Does Organizational Culture affect the workplace?

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Does Organizational Culture affect the workplace?

by

AMANDA HANSEN

AIMEE PAUMEN

RYAN MORAVETZ

TAK CHOY

A Literature Review Submitted to Instructor Michele Mumm

of Saint Cloud State University in Partial Fulfillment

of the

Requirements for the Degree

BACHELOR OF SCIENCE

ST. CLOUD, MINNESOTA

2006

Copyright © 2006

Amanda Hansen

Aimee Paumen

Ryan Moravetz

Tak Choy

Introduction

The topic of organizational culture has been researched by many.  Several studies have been done and articles written about the influence of an organization’s culture on various aspects of the workplace.

Key Researchers

 One of the key researchers is Daulatram B. Lund.  He is an associate professor of marketing in the College of Business Administration at the University of Nevada, Reno.  Lund has done research on the influence of organizational culture and job satisfaction.

Another key researcher of organizational culture is Majken Schultz, a professor of intercultural communications at Copenhagen Business School in Denmark.  Her research focuses on organizational theory, strategy, and communications studies.  This includes the interplay between organizational culture, identity, and image.  Her work has been published in major international journals such as The Harvard Business Review and Organization Studies and Corporate Reputation Review.  Schultz is the author and editor/co-editor of several books and has received multiple awards. She remains actively involved in the Danish business community.  

Discussion

“An organization’s culture is its deeply rooted traditions, values, beliefs and sense-of-self” (Sopow, 2006, p. 14).  Organizational culture includes two factors: historical and developmental.  “Historical factors include long established notions of trust, rituals and often leadership and management models.  Development factors include experiences and lessons learned over many years that often get translated into standard operating procedures” (Sopow, 2006, p.14).

Organizational identity is defined as “what members perceive, feel and think about their organizations” (Hatch, 1997).  “Organizational identities help members make sense of what they do – as defined by tacit cultural norms and manifested in visible and tangible artifacts – in relation to their understanding of what their organization is” (Ravasi, 2006, p.437).  An organization’s image is defined as “the way organization members believe others see their organization” (Hatch, 1997).  Organizational culture is based on the “history that is realized in the material aspects of the organization.  Organizational culture is the context in which identity is formed and the material aspects are the symbols that an organization’s image is based upon.  

A positive organizational culture gives employees a sense of empowerment, safety and security.  A key element to this environment is trust.  The trust is created by “shared values, predictability, open communication, technical competence, honesty and consistency” (Sopow, 2006, p. 16).  By giving employees autonomous responsibilities, the employees feel they are more involved and job satisfaction is higher.  Employees feel more committed to accomplishing their tasks and start to understand how they individually benefit the company as a whole (Sopow, 2006).

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On the other hand, a negative organizational culture is characterized by “high levels of mistrust, poor communication and strong resistance to the unknown” (Sopow, 2006, p. 15).  This unhealthy environment usually produces fear in employees, therefore reducing a sense of job safety and stability.  A negative organizational culture contains “very centralized reporting lines, little sharing of authority and asymmetrical top-down communication more intent on “telling” than sharing or listening” (Sopow, 2006, p. 15).

An organization’s culture can be hard to measure.  Cameron and Freeman created a framework of organizational culture types based on the research of several others.  According to ...

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