectiveness, productivity and employee morale. Therefore, organisational culture is influential in the overall practices, effectiveness and success of an organisation. The key aim of this essay is to critically examine what organisational culture entails and how it is expressed within the organisation. Foremost, this essay will define and examine various dimensions of organisational culture. Subsequently, it will examine how organisational culture is expressed within the organisation particularly with regards to employee performance and organisational effectiveness. Lastly, this essay will look at how organisational culture is linked and reflected in leadership. Dimensions of organisational culture According to Shukla (2008) organisational culture is an overall constellation of beliefs, value systems, behavioural norms, morals and ways of doing business that are distinct to each organisation. Similarly, Inceoglu (2002) observes that organisational culture is “the glue that holds an organisation together through a shared pattern of meaning” (Inceoglu, 2002, p. 16). Generally, organisational culture is often regarded as the basic beliefs and assumptions that are shared by members within an organisation. These beliefs and assumptions unconsciously influence how members of an organisation operate and respond to situations or challenges within their internal and external environment. With time, these beliefs and assumptions permeate the organisation, become accepted and automatically ingrained in an organisation’s routine practices. Consequently, they distinctively become the accepted way of thinking and doing things (Evans, 2001; Schein, 2004). Nevertheless organisational culture is more than just beliefs and assumptions. It comprises of different distinctive aspects. The culture of an organisation can be distinguished from related aspects such as norms, climate, symbols, customs and formal philosophies. These aspects reflect the culture of an organisation however, they do not exclusively embody an organisation’s culture. In order for any phenomenon to be considered as a culture it not only has to be shared but it also has to be stable and run deep. There are basically three levels of culture namely; assumptions, values, artifacts and creations. Assumptions epitomise the deepest level of an organisation’s culture. Assumptions are the underlying convictions shared by members of an organisation. They shape and guide how people within the organisation perceive, feel, think and behave. Values develop through problem solving. When a certain approach helps to solve a problem reliably, with time it is adopted as “the way of doing things.” It is eventually transformed to a shared organisational value and become ingrained within the organisation. Lastly, artifact and creations are the tangible aspects of organisational culture. They may include an organisation’s physical space, technology, ceremonies, behaviour, style of dressing and language among many other elements. These elements are the most visible features in an organisation’s culture (Evans, 2001; Schein, 2004). How organisational culture is expressed According to Hofstede (1997), culture significantly influences how people think and behave therefore , it is important to understand organisational culture and its impact. Once an organisation’s culture is established it shapes and influences the perceptions, understanding and behaviours of people within the organisation. It provides a pattern for organisational learning and exacts a significant influence on the way that organisational process such as recruitment, orientation and management are carried out. Moreover, organisational culture influences the way in which the organisation addresses challenges in the external environment. It dictates how members of an organisation interpret and respond to issues in the internal and external environment (Alvesson 2012; Evans, 2001). Organisational effectiveness is largely a product of organisational culture. According to Robbins & Barnwell (2006), organisational effectiveness is the extent to which an organisation is able to attain its short term and long term goals efficiently. Organisational culture can provide a shared system of meanings and values which helps to form the basis of mutual understanding and effective communication. In a case where there is no shared meaning or values, it may be difficult to understand each other and work cohesively. This may negatively impact on the efficiency and effectiveness of the organisation (Furnham & Gunter, 1993). Furthermore, organisational culture can act as a tool for management control. For instance, manager in an organisation can employ common values and selected symbols to direct employee behaviour. Hellriegel et al (2001) notes that, organisational culture has the potential of influencing problem solving, performance and employee satisfaction within the organisation. Similarly, Ojo (2009) argues that, organisational culture is positively correlated with employee performance. For instance, a positive organisational culture that is characterised by practices such as employee motivation and increased employee participation may directly lead to improved employee performance (Ojo, 2009). Grindle & Hilderbrand (1995) concur that positive organisational cultures motivate employees and may have a substantial impact on their individual performance. Fox (2007) and Robbins (2009) observe that, there are seven key characteristics that effectively reflect organisational culture. These characteristics include; risk tolerance, structure, support, individual autonomy, identity, performance reward and conflict tolerance. In every organisation these characteristics can either be on a low or high continuum. Risk tolerance entails the extent to which members in the organsiation are given room to experiment, take risks or become innovative. Some organisations have a culture whereby employees are encouraged and given opportunities to experiment, take risks and become innovative. In other organisations, the atmosphere, rules and management practices discourage risk taking, employees are given little room to exercise their creativity or embark on innovative ways of solving problems (Fox , 2007; Robbins, 2009). Structure refers to the extent in which rules, regulations and direct supervision are applied in management and controlling of activities that members in the organisation embark on. Some organisational cultures are characterised with practices which regulate employee behaviour with strict rules and regulations. Employees are highly supervised and expected to act and behave in accordance to the stipulated code of conduct. Deviation from the expected code of conduct is discouraged using steep penalties or consequences. Other orgnisational cultures are characterised by flexible rules and less supervision (Fox, 2007; Robbins, 2009). For instance, Parker and Bradley (2000) observe that, the organisational structure in the public sector is mostly characterised by a strong emphasis on traditional bureaucratic values. Conversely, the organisational structure in the private sector is largely characterised with values such as adaptability, flexibility and production as opposed to adherence to the set rules (Parker & Bradley, 2000). Support entails the extent in which assistance is provided to employees in an organisation by their superiors. Some organisations cultures offer a high degree or support to their employees whereas others may provide very little (Fox, 2007). According to Fox (2007), individual autonomy refers to the extent in which employees in an organisation are given personal responsibilities or opportunities to embark on initiatives independently. Some organisations have a culture where work roles are delegated on an individual basis rather on a group basis. In others, work roles are delegated to groups rather than to individuals. On the other hand, identity refers to the extent to which members of an organisation view themselves as part of the organisation rather than as individual professionals. Some organisations have a culture whereby a majority employees view themselves more as individual professionals. In other organisations, organisations employees identify more with the organisation than their individual profession or work groups (Fox, 2007). Performance reward refers to extent in which employees in an organisation are rewarded based on their performance. Some organisations have culture where decisions made by the management take into account or acknowledge the performance outcomes realised by the people within the organisation. In other organisations little focus is given to the performance outcomes realisd by people within the organisation (Fox, 2007; Robbins, 2009). Lastly, conflict tolerance refers to the extent of conflict in relationships within the organisation. It also touches on how members of an organisation are tolerant to differences and how they address differences that occur amongst them (Fox, 2007). Some organisations have a culture where conflicts are highly avoided and discouraged. In other organisations, conflict resolution mechanisms have been put into place thus allowing employee to be open and sincere about their differences (Fox, 2007). Organisational culture and leadership A considerable number of studies have examined the relationship between organisational culture and leadership (Hakan, 2012; Schein 1992; Schein 2004). The reoccurring theme in most of these studies is that the relationship between organisational culture and leadership is two-way or symbiotic. This implies that, leadership significantly influences organisational culture and at the same time an organisation’s culture may influence the type of leadership approach or practices employed in an organisation (Bass & Avolio, 1993; Buble, 2012; Ogbonna & Harris, 2000; NLA, 2007). Schein (1992), identified various ways in which leaders may shape organisational culture. He notes that leaders may influence organisational culture by what they pay attention to, their reaction to incidences, the criteria that they use for resource allocation, how they allocate rewards and the criteria that they use for recruitment, selection, promotion, demotion and disciplining employees. He further observes that leaders can influence organisational culture through coaching , training and motivating employees. The ideals, values, personality and leadership style of a leader can significantly influence organisational culture. According to Bass & Avolio (1993), an organisation’s culture is largely shaped by the influences of its leaders. The leadership style used in an organisation has particularly a strong influence on the culture of an organisation. There different types of leadership styles , some of the commonly used leadership styles include; authoritarian, democratic, laissez-faire, transactional and transformational leadership styles. These leadership styles may have a direct or indirect influence on organisational culture. For instance, in an organisation where an authoritarian leadership styles is used, the organisational culture is likely to be characterised by direct supervision, little consultation in the course of decision making, one-way communication and strict regulations (Martindale, 2011). On the other hand, in an organisation, where a laissez-faire leadership styles is used there is high likelihood that the organisational culture is characterised by autonomy, self-rule, flexibility and innovativeness (Johnson& Hackman, 2003). Moreover, a transformational leadership style may have a significant influence on organisation culture. Bass & Avolio (1993) observe that some of the key characteristics of transformational leadership include; individualised consideration, idealised influence, motivation, inspiration and intellectual stimulation. Often times, transformational leaders integrate creative insight, intuition and sensitivity to others when leading their organisations. These practices in turn shape organisational culture. In an organisation where transformational leadership is used, the organisational culture is characterised by collective identity, risk taking, innovation and practices geared towards employee motivation. Martin Luther King Junior leadership in the African American Civil Rights movement is a good example of the impact of transformational leadership on organisational culture. Based on his famous speech “I have a dream”, it is evident that he employed aspects of transformational leadership such as individualised consideration, idealised influence, motivation, inspiration, intellectual stimulation, creative insight, intuition and sensitivity to others. Through his approach of leadership he significantly influenced the values, goals and practices of civil rights movements in America. For instance, he influenced the use of non-violent protest and civil disobedience in the fight for freedom and equal rights (McGuire & Hutchings, 2007). Organisational culture also has a significant influence on the type of leadership approach or practices employed in an organisation. Different dimensions of organisational culture such as assumptions, values, artifacts and creations may have a direct impact on leadership approach or practices used. Furthermore, the structure of an organisation could also influence leadership practices. In reference to Hofstede (1980), it is plausible to argue that values and beliefs held by members of an organisation directly influence the extent to which the behaviors of leaders within an organisation are enacted and the extent to which the leadership practices used are considered acceptable, effective and legitimate. The leadership approach used by the current Secretary-General of the United Nations Ban Ki-moon provides a good example of how organisational culture may have a profound impact on leadership. As an international organisation, the United Nations consists of 193 member states with significant cultural differences. According to Estes (2012), the culture of a society has profound influence on the style of leadership. Since Ban Ki-moon is originally from South Korea, it is expected that his leadership style reflects the South Korean culture. The South Korean culture is largely based on Confucian principles and beliefs which accentuate on situation ethics, discipline, autocratic and hierarchical leadership, unwavering obedience and submission to authorities (Estes , 2012). However, since the start of his tenure as the secretary general of the United Nation, Ban Ki-Moon has displayed a consultative, democratic and partnerlistic approach to leadership which negate from his South Korean culture. This is evident in his recent directives on issues relating to war in Syria (The Australian 2012). Conclusion Basically, this essay has examined what organisational culture entails and how it is expressed within the organisation. The findings of this essay convey that there are different perspectives regarding what organisational culture entails. Organisatonal culture is commonly regarded as a basic pattern of assumption relating to how members of an organisation cope with variables in their external environment and how they act within the organisation. These assumptions determine how members of an organisation perceive, feel , think and act in their day to day undertakings in the organisation (Smith, 2003). However, organisational culture is more than just beliefs and assumptions. It comprises of different distinctive aspects that are broadly categorised as assumptions, values, artifacts and creations. There are various ways in which organisational culture is reflected or expressed. This essay particularly focused on exploring how organisational culture reflected in organisational effectiveness and leadership. It was established that, organisational culture has the potential of influencing problem solving, performance and employee satisfaction within the organisation. A positive organisational culture that is characterised by practices such as employee motivation and increased employee participation may directly lead to improved employee performance and organisational effectiveness (Ojo, 2009).With regards to the relationship between organisational culture and leadership, this essay established that, the relationship between organisational culture and leadership is two-way .Leadership significantly shapes organisational culture and at the same time an organisation’s culture influences the type of leadership approach or practices employed in an organisation (Bass & Avolio, 1993; Buble, 2012; Ogbonna & Harris, 2000; NLA, 2007). References Alvesson, M. (2012). Understanding organisational culture. London: SAGE. Bass, B. M & Avolio, B. J. (1993). ‘Transformational leadership and organisational culture’. Public Administration Quarterly 17(1): 112-121. Buble, M. (2012). ‘Interdependence of organizational culture and leadership styles in large firms’. 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