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ORGANIZATIONAL CULTURE: A SURVEY STUDY OF

ETHIOPIAN AIRLINES

ADDIS ABABA UNIVERSITY

COLLEGE OF EDUCATION AND BEHAVIORAL STUDIES

DEPARTMENT OF EDUCATIONAL PLANNING AND MANAGEMENT

AYALEW GIZAW
Addis Ababa University
June, 2014
Organizational Culture: A Survey Study of Ethiopian Airlines

ADDIS ABABA UNIVERSITY

COLLEGE OF EDUCATION AND BEHAVIORAL STUDIES

DEPARTMENT OF EDUCATIONAL PLANNING AND MANAGEMENT

BY:- AYALEW GIZAW FELEKE

A thesis submitted to the Addis Ababa University College of Education and Behavioral
Studies Department of Educational Planning and Management in partial fulfillment of
the requirements for the Degree of the Master of Arts in Human Resource and
Organization Development in Education.

June, 2014
DDIS ABABA UNIVERSITY
COLLEGE OF EDUCATION AND BEHAVIORAL STUDIES DEPARTMENT OF
EDUCATIONAL PLANNING AND MANAGEMENT

ORGAIZATIONAL CULTURE: A SURVEY STUDY OF


ETHIOPIAN AIRLINES

BY
AYALEW GIZAW FELEKE

ADDIS ABABA
JUNE, 2014
ADDIS ABABA UNIVERSITY

SCHOOL OF GRADUATES STUDIES

COLLEGE OF EDUCATION AND BEHAVIORAL STUDIES

DEPARTMENT OF EDUCATIONAL PLANNING AND MANAGEMENT

ORGANIZATIONAL CULTURE: A SURVEY STUDY OF


ETHIOPIAN AIRLINES

By:- Ayalew Gizaw Feleke

Dr. Hussen _______________


Chairman, Department Committee Signature

Dr. Befekadu Zeleke ________________


Advisor Signature

Ato Melaku Yimam _______________


Internal Examiner Signature

Dr. Temesgen F. _____________


External Examiner Signature

Addis Ababa University


June, 2014
AKNOWLEDGEMENTS

I would like to express my deepest gratitude to my advisor Dr. Befekadu


Zeleke for his encouragement, valuable comment, and support to
undertake this thesis.

It is also with great pleasure that I acknowledge my indebtedness to the


help I have been given by my wife W/ro Tewabech Tulu and my son
Hailemichael Ayalew.

I would like to thank all my friends particularly Ato Bekalu, Ato Yikum,
Ato Gizachew, Ato Asrat and Dr. Merid for their material and moral
support.
Table of Contents

Contents Page
No.
Acknowledgements . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . i.
List of Tables . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ii.
List of Figures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . iii.
Abbreviations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . iv.
Abstract . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . v.
Chapter One
1. Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
1.1 Background . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
1.2 Statement of the Problem . . . . . . . . . . . . . . . . . . . . . . . . . . 3
1.3 Objective of the Study . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
1.4 Significance of the Study . . . . . . . . . . . . . . . . . . . . . . . . . . 4
1.5 Delimitation of the study . . . . . . . . . . . . . . . . . . . . . . . . . . 5
1.6 Limitation of the Study . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
1.7 Operational Definition . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
1.8 Organization of the Study . . . . . . . . . . . . . . . . . . . . . . . . . 5
Chapter Two
2. Review of Related Literature . . . . . . . . . . . . . . . . . . . . . . . . . . 7
2.1 The Concept of Organizational Culture . . . . . . . . . . . . . . . 7
2.1.1 Characteristics of Organizational Culture . . . . . . . . . . 10
2.1.2 Functions of Organizational Culture . . . . . . . . . . . . . 11
2.1.3 Strong and Weak Organizational Culture . . . . . . . . . . 12
2.1.4 Dimensions of Organizational Culture . . . . . . . . . . . . 14
2.2 Approaches to Organizational Culture . . . . . . . . . . . . . . . . 15
2.2.1 The Competing Value Framework . . . . . . . . . . . . . . 15
2.2.2 The Three Levels of Culture Model . . . . . . . . . . . . . 17
2.2.3 The Four Conditions of Culture . . . . . . . . . . . . . . . 18
2.3 The Ethiopian Airlines: An Aviation Business Organization 19
2.3.1 The Inception of Ethiopian Airlines . . . . . . . . . . . . . 20
2.3.2 The Development of Ethiopian Airlines . . . . . . . . . . 22
2.3.3 Pioneer in A Sub Saharan Africa . . . . . . . . . . . . . . . 23
Chapter Three
3. Research Design and Methodology . . . . . . . . . . . . . . . . . . . . . . 25
3.1 Research Design. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
3.2 Data Sources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
3.3 Sample size and Sampling Techniques . . . . . . . . . . . . . . . . 25
3.4 Data Gathering Tools and Procedures . . . . . . . . . . . . . . . . 26
3.4.1 Data Gathering Tool . . . . . . . . . . . . . . . . . . . . . . . . 26
3.4.2 Procedures of Data collection . . . . . . . . . . . . . . . . . 29
3.5 Methods of Data analysis . . . . . . . . . . . . . . . . . . . . . . . . 30

Chapter Four
4. Presentation, Analysis, and Interpretation of Data . . . . . . . . . . 31
4.1 Characteristics of Respondents . . . . . . . . . . . . . . . . . . . . 31
4.2 Analysis and Interpretation of Data . . . . . . . . . . . . . . . . 34
4.2.1 Profiles of Each of the Six Culture Attributes . . . . . 36
4.2.2.1 Dominant Characteristics . . . . . . . . . . . . 37
4.2.2.2 Organizational Leadership . . . . . . . . . . . . 38
4.2.2.3 Management of Employees . . . . . . . . . . . . 38
4.2.2.4 Organization Glue . . . . . . . . . . . . . . . . . . 39
4.2.2.5 Strategic Emphasis . . . . . . . . . . . . . . . . . 40
4.2.2.6 Criteria of Success . . . . . . . . . . . . . . . . . . 41
Chapter Five
5. Summary, Conclusion and Recommendation . . . . . . . . . . . . . . 42
5.1 Summary of Findings . . . . . . . . . . . . . . . . . . . . . . . . . . . 42
5.2 Conclusions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43
5.3 Recommendations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43
Bibliography . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46
Appendices. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
List of Tables

Table No. Title Page


No.
Table – 1 Characteristics of Respondents by Age 31
Table – 2 Characteristics of Respondents by Sex 32
Table – 3 Characteristics of Respondents by Qualification 32
Table – 4 Characteristics of Respondents by Service Year 33
Table – 5 Characteristics of Respondents on the basis of
Marital Status 33
List of Figures
Figure Title Page
No. No.
Figure 1 Average culture Plot of the EAL 34
Figure 2 Average Preferred Culture of the EAL 35
Figure 3 Dominant Characteristics Profile wise 36
Figure 4 Organizational Leadership 37
Figure 5 Management of Employees 38
Figure 6 Organizational Glue 39
Figure 7 Strategic Emphasis 40
Figure 8 Criteria of Success 41
Abbreviations
CVF - Competing Value Framework
EAL - Ethiopian Airlines
HRM - Human Resource Management
MRO - Maintenance Repair Organization
OC - Organizational Culture
OCA I - Organizational Culture Assessment Institute
TWA - Trans World Airlines
Abstract

The purpose of this study was to identify the dominant and preferred
culture at Ethiopian Airlines as perceived by its employees. A
descriptive survey design was employed. Ethiopian Airlines
employees particularly in human resource management, finance,
maintenance and repair organization, marketing and aviation
academy were sampled. Cameron and Quinn’s (2006) standard
questionnaire was utilized to collect data from sampled respondents
on the dominant as well as preferred culture perception of these
employees. The data obtained through the instrument were analyzed
with graphs drawn what employees believe the existing culture and
what they preferred to be. Profiles of each of the six culture attributes
and their average were analyzed and graphed. The results of the
study revealed that market culture was the dominant culture as
perceived by employees and the preferred culture as perceived by
employees was the clan culture. Ethiopian Airlines leaders firmly
believed that application of market culture was the principal means to
with stand the aggression of the giant carriers particularly the
aggression of the Middle East Airlines. However, employees preferred
the clan culture. Since organizational culture is the most important
agent for the success of an organization the study concluded that the
gap between market culture and clan culture is wider than acceptable
limit which is less or equal to three points. Therefore, to withstand the
domination (market domination) of the Middle east and Gulf carriers
Ethiopian Airlines is advised to adjust the existing culture gap
between the two cultures which is ten points.
CHAPTER ONE

This chapter deals with the background of the study, statement of


the problem, objectives of the study, Significances of the study,
limitations of the study, delimitation of the study, operational
definition and organization of the study.

1. BACKGROUND OF THE STUDY

There are more than 150 definitions of organizational culture. The


definitions might have been stemmed from the diverse use of the
term culture (Schabracq, 2007). The concept of Organizational
culture immerged initially from two different disciplinary roots:
anthropological and sociological foundation (Cameron and Quinn,
2006). Cameron and Ettington (1988) reviewed a long list of
published definitions of organizational culture and noted that in
the majority cases, culture has been treated as an enduring set of
values, beliefs and assumptions that characterize organizations
and their members. On the other hand Schein (2004) defines
organizational culture as a pattern of shared basic assumptions
that were learned by a group as it solved its problems of external
and internal integration.

Organizational culture is quite complex. There are a number of


problems and disagreements associated with conceptualization of
organizational culture. However, most definitions recognize the
importance of shared norms and values that guide the behavior of
the participant’s of the organization (Luthons, 2005).

Hofstead in Drummond (2000) depicts culture as the “software of


the mind” that is the collective programming of the mind which
distinguishes the member of one group or category of people from
another. On the contrary, Robins in Garcia et. al. (2004) affirms
that organizational culture refers to how employees perceived their
characteristics.

Organizational culture is the most important instrument for the


success of an organization. A culture can generate a positive or
negative way or affects the working environment. A strong
organizational culture can generate motivation, responsibility and
loyalty of employees to the organization (Goldstone, 2007). But,
according to Schabracq (2007) organizational culture is not as such
so vivid; rather most of it is hidden from the eyes of the beholder
like the proverbial ice berg of which only one tenth sticks out of the
water.

Organizations like human beings have their own personalities, and


institutional culture is the personalities of organizations. As every
individual has a set of values every organization has a set of values
(Drafke, 2008).

Organizational culture is a dynamic phenomenon that surrounds


us at all times being constantly in acted and created by our
interactions (Schein, 2004). In the mean time organizations tend to
develop dominant organizational culture through time as they
adapt and respond to challenges (Schein, 1983).

A dominant culture is a set of core values shared by the majority of


members of the organization. For example, most employees at
South west Airlines seen to subscribe to such values as hard work,
company loyalty, and the need for customer service (Luthons,
2005). The Ethiopian Airlines (EAL) is a veteran organization in a
frequently changing and developing technology in the field. As per
its mission and vision, it is carrying (performing) an extensive
construction work, fleet modernization, route expansion and
massive human development program and yet much is not known
about its organizational culture.
1.1 STATEMENT OF THE PROBLEM

Several reasons could be given for the failure of an organization but


none of them parallel organizational culture. The most frequently
sighted reason given for the failure was a neglect of the
organization’s culture. Cameron and Quinn’s mode of competing
values frame work consists of four competing values that
correspond with four types of organizational culture. Every
organization has its own mix of these four types of organizational
culture.

The major distinguishing features of top performing organizations,


their most competitive advantage, their powerful factor and their
key ingredient in their success is considered to be their
organizational culture. Using Organizational Culture Assessment
Instrument (OCAI) the Ethiopian Airlines (EAL) can identify its
current culture and its preferred culture. The management of the
EAL can exploit what employees identify, their perceptions on both
existing culture and their desired future culture.

Congruence between individual and organizational culture


contribute to higher level of performance (Cameron and Quinn,
2006) and this will enable the EAL to fulfill its mission and vision.
Fulfilling mission and vision is transferring oneself to higher (great)
organization. The critical tool for the transfer is then the
congruence between individual and organizational culture.

Most of the studies conducted on organizational culture are on


educational institutions but, this study is on a service giving
industrial organization. Industrial organizations like the EAL differ
from educational institutions in their goals, missions and visions.
This makes the study principally different from the other studies.

The purpose of this study is to identify the dominant culture and


the preferred culture at the Ethiopian Airlines (EAL) as perceived by
employees. Therefore, the study seeks to answer the following
basic questions.
1. What is the dominant culture at the EAL as perceived by
employees?
2. What is the preferred culture at the EAL as perceived by
employees?
3. What is the implication of the existing and preferred culture
to the EAL?

1.2 OBJECTIVE OF THE STUDY

The general objective of the study was to identify the dominant and
the preferred culture at the EAL as perceived by the employees of
the Airlines. Specifically the study indicates that organizational
success depends on the organization’s culture match with the
demands of the competitive environment.

1.3 SIGNIFICANCE OF THE STUDY

Intellectuals and researchers in the field confirmed that


organizational culture is the most powerful factor and key
ingredient for the success of an organization. Hence, this study
attempts to identify the dominant culture at the EAL and the
preferred culture as perceived by the employees of the Airlines.
Therefore, the study is specifically significant for the following
reasons:

• As far as the researcher knows no research is made in the


field in the organization so that both leaders and managers
shall give their attention and time to exploit the study.
• To contribute its part to minimize shortage of knowledge.
• The findings of the study will create awareness on the part of
the management and employees of the organization;
• Tries to identify the dominant culture of the EAL and suggest
workable solutions that better enhance cultural elements;
• Serves as a base to those individuals who have the desire to
deal with such similar issues. It serves as a starting ground
to encourage interested researchers for further investigation;
• The study may help the top management of further diagnose
their organizational culture practice.

1.4 DELIMITATION OF THE STUDY

The EAL has got numerous employees in all the countries where it
flies. It is very difficult and very expensive to reach all of them.
Because of the distribution of the population, shortage of money
and time the research is delimited to only some sections of the EAL
situated at Bole. The scope of the study is delimited to HRM,
Finance, MRO, Marketing and Aviation academy.

1.5 LIMITATION OF THE STUDY

Shortage of time, materials and very limited cooperation of


administration were among the front runners that the researcher
encountered. Had it not been for time shortage the researcher
would have interviewed leaders of the organization and also
perform standardized observation that would have made the study
more refined and complete. Lack of information what the
researcher desired to show in his research work was the other one.

1.7. OPERATIONAL DEFINITION

Organizational Culture: The existing and preferred culture in the


context of the EAL as viewed by the employees based on Cameron and
Quinn’s OCAI.

Preferred Culture: A selected culture by employees on the context of the


EAL among clan, adhocracy, market and hierarchy cultures based on
Cameron and Quinn’s CVF.
Dominant Culture: A culture what is currently being implied (going on)
in an organization in the context of the EAL as perceived by employees
based on Cameron and Quinn’s CVF.

1.8 ORGANIZATION OF THE STUDY

The study consists of five chapters. The first chapter deals with
introduction, the second chapter consists of the review of the related
literature, the third chapter is about the research design and
methodology, the forth chapter deals with the presentation, analysis
and interpretation of data. Finally, summary, conclusion and
recommendations are forwarded on the basis of analysis.
CHAPTER TWO

2. Review of Related Literature

Chapter one explored the background to and the motivation for this
study, with specific reference to organizational culture as a main
construct. In this chapter the concept “Organizational Culture” is
explored in more detail.

The main focus areas of this chapter include theoretical aspects of


concepts of organizational culture, functions of organizational culture,
characteristics of organizational culture, strong and weak culture,
dimensions of organizational culture, approaches of organizational
culture and then a brief history of the establishment and development of
the Ethiopian Airlines.

2.1 The Concept of Organizational Culture

Although the concept of organizational culture was popularized in the


early 1980s, its roots can be traced back to the early human relations
view of organizations that originated in the 1940s. Human relation
theorists viewed the informal, nonmaterial, interpersonal, and moral
bases of cooperation and commitment as perhaps more important than
the formal material and instrumental controls stressed by the rational
system theorists. The human relations perspective drew its inspirations
from even earlier anthropological and sociological work on culture
associated with groups and societies (Hofstde, 1973).

On the other hand, social scientists have explored the notion of


organizational culture as a perspective in organizational theory over the
past decades. Brown (1998) states that “current interests in
organizational culture stems from at least four different sources: Climate
research, national cultures, human resources management, and from
conviction approaches which emphasize the national and structural
nature of the organization to be unable to offer a full explanation of
organizational behavior”.

The concept of organizational culture to Human relation theorists is the


informal, non material, interpersonal and morale issues. Whereas to the
rational system theorists it is the formal, material and institutional
control. To social scientists to develop the concept organizational culture
climate, national cultures, human resource management and convicting
approaches are the base. Background and outlooks could be possible
causes for these different perspectives.

Research surveys conducted in the 1970s suggest that organizational


culture seems to be a sophisticated approach to understand the beliefs
and attitudes of individual members about their respective organizations
(Brown, 1998). On the other hand, studies in the 1990s stress on “what
people value causes organizations to have cultures and require the
reputations they have”. World class companies usually have cutting
edge technology, superior management systems, and outstanding
electronic system, and data base management but their reputations all
comeback to human beings (Pohlman & Gardiner, 2007). Furthermore,
an organization’s culture then is what its members choose to make it.
The organization itself does not have values; it is comprised of people
who bring their values to their work. These personal values join with
and become part of the organizational culture.

The origin of organizational culture from a national culture point of view


is based, among others, on the work of Deal and Kennedy (1982).
According to this view, organizational culture is seen as being central to
organizational success rather than factors such as structure, strategy or
politics. As a result the attention shifted away from national cultures
and focused more on organizational culture.

Interests in organizational culture from the human resource


management and performance point of views stem from the fact that
organizational culture was perceived to be offering a non – mechanistic,
flexible and imaginative approach to understanding how organizations
work (Brown, 1998). Besides, organizational culture is the most
important agent for the success of an organization. A culture can
generate a positive or negative way or affect the way we work. A strong
organizational culture can generate motivation, responsibility, and
loyalty of employees to the organization (Goldstone, 2007). A positive
example stated by Pohlman & Gardiner (2007). Southwest airline
employees make their planes ready in less than have the time of the
industry average. Teamwork, belongingness, group alliance, a sense of
participation and bottom up communication make them work hard.
They work hard in as fast as they can to minimize ground time of the
aircraft. Workers with full enthusiasms and a sense of pride travel a
distance to accomplish their jobs and assist their colleagues.
Consequently, organizational culture is considered to be the great “Cure
– all” for most organizational problems (Wilson, 1992).

To summarize, studies in the 1970s suggested that organizational


culture was a sophisticated approach to understand the beliefs and
attitudes of individual members about their respective organizations.

The concept of organizational culture popularized in the 1980s. Views of


Rationalists and Human relation theorists were quite different. They
seem opposite. This might be due to their base on anthropological and
sociological outlooks. Studies in the 1990s stressed on what people
value that considered organization’s culture as what its members choose
to make it.

2.1.1 Characteristics of Organizational Culture


All the beliefs, feelings, behaviors, and symbols make the characteristic
of an organization. Even if there is a certain variation between
organizations most of them include observed behavioral regularities,
norms, dominant values, philosophy, feelings, and rules as
characteristics (Luneburg & Ornstein, 1991).
On the other hand, based on the eastern culture, particularly based on
Taiwanese organizations, Chang and Lu identified four characteristics of
organizational culture. They are: family – kin, informal work obligations,
organizational loyalty, and sub group involvement (Chang, 2000).
Furthermore, characteristics of organizational culture could either
alleviate or aggravate stress depending on employees’ perception and
attribution. Sources of stress can depend on the characteristics of the
culture existed in organizations (Katyk et al., 2000; Shahar et al., 2004).

Some studies indicated an association linking stress and characteristics


of organizational culture, such as levels of organizational commitment,
and communication style. Characteristics of organizational culture not
only reflect organizational uniqueness but also may become potential
source of stress. Chang and Lu (2000) found that organizational culture
is often regarded as an invisible principle to organizational members,
that is, a collective value indicating how people are supposed to behave
within the organization. When the personal value matches a collective
value, the legitimacy of such value is committed. However, when the
personal value is incongruent with the collective value, conflict will occur
and provoke a sense of pressure.

In summary, beliefs, feelings, behavior and symbols make the


characteristics of an organization. These characteristics reflect
organizational uniqueness. Sources of stress can depend on the
characteristics of the culture and depending on the employee’s
perception; characteristics of organizational culture could alleviate or
aggravate stress. Levels of organizational commitment and
communication style seem to have linkage with stress and
characteristics of organizational culture.
2.1.2 Functions of Organizational culture

The main function of organizational culture is to define the way of doing


things in order to give meaning to organizational life (Arnold, 2005).
Making meaning is an issue of organizational culture, because
organizational members need to benefit from the lessons of previous
members. As a result, organizational members are able to profit from
whatever trials and errors regarding knowledge others have been able to
accumulate (Johnson, 1990).

Organizational culture also determines organizational behavior, by


identifying principal goal; work methods; how members should interact
and address each other; and how to conduct personal relationship
(Harrison, 1993). Brown (1998) states the following functions of
organizational culture: conflict reduction, coordination and control,
reduction of uncertainty, motivation, and competitive advantage. In
addition to the above functions, Martins (2003) also mention the
following as functions of organizational culture: a boundary defining role,
a sense of identity to organizational members, facilitates commitment,
enhances social system stability as the social glue, and serves as a
meaningful control mechanism.

These functions of organizational culture suggest that an organization


cannot operate without a culture, because it assists the organization to
achieve its goals. In general, organizational culture gives organizational
members direction towards achieving organizational goals (Hampden
Turner, 1990).

To summarize, organizational culture defines the way of doing things to


give meaning to organizational life. It determines organizational behavior
by identifying principal goals and methods. To Brown functions of
organizational culture are: conflict reduction, reduction of uncertainty,
motivation, coordination and control and competitive advantage.
Whereas to Martins functions of organizational culture are: boundary
defining roll, a sense of identity, facilitates commitment and control
mechanism. In general organizational culture gives organizational
members directions to achieve organizational goals.

2.1.3 Strong and Weak Organizational Culture


Organizational culture can either be strong or weak. Strong culture is
said to exist when the staff respond to stimulus because of their
alignment to organizational values. That is in a strong culture; the
organization’s core values are held strongly and shared widely. This
suggests that when organizational members accept the shared values,
they become more committed to them. In such environments, strong
cultures help firms operate like well – oiled machines, engaging in
outstanding execution with only minor adjustments to existing
procedures. A strong organizational culture has a great influence on
members (Martins, 2003). In other words, a strong culture is a powerful
lever for guiding behavior (Deal and Kennedy, 1983).

In a company with a strong culture, one can feel the human energy that
flows from aligned, committed employees.

Strong culture

Extracted from The Secret of a Winning Culture PP 49

Research indicates that organizations may derive the following benefits


from developing strong and productive cultures:

• Better aligning the company towards achieving its vision, mission


and goals;

• High employee loyalty and motivation;


• Increase team cohesiveness among the company’s various
departments and divisions;

• Promoting consistency and encouraging coordination and control


within the company;

• Sharing employee behavior at work, enabling the organization to be


more efficient.

A weak organizational culture, on the other hand, is where there is a


little alignment with organizational values and control must be exercised
through extensive procedures and bureaucracy. Organizational
members do not subscribe to the shared believes, values, and norms
(O’Reilly et al., 1991). Organizational members in a week culture find it
difficult to identify with the organization’s core values and goals (Wilson,
1992). As a result different departments within such an organization
uphold different believes that do not necessarily address the core goals of
the organization.

In a company with a weak culture, the available energy is fragmented


and often dissipated through conflicting agendas, blaming, and unclear
communication.

Weak culture

Extracted from The Secret of a Winning Culture PP 49

Weak cultures have a negative impact on employees because they are


directly linked to increased turnover (Harrison, 1993). In essence, the
fundamental strength of the organization’s culture is determined by how
weak or strong it is.

In summary, if staff’s response is high and organizations’ values held


strongly and shared widely then there is a strong culture and
organizations benefit from the developed culture. And if organizational
members cannot identify the organizations’ core values and goals then
the organization is said to have a weak culture. Weak cultures have
negative impact such as increased turnover.

2.1.4 Dimensions of Organizational Culture


The culture dimension is central in all aspects of organizational life.
Different writers use different dimensions to measure aspects of
organizational culture. For example, Hofsteade (1980) in his first study
identified four dimensions of organizational culture. They are: power
distance, uncertainty avoidance, individualism Vs collectivism, and
masculinity Vs femininity. In his second study he added a fifth
dimension namely long Vs short term orientation.

Schein (2004) in his dimension of organizational culture asserts that


organizations can be thought of as involving three dimensions of career
movement. They are: lateral movement from one task or function to
another, vertical movement from one rank to another and inclusionary
movement from outsider to insider. Furthermore, Hofsteade and Bond in
Schein (2004) identified a dimension that contrasted a past/present
orientation with a future orientation and found that economic
development was correlated with future orientation.

According to Dension (1990) organizational culture can be described by


four general dimensions: mission (strategic direction and intent, goals,
objectives, vision), adaptability (creating change, customer focus,
organizational learning), involvement (empowerment, team orientation,
and capability), consistency (core values, agreement, coordination/
integration). Deal and Kennedy (1982) on their part carried a model of
culture that is based on four different types of organizations. They each
focus on how quickly the organization receives feedback, the way
members are rewarded and the level of risks taken: work – hard/ play
hard culture, tough – guy/macho culture, process culture, Bet – the
company culture.
Handy (1985) popularized Roger Harison with linking organizational
culture to the following: power culture (concentrates power among a
small group), role culture (authorities are delegated within a highly
defined structure), task culture (teams are formed to form particular
culture), person culture (formed where all individuals believed
themselves superior to the organizations).

On top of this Cameroon and Ettington (1988) indicated two kinds of


dimensions. Content and pattern dimensions. Each of which contains
its own sub sections. Content dimension refers to the aspects of an
organization’s culture that should be used as cues in scenarios in order
to help individuals to recognize their organizations cultural values.
Whereas pattern dimensions refer to a cultural profile that is produced
by scoring a culture assessment instrument.

To summarize the above views of organizational culture provide broader


opinion of the variations that exist between theorists in their description
of the concept. The variations and differences mainly evolved overtime.

2.2 Approaches of Organizational Culture


There are various approaches to organizational culture. In fact, there is
no one best way to access organizational culture. Three different
approaches, each linked to specific method of measuring and assessing
culture are discussed. They are: the competing value frame work
approach, the three levels of culture approach, and the four conditions of
culture approach.

2.2.1 The Competing Value Framework

The competing value framework was developed by Cameron and Quinn


(2006) and broadly applicable and intended to foster successful
leadership; improved organizational effectiveness; and promote value
creation.
The competing value framework can tell if an organization’s prominent
culture falls into one or two of four types: the clan culture, the hierarchy
culture, the adhocracy culture or the market culture.

The Competing Values Framework


Flexibility and Discretion

EXTERNAL FOCUS AND DIFFERENTIATION


INTERNAL FOCUS AND INTEGRATION

Clan Adhocracy

Hierarchy Market

Stability and Control


Extracted from Cameron and Quinn (2006 P. 35)

The Clan Culture: is internally oriented and flexible control. It is


characterized by shared values and goals, cohesion, participation,
development of individuals, the sense of group performance by team
work, loyalty and consensus standards. Its name comes from its
similarity to a family organization. The organization is like a ‘family’
extended. The “heads” of the organization are considered leaders and
mentors, the figure is paternal. Cohesion and morality are very
important. Success is defined by the concern to employees and
sensitivity to customers and consumers (Cameron and Quinn, 2006).

The Hierarchy culture: is characterized by stable internal guidance and


control. It is based on rules, specialization, impersonality, responsibility
and hierarchy. The goals of the organizations long term stability,
predictability and efficiency. The organization is a structured and
formalized workplace. The leaders provide themselves on being good
coordinators and organizers. The item concerning the long term is
stability and the efficient and accurate operations. Success is in terms of
delivering reliable, accurate scheduling and low cost (Cameron and
Quinn, 2006).

The Market culture: shows stable control and external orientation. It


works as a market in itself. The core values are competitiveness and
productivity. A market culture is a work space led to results. It is
result-oriented organization. Leaders are guides tough, productive and
competitive. The element that holds the organization is the emphasis of
winning. Corporate reputation and success are constant concerns
(Cameron and Quinn, 2006).

The Adhocracy Culture: is manifested by external focus and flexible


control. A culture of pioneering and innovative as key to success. The
company is a dynamic, enterprising creative workplace. The leaders are
considered innovators and risk takers. The organization is held together
by experimentation and innovation. Success is conceived as generating
new and unique products and services.

2.2.2 The Three Levels of Culture Model


This model is developed by Schein (1999). It focuses on three different
levels of culture which move the visible to the invisible. The first level
consists of visible artifacts (such as myths, rites, stories and symbols).
Artifacts provide easily observable clues to the culture of the workplace.
They include elements such as the architecture, décor and space design,
whether actions are fast – paced or careful and deliberate (Schein, 1999).

The second level consists of espoused values which are strategies, goals
or philosophies that characterize a specific way of thinking with in a
company. An organization’s values will shape why it functions the way it
does. These values are, usually learned and adopted. For example, an
organization may say it believes in team work but the espoused value
shows that most decisions are made without involving employees
(Schein, 1999).

The third level of organizational culture consists of basic assumptions


(unconscious) often taken for granted beliefs, perceptions, thoughts and
feelings. These basic assumptions such as the perception of human
nature, the nature of human interaction or the basic understandings of
time or truth are often implicit and not consciously known to employee
(Schein, 1999).

2.2.3 – The Four Conditions of Culture


The four conditions of culture was developed by Shain (2001) and they
are control, demand, effort, and reward. He then identified conditions of
work which disproportionately contribute to stress and satisfaction
outcomes in employees. These conditions range from low control (having
too little influence over the way we do our daily work) and low reward
(not receiving adequate recognition of feedback on performance) to high
effort (having to expend too much mental energy over too long a period)
and high demand (having too much to do in too little time over too long a
period). Each condition affects employee outcomes and the ability of the
organization to meet or exceed performance indicators. For instance, low
control and low reward circumstances tend to contribute to low employee
satisfaction while low reward and high effort contribute to high stress.

The Four Conditions Effecting Culture

Employee
Condition Effecting Culture outcome
Low control: having too little influence over the way we do our daily work
LOW
Low Reward: not receiving adequate recognition or feedback on performance SATISFACTION
High Effort: having to expend too much mental energy over too long a period
HIGH STRESS
High demand: having too much to do in too little time over too long a period.

Extracted from Organizational Culture: from Assessment to action pp. 13


To summarize, there are different approaches of organizational culture
each linked to specific method of measurement. The CVFW intends to
develop successful leadership, improve organizational effectiveness and
promote value creation. The three levels of culture model focuses on
levels of culture which moves the visible to the invisible and the four
conditions of culture (control, demand, effort and reward) identify
condition of work which contributes to stress and satisfaction. As there
is no one best style of management, so there is no one best approach of
organizational culture.

2.3 The Ethiopian Airlines: An Aviation Business Organization

Some people say aviation entered in Ethiopia on the 12th of August,


1921. Reasons given to an early entrance of aviation in the country
were: very limited surface (land) transport in the country, the 24th
October, 1922 Great Britain’s air show where Ethiopian Delegates
attended the show and frequent appearance of locust in the country
Arhibu Magazine).

According to Habtemariam (2000), the first air show in the history of the
Ethiopian Aviation was 24th September, 1927. The reason for the air
show was the finding of the true cross.

Mersae Hazen Wolde Qirqos (2009) shares his memory as flows: he


witnessed the first/pioneer Ethiopian pilots, Asfaw Ali and Mishkai
Babich as the first examinees. “I flew with each one of them to witness
their takeoffs and landings”. Asfaw and Miskai were trained by Musse
Bedel in 1930. (translated by the researcher from MERSAE’s book
TEZETAYE Page 211).

Two planes flown by Letena Maye and Koris participated in the war
between Dejazmach Mulugeta the then war minister and Ras Gugissa
Wolle the then governor of Begemdir and Semen on 30th March, 1932
(LEU LEU Aviation magazine, 1974).
On the contrary, during the battle of Maichew Italian war planes used to
throw poison gas at the front on Ethiopian fighters. After the battle not
only the leaders but also all Ethiopians recognized the importance of
aviation. The following anonymous piece of poem is an example.

BE OGADEN BEHON MECH YIGEBA NEBER


BE MAICHEWS BEHON MECH YIGEBA NEBER
BE SEMAY META ENJI BE MANAWKEW HAGER
He would have never entered through Ogaden.
He would have never entered through Maichew
He had entered through the sky, a country we had never known before.
(translated by the researcher)

Tracing back what has happened in the battle as a preceding history of


aviation, commercial aviation started in Ethiopia in 1945.

2.3.1 – The Inception of the Ethiopian Airlines


The late Prime Minister Aklilu Habtewold’s Historical recollections from a
prison cell (2010 pp153-154) states about the establishment and
development of the EAL as follows:
After completing my mission at San Francesco, I traveled to
Washington DC and I held discussion with the United States
government officials on various issues. The core of the
discussion and the succeeding major accomplishment was the
establishment of the Ethiopian Airlines. Ato Minasse was
present throughout the discussion. As Ethiopia did not have
airline and trained pilots, I requested for the establishment of a
joint airline venture. The Americans did not accept my request
on the ground that no Ethiopian could be a pilot.

When I returned home, I requested the Emperor to buy our own


airline on credit and employ the Transcontinental and Western
airlines (TWA) on a yearly basis for the management of the
Airline. The Emperor agreed and I signed the agreement with
the TWA president in Addis Ababa.
My effort paid back. The EAL now flies all over the world by
internationally accredited Ethiopian pilots and is managed by
our own people.

On the other hand the personal account of Spencer (1984) tells us


something different from what Prime Minister Aklilu told us. It is stated
as follows:
While in San Francisco entirely on my own I telephoned to
George Allen of the Near East Division of the Department of
State in Washington to enquire how it might be possible for me
to interest an American airline to help in establishing an airline
in Ethiopia. Suchan initiative appeared to me to be essential if
ever Ethiopia were to begin to free herself from foreign controls
over transport and communications, particularly since the
country had few roads and was surrounded by nearly
impossible deserts. I was, moreover, anxious to establish a
domestic route structure in connection with Ethiopia’s effort to
recover the Ogaden….

It seems that Spencer personally knows some of the then aviation


personnel of the USA and facilitated the ground for the preliminary
agreement. This might be because that he was a long time legal advisor
of the Emperor. He further states:
My inquiry elicited the replay that TWA had just been certified
to develop the Cairo – New Delhi route and would be the
company to approach. Within two days representatives of TWA
came to San Francisco to discuss the establishment of the
Ethiopian Airlines under TWA management. It was agreed that
following the return of the delegation to Addis Ababa, Jack
Nichols of TWA would come there to complete an agreement.

A slightly different approach of Teffera (2006) is as follows:

… The Emperor was directly interested in the building up of the


Imperial Ethiopian Air Force and the Ethiopian Airlines. …The
Ethiopian government signed a seven years contract in
September, 1945 with the management of the American
aviation company, Trans-continental and Western Air (TWA),
later renamed Trans World Airlines, for the establishment and
management of national Ethiopian Airlines. … The chartered
US Army plane, carrying TWA’s newly appointed general
manager and other officials for the projected airline, crashed
near Dessie and no one survived. This early accident was to
set the exacting safety, operating and maintenance standards
the EAL was to follow in the ensuing decades.
2.3.2 The Development of the Ethiopian Airlines

When the first TWA contract expired in 1952, there were some
indecision by both parties as to their relationship. Despite the many
operating and management problems, the EAL had shown its potential
for growth. The British and other West European airlines were showing
keen interest to manage the EAL. In 1953 the contract with TWA was
extended for three more years and in 1955 a new general manager, Mr.
Victor Harrell Jr., was appointed (Teffera, 2006).

As a commercial enterprise, the airline operated with greater


independence and institutional autonomy. The maintenance shops for
aircraft and communication equipment have had spectacular growth. In
the 1950s the EAL had facilities and equipment to do complete engine
and accessory overhaul, sheet metal work and other types of aircraft
maintenance (Teffera, 2006).

The Ethiopian Airlines was gradually improving its fleet and it


progressed from DC – 3 to acquiring Conveyers and then DC – 6Bs. In
1962, with the building of the Bole airport, the airline entered the jet age
(the EAL received its first jet B – 720 on the 3rd of December, 1962. The
jet made its inaugural flight to Nairobi in January 1963). Furthermore,
step by step it moved to B707, B737, B747 (cargo), B757, B767, B777
and now B787 the dream liner (Selamta Magazine).

With the help of General Giles, the US commandant in Cairo, American


pilots were released from the Air Force (“Tex” Salyers, Green, Mon, Noon
and others) and served for years in the Ethiopian Airlines (Spencer,
1984).

The availability of TWA’s training facilities has made possible the sound
development of the EAL’s personnel. To qualify as flight captains the
Ethiopian pilots were sent to TWA’s pilot school in Kansas City. This
advanced flight training to achieve the highest pilot grades was later
conducted at the home base in Addis Ababa (Teffera, 2006).

2.3.3 Pioneer in a sub – Saharan Africa


The Ethiopian Airlines established as a leading airline of independent
Africa with early destinations to Cairo, Asmara, Djibouti, Nairobi, Aden,
and Bombay also made a major stride in bringing Africa together
expanding to West, East, North and South of the continent. Its
passengers including President Nelson Mandela were unable to believe
their eyes. “In our flight from Accra to Addis, we stayed briefly in
Khartoum, where we changed to an Ethiopian Airways flight to Addis. I
had never seen a black pilot before, and the instant I did I had to quell
my panic. How could a black man fly an airplane? But a moment later
I caught myself: I had fallen into the apartheid mind – set, thinking
Africans were inferior and that flying was a white man’s job” (Mandela,
1994).

This kind of reputation is not an easy blue riband, rather can only be
found with the highest dedication and struggle. In fact, the achievement
of highest quality, skill and attitude that the profession requires is
mandatory. Captain Alemayehu Abebe, the first Jet pilot of the EAL
(probably the first in black Africa) asserts the following (2004) “The
American Pilots thinking and our condition were incongruent. They
were the only ones to decide everything. Even if we take the case to the
board, technical cases were to be decided by the Americans and nothing
was to be done. The Americans knew this very well and they were
intimidating us”. (Hiwote Be Semay Ena Be Mider, translated by the
researcher).

The Ethiopian Airlines further extended its flight to more cities in Africa,
Middle East, Europe, Asia, North America and South America with a
motto of going to great length to please. And now to a total of 79
international destinations flying this time with a motto of the new spirit
of Africa.
The Airline domestic service also played an important role in the national
integration by providing indispensable links to places that had no other
access. Before the development of significant high way net work, the
EAL transported coffee and other goods to and from such remote areas
like Mizan Teferi and Teppi (Teffera, 2006). The EAL now flies to 18
destinations in the country.

To summarize, aviation started in Ethiopia in 1927/28. Then the birth


of commercial aviation was 1945. Prime Minister Aklilu Habtewold and
John Spencer played their own role for the establishment of the EAL.
Ato Teffera Degefue and Captain Alemayehu Abebe discussed the role
played by employees on the Ethiopianization of the work and
management.

Despite the many operating and management problems, the EAL had
shown its potential growth. Maintenance shops have had spectacular
growth. Facilities and equipment to do complete engine and accessory
overhaul and other types of aircraft maintenance are fulfilled. Fleet wise,
the 1st flight started with DC – 3 and is now in a position to operate and
maintain 787 (dream liner).

As a business organization the EAL is a pioneer airline in Black Africa. It


is now flying to 79 destinations in the world and to 18 domestic
destinations.

From 1945 to 1970 the EAL was consecutively led by people from TWA.
They were seven in number. The 8th leader was an Ethiopian; Col.
Semret Medhane who was a deputy for some time; was the first
Ethiopian to take over the leadership. Since then the general managers
are all Ethiopians.
CHAPTER THREE

RESEARCH DESIGN AND METHODOLOGY

3.1 Research Design

The purpose of this study is to identify the dominant culture and the
preferred culture at the Ethiopian Airlines as perceived by employees. To
accomplish this, the design employed was a descriptive survey. Surveys
are concerned with describing, recording, analyzing and interpreting
conditions that either exist or existed. They deal with opinions that are
held processes that are going on effects that are evident or trends that
are developing. Above all, surveys are primarily concerned with present.
On the other hand, every organization’s culture is special and thus
requires flexible research approach in the process (Schein, 1992).

3.2 Data Sources


The primary sources of data for this study were Ethiopian Airlines (EAL)
employees working at Bole, Particularly employees of Human Resource
management, Finance, Maintenance Repair Organization (MRO),
Marketing and Aviation Academy. Cameron and Quinn’s Competing
Values Framework (CVF) which utilizes Organizational Culture
Assessment Instrument (OCAI) to assess organizational culture was used
by sampled employees.

3.3 Sample size and Sampling Techniques

As of December, 2013, the total numbers of Ethiopian Airlines employees


were 7900. They were found in almost all part of the world (Africa,
Europe, Asia, North and South America). Because of the distribution of
the population, shortage of time, and money the researcher limited the
site to Bole. At Bole where the Head Office was situated, there were a
number of sections and departments. The researcher limited his study
to Human Resource Management (HRM), Finance, Marketing,
Maintenance Repair Organization (MRO) and Aviation Academy where a
total of 3471 employees were engaged.

Samples can be determined in two ways, either by the researcher or by


using a table which from the mathematical formula that indicate the
appropriate size of a random sample for a given number of the wider
population (Morrson, 1993 in Cohen P.94). If a universe from which a
sample is to be drawn do not constitute a homogeneous group stratified
sampling technique is to be applied to obtain representation sample.
That is to obtain representative sample. Using service years (seniority)
as a measure population was divided in to several sub – populations that
individually be more homogeneous than the total population and then
select item from each stratum.

Proportional allocation under which the size of the samples from the
different strata were kept proportional to the size of the strata. A sample
size n = 500 drawn from a population of size N = 3471 which is divided
into five strata of size N1 = 288 where P1 = 500 (288/3471) = 41, N2 =
208 where P2 = 500(208/3471) = 30, N3 = 2700 where P3 =
500(2700/3471) = 389, N4 = 104 where P4 = 500(104/3471) = 15 and
N5 = 171 where P5 = 500(171/3471) = 25. Thus using proportional
allocation, the sample sizes for the five strata were 41, 30, 389, 15 and
25 respectively.

3.4 Data Gathering Tools and Procedures

3.4.1 Data Gathering Tools

After a research problem has been identified and the research design
checked out what comes in mind is the type of data (primary and
secondary) collection (Kothari, 1995).

Three strategies were available to measure culture at the organizational


level of analysis. They were a holistic approach, metaphorical (language)
approach, and quantitative approach (Cameron and Quinn, 2006).
In quantitative approach an investigator uses questionnaires or
interviews to assess particular dimension of culture. In this research,
questionnaire was used to reach large number of respondents easily. It
was believed to be ideal to descriptive survey. Furthermore, it minimizes
cost to the researcher and gives adequate time to a respondent to give a
well thought out answer.

Organizational Culture Assessment Instrument (OCAI) a tool developed


by Cameron and Quinn (2006) helps organizations identify their current
and preferred culture. Through the use of a simple survey participants
identified their perception of both existing culture and their preferred
future culture. The organizational Culture Assessment Instrument was
in the form of questionnaire that required individuals were to respond to
six items. In the first attempt respondents were expected to rate the
organization in its current state, not as they would like it to be. Then in
the second attempt to the some six questions respondents were to use
the “Preferred” column to respond to the items as they prefer their
organization to be.

There is no right or wrong answers for these items, just as there are no
right or wrong culture (Cameron and Quinn, 2006). Every organization
will most likely be described by a different set of responses. To adopt the
six Organizational Culture Assessment Instrument items in the
Ethiopian Airlines context: each item has four alternatives and the
Ethiopian Airlines employees (respondents) were expected to divide 100
points among these four alternatives depending on the extent to which
each alternative is similar to Ethiopian Airlines. For example, on item
one, if the respondent thinks alternative “A” is very similar to the
Ethiopian Airlines, alternative “B” and “C” are somewhat similar; and
alternative “D” is hardly similar at all, respondents might give 55 points
to “A”, and 20 points each to “B” and “C”, and 5 points to “D”. In fact
respondents should be sure that their total equals 100 for each item.
This is for “Now” column. The same was done for the “Preferred” column.
The responses of the employees produced two independent ratings of
Ethiopian Airlines culture. One as it currently exists and one as
employees (respondents) wish it to be.

Reliability and Validity

There are many different types of validity and different types of reliability.
Hence, there will be several ways in which they can be addressed (Cohen
et. al., 2005).

Organizational Culture Assessment Instrument (OCAI) has been used by


numerous researchers in studies of many different types of
organizations. These studies have all tested the reliability and validity of
the instrument in the course of their analysis (Cameron & Quinn, 2006).

Reliability

Reliability is essentially a synonym for consistency and replicability


overtime, over instruments and over groups of respondents (Chohen et.
al., 2005). One study that tested the reliability of Organizational Culture
Assessment Instrument was conducted by Quinn & Spreitzer in which
796 executives from eighty six different public utility firms rated their
organization’s culture. Cronbach alpha coefficients were computed for
each of the culture types being assessed by the instrument. Each
coefficient was statistically significant and very satisfactory compared to
normal standards of reliability. Coefficients were 0.74 for clan culture,
0.79 for the adhocracy culture 0.73 for the hierarchy culture, and 0.71
for the market culture (Cameron and Quinn, 2006).

Cronbach alpha coefficients for each of the culture types of this study
were 0.73 for clan culture, 0.63 for adhocracy culture, 0.52 for hierarchy
culture, and 0.63 for the market culture. The results were very
consistent and provide strong support for Cameron and Quinn.
Validity

There are different kinds of validity and one of the instruments of it is


Organizational Culture Assessment Instrument (OCAI). The empirical
evidence suggested that OCAI measures what it claims to measure
namely, key dimensions of organizational culture. (Cameron and Quinn,
2006).

The OCAI is unique in its ability to identify the organizational culture


strength congruence and type. One can immediately detect the extent to
which one or more cultures are dominant in the organizations.

3.4.2 Procedures of Data Collection

The researcher devoted much effort on the adapted Cameron and


Quinn’s standardized questionnaire for diagnosing Organizational
culture particularly about its simplicity and clarity (“Nothing in difficult
like making things simple”). Cameron and Quinn do not endorse one
ideal culture rather cultural effectiveness is a product of matching
culture with a company’s vision, mission, values and strategy.

The researcher discussed the questionnaire with his friends and


colleagues particularly its simplicity, clarity and its manageability. He
and volunteer friends (who were discussing the questionnaire) shared the
distribution and also the collection of the questionnaires to and from
different divisions, sections and departments.

3.5 Methods of Data Analysis

To come to a suitable presentation and valid generalization of the


findings the researcher used tables and figures and numeric data
obtained from the questionnaires.

Personal data of respondents was analyzed using tables. Analysis and


interpretation of data was performed using figures. Two types of figures
were used. The first ones are figures that show the dominant culture of
the organization as perceived by employees. The second ones depict the
culture employees want to see in the organization or what they prefer to
see practiced in the organization.
CHAPTER FOUR

PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA

As outlined in the methods of data analysis two parts are to be dealt with
in this chapter. The first part describes the demographic characteristics
of the respondents in terms of age, sex, academic qualification, service
years and marital status.

In the second part discussed the analysis and interpretation of data that
were gathered through Cameron and Quinn’s questionnaire for
diagnosing organizational culture.

4.1 Characteristics of Respondents

The research targeted the organizational culture of the EAL. Employees


particularly employees at HRM, Finance, MRO, Marketing and Aviation
Academy were the main source of information. 500 questionnaires were
distributed to employees to the above divisions, sections and
departments. 427 (85.4%) were filled properly and returned on time.

The general characteristics of the respondents are discussed here below:


Table 1 Characteristics of Respondents by Age.
Respondent Age No. of Respondents % of Respondents
20-25 73 17.09
26-30 126 29.51
31-35 52 12.18
36-40 57 13.35
41-45 26 6.09
46-50 26 6.09
51-55 24 5.62
56-60 17 3.98
Not given 26 6.09
Total 427 100

As data presented in Table 1 indicates, 17% of the respondents were


between ages 20 to 25. 29.5% of the respondents were between ages 26
to 30. 12.1% of the respondents were between ages 31 to 35 and 13.3%
of the respondents were in the range of 36 to 40 years. As the age
increases the percentage of respondents decreases. It seems natural that
there is less number of senior employees in the organization. 6% of the
respondents have not given their age.
Table 2 Characteristics of Respondents by Sex
Respondent Sex No. of Respondents % of Respondents
Male 351 82.20
Female 71 16.63
Not given 5 1.17
Total 427 100

82.2% of the respondents were male and 16.6% of them were female.
1% of the respondents have not indicated their sex. The result of the
study could have been different had the number of female employees
been more than the existing one. Employees differ in gender, race,
ethnic background, and age. Being able to deal with the many issues of
diversity is fundamental to organizational performance (Senn &
Childress, 2000).
Table 3 Characteristics of Respondents by Qualification
Academic Qualification No. of Respondents % of Respondents
Certificate 14 3.28
Diploma 121 28.34
BA degree 247 57.84
MA degree 21 4.92
PHD 1 0.23
Not given 23 5.39
Total 427 100

As data presented in Table 3 depicts BA degree holders were 57.8%.


Diploma holders were 28.3%. MA holders were 4.9%. Certificate holders
were 5.3% and 0.2% PHD. Some say educated manpower is the software
of an organization. Educated employees with diversified knowledge are
likely to innovate new and easy way of doing things, maximize efficiency.
Where there are educated workers there can exist dynamism and change.

Table 4 Characteristics of Respondents by service Year


Service year No. of Respondents % of Respondents
1-2 years 79 18.50
3-4 years 85 19.91
5-6 years 63 14.75
7-8 years 28 6.56
9-10 years 28 6.56
More than 11 years 137 32.08
Not given 7 1.64
Total 427 100

32% of the respondents served the Airlines more than eleven years.
6.5% of the respondents served the Airlines nine to ten years. Another
6.55% of the respondents served the Airlines seven to eight years. Close
to 20% of the respondents served the Airlines three to four years. There
seems a thinner link between the long service giving (employees) and
younger employees. 1.63% of the respondents have not given their
service years.
Table 5 Characteristics of Respondents on the basis of marital status
Marital Status No. of Respondents % of Respondents
Married 203 47.54
Single 213 49.88
Divorced 7 1.64
Widowed 0 0
Not given 4 0.94
Total 427 100

49.8% of the respondents were single and 47.5% were married. 1.6%
were divorced. There were no widowed. 0.95% of them failed to indicate
their marital status.
4.2 Analysis and Interpretation of Data Gathered by OCAI

The EAL is an aviation organization operating in a dynamic environment.


To remain competent in the business and to survive in the environment
one of the principal things to be carried out is frequent assessment of
organizational culture.

The knowledge of one’s organization culture is critical. It is because


success depends on the extent to which one’s organizational culture
matches the demand of the competitive environment (Cameron and
Quinn, 2006). Similarly Goldstone (2007) refers to organizational culture
as the most important tool for the success of an organization. A culture
can generate a positive or negative attitude or affect the working
environment. A strong organizational culture can generate motivation,
responsibility and loyalty of employees to the organization.

Strong organizational cultures serve two critically important functions –


to integrate members so that they know how to relate to one another and
to help the organization adapt to the external environment (Daft, 2007).
The major distinguishing feature, the most important competitive
advantage, the key ingredient in any organization success is the
organizational culture (Cameron, 2004). Thus the study targeted to
examine the culture profile of the EAL. The following is the overall
culture profile of the EAL based on the survey study conducted.

Figure 1 average cultural plot if the EAL


The type of culture that dominates the EAL as perceived by sample
respondents was Market Culture. According to Cameron and Quinn
(2006) market culture is result oriented. The major concern of this
culture is getting the job done. The leaders are hard drivers and
competitors. They are tough and demanding. The glue that holds the
organization together is an emphasis on winning. Success is defined in
terms of market share and penetration.

Recently giant airlines of the Middle East and Europe are flying to Addis
Ababa and to most African routes of the EAL (to the EAL dominated
routes) to penetrate and share the EAL’s market. In order to block
(withstand) the penetration of the giant airlines and remain leading and
competent the EAL believes works to have future market share by
opening new routes and doing secondement works with some indigenous
African airlines. It seems that it is why the EAL’s leadership is
implementing Market culture which the dominant culture as persived by
the respondents.

Figurer 2 average preferred culture plot of the EAL


Respondents indicated that they prefer a Clan culture than Market
culture and a little bit of more Adhocracy culture and a little bit of less
Hierarchy culture. The Clan culture is a very friendly environment to
work in where people share a lot of themselves. The leaders or head of
the organization are considered to be mentors. The organization is held
together by loyalty or tradition. Commitment is high. It gives emphasis
to the development of cohesion and morale. Success is defined in terms
of sensitivity to customers and concern for people (Cameron and Quinn,
2006).

Human beings are gregarious. It seems then natural if the EAL


employees prefer Clan culture; on the other hand the leadership might
have not well versed employees why it needs to implement Market
Culture particularly this time. The necessity of implementing Market
Culture to defend giant carrier invasion (threat). Hard driven employee
for result purpose might even consider giant carriers as alternate
employers and better pay sources. Hence a match between culture and
environment is very important.

4.2.1 Profiles of Each of the Six Culture Attributes

The Dominant Characteristics, Organizational Leadership, Management


of Employees, Organizational glue, Strategic emphasis and Criteria of
Success are the six culture attributes wise analyzed here below:

Figure 3 dominant characteristics profile wise


4.2.2.1 Dominant Characteristics

The existing dominant characteristic as perceived by employees was


Hierarchy culture. It is formalized and structured where procedures
govern what people do. Formal rules, policies and procedures hold the
organization together. Success is defined in terms of dependable
delivery, smooth scheduling and low cost. In contrast what employees
preferred is Adhocracy culture, a dynamic entrepreneurial and creative
place to work in. People take risks. Leaders are considered to be
innovative and risk takers. What holds the organization together is
commitment to experimentation and innovation. Being product or
service leader is important. In such culture the organization encourages
individual initiative and freedom. On the other hand, the researcher
observed when rules, policies and procedures are overlooked and
bypassed to benefit few employees who are very loyal to their bosses
which also include promoting to the next higher level without passing the
necessary examination.

Figure 4 Organizational Leadership as perceived by employees


4.2.2.2 Organizational Leadership

As it was indicated in figure 4 and according to respondents the leaders


were considered to be hard drivers, producers and competitors. They
were tough and demanding, their major concern is getting the job done.
Next to Market, leaders were seen as Hierarchal, Clan and Adhocracy put
in that order. The most preferred leadership as perceived by employees
was Hierarchy followed by Clan, Adhocracy and Market t in that order.

Figure 5 Management of employees attribute wise

4.2.2.3 Management of Employee

What employees filled in the “Now” column indicate that Market culture
was dominant. Market culture is result oriented; its major concern is
getting the job done. Leaders are demanding type. The glue that holds
the organization together is an emphasis on winning. Reputation and
success are common concerns. Long term focus is on competitive
actions and achievement of measurable goals and targets. Competitive
pricing and market leadership are important. The organizational style is
hard-driving competitiveness. It is an organization that focuses on
external positioning with a need for stability and control. In contrast
what employees Preferred is clan culture which is an organization that
focuses on internal maintenance with flexibility, concern for people and
sensitivity to customers. As it is shown in the figure there is a very wide
difference between the current and the Preferred. The management
should be aware of and sensitive of the differences between the two Now
and Preferred which is more than ten points.

Figure 6 Organizational glue as indicated by employees

4.2.2.4 Organization Glue

According to employees’ perception, the dominant culture in the


organization (Now) is Hierarchy. It is an organization that focuses on
internal maintenance with a need for stability and control. Procedures
govern what people do. Leaders are efficiency minded. Formal rules and
policies hold the organization together. On the other hand, what they
preferred is Clan culture which is an organization that focuses on
internal maintenance with flexibility, concern for people, and sensitivity
to customers. The organization is held together by loyalty or tradition.
Here also we see gaps higher than ten points between “Now” which is
Hierarchy and “Preferred” which is Clan. Again the management should
give attention and consider what needs to be changed in order to close
the gaps.
Figure 7 Strategic emphasis as perceived by employees

4.2.2.5 Strategic Emphasis

The current dominant culture as perceived by respondents was the


Market Culture. The value drives of this culture are market share, goal
achievement and profitability, and also its quality strategies are
measuring customer preferences, improving productivity, creating
external partnership, enhancing competiveness, involving customers and
suppliers. On the other hand, the preferred dominant culture by
respondents was the Clan culture. Empowerment, team building,
employee involvement, human resource development and open
communication are quality strategies of Clan. The organization
emphasizes the long term benefits of human resource development and
attaches high importance to cohesion and morale. Leaders need to follow
closely the differences between the preferred and the current and take
action to maintain the gap with in the limit. One of the reasons why
leaders should do this is that organizational success depends on the
extent to which organizational culture matches the demand of the
competitive environment.
Figure 8 Criteria of successes as perceived by employees

4.2.2.6 Criteria of Success

What are the definitions of success in the EAL? And which criteria are
used to determine how successful the EAL is? According to the responses
given by respondents the organization currently defines success on the
basis of market share and penetration. Competitive pricing and market
leadership are also important. On the other hand, the response the
respondents gave on what they preferred shows success is determined
based on the development of human resources, teamwork, employees’
commitment and concern for people. Here also as it is shown on the
figure there is a very wide gap between current and preferred criteria of
success. This should alert the management of the EAL in as mach as
possible to correct the gap.
CHAPTER FIVE

SUMMARY, CONCLUSION AND RECOMMENDATION

This chapter of the thesis presents the summary of the major findings,
conclusions and recommendations. The summary briefly discusses the
study and sums up the findings of the study which is followed by
conclusions. Finally recommendations that are helpful to improve the
situation are presented.

5.1 Summary of findings

The purpose of this study was to identify the dominant culture and the
preferred culture in the Ethiopian Airlines as perceived by employees. In
the course of the study an attempt was made to answer the following
research questions: What is the dominant culture at the EAL? What is
the preferred culture at the EAL as perceived by employees? What is the
implication to the EAL?

The computed average score for alternative dominant was 33 for market
culture, 27 for hierarchy culture, 21 for clan culture and 19 for
adhocracy culture. And the computed average score for alternative
preferred was 30 for clan culture, 25 for hierarchy culture, 23 for market
culture and 22 for adhocracy culture. Findings pertaining profiles of
each of the six culture attributes was as follows: market culture was
dominant in all cases except organizational glue characteristics.

5.2 Conclusions

In this study the researcher tried to look at the dominant culture at the
EAL and the preferred culture as perceived by respondents and the
impact of each on performance of employees. The EAL leaders believe
that the organization can survive and compete if and only if this culture
is seriously applied. Because of this they are very much demanding.
This of course needs competitive and goal oriented employees. If people
are valued they most likely perform effectively and efficiently. This can
change the result of the competitive environment.

On the other hand, the Clan culture was the preferred culture by
employees. They agreed that clan culture facilitates very friendly place to
work in and people share a lot and also they consider their leaders as
their mentors. An organization with a strong clan culture and a weak
market culture, operating in a fiercely competitive, highly aggressive
industry like the EAL is now operating may find it very difficult to
survive.

5.3 Recommendations

Many organizations neither understand their current culture nor the


preferred culture which would best help them achieve their goals. First
and foremost the EAL needs to know and periodically check the preferred
culture so that leaders will renovate the existing culture on time.

Leaders could make miracle if they involve employees full heartedly in all
phases of strategic planning. Leaders need to form an employee team to
assess growth. They are also advised to increase the benefits from
employee suggestion.

Organizational cultures need to have some compatibility with the


demands of their environment. As indicated on both average and
individual organizational profiles the discrepancy between “Now” and
“Preferred” tell which area needs change particularly if the difference is
more than ten points. Discrepancy data is the most powerful data that
can be provided to the EAL. Based on the data the leadership need to
promote good working environment for team work, innovation,
autonomy, risk taking, employee decision making and also training
which could make a difference (which could enable employees acquire
knowledge, the skill to do above all attitudinal change).
To be specific our individual identity comes from the way in which we
construct our views of ourselves and of others when we are in interaction
with each other. The EAL leadership should encourage team work.
Ethiopians are socialized from early childhood to consider themselves
members of a group. Being member of an organized group is the most
pleasurable and comfortable human experience. Group action can yield
a far more productive result than individual action. An Ethiopian saying
“Dir Biabr Anbessa Yassir”. Americans say “United we stand, divided we
fall”. In team work it is easier to develop new workers from the scratch.

Team unity tends to be strengthened when members see some sign of


competition between them and other teams. Team leaders should
purposely induce competition among their members so that the work
group may be motivated to demonstrate a greater team sprite.

The EAL leadership should instill a sense of belonging in the employees.


A sense of belonging enables employees find meaning in their work.
Managers must make workers fill happy not only about doing a job but,
doing it with a sense of belonging. This includes incentives, low interest
loans to construct residential houses and to buy cars. This provides
employees a mechanism for the expression of carrying about the
organization they belong.

The EAL leadership should vanguard group efforts which often is more
than what the individual can expect on his own. Furthermore, many
would gladly participate if it is deemed to be in the best interest of an
organization to which they belong.

Employees in the lower position of the organization tend to keep their


opinion to themselves especially in public. This is perhaps because of
intimidations so that the leadership of the EAL should train them to be
assertive. The more one has a chance to say something about the EAL
matters the stronger his sense of participation becomes. In an open
environment employees at all levels particularly employees lower echelon
need to be encouraged to tell what they feel and challenge old ways of
doing things so that they will come up with new ideas and also focus on
solutions and possibilities.

The EAL leaders must be able to make the connections between their
own passion, the organization’s core intension, the organizational
culture, and a connecting set of social values that will motivate the
employees.

Finally both the leadership and employees of long service (experienced


workers) should mentor young employees. If leaders of the EAL mentor
employees they easily clear the road to share values, goals, mission and
vision. This will narrow the gap between the concluded market culture
and the preferred clan culture.
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