Just as people have personalities so to do organizations. Organizational culture refers to a system of shared meaning held by members that distinguishes one organization from another.
Each organization has its own distinctive culture. It is a combination of the founders, past leadership, current leadership, events, history and size. It also takes into consideration the formal and informal systems, rules, traditions and customs All of this directly impacts on the individual’s behavior in the organization.
Robbins (1984) describes ten characteristics which are combined to expose the essence of an organizations culture:
Robbins (Essentials of an organizational behaviour 8th Edition) also explains through the ‘socialization model’ that new employees who enter organizations go through three stages before adapting to the organizations culture:
Pre-arrival stage: Employee arrives with a their own culture Encounter stage: Employee encounters new culture of the organization Metamorphosis stage:Employees work out there problems that were discovered in encounter stage
Robbins Socialization model shows that, once metamorphosis has taken place the employee should have a positive impact on his productivity and commitment, which in turn should reduce the employees need to leave the organization.
To have a successful company, the culture needs to be aligned with the company’s values, for example in my company one of our values is that we supply quality products. We are ISO certified and use a quality management system to maintain our quality. Unfortunately this has created a “chop the trees “culture coupled with an “un-helpful” culture in our company, you cannot do, request or change anything without someone asking for it in writing. If an order is placed paper work needs to be processed from six different departments i.e. sales, estimating, purchasing, accounts, dispatch and operations. My main issue with this type of culture is that we lose productivity. If we look at time versus productivity, we spend more time in producing paperwork before we even start manufacturing. The other issue is that people in the company have become unhelpful due to this culture.
My recommendation is that we still continue our quality management procedures in operations, but cut down on the paper trail by at least half. This will free up much value time and in time hopefully change the culture that everything requires paperwork. People will do things without someone having a request form, but it will all have to start right at the top with the leaders and work its way down.
Generation of new knowledge
It has been found that a company’s culture has a direct impact on revenue and profit. Research indicates that 28 percent of revenue and profit can be explained by differences in organisational culture. “The healthier the culture in a company, the healthier the turnover” It has also shown that the leadership style in an organisation has a significant impact on the company’s culture, and the way leaders behave will directly influence the culture. It is imperative that leaders understand the impact that they have on the organizational culture as it impacts on performance.
Leaders and managers are not the same.
Leadership and management are two separate concepts. Leaders are followed and managers give rules. A leader has a strategy for change and a manager maintains the status quo. Leaders create teams and mangers fill the positions. Leaders motivate and inspires a manager is controlling and problem solving.
The fundamental purpose of management is viewed...