“The climate of an organisation is inferred by its members through the organisations practices, procedures and reward systems deployed and indicative of the way the business runs itself on a daily and routine basis.” (Ahmed, 1998)
Literature has indicated that there are many different factors which need to be present in the climate of an organisation if creativity and innovation are going to be encouraged or enhanced.
Research carried out by Feurer et al (1996 cited in Andriopoulos 2001) within Hewlett Packard suggested that “creativity is best achieved in open climates where there is interaction with small barriers, a large number of stimuli, the freedom to experiment and the possibility of building on earlier ideas”.
McFadzean (1998) found that performance standards help to enhance creativity and innovation. She noted that “managers should ensure that employees are committed to achieving a first rate performance”. A good way of achieving this is to develop achievable objectives (both as an organisation and as an individual) and by producing a strategy for fulfilling them. If employees know that they must give a first class performance they will strive to be creative and produce new and better solutions.
Along with climate excellence Evans (1993 cited in McFadzean, 1999) found that employees need to be encouraged to express their ideas open and freely if creativity and innovation is going to occur. This freedom enables the individuals to do things differently, step away from the norm and begin to think differently about the problems they are faced with.
One other major factor which has been indicated as a requirement in a creative climate is participation. Employees need to be involved in all levels as well as participating in other workgroups different to their own. Decisions need to be made through consensus and participation if creativity and innovation is to be successful (Ahmed, 1998).
1.5.2 Organisational Culture
Closely related to an organisations climate is their culture. Martins and Terblanche (2003) defined organisational culture as “the deeply seated (often subconscious) values and beliefs shared by personnel in an organisation.”
Johnson and Scholes (2002) defined it as “the basic assumptions and beliefs that are shared by members of an organisation, that operate unconsciously and define in a basic taken-for-granted fashion an organisations view of itself and its environment”. The culture of the organisation can be seen as a reflection of the climate. The climate of an organisation is visible in their practices or procedures, but the beliefs and values of the culture cannot be seen here but it does govern the actions and behaviours of the staff (Ahmed, 1998).
Research carried out by Tushman and O’Reilly (1997, cited in Martins and Terlanche 2003) found “organisational culture to lie at the heart of creativity and innovation”. The organisational culture allows employees to know the extent to which creative solutions will be encouraged, supported or implemented.
There are a numbers of factors which have been identified by research that should be present in an organisations culture if creativity and innovation is going to be more probable.
Literature has indicated that an open flow of communication is crucial (Amabile, 1998 cited in Andriopoulos, 2001). Martins and Terblanche (2003) found that “an organisational culture that supports open and transparent communication based on trust will have a positive influence on promoting creativity and innovation”. Employees who feel that they are able to disagree openly with their superiors and who are not faced with rigid norms which promote conformity will be more likely to think creatively about solving the problems they are faced with. This factor is further related to the idea that there will also be an element of participative safety for the staff. Employees need to feel that they will not be punished or criticised for thinking creatively. If a project fails and an employee is faced with losing his/her job then in the future they will not risk thinking creatively (McFadden, 1998). Brand (1998, cited in Andriopoulos, 2001) indicted that “creative employees need to be in an environment where top management takes a long-term view in order to tolerate a few mistakes”.
Research has indicated that risk taking is another factor that needs to be present within a creative organisation. Employees need to feel that they are able to implement the new creative ideas they have for solving problems. A culture that encourages and supports this risk taking will ultimately enhance creative achievement (Amabile, 1998 cited in Andriopoulos 2001). Judge et al. (1997 cited in Martins and Terblanche 2001) found that “a culture that has too many controls that inhibits risk taking consequently inhibits creativity and innovation”. It has also however been indicated that there does have to be some kind of balance established as to the degree of risk taking that is allowed within the organisation (Martins and Terblanche 2001). If there is not employees may take major risks on several occasions which may be detrimental to the organisation.
Literature also proposes that self-initiated activity is a vital part of a creative organisation. Empowerment of staff to apply their own knowledge and expertise can be a valuable move to enhance creativity and innovation but this can be difficult for managers to do as they may not like losing control. “By allowing individuals and teams to own problems and their solutions, intrinsic motivation is enhance” (Robinson and Stern 1997, cited in Andriopoulos, 2001).
With self-initiated activity comes trust and respect for the individual or team. Literature has shown this to be a valuable part of the organisations culture. If an employee feels that they are trusted and respected as an individual and for their work then they will strive to do better in the future for the organisation as well as themselves Ahmed (1998) found that “where there is high trust new ideas surface easily”.
1.5.3 Leadership style
An important factor in improving creativity in an organisation is the leadership style which is used by the management or team/project leader. Literature has shown that a democratic participative style of leadership is conducive to creativity (Nystrom, 1979, cited in Andriopoulos, 2001).
Research carried out by Deci and Ryan (1987 cited in Thacker 1997) found that a team leader needs to communicate in a style that will provide an ‘open field’ where employees can feel free to suggest new ideas and be creative. They also found that a controlling leadership style will be likely to decrease individual motivation because it does not allow the creative process to flow.
Along with being supportive and participative the leader’s vision is also a key factor in a creative organisation. Cook (1998) proposed that “leaders must effectively communicate a vision conducive to creativity through any available formal and informal channel of communication and constantly encourage employees to think and act beyond current wisdom”. VanGundy (1988 cited in McFadzean 1998) indicated that “creative thinkers look into the future and visualise where they would like to be”.
A leader’s vision helps to define the appropriate course of action for the organisation and its individuals. It allows the individuals to know exactly what they need to strive to achieve in the future.
Leaders also need to be able to develop effective groups. Cook (1998) suggested that creative leaders need to build teams that have a high level of trust and the ability to have conflicts and recover from them. Further literature has shown that these groups need to contain “individuals who have a diversity of skills and who communicate well with each other” (Amabile and Gryskiewicz 1989 cited in Andriopoulos 2001).
1.5.4 Resources and skills
Cook (1998) suggests that creative organisations must explicitly strive towards the attraction, development and retention of creative talent, if they want to remain competitive.
Literature has indicated what characteristics a creative person will have such as:
- high valuation of aesthetic qualities in experience
- broad interests
- attraction to complexity
- high energy
- independence of judgement
- intuition
- self-confidence
- ability to accommodate opposites
- persistence
- curiosity
- energy
- originality
(Ahmed, 1998)
Organisations should strive to employ individuals who show that they possess some if not all of these characteristics. These will be individuals who have “broader interests, are eager to learn and are willing to take some risks” (Adriopoulos, 2001). Furthermore McFadzean (1998) believes that “organisations need to employ individuals who do not always fit in, as they will upset the status quo and encourage individuals to view things from a different perspective”.
Even though organisations may have creative individuals literature has indicated that it is just as important for them to develop and retain these members of staff and provide them with the necessary resources which they may need. Anderson et al. (1992, cited in Andriopoulos 2001) suggested that “senior management must provide sufficient resources and training, encouragement for developing new ideas, time to work on pet projects and/or financial support”. Ahmed (1998) found that highly innovative firms’ management commit both money and emotional support to creativity and innovation, they also ensure that it receives support from all levels of the organisation.
Challenging work also helps to enhance creativity an innovation. Shalley and Oldham (1985 cited in Ahmed, 1998) found that “open ended non-structured tasks engender higher creativity than narrow jobs” as they “by virtue of the fact that people respond positively when they are challenged and provide sufficient scope to generate novel ideas”. Further more they believed that it is not the individual that lacks creativity but that it is the organisations expectations that exert a debilitating effect upon the individual’s inclination to be innovative.
1.5.5 Structure and systems
John Child (1997 cited in King and Anderson 2002) defined organisational structure as, “The formal allocation of work roles and the administrative mechanisms to control and integrate work activities including those which cross organisational boundaries”
Research carried out by Burns and Stalker (1961 cited in King and Anderson 2002) found that organisational structure should be related to the environment in which the organisation operates. Literature suggests that a flat structure with temporary work groups/teams based around specific projects is the most productive for enhancing creativity and innovation in an organisation (King and Anderson, 2002). This idea was further supported by Martins and Terblanche (2001) who found that “a flexible structure characterised by decentralisation, shared decision making, low to moderate use of formal rules and regulations, broadly defined job responsibilities and flexible authority structure with fewer levels in the hierarchy”, will support creativity. When individuals are given the opportunity to make decisions they will be more likely to be creative in the solution that they will suggest.
Being given a fair evaluation of the work which they do will encourage individuals to step away from the norm and be creative. If employees feel that they will be given the chance to have the choices they make evaluated in a fair and supportive way them they will be more creative. Deci and Ryan (1987 cited in Andriopoulos 2001) found that “supportive, informative evaluation can enhance an intrinsically motivated state that is conducive to creativity”.
For creativity to be fully encouraged within an organisation, employees need to be rewarded. Literature has indicated that rewards however should not be of a monetary value as it may seem that the organisation is bribing their employees to be creative (Amabile 1998 cited in Andriopoulos 2001). If employees are rewarded or acknowledged for creative performances it will encourage them to continue to be creative in the future.
1.6 Summary Literature.
In summary the literature has indicated creativity is an essential part of the modern business world. Being able to adapt to the constant changing environments is important for companies to maintain competitive advantage. Creativity and innovation have been suggested as the way to achieve this. The literature has indicated that there are many different factors within an organisation that can either encourage or hinder their creativity and innovation. For creativity to be enhanced it is suggested that it must be supported by all aspects of the organisation. Its climate and culture are extremely important. This is how employees get their beliefs and organisational norms from. These allow them to know what is acceptable and whether or not creativity and innovation is a part of their everyday working practices and procedures. Through democratic leadership and participation, this idea of creativity can be further enhanced and with resources, skills, systems and structures within the organisation supporting the idea, an organisation has the means to be truly creative and innovative giving them a competitive advantage within the industry.
2. Development of a survey instrument to measure organisational creativity.
Literature has shown that there are five main areas within an organisation where the key factors of creativity lie. In order to measure the creativity within it is necessary to include items which have been indicated in the literature to be part of a creative organisation within these areas.
The survey instrument that will be used to measure creativity with Belfast City Council will be a questionnaire.
Due to the nature of the events industry which means that individuals have limited time the questionnaire will be relatively short with the questions posed require a simple yes, no or sometimes response. (See appendix 1)
Question 1 “Are all members of the team are encouraged to participate in all aspects of the project” and question 2 “Is participation encouraged by your superior?” refers to the amount of participation that employees have within the organisation. This is based upon the research carried out by Ahmed (1998) that found participation to be an important factor if creativity is going to be encouraged. It also indicates whether this participation is encouraged by the leadership within the organisation, this will help to indicate part of the leadership style that is employed within the organisation
Questions 3 “It is acceptable to express your views freely about problems with a project” and question 4 “Can you experiment with new ideas and build on earlier ones when dealing with problems that arise”, addresses the amount of freedom which the climate of organisation gives to the individual. It will enable us to assess whether or not it gives the individual the opportunity to be creative. Freedom of expression is an important factor if the climate of an organisation is to encourage creativity. McFadzean (1998) stated that “freedom enables the individuals to do things differently, step away from the norm and begin to think differently about the problems they are faced with”
Question 5 “Is there an open flow of communication between all staff which works effectively” will assess whether or not there is effective and open flow of communication within the organisation. The literature suggested that “an organisational culture that supports open and transparent communication based on trust will have a positive influence on promoting creativity and innovation” (Martins and Terblanche, 2003).
Question 6 “Do you know what is expected of you at all times by both the director and the organisation?” further assesses communication in the organisation along with helping to understand if the individuals are aware of what is expected of them individually and what is acceptable within the organisation. This idea of performance standards was noted by McFadzean (1998) who found that performance standards help to enhance creativity and innovation. By assessing this it will give an idea of the climate of the organisation and whether it encourages creativity and if there is a climate of excellence within the organisation.
Question 7 “Is taking risks acceptable on occasions within your organisation? and question 8 “Are mistakes tolerated within the organisation?” addressing the element of risk taking which is acceptable within the organisation. These questions will assess whether the individual knows if the are allowed to take risks and whether or not mistakes are taken as a learning experience and discussed or as a punishable offence.
The literature has stated that “a culture that encourages and supports this risk taking will ultimately enhance creative achievement” (Amabile, 1998 cited in Andriopoulos 2001).
Empowerment of staff to apply their own knowledge and expertise can be valuable to enhance creativity and innovation. Question 9 “Are you free to carry out self initiated tasks without the permission of superior?” will assess the amount of freedom that individuals have to take control over their own problems and solutions. (Robinson and Stern 1997, cited in Andriopoulos, 2001).
Fair evaluation of employees work has been highlighted by the literature as being crucial to the encouragement of creativity. Deci and Ryan (1987 cited in Andriopoulos 2001) found that “supportive, informative evaluation can enhance an intrinsically motivated state that is conducive to creativity”. Question 10 “Do you feel that your work is evaluated fairly?” considers this suggestion within the organisation.
Question 11 “Do you feel that you have sufficient resources to aid you in obtaining your objectives?” assesses the suggestion made by the literature that employees need to given the sufficient time and money they need to be creative in solving the problems they are faced with. . Ahmed (1998) found that highly innovative firms’ management commit both money and emotional support to creativity and innovation,
Rewarding staff for being creative in the way they think about how to address their problems has been suggested as an effective way of enhancing creativity. Question 12 “Do you receive any incentive or reward for creative performances?” will indicate if this occurs within the selected organisation.
Question 13 “Do you find your work challenging?” assesses whether or not the individuals within the organisation are challenged in the work they do. The literature suggests that “by virtue of the fact that people respond positively when they are challenged and provide sufficient scope to generate novel ideas” (Shalley and Oldham 1985 cited in Ahmed, 1998)
The literature suggested that a leader who has the ability to develop effective groups will enhance creativity within the organisation. Question 14 “Do you feel that the team you work along side is effective and productive?” will assess whether or not the individuals in the organisation feel that their working groups are productive and effective.
The final part of the survey instrument addresses the element of trust which the individual receives from the organisation. Literature found trust to b an important element in creativity with Ahmed (1998) finding that “where there is high trust new ideas surface easily”. Question 15 “Do you feel that you are trusted and respected as an individual within the organisation?” addresses this element within the organisation.
3. Evaluation of creativity within Belfast City Council Events Unit.
Questions 1, 3, 4 and 6 addressed issues that were part of the organisations climate. They considered the employees feelings on participation, freedom of expression and to experiment with new ideas along with whether or not they knew what was expected of them.
Table 1. Breakdown of the responses give for questions 1, 3, 4 and 6
The results shown in table 1 indicate that all of the employees felt that participation is considered an everyday part of their practices and procedures. It indicates that they feel that they are included in all aspects of a project. All of the employees felt that they could express their views freely and that it was totally acceptable. This indicates that the organisation encourages them to challenge what is being done and to suggest new and improved ways. They all also felt that they knew what was expected of them by the organisation and their superiors. Which means that they should know what first class performance should be.
Although the results showed that only half of the respondents felt that they could freely experiment with new ideas all the time no one felt that they could never do it. The reason they may feel that they could not do it all the time may be due the importance of the work or some kind of constraints that they may had with particular projects. Overall the responses indicate that the climate within the organisation is conducive to creativity and innovation.
Questions 5, 7, 8, 9 and 15 evaluated factors that were all part of the organisations culture. It considered communication effectiveness, risk taking, tolerance of mistakes, self-initiated activities and how the individual feels the organisation values them.
Table 2. Breakdown of the responses given for questions 5, 7, 8, 9 and 15
The results shown in table 2 indicate that not all of the respondents believe that communication is open and effective within the organisation. The reason for difference responses could once again lie in the position which the individuals hold. Management will not always communicate with the lower level members of staff and it is possible that the middle level employees are not communicating the management’s views on effectively leading to confusion and a less effective system of communication some of the time. In regards to risk taking the respondents feel that it is acceptable some of the time. This is a result which is almost expected as it is not always beneficial to take risks when contracts are at risk and the organisation needs to produce the best results it can.
The results also show that the majority of respondents feel that mistakes are tolerated some of the time. The reason for this finding may be that some mistakes can go undisciplined as they have not had a major effect on the organisation as a whole or caused serious problem for the project. However when it dos involve both of these factors participative safety cannot be guaranteed. Self-initiated activity does seem to be encouraged amongst all members of staff with all the respondents indicating that they are permitted to do it. This is a major contributing factor to enhancing creativity and innovation.
Questions 2, 6 and 14 assess factors that are part of the leadership style that is adopted by the higher level employees within the organisation. It evaluates whether the employees feel they are encouraged to participate by superiors, whether they know what is expected of them and whether or not the groups/teams that are developed are effective.
Table 3 Breakdown of responses given for question 2, 6, and 14
The majority of the respondents felt participation was encouraged by the leader. The minority who felt that this only occurred sometimes may simply be because of their position. If the employee is new to the organisation they may not be encourage to participate in all aspects of the work, hence feeling that it only occurred sometimes. All of the respondents felt that they knew what was expected of them indicating that the leadership style that is used is effective in allowing the employees exactly what needs to be achieved now and in the future.
Questions 11 and 13 evaluated factors concerning the resourcing and skills within the organisation. It considered how employees felt about the resources that they have within the organisation and whether or not they find their work challenging.
Table 4 Breakdown of responses given for questions 11 and 13
The result in table 4 shows that the half of the respondents feel that they always have the resources that they need. That they are equipped to deal with the problems they are faced with in the way they feel is best. This should enable them to be creative with new ideas as they will have the resources to carry them out. Although the other respondents only felt that they had the resources available to them only some of the time, they were there.
There was however some difference in opinion as to how challenging the individuals find their work. Some half of the respondents found their work challenging with the other either only finding it challenging sometimes or not at all. The reason for this could simply be with the position the respondent has. Lower level employees will find that they do have to carry out tedious and non challenging work which does need to be done.
Questions 10 and 12 addressed issues that are concerned with the structures and systems that are part of the organisation.
Table 5 Breakdown of responses given for questions 10 and 12.
From the results it can be seen that the majority of the respondents felt that they did have their work evaluated. This means that they should be able to carry out tasks which they have not been told to do so by the management and will still have it considered valuable as long as they can give supporting reasons for doing it.
There was a difference in the responses to whether or not they receive any incentives or rewards. This may be because simply some of the respondents are not in a position to receive them or that they haven’t noticed the rewards were there. Due to the nature of many incentives or rewards that are given, i.e. they are not monetary; many employees may not recognise them.
Conclusions
In conclusion it would seem that the climate at Belfast City Council is conducive to creativity and innovation. Participation is viewed as an everyday practice and procedure within the organisation and they also feel they can express their views freely. The employees can experiment with new ideas on occasions and develop earlier ideas. This indicates that the organisations climate they have does contain many of the elements that are required to encourage or enhance creativity. It is not perfect and they need to improve further in the area as there was indication that these factors there are not used all of the time.
As regards to the organisations culture the results showed that there are a lot of areas which need to be improved. The level of creativity within the organisation is lower concerning this area. They need to consider how members of staff communicate with one another and find new ways of improving it. They also need to take into consideration their policies on risk taking. This is one of the major factors in creative thinking and the employees need to know when it is acceptable to do it, as this may increase the amount of times that employees take risks. The culture within this organisation needs to be reviewed if the level of creativity is going to increase.
The leadership style within Belfast City Council seems to be conducive to creativity. The respondents answers indicated that participation was encouraged and that the groups they worked in were effective. From this we assume that the creativity level is moderately high with the leader supporting valuable aspects of the climate and culture.
The resources and skills within the organisation do not seem to be as conducive to creativity as the other factors which have been mentioned. It has been indicated that the organisation does not support creativity with resources not always being available and with employees carrying out tasks that do not challenge them. This lowers the level of creativity within the organisation.
Overall it would seem that there are factors in place within the organisation that will lead to employees being creative but this need t be supported by all other aspects of the company if they are to achieve an optimum level of creativity.
Critique of Survey Instrument
The purpose of the survey instrument was to evaluate creativity within an organisation. (See appendix B)
By reviewing the literature on the topic a questionnaire was devised as a means of doing this. Whether this was successful in doing this will now be reviewed.
Advantages
The survey instrument that was created was short and simple for the staff to complete. It was easy to understand and could be completed in a very short amount of time. The questionnaire was also sent out in email form so it was easy to fill in and send back.
The questionnaire did address the relative aspects which the literate suggested were part of a creative organisation, with each questionnaire covering a different aspect within the organisation.
Disadvantages
The survey instrument which was used had many weaknesses. Firstly it did not give the respondent the chance to expand on their responses. The way the questionnaire was set up was extremely restricting. Although it was simple and easily understood, with there only being a choice of three answers to select from it was limiting. If there had been more choice the findings of the questionnaire may have been different. This will have caused there to be low research power as the design of the questionnaire was poor and there was unmeasured factors.
The survey instrument was also reasonably leading in the questions that it used. It was obvious in most cases exactly what the researcher was trying to evaluate. It may have been more advantageous to have made the questions more ambiguous so the respondents were not answering the questions with the answers they felt the organisation would expect, rather than what they actually thought. The questionnaires were also distributed to the employees through their superior, who collected them back to forward on via email on mass. This may have had an influence on the answers that the respondents gave. If the questionnaires had been given out individually by the researcher then the respondents may have answered the questions differently. They may not have answered to please their superior. This may have had an effect on the internal validity of the study as some the findings may have alternate explanations
The survey instrument used did not take into account any personal details of any of the respondents. The age or sex of the respondent may have affected the findings along with the amount of experience the individual had within the business or what position they held within in the organisation. This may have influenced the answers that they gave. A manager may have a different view on the organisation than a student who is there on placement. The higher the position the more responsibility will have been placed on the individual this too may have affected the answers. You will be more likely to carry out self initiated tasks when you are in a superior position than you would if you were an assistant.
These points indicate that the survey instrument was not a truly reliable method for evaluating creativity. There are too many extraneous factors which could have affected the responses which were not considered or controlled for.
The sample size used in this study was extremely small. This is due to the size of the department. In general most event companies have relatively small staff teams so this cannot be helped. Perhaps it would have been more effective to have distributed questionnaires to the whole of the organisation event those who were not involved in the events unit. It would have given the general level of what the organisations climate or culture is and would have allowed comparisons to be made across the organisation. Structured interviews would have been much more suitable to assess this organisation but due to time and geographical location that was not possible. Also in the future it may be better to use the entire council for the study rather than just the events section of the development department. Perhaps if these had been included it would have been much more reliable and
Recommendations for the future.
In the future if this evaluation was to be carried out again, it would seem that a structured interview would be much more suitable than a questionnaire. Each interview should be carried out in a confidential setting which each member of staff. This will lead to much more extensive answers being received and will be much more likely to get a true idea of the ways of the organisation and should be much more reliable. Due to time constraints and geographical location this was not possible for the current report.
Further to this a method of establishing how creative the individuals are should be included. This could be used in comparison with the responses to the organisation questions to see if the type of person they affects how they feel about the different factors within the organisation.
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