(Watkins 2013) A number of studies have stressed the importance of organizational culture, since its affects employee’s productivity, commitment, engagement, and shapes behavior. (Sørensen 2002; Peters & Waternman 1982) This leads to an understanding that organizational culture is indeed an
In business management, organization culture is perceived to be a very significant element of the organization’s performances. Nevertheless, Watkins (2013) suggests that organization culture is one thing to really comprehend what it is. He says, “As there is a collective agreement that exists and have a crucial role in influencing the behavior in an organization, there is a minimal consent of what organization culture entails” Watkins (2013). However, few authors have tried to define what it is and according to Schein (2004) culture is “ a concept but its attitudinal and behavioral effects are very concrete.” He continues to suggest that it is a dynamic experience that is shaped through people’s interaction and that which is created by our
There are different organizations having their own organizational culture. They have unique organizational culture due to their company strategies. Some organizational culture is perennial and some are only for short term planning. However, a strong organizational culture is one of the major factors that makes an organization to be successful. In the essay, I will analyze strong organizational culture that can increase the overall performance of a firm and utilize different theories to support the views.
THE IMPACT OF LEADERSHIP AND CHANGE MANAGEMENT STRATEGY ON ORGANIZATIONAL CULTURE CRITICAL SUMMARY: In this paper, we present the impact of leadership and change management strategy on organizational culture. At first, we present the notion of culture. There are many attempts to describe “organizational culture”, many of which are presented in this paper. After an assessment of organizational culture, the role of leader is pinpointed. We favor the view that strategic leadership needs to be transformational if it is to serve the organization.
This culture is highly effective in large organizations where the number of workers is too much. This culture clearly defines the responsibility and authority of individual helping in the appraisal that was required by the individual.
Concepts such as leadership, decision making, team building, motivation, and job satisfaction are all facets of organizational behavior and responsibilities of management. Understanding not only how to delegate tasks and organize resources but also how to analyze behavior and motivate productivity is critical for success in management. Organizational behavior also deals heavily in culture. Company or corporate culture is difficult to define but is extremely relevant to how organizations behave. A Wall Street stock-trading company, for example, will have a dramatically different work culture than an academic department at a university.
I am going to discuss whether an organisational culture can raise and improve the overall performance of a company or not. The reason why I would like to write about this topic is that I think it is a quite interesting theory and concept, I want to dig deeper in the effects of organizational culture and learn more through writing this essay. I want to discover how organisational culture will positively or adversely affect a firm’s performance. By reading my essay, readers can have a better understanding of the term ‘organizational culture’, clearly know what can affect the organizational culture. Also, real life example from McDonalds will be provided in this essay in order to illustrate my ideas and support my arguments.
According to Wagner (1995), organizational culture has a strong impact on employees’ behavior and attitudes. Given the dynamics of culture and human behavior, studying how employees commit themselves to their organization has become essential in the context of management, and there are a few research reports. For example, Lok and Crawford’s (2001) study showed the significant impact of organizational culture on the commitment of employees. Deal and Kennedy (1982) also recommended that organization culture affects the commitment of employees within the organization, and the strength of organizational commitment is associated with the strength of organizational culture. That is, organizational culture could play an important role in enhancing commitments and improving performance of employees.
Watkins says that culture is a behavior, the Organizational Culture (OC) means that the patterns of behavior that can be observe in an organization. Based on another research, it stated that OC is the one of the important role, because it will affect the ethic business decision making. Normally cultures will influence the ethic and behavior of the people (Okpara, 2014). Therefore, the culture of the organization will affect the whole organization either in good or bad performance. .According to the research, it shown that the relationship between culture and the organizational development and change is positive, if the organization willing to change, it will affect their performance of the organization because a strong culture will affect the performance of the organization and help the employee to achieve the goal (Tsai, 2011).
For this reason, it is important to look beyond the challenges of an organizational culture as put forth by Harms (2008). Instead, the main area should be on the advantages and the consequences of not having a system in place as highlighted by Baysari et al. (2008). The importance of adopting an organizational culture are so many they cannot be enumerated on paper. Lund and Aaro (2004) focus on the fact that having an organizational culture in place can bring about an attiude change which can contribute greatly in reducing the rate of accidents experienced.