ORGANIZATIONAL CULTURE

Organizational Culture

Abstract

In this paper, we try to explore the concept of organizational culture in business. We try to focus on the organizational culture in the world of business. Paper also explains the effects of organizational culture have on the success or failure of a company. It also demonstrate the pros and cons of Organizational culture in regard to the company's image and work ethics, and analysis its effect on companies utilizing outsourcing as one of their business strategies. The paper also explains the effect of organizational culture on countries the U.S is outsourcing to, such as India, and China. Finally paper concludes with a good organizational culture is of great benefit to any organization and the culture is closely linked to good performance that the leaders of the organization have.

Organizational Culture in Business

Introduction

There are many elements of the organizational culture. Even though all organizations are different in terms of culture, size, value but the following elements are present in more or less all organizations. The customs and ritual, stories and myths about company, the climate, the shop talk and overt and implicit expectation for member behavior are few of the common elements (Ago et al., 1992).

Value

Values are the basic rules which are followed by the whole organization. Value determines how organization works.

Beliefs

The psychological state of an individual due to which he holds a promise or premise to be true is called beliefs. Organizational culture is a phenomenon that occurs in many different facets. The formal definition of organizational culture as stated by Schein (2004) was as follows: a pattern of shared basic assumptions that was learned by a group as it solved its problems of external adaptations and internal integration, that has worked well enough to be considered valid and, therefore, to be taught to new members as the correct way to perceive, think, and feel in relation to those problems.

Background

Culture is an area that has not benefited from the breadth of research and discussion of leadership or job satisfaction and motivation. However, organizational culture has a major influence on the perception of leadership and satisfaction for individual employees (Alexander, 2005). Schein (2004) described culture as the “phenomena that are below the surface, that are powerful in their impact but invisible and to a considerable degree unconscious”. Culture plays the role of lifeblood for an organization.

The personality that an organization portrays to internal constituents and to external customers can best is viewed through its culture. One may assume that organizational culture is a constantly evolving phenomenon. As members of the organization leave to pursue other interests, the culture of the organization they participated in will shape their future experiences elsewhere. Conversely, as new members join the organization, their past experiences will play a role in shaping the culture of the organization in the future. (Amabile, 1990)

Sometimes the size of the organization plays a role in the establishment of its culture. It is easier for a smaller organization to possess a unique culture that permeates ...