4) What advantages and disadvantages are associated with the organization’s culture?

How could the culture be improved?

Terminal Values of Maruti Suzuki’s Organisation: Quality, Efficiency and High Performance
Drive the Terminal Culture of Maruti Suzuki.

Instrumental Values of Maruti Suzuki’s Organisation: Inclusivity and Learning is a key Culture
at Maruti Suzuki.

Advantages:

With a talent strategy Based hiring environment Maruti Suzuki strives to hire the best and
reward them to sustain them. The onboarding process makes sure to assign the employees
into processes that matches their abilities and interest to create the best use of their
talents. The assessment process is essentially kept transparent, visible and objective.
Organisational assessments to a great extent lack transparency and is arbitrarily tweaked to
remain depend upon the mercy of bosses and hence leads to unacceptability. Maruti Suzuki
with Quality and efficiency based culture values talent and strives to keep the assessment
objective. It strives to keep the work culture open, transparent, encouraging,
experimentation, empowerment and encouraging.

The organizational culture of division based in Functionality in Maruti Suzuki is also

advantageous in terms of expertise and coordination delivering High performance. It also
leads to Human resource satisfaction by assigning them the task they are good at.

Disadvantages:

Hostafede Model

a) Power distance
b) individualism vs collectivism
c) indulgence vs restraint
d) long vs short term orientation
e) masculinity vs femininity
f) uncertainty avoidance
Each dimension represents different things (Hofstede.G1994). Firstly, Maruti Suzuki have
high power distance. Because lower positioning workers have no power to speak in front of
management and they are not allowed to give their opinion. So higher position employees
take the advantage of it. Secondly company have high individualism. Because permanent
workers treated differently than temporary workers. Permanent workers have higher wages
than temporary workers. Workers were not work as a team member they work for
compete. So, these are the problems of the company according to Hofstede model

The Functional division of organization also sometimes is disadvantageous when there are
clash of interests among different departments.

Improvement Opportunities

The company needs to reduce the power distance from their culture because every worker
is important for the company and they have power to give their opinion. Secondly after the
comparison of culture of company with OCAI model, company needs to follow only one
organisation culture to reduce conflict.

6) What do you think has the strongest impact on the organization’s culture: the people,
organizational structure? Explain

Characteristics of people: The ultimate source of organizational culture are the People who

make up the organization. Maruti Suzuki like any other organisation hires to onboard like
employees with ideas matching to that of Company. These employees either re-inforce
those cultures or eventually leave the company. As a result of this people inside the
organization become more similar, the values of the organization become more and more
parochial, and the culture becomes more and more distinct from that of similar
organizations.

Secondly in order to achieve efficiency and productivity levels Maruti Suzuki divides its
operations on basis of functionality. The Organizational Structure also is an important factor
in determining the culture. Strict hierarchical authority exists, and expectations are clearly
set. Going beyond scope of duty is not treated as a virtue. While this sets the culture of
organised and disciplined work environment and enhances productivity and expertise, it
also misses on cross functional creativity and innovative ideas of collaborations.

7) Do you have any other impressions of the organization’s culture and norms and values
that seem to explain the way the organization operates?

There are other factors that contribute to Maruti Suzuki’s culture.

Property rights system

The values in an organization’s culture also stem from how the organization distributes
property rights: the rights that an organization gives to its members to receive and use
organizational resources

The distribution of property rights has a direct effect on the instrumental values that shape
employee behaviour and motivate organizational members. Attempts to limit employees’
benefits and reduce their rights to receive and use resources can often result in hostility and
high turnover.

Organizational Ethics

These are the moral values, beliefs, and rules that establish the appropriate way for
organizational stakeholders to deal with one another and with the organization's
environment. The firm has little control over this. These ethics exist by the virtue of
Founders or behaviour of Top management team making decisions based on there ethical
construct.