Relationship between organizational culture and performance Essay

The tip heightic of the tie-up between organisational finish and surgery have drawn considerable interest from both academics and practitioners because this theme give the axe help managers design capable strategies and goals to increase level of doing as well as providing rivalrous advantage to firms. Among numerous studies discussing intimately this subject, I found devil journals that contains valuable data for interpreting the close relationship between them blow of Organizational Culture on Employee Performance of Awadh and Saad (2013) and come up et al. (2008)s Organizational Culture as a composition of Performance Improvement. Both journals stated a hypothesis that there is a unprejudiced link between them and a good judicatureal agri elaboration may positively influence its capital punishment. piece the former journal focused on indentifying and measuring strong relationship between performance and nerveal culture in general, the latter examined this relat ion in specific case among American, Japanese, European and Malayan international companies operating in Malaysia by obtaining necessary data from self-administered questionnaires designed for respondents of high technology industry. Sixteen items accommodate from Rajendar and Jun Mas (2005) fail were used to assess the placemental culture on seven-point scale which represents the agreement of respondents.This secondary query paper which is used as a report of my understanding after narration these two journals will focus on general useful information more or less organisational culture, performance and their mutual influences.Discussion of findingsOrganizational cultureSince culture plays a significant role in how the employees and managers work in the firm, the organizational culture is one of the most popular and controversial concepts in the fields of concern and organizational theory (Ogbonna and Harris, 2000). Awadh and Saad(2013) defined organizational culture as a c ombination of sh ard interlockingsocial phenomena such as values, beliefs, communications and explanations guiding employees behaviors. This definition is widely agreed by many an(prenominal) other researchers such as Ehtesham et al. (2011) who stated that each organization has a unique culture.valuable germ of competitive advantage and Lunenburg (2011) who explained more clearly about four major functions of organizational culture gives members a sense of identity, increases their commitment, reinforces organizational values, and serves as a control mechanism for shaping behavior. The culture of an organization can do its functions and transfer its messages to employees by four common ways stories, rituals, material symbols and language (Robbins and Coulter, 2009). ruddiness et al. (2008) not lone(prenominal) supported Awadh and Saad for their basic understanding about the culture of an organization but excessively chose the same three perspectives about organizational culture s dimensions to include in their research Hofstedes (1980), Schwartzs (1994) and Trompanaarss (1993). Hofstedes four dimensions including individualism, power distance, uncertainty avoidance and masculinity are considered to be the initial idea for all others theory. These dimensions were identified through the values coincidence among 53 national subsidiaries employees and managers of IBM Corporation. In 1998, he worked together with Bond to detect the fifth dimension called semipermanent versus short-term orientation. Schwartz based on Hofstedes charter to build a model containing only two kinds of dimension conservatism versus autonomy (affective and intellectual) and self-enhancement (hierarchy and mastery) in 1994. Similarly, in 1993, Trompanaars brought a model of seven dimensions which can be a good supported for Hofstedes model five under the broad headspring of relationshipwithpeoplecommunitarians, neutral versus emotional, specific versus diffuse and achievement versus ascription), attitudes to time and attitudes to the environment. These three perspectives of culture dimensions face to be quite different from seven dimensions of nature culture I have learnt at my university grounding and risk taking, attention to detail, outcome orientation, people orientation, team orientation, aggressive and stability (Robbins and Coulter, 2009). However, all of these views to look into culture dimensions are helpful for presenting effective relationship between distinctive sets of norms and values in different ways.Moreover, the authors of the two journals to a fault share the same understanding about a strong culture. They both agreed that a strong culture should include integrated and effective set of values and beliefs from policies, procedures and objectives designed by top manager which can influence upon employees behaviors, may bring about a high item of organization performance and sustainability, and cannot be imitated because of its unique quality . In addition, Awadh and Saad (2013) also mentioned two more levels of culture sub culture 2(organization segments with different culture on the basis of geographical areas, job requirements and department goals) and weak culture (the loosely ripple organization culture that seems to be more innovative and can help the organization remain its superior performance since it is able to adapt the changes in environmental conditions).2. Performance and its closely knit relationship with organizational culture Awadh and Saad (2013) defined performance as the degree of an achievement after fulfilling the organizational mission at workplace which may becomethe measurement of transactional, efficiency and effectiveness towards organization goals. Rose et al. (2008) thought that performance is a broader indicator that may contain productivity, quality and consistency. According to Rose et al. (2008), performance measures can be comprised of results, behaviors (criterion-based) and relative ( normative) measures, education and training concepts and instruments, including management development and leadership training for construction necessary skills and attitude of performance management. Both journals mentioned about the traditional performance measurement basing on strategic performance system which includes both pecuniary and non-financial measures and mean(a)s that we should also consider about intangible asset. using this method leads to competitiveness which can help in enhancing competitive advantage based upon effective pressures (Rose et al., 2008).Awadh and Saad (2013) mentioned about four casual relationships between performance management and culture growth, customers, internal business process and financial reward management system. They said that learning about these four relations can help cogitate on cooperative tools of an organization to improve communication and receive feedback which may enhance the performance management. Awadh and Saad (2013) a lso defined three contributions of culture to performance forceful management, nature and scope of culture based upon suppositious point of view and competitive advantage attained through strong association and establishment of culture. These findings showed two main inferences culture and performance are interrelated, and superior and imitable relationship with competitors may result in a sustainable competitive advantage.Awadh ad Saad (2013) explained the process that culture may influence performance in 6 main facets the strong culture enable efficient management of work force employees, the net meshwork enhances performance of employees, the common path of making perfect use of resources helps organization positively develop, the culture provides competitive edge, employee commitment and group efficiency improve performance upon organization sustainability and the nature and power of organization culture influence upon sustainability and effective oforganization.All of these findings might help practitioners and academics to manage the value of culture based upon degree of performance. The survey carried out by Rose et al. (2008) revealed that American and European multinational companies, those have higher mean scores in organizational performance, were performing well in all four dimensions compared to Japanese and Malaysian multinational companies high scores in individualism, low power distance, low uncertainty avoidance and femininity. The findings of their study were inform that the organizations which pay attention to the cultures are more successful. They explained that focusing on cultures provides better financial returns which are significantly correlated to the cultural strength and healthier employee attitudes, the prerequisites to financial and market performance advancement. They also reported that industry moderates the link between corporate culture and performance. These results have advanced understanding of the determinants and perf ormance effect of corporate culture.Although the two journals seem to have a limitation of a small sample since researching in a wider population is impossible which makes it hard to draw any certain conclusion, Rose et al. (2008)s research still had a certain strength since they could be able to approach managers and executives from 240 different multinational companies to demand the necessary data. The results of two studies brought about valuable recommendations for employees to try their best in perceiving the organizational culture and top managers to motivate their workers in achieving the companys objectives by providing a precise guideline and direction. Moreover, the most essential thing is that both journals greatly contributed closely knit arguments to prove that there exists a clear link between a strong culture and good organizational performance.REFERENCESAwadh, A.M. Sadd, A.M. 2013. Impact of Organizational Culture on Employee Performance. International Review of circumspection and Business Research, 2. Ehtesham, U.M. Muhammad , T. M. Muhammad, S.A. 2011. Relationship between Organizational Culture and Performance Management Practices A Case of University in Pakistan. Journal of Competitiveness.Hofstede, G. 1980. Cultures Consequences International Difference in campaign Related Value, London, Sage Publication.Hofstede, G. Bond, M. H. 1998. The Confucius Connection from Cultural Roots to Economic Growth, Organ Dyn, 5-21.Lunenburg, F. C. 2011. Organizational Culture-Performance Relationships Views of Excellence and conjecture Z. National Forum of Educational Administration and Supervision Journal, 29.Ogbonna, H. Harris, L.C. 2000. Leadership style, organizational culture and performance verifiable evidence from UK companies. International Journal of Human Resource Management, 766-788.Rose, R.C. Kumar, N. Abdullah, H. Ling, G.E. 2008. Organizational Culture as a Root of Performance Improvement Research and Recommendations. Contemporary Mana gement Research, 4, 43-56.Robbins, S.P. Coulter, M. 2009. Organizational culture and environment. Management. Upper Saddle River, red-hot Jersey Pearson Education, Inc.Schwartz, S.H. 1994. Beyond Individualism/ Collectivism New Cultural Dimensions of Values. Thousand Oaks, CA Sage Publication.Trompanaar, F. 1993. riding the Waves of Culture. London Economist Books.