Changing corporate culture
The corporate culture play major roles in the corporate performance. Today, the need for changing corporate culture is increasing in order to respond to the raising competitions and rapid changes in the environment.
According to competing value framework, culture can be classified to four types. Each organization is having combination of these types. These types are shown in the table below.
Flexibility and Discretion
Internal Focus & External Focus
Clan
Direction : Collaborate
Leader Type: Team builder
Values divers: Commitment, communication, development
Theory of Effectiveness: HR development and involvement
Adhocracy
Direction : Create
Leader Type: Entrepreneur
Values divers: Innovation, Agility, output transformation
Theory of Effectiveness: Innovativeness ,vision
External Focus & Differentiation
Hierarchy
Direction : Control
Leader Type: Monitor
Values divers: efficiency, timeline, consistency
Theory of Effectiveness: control, efficiency with capable processes
Market
Direction : Compete
Leader Type: producer
Values divers: Market share, profitability
Theory of Effectiveness: customer focus, competing
Stability and Control
Organizational Culture Assessment Instrument (OCAI) is valuable measure to assess current and preferred corporate cultures. OCAI evaluates quantitatively six dimensions of corporate culture over four culture types. Theses dimensions are listed below: dominant characteristics organizational leadership management of employees organization glue strategic emphases criteria of success
Questioner need to be designed to divide 100 points over the four culture attributes for each dimension. For example the table below shows questions related to criteria for success...
... middle of paper ...
...loping human resources
Adhocracy success is depending on developing innovative products
Market success is depending on Increasing profit
Hierarchy success is depending on adhering to the processes and guidelines
Total
100
100
After that the responses for the these questioner are collected and average is calculated to define the extent of each culture type inside the organization.
The following steps is needed for changing corporate culture.
Assess the current culture
Define desired culture
Refine required changes to avoid misinterpretation.
Use Stories to exemplify the needed changes.
Develop strategic action plan
Develop Implementation plan
References:
Cameron, Kim S., and Robert E. Quinn.Diagnosing and changing organizational culture: based on the competing values framework. Revised Edition ed. Reading, Mass.: Addison-Wesley, 1999. Print.
Hackman (2009), states organizational culture is divided into three categories—assumptions, values, and symbols—and these elements provide insight into the operation of a company (p. 239). According to Hackman (2009), assumptions answer how employees and outsiders are treated, as well as how employees respond to management (p. 239). Furthermore, “Values reflect what the organization feels it “ought to do,” according to Hackman (2009). “They serve as the yardstick for judging behavior” (p. 239).
Sanders, E. J., & Cooke, R. A. (2005). Financial Returns from Organizational Culture Improvement: Translating Soft Changes into Hard Dollars. Human Synergistics/Center for Applied Research, Inc. Arlington Heights IL USA
Organizational culture is the basis for which ethical behaviors are established. The recognized levels to which ethical behaviors are or are not acceptable come directly from an organization’s culture. Organizations must lead by example in this area.
Kislik, L. (2008, May). Conducting a Culture Scan. Multichannel Merchant, 4(5), 72-73. Retrieved August 1, 2008, from Business Source Complete database.
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In his book Organizational Culture and Leadership, Schein defines the culture as: “The climate and practices that organizations develop around their handling of people, or to the espoused values and credo of an organization”.
Organizational culture can be defined as a system of shared beliefs and values that develops within an organization and guides the behavior of its members. It includes routine behaviors, norms, dominant values, and a feeling or climate conveyed. The purpose and function of this culture is to help foster internal integration, bring staff members from all levels of the organization much closer together, and enhance their performance.
According to Professor Geert Hofstede, dimensionalizing a culture requires a complex analysis of a multitude of categories including differing nations, regions, ethnic groups, religions, organizations, and genders. Hofstede defines culture as "the collective programming of the mind distinguishing the members of one group or category of people from another". Throughout his many years of contribution as a social scientist, he has conducted arguably the most comprehensive study of how values in the workplace are influenced by culture, leading to the establishment of the Six Dimensions of National Culture. From this research model, the dimensions of Power Distance, Individualism, Masculinity, Uncertainty
The concept of organizational cultures was first raised in 1970s, and soon became a fashionable topic. Organizational culture is the shared beliefs, values and behaviours of the group. Theorists of organizations believe that organizational culture represents the pattern of behaviours, values, and beliefs of an organization. Hence, studies around organizational culture have been seen as great helpful and essential for understanding organizations and their behaviours. Additionally, organizational culture has been considered to be an important determinant of organizational success. Therefore, leaders and managers pay more than more attentions on this topic, focusing on constructing and managing organizational cultures.
Corporate culture is the shared values and meanings that members hold in common and that are practiced by an organization’s leaders. Corporate culture is a powerful force that affects individuals in very real ways. In this paper I will explain the concept of corporate culture, apply the concept towards my employer, and analyze the validity of this concept. Research As Sackmann's Iceberg model demonstrates, culture is a series of visible and invisible characteristics that influence the behavior of members of organizations. Organizational and corporate cultures are formal and informal. They can be studied by observation, by listening and interacting with people in the culture, by reading what the company says about its own culture, by understanding career path progressions, and by observing stories about the company. As R. Solomon stated, “Corporate culture is related to ethics through the values and leadership styles that the leaders practice; the company model, the rituals and symbols that organizations value, and the way organizational executives and members communicate among themselves and with stakeholders. As a culture, the corporation defines not only jobs and roles; it also sets goals and establishes what counts as success” (Solomon, 1997, p.138). Corporate values are used to define corporate culture and drive operations found in “strong” corporate cultures. Boeing, Johnson & Johnson, and Bonar Group, the engineering firm I work for, all exemplify “strong” cultures. They all have a shared philosophy, they value the importance of people, they all have heroes that symbolize the success of the company, and they celebrate rituals, which provide opportunities for caring and sharing, for developing a spiri...
The concept of organizational culture is one of the most debated topics for researchers and theorists. There is no one accepted definition of culture. People even said that it is hard to define culture and even more change it. It is considered a complex part of an organization although many have believed that culture influences employee behavior and organizational effectiveness (Kilmann, Saxton, & Serpa 1985; Marcoulides & Heck, 1993; Schein, 1985a, 1990).
Frost, P. J., Moore, L. F., Louis, M. R., Lundberg, C. C. & Martin, J. (1991). Reframing Organizational Culture. Newbury Park, CA: Sage.
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