The Role of Organization Culture in an Organization

 

The Role of Organization Culture in an Organization

 



What is organizational culture?

 Organizational culture is the collection of values, expectations, and practices that guide and inform the actions of all team members. 

 

Types of organizational culture



There are four types of Organizational cultures

1.     Clan Culture

Clan culture primarily exists in more traditional organizations versus digital ones. Because these companies are often family-owned, there is often a focus on nurturing employees through interpersonal connections or mentoring programs. Of course, this is all done to create the feeling of a true extended family.

 

2.     Hierarchical Culture

Hierarchical cultures also exist in traditional organizations. The businesses have a lot of structure with power and decision-making at the top. As a result, only the C-suite is in charge of making decisions. Consequently, other employees can feel undervalued and powerless. So, while this type of organizational culture is often very efficient, it’s not ideal for fostering creativity or innovation.

 

3.     Market Culture

Market culture is designed for digitally-savvy businesses that want to scale. So, this culture is very results-oriented, valuing internal competition and rewarding winners. Therefore, this is a culture where all employees are expected to be on their “A-game.” Those that consistently succeed experience significant financial rewards or promotion opportunities.

 

4.     Adhocracy Culture

Associated with digital companies and encouraging risk-taking, an adhocracy focused on innovation. In this less structured culture, all employees are encouraged to participate regardless of their position because you never know where the next big idea will come from!

(J Mahmutovic, 2021)

Why Organization Culture is Importance?

1.     Increased employee engagement

A work environment that possesses organizational culture is driven by purpose and clear expectations. This motivates and inspires employees to be more engaged in their work duties and interactions with others. It also leads to high levels of workforce engagement, which drives productivity. Having a strong connection to an organization and its people creates an atmosphere of positivity that is hard ignored.

 

2.     Decease turnover

People who feel valued and respected at a company are less likely to leave it. That's why it's essential for brands to foster a winning organizational culture that supports their core values and mission statement. Happy employees mean less turnover, which saves companies time and money in the hiring process. Companies that achieve a strong culture must take steps to maintain and improve it.

 

3.     Strong Brand Identity

A company's organizational culture represents its public image and reputation. People make assumptions about businesses based on their interactions within and outside of the company. If it lacks organizational culture or has a weak image, customers may hesitate to do business with anyone who is associated with the brand. Businesses with a strong brand identity tend to attract more business and job candidates with similar values who support their mission

4.     Elevated Productivity

When employees have the resources and tools they need to succeed, it helps increase productivity and performance levels overall. Organizational culture impacts the structure of a workplace in ways that bring people of the same skill set together. Those who share similar backgrounds and skills may work more quickly together when tackling company projects.

 

5.     Transformational Power

Not all businesses have the power to transform ordinary employees into total brand advocates, but those with a strong organizational culture do. Companies that recognize their employees' efforts and celebrate team successes are more likely to notice a change in employees as they experience a sense of accomplishment.


6.     Top performers

Companies that promote community in the workplace are more likely to retain their best employees. People who are great at their jobs and know the value of their skills commonly leave negative work environments where they feel undermined and unappreciated. Organizational culture builds a high-performance culture that strengthens the work of people within the company, resulting in a positive employee experience.

 

7.     Effective on boarding

More and more, businesses with an organizational culture are relying on effective on boarding practices to train new hires. On boarding practices that include orientation, training and performance management programs help new employees access the right resources and better transition into their roles. This promotes employee longevity and loyalty and reduces the amount of frustration some employees experience when they don't have the information needed to do their job well. Onboarding is a great way for companies to ensure new hires understand the core values of their business

 

8.     Healthy team Environment

Organizational culture helps improve workflows and guides the decision-making process. It also helps teams overcome barriers of ambiguity. Team members who are informed and knowledgeable about certain processes are often more motivated to finish projects. Having a clear culture that unifies employees and promotes organized work structures helps people work together with purpose.

 

How to Improve Organizational Culture


 1.     Communicate well

Knowing how to communicate well is the best way to improve organizational culture. Miscommunication is the main reason people become unsatisfied with their jobs and start looking for other opportunities. When people seem confused, look for ways to simplify your message. Encourage people to ask questions.

 

2.     Listen to Concerns and ideas

Providing  employees with a public (or anonymous) platform that makes it easy for them to share their opinions. Encourage one-on-one meetings with team members to allow them the chance to speak openly, yet privately about sensitive concerns. Letting employees know they can come to you when they have questions helps them feel valued

 

3.     Provide feedback

If you notice that a certain aspect of the company needs improvement, take time to provide feedback regarding the issue and encourage others to do the same. Some companies have policies in place that dictate the process of giving feedback, while others are more relaxed. When leaving feedback, keep your communication professional and honest. Provide details and offer possible solutions to any problems the company is facing.


4.     Be consistent

Be consistent in your leadership efforts helps people experience a sense of stability. Once a company's organizational structure is in place, do your best to maintain processes and procedures. Treat everyone in the same professional manner and avoid giving preferential treatment

 

 (Indeed Editorial Team, 2021)

 

References

https://www.surveylegend.com/research/types-of-organizational-culture/

https://www.indeed.com/career-advice/career-development/why-organizational-culture-is-important

 

 

 

 

 

 

 

 

 

Comments

  1. The Role of Organization Culture in an Organization good work well done

    ReplyDelete
  2. Organisation culture is very important to business growth. This is very good article to get idea of the organisation. Good luck.

    ReplyDelete
  3. My view of point organizational culture affects all aspects of the busines of organization.That mean like punctuality and employee benefits. When workplace culture aligns with employees, they're more likely to feel more comfortable & supported to work.Good one!

    ReplyDelete
  4. Organizational culture affected to the business and it's productivity directly. In this article you have nicely point out the importance of the organizational culture as well as why we should consider about organizational culture. Good Work!

    ReplyDelete
  5. Organizational culture has a direct impact to its employees and to the performance. So most of the organizations take several actions to improve the organisational culture..An Important topic to discussed with.
    Good job Venushka

    ReplyDelete
  6. When workplace culture aligns with the employees, they are more likely to feel more comfortable, supported, and valued. This will in turn increase the productivity and efficiency of the employees. This article clearly explains the importance of organisational culture and how to improve it. Well written!

    ReplyDelete
  7. As you have mentioned Organizational culture is hugely important to the success and overall health of the company, people, and its customers. All the best!!

    ReplyDelete
  8. Understanding the organization culture is very important to all the HR activities. You have clearly elaborated about organization culture in importance of it.

    ReplyDelete
  9. You have discussed the different types of organizational cultures, why it is important such as increased employee engagement, Decease Turnover, Strong Brand identity, Transformation power and etc. This is a timely topic and further you have discussed how to improve Organizational cultural and how the organizations benefited from them. Really a good Blog.

    ReplyDelete
  10. This is a key problem, as organizational culture has a direct impact on personnel and performance. As a result, most organizations take a number of steps to strengthen their organizational culture. Well written!

    ReplyDelete
  11. All points are presented very nicely & clearly. You have explained the value of communications and how it affects the organization's culture. good work & keep it up !

    Dimunge Wasantha.

    ReplyDelete
  12. you have clearly explained the types of organizational culture. its very important for HRM. it effects to the organizations performances. good work. well done!

    ReplyDelete
  13. In an organization with a solid culture, its employees have a clear idea regarding how they should act and they know that it is expected response in the organization. Briefly it is accepted way of how to behave in the organization. You have clearly ex pained the importance of culture and how to improve the culture within an organization. Great article. All the best.

    ReplyDelete
  14. Organizational culture includes an organization’s expectations, experiences, philosophy, and values that hold it together and is expressed in its self-image, inner workings, interactions with the outside world, and future expectations.
    In your blog post, very clear details make us different in identification created in HRM.
    Organizational culture is a system of shared assumptions, values, and beliefs, which govern how people behave in organizations.
    Thank you.

    ReplyDelete
  15. The values, expectations, and practices that govern and inform all team members' behavior are referred to as organizational culture. Good article. All the best.

    ReplyDelete
  16. Organizational culture refers to a company's mission, objectives, expectations and values that guide its employees. This blog clearly mentioned the importance of the organisational culture

    ReplyDelete
  17. There are numerous definitions of an organization's culture however the basic idea it refers to is a group of values, beliefs, and behaviors that are created and maintained by the organization’s leaders and carried forth by the employees which differentiate one organization from another.
    Well-done Venushka!

    ReplyDelete
  18. Organizational culture has a direct impact on the firm and its productivity. You have nicely highlighted the relevance of corporate culture as well as why we should consider organizational culture in this essay. Excellent work!

    ReplyDelete
  19. The mission, objectives, expectations, and values that guide a company's personnel are referred to as organizational culture. The relevance of organizational culture was clearly stated in this blog.

    ReplyDelete
  20. The culture of an organization has a direct influence on its own performance. This short article has clarified the importance of the organizational culture. Article summary and essential issue for further debate.

    ReplyDelete

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