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Organizational Culture: An Annotated Bibliography

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Organizational Culture: An Annotated Bibliography

Business organizations seek effective modes of operation and behavior that can enable them to optimize their performance and productivity. In the last few years, there has been an upsurge in studies that seek to explore the different types of organizational culture and their effects on performance and productivity. Organizational culture is commonly defined as the glue that binds together an organization through a shared pattern of meaning. Furthermore, organizational culture can also be described as a cohesion of values, myths, heroes, and symbols that has come to mean a great deal to the people who operate within it. Organizational culture can be an effective indicator of corporate success.

Nikpour, A. (2017). The impact of organizational culture on organizational performance:

The mediating role of employee’s organizational commitment. International Journal

of Organizational Leadership, 6, 65-72.

In this journal article, Nikpour (2017) investigates the mediating role of employee organizational commitment to the relationship between corporate culture and performance. Using descriptive correlational design through survey method, Nikpour (2017) selected a total of 190 participants as volumes of sample through Cochran’s formula. The data collecting roles included corporate culture, organizational commitment, and organizational performance questionnaires. After analyzing the data gathered using structural equation modeling and SPSS applications, Nikpour (2017) found that suggested model had appropriate influence on organizational culture beyond its direct effects. In addition, the researcher found that suggested model directly influences organizational performance through the mediation of employees’ organizational commitments that the extent of indirect effects was significantly higher than direct impacts. According to Nikpour (2017) the task of attaining high level of organizational performance requires clear identification of factors that influence performance. In this respect, Nikpour (2017) observes that corporate culture and employee organizational commitment are the key variables that significantly influence an organization’s level of performance and productivity. According to Nikpour (2017), many scholars have proposed different definitions of organizational culture. Thus, one of the most commonly held definitions of organizational culture is that it is a pattern of shared basic assumptions. The essential premises are the ones that the group learned as it resolved its challenges and problems.

Rehman, S. U., Bhatti, A., & Chaudhry, N. I. (2019). Mediating effect of innovative culture

and organizational learning between leadership styles at third-order and

organizational performance in Malaysian SMEs. Journal of Global Entrepreneurship

Research, 9(1), 36.

Many studies on organizational culture often place emphases on the traditional corporate patterns and practices. However, Rehman, Bhatti and Chaudry (2019) note that very few corporations consider innovation as a form of organizational culture. As such, Rehman, Bhatti and Chaudry (2019) explore the mediating influence of innovative culture and organizational learning between leadership styles and organizational performance. Using quantitative design, Rehman, Bhatti and Chaudry (2019) administered questionnaires to 950 participants who were mainly comprised of business owners and managers. The questionnaires were distributed using postal and email strategy. The outcomes of their study indicated that leadership styles have major impacts on organizational learning, innovative culture, and organizational performance. In addition, Rehman, Bhatti and Chaudry (2019) found that innovative culture and organizational learning have significant mediation between leadership styles and organizational performance. From a practical perspective, Rehman, Bhatti and Chaudry (2019) suggest the need for managers and owners of organizations to place emphasis on leadership styles with innovative culture and organizational learning in their decision making process if they are to improve their organizational performance. Therefore, Rehman, Bhatti and Chaudry (2019) argue that effective leadership style plays a significant role in influencing the success or failure of any kind of organization. Moreover, leadership is increasingly becoming a mandatory component of organizations. Despite the broader body of knowledge on leadership, there has been scarcity of research on small and medium-size enterprises. Therefore, Rehman, Bhatti and Chaudry (2019) state that leadership styles greatly impact the innovative culture of an organization.

Acar, A. Z., & Acar, P. (2014). Organizational culture types and their effects on

organizational performance in Turkish hospitals. EMAJ: Emerging Markets

Journal, 3(3), 18-31.

Numerous studies have attempted to investigate the nature and types of organizational cultures. However, there is still paucity of research on how different types of culture influence performance. Therefore, Acar and Acar (2014) investigate different types of organizational cultures and their impacts on performance of healthcare institutions in Turkey. After identifying dominant types of organizational culture of private and private health care organizations, Acar and Acar (2014) administered questionnaires to 512 employees from 99 hospitals that are situated in major cities of Turkey. The researchers found that organizational cultures may vary across organizations. However, Acar and Acar (2014) found that the most dominant organizational culture in many health institutions in Turkey is the Hierarchy, which is closely followed by Market and Clan cultures. Nonetheless, such a culture is limited by the samples that were gathered. Moreover, the study suggested that the organizational culture in Turky’s health care sector is based on the need to gain stability, order and control. Even in cases where hospitals are different from each other, the cultural environment is such that organizations that are effective in stressing on stable, predictable, and mechanistic processes. Organizational culture also has a major impact on hospital performance in many aspects. Although assessment of literatures on organizational culture and performance concepts were undertaken by Acar and Acar (2014), their investigations indicated that organizational culture is significantly related to the performance of an organization.

Oberföll, K., Adame, M. E. C., & García, M. L. S. (2018). Relationship between

organizational culture and performance among German multinational companies in

Mexico. Journal of Business, Universidad del Pacífico (Lima, Peru), 10(2), 24-47.

In this journal article, Oberföll, Adame and García (2018) explores if there is any association between organizational culture and organizational performance in German multinational organizations that operate in Mexico. In this respect, Oberföll, Adame and García (2018) utilize multiple case study approach to assess five major German multinational auto parts firms that operate in Mexico. After administering questionnaires to executives and top leaders of five major firms and 232 employees at one of them, Oberföll, Adame and García (2018) found that there is a strong relationship between organizational culture variables and performance variables such as employee turnover, work satisfaction with the organization, and sales. The study also suggests the need for employers to promote human resources policies to boost employee satisfaction.

Wahyuningsih, S. H., Sudiro, A., Troena, E. A., & Irawanto, D. W. (2019). Analysis of

organizational culture with denison’s model approach for international business

competitiveness. Problems and Perspectives in Management, 17(1), 142.

In this article, Wahyuningsih et al. (2019) explore the implementation of organizational culture in improving business competitiveness. According to Wahyuningsih et al. (2019), culture is viewed as a system instrument that represents beliefs that are able to stimulate business performance in global environments. After evaluating organizational cultures in international scale hotels in Yogyakarta, the researchers found that international hotel chains have the authority to influence international alignments as a strategy to boost organizational competitiveness via employee empowerment initiatives.

Conclusion

Organizaitonal culture influences the manner in which an organizaiton interacts with both internal nd externals stakeholders. In addition, corporate culture can shape a company’s strategy of dealing with employees and promoting productivity. Many studies have attempted to investigate different types of organizational culture. However, a few studies seek to link the effects of organizational culture on performance and productivity. Strong organizational cultures often become behavioral standards that are based on the ethical values that enable them to undertake engenderment of sense of identity and positive attitude among members. Moreover, business organizations that are increasingly becoming global often depend upon organizational culture as a necessary ingredient in the boosting of their capabilities for acculturation between nations. Contemporary managers are often aced with the need to manage diversity of seekers including promoting excellent services for all customer groups. Organizational culture can provide an important avenue through which performance goals are met.