Posted at 10.06.2018
Keywords: organizational culture impact, company culture effect
The goal of this newspaper is to investigate the organizational culture and its impact on the strategic management. In recent years, the value of organizational culture is talked about and emphasized increasingly more frequently. People commence to concentrate on its impact of organizational culture on the organization management from many perspectives, such as clients, distributors and employees. First of all, before the analysis of the value of organizational culture on proper management, we should make sure what organizational culture is. Thus, the definition of organizational culture is available out. Subsequently, we critically assess its effect on proper management from 4 aspects, that are customers, companions, employees and commercial social responsibility. To a certain degree, the proper management is determined by the culture of company. The strong organizational culture gives the company a and explicit idea about business. Around the contrast, the weakened organizational culture always links to no clear proper management. Quite simply, employees do not know how to perform business in the workplace, and the organization doesn't have personas for clients. While using wide range of the cases and literatures, the value of organizational culture to an understanding of proper management is analyzed critically. Last but not least, this paper makes the conclusion of the critical evaluation and further offers some suggestion for the tactical management of corporations.
1 The concept of organizational culture
What is the organisational culture? In fact, the organizational culture is the essential beliefs of the business that are accepted by clients and distributed by employees. You will find a large amount of the definitions of the organizational culture. The organizational culture is the normal value of the business, which develops an understanding of both company's opportunities and constraints. Areas that professionals consider the organisational culture as an efficient control tool that can impact people's thoughts, values and value. In other words, organizational culture may be used to achieve interior control and take benefit of the opportunities by companies. The organizational culture is made up of the organization prices, working values and habits. It is kinds of means of thinking and sense that are approved by organizational participants. In other words, although there are diverse cultures in the large organizations, the common characteristics of beliefs are existed in the management team (Gordon 2008, P. 20). The normal beliefs shared by the customers in the company are the fact of firm culture. It really is some sort of thinking setting which is approved by one another about the organisation. Within the organizational culture, people and organizations interact with one another, including clients, lovers and employees (Hill and Jones 2001, P. 56). The energy of organizational culture cannot be ignored, because it inspires employees, draws in clients and helps bring about the co-operation with partners. For instance, " The Best Or Nothing at all" (Daimler 2010). This is Mercedes-Benz company' s objective, and their corporation culture are Perfection, Responsibility and Fascination. Perfection including comfort, quality and safe practices. Responsibility including customer care, sustainability and creativity. Fascination including motorsport, life-style and design fact. Until this very day, this management expectation remains important to the thoughts and activities of every one Mercedes staff.
2 The impact of organizational culture on tactical management
Organizational culture plays an important role in the proper management of companies. Actually, organizational culture is a factor that establishes the success or inability of organizations. In other expression, to a certain extent, the tactical management depends upon the culture of company. We critically examine its effect on proper management from 4 aspects, which are customers, partners, employees and corporate and business social responsibility. We can not deny that lots of outcomes are linked with organizational culture no matter immediately or indirectly.
In the organizational culture, people and communities interact with one another, including clients, partners and employees. This means that good organizational culture may bring into following benefits, including perfect customer service, efficient cooperation with partners, constant worker performance and strong public responsibility.
2. 1 The impact of organizational culture on customers
Cultures can be considered as some arrangement inside companies. Each employee brings another type of set of personal experiences and a number of backgrounds to the business. And the reliability of these specific distinctions enlarges the organizational customer service. We can refuse that the organizational culture has positive impact on customers. A solid organizational culture will generally get the customers and make commitment to the organization. Actually, excellent customer support is provided by the employees in the normal organizational culture. Customer service is not only the duty of the worker in the client service department, it's the responsibility of each employee in the business. In other words, the healthy and strong organizational culture targets providing excellent customer service. The reason is that organizations with strong culture have a tendency to spend time educating, training and reinforcing employees on how to provide excellent service for customers. The good organizational culture targets the development in long term. To be able to accomplish that goal, company creates drive to provide high quality products or service for customers. With well-trained employees, organizations can offer talented and exceptional customer support.
The organizational culture has a substantial impact on customer service, further impact on long-term monetary performance. The reason why are shown the following. Excellent customer service requires the combination of team work and regular company values. In the process of business, business with strong culture would help one another and achieve integration. It brings about higher efficiency than operation by individuals. Conversely, poor organizational culture do harm to the client service due to lack of assistance. The unsuitable culture can significantly decrease the organizational effectiveness. To a certain extent, organizational culture can entice more customers and bring into corporation success. For example, Famous Haier culture in ChinaЇјtheir Service strategy are "The user is actually right" and "User troubles drops to zero"(Zhang 2003, P. 36), It implies that a successful commercial culture of the company, their attitude towards the clients have a lot of affect. Because every company has their own culture, so can get a number of customers, That is also a method of strategic management.
2. 2 The impact of organizational culture on partners
During cooperation, organizational culture is one of the primary problems to partners. If the culture is difficult to integrate, the collaboration can't be achieved successfully. In case the partners neglect to identify with the organizational culture, there would be communication problems and inter-group conflicts.
One way to market the co-operation is by ethnic management. Organizational culture should be changed properly according to the real situation. Alternatively, in strong organizational culture, lovers have to do their best to communicate the culture. The reason is that, in operations of conflict quality and communication, discussion of culture has important result. Especially, for international jv, organizational culture variations are obvious. For partners, they have to take integration acculturation strategy.
2. 3 The impact of organizational culture on employees
Employees are damaged by organizational culture how to take care of tasks and make goals. This means that organizational culture influences their ways that make decisions, feelings. If they face troubles and opportunities, they would act differently in different organizational culture. Only when employees acclimatize the organizational culture, they meet the job. Associated with that staff are identify with the culture and prices. It is also a proper management of the business for his or her employees.
In a means, organizational culture influences the degree of employee's creative potential, task inspiration, and work eagerness. Individuals always are attracted to take part in organizations with good and strong organizational culture. Within the strong organizational culture, employees are positive to respond to their careers. In this example, organizational culture contributes to the well procedure of the organization. The business with strong civilizations owns its evident beliefs and prices. Thus employees can acknowledge the culture and embrace the culture. Specifically for the organizations in the service field, the strong culture inspires employees to provide high quality service and become responsible for the business. Quite simply, producing strong and beneficial cultures make the business in accord with its perspective and goals. The desire and commitment of employees are stirred up. It is not hard for organizations to promote uniformity and encourage coordination. In this situation, the strong organizational culture enables the business to be more efficient. Furthermore, the team spirit in various departments can be increased in the strong organizational culture. For the contrary, poor culture cannot lead to alignment between firm and employees. If they are not fit into the organizational culture, employees feel no regards to the business and lower job satisfaction.
However, there are some arguments that strong organizational culture would bring in to the risk of groupthink detailed by Irving Janis. When organizational culture is strong, participants tend to consider their thinking without destination. Just how of considering is fixed. After they engage into the things, the function of thinking is created quickly and easily. People in the strong organizational culture shoot for unanimity rather than looking for alternatives of action. It means that individuals have a tendency to follow the original culture, and do not want to issue organizational thinking. The power of creation and innovation are reduced in strong organizational culture.
In my estimation, we cannot deny the impact of the strong organizational culture on employees. Employees can increase production and efficiency in the process of work. For firm, in order to lessen counterproductive behavior and to raise the turnover of employees, organizational culture should be strengthened. In fact, the diversity of ideas and strong organizational culture aren't contradicted. Inside the healthy and strong organizational culture, employees would be take great pride in and enthusiastic to work with the organization and become positive to perform their ability. The common and constant organizational culture increases the communication among employees. The relationship and communication with co-workers about solutions help employees meet the needs of these work. It means that the works are done by teams, alternatively than only by individuals. Besides, when people meet a sophisticated job, a team with various thoughts would complete it. It's the most effective way. When each worker has a solid sense of path and goal, the efficiency of group is greater than that in vulnerable organizational culture. Furthermore, in order to raise the organizational culture, the organization must provide the opportunities for employees to learn and become trained. In this problem, there are strong inside communications and higher level of approval of organizational culture. Caused by their full probable, employees have high levels of inspiration, sense of satisfaction and high service quality. When individuals can cooperate tacitly, the technology can be achieved finally. These oriented ethnicities always lead to financial benefits for companies. Around the contrast, in poor and unhealthy organizational culture, companies have to control their personnel in forceful methodology. Employees are pressured to accept the work. With no active consciousness, they would be insufficient creative capacity. Even their beliefs are inconsistent with the organizational culture, there are interpersonal issues and inefficiency. The different value in the business should damage the desire and satisfaction of employees.
Organizations with strong cultures have much better performance than organizations with vulnerable cultures. Thus, we found out that organizational culture is the explicit factor of the tactical management, specifically for employees. The organizational culture may be used to achieve internal control and take advantage of the opportunities by companies. The common cognitive culture is created in corporations. In this organisational culture, employees can get identification accomplishment, which is in favour of high efficiency. For instance, in Yahoo, employees are allowed to dress causal, play game titles, and bring their household pets in to the company. Yahoo make a kind of happy culture for employees (Kotter 1992, P. 198). In fact, the funny organisational culture helps each employees expand their incredible capability of creation and efficiency. According to the survey about Yahoo, employees admit the personal information of organizational culture and enjoy the cognitive culture. Besides, they have the sense of success as an associate of Google. In the process of the study, they are happy to say they love Yahoo.
2. 4 The impact of organizational culture on commercial social responsibility
Some people doubt the affect of organizational culture to the interpersonal responsibility. They state that organizations don't have an individual culture to impact corporate sociable responsibility. As the interest and ideology can't be shown in the organizational culture, meanwhile it can't be affect backwards.
Although there is little empirical research to demonstrate the impact of organizational culture on corporate interpersonal responsibility, little hesitation relating to this impact exists. Researches of organizational culture from many aspects, including leadership, gender of employees and their intersection. He discovered that organizational culture can drives organizations rather than vice versa. It is proved that corporate and business public responsibility is one of products of organizational culture. The organization interpersonal responsibility is created unawares with the strength of organizational culture. Employees share the common idea and ideals that always be beneficial for modern culture. In the process of make tactical decisions, the organization with healthy organizational culture embedding sustainability concentrate on the clear platform systematically and benefits in long term. The strategic options would create lasting riches and has social responsible insights (Smircich 1983, P. 339). For instance, Huawei company to the social responsibility to the industry to serve the country through science and education as its quest to the development of company, the neighborhoods where to donate to the success of the fantastic motherland, for the revitalization of the Chinese region, and make unremitting attempts for the well-being of themselves and their families (Zheng and Zhang 2005, P. 13).
3 The way of understanding company culture
Company culture can be mirrored in the way of thinking about employees in the business. It is a kind of thinking mode which is approved by each other about the organisation (Cameron and Quinn 1999ЇјP. 110). The common beliefs distributed by the members in the organisation are the fact of firm culture. In public, organizational culture are broadcasted by media, advertisements. The common characteristics of company culture will be the symbol of the company. Besides, the organizations tend to cooperate with non-governmental organizations to build organizational value, in the mean time transmit their culture.
4 How has the organizational culture damaged the proper management
Organizational culture performs an integral role in the survival or failing of organizations. In other term, to a certain extent, the tactical management is determined by the culture of company. We critically evaluate its means of influence on tactical management from 4 tips, which are tactical decisions, strategic options, options and action (Dark 2003, P. 27).
When the business makes decision, alternatives and options, it has to consider its organizational culture. This means that the factor of culture should be inlayed into the decision. Organizational culture effects the degree of employee's creative capability, task inspiration, and work excitement. Individuals always are attracted to take part in organizations with good and strong organizational culture. Within the strong organizational culture, employees are positive to react to their jobs. In this example, organizational culture plays a part in the well procedure of the business. Thus, in the process of make strategic decisions, the business with healthy organizational culture embedding sustainability focus on the clear platform systematically and benefits in long term. Organizational culture has a significant impact on customer service, further impact on long-term economic performance. The strategic options would create ecological wealth and has communal in charge insights. With a high degree of decision-making, healthy and driven companies are simpler to success and catch the attention of the same types of customers. The problem for some organizations is not to consider the culture factor in the process of earning options and decisions (Curhan 2001, P. 126).
At the aspect of tactical action, each worker brings another set of personal experiences and a variety of backgrounds to the company. And the steadiness of these specific variations enlarges the organizational customer service. When organizations do service for customers, their tactical action would be complete. It really is impossible to provide constant, companywide customer support without strong organizational culture. That's why organizations with strong culture tend to spend time educating, training and reinforcing employees how to provide excellent service for customers (Kozami 2002, P. 95).
This newspaper analyzes the organizational culture and its impact on the strategic management from four perspectives, which can be clients, suppliers and employees and corporate and business public responsibility (Partridge 2009, P. 238). Actually, the organizational culture is the essential beliefs of the business that are accepted by clients and distributed by employees. We discovered that the organizational culture has positive impact on customers. A strong organizational culture will generally draw in the customers and make commitment to the organization. For companions, in strong organizational culture, they need to do their best to assimilate the organizational culture. In addition, as employees of the organization, they are damaged by organizational culture how to treat duties and make targets. This means that organizational culture influences their ways that make decisions, feelings. After the research of the impact of organizational culture, we point out the business culture can be shown in the form of thinking of employees in the company. Meanwhile, the organization with healthy organizational culture targets the clear platform systematically and benefits in long term. And the consistency of the individual distinctions enlarges the organizational customer service. Additionally, unsafe organizational culture do injury to the organization management. For the organization, the culture should be assessed and changed in order to improve its procedure.