Impact of organizational culture

Impact of Organizational Culture on employee’s job satisfaction and performance

Does the organizational culture have any influence on employees at workplace? There are so many factors which builds an organization’s image in front of the customers. Among those factors, culture plays a vital role in shaping the structure of workplace design and the delivery of successful customer service. Lund (2003) states that in the past decades, economical researchers were thirsty for finding the scope of organizational culture and its influence in marketing issues in order to find the ways of making the performance higher. In the corporate world, employees work with people from various regions of the world which have a rich culture. The principles of an organization set the standards to a company’s corporate culture. In a world where many corporate norms are adopted from the western culture, employees from other region may find it difficult to practice their traditional values and culture. This type of Western adoption helps create a conflict where employees feel that they are losing their traditions and values, and ultimately leading to a less diverse world.

Each organization has their own unique traits which differs them from the competitions. The culture values will be acclimatized by the employees as they work along with the management and from the motivation they receive. The commitment of people working in an organization is inevitable to achieve the company goals and targets. This is based on the culture embossed in the company which can have a psychological effect on the way employees performed. If a certain type of culture is embossed on the employee it may force them to adopt a new culture other than their own.

Rashid, Samashivan & Johari, (2002) state that various researches on organizational culture have been done regarding the relation of financial performance and found out that encouraging environment of organizational culture empowers the employees to deliver their best. The economic growth of a company is derived not only from the management efforts but also from the bottom line employees who give their best to support the organization. When we look at an organizational point of view, a company always tries to maintain standards by enforcing a set code of conduct. However when we look at other industries for instance the hotel industry we see a large gathering of many cultures working towards one goal where customer service is primary priority. Hotels often embrace different cultures and show their appreciations by promoting awareness of the diverse cultures through celebrating National days which help other employees to learn more about the culture, language and traditions which has a result leads to a better connection between employees and management. Whereas if were to take a call centre outsourced in another country set standard rules are laid down to be followed when interacting with clients. This gives no opportunity for the employees to express themselves. However this can be viewed from another angle. With one solid corporate culture being enforced and practiced throughout an organization, it can help unify all its employees where they begin to think that they belong to the same company and therefore must work towards its benefits. This hence creates the effect of the employees being unified by one banner. According to Chang and Lee, (2007) a study conducted in Taiwan company found that the cultural values of people integrity, veracity and solidity have direct relation with their job performance and the satisfaction. The level of employee satisfaction can be graded according to an organization’s view on how best to make use of its resources in the company. Different motivational tactics may need to be juggled by the organization in order to fine tune their employees. This requires them to conduct in depth research about their people in order to get their heads and learn how they tick. The level of Job satisfaction is also affected by the attitudes of the employee’s where their view of cultural values is gained from past experiences in different companies. This attitude differences can also affect their job performance directly or indirectly where they are forced to work in an organization, which has their own set of standardized cultural values and when expected to be followed by the employees. Every employee will have their own cultural background and it is the organization’s responsibility to mold and bud in their corporate culture in the employee minds to stimulate the job satisfaction. When looking into the rising companies around the world, the corporate managements have strongly decided to give the primary emphasis on trainings and seminars at the workplace where the multicultural environment will boost the integrity of the employees.

1) Organizational culture and job satisfaction

Lund, D. (2003). Organizational culture and job satisfaction. Journal of Business & Industrial Marketing.18(3), p219-236 retrieved from emerald.

I chose this report because this article gives a proper investigation on the impact of organizational culture on employee satisfaction. The article makes use of modern day research techniques in order to provide statistical understanding and prove that theory between Organizational culture and job satisfaction is interlinked.

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The article also provides an in depth analysis of the types of corporate culture that exists in the form of a matrix. This will help lay down a proper understanding of the cultural impact. The article provides statistical feedback on topics from corporate culture and job satisfaction and some analysis between high and low job satisfaction. There are also figures on dominant organizational cultures. As a result of all this figures collected I will have enough statistical proof to justify my findings. Another interesting feature of the article is that it provides a step by step break down of how the information was collected and managed. The analysis section helps point out relevant facts which can help the reader see the importance of organizational culture. The author has also attached an executive summary and implications for managers and executives to follow the guidelines of corporate culture. The cultural typology utilized in the study for the journal is one of the many reported in literature and also the data collection was done individually with various demographic and organizational background which acts a strong root in the topic.

2) The influence of corporate culture and organizational commitment on performance

Rahid, Md., Sambasivan, A., & Johari, J. (2003). 2) The influence of corporate culture and organizational commitment on performance. Journal of Management Development. 22 (8), p708-723. Retrieved from emerald.

I’ve chosen this article because it provides an organizational commitment section. The section goes on to describe what the initiatives an organizations have done in order to improve performance of the employees described by the researchers.

The paper examines the influence of corporate culture and organizational commitment on financial performance in Malaysian companies. And the results indicate the considerable relation between corporate culture and organizational commitment. The study was lead by forming basic questions about the organizational culture and its elements related. The article is followed by the literature review which shed the lights on corporate culture and organizational commitment backed up by a theoretical framework. The structure portrays the leading path and relation between these main elements of an organization which are organizational culture, organizational commitment and the financial performance. Results and discussions of the studies reveal the types of corporate culture, types of organizational commitment with relevant tables of data to support. Finally the article is concluded by mentioning the emphasis of organizational commitment in the organizational culture hence advising the management to implement to find the ways of encouraging the organizational commitment.

3) The influence of culture on perceptions of service employee behavior

Kong, M. Jogarathan, G.. (2007). The influence of culture on perceptions of service employee behavior. Managing Service Quality. 17 (3), p275-297.

I have chosen this article because it deals with my topic using hospitality industry as an example. The article looks at comparing service between in the US and Republic of Korea. In order to find which provides a better experience and underline the key differences in the two societies.

The article also provides a questionnaire that is used both in US and Korea. The questions are designed in such a way to understand the distinctive points of each service. The results in the article go onto show the key differences the service staffs possess. They are also suggested possible ways to make best use of resources and trainings to get the best out of effort in employees. The data collection and analysis methods result in explaining the demographic characteristics and dimensions of wait-staff behavior and also regression with customer satisfaction. It also talks about the managerial implications by adding the points that employee behaviors are affected by culture differences nation by nations. Limitations about the study are discusses as employee behavior is associated with other things around and difference between the cultures. However a future research is suggested to back up the studies conducted.

4) A study on relationship among leadership, organizational culture, the operation of learning organization and employees’ job satisfaction

Lee, M., Chang, S. (2007). A study on relationship among leadership, organizational culture, the operation of learning organization and employees’ job satisfaction.The Learning Organization. 14 (2), p155-185.

Lee, M., Chang, S. (2007). A study on relationship among leadership, organizational culture, the operation of learning organization and employees’ job satisfaction.The Learning Organization. 14 (2), p155-185.

Once again a quantitative research method was used to find the key differences under leadership organizational culture and the ability to learn in the organization. Results showed organizational culture is a very crucial factor that can affect the organization and an employee’s to learn. Though research was conducted in Taiwan, it provides suggestions for business administrators to understand that satisfying employee needs is going to be a tedious task but under the right leadership can be achieved. Instead of being led by a manager, employee needs to be empowered so that they can be future leaders and develop their future prospects. In the literature view, the author has mentioned about the leadership theories support and how they are important to an organization. Then it is linked to the organizational culture and goes on to job satisfaction of employee and also the relationship between leadership and the operation of learning organization in contrast to the relationship between organizational culture and the operation of learning organization which gives a clear picture of general organizations the administrators developing methods. The research findings support the topic question by stating the influence of leadership, the organizational culture and the direct relationship with employee job satisfaction.

5) Organizational alignment and hospitality firm performance

Crotts, J., Ford, Robert,. Heung, V., Ngai,H.. (2009). 5) Organizational alignment and hospitality firm performance. International Journal of Culture Tourism and Hospitality Research. 3 (1), 3-12.

I have chosen this article because it looks at hospitality organization either big or small in size, that require stern and good managers that are needed to guide their employees so that the moments of truth encounter by the guest is received with great satisfaction and awe. As a result the firm’s goals and aims are established. In order to achieve this, the article looked into different “propositions” offered to the employees used to get these aims accomplished.

The findings of the research provided in sight into different groups in the organization and how they align themselves with the goals of the company. Another important finding was the fact that high organizational support led to high employee commitment as compared to low organizational commitment.

These findings prove helpful as managers can use these findings in order to use proper assessment tools and effectively manage the firm. The article goes on to explain various organizational types and methodology and their commitment to their employees.

A figure used to describe conceptual cause in the article helps bring a clear concise view of the topic and helps break it down for readers to understand. As like many of the articles found it is backed by valid statistical information.

6) The Impact of culture on Organizational performance in selected textile firms in Nigeria

Aluko, M. (2005). 6) The Impact of culture on Organizational performance in selected textile firms in Nigeria. Nordic Journal of African Studies.12 (2). P164-179

This article was chosen in order to substantiate my point that sometime a common culture being followed leads to better communication in the organization. Due to the common goal being followed it leads to forming a link between employees where they strive to work for a common goal.

The article also provided interesting insight on other cultures like Japanese and Americans from the Nigerian perspective. This can be used in order to reinforce my theory of the ” them and us” attitude.

It further explores areas of psychology like Power distance, individualism vs. collectivism, quantity of life vs. quality and long term vs. short term orientation. These topics provide the readers with a psychology point of view on the topic.

A bit of anthropology is also brought into the picture as well through the study of the different Nigerian cultures as well. A combination of these elements can be used to prove the different norms practiced and how it effects organizations. As like my other articles statistics and graphical images are used to keep the readers interest and drive the point through.

7) The effect of intercultural sensitivity on employee performance in cross-cultural service encounters

Sizoo, S. Plank, R. Iskat, W. Serrie, H.. (2005). 7) The effect of intercultural sensitivity on employee performance in cross-cultural service encounters. Journal of Service Marketing. 19 (4), p245-255.

The basic aim of choosing this article is the interlink between intercultural sensitivity on employee performance in cross-cultural service encounters has been well defined by the authors. The research for this article was done in United States and the methodology of the research is well clarified with the methods. An executive summary is attached to the article which is meant to help the mangers and executives especially for the HR heads. When the impact of intercultural sensitivity on employee performance is strong in this era, the quality of service delivery of employees to the customers is really important to achieve in the financial performance of an organization as well as for the growth of the concern. Intercultural sensitivity is been referred to as an attitude which enables an individual to interact effectively with the people from cultural diversity.

The figures in the article show the stability of collected data and the recent reports about the US economy in relation with the service growth and happy customers. The research of the study was set up in four and five star hotels in the Florida State of US, including the hospitality industry leaders. These authors have observed the culture’s effect on customer behavior and effects which are directly affected by the job satisfaction of the employees.

References

• Aluko, M. (2005). 6) The Impact of culture on Organizational performance in selected textile firms in Nigeria. Nordic Journal of African Studies.12 (2). P164-179

  Crotts, J., Ford, Robert,. Heung, V., Ngai,H.. (2009). 5) Organizational alignment and hospitality firm performance. International Journal of Culture Tourism and Hospitality Research. 3 (1), 3-12.

  Kong, M. Jogarathan, G.. (2007). The influence of culture on perceptions of service employee behavior. Managing Service Quality. 17 (3), p275-297.

  Lee, M., Chang, S. (2007). A study on relationship among leadership, organizational culture, the operation of learning organization and employees’ job satisfaction.The Learning Organization. 14 (2), p155-185.

  Lund, D. (2003). Organizational culture and job satisfaction. Journal of Business & Industrial Marketing.18(3), p219-236 retrieved from emerald.

  Rahid, Md., Sambasivan, A., & Johari, J. (2003). 2) The influence of corporate culture and organizational commitment on performance. Journal of Management Development. 22 (8), p708-723. Retrieved from emerald.

  Sizoo, S. Plank, R. Iskat, W. Serrie, H.. (2005). 7) The effect of intercultural sensitivity on employee performance in cross-cultural service encounters. Journal of Service Marketing. 19 (4), p245-255.