How organizational culture effect It's performance

 


How organizational culture effect It's performance

Every organization has its own unique culture. The culture of an organization directly affects how well its people perform. Employee performance will be higher if the company has a positive culture. Nowadays, the majority of firms work to transform their cultures in order to achieve their strategic goals. There is a clear link between organizational culture and employee performance, as numerous studies over the past two decades have demonstrated. As a measurement instrument, organizational culture is also used by the majority of organizations. It will be useful in evaluating the organization's financial performance. Organizational culture has been described in a variety of ways by authors and scholars.

 

According to Kotter & Heskett (1992), organizational culture is conceptualized as shared belief and values within the organization pattern of employees.

Gordan & Cummins (1979)define organizational culture as the drive that recognized the effort and contribution of the organization members and provides a holistic understanding of what and how is to be achieved, how goals are interrelated and how each employee could attach goals.

Hosftede (1980)summarized organizational culture as a collective process of the mind that differentiates the member of one group from the other one.

According to the Martias and Terblanahe (2003), culture is deeply associated with values and belief shared by personnel in an organization.

Klein et al (1995)positioned organizational culture as the core of organizational activities which has an aggregate impact on its overall effectiveness and the quality of its products and services.

Organizational culture is the set of shared values, belief and norms that influence the way employees think feel and behave in the workplace(Schein,2011).

Organizational culture has four functions: Gives members a sense of identity, increase their commitment, reinforces organizational values and services as a central mechanism for shaping behaviour (Nelson &Quick,2011)

The loyalty of employee relies upon knowledge and awareness of culture that improves behavior of organization (Brooks, 2006) Organization culture have first time been identified by Administrative Science quarterly (Pettigrew, 1979).    


Organizational Performance

Organization performance can be measured in different ways. It includes Assured quality level, productivity, efficiency, and Profit etc.

According to Richard, (2002) performance is a broader indicator that can include productivity, quality, consistency and so. On the other hand, performance measures can include result, behaviours (criterion-based)and relative (normative) Measures, education and training concept and instrument including management development and leadership training for building necessary skills and attitudes of performance management.

How it affects the performance of the organization

Understanding how to create a productive organizational culture within the company should be a priority for all leaders and managers. Because achieving the organization's goals and objectives today depends heavily on this. Corporate culture may have a big impact on every facet of performance, including ongoing success, staff growth, and retention, among other things.People are what make culture; they are the ones who may shape its positive or negative aspects. A company's ability to recruit skilled, bright personnel depends on how strong its corporate culture is. The talent and performance of the company's employees directly affect its success.Take a look at a company like Google, which leads the world.When compared to other organizations, Google has some of the best HR practices and a positive culture. If a job opening exists at Google, thousands of applications will be submitted.Everyone enjoys working at places like Google. Organizational descriptions of its principles and philosophies. For the staff members working toward the company's common aims and objectives, understanding its values is crucial. Organizational culture can also be employed as a control mechanism, which will aid in preventing undesirable behavior. Additionally, a positive work environment contributes to a content workforce.As is common knowledge, motivated employees are more productive and capable of producing excellent results for the company.

 

The degree of an achievement to which an employee’s fulfill the organizational mission at workplace is called performance (Cascio, 2006).

Performance has been perceived differently by various researchers, but most of the scholars relate performance with measurement of transnational efficiency and effectiveness towards organizational goals (Stannack, 1996; Barne, 1991).

The job of an employee is build up by degree of achievement of a particular target or mission that defines boundaries of performance (Cascio, 2006).

Certain researchers have identified different thought, attitudes and beliefs of performance as it helps in measurement of input and output efficiency measures that lead to transactional association. (Stannack, 1996)

The capability of an organization to establish perfect relationship with resources presents effective and efficient management of resources. (Daft, 2000)

In order to achieve goals and objectives of organization strategies have been designed based upon organizational performance. (Richardo, 2001)

The equity based upon high returns helps in effective management of organization resources so that performance improves. (Ricardo, 2001) 

 

Conclusion

To fulfill the organization's aims and objectives, organizational culture is crucial. There is a clear connection between culture and its impact. Every person in the company should be aware of the cultural values and norms present there and conduct themselves accordingly. Building a positive culture within the company should be the duty of all business leaders because it can result in exceptional performance. 

References

 1.Available at https://www.emergenetics.com/blog/corporate-culture-affect-performance/.[Accessed 29-04-2023]

 2.Available.at https://www.researchgate.net/publication/224008707_Literature_Review_on_Organizational_culture_and_its_Performance[Accessed 29-04-2023]

 3.Available.at  https://www.researchgate.net/publication/314587860_Impact_of_Organizational_Culture_on_Employee_Performance_and_Productivity_A_Case_Study_of_Telecommunication.[Accessed 29-04-2023]

4.Available at https://possibleworks.com/blog/how-organizational-culture-impacts-employee-engagement-and-performance/[Accessed 29-04-2023]

5.Available at https://www.linkedin.com/pulse/impact-organizational-culture-employee-performance-rai-zeeshan[Accessed 29-04-2023]

 

Comments

  1. your citations (9) abut organization culture are very intresting and can learn lot, explained everything clearly

    ReplyDelete
  2. Organizational culture is highly affected to the employee performance, good post.

    ReplyDelete
  3. Organizational culture can appear in a variety of ways, such as in leadership actions, communication patterns, messages transmitted internally, and corporate events.

    ReplyDelete

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