Management and governance: organizational culture in relation to enterprise life cycle

Abstract

Purpose – The behaviour of an enterprise (including ethical behaviour) strongly depends on the organization’s culture, values and beliefs. The purpose of this paper is to demonstrate that organizational culture differs according to enterprise life cycle stage. Also the importance of the knowledge and awareness of these differences to enterprises’ management in order to be able to ensure enterprises’ success is argued. Design/methodology/approach – The case study research methodology was applied to explore the differences in the type of organizational culture as well as cultural strength depending on the enterprise’s life cycle stage. For the empirical testing, the author have selected Slovenia, one of the most developed European post-socialist transition countries. Findings – The research revealed differences in the types and strengths of enterprises’ organizational cultures and showed their dependence on the enterprises’ life cycle stages. Practical implications – Knowledge of differences in organizational culture in relation to an enterprise’s life cycle stage can significantly contribute to the behaviour of the enterprise’s key stakeholders by ensuring the long-term and sustainable success of the enterprise. Originality/value – The available literature does not provide similar research of differences in organizational culture in relation to an enterprise’s life cycle stages.