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Culture and its Impact on Organizational
Performance
Organizational Behaviour II
Presentation Report
Submitted By
Anshul Sehgal 14PGP001
Anshul Sharma 14PGP002
Ansuman Chattopadhyay 14PGP003
Arghya Das 14PGP005
Arijit Halader 14PGP00!
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Introduction"#his report is $ased on the reading o% the resear&h paper '(mpa&t o% )rgani*ational Culture on)rgani*ational Per%orman&e" An )+er+ie, pu$lished in the journal '(nterdis&iplinary -ournal o%
Contemporary .esear&h in /usiness, (t is ritten $y ahar Shah*ad .ana Adeel Ayesha
.ashid and alaruh Sha$$ir
!hat is Organizational Culture"#here is no one de%inition o% )rgani*ational Culture (t &an $e eplained as an arrangement o%di%%erent attri$utes that epresses an organi*ation and di%%erentiates the %irm %rom one another
#here are other de%initions o% organi*ational &ulture hi&h says that it is the eplanation
a&6uired noledge sills eplanations +alues possessed $elie%s and &ommuni&ation o% largegroup o% people at the same time and same pla&e Di%%erent de%initions o% organi*ation &ulture
ha+e $een gi+en $y di%%erent resear&hers A&&ording to Ho%sted in 1780 )rgani*ational &ulture is
the &olle&ti+e thining o% minds hi&h &reate di%%eren&es $eteen mem$ers o% one group %romanother As per #ri&hy in 1782 organi*ational &ulture a&ts as '%ormati+e glue, hi&h eeps the
o+erall organi*ation together A&&ording to 9dgar S&hein o% :(#,s Sloan S&hool o% :anagement
organi*ational &ulture is a pattern o% $asi& assumptions that the team learned as it sol+ed itsissues o% internal integration and eternal adaptation that a&tually ored e%%i&iently to $e&onsidered as e%%e&ti+e and hen&e to $e eplained to ne mem$ers as the right ay to thin
relate and %eel in a&&ordan&e ith the a%orementioned issues #he organi*ational &ulture is
so&ially &onstru&ted and is a%%e&ted $y history and en+ironment (t has many layers $oth&ogniti+e and sym$oli& hen&e it &an $e &onsidered as residing at all le+els
#ypes of culture#here are di%%erent types o% &ulture $ased on ho many employees in the organi*ational %ind
themsel+es aligned ith the goals o% the &ompany Some o% the major types are eplained $elo"
Counter Culture
(n this type o% &ulture $elie%s and +alues possessed $y employees o% the organi*ation are
opposite to the organi*ational &ulture hen&e the term &ounter &ulture
Sub Culture
#his type o% &ulture &o&oons in an organi*ation here proje&ts are run in di%%erent geographies
Colla$orating ith teams a&ross geographies on a daily $asis gros this su$ &ulture
Strong Culture
#his type o% &ulture is most appropriate and is hat most o% the organi*ations aspires to ha+e (n
this all or most o% the employees &onne&t ith the organi*ation its goals and +alues and hen&e
&ontri$ute to their maimum potential hi&h in turn help the organi*ation gro
!ea$ Culture
#his &ulture is mostly %ound in the startup &ompanies here not mu&h emphasis is laid on the
hierar&hy or the &ulture as su&h :ore indi+idualism is emphasi*ed and %o&us is on &reati+ityhen&e $inding the thoughts or imaginations o% employees using an organi*ational &ulture is not
pre%erred here (t &an $e &onsidered as a loosely nit employer;employee &ulture
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High Poer Distan&e is usually pre+alent in &entralised &ompanies ith hierar&hi&al stru&tures
hile o Poer Distan&e gi+es e6ual poer to employees in %latter organi*ations
Individualism
#his re%ers to the 6uality o% the relationships $eteen indi+iduals in a group A high (D s&oredemonstrates deta&hed asso&iations (n nations ith a high (D s&ore there is an a$sen&e o%
interpersonal asso&iation and small o%%ering o% o$ligation past %amily and may$e a &ouple o%
&lose &ompanions A general pu$li& ith a lo (D s&ore ould ha+e solid gathering
atta&hment and there ould $e a lot o% %aith%ulness and appre&iation %or parts o% the gathering A
high (D s&ore indi&ates that indi+iduals +alue their sel% interests more than those o% the
organi*ation
)ncertainty &voidance Inde*
#his identi%ies ith the le+el o% aniety that so&iety mem$ers %eel hen in indeterminate oro$s&ure &ir&umstan&es High un&ertainty a+oiders attempt to dodge un&ertain &ir&umstan&es at
hate+er point &on&ei+a$le #hey are administered $y guidelines and they see relia$le
in%ormation o s&ores o% BA( sho that the general pu$li& appre&iates no+el o&&asions and
+alues di%%erent opinions #here is lo %ormality and indi+iduals are sayed to %ind their on
truth High BA( organi*ations are highly stru&tured and %ormal and a+oid di%%eren&es
+asculinity
#his re%ers to the impa&t o% &ontrasts in male and %emale +alues on the so&iety o% the asso&iation
Asso&iations here male representati+es rule their %emale partners ill tae a%ter distin&ti+e
arrangements as &ompared ith asso&iations here %emales ha+e a signi%i&ant say in the &hoi&e
maing methodology o% the asso&iation :ale representati+es ould $e more %or&e%ul in
&omparison ith the %emales ho ould $e å and &onsiderate #he o$ligations lieise
shi%t a&&ording to the se o% the representati+es #he %emale orers are ne+er allotted something
hi&h re6uires late sittings or regular tra+els :as&uline organi*ations measures su&&ess in terms
o% am$ition and &hallenges as &ompared to å and helping
A high :as&uline organi*ation thins that some tass are se;oriented hile lo mas&ulinity
organi*ations %eel $oth males and %emales are e6ui+alent in all aspe&ts
,ong term Orientation
#here are a %e asso&iations hi&h &on&entrate on long haul asso&iation ith the orers (n
su&h asso&iations indi+iduals ha+e a relentless approa&h and stri+e hard to satis%y the desires o%
the administration .epresentati+es get appended to the asso&iation and dont aim at transient
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goals A&tually a %e asso&iations ha+e representati+es ho are more &on&erned ith their
position and pi&ture #hey tae a%ter a so&iety here indi+iduals pro&eed onard in a short
&ompass o% time and nothing is &arried out to hold them #he orers are &on&erned just ith
their $ene%its and targets and lea+e as and hen they impro+e opportunity
!hat is SP+S and Balanced Scorecard"
Human .esour&es as a dis&ipline is mo+ing aay %rom $eing a dis&ipline to sto& manpoer to
$eing a strategi& partner #o this end a&&ording to the resear&hers in this paper e ha+e a
%rameor &alled as Strategic Performance managementsystem -SP+S./
SP:S is a %rameor hi&h supports a per%orman&e;dri+en management system#he 4 pillars o%
SP:S are mentioned $elo"
'irection" A&&ording to this the P: must pro+ide guidan&e
'ialogue" #he &ommuni&ation &hannels must $e &lear
Inclusiveness" #he manager must in&lude all the employees under him in all the de&ision maing
a&ti+ities
Relevancy" #he &ommuni&ation must $e rele+ant to the o$je&ti+es o% the %irm
+ission" #his part $asi&ally states the implementation o% the pillars
#o e+aluate this %rameor e ha+e a tool &alled as /alan&ed S&ore&ardA $alan&ed s&ore&ard
essentially tells us ho to e+aluate the +ision and strategy o% an organi*ation through 4 +erti&als
and $y applying the 4 metri&s hi&h are stated $elo"
#he 4 +erti&als are
inan&ial
Customer
(nternal /usiness and
earning and Groth
#he 4 e+aluating metri&s are"
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)$je&ti+es
:easures
#argets
(nitiati+es
et us e+aluate ho e &an use the $alan&ed s&ore&ard to measure metri&s
?e tae into a&&ount a +erti&al say earning and Groth"
?e de%ine the o$je&ti+es lie ho many training sessions are needed %or a trainee
#hen e address the measures it taes to meet those o$je&ti+es
#he targets are realisti& targets hi&h may $e a&hie+ed
inally the initiati+es are enlisted
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