Innovation In Organizational Culture

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Investigating insights into the links between the distinct layers of an organization 's culture and innovative behaviors and performance

A b s t r a c t As Innovation appears to be the key to organizational survival, processes supporting innovation is the area that researchers and practitioners are interested in. Schein 's multi-layered model of organizational culture provides a more comprehensive framework from which researchers can consider processes supporting innovation. This skillful model has a crucial difference between the distinct layers of organizational culture, namely, values, norms, artifacts and behaviors. The present study has been designed based on the assumption that Schein 's model offers a manageable explanation of
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As a key driver of economic development, innovation plays a pivotal role in competition at both firm and the national levels (Tellis, Prabhu, & Chandy, 2009); and considering the organizations’ dynamic and complex conditions in the face of global competition, organizations’ need to innovate becomes continually stronger (Tellis et al., 2009). According to previous literature, there is a positive link between innovation and a range of desired performance outcomes (Garcia-Morales, Matías-Reche, & Verdu-Jover, 2011). Therefore, empirical studies have thrown new light on innovation. The major part of this study focuses on manufacturing firms and literature seems to reveal lack of empirical studies with reference to supporting innovation in service firms that deliver high “value added” services. One proposition is that organizational culture is a key player that encourage processes supporting innovation (Tellis et al., 2009); and this view is more relevant in the context of professional service firms. The concept of organizational culture has its origins in cultural anthropology and is popular within the organizational behavior, management, and marketing literatures (Gregory, Harris, Armenakis, & Shook, 2009; Schein, 1992). According to Schein (1992), Organizational culture is the beliefs and values determining the norms of expected behaviors that employees are expected to show. Organizational culture considered as a social force that is mainly invisible but very powerful (Schein, 1992) and based on empirical evidences it significantly affects market and financial performance and market-oriented behaviors, employee attitudes and organizational effectiveness (Gregory et al., 2009). Compared to organizational strategy and structure, Organizational
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