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Abstract
Organisational culture is the morale and good practices an organisation follows. It is maintained by the organisations for the smooth functioning of its operations. Organisational culture also leads to discipline, customs and brand value among as well as society. Even shareholders and other investors considering organisational behaviour, customs, brand value, ethical practices of an organisation before taking an investment decision. Objectives of an organisation, management styles, leadership style, remuneration policies, work environment, motivational factors etc. are the major factors affecting organisational culture. In fact an organisation with organisational culture has more value in the eyes of society than an organisation without having a good culture. Leadership style followed by an organisation is the most important factor affecting the operations of B-schools in Kerala. Moreover organisations with good culture are more engaged in CSR ( Corporate Social Responsibility ) practices.
Keyword: Organisational Culture, Motivation, Leadership style
Introduction
Organizational culture includes an organization’s expectations, experiences, philosophy, as well as the values that guide member behaviour, and is expressed in member self-image, inner workings, interactions with the outside world, and future expectations. Culture is based on shared attitudes, beliefs, customs, and written and unwritten rules that have been developed over time and are considered valid ( What Is Organizational Culture?, n.d. ). Every organisation requires an efficient organisational culture for the smooth functioning of an organisation. However organisational culture is differ from one organisation to another organisation. In addition to that organisational culture and factors affecting organisational culture are varying according to the nature of organisation.
Organisations like B-School enterprises maintain their organisation with a good culture. B-School organisations largely depend on the structure of these organisations. If an organisation wants to survive in this tedious work environment, there should be effective management for arranging coordinated work activity and respect among . Organisational culture plays here for avoiding the difficulties and shortcomings of these organisations. Proper work schedule, overtime remunerations, environmental factors associated with work infrastructure, punctuality, morale, conflict redressal cell, leadership etc. plays an active role in organisational culture of an organisation. Effective blending and supervision of these factors is not a simple task but herculean task as well. Obviously all factors are not satisfying in the same way. People may differ with their attitude, culture, tradition etc. So factors affecting are different. Some factors affecting may have a minor impact on other .
According to labour ACT eight hour is the general time for an ( Acts and Rules | Chief Labour Commissioner, n.d. ). An organisation operating twenty four hours requires three shifts in a day. Generally HR management arranges shifts and duties of . Of course it is a tedious task. When arranging duties to , it is mandatory to consider the absenteeism, duty, responsibility, time schedule, previous and succeeding projects and its completion etc. Similarly have their own perception towards work allotment,because factors affect in different ways which may ultimately affect organisational culture.
Literature Review
( Martins & Terblanche, 2003 ) describes that organisational culture closely affects the innovation strategy and implementation of an organisation. An organisation with a good culture is more efficient in introducing their new products and services and also efficient in their marketing activities too. Which clearly indicates that organisational culture influencing innovation strategies. The influence of each determinant on creativity and innovation is discussed. Values, norms and beliefs that play a role in creativity and innovation can either support or inhibit creativity and innovation depending on how they influence individual and group behaviour. This is also explained in the article.
( Lok & Crawford, 2004 ) conducted a cross national study on leadership style and its impact on job satisfaction. He describes the nature and significance of leadership style and how these styles affect job satisfaction of personnel. “Leadership style” and an “initiating Structure” had a negative effect on job satisfaction for the combined sample. Participants’ level of education was found to have a slight negative effect on satisfaction, and a slight positive effect on commitment. National culture was found to moderate the effect of respondents’ age on
satisfaction, with the effect being more positive amongst Hong Kong managers.
( Davies et al., 2000 ) Health policy in much of the developed world is concerned with assessing and improving the quality of health care. The USA, in particular, has identified specific concerns over quality issues and a recent report from the Institute of Medicine pointed to the considerable toll of medical errors. In this article he stated how organisational culture influences on its health care output, strictly this article is written from a customer's point of view. In the UK a series of scandals has propelled quality issues to centre stage 45 and made quality improvement a key policy area.
( Parker & Bradley, 2000 ) A process of organisational change has accompanied managerial reforms in the public sector and is oriented towards the development of a post bureaucratic organisational culture. The study focuses on the public sector and impact on the public sector when there is an effective organisational structure. However, there remains a limited empirical understanding of culture in public organisations. Contributes to an understanding of organisational culture in the public sector through survey research that analyses culture by reference to the competing values of internal/external orientation and control/flexibility.
( Mosley, 2007 ) explains that personal interactions are generally more important in driving customer service satisfaction, there has been a tendency for service companies to focus more of their attention on the functional as well as operational factors involved in service delivery. The study runs through the customer's point of view. Successful service companies stress the role of organisational culture in promoting on-brand customer service behaviours, but the mechanisms for shaping an on-brand culture ( such as internal marketing and internal branding ) have typically relied too heavily on communications-led approaches to sustain a lasting effect.
Statement of the problem
From the above review it is clear that organisational culture is an end result of many factors. Employees co-ordination, management style, leadership styles and work environment together created organisational culture. Innovation and organisational culture are related to each other, however there is no study in connection with B-School organisations, obviously there is an absence in exploring each factors separately affecting organisational culture.
Objectives
To study the factors affecting organisational culture of B-Schools in Kerala.
To study which factor affects the organisational culture most.
Scope of the study
The study is limited to B-School organisations in Kerala state only. Three B-School organisations are considering for the study. Data from of these organisations are collected through a structured questionnaire and the number of from each organisation is selected equally.
Methodology
The study is descriptive and analytical in nature both primary and secondary data are used for this study. Primary data is collected from employees of B-School organisations and secondary data is collected from all available sources such as articles, journals, internet,etc.
Sample size
60 employees ( 20 each ) from three B-School organisations are taken for the study.
Sampling technique
Convenient sampling technique is used for selecting samples from the population. Population is divided into a single region and sample from these populations is selected as per the convenience and the desire of the investigator through structured questionnaires.
Data analysis
Organisation culture
When we talk about culture, we typically refer to the pattern of development reflected in a society’s system of knowledge, ideology, values, laws, social norms and day to day rituals. Depending upon the pattern and stage of development, culture differs from society to society. Moreover, culture is passed on from generation to generation ( Organisational Culture: Meaning, Characteristics, Typology and Other Details, n.d. ). The corporate culture consists of the normal values and unwritten rules of conduct of an organisation as well as management styles, priorities, beliefs and interpersonal behaviour that prevails. Together they create a climate that influences how people communicate, plan and make decisions.” ( Organisational Culture: Meaning, Characteristics, Typology and Other Details, n.d. ).
Factors affecting organisational culture
1. Sex of the employees.Sex of an employees affect the organisational culture. For example work schedule and leave of employees are generally based on gender. Even though some organisations fix remunerations on the basis of their gender.
2. Leadership Style.An effective leader is never short-sighted about the actions they take — they must think about every person they are affecting with every decision ( 6 Major Factors Affecting Organizational Culture | Darke + Associates LLC, n.d.-a ). Leadership style and organisational culture are closely interrelated. Autocratic, democratic, paternalistic and lazy faire leadership styles affect differently.
3. Nature of the business.The purpose, market and operations of an organization have an impact on ’ behaviour. Does your organization make a meaningful difference through your products and services in the lives of your clients and customers? That has a direct impact on your organizational culture and how your employees feel about working for you ( “5 Factors That Affect Organizational Culture | TruPath,” 2015 ).
4. Company Policies.Some organisations have their own policies and rules for operating their routine activities. Generally it is rigid in nature. Such policies affect organisational culture.
5. Work EnvironmentPhysical infrastructure of the business organisation affects the employee satisfactions, employees satisfaction and organisational culture are closely related to each other.
6. Company valuesEmployees develop the values emphasized in the policies, procedures and work environment. Organisations like TATA maintain a good corporate value and brand image in the eyes of society. Such organisations are highly wealthy with organisational culture.
7. Recruitment and Selection.Of course it is the factor which creates an external idea about the organisations. An organisation with transparent recruitment procedure get more moral value to the organisations. Perhaps no factor is more important to organizational culture than recruiting and selecting the right types of employees. The type of employees hired by an organization has the largest effect on its culture – especially when a company is in high growth mode and is rapidly adding new employees ( “5 Factors That Affect Organizational Culture | TruPath,” 2015 ).
8. Customers.Customers whom we deal with is the factor creating brand images. What many business leaders forget is that this factor is completely in the control of customers. The product or service which offer appeals to a certain type of person, but it can always make changes to that offerings to attract new audiences ( 6 Major Factors Affecting Organizational Culture | Darke + Associates LLC,n.d.-b. ).
9. Human approach.Human approach implies how people treat others with respect. Shareholders and stakeholders expect good behaviour from the organisation as well. Even customers and suppliers demands a lot ( 6 Major Factors Affecting Organizational Culture | Darke + Associates LLC, n.d.-b ).
10. Resources & Technology.Providing employees with the necessary resources to complete their job is a non negotiable for a successful company. When organizations are unable or refuse to provide their employees with necessary resources, they are met with disgruntled and frustrated employees. A lack of resources has a negative impact on company culture and can create an unsatisfactory work environment. By providing resources, organizations can better support their employees to complete their jobs more efficiently ( Internal Factors of Organizational Culture | Organizational Behavior / Human Relations, n.d .).
Source: ( Organisational Culture Definition - Google Search, n.d. ).
Descriptive statistics of satisfaction level of motivational factors on
organisational structure.
Motivational factors |
N |
Minimum |
Maximum |
Mean |
Std. Deviation |
Sex of employees |
60 |
1 |
3 |
1.7167 |
0.82527 |
Leadership style |
60 |
1 |
3 |
2.4833 |
0.59636 |
Nature of business |
60 |
1 |
3 |
2.4167 |
0.80867 |
Company policies |
60 |
1 |
3 |
2.3667 |
0.51967 |
Work environment |
60 |
1 |
3 |
1.9833 |
0.62414 |
Recruitment and selection |
60 |
1 |
3 |
1.7333 |
0.63424 |
Client & Customers |
60 |
1 |
2 |
1.2833 |
0.45442 |
Table 1 explains the satisfaction level of motivational factors towards organisational culture. As per the response of 60 from B-School organisations. It is clear that the leadership style of an organisation is the most important factor affecting organisational culture with the highest mean of 2.4833 and standard deviation of 0.59636. Followed by Nature of business with a mean score of 2.4167 with standard deviation of .80867. Client and customers of the B-School organisations are the least satisfied motivational factors of B-School organisations in the perception of employees.
Leadership style and organisational culture
Table-2 Leadership style and organisational culture.
Types of Leadership | N | Minimum | Maximum | Mean | Std. Deviation |
Democratic | 60 | 2.00 | 3.00 | 2.6833 | .46910 |
Autocratic | 60 | 1.00 | 3.00 | 2.5000 | .67648 |
Paternalistic | 60 | 2.00 | 3.00 | 2.3333 | .47538 |
Laissez faire | 60 | 1.00 | 2.00 | 1.3167 | .46910 |
Source: ( Primary data ).
Table 2 shows different types of leadership style and which style affect organisational culture most positively. According to the response of the it clearly shows that democratic leadership style is the most influencing leadership style for organisational culture with highest mean of 2.6833 and standard deviation of 0.46910 followed by autocratic leadership style. Laissez faire leadership style is the least affecting leadership factor for organisational culture.
Findings
- Leadership style is the most influenced motivational factor in connection with organisational culture.
- Organisational policies directly connected to organisational culture.
- Democratic leadership is the most influenced leadership style in connection with organisational culture.
- Laissez Faire leadership doesn’t build up a strong
- Organisational culture.
Conclusion
Organisational culture is the morale, believes and norms an organisation follows. perception of organisational culture differs from one person to another because people are dynamic with their characters. Similarly the nature of an organisation and leadership styles in which an organisation follows are the basic factors affecting the organisational culture. Democratic style of leadership is the most feasible and suitable style of leadership according to the perception of in B-school organisations while lazy faire leadership style does not build up a strong organisational culture.
References
• Davies. H.T., Nutley, S.M., Mannion, R. ( 2000 ), Organisational Culture & Quality of Healthcare, BMJ Quality of safety, 9 ( 2 ), 111-119.
• Martins, E-C., & Terblanche, F ( 2003 ), Building organisational culture that stimulates creativity & innovation. European journal of Innovation Management.
• Mosley, R.W. ( 2007 ), Customer experience, organisational culture and the employees brand. Journal of brand management, 15 ( 2 ), 123-134.
• Parker, R., & Bradley. L ( 2000 ), Organisational culture in the public sector : Evidence from Six organisations. International Journal of Public sector Management.
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