Organizational Culture Orientation Research Articles

Internal and External Processes Improvement, a New Dimension of Balance Scorecard and Its Impact on Organizational Performance

Abstract When talking about performance, financial aspects come first. Besides that, when organizational performance is the main subject, redesign of the processes, inputs and outputs analysis are various aspects taken into consideration. Financial indicators such as return of investment and earnings per share are no longer enough. Nowadays, process measurement, change management initiatives, risk analysis, stakeholder engagement, innovative financial measures, people learning and development, organizational culture orientation toward global trends, as well as KPI’s commitment are dimensions and future perspectives of the new approach of organizational success. This research will present the way an instrument as Balance Scorecard can secure competitive advantage and improve organizational performance by linking strategic goals, operational performance indicators and stakeholder’s enlarged participation. The research methodology questioned the perception related to balance scorecard main directions within companies belonging on the automotive and manufacturing industry. The four dimensions of Original Balance Scorecard model – financial perspective, customer perspective, internal business perspective and innovation and learning perspective – applied at all levels within the organization generate better measurable results, with a positive impact on people engagement and responsibility. The new proposed dimension, stakeholders’ participation gives substance on organization’s way of defining its purpose on the societal market that it belongs to.

STRATEGIC LEADERSHIP AND EMPLOYEE ENGAGEMENT LITERATURE REVIEW

Employee engagement is crucial to the development of an enterprise, and employee management is extremely critical to the development of the enterprise. Strategic leadership can influence employees by clarifying the corporate vision, organizational culture orientation, formulating long-term plans, and setting clear goals. Engagement stimulates employees' intrinsic work motivation to achieve organizational goals. This article sorts out the literature on the concepts and measurement of strategic leadership, employee engagement, and the relationship between strategic leadership and employee engagement, explores the deficiencies in research on strategic leadership and employee engagement, and summarizes them to provide a reference for future research.

Organizational Culture Orientation and Union Influence

Employee unions are indispensable components of organizational success. The role of the employee union, which could be a consequence of organizational culture, determines the degree of an organization’s success. This study aims to explore the employee unions’ influence on the different cultural orientations of the organization. The study is based on survey data from 23 sample organizations’ 479 respondents. This study employed a mixed approach: a qualitative approach for understanding the fundamentals of employee unions and their influence in the Nepalese context and a quantitative approach for estimating unions’ influence. OCAI to determine the cultural orientation of sample organizations. A survey questionnaire was distributed to the employees, management leaders, and union leaders as respondents to estimate the influence of employee unions. Word clouds, OCAI charts, and descriptive statistics were used to conclude the study. Findings revealed unions’ influence on organizations in different functions like recruitment and selection, training and development, compensation, and the working environment. Union influence is found to be more active and influential in hierarchy culture than in market culture. This study contributes to the Power Resource Approach and Social Exchange Theory. It encourages the organizations’ leaders to orient their culture toward market culture to foster a fair, transparent, and competitive work environment and lessen the adverse influence of employee unions.

Implementing a complex hospital innovation: conceptual underpinnings, program design and implementation of a complex innovation in an international multi-site hospital trial

BackgroundDesigning implementation programs that effectively integrate complex healthcare innovations into complex settings is a fundamental aspect of knowledge translation. We describe the development of a conceptually grounded implementation program for a complex healthcare innovation and its subsequent application in pediatric hospital settings.MethodsWe conducted multiple case observations of the application of the Phased Reciprocal Implementation Synergy Model (PRISM) framework in the design and operationalization of an implementation program for a complex hospital wide innovation in pediatric hospital settings.ResultsPRISM informed the design and delivery of 10 international hospital wide implementations of the complex innovation, BedsidePEWS. Implementation and innovation specific goals, overarching implementation program design principles, and a phased-based, customizable, and context responsive implementation program including innovation specific tools and evaluation plans emerged from the experience.ConclusionTheoretically grounded implementation approaches customized for organizational contexts are feasible for the adoption and integration of this complex hospital-wide innovation. Attention to the fitting of the innovation to local practices, setting, organizational culture and end-user preferences can be achieved while maintaining the integrity of the innovation.

Organizational Culture Orientations and Employee Turnover Rate among Star Rated Hotels in Nairobi County

Hospitality industry is characterised by intensity of labour all over the world. Curiously, the sector is also dodged with higher employee turnover and slow growth, with many ventures closing down annually. In Kenya, the employee turnover rate remains at over 50% with hotels in Nairobi recording the highest turnover of over 72% by the first quarter of the year 2021. Management scholars have argued that aligning organizational culture to the business environment is the best approach to dealing with organization outcomes, including employee turnover. The main objective of this study was to investigate the influence of organizational culture orientations on employee turnover rate among star rated hotels in Nairobi County. Specific objectives were to determine the influence of innovation orientation culture on employee turnover rate, and to establish the influence of stability orientation culture on employee turnover rate. Contingency theory, which stipulates that approaches for enhancing firm outcome are contingent upon environmental factors was adopted. The study employed a correlational survey design on a target population of 486 top and middle-level managers. Fishers et al (1998) formula and multistage sampling were used to select a sample of 213 from the target population. Data was collected via structured questionnaires. Expert rating method was used to calculate a content validity index (CVI) of 0.88 for the instrument. Reliability was calculated through split-half method, where correlation coefficients of 0.88, and 0.84 for organizational culture and organizational structure respectively was attained. Descriptive and inferentialwereusedfordataanalysis. The findings showed that 75.7% changes in employee turnover rate is attributed to organizational culture orientations investigated by the study (R2 =0.757). Findings also showed that stability orientation (β=0.473), and innovative orientation (β=0.484) all are significant predictors {F (1, 183) =278.617, P<0.05} of employee turnover rate among the hotels. It is concluded that stability orientation culture and innovative orientation culture are critical organizational characteristics for managing employee turnover. The study recommends that organizational characteristics should be improved for the purpose of controlling employee turnover. Further research needs to be done on effects of ethical environment and corporate governance on employee turnover rate.

Organizational culture and leadership in Egypt, Iran, and Turkey: The contextual constraints of society and industry

AbstractDrawing on institutional theory, this paper aims to examine whether society and industry act as constraining factors on organizational culture and leadership preferences in three countries in the Middle East and North Africa. The sample includes 55 organizations in Egypt, Iran, and Turkey operating in the finance and food industries. The findings show that organizational culture and leadership preferences vary across different societies in the region. Moreover, some organizational culture practices differ across industries, whereas leadership preferences do not. These findings demonstrate the importance of context (mainly on society and partially on industry) on shaping organizational culture and perceived leadership effectiveness. The practical implications suggest that managers must be aware that even countries in the same region have practice differences.

How large entrepreneurial-oriented companies breed innovation: the roles of interdepartmental collaboration and organizational culture

PurposeThis study aims to provide a better understanding into how large-scale companies overcome their rigidity and bureaucracy, and transform entrepreneurial orientation (EO) into organizational responsiveness (e.g. interdepartmental collaboration [IDC]). It also clarifies the double-edged role of organizational culture in shaping IDC, specifically within the Chinese economy that is deeply influenced by Confucianism.Design/methodology/approachDatas were randomly collected from companies that reside in the Yangtze River Delta region. With a sample of 115 large-scale EO Chinese firms, consisting of 402 department managers and 115 executives. The study aggregates the scores to create an overall measurement for EO, collectivism, power distance and IDC in the analysis. Further, confirmatory factor analyses were used to measure the structural model fitness, and multiple regression analysis was used to assess the hypotheses.FindingsThe results show that in competitive environments, IDC, as a strategic response to EO and a risk aversion of inertia and bureaucracy, fully mediates the positive relationship between EO and organizational creativity. Furthermore, the positive association is more pronounced under high cultural collectivism or low power distance in large-scale firms.Research limitations/implicationsThis paper contributes to the understanding of EO approach at the organizational level. The results posit that when large companies adopt EO, they are proactive rather than passive and would exhibit IDC as an important strategic responsiveness. Moreover, different organizational cultural orientations (i.e. high collectivism and low power distance) help to build IDC before cultivating innovation.Practical implicationsThe results in this study suggest that large companies should focus on developing IDC to overcome knowledge fragmentation, bureaucracy and inertia. Also, large firms should develop Human Resource Management practices, such as creating job rotation and workflow, as well as cultural trust and common beliefs. In contrast, they should be on guard against status differences and workplace hierarchy’s cultural context.Originality/valueTo the best of the authors’ knowledge, this is the first study that considers the roles of IDC and organizational culture and examines how large-scale entrepreneurial-oriented companies breed innovation.

ORGANIZATIONAL CULTURE ORIENTATION AND SOFT HUMAN RESOURCE MANAGEMENT ORIENTATION IN THE MALAYSIAN HOTEL ORGANIZATIONS

It has been recognized that hotel organizations gain competitive advantage through their employees that are able and willing to provide quality service, through their expertise and ingenuity. The intangible work environment evolved and is personified by the organization culture. The Soft HRM focuses on treating employees as valued assets and a source of competitive advantage through their commitment, adaptability and high-quality skill and performance. The objective of the research was to examine the relationship between the organizational cultural orientation and the Soft HRM orientation of selected hotel organizations in Malaysia. Specifically, it aimed to examine if there were similarities and differences in the culture-Soft HRM orientations and to determine if there was any association between these variables orientations with the turnover rates. It was proposed that when there was a high level of association between the two strategic orientations, the organization would be more effective, as indicated by the turnover rate of employees. The findings indicated there was an alignment between organizational culture orientation with the organizational Soft HRM orientation. However, partial support was found between culture-Soft HRM orientations with turnover rate. This study had contributed to a better understanding on the practices that relate to organizational culture orientation and Soft HRM orientation in the hotel organizations.

Management Control Systems, Organizational Culture and Village Credit Institution Financial Performance

This study aims to provide empirical evidence about the influence of misfit management control systems (levers of control) with organizational culture will negatively affect the financial performance of LPDs. This study uses a survey method (questionnaire) based on a sample of 149 LPD units in Buleleng Regency with purposive sampling criteria. The research respondents were all three LPD officers (penyarik, pemucuk and petengen) and one staff each from the credit and accounting department.. The research hypothesis suggests that each organizational culture orientation, namely clan, adhocracy, hierarchy and market shows a fit (through misfit values) with levers of control (belief, boundary, diagnostic and interactive control system) has a negative effect on LPD financial performance. The analysis technique uses OLS regression residual approach to testing the research hypothesis. The results showed that the hierarchical culture was able to have a fit (a small misfit value) with a management control system (levers of control) to influence the financial performance of the LPD.

ORGANIZATIONAL CULTURE ORIENTATION AND SOFT HUMAN RESOURCE MANAGEMENT ORIENTATION IN THE MALAYSIAN HOTEL ORGANIZATIONS

It has been recognized that hotel organizations gain competitive advantage through their employees that are able and willing to provide quality service, through their expertise and ingenuity. The intangible work environment evolved and is personified by the organization culture. The Soft HRM focuses on treating employees as valued assets and a source of competitive advantage through their commitment, adaptability and high-quality skill and performance. The objective of the research was to examine the relationship between the organizational cultural orientation and the Soft HRM orientation of selected hotel organizations in Malaysia. Specifically, it aimed to examine if there were similarities and differences in the culture-Soft HRM orientations and to determine if there was any association between these variables orientations with the turnover rates. It was proposed that when there was a high level of association between the two strategic orientations, the organization would be more effective, as indicated by the turnover rate of employees. The findings indicated there was an alignment between organizational culture orientation with the organizational Soft HRM orientation. However, partial support was found between culture-Soft HRM orientations with turnover rate. This study had contributed to a better understanding on the practices that relate to organizational culture orientation and Soft HRM orientation in the hotel organizations.

ORGANIZATIONAL SYSTEMS ORIENTATION AND ORGANIZATIONAL CULTURE ORIENTATION IN THE MALAYSIAN HOTEL ORGANIZATIONS

It has been recognized that hotel organizations gain competitive advantage through their employees that are able and willing to provide quality service, through their expertise and ingenuity. The intangible work environment evolved and is personified by the organization culture. The Soft HRM focuses on treating employees as valued assets and a source of competitive advantage through their commitment, adaptability and high-quality skill and performance. The objective of the research was to examine the relationship between the organizational cultural orientation and the Soft HRM orientation of selected hotel organizations in Malaysia. Specifically, it aimed to examine if there were similarities and differences in the culture-Soft HRM orientations and to determine if there was any association between these variables orientations with the turnover rates. It was proposed that when there was a high level of association between the two strategic orientations, the organization would be more effective, as indicated by the turnover rate of employees. The findings indicated there was an alignment between organizational culture orientation with the organizational Soft HRM orientation. However, partial support was found between culture-Soft HRM orientations with turnover rate. This study had contributed to a better understanding on the practices that relate to organizational culture orientation and Soft HRM orientation in the hotel organizations.

Diagnosing the Organizational Culture of Rural Community Banks in Ghana and Its Effects on Their Financial Performance

Rural Community Banks (RCBs) are important rural development partners in Ghana. They are the lifeline of credit to small businesses and individuals who do not have the necessary collateral and capacity to borrow from the traditional commercial banks. However, the RCBs are confronted with increasing customers’ demands, keen competition, and poor financial performance which has led to 26% of the country’s RCBs earmarked for liquidation. This is a serious threat to the sustainability of the country’s RCBs prompting serious concern among stakeholders of rural banking. Previous studies have looked at the issue from the perspective of regulations, corporate governance, and ownership structure. This paper seeks to look at the problem from the organizational culture and product innovation point of views.Based on the Competing Values Framework and empirical studies, hypotheses were stated and tested using data collected from 92 RCBs.The data were analyzed using the Smart PLS of SEM.The findings are that RCBs in Ghana exhibit four different cultural types but the dominant culture is control-oriented. Product innovation has a strong impact on financial performance. Cultural orientations such as compete-oriented and innovate-oriented can support RCBs to introduce innovative financial products (product innovation) while control-oriented cannot.Based on the findings, the RCBs are encouraged to create a Research and Product Development (RPD) unit. This unit should develop a cultural orientation that values and encourages freedom of thought, and experimentation of innovative ideas. The bank as an institution should value customer and competitor interactions which serve as a feedback platform for the development of innovative financial products and services.The theoretical contribution of this paper is that organizational cultural orientations that value and focus on customer satisfaction, and interaction with competitors nurture product innovation.

Cultural orientations and product innovation in the Ghanaian banking sector

ABSTRACTThe Ghanaian banking sector plays a major role in the socio-economic development of the country. However, the banks are faced with many challenges which include growing customers’ demands, inadequate innovation practices and poor financial performance. With the advent of Information Communication Technologies (ICTs), there are calls for the banks to be more innovative. The paper explores the influence of organizational cultural orientations on product innovation. It also examines the moderating effect of extrinsic motivators on such relationships. Hypotheses were formulated and tested using data collected from the banking sector in Ghana. The findings are that innovate-oriented and compete-oriented cultures have a direct positive influence on product innovation. Both Informational Extrinsic Motivators (IEMs) and Controlling Extrinsic Motivators (CEMs) moderate the relationship between innovate-oriented, compete-oriented cultures and product innovation such that they diminish the positive relationship that exists between such variables. The paper offers theoretical contribution and managerial implications which are discussed.

Beyond National Boundaries: Organizational Culture and Paternalistic Leadership Effectiveness

Paternalistic leadership (PL) literature has traditionally considered its effectiveness to be culture-bounded. However, the role of organizational culture orientations on paternalistic leadership e...

The moderating role of self‐efficacy in the organizational culture–training transfer relationship

This paper aims to examine the combined effects of self‐efficacy and organizational culture on employees' transfer of knowledge/skills acquired through training. The questionnaires were distributed to 252 newly hired employees working in a service organization in Greece. Each of the independent variables examined added incrementally to the prediction of training transfer. Moreover, self‐efficacy was found to act as a moderator in the organizational culture–training transfer relationship. High self‐efficacy was found to strengthen both achievement culture–training transfer as well as humanistic culture‐training transfer relationships, whereas low self‐efficacy weakened these relationships. The study has practical implications by providing insights into ways of engaging employees in transferring the skills acquired during training. This investigation extends previous research by demonstrating that self‐efficacy acts as an accentuating factor in the relationship between organizational culture orientations and new hires' transfer of training.

The impact of product market strategy-organizational culture fit on business performance

Drawing on the organization theory literature concerning configuration theory, competing values theory, and fit assessment methodologies, we examine the existence and performance impact of product market strategy–organization culture fit. Specifically, we assess the relationship among three important elements of a firm’s product market strategy and the four cultural orientations that comprise the competing values theory of organizational culture using primary and secondary data from the US trucking industry. Using two different conceptualizations and operationalizations of fit, our results provide the first empirical support for the existence of interrelationships among product market strategy decisions and organizational culture orientations consistent with configuration theory conceptualizations of product market strategy–organizational culture fit. We also find support for theorized but previously untested relationships between product market strategy–organizational culture fit and firms’ customer satisfaction and cash-flow return on assets (CFROA) performance. Since product market strategy is heavily reliant on the input of marketers, and organizational culture has long been recognized as having an important impact on marketing-related decision making, these findings have important implications for marketing strategy research and practice.

Careers as tournaments: The impact of sex and gendered organizational culture preferences on MBAs' income attainment

AbstractDrawing on gender role theory and tournament theory, we examined the effects of sex and organizational culture preferences on the incomes of MBA graduates over an 8‐year period. We found that masculine culture preferences led to higher income 4 years after graduation and, in contrast to previous research, the effect was stronger for women. By 8 years after graduation, however, men's rate of income increase was significantly higher than women's, an effect that was mediated by hours worked per week. These findings clarify some of the conflicting results of previous research on the effects of gender roles on women's careers and suggest that a tournament‐like aspect of careers may account for higher incomes in organizations. Copyright © 2009 John Wiley & Sons, Ltd.

A Comparison of Chinese and UK Cultural Preferences Supporting Knowledge Management in Organizations

A supportive organizational culture has been recognised as a critical factor for a successful knowledge management (KM) initiative. This research explores the national diversities in developing such a supportive organizational culture between China and the UK. Some critical cultural attributes are identified from previous literatures as key factors for a supportive culture for KM, namely, 'Team oriented', 'Trust', 'Working closely with others', and 'Sharing information freely'. It is assumed that a supportive culture will be created if these critical cultural attributes are nurtured in organizations. Based on the perspective of 'person-culture fit', a modified 'organizational culture profile' (OCP) is employed as a research instrument to explore the different organizational culture preferences among target samples from China and the UK. The conclusions from this study are, compared to the UK, China has preferences in creating a culture of 'Team oriented', and has difficulties in creating a culture of 'Trust' for knowledge management in organizations. At the same time, both countries may be faced with the same challenges in creating organizational cultures of 'Sharing information freely' and 'Working closely with others' for knowledge management.

Organizational culture and transformational leadership as predictors of business unit performance

PurposeThe aim of the study was to examine the relationship between transformational leadership and organizational cultural orientations, as well as the joint effect of transformational leadership and organizational culture on business unit performance.Design/methodology/approachAbout 300 employees of a large financial organization in Greece filled in a number of questionnaires measuring organizational culture orientations and transformational leadership. The measurement of business unit performance was obtained by the organization under study.FindingsA path analysis showed that the achievement and adaptive cultural orientations had a direct effect on performance. Moreover, transformational leadership and humanistic orientation had an indirect positive impact on performance via achievement orientation.Research limitations/implicationsA research limitation is that the causal direction of the relations between the predictors and the criteria has been partially established by controlling for the effect of past performance on the perceptions of organizational culture and leadership.Practical implicationsOn a practical level the findings suggest that constructive and positive social relations at work need to be accompanied by goal setting and task accomplishment if high organizational performance is to be achieved.Originality/valueThe originality of this study concerns the finding that organizational culture mediates the effect of transformational leadership on business unit performance.

Do Occupational Groups Vary in Expressed Organizational Culture Preferences?

The objective of our study was to examine whether there are differences in how employees in six occupations (Accounting, Management Information Systems, Marketing, Production, and Secretarial/Clerical) describe the organizational culture in which they felt they would be most effective. The differences found within the context of one national culture were differences in degree rather than in kind. Members of each occupational group indicated that an organizational culture that emphasizes constructive interpersonal relationships, participative management, and values individual work initiative and task accomplishment is preferred. Management Information Systems emerged as having significantly more extreme preferences in their description of an ideal organizational culture. Additionally, it was found that the professional occupations had distinctly different degrees of preferences for specific types of organizational culture than the non-professional occupations. The dominant type of work (person-oriented vs. task-oriented) also had an effect on organizational culture preferences.