3

UNITY UNIVERSITY
AREGA CAMPUS
COLLEGE OF BUSINESS AND ECONOMICS
DEPARTMENT OF FUNDAMENTALS OF MARKETING
GROUP ASSIGNMENT

Section: BG1R1N3A(Management)

Name: Iman Esmael

ID: UUA00701R

Name: Nato Diro

ID: UUA00671R

Name: Nesib Ziad

ID: UUA00801R

Name: Nuriya Abdullah

ID: UUA00652R

Name: Toti Negussie

ID: UUA00678R

Submission Date:07/26/2021
 TABLE OF CONTENTS
INTRODUCTION ……….……………………………………1

IMPACT OF CULTURE ………...……………………………3

IMPACT OF SUBCULTURE………….
………………………………….…4

RESULT……………………………………………….…….…5

RECOMMENDATION………...………………………………6
INTRODUCTION
Many organizations are faced with a huge challenge to improve their effectiveness in order to
compete in today's global economy. The desire to improve effectiveness has stimulated many
studies in the field of organizational culture and particularly on the type of culture necessary for
success. Organizational culture became a hot topic for research in the 1980s. The great interest in
the concept was partly due to the notion that culture has a powerful impact on the organization's
outcomes and its success claims that organizational culture plays an important role in developing
and maintaining high levels of dedication among employees that often characterize successful
organizations. Many researchers claim that organizational culture could increase organizational
effectiveness, motivation, involvement, loyalty and organizational commitment especially when
it is widely shared by its members and directs behavior in the right direction to achieve the
organization's goals. An important organizational culture outcome is organizational commitment
which also received equal attention. Many researchers consider it an antecedent of work
behaviors and outcomes and suggest a positive correlation which exists between organization.

Culture is the ideas, customs, and social behavior of a particular people or society. The word
“culture “derives from a French term, which in turn derives from the Latin “colere,” which
means to tend to the earth and grow or cultivation and nature. It is the arts and other
manifestations of human intellectual achievement regarded collectively. Culture is the
characteristic and knowledge of a particular group of people. Culture encompasses religion,
food, what we wear, how we wear it, our language,marriage, music, what we believe is right or
wrong, how we sit at the table, how we greet visitors, how we behave with loved ones, and a
million other things. Culture is expressed in fundamental beliefs, assumptions, attitudes, values,
artifacts and behaviors of organizational members. Different types of cultures have predicted
organizational effectiveness (OE) differently. Along with possessing distinctive attributes,
values, beliefs 2and behavioralpatterns, it is essential that the culture be ‘strong’ in order to
achieve higher OE. 

Subculture is a cultural group within a larger culture, often having beliefs or interests at
variance with those of the larger culture. It is an identifiable subgroup within a society or group
of people, especially one characterized by beliefs or interests at variance with those of the larger
group. Subculture is a sub-division of a national culture, composed of a combination of
factorable social situations such as class status, ethnic background, regional and rural or urban
residence, and religious affiliation, but forming in their combination a functioning unity which
has an integrated impact on the participating individual.
Subculture is a group of people committed to a culture separating itself from the dominant
culture in the given society.Subcultures highlight the generational contrast between youth and
parent cultures. Thus, subcultures suggest flaws within the institutional world that serves as a
basis of social structure itself. An institutional world they did not create, but are obliged to take
part of. In parting ways with the dominant culture, subcultures imply recognition of their own
inferiority.
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Organizational activities are events that are undertaken by organizations for the purpose of
earning a profit. They include all the economic activities carried out by a company during the
course of business. Business activities, including operating, investing and financing activities,
are ongoing and focused on creating value for shareholders.
Organizational culture is the values, beliefs, shared meanings, assumptions, codes of behavior,
practices, procedures and rituals in an organization. It is the glue that holds the members of the
organization together, leading to higher performance and effectiveness. It refers to the
personality of an organization. It relates to the day-to-day beliefs and behaviors of a set of
employees within the same work environment. This includes how they act and engage with the
organization, the values they ascribe to these actions, their personal goals and how these fit in
with the goals of the organization, and how employees engage with each other at work.
Every organization is different, and all of them have a unique culture to organize groups of
people. Yet few people know that every organization actually combines a mix of four different
types of organizational culture under one leading cultural style. The four types of organizational
culture are:
 Clan-oriented cultures are family like cultures with a focus on mentoring, nurturing, and
doing things together. Clan cultures are the most collaborative and the least competitive of
the four culture types.
 Entrepreneurial culture is the attitude, values, skills, and power of a group or individuals
working in an institute or an organization to generate income. This type of culture is
dynamic, with a focus on risk-taking, innovation, and doing things first.
 Market-oriented culture is a type of culture that emphasizes competitiveness not only
between the organization and its market competitors but also between employees. It is the
most aggressive and capitalistic of the four culture types. Employees are encouraged to set
difficult goals and strive to achieve them.
 Hierarchy oriented cultures are structured and controlled with a focus on efficiency,
stability and doing things right. Companies with hierarchy cultures adhere to the traditional
corporate structure. These are companies focused on internal organization by way of a clear
chain of command and multiple management tiers that separate employees and leadership.
There’s no correct organizational culture for any organization. All cultures promote some forms
of behavior and inhibit others. While some are suited to rapid and repeated change, others are to
slow incremental development of the institution. The building of a culture is never instantaneous.
The founder’s vision and mission reflect his/her values and beliefs and lead to formation of the
early culture of the organization. During the selection process, recruiters prefer individuals who
have values similar to those the organization preaches and practices. After joining, the
organizational values are inculcated in newcomers through training, mentoring, counselling,
interaction with seniors, participation in organizational events and encounters with
organizational issues and problems. The new hires are socialized in the organization. Thus, the
culture transmits to the newcomers and grows throughout the organization.
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IMPACT OF CULTURE
Culture creates an environment in the organization and influences the nature of the long-term plans that move
the organization toward its vision. Culture also dictates the policies and processes that enable the organization
to live its mission every day. By pulling all these elements together under the umbrella of the organization’s
culture, business success becomes inevitable. For organizations committed to building a strong foundation for
their future, culture is essential. Creating and supporting a values-driven culture within your organization can
have far-reaching impact across your organization and the communities it serves. Unwanted cultural practices
and behaviors can take root in the absence of intentional focus. This results in an environment that doesn’t
reflect the mission or vision of your organization, and can get in the way of all the great outcomes you’re
working to achieve.

Culture defines a company’s internal and external identity. The culture of an organization is about living the
organization’s core values. One’s culture can transform employees into advocates or critics. A strong
organizational culture helps you keep your best people and transform your company into a
team. Organizational culture affects all aspects of a business, from punctuality and tone to contract terms and
employee benefits. When workplace culture aligns with employees, they're more likely to feel more
comfortable, supported, and valued.

Organizational culture affects all aspects of your business, from punctuality and tone to contract terms and
employee benefits. When workplace culture aligns with your employees, they're more likely to feel more
comfortable, supported, and valued.

An organizational culture impacts an organization, which culture creates the environment in the
organization and influences the nature of the long-term plans that move the organization toward its vision.
Culture also dictates the policies and processes that enable the organization to live its mission every day.

The theoretical model of Denison and Mishra (1995) agreed that organizational culture has an important
impact on organizational effectiveness, as there are positive associations of each cultural trait with both
subjective and objective measures of profitability, quality, sales growth, satisfaction, and overall.

Organizational culture impacts the organizational performance, through an analysis of existing empirical
studies and models link with the organizational culture and performance. The objective of this article is to
demonstrate conceptualization, measurement and examine various concepts on organization culture and
performance. After analysis of wide literature, it is found that organizational culture has deep impact on the
variety of organizations process, employees and its performance. This also describes the different dimensions
of the culture. Research shows that if employee is committed and having the same norms and value as per
organizations have, can increase the performance toward achieving the overall organization goals. Balance
Scorecard is suggested tool to measure the performance in the performance management system.

More research can be done in this area to understand the nature and ability of the culture in manipulating
performance of the organization. Managers and leaders are recommended to develop the strong culture in the
organization to improve the overall performance of the employees and organization.

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IMPACT OF SUBCULTURE
Organizational subculture forms when people of common situations, identities, or job functions
gather around their own interpretations of the dominant company culture. These subcultures most
commonly form when employees find they need to develop idiosyncratic behaviors, values, and
goals to fulfill specific functions of their disciplines.
A member of an organization can belong to many different subcultures, which provide them with
a sense of identity and values that shape their behavior in a way that helps them perform their job
effectively.

It can be surprising when you first see the signs of an organizational subculture forming.When
the company is smaller, employees are much closer to the central embodiment of its mission,
vision, and values, because everyone is working closely together. However, as it increases in
size, something happens.

Organizational subculture forms when people of common situations, identities, or job functions
gather around their own interpretations of the dominant company culture. These subcultures
most commonly form when employees find they need to develop idiosyncratic behaviors, values,
and goals to fulfill specific functions of their disciplines.

When those subcultures become more clearly defined, it’s not uncommon for leaders to spend
their time trying to figure out if they’re an intrinsically “good” or “bad” thing. This is
understandable. When you spend so much time building a singular mission, vision, and values
system for your organization, it’s tempting to view any slight deviation from those things as
wrong or bad.

But organizational subculture is an inevitability. It is frankly impossible to try and manage a one-
size-fits-all culture narrative with a tight grip. As anyone who has witnessed an organization
grow from the startup stages into something much larger can attest, meaningful and necessary
differences in culture’s interpretation will arise at nearly every level.

Subcultures Based on Job Designation got several factors which contributes to the formation of
subcultures in organizations is geographical separation. When a group of people within an
organization operate in a location that is physically apart from the rest of the organization, a
subculture often forms among members of the detached group. The members of this subculture
establish unique values that provide them with a sense of identity and help them perform their
jobs correctly. 

Another factor that contributes to the formation of subcultures in organizations is departmental

designation. People who work in the same department often form a subculture based on a unique
set of values, which help them perform their jobs and are exclusive to their subculture.

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RESULT  

The defining and measuring of organizational culture and its impact on the organizational
performance, through an analysis of existing empirical studies and models link with the
organizational culture and performance. The objective of our research is to demonstrate
conceptualization, measurement and examine various concepts on organization culture
and performance. After analysis of wide literature, it is found that organizational culture
has deep impact on the variety of organizations process, employees and its performance.
This also describes the different dimensions of the culture.

Our research shows that if employee is committed and having the same norms and value
as per organizations have, can increase the performance toward achieving the overall
organization goals. More research can be done in this area to understand the nature and
ability of the culture in manipulating performance of the organization. Managers and
leaders are recommended to develop the strong culture in the organization to improve the
overall performance of the employees and organization.
 
The issue of organizational culture cannot be over emphasized in every organization. It
has been observed that organizational culture is important in any organization; this is so
because organizational culture is powerful and helps organization achieve higher
productivity. Even in advanced countries and in most computerized organizations,
organizational culture cannot be over looked because it plays a significant role in the
organization.

This organizational culture determines kind of working environment and how employees
interact and all these affects performance, satisfaction and even productivity of the
organization itself. It is therefore important that every organization should develop a
culture that will be well understood by its employees, because if employees are
well acquainted with the organization’s culture they know how to adjust their own values
to fit into the culture of the organization thereby performing their duties properly and get
satisfied at the end of the day for a job well done. Therefore, every organization should
be encouraged to build a culture that incorporates the employees in every activity of the
organization so as to enjoy improved.

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RECOMMENDATION
 Strengthen your workplace culture with culture books. When conveying company values
there are few tools to improve corporate culture as uninspiring as employee handbooks.
They’re boring and bureaucratic and most people don’t even read them. However, there is a
way to combat this and that’s by personalizing the workplace culture and writing about
things that are important to you. Companies can do this by creating a culture book. It doesn’t
require a lot of money just a bit of innovation. Start by asking your team for value stories that
exemplify your workplace culture and then build on it from there.
 Organizational leaders are responsible for creating a culture that employees value and that
will be in the best interest of the organization. But it’s not enough to simply dictate behaviors
from the top-down. Instead, it comes back to demonstrating these behaviors every day, in
interactions across every level of the organization.
 Trust and empower employees to do their best work. Trust is the foundation of positive
culture. Organizational leaders have to commit to building trust with community members at
every level and in every interaction including employees, peers and members of the
community to create meaningful, mutually beneficial connections and a sense of shared
purpose.
 Make the workplace feel like a community. When employees feel respected and inspired as
though they’re part of something bigger than themselves they can more easily align their
daily tasks with broader organizational goals. When they feel they belong, they’re more
likely to develop loyalty towards their organization and its mission.
One can decrease the negative impact of subcultures in an organization by following these
recommendations.
 The first step is to recognize the existence of subcultures, and the fact that in most cases
being aware of them is all that’s needed. Where distinct values or ways of working arise in
groups and are not creating lack of agreement for team members, or challenges for the way a
team contributes to the dominant culture, let them be. 
 Subcultures should be considered when planning Organizational Wide Initiatives. This is
mostly common-sense stuff. Planning to roll-out a flexible working policy and know that it
won’t align with the way that one or more groups work, Flag it for them in advance. Let them
know you know, that you’re paying attention. If you’re communicating your new corporate
values but have a team whose long service and legacy with the company may reflect a very
different experience, Talk to them about it.
 Look out for Signals of Subculture Shifts. If you notice a group’s behavior shifting dig
deeper. Whether it’s outlier responses on a survey, or an increase in performance set-backs or
conflicts, don’t chalk it up to a couple of ‘bad apples’ until you’ve considered the bigger
picture. This cycle can be reversed, but it takes a lot of humility and a strong commitment to
transparency and ongoing dialogue.