How to Create a Corporate Culture that Promotes Organizational Success
Howto Create a Corporate Culture that Promotes Organizational Success
Howto Create a Corporate Culture that Promotes Organizational Success
Corporateorganizational culture is imperative and essential. It improves theproduction and performance of the organization through adhering toits beliefs and values which improve the behaviors of the employees.In our research, private universities in Nigeria were selected andused for the study to show how an organization culture can impact andbring success to business. The strength of a corporate cultureaffects and influences the business policies such as financialstructure, employment policy, and the management structure within theorganization. The culture promotes and contributes to betterperformance which reflects the behaviors of the employees. Acorporate business culture incorporates the beliefs, values, norms,practices, assumptions and principles that influence the behaviors ofthe workers and their efforts towards meeting the organization’sgoals. It should be well known and understood that a corporatebusiness culture starts with the leaders. Therefore leaders shouldcreate extra time to design a well corporate business culture whichinfluences the performance of the organization in general. From thestudy conducted by the three universities in Nigeria, it wasestablished that both universities have different cultures made up ofdifferent beliefs, values and norms within the organization. Sincethe three universities were established on different perspectives,they exhibited different cultures. Some practiced Christianity,Islamic and individualism which giving them different identities.This clearly shows that different organizations have differentcultures which influence the behaviors of their employees. Thereforea corporate business culture is used as a base and a strongfoundation towards influencing the performance of an organizationthat leads to success. State corporation leaders should seek todetermine the core values that help to align the organization cultureto be more effective. When cultures are strengthened, organizationperformance will increase making the staff members become activelycommitted and involved creating flexibility within the organization.
Successis the desire and motive for every business around the world.Individuals, groups, and organization start businesses with themotive of achieving their objectives as outlined in the businessplan. In the modern world, organizations are dynamic, and this posesdifferent prospects and problems to policy makers and the corporatepractitioners in general. Understanding these changes marks asignificant point upon which individuals’ works hard towardspursuing the strategic objectives of the business. These dynamismsare brought up by the business culture that is adopted by a givenorganization. The business culture plays a critical role in helpingorganizations in understanding this dynamism that underlies them. Theculture acts as the driving wheel on which businesses thrives onsmoothly Every business has a culture that favors and promotes unity,harmony, and productivity among the workers and the employers and theoutside market in general[ CITATION Kab15 l 2057 ].Therefore for any organization to grow and encourage change withinand outside, they must evaluate and analyzethe existing business culture. Knowing and understanding the cultureof the business allows easy decision making and any changes at areasonable pace without any resistance or alienation. Culture variesfrom one organization to another in their beliefs, values, andassumptions (Coleman, 2013). Any business without a culture isassociated with an individual without an identity. Therefore aculture gives the business its identity which defines its behaviors,values, and beliefs. Positive business culture always promotes andhelps the business to realize both its short term and long termobjectives. It also helps to create a good relationship whichpromotes team work among the employees and their employers unlikewhen an organization has a negative culture. A positive businessculture assists the business to cope with the changes and the varyingorganizational demands towards meeting its goals and objectives(Katzenbach, 2016). Therefore, a business culture which is supportiveacts as a motivational instrument that promotes the smoothperformance of the business that ensures the success of the businessin all its activities. The paper aims at examining how corporatebusiness culture promotes an organization’s success.
Componentsof an Organization Culture
Organizationalculture has been defined as the values and beliefs that exist withinthe organization that assists in shaping the employees’ patterns ofbehavior (John F., 2016). It is the self-drive that helps torecognize the various contributions and efforts of members in anorganization to provide a holistic understanding of how the businessgoals are interrelated, how they can be achieved and how individualemployee can attain these goals. In a summery business, culture canbe defined as the collective process of the mind that helps todifferentiate one group of members from the other. The organizationalculture helps to acclimatize and keep employees in line with theorganizational goals and objectives. It promotes excellentperformance through various departments within the organizations suchas the human resource department, performance management, training,recruitment and development departments within the organization. Theorganizational culture introduces the employees to the norms, values,beliefs, incorporates, assumptions and principles of the organizationas a set of standard activity and a behavioral guideline[ CITATION Kre13 l 2057 ].The organizational culture carries an aggregate impact on the qualityof the products and services produced and the overall effectivenessof the whole organization. The corporate culture is shaped by thebehaviorsand attitudes of the employees and the management. This helps toaccelerate engagement and interaction among the parties within theorganization. It shapes and modifies what happens in the businesswhich can be reflected and determined by the human behavior.
Organizationalculture starts with the people in authority and spreads to othermembers of the organization. Various factors have been considered tobring about the business culture within an organization some ofthese factors include organization’s previous events, influencefrom the national culture, different character traits and theindividual socialization experience as a due to the past educationaland work experience. These practices include the assumptions,beliefs, and values of an organization. Assumptions are the theoriesthat individual depend on in order guide and direct their behaviorand perceptions in the workplace. The organizational beliefsrepresent an individual’s perception of reality (Narayana, 2015).
Organizationcultures are different from one another regarding their beliefs,assumptions, and values. For example, some organization focuses theirpremiums on their selection and recruitment, training programs andeven performance management while others focus on career development,setting goals and pay-for-performance all intended in maximizing theemployees ‘performance and customer service. It creates ahigh-performance culture within the organization. Some organizationwill support their employees with medical services, individualtrainers and constructing for them inexpensive cafeteria with themotive of improving their corporate performance within theorganizational culture. This forms the basis of social control andinfluences the decisions and behaviors of the employees. It acts as apilot who directs the employees in line and consistent with theexpectations of the organization. The culture becomes pervasive andworks unconsciously all through within the organization to improvethe performance (Melissa, 2013).
Organizationculture is associated and related to the social glue which createsunity among individual. This gives them a feeling of belongingness toorganizational experience creating confidence in them. Leaders shouldencourage and motivate their employees so as to memorize andinternalize the dominant cultures of the business which fulfill theirsocial identity. This will help to serve as a way of attracting newstaff members and retaining the great performers within theorganization[ CITATION Kla14 l 2057 ].
Anelite corporate business culture helps in the decision-makingprocess, and it helps workers to understand different events withinthe organization. It gives them new energy to continue working on thepresent issues rather than spending more time trying to find out whatis expected from them. A corporate culture promotes an easy andefficient communication either from the top to bottom levels ofcooperation making them share common beliefs, values and assumptionsof reality within the organization (Cassie, 2016).
Aculture in an organizational facilitates and influences therecruitment and selection process of the new staff workers. This isbecause a corporate business culture is enshrined and driven byethical values that promote good behavior among those leading theprocess. This helps to control the conduct of the workers by layingappropriate values and beliefs in their code of ethics.
Howto build a Balanced Culture
Severalpeople do ask themselves how they can build a corporate businessculture that focuses on the performance of an organization. How canthey identify the influence which will help them to find a process toapply concrete steps that will lead to a more healthy culture whichwill bring balance and an opportunity to reinvest? Researchers tendto view the process as simple and advocate for the application of thescope and the current realities of the unique situation in theprocess. This will help to make a healthy culture which will bringsuccess to your business. Six steps have been identified which areeffective in bringing change regardless of the size of theorganization. The steps include establishing urgency, developingdirection, chartering a change team, communicating, aligning andempowering the employees and finally aligning the infrastructure soas to increase accountability. All these steps will bring about ahealthy business culture which will reflect the success of thebusiness.
Anorganization should be determined in designing a good culture.Leaders should put three steps ahead towards establishing a healthybusiness culture (John T., 2014). Managers should start by making theculture personal. The culture should clearly reflect who they are.The leaders should show commitments as their only assets towardspromoting a healthy culture. They should stick to it and defend it byall means possible. They should do this by asking themselvesquestions why they had to start those companies? What do they want togive back to the world and what are the visions underlying theestablishment of this company (John T., 2014).
Thesecond step that managers should follow is finding a way tocommunicate their vision to their employees and the public ingeneral. Communication in any business is a strong key towardsachieving the organization’s objectives. Several kinds of researchconducted clearly indicate that communication is one of thechallenges that give workers and managers a hard time. Many managersdon’t know how to express themselves this makes it difficult evenwhen it comes to the orientation of the business culture to the newlyemployed staff. This is evident from the SIS International Researchwhich established that 70% of small businesses always complain of theineffective communication as their primary problem. Founders who aregreat communicators always keep on propelling their businesses in theright direction. However, it should be understood that not everyindividual is gifted with a great tongue that can easily convince andmotivate workers within and outside the organization[ CITATION McC15 l 2057 ].
Lastbut not least, leaders should put their employees first. They shouldembrace them and treat them with the respect they deserve. Employeesshould be treated like human beings. When employees are given bettertreatment, they usually work hard and tend to stay longer in theorganization. This, in turn, increases their production capacity.This makes an organization a great company with great people (JohnT., 2014). Thus a great and healthy culture is defined by fiveelements which include teaching the culture, defining it, living it,measuring it and rewarding it (Meredith, 2014).
OrganizationalCulture and Performance Management
Organizationaldevelopment is composed of specific factors that improve itseffectiveness and sustainability. The improvement in productivityhelps to build employee commitments whereby the values, norms, andbeliefs improves the culture of the business. A strong cultureaccelerates the productivity of the employees (Huang, 2013).Therefore, the effectiveness of any system of an organization isbased on a corporate business culture that keeps the businesslearning in an active environment. The performance of the employeesdemonstrates a strong foundation upon which the business grows anddevelops. The business culture determines the loyalty of theemployees within the organization, their behavior and creatingawareness among themselves. The awareness helps in improvingorganizational and employee relationship which can be used to givebetter results towards attaining the goals and objectives of thebusiness. The degree of an achievement in a business can be used tobuild the assignment of the employees. At this point, the employeestend to fulfill the mission of the organization through theirperformance (Morgan, 2015).
Foran organization to achieve its goals and objective, it has toposition its strategies appropriately based on the organizationalperformance. The measurement of performance helps to improve theorganization Association to realize its goals and objectives in themost appropriate manner. Many studies have tried to look and analyzeorganizational culture in details, but just a few have attempted toquantify its effects on the companies’ productivity, creativity andvalues and growth rate. An organizational culture entirely depends onthe leadership. Therefore leaders need to allocate more time indeveloping the business culture (Susan, 2015). Corporate culture isan essential element for an organization to be successful. Cultureenhances the business values as Duke’s Campbell puts it. Cultureand performance are closely connected and interrelate to each otherby the scope and nature of the culture. A business attains itssuccess when it associates the organization with a strong culture.Job performance causes a great impact on the organization culturewhich enhances increased production[ CITATION Mic13 l 2057 ].
Businessneeds to determine clearly which type of business culture that willsupport their strategic plans within the business. In this, everyculture that a business adopts has got certain qualities that aresupposed to be executed at an optimal level. The business culturewhich is healthy supports the organization. Three key actions havebeen identified which leads to the formation of a healthy and helpsto retain super talents in an organization. The key actions includethe following clarifying the most appropriate directions by theirleaders. They should do this by determining the starting and theending points of the business. Through defining the direction, ithelps to align the activities by linking the organization’sstrategy, mission, and the vision[ CITATION Xio12 l 2057 ].
Thesecond key action that leads to a healthy culture is involving peoplein the most meaningful ways. This helps to create teamwork among theemployees and the managers enhancing a good relationship. Involvingthe people helps in building them for their future well-being. Italso makes it easy for the top managers to pass and get feedback fromboth sides since people have the courage and confidence with theirleaders. Involving the employees in the organizational culture helpsthem to focus on the results[ CITATION Ali16 l 2057 ].They get the new energy that drives them towards achieving the bestresults. This enhances good communication which enhances claritytowards aligning the organization’s goals and objectives. Thiscreates accountability among the workers and the authority ingeneral[ CITATION Gre12 l 2057 ].
Theresearch paper uses both qualitative and quantitative methods todemonstrate how organizational culture impacts the success ofbusiness. The study uses some selected private Nigerian universitiesas our case study to establish the relationship between theorganizational culture and success. The survey was only carriedaround the areas surrounding the Ogun state, south-west Nigeria. Thereason why these private universities were chosen was that they wereestablished on different foundations such as individuals or religionbasis. Therefore most of them have different beliefs, practices, andvalues upon which they were established. For example, some areprivately owned by Christians, individuals and some by Muslimcommunities. This gives a clear evidence of the differences thatexists between them, unlike the public universities that wereestablished and governed by the government.
Threeuniversities were selected for the study. They include CovenantUniversity which is a Christian university, Crescent University whichis a Muslim university and finally the Bells Technology Universitywhich is an individual university. The target mainly involved theacademicians from the named universities. Random sampling techniqueswere used in the study depending on nature and behavior patterns ofan individual within the universities. The research instruments wereadministered through personal contact, and proper provisions ofguidelines were given to the respondents on how to answer thequestions. Each respondent was given five minutes to fill in thequestionnaire. Afterward, the statistical data collected wereanalyzed. From the study 237 valid samples were gathered to help inestablishing the relationship between the variables.
Inthe study, some structured questionnaires were used in gathering theprimary data. The questionnaires were divided into two parts. Thefirst section required the respondent demography to fill in theirgender, age, work experiences and their marital status. The secondpart consisted of sixteen items that were based on five points each.The Likert scale was used where 5 represented those who agreedstrongly, 4 represented those who agreed, 3 undecided 2 disagreedand 1represented those who strongly disagreed. The second part of thequestionnaire consisted of systems of measuring the degree oforganizational culture to which the values, beliefs impacts thebehaviors on the performance management and also the effects oncompensation administration due to beliefs and practices.
Fromthe analysis of the data collected, the table below was prepared togive a summary of the findings as collected in the survey of the 2012from the Nigerian private universities.
Gender Frequency percentage
Male 137 57.8%
Female 100 42.2%
Total: 237 100.0%
18– 25 years 71 30.0%
26– 35 years 121 51.0%
36– 45 years 28 11.8%
Above46 years 17 7.2%
Total: 237 100.0%
Single 89 37.6%
Married 106 44.7%
Divorced 30 12.7%
Others 12 5.0%
Total: 237 100.0%
0– 5 years 81 34.2%
6– 10 years 111 46.8%
11years & above 42 17.7%
MissingSystem 3 1.3%
Total: 237 100.0%
Tab.1: Respondents Characteristics. Source: Survey, 2012
Fromthe table above the size of the sample for the male is 57.8% and thatof women is 42.2%. This clearly shows that men were representedhighly than women. On the other case age of the most respondents wasbetween 26-35 years which accounts for 51.0%, followed by 18-25 yearsof age with 30.0%. The least respondents, in this case, lie withinthe age bracket of 45 and above. From the analysis, it can beconcluded that the majority of the individuals falls within the agebrackets that are considered economically active in any nation.
Consideringtheir marital status, 44.7% were married despite the hard challengesthey faced while 37.6% were found to be single and the divorced was12.7%. The respondents also have work experience since most of themhave worked before. Those who have worked between 6-10 yearsaccounted 46.8% have worked between 6-10 years, 17.7% have a workexperience of eleven years and above. This is attributed to the highrates of turnover as a major feature associated with the privatesectors in any economy. 18-25 years of age makes 30% of the totalrespondents. Also, this can be attributed to the employment policiesthat exist among these universities in reabsorbing their graduates inthe workplace and groom them to maturity.
Implicationsof the study on the Managerial performance
Theresults established from the study shows that there is a closeconnection between the business culture which constitutes thebeliefs, values and practices and the business success. The businessculture influences the human resource management which involves therecruitment and selection department, training, performancemanagement and the compensation administration in organizationalculture. The implication of this analysis is that it makes themanagers aware that the recruitment process acts as the first step inconforming to the organizational culture through interaction of theemployees and the managers. Therefore, the process serves as anavenue through which vital information can be disseminated to the jobseekers. This will help to align the employees with the beliefs,values, and practices which matches the employees and theorganizational culture. This accelerates the human capitaldevelopment within the organization which will lead to the reductionof the labor turnover.
Inconclusion, a business culture is critical in the performance of theorganization. Businesses need to design a corporate culture that willinfluence the behaviors of the workers as enshrined in theorganizational beliefs, norms, values, principles and assumptions.The success of any business can be measured using the type of cultureit adopts. The strength of the business culture acts as a drive wheelupon which the business thrives. Therefore the top management shouldallocate enough time in designing the most appropriate culture thatwill influence its performance. The culture should be able to alignthe workers with the organizational goals and objectives to fulfillwhat is expected of them. A corporate business culture equips themanagers with the right skills and experience on how to handle theiremployees and prepares them towards meeting the organizationalobjectives. The influence of culture depicts clearly in the Nigerianuniversities. From the selected case study of the three universities,they have different cultures which dictate different values, norms,and beliefs in the modern world that enhance the behaviors of theworkers. This in return increases their productivity and performance.Therefore the production and performance of an organization aredirectly related to the culture it adopts[ CITATION Mar15 l 2057 ].
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