ESSAY UNIT VIII

Management's role in shaping organizational culture

CHRISTINE KANE-URRABAZO M S N , R N

Nursing Doctoral Student, Texas Woman’s University, Denton, TX, USA

Introduction

Culture represents the personality of an organization,

having a major influence on both employee satisfaction

and organizational success. It �expresses shared

assumptions, values and beliefs and is the social glue

that holds an organization together� (Trevino & Nelson 1999, p. 207). While every organization has a culture, it

is sometimes elusive and open to different interpreta-

tions. According to Deal and Kennedy (2000), �a strong

Correspondence

Christine Kane-Urrabazo

1404 Plaza Verde Dr

El Paso

TX 79912

USA

E-mail: [email protected]

K ANE-UR R AB A ZO C. (2006) Journal of Nursing Management 14, 188–194

Management's role in shaping organizational culture

Aim The present study addresses the importance of the manager’s role in the development and maintenance of organizational culture. It describes the types of

cultures that exist and manager characteristics that are essential to facilitating a

healthy workplace. Background While many managers do not deny the importance of organizational

culture in employee satisfaction, few fail to realize the direct impact they have in

shaping it. It is oftentimes believed that cultures are predetermined; however,

this is a false assumption. It is crucial that managers at all levels are aware of their

roles and responsibilities in upholding positive workplace environments that can

increase employee satisfaction. Dissatisfaction is the major cause of turnover and

can have detrimental cost and environmental effects on the agency.

Evaluation Four critical components of culture (i.e. trust and trustworthiness,

empowerment and delegation, consistency and mentorship) are discussed, as is the

role of managers in turning these into positive cultural traits. The viewpoints of

several authors, such as Stephen Covey, Mark McCormack and Charles Handy, are

explored in relation to the development of organizational culture. Additional

theories – Kanter’s �Theory of Organizational Empowerment�, Locke’s �Goal-setting Theory� and the �Social Exchange Theory� – supplement these viewpoints. Conclusions Managers are always under the magnifying glass, with each action

carefully scrutinized by subordinates. They must exercise caution when making

decisions, ensuring that fairness and equitability exists among staff, and that ethical

standards are upheld on a continual basis. The four cultural components, viewed as

managerial traits of trust and trustworthiness, empowerment, consistency and

mentorship coexist at all times regardless of the type of culture. Managers must put

support systems and other mechanisms into place that allow employees the

opportunity to empower themselves and to flourish, thus increasing their own

effectiveness as well as that of the organization.

Keywords: culture, employee satisfaction, management, organizations, role of manager

Accepted for publication: 27 June 2005

Journal of Nursing Management, 2006, 14, 188–194

188 ª 2006 Blackwell Publishing Ltd

culture is a system of informal rules that spells out how

people are to behave most of the time. In a weak cul-

ture, employees waste a good deal of time just trying to

figure out what they should do and how they should do

it� (p. 15). While most managers do not deny the importance of organizational culture in employee sat-

isfaction, few fail to realize the direct impact they have

in shaping it.

When the culture is strong, managers take the lead in

shaping and supporting it. Those who take this ap-

proach are called �symbolic managers because they spend much time thinking about the values, heroes,and

rituals of the culture, and because they see their primary

job as managing value conflicts that arise in the ebb and

flow of daily events� (Deal & Kennedy 2000, p. 141). Several authors have addressed the manager’s role in

developing a healthy culture for his or her organization,

and commonalities include the manager’s exemplifica-

tion of trustworthiness and trust, empowerment and

delegation, consistency and mentorship. These themes

will be discussed in relation to the �power/role/task/ person� cultures within organizations described by Handy (1985).

A framework for organizational structure

Handy (1985) – philosopher, educator, economist and

business guru – has addressed the organizational phe-

nomena that contribute to both the successes and

downfalls of business organizations. His work, which

identifies four cultures (i.e. power, role, task and person),

provides a framework for examining and understanding

organizational culture. Each type has its own unique

characteristics, each can be effective, and each can exist

along with the others. As a framework for management

within health care organizations, each of the four cultures

contributes to creating a healthy workplace.

Power culture

A power culture is ruled by a central power source, such

as an owner or President, and is most frequently found

in entrepreneurial organizations. Trust and personal

communication are important characteristics, thus it is

important for employees to have interpretations of the

job that are similar to those of the leader. Minimal

bureaucracy exists, so that staff function with few rules,

policies and procedures. While applications within

health care organizations have been limited, modified

applications could make important contributions to the

empowerment of nurses and other staff members in

health care settings.

Role culture

The role culture, more familiarly known as a bureau-

cracy, is the category in which most hospital organi-

zations fall. The strength of role organizations resides

in �its pillars, its functions or specialties� (Handy 1985, p. 190). Each unit (e.g. Emergency Department, Labor

and Delivery, Medical-Surgical Services) is a pillar

supporting the organization. Policies and procedures

control the organization, and employees operate based

on job descriptions. There is �a narrow band of senior management…� and if the �separate pillars do their job, as laid down by the rules and procedures, the ultimate

result will be as planned� (p. 190). Advancement within this type of organization is predictable, and the

use of a clinical ladder as a staff evaluation tool is

justified.

Task culture

In a task culture, the focus is on a particular job or

function. Although health care organizations currently

operate largely within the context of a role culture, task

cultures are often developed simultaneously. This cul-

ture aims to assemble the right people with the right

resources, so that a job can be accomplished. This may

be in the form of action committees, which meet for a

specific purpose (e.g. scheduling and staffing issues),

and then disband when the task is complete. Not only it

is possible, but also it is quite common for a health care

organization to have its core culture (role), in addition

to an underlying subculture (task).

Person culture

The person culture, which is uncommon, �exists only to serve and assist the individuals within it� (Handy 1985, p. 195). While a health care organization cannot

exist solely on this idea, there may be some appro-

priate applications. One prime example is within a

hospital’s mentoring system. Initially, the �student� is chiefly concerned with acquiring the personal skills

necessary to survive in a particular workplace, while

the mentor may only be serving in that capacity in

order to earn points on a clinical ladder towards

promotion. Each is gaining something from the situ-

ation. While some actions may be promoting staff

interests and growth, these are supported with hope

that the ultimate outcome will aid in the enhancement

of organizational goals, such as shifting away from a

personal culture and towards one of more unity, such

as the role or task cultures.

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ª 2006 Blackwell Publishing Ltd, Journal of Nursing Management, 14, 188–194 189

Management's responsibilities

There is no one omnipotent culture. What works this

year may not work in the next. Every hospital system

must operate according to its policies and procedures,

regardless of whether they are profit vs. non-profit or

public vs. private. As there is a systematic process to

health care delivery, it is safe to assume that hospital

organizations have a role culture at their core. The

cultures of task and person frequently exist as well. To

enhance what is accomplished, integrating the power

culture might be given increased consideration by health

care organizations. While these types of cultures may

seem to be predetermined, in no way does that mean

that the manager is off the hook. On the contrary, it is

the responsibility of all levels of management to facili-

tate a positive workplace environment. Managers must

value the traits of trustworthiness and trust, empower-

ment and delegation, consistency and mentorship.

These are the building blocks of any flourishing

organization.

Trustworthiness and trust

Covey (1991) is a modern-day theorist that seeks to

change conventional practices in organizational man-

agement. In his book, �Principle-centered Leadership�, Covey (1991) discusses the components of trustwor-

thiness and trust within an organization. Trustworthi-

ness is �more than integrity; it also connotes competence� (p. 171). Managers can be honest with their staff, consumers, suppliers and stakeholders; but if

managers are viewed as incompetent, they will not be

deemed trustworthy.

While trustworthiness is a result of character and

competence, trust is the actual act of believing in

someone and having confidence in them. The level of

trust in an organization can foretell its success because

it is a crucial element linked to employee performance

and organizational commitment (Laschinger et al.

2000). Trust includes the willingness to take risks

because the act of trusting makes one vulnerable to

others� actions. The trustor must rely on the assumption that others will act in a favourable manner. Gilbert and

Tang (1998) state that �trust refers to employees� faith in organizational leaders and the belief that ultimately

organizational actions will benefit employees� (p. 322). In establishing trust, entrepreneur, McCormack

(1984, p. 36), believes that as a manager, you must

�mean what you say�. �If you say you’re going to do something, do it. If you can’t do it, think it’s more

trouble than it’s worth, or don’t want to do it, don’t say

you will. Make up any excuse, but don’t even say, ��I’ll try’��. Employees need to be able to have faith in what they are being told.

Trust does not only flow upward from the employees

to management, but also vice versa as well. Symbolic

managers place a greater level of trust in their staff and

depend on them to guarantee successful outcomes (Deal

& Kennedy 2000). Handy (1985) adds that �Trust is risky…� but �like a leap into the dark, trust must be given if it is to be received� (pp. 328–329). A manager must have confidence in its employees before he or she

can trust them. This trust can be earned in several ways,

such as performing well, being reliable and by not

making threats to leave to bigger and better companies.

Finally, employees take into account the ethical

behaviour of managers when establishing their trust in

the organization. Employees tend to directly relate the

ethics of the company into how they’re personally

treated. When organizational leaders represent high

ethical standards, job commitment increases (Trevino

& Nelson 1999). Managers are confronted daily with

ethical decisions, such as proper resource allocation,

upholding safe patient/staffing ratios and maintaining

confidentiality not only of patients, but also of

employee matters as well. Employees look to their

managers to make sound moral decisions. When these

decisions teeter on the edge of morality, respect is lost.

Furthermore, an unscrupulous manager may find it

difficult to successfully and adequately discipline

unethical behaviour by his or her subordinates. It is

important to uphold the standards of the nursing

profession at all times, and it is the manager who must

reinforce this credence by acting as a role model.

Empowerment

The first components of trust and trustworthiness must

be prevalent before empowerment can be successfully

achieved. Empowerment is the process of enabling

others to do something. �Principle-centered Leadership� implies that personal contribution is a great motivator

(Covey 1991). People want to feel valued and the

principle of empowerment contributes to an employee’s

sense of worth. A manager can empower others by

including them in problem solving. Many managers

today seek quick-fix solutions to chronic problems, and

they fail to see the long-term consequences of their

short-ranged decisions. Throughout his book, Covey

(1991) constantly refers to the �preparing of the har- vest�. In this reference, he explains, that �in order to reap the harvest…we must first plant, water, weed, cultivate and fertilize it� (p. 164). Just as harvesting is a process,

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so is the concept of problem solving. He asserts that by

involving others in the problem, they become a dedi-

cated participant in the decision-making and problem-

solving process.

Many hospital organizations establish committees to

review policies and procedures, assist with discharge

planning, or to address other specific matters, thus

forming the previously discussed Task culture (Handy

1985). Many people cringe when they are asked to serve

on a committee, but the truth is that employees want to

be valued and to feel they can make a difference. Nev-

ertheless, for employees who shy away from committee

involvement, employee empowerment can be gained

when they are allowed input into the creation of their

schedules and assignments.

Rosabeth Moss Kanter developed the �Theory of Organizational Empowerment� in the 1970s. The pre- mise of her theory is that when opportunities for

empowerment are provided, employee attitude im-

proves, and in turn, the organization will become more

effective in achieving its goals (Laschinger et al. 2000).

Kanter believes that there are several organizational

structures that are important to the growth of employ-

ees� empowerment. It is essential that management provide its employees not only with adequate infor-

mation and resources necessary to do a job, but also an

effective support system and the opportunity to learn

and grow. When these elements are intact, an increased

sense of autonomy and self-worth exists, thereby

improving productivity and organizational commitment

(Laschinger & Wong 1999).

Not only are these components essential, but also

they are fairly easy to provide. Information can be

dispersed via committee, departmental, or hospital-

wide meetings. Additionally, messages can be relayed

via e-mail or by simply posting bulletins in the staff

lounge. Regardless of the method, communication must

remain constant between managers and their sub-

ordinates. Support can be provided by establishing

mentor systems, while the opportunity to flourish can

be provided by offering possibilities for advancement

and by providing continuing education, for example.

Delegation

Delegation is yet another form of empowerment that

managers can provide to their employees. McCormack

(1984) states:

�People often delegate – or fail to delegate – for all the wrong reasons. They hold on to a task because

they like doing it, or want to do it, or are afraid

not to do it, and they will pass down some other

task because they find it distasteful or �beneath them� or have rationalized that it is not the best use of their time (p. 187)�.

He also adds that the more distasteful a task, the

further down it is usually delegated. One bit of advice

McCormack (1984) offers managers is to not ask any-

one to perform a task or function that you are not

willing to do yourself. For instance, a manager should

not request that employees stay late to cover shifts, if

they are not willing to put in extra hours themselves.

The manner in which a manager delegates tasks can be

critical when establishing leadership and trust among

his or her subordinates. According to Cohen (2004),

when a manager delegates tasks, employees are looking

at �who� they delegate things to, �what� type of things they delegate, �how often� things are delegated, and �why� �in their mind� they are delegated. If done cor- rectly, it can earn the manager respect. On the contrary,

however, it can be destroyed just as quickly.

Consistency

Covey (1991) discusses the importance of consistency

within an organization, and introduces the term

�alignment�. Within an organization, this means that its structure, mission statement, shared values, manage-

ment philosophies and all other aspects must be con-

gruent (or aligned) with one another. These components

align when an organization is centred on unwavering

principles (such as trustworthiness, trust and empow-

erment). There will be no contradiction between what is

said and what is actually done.

McCormack (1984, p. 190) criticizes nearly all

management philosophies to date. He claims that what

sounds good in a book, rarely works in real life. �Once you factor in human beings – egos and personalities –

even the most sensible theories begin to fall apart�. He adds that �the only management philosophy that does work is the one that acknowledges that none of them

do: be flexible and strive for consistency� (p. 190). While flexibility and consistency seem to be contradictory

terms, they do, in fact, coexist in management. Flexi-

bility is needed when policies, goals and mission state-

ments, for example, call for revision. �A flexible, responsive management virtually guarantees consis-

tency. It is inflexibility that causes erratic behaviour…. To manage consistently you have to behave consis-

tently…. Inconsistency in management breeds all sorts of unnecessary anxieties in the people being managed� (pp. 191–192).

Organizational culture

ª 2006 Blackwell Publishing Ltd, Journal of Nursing Management, 14, 188–194 191

As previously mentioned, workers prefer a system in

which rewards and discipline are handed out accord-

ingly. When either one is doled out by managers, con-

sistency must be prevalent. Regarding discipline, each

employee must understand the rules and behaviour that

is expected within the organization. Those requirements

must remain consistent if employees are expected to

learn them (Rowland & Rowland 1997). Discipline

must be handled fairly and consistently at all times.

There should be established guidelines indicating the

steps of the disciplinary process. For instance, the first

violation may warrant a warning, while the second may

warrant some form of remediation, and so on. What-

ever the disciplinary process may be, employees must be

aware of its existence and the manager must adhere to

it, to ensure that employees are treated fairly and

equally. Lastly, it is important for managers to

remember that they are role models. They cannot

effectively discipline their staff if they are guilty of the

same punishable actions.

Like discipline, consistency must also be prevalent

when rewarding staff, whether it is in the form of verbal

praise or small tokens of recognition. Employees must

feel that these things are given out for substantial rea-

sons, such as hard work, rather than feeling that �only the boss’s friends get the rewards�. �If expected reactions do not occur or rewards are not forthcoming, a behaviour

will cease. If, however, the behaviour is rewarded, it will

be reinforced and social bonds will be created� (Riggs & Rantz 2001, p. 48). Employees will not have complete

trust for their managers nor will they be motivated to

work as hard, if they feel that the reward system is

lacking in fairness and consistency. For instance, if em-

ployees receive recognition for perfect attendance

1 month, then they should receive it for subsequent

months as well. Or, if a manager has tickets to an event

to pass out, they should be sure to include employees on

all shifts. Oftentimes, it is the employees who are �lucky� enough to be working a certain shift that gets the free

handouts. Rewards should not be given out simply to

those who are at the right place, at the right time. Re-

wards should be fair and equitable. When they are not,

trust diminishes along with employee satisfaction.

Mentorship

�Social Exchange Theory� is widely used in organizational studies to explain how social relationships materialize,

endure andcease over time (Riggs & Rantz 2001). Within

this theory, it is believed that social values are what

influence particular behaviour. Because organizational

culture is composed greatly of behaviours, �Social

Exchange Theory� can be applied to its development. This is possible because the attitudes, values, norms, behav-

iours and all other facets of culture are learned.

Furthermore, according to Edwin Locke’s Goal-setting

Theory, �Goals are a way to translate values into action. The theory is based on the concept that goals are deter-

mining factors for behaviour� (Beeman et al. 1999, p. 92). Both of these theories can be applied when establishing a

mentor programme within an organization.

Socialization is often begun through orientation

programmes, and ideally is reinforced throughout

employment. It is during this time of orientation that the

organization’s values and principles can be communi-

cated and instilled into the behaviours of new employees

(Trevino & Nelson 1999). For example, nurses have

their own �language, rules and way of thinking unique to their organization. It is important the new nurse learn

this language through socialization� (Beeman et al. 1999, p. 92). Mentors help their �students� by establish- ing goals to be met during the training process. Locke’s

theory may be utilized to yield very specific outcomes

congruent to the behaviours and norms expected within

the organization. Oftentimes, it is during this process

that employees realize that their personal values and

standards may not coincide with those of the organiza-

tion. In these instances, the employee or employer

frequently terminates the working relationship.

Providing mentors to new employees also helps to

alleviate some of the anxiety that goes along with being

in a new environment. They feel that they are not alone

because they have someone to �teach them the ropes�. In addition to serving as a resource guide, mentors carry

out many other functions as well. They teach others

how to function within a leadership role, how to per-

form technical aspects of the job, they help others to

gain acceptance within the organization, they model

discipline and hard work, offer psychosocial support,

communicate frequently and evaluate honestly (Savage

2001). A new employee usually trusts the person who

mentors them, and may even feel a greater sense of

commitment to the organization as they are answerable

to another person. Having a mentor increases job sat-

isfaction, decreases feelings of work alienation, is rela-

ted to an increase in productivity, and results in an

increased retention rate (Roemer 2002). �Mentoring programmes help establish a sense of loyalty and

attachment to a company; employees think twice about

leaving when they feel those emotional ties� (Warren 2005, p. 28). This is significant because according to

Thomas Group, Inc. (2004), the average cost incurred

to recruit one registered nurse can exceed $25 000 per

annum. It should be noted that this figure does not

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include orientation costs associated with training a new

staff nurse.

Managers must be responsible when selecting

employees to serve as mentors. A poor mentor who

lacks strong values and exhibits unwarranted behav-

iours, is likely to drive the new employee away. Good

mentors are crucial because they are usually the first

people to work with a new employee. Frequently, the

mentor provides the first impression of what the

organization is about. Also, when a new employee has

difficulties or is unsure about his or her place within the

organization, it is often the mentor who provides

cohesion between the employee and the organization.

Keeping these factors in mind, managers should be

aware that mentors, also called preceptors, must possess

certain qualities in order to be successful. According to

Hayes (1994), preceptors must have both �personal� and �professional� qualities. �Personal� qualities include being helpful, caring, flexible, dependable, motivated and

respectful. �Professional� qualities of a preceptor include being interested in professional growth, confident,

knowledgeable, involved in the agency and secure in the

role. Moreover, a preceptor must take initiative, have

good communication skills, be able to deal with con-

flict, and serve as a good role model. Preceptors need to

be team players who are willing to provide assistance

whenever and wherever needed (Anderson & Pulich

2002). It is important for the manager to place careful

consideration into who should be selected as a pre-

ceptor, as one that is mediocre will make the new

employee’s transition more difficult. This can ultimately

prolong the need for training and orientation, thus

contributing to both employee frustration and increased

administrative costs (Mundie et al. 2002).

Conclusion

Culture in an organization is very important, playing a

large role in whether or not the organization is a happy,

healthy place in which to work. While many managers

acknowledge the significance of culture, few realize the

roles and responsibilities that they have in its develop-

ment. Regardless of the type of culture (i.e. power, role,

task and person), the four components discussed –

trustworthiness and trust, empowerment and delega-

tion, consistency and mentorship – all contribute to the

overall good of the organization. These factors cannot

stand-alone. Not only do they coexist, but also

empowerment and mentorship are based upon the

foundation of trustworthiness and trust, and likewise, a

strong mentor programme contributes to that level of

trust as well (see Figure 1).

Managers must realize their function in establishing

and maintaining an organization’s culture. The atti-

tudes, values and behaviours of an institution begin

with its leadership. This is done through role modelling

and communication at all levels. Managers must not

forget the importance of being consistent when

expressing these attitudes, values and desired behav-

iours. When one or more of these components are

missing or are weak, the organization will eventually

suffer. This is a consequence that our health care system

cannot endure.

Acknowledgement

Author would like to thank Gail Davis, Ed D, RN Professor at Texas Woman’s University College of Nursing, Denton, Texas, for her assistance with the editing of this article.

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