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Role of culture
by FC20200405 Arun Khandala - Friday, 19 February 2021, 11:58 PM
Culture is all about values, practices, beliefs and procedures in an organization. The same should be reflected in organization's
vision and mission.
Role of culture -
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It is also important to understand how the culture of an organization impacts the performance of employees. A healthy and
encouraging work culture provides employees with the right environment to perform efficiently. The following should be kept in
mind to foster such a culture:
Culture basically acts like a hygiene factor and might contribute towards reducing dissatisfaction.
1. A strong culture allows an organization to nurture the best talent and retain them. Thus, improving the overall
performance of the organization.
2. Culture allows the organization to work as a team. A good culture promotes working together as teams and results in
higher efficiency.
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3. Culture helps the organization to build an identity that can be used to promote the organization and to attract prospective
employees.
4. A good culture can promote healthy competition in the workplace. This results in growth opportunities for employees and
leads to better results at the workplace.
A culture that celebrates individual and team successes, that gives credit when credit is due, is a culture that offers a sense of
accomplishment. And that’s one way to turn employees into advocates.
Organizational culture also has the potential to act as an aligning force for the company. This is particularly the case with new
hires who have put some considerable thought into the type of culture they’re entering into.
1. Culture acts as a bond that holds the employees of the organization together.
3. It plays important role in the hiring process. Young talent generally looks for an organization with a good work culture. At the
same time, companies also look for a person who is in alignment with the culture of the organization.
If the culture in a department is that of excellence or limited tolerance for repeated errors, then the new people being hired
immediately get an idea of what is expected out of them increasing efficiency
Over a period of time, people start identifying an organization with its culture and they join that organization only when that
company fits with their own personality. Hence, only people with the correct fit apply, improving operational efficiency
Organizational culture has a major impact on the performance, engagement, loyalty, and morale of employees. Strong
organizational culture reflects through employee behavior and its impact on the effectiveness of organization. The leadership of
an organization plays important role in shaping its culture. In this case, though Dr Shekhawat is perceived as highly competent
and admirable by his employees, some employees try to avoid his presence due to his strict behaviour, intolerance towards
minor mistakes and way to push his own ways rather than getting proactively accustomed to changing procedures with time or
reluctance to approve other procedures. This is also a reason for the high turnover of consultants in the organization.
While most of the points discussed focuses on benefits of having a culture, we miss out on the fact that culture is inherent, it is
more about improving the culture rather than having it because it is present in every organisation by default. The important
thing for consideration is whether the culture is suitable or not for the organisation:
There are certain values and way of doing things which are universally accepted as having good influence on organisations
At the same time there are certain values which is required in some organisation while it may be detrimental to the other
organisations.
The work culture also plays an important role in uniting the employees who are otherwise from different backgrounds, families
and have varied attitudes and mindsets. The culture gives the employees a sense of unity at the workplace and motivation to
work towards common organizational goals. If the work culture is not able to do this, the employees will be working in silos and
the organization will have higher iteration rates.
The right culture in an organisation can work wonders, but any misalignment with the objectives can cause serious
impediments to performance. Some of the influences that can negatively impact the culture of an organisation are:
3. Employees who don't fit in with the objectives of the organisation, and spread rumours/politics
4. Resistance to change
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Organizational culture is the environment in which people perform their duties and how the environment impacts the
employees' way of thinking, acting, and how they perceive work itself. (Warrick, Milliman & Ferguson, 2016).
For an organization to achieve its strategic target, resources have to utilized optimally. To optimally utilize the resources, the
human capital should be competent. For the competent human capital to maximize productivity, the organization needs a high-
performance culture.
While you make some pertinent points, I would like to slightly disagree with one of them. I do not believe that culture can
be linked with competency. A good organisation culture generates synergetic benefits wherein employee performance is
maximized regardless of their underlying competency. The concept of culture cannot be limited to organisations with
competent human capital, else there would be very few organizations with a formal corporate culture!
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