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This paper defines the roles and responsibilities of the managers and leaders in creating and maintaining a strong organizational culture. It then discusses about the organizational culture in the automaker giant in India General Motors. It also explains the impact of the managers and leaders on its organizational culture. The paper then compares the qualities between good manager and good leader. In the end the paper recommends the organizational culture of TATA groups as how a healthy organization culture should be.
Organizational culture is defined as the personality of the organization. It is the way in which the employees in the organization behave within themselves. It displays their corporate ethics to the entire world. Organizational culture describes the attitude of the people of the organization. Organizational culture is created by the leaders and the managers of the organization and is maintained by all the people in the organization. A healthy organization has a healthy organizational culture.
An organization becomes renowned because of good management. Leaders and managers play a vital role in shaping the culture of the organization. Their roles and responsibilities play a major part in managing the organization.
Roles of Managers in General Motors
The major roles of managers and leaders in General Motors include planning, organizing, directing and monitoring.
Planning involves creative and analytical thinking in making decisions that leads the organization towards the goal.
Organizing involves optimal utilization of the available resources to maximize the performance.
Directing is leading by example and commanding by authority to get work done.
Monitoring is watching and guiding so that quality could be maintained.
Manager Qualities of General Motors
It is the qualities of the managers and leaders that differentiate them from others in General Motors. Some important qualities include authority, responsibility, motivation, communication, collaboration, technical knowledge and innovative.
Authority: Managers have to be authoritative in getting things done through their subordinates. Authority doesn't mean dictatorship.
Responsibility: Managers are responsible for their decisions and actions. The outcome doesn't matter.
Motivation: Managers motivate their subordinates effectively in order to get the best out of them and to guide them towards the common organizational goal. The manager's motivation must empower their subordinates.
Communication: Managers should have good communication skills in order to make their ideas understandable to everyone in the organization.
Collaboration: Managers should be good listeners so that they could utilise the ideas suggested by their subordinates and collaborate them in their action plans.
Technical Knowledge: Managers should have good technical knowledge about the products and services of the organization. In addition they should have good business management skill.
Innovative: Managers should be innovative and should make changes in order to capture the majority of the market share.
Most importantly, managers should be able to balance each of these skills in the right proportion in each market situation to gain the greatest benefit to the organization at the right time. Putting it in a nutshell, a manager should be an all-rounder in the organization being able to deal with anything at any time.
Manager versus Leader
Manager manages people - Leader leads people by example.
Manager controls the leaders - Leader controls their subordinates.
Managers are efficient - Leaders are effective.
Managers do the things right - Leaders do the right things.
Managers do the same thing - Leaders are creative.
Organizational Culture in General Motors
General Motors was started in 1902 by William Durrant. They manufacture cars in India and also import to different countries. General Motors is a good example for organizational culture as it has undergone many twists and turns because of its corporate culture.
Past culture of General Motors
Initially General Motors were very strict on their employees. Their managers and leaders focussed only on making profits and did not consider their employees satisfaction. Their organizational culture had a bad shape. This had a direct impact on the employees and customers started disliking their products. This affected their revenue badly and they almost bankrupted.
Present culture of General Motors
After the twist and turns in their economy, General Motors realised the importance of their employees and made changes in the organizational culture. They started to work on their culture. They started motivating their employees and offered many rewards and recognitions. Employees were given more allowances and were given special offers when they buy the company's car. This change in the organizational culture has given rise to job satisfaction and as a result the team work improved drastically. Today General Motors is ranked the largest U.S automaker and the world's second largest automobile company.
Thus organizational culture has made a major impact on the automaker giant. Though its economy was affected initially, it has improved only because of its corporate culture.
Strategies recommended for a healthy organizational culture
Organizational culture is the personality of the organization. It is shaped by the leaders and the managers of the organization. They apply many strategies to create and maintain a healthy organizational culture. Next to customers, clients and dealers, employees must be regarded important as they contribute to the major portion of their business.
Employees must be given rewards and recognitions for their work. Employees should be treated fairly and there should be a friendly relationship between the employers and the employees. Leaders should help employees balance work/life conflicts. Managers should help to improve the overall ethical behaviour of their employees.
TATA's cultural strategy
Since I have a personal experience working with TATA for 4 years, let's take TATA as an example. TATA as you might know is one of the biggest fastest growing groups in the world. As the Tata group have many types of industries as like Tata Steel, Tata Consultancy Services (organization I worked), Tata Tea products, Taj groups of hotels, Tata Motors, Tata Chemicals, etc. The Tata name has been respected in India for 140 years for its strong culture values and business ethics. This group also cover many areas from Health and Education to livelihood, Women and Children Welfare and more.
TATA's caption itself is 'Leadership with Trust' which is very much evident in this organization. To develop a structure system, systems and a work place culture provides a challenging jobs, rewards performance and delivers opportunities continuously. The relationship of Tata and the employee is a bond that continues to be nourished with compassion and care. The richness of this relationship is fashioned by a tradition of compassion and empathy represents a workplace culture that goes beyond work. As Example: The Tata Company first introduced than many Western company Nation the Eight hour work sift (1912) Maternity leave (1928) and even profit sharing for its employee (1934). As the part of Tata the employees are committed to the traditions of always being fair benevolent to their group.
The employees are first motivated towards their work. Then the company gets the performance and lastly both the company and employee get satisfied as company gets performance and employees get performance reward. TATA's culture is an organizational culture that exhibits how a company should work, and how important that culture is.
What I learned is, it is very important for an organization to have strong values which managers and leaders need to implement in order to have employee satisfaction and get the best outcome from the employees. Also matching individuals according to the organization is an important part of success for any organization.
In conclusion, management is a major part of the organization that manages employers and the employees in a good relationship for the benefit of the organization. Managers and leaders play a major role in creating and maintaining a healthy organizational culture. Their strategies play a vital role in creating a healthy organizational culture. A good manager is the one who manages people around him to get things done in a better way. However a leader is a one who leads others by example. A leader teaches and guides his/her subordinates in order to be successful.