“The best-performing companies worry less about performance and
more about their organizational capabilities” (Bititci, 2015).
I completely agree with this point that Bititci makes about
organizations and their capabilities and performance. The way I
understand his point, is that a company's performance is based on
their skills and workplace culture, which makes up an organization's
capabilities.
While researching this topic, I came across an article that reinforced
this point for me, and it claimed that "Corporate culture drives
innovation, employee development, and retention, ultimately driving
the organization towards its goals... Employees’ overall ratings of
their company’s qualities — such as collaboration, work environment,
and mission and value alignment—are 20% higher at companies with
strong cultures" (Kidd, 2020). If you have a workplace culture that is
hostile, then your employees are not going to be willing to
experiment with strategies that may increase productivity, and they
will be doing the bare minimum to get by, so that they don't draw
any unwanted attention from their bosses or coworkers. When their
job merely becomes clocking in and out every day, then the outward
performance of the company will slip as well.
As far as the organizational cultures of both Company A and B, it
seems to me that both have some issues; however, Company A is in a
better position to address their problems and move forward. The
main issue I see in Company A's culture is that they are behind the
times. They aren't relying on technology to make their operations like
baggage handling, check-in, and customer service more efficient.
Additionally, they are relying on an outdated model of compensation
for their skilled employees. Modernizing their operations and
compensation packages as well as allocating extra funding towards
optional training programs should be enough to build a strong team
at the center of their workforce, allowing them to increase their
performance.
Company B on the other hand seems to be entirely unorganized.
Between the new President and the IT Manager's investigation into
ornithopters and questionable software partnerships, leadership
seems to be pulling Company B down numerous rabbit holes. On top
of that, the sales team is stagnant and operations are losing skilled
technicians faster than they can train new ones to replace them. To
get Company B on track, leadership would have to be reigned in, and
made to focus on the decay presently within their company rather
than being distracted by futuristic fantasies that are just out of reach.
References
Kidd, D. (2020, July 1). How Culture Impacts Performance
. Raine
Digital.
