The Influence of Corporate Culture on Organisational Change of First National Bank of Namibia

Topics: Change management, Management, Organizational studies Pages: 16 (5043 words) Published: May 6, 2013
The Influence of Corporate Culture on Organisational Change of First National Bank of Namibia Evelyn Chiloane-Tsoka University of South Africa, South Africa Keywords Culture, change, corporate culture, organisational culture, organisational change, organisational members, resistancee to change, change management, staff members, FNB Namibia, bank.


Change is invariable and continuous, and has become inevitable in almost every sphere of business. The FNB Namibia operates in a highly vibrant competitive environment that is influenced by external and internal change drivers, and has not been resistant to any forces of change. This study was conducted to examine the relationship between corporate culture and organisational change of FNB Namibia. In this study corporate culture is the independent variable while organisational change is the dependent variable under the investigation. The data were collected through the questionnaires distributed to the staff members of the bank. A total of 50 questionnaires were administered, 33 of the questionnaires were correctly completed and returned. The findings showed that there is a relationship between corporate culture and organisational change. The findings also showed that the dominant existing organisational culture at the bank is hierarchy culture. Even though hierarchy culture is found to be the dominant organisational culture of the bank, the findings however, further revealed that the bank has adopted all four types of organisational culture. The study also found that different types of organisational culture have different levels of perceptions towards organisational change.

Organisational change has become one of the important aspects in organisations to guarantee their survival in the increasingly changing business environment. Organisations need to change to accommodate internal developments and be able to respond and adapt to the external factors. As organisations respond to those factors arising from internal and external environments, many aspects emerged to obstruct organisations’ efforts to effectively implement the necessary mechanisms adopted to ensure the organisations’ success. One of those aspects is organisational culture. The concept of organisational culture has been popular for the past few decades. Zhou-Sivunen (2005:12) is in support with this statement by indicating that ‘since the 1980’s, there has been an increase in the attention paid to organisational culture as an important determinant of organisational success’. Even though this is the case, most organisations still do not understand what organisational culture really is, and what implications it has on the organisational change. Furthermore, numerous academics have developed integrative models and frameworks of organisational change and organisational culture to help organisations realise effective change and perform efficiently in this dynamic business setting. This study explores the aspects of organisational change, organisational change models, organisational culture and its influence on organisational change of FNB Namibia.

Organisational readiness for change
Organisational readiness can be referred to as an organisation members’ psychological and behavioural commitment to the implementation of an organisational change. This is because it is believed that readiness is reflected in the organisation members’ attitudes and beliefs about the need for change, and the organisation’s capacity to successfully implement changes. Susanto (2008:50) believes that ‘organisational readiness for change from members of the organisation is a critical factor in successful change implementation’. If the organisation attempts to implement change while its members are not prepared for it, then the change process will be costly and overwhelming because change managers have to spend more time and money dealing with resistance to change. Susanto (2008) states that if


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The Business & Management Review, Vol.3 Number-2, January 2013
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