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Identify the main types of organisational culture and discuss, with reference to a business you know or have worked for.

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Introduction

TASK 1 Identify the main types of organisational culture and discuss, with reference to a business you know or have worked for. Discuss the impact of corporate culture on the individual and/or team within that organisation. You should explain how you perceive cultures are formed, discuss whether or not cultures change or can be changed and why this might in some, if not all cases, be desirable. Cultures of organisations are the patterns or behaviour and value systems that characterise an organisation. It refers to the shared beliefs and written and unwritten policies and procedures that determine ways in which organisations solve business problems. The Organisation's culture is wholly concerned with the way in which people within the organisation interact with each other and the typical patterns of interactions that develop over time. All organisations have cultures to some extent, although only a small number have a strong culture that is highly visible and which affects the behaviour of employees and other shareholders. Buchanan and Huczenski (1991) suggested that firms with a strong culture and a small or no 'culture gap' are most likely to perform effectively as this means that the difference between the culture the company possesses and the kind Senior Management would like is of a lesser degree. Different organisations have different corporate cultures which can change with differing research and outside influences. The organisation 'IKEA', is a perfect example of a very democratic culture, as being: "A community of professionals, constantly developing the skills necessary to create a better everyday life at home for the many people." (Needham et al. 2000). This is inherited downwards as a personal vision for all the business's employees: "I, as an employee at IKEA, can make a difference. I am able to help to create something for the benefit of everybody, a better everyday life at home." (Needham et al. 2000). For this reason, people are therefore encouraged to participate fully in the life of the company. ...read more.

Middle

Although it is obvious that there was some good intentions on the team leaders part behind such an exercise, the affects of the everyday challenges we faced did eventually become de-motivating, and these sorts of excercises emphasised our already de-moralised attitudes. Often, incentive schemes do not motivate and can increase dissatisfaction when they are not working properly, e.g. because they are perceived to be unfair by some groups of workers. A 'Red Arrows Elite Team' was introduced at my place of work, whereby the select 'Elite 6' with the highest productivity rate would sit above the rest of the Personal Loans team. They were able to spend the time ordering 'lower' people to do whichever jobs they needed doing, in order to remain in the elite team. Of course this was supposed to make the 'lower' individuals wish to aspire to work towards achieving a position in this team, but naturally it had its drawbacks. The result was a definite low team-morale, with a certain divide between the 'good' and the 'bad' which is precisely what we were referred to as. Consequentially, the company's productivity rate decreased, resulting in less money being made for the organisation. This is an example which shows that motivational theories are not 100% successful all of the time. It shows that Incentive Schemes should only be used to reward extra output or loyalty in dynamic ways: they must not be allowed to become 'institutionalised' or their affect will be lost. TASK 3 The importance of communications within the organisation is often neglected or understated. Identify key areas within organisations and between organisations and the outside environment which illustrate this proposition using examples from your own experience or from articles/editorials/business literature or daily newspaper business sections. Examine and appraise the increasing importance of technology in the field of communications. Analyse the effectiveness of different communication systems. Communication is concerned with sending and receiving information. ...read more.

Conclusion

There are now interrelationships throughout the world between businesses, and business decisions in one part of the world affect other parts. Businesses now base decisions on what is happening in the 'world market' rather than the national markets. (The Coca-Cola company is an example of such a globalised company). Certain factors contribute to the growth of globalisation such as: * Technology ~ Technological changes play a hugely important role in the globalisation of the world's economy. More powerful computers and communications technology have allowed the easy transfer of data, meaning that there is not such a need for practical skilled factory workers for example. The Internet is beginning to revolutionise the way in which consumers purchase products. The value of experience has been devalued due to the ability to build computers which can answer questions at the 'drop of a hat'. * Transportation ~ The cost of transportation has fallen, as well as international phonecalls. * The Deregulation of businesses ~ Throughout the 1980's and 1990's, many businesses were privatised in countries throughout the world. The removal of these restrictions have increased the ability of businesses to operate globally. * The Liberalisation of trade ~ Trade protection has been reduced due to the operation of certain organisations. * Consumers ~ Consumer's tasks and their responses have changed, and they are now more willing to buy foreign products. * Growth of emerging markets and competition ~ New markets have opened in countries that have seen growth in their national income. For example, Eastern European countries have become more successful, therefore they are now able to compete in Western economies. INTRODUCTION This assignment examines and analyses the complex interactions, rules and norms within organisations which form its culture. An understanding of motivational factors affecting individual and team performances within businesses is also demonstrated. The importance of good communication is stressed whereby it is explained how this may add to the success of the organisation. Finally, personal views on changing work patterns and the demise of the "job for life" are aired. ...read more.

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