What Is Cypress's Competitive Culture

Cypress is formally organized into a multi-divisional system. On the primary layer, Cypress is functional; it is divided into Products, Finance, R&D, Marketing, and Manufacturing. Within these departments, it is market-based by both product and geography. From Rodgers’ recruitment system to killer software, Cypress’ architectural features instill and maintain the company’s competitive and cutthroat culture. The tight control of the hiring process reflects the internationalization of Cypress’ competitive culture. The pressure and expectation for candidates to sign job offers on the spot demonstrates the need for employees’ to identify with the inherent values of the company. Hiring is not only a process but also a mindset. The raiding parties
Rodgers declares, “Cypress will compete in any market, with any competitor, at any price, and still make a profit--a good profit.” Cypress’s strategy features a blend of low-cost leadership and product differentiation. The semiconductor firm has taken measures to ensure improvement in the cost-efficiency and productivity of their operations by implementing cycle-time and inventory-reduction programs. Cypress’s culture promotes a winning mentality upheld by Rodgers, the authoritarian leader at the top. Cypress’s culture encourages employees to place company interests above all else. Rodgers holds employees accountable for the tough, non-compromising expectations that they must complete. Cypress’s cutthroat culture does not align with their strategy to be low cost and reap the benefits of their products with high revenues. The control-oriented culture does not align with the goal to be technologically innovative. This environment does not foster creativity, as it discourages employees from taking
While this culture is beneficial to low cost strategy in the short run, a culture that emphasizes innovation is essential in the long run for product development. Overall, the strong competitive culture creates a situation in which employees do not express creative ideas because the cost of doing so it too high. For example, the performance ranking system hinders employees from taking risk for fear of a low ranking and lower compensation, causing them to feel like “losers” (Pp.14). Furthermore, the killer software, and its harsh deadlines and public goal performance, causes employees to value efficiency over creativity. They prioritize meeting deadlines over taking the time to develop creative ideas. This is caused by the fear of the consequences for not meeting deadlines, and ear of their coworker’s perception of their performance, caused by the software. Overall, the current culture and formal organization puts the cost of innovation too high in employee’s eyes. Because of the high risk involvement with expressing a creative idea, Rodgers must create a culture that formally and informally celebrates innovation and