...Corporate Culture Models Paper Corporate Culture Models Paper Corporate culture is the shared morals, ethics and meanings that employee’s hold in common and that are use by an organization’s leaders. Corporate culture is an influential force that affects individual employees in a very real way. Moneypenny's corporate culture model and those proposed by Schein (2009) and Senge (2006) look as if to have a common theme, they all see that corporations have a culture all their own. Schein’s corporate culture consists of three levels, behavior/Artifacts, Values, and assumptions/beliefs. “The most visible level is behavior and artifacts. This is the observable level of culture, and consists of behavior patterns and outward manifestations of culture: perquisites provided to executives, dress codes, level of technology utilized (and where it is utilized), and the physical layout of work spaces” (“Strategic Leadership and Decision Making ORGANIZATIONAL CULTURE“, 2010). “At the next level of culture are values. Values underlie and to a large extent determine behavior, but they are not directly observable, as behaviors are. There may be a difference between stated and operating values. People will attribute their behavior to stated values”(“Strategic Leadership and Decision Making ORGANIZATIONAL CULTURE“, 2010). “To really understand culture, we have to get to the deepest level, the level of assumptions and beliefs. Schein contends that underlying assumptions grow out of values...
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...leadership are typically to anticipate, envision, maintain flexibility and empower others to create strategic change as and when necessary. Strategic leaders are the lynchpin in the strategic management process. Among the strategic leaders, we have managers operating at different levels of an organisation: corporate-level, business-level, functional-level and operational-level. • Corporate-level managers include the chief executive officer (CEO), senior executives and the corporate staff. The corporate-level managers manage the strategic management process for the whole organisation. These managers may carry designations such as CEO, managing director, executive director or president. • Business-level managers are the strategic leaders at the business, division or SBU levels. These managers manage the strategic management process at the business-level. These may carry designations such as the general manager or vice-president. • Functional-level managers are the strategic leaders of a specific function such as marketing or operations. They are called marketing managers or operations managers. The functional managers manage the strategic management process at the functional level. • At the operational-level, there are managers who are responsible for the implementation of strategies within their assigned functional areas. They occupy positions such as deputy...
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...Managing Culture and Change An academic essay: "What is a 'successful corporate culture'? Do successful cultures invariably contain seeds of their own destruction?" Introduction This essay aims to critically analyze and explain the phenomenon of 'successful corporate cultures'. We will first define what corporate cultures are and how they align the values of employees with that of an organization and its goals, vision and mission. We will be then discussing the key elements of successful corporate cultures and what practices businesses can adopt in order to achieve that. This essay will highlight the necessary cultural traits which positively contribute towards achieving organization goals and targets and cultural effectiveness. We will then proceed to examine the different types of cultures and relate them to specific market conditions . Also, how organizational cultures can help corporations gain a competitive advantage by improving financial performance, improving productivity and increasing job satisfaction of its employees. Finally, we will discuss limitations faced by successful corporate cultures and how they can hinder creativity in some cases. The role of changing environmental (social, political and economic) conditions in making good cultures become obsolete will be discussed before reaching a conclusion. Defining corporate culture Culture is a broad and complicated term with a number of possible definitions and meanings. No one term can be used...
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...Is corporate culture the answer to depersonalised, bureaucratic work (Weber, 1922) or is it simply the continuation of bureaucratic control by other means? Corporate culture is “the way we do things around here” (Kotter, Heskett, 1992). It represents a system of shared values and beliefs that interact with people, organisational structures, and systems to produce norms (Balkaran, 1995). What corporate culture does is to influence employee perception, behavior and work attitudes. Compared to Bureaucracy, which has written, inflexible rules and consists of systems of administrations distinguished by its clear hierarchy of authority; corporate culture represents the personality of an organization and appeals to the emotional, non-rational, affective elements within employees (Ray, 1986). The purpose of this essay is to prove that corporate culture is the solution to the problem of depersonalized bureaucratic work. In the first part I will examine the differences between corporate culture and bureaucracy, and why corporate culture contains the possibility of being the best and most efficient system of control so far. And in the second part I will analyse if there are any similarities between both types of organisational controls; whilst also assessing whether there are any possibilities for the corporate culture to be just a continuation of the bureaucratic control by other means. Bureaucracy defined by Warwick is a “type of organisation designed...
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...Shareholders: Organizational values need to meet the needs of the new breed of shareholders that are only investing in companies that: (a) meet socially responsible investment criteria; and (b) compete to be the best companies to work for, or other quality awards. Potential employees: To attract the best people, the organizational values need to meet the needs of potential new employees who are choosing to work in organizational cultures that align with their personal values. Existing employees: To retain the best people, the organizational values also need to meet the needs of existing employees and support them in finding personal fulfillment at work. • • • Employee Fulfillment Whilst attention to all stakeholders needs are important, the most critical are: (a) How existing employees feel about their organization, and (b) The ability of the organization to attract the best employees. Both these issues can be addressed by building a vision-guided, values-driven corporate culture that focuses on employee fulfillment. Research shows that: • • Corporate performance, including financial success is strongly correlated with employee fulfillment – 39% of the variability in...
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...Corporate Culture, Environment, and Strategy The purpose of this article is to discuss the nature of a corporate culture in terms of the systems that are designed to support it. While it is true that cultures cannot be designed, the point we make is that the various control systems of the organization can work to shape through judicious reinforcement and feedback the desired attitudes and behaviors that are consistent with a particular strategic direction. The "culture" of the organization can therefore be defined as the emergent pattern of beliefs, behaviors, and interaction that uniquely characterize the organization as it operates within an industrial and a societal context. From a system perspective three levels can be distinguished from the start: (1) the societal level, (2) the industry level, and (3) the organizational level. Importance of culture in understanding behavior in different societies From this perspective, then, a "corporate culture" must necessarily be at least minimally consistent with the societal culture it is derived from. Societal exposure and heritage foster a labor force with a given value orientation, beliefs, and expectations about work and the work environment that are the "raw material" of corporate cultures. These points suggest that, in addition to societal culture, the specific industry a firm operates in is an important context for understanding corporate culture. While a complex array of internal dimensions affect...
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...The fall of Enron: Corporate Culture, Governance and Ethics Written By: Bilge-Kagan Ozturk 2007 Abstract This paper examines the critical importance of an ethically based corporate/organisational culture to ensuring company-wide ethical conduct. Testament to this topic I use the case of Enron and its ethical demise to successfully support my argument and highlight the need of top level management to be the main proponents of this culture to allow lower level employees to adopt a behaviour of moral reasoning. The body of the essay will highlight the importance of shaping an ethically based organisational culture, through a number of components, namely a company’s executive management team and its corporate governance system. I also briefly evaluate agency and stakeholder theories and how they relate to an organisational culture from an ethical perspective, and point out Enron’s culture was predominantly one of agency reasoning. Finally I provide a brief and direct conclusion to assert my argument that ethics needs to exist deep within an organisation’s culture and needs to be the key leading value of an organisation. A breakdown of ethics can eventually lead to the demise of a once very reputable and successful company. A great textbook example is of course, the fall of Enron – one of the biggest corporate bankruptcies in US history. Like most companies, Enron had a code of ethics in place and employees who were educated in the field of ethics, agency...
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...Corporate culture is largely influenced by national culture and sustained by corporate leadership So many civilisations exist today; all rich with individual cultural heritage and each, distinct with unique features, characteristics, and value systems. Therefore it holds that countries have their individual and distinct cultures which are unique and which apply to them. Consequently, these cultures get infiltrated and remodelled to form part of the culture of organizations as well as influences the decision making behaviour of the corporate leadership system or process. Geert Hofstede, considers that ‘Culture is the collective programming of the mind distinguishing the members of one group or category of people from others’. It could be seen a range of values and meanings shared among individuals and entities belonging to a group, body or category. National culture is regarded as shared meanings, [conscious or unconscious] promoted among people existing within or originating from a country or state and is therefore regarded as the basic value system measure from which organizational values and corporate culture [which is understood as the belief systems or set of values shared that governs behaviours and attitudes within a corporate organization or entity] is developed. A company's corporate leadership (which is constituted of the top executives who govern its operations and plot its strategies for the future,) therefore has the responsibility to uphold this value system...
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...Assessment Task 2 : Group Report Organisational Culture Prepared for: Prepared by: Han Qiyong Jimmy Jin Jin Afiq Kerox Alex 28/2/14 Table of contents: Executive Summary Current Approach to Corporate Culture * Managers * Class Ceiling * Asdasd * Asdad * Asdasd Key Topic Concepts of Corporate Culture in ANZ Bank * Ethical Culture * Asdasd * Asdasd * Asdasdad Conclusion Scholarly Articles Appendix References Executive Summary The aim of this report is to discover, analyse and offer suggestions on the current Corporate Culture of ANZ and the bank industry. Through the report we will uncover how Corporate Culture is formed and how it affects the managers and employees of the organisation. Key elements that might affect corporate culture will be discussed and analysed in detail. Introduction to Organisational Culture Organisational Culture is a set of guidelines designed by the management to educate new employees and keep old employees aligned with the organisation’s goals. Corporate Culture is usually determined by the top management and briefed to the employees by the managers. The managers in turn need to become role models by practicing in theory and action the organizational values. The commitment in senior management to the culture is of utmost importance with rewards given out to employees who reinforce the organization’s values. However, Organizational Culture is like a double edged sword and can be used in...
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...theorists are increasing interest in organizational culture as a category, which determines the effectiveness of the organization. This sort of "molecular level" of the latter, on the one hand, gives it a unique, on the other - allowing it to adapt to the environment, and employees - to the existence within it, but at the same time inspiring them to solve common problems. It is this circumstance had in mind a Swedish scientist Iesper Kunde, who in his book "Corporate Religion" suggests that all the famous brands owe their success above all a clear and strong integration of ideology and values in the consciousness of its employees. The concept of organizational culture as a form of process management emerged in the late 70's and 80's of the XX century in the period of institutionalization of the organization, when from a producer of goods and services it has become a social unit. Until that time, the functions of management were reduced to coordinating and controlling the activities of groups, ensuring the interaction of units to achieve the goals, etc. However, the concept of organizational culture was not something totally new. This phenomenon is considered in M. Weber, K. Levin, T. Parsons, F. Selonika. A C. Bernard and G. Simon introduced the concept of "organizational morale", in essence similar to the definition of organizational culture. Many Western researchers have linked the fact of handling the organizational culture as well as management functions and the need to find...
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...Implementing Strategy in Companies That Compete Across Industries and Countries 13 - 1 Managing Corporate Strategy Through the Multidivisional Structure • Functional or product structures are not sufficient when a company enters new industries • Multidivisional structure innovations – Divisions (operating responsibility) – Corporate headquarters staff to monitor divisions (strategic responsibility) – Each division may be organized 13 - 2 Multidivisional Structure 13 - 3 Advantages of a Multidivisional Structure • • • • Enhanced corporate financial control Enhanced strategic control Growth Stronger pursuit of internal efficiency 13 - 4 Problems in Implementing a Multidivisional Structure • Establishing the divisional-corporate authority relationship • Distortion of information • Competition for resources • Transfer pricing • Short-term R&D focus • Duplication of functional resources 13 - 5 Structure, Control, Culture, and Corporate-Level Strategy • Unrelated diversification – Easiest and cheapest strategy to manage – Allows corporate managers to evaluate divisional performance easily and accurately – Divisions have considerable autonomy – No integration among divisions is necessary 13 - 6 Structure, Control, Culture, and Corporate-Level Strategy (cont’d) • Vertical integration – More expensive than unrelated diversification – Multidivisional structure provides necessary controls to achieve benefits from the control of resource transfers...
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...expansion. Its unique corporate culture of engagement and invested interest is based on creativity, innovation, care, productivity and fun which has been its sustainable competitive advantage in the market. II. Issues WestJet is experiencing some underlying issues and problems which threaten the success of future growth. First of all, there is a lack of knowledge and experience necessary to further develop their cultural-business complex to assure the sustainability of the corporate culture in their growth. As well no discernable succession plan for management may lead to the inability of executives to maintain the core competencies. Finally the requirement of staff at all levels to be youthful is facing a future workforce that will have a high demand for young talent thus pressing WestJet to find new ways to recruit employees and employee retention. Some symptoms of the associated growing pains WestJet is undergoing are: in 2009 WestJet’s disagreed with the new contract proposal based on the lack of a strategic retention policy, the outsourcing of activities in foreign countries to organizations that do have a vested interest in the success of WestJet and the underlying corporate culture, and the increased need for upper level management personnel creating the potential for a bureaucratic disconnect. III. Analysis The success of WestJet resides on its corporate culture, and its tremendous growth of the company threatens the stability of the culture and consequently a loss...
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...Corporate Culture By: Joanne Mowat, The Herridge Group {Insert Date} Corporate Culture Abstract As an executive, identifying, understanding, and influencing the organizational culture can ensure corporate agility and financial success. As a potential employee, catching a glimpse of the true culture of an organization will help one decide if the company is a place where one can contribute and flourish. In both cases, misunderstanding the culture can lead to disaster. Corporate cultures have both gross and subtle manifestations that provide clues to the underlying norms and beliefs. Paying attention to the work practices, environment, communication paths, and even the level of humour in a company, will give one a hint of the dominant organizational culture. Identification and understanding the culture is necessary to affect any minute or large scale changes in response to market imperatives. If one does not have a clear picture of the culture one cannot effectively modify it. This paper touches on four key questions in relation to corporate culture: • • • • What is corporate culture? Why is it important to understand the corporate culture? How can one identify the corporate culture? Can corporate cultures be changed? 09/03/2002 2 Corporate Culture What is Corporate Culture? Corporate culture is the personality of the organization: the shared beliefs, values and behaviours of the group. It is symbolic, holistic, and unifying, stable, and difficult to...
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...Table of Content 1.0 Executive Summary 2.0 Introduction 3.0 Mission Statement 4.0 Core Values 5.0 Corporate Values 6.0 Corporate Culture 7.0 Corporate Culture Affect Managers 8.0 Levels of Culture 9.0 Assessing Organisational Culture 9.1 Innovation and Risk-taking 9.2 Attention to Details 9.3 Outcome Orientation 9.4 People Orientation 9.5 Team Orientation 9.6 Aggressiveness 9.7 Stability 10.0 Cultural Web 11.0 Right Culture and right values 12.0 Disadvantage of an Organisation with the Wrong Culture and Wrong Values 13.0 “Right Culture with the Right Values will always produce the best organizational performance” 14.0 Conclusion References 1.0 Executive Summary In this business report, Singapore International Airlines (“SIA”) is the company has been chosen to be the topic for discussion. There will be a few factors that will be discussed. Examples like different culture changes an organization’s competitiveness in the market. We will also be evaluating various objective and methods on how an organization can improve, develop and influence to build a stronger management process. The objective of this report is to analyse and explain how SIA, a Singapore company changes its culture to suit a dynamic changing environment and became a successful company with its corporate values and cultures. 2.0 Introduction Singapore Airlines’ history can be traced back to 1st May 1947. That was when a Malayan Airways Limited Airspeed Consul flew from Singapore...
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...In the past decade, many corporations are using Corporate Culture as the key selling point in attracting and retaining talented employees. Corporate culture defines a corporation’s personality, its’ values, attitudes, and behaviors that are shared across the whole organization (Chatman &; Cha, 2003). Employees are the backbones of any successful corporations and high productivity is result of satisfied employees. A good match between an employee and employer is important; hence a clearly defined corporate culture is vital during the recruiting process. Corporate culture also plays a crucial role in retaining talented employees by providing an environment that encourages interests, growth, and opportunities. Smooth daily operation of any business relies on a strong corporate culture. A poorly defined work culture is one of the biggest causes of business organization failure because it results in mismatched recruitment, low retention rates, and unsatisfied employees that lead to poor performances and productivity. A well-defined corporate culture consists of six common attributes that define the corporate culture. These six attributes: Vision, Values, People, Place, Narrative/history and Practices (Coleman, 2013) help to create the organization uniqueness. It also let key stakeholders such as customers, shareholders, employees and the public to understand the core of the business. A clear definition of each characteristic is essential to avoid any misinterpretation. Vision...
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