Showing papers on "Organizational culture published in 1970"

Organizational Involvement and Commitment to Organization and Profession.

Abstract: This research investigates the effects of professional and nonprofessional types of organizational involvement on the compatibility of organizational and professional commitments for junior college teachers. Hypotheses are examined about the effects of professional and nonprofessional criteria of performance, authority over subordinates, and kind of supervision on the compatibility of these two commitments. It was found that the two commitments are more likely to be compatible when the involvement is professional than when it is nonprofessional. The implications of this for the treatment of professional employees are discussed.

Learning to bridge the gap between adaptive management and organisational culture

Abstract: Adaptive management is the problem-solving approach of choice proposed for complex and multistakeholder environments, which are, at best, only partly predictable. We discuss the implications of this approach as applicable to scientists, who have to overcome certain entrained behaviour patterns in order to participate effectively in an adaptive management process. The challenge does not end there. Scientists and managers soon discover that an adaptive management approach does not only challenge conventional scientific and management behaviour but also clashes with contemporary organisational culture. We explore the shortcomings and requirements of organisations with regard to enabling adaptive management. Our overall conclusion relates to whether organisations are learning-centred or not. Do we continue to filter out unfamiliar information which does not fit our world view and avoid situations where we might fail, or do we use new and challenging situations to reframe the question and prepare ourselves for continued learning? Conservation implications: For an organisation to effectively embrace adaptive management, its mangers and scientists may first have to adapt their own beliefs regarding their respective roles. Instead of seeking certainty for guiding decisions, managers and scientists should acknowledge a degree of uncertainty inherent to complex social and ecological systems and seek to learn from the patterns emerging from every decision and action. The required organisational culture is one of ongoing and purposeful learning with all relevant stakeholders. Such a learning culture is often talked about but rarely practised in the organisational environment.

Assessing the Performance Impacts of Information Systems From the Resource-Based Perspective: An Empirical Test of the Indirect Effect of the IS

Abstract: Research into the strategic impacts of information systems (IS) from the resource-based view of competitive advantage has increasingly embraced the indirect effect of IS on firm performance; that is, IS interact with other complementary organizational resources in influencing firm performance. Using both survey and archival data, this study set out to test the indirect effect of IS and determine the complementary organizational resources contributing to IS impacts on firm performance. The results provide additional evidence in support of the indirect performance effect of IS. Specifically, the study found that the performance impacts of IS arose from their interactions with firm-specific knowledge, information, vertical integration and related diversification that complemented IS. Introduction Over the past decade, the resource-based view of competitive advantage has emerged as a popular approach to examining the strategic roles of information systems (IS) (Mata et al., 1995; Powell & Dent-Micaleff, 1997; Lado & Zhang, 1998; Bharadwaj, 2000; Byrd, 2001; Kearns & Lederer, 2003; Wade & Hulland, 2004; Zhang, 2005). One critical issue in the resource-based inquiry of the strategic impacts of IS is whether IS alone can lead to competitive advantage or they must work in conjunction with other organizational resources in order to provide strategic benefits (Wade & Hulland, 2004). The former suggests a direct effect of IS on firm performance, whereas the latter implies an indirect effect of IS. While researchers have increasingly embraced the latter by arguing that IS complemented by certain organizational resources may lead to competitive advantage and superior performance (Feeny & Ives, 1990; Clemons & Row, 1991; Powell & Dent-Micaleff, 1997; Lado & Zhang, 1998; Bharadwaj, 2000), there has been relatively less empirical attention to testing the indirect effect of IS. Since the indirect effect of IS has become more and more influential in current thinking of how to evaluate and manage IS resources (Powell & Dent-Micaleff, 1997; Wade & Hulland, 2004), more empirical evidence is needed to ascertain this effect. Furthermore, even though the indirect effect of IS generally exists, we still don't know enough about what specific organizational resources complement IS in influencing a firm's competitive position or performance (Wade & Hulland, 2004). While the normative literature proposes a number of potential organizational complements to IS (Feeny & Ives, 1990; Clemons & Row, 1991; Kettinger et al., 1994; Powell & Dent-Micaleff, 1997), the performance impacts of many of those complementary resources have not been assessed in prior empirical research (Kettinger et al., 1994; Powell & Dent-Micaleff, 1997). Discerning the influence of different IS complements on the IS-performance relationship would then increase our knowledge of what represents a relevant set of complementary resources that interact with IS in affecting firm performance (Wade & Hulland, 2004). The purpose of this study was twofold. First, it provided another assessment of the indirect effect of IS on firm performance. Second, by testing the relationships between three sets of firm-specific complements to IS and firm performance, the study sought to empirically determine what organizational resources complement IS in influencing firm performance. The remainder of the paper is organized as follows. The next section reviews the indirect effect of IS within the resource-based research on IS impacts, as well as the existing empirical evidence. This is followed by an examination of the potential performance impacts of three types of organizational resources (unique organizational culture and structure, unique vertical integration and related diversification, and unique knowledge and information) that complement IS. The methodology section describes the empirical analysis, including the sample and data collection procedure, the measurement of the variables of interest, and the results. …

The Measurement of Strategic Orientation and Its Efficacy in Predicting Financial Performance

Abstract: For decades, the strategic management literature has recognized strategic orientation as an important cultural attribute in the investigation of the link between organizational culture and firm performance. Using three studies, we develop a survey measure of strategic orientation that is unidimensional, reliable, and predictive of financial performance. Our final study uses a sample of 779 respondents from 20 companies and empirically demonstrates a positive relationship between strategic orientation and firm performance. Our results support the notion that managers should both encourage and support behaviors and execute actions that are consistent with our measure of strategic orientation to create a coherent strategic approach, resulting in improved financial performance. Introduction Over the past several decades, organizational researchers have yielded a description of organizational culture that is consistent across both macro- and micro-level domains (cf. Denison & Mishra, 1995; Lee & Yu, 2004; Schein, 1985; Siehl & Martin, 1988; Wallach, 1983). At times, likened to the firm's very identity, culture is a complex set of shared values, beliefs, philosophies, and symbols that define the way in which a firm conducts its business (Barney, 1986; Denison, 1984; Goll & Sambharya, 1995; Jones, Jimmieson, & Griffith, 2005; Michalisin, Kline, & Smith, 2000; Sorensen, 2002). Ultimately this shared set of values and beliefs is transmitted through behaviors and actions of employees within an organization (Wilkins & Ouchi, 1983; Schein, 1985), thus leading to different organizational outcomes (Lee & Yu, 2004). Despite the potential effects and significance of organizational culture, the link between corporate culture and firm-level performance is underdeveloped both theoretically and empirically (Reichers & Schneider, 1990; Sackman, 2010). In the strategy literature, researchers have used multiple variables to study the culture-performance relationship, including strategic orientation. Strategic orientation has been defined as the inclination of a firm to focus on strategic direction and proper strategic fit to ensure superior firm performance (Barney, 1986; Gatignon & Xuereb, 1997; Pleshko & Nickerson 2008). It has also been conceptualized as a continuous and iterative process that must focus on the different effects of rational, economic, political, and subjective aspects of strategic change on competitive performance (Porter, 1980; Whipp, Rosenfeld, & Pettigrew, 1989; Zhou, Gao, & Zhou, 2005). A firm's strategic orientation is important in the examination of its culture's impact on performance, as this cultural attribute (and cultural phenomena in general) indicates where its employees focus their time, energy, and resources in decision-making (Cahlik, Howard, & Godkin, 1999; Jones, Jimmieson, & Griffiths, 2005; Schein, 1983; Trevino, 1986). Thus, with regard to strategic orientation, employees share values and execute actions toward maintaining a coherent strategic approach given broad environmental factors; this cognitive and behavioral attention influences aspects of organizational performance. Strategic Orientation Research A review of the research attempting to operationalize strategic orientation can be seen in Table 1. These studies have identified almost 20 attributes to measure strategic orientation. While the Miles and Snow (1978) typology is the most common approach, it only makes up a small percentage of studies. As mentioned above, strategic orientation has been defined as the inclination of a firm to focus upon strategic direction and proper strategic fit to ensure superior firm performance (Barney, 1986; Gatignon & Xuereb, 1997; Porter, 1985). Studies have conceptualized strategic orientation utilizing various approaches including classifying firms into typologies such as the Miles and Snow (1978) archetype (Pleshko & Nickerson, 2008) or identifying cultural attributes (Venkatraman, 1989). …

The Religious Manager

Abstract: Managers' choice of goals, their rating of subordinates, and various organizational and biographical data were related to the managers' Religion Value score as measured by judging religious terms a...

Ownership Culture and Strategic Adaptability

Abstract: Although abundant evidence demonstrates a positive relationship between employee ownership and firm performance, two questions remain unanswered: why does employee ownership fail to enhance the performance of some adopting firms, and what are the mechanisms by which employee ownership enhances performance? We argue that employee ownership has the potential to enable managers to shape organizational culture in support of firm strategy. In supporting firm strategy, employee ownership has the status of strategic choice. Further, to the extent that organizational culture is strategy-appropriate, it leads to competitive advantage by increasing the availability of resources, the serviceability of those resources to the firm, and flexibility in the allocation of resources to address competitive threats and opportunities. When managers of employee-owned firms are unable to create such a culture, the performance of their firms suffers as a result. INTRODUCTION Strategic management, often called 'policy' or nowadays simply 'strategy' ... includes those subjects which are of primary concern to senior management, or to anyone seeking reasons for the success and failure among organizations. Rumelt, Schendel, and Teece (1991) Why do employee-owned companies perform better, on average, than conventionally-owned companies? And why do some ESOP companies perform better than others? Employee ownership, also called "shared capitalism" (SC), or "earned capitalism" (EC), a term that includes employee stock ownership plans (ESOPs) stock purchase plans, profit- and gainsharing plans, and broad-based stock options (Kruse, Freeman, and Blasi (2010), is a management practice that has been utilized by firms for decades. (1) Partly a tool of corporate finance, and partly a tool of human resource management, ESOPs have become a small yet significant part of the economic landscape. Congress created the ESOP in the 1974 Employee Retirement Income Security Act (ERISA), which established the legal basis for ESOPs as a defined contribution retirement plan. Laws and regulations pertaining to ESOPs are regularly considered by Congress and reported in the press. During the last two decades, the number of ESOP firms has held steady at around 10,000 firms (NCEO, 2008). ESOPs have a dual nature. On the one hand, they are a tool of corporate finance. For instance, the law permits the employee stock ownership trust (ESOT) to borrow money for the purpose of purchasing shares. As such it is a mechanism for raising capital or restructuring the balance sheet. And, they can be used to alter the governance structure of a company. However, as a tool of human resource management employee ownership has the potential to have a much greater impact on firm performance than do alterations to the right-hand side of the balance sheet. This is the basis of our discussion. There have been a large number of studies attempting to show that EO activities "work"--that they have results that are beneficial to a firm's overall results. A considerable body of empirical work has demonstrated a positive link between employee ownership and firm financial performance (to be discussed in detail below). Research has also demonstrated some positive effects of EO programs on individual attitudes and behavior (to be discussed in detail below). While both of these lines of research are promising, there is a gap in the theoretical basis of this work that limits its usefulness. Specifically, there is a need for a clearer delineation of the mechanisms by which EO programs work at the individual level in motivating employees and yet are seen as contributing to significant firm level performance outcomes. Explanations tend to point vaguely at factors such as increased motivation, culture, information sharing, even a multi-period prisoner's dilemma, but generally lack detail. To compound the deficiency, no theory of which we are aware addresses the question of exactly how individual-level outcomes produce firm-level outcomes. …

Cultivating Culture in Greenfields: The Heinz Wattie's Case

Abstract: The establishment of new plants in Greenfield sires is a strategic organisational initiative providing the opportunity to develop alternative systems of staff values and beliefs which may be more appropriate for capitalising on external product marker opportunities. This paper explores whether an alternative organisational culture can be established at a Greenfield sire within a New Zealand food processing plant. This case organisation utilised the provisions of the Employment Contracts Act 1991 to establish alternative employment conditions in the Greenfield site to those of its Brownfield sire. A comparative analysis was made utilising quantitative organisational culture data from Human Synergistic's Organisation Culture Inventory. The data reveals the similarities and differences between the Greenfield and Brownfield sires and provides the basis for discussion of whether culture can be managed through the mechanism of a Greenfield site. Critical elements in creating a desired culture are identified.

Behavioral science and management: why the troubled marriage?

Abstract: The article provides viewpoints from different members of a committee on behavioral science and management. Chairman Ross A. Webber of the University of Pennsylvania discusses the differences betwe...

Organizational Development for Thornlea; A Communication Package and Some Results.

Abstract: The author introduces his facilitative role in organizational development at Thornlea School' with the following two statements: "Most organizations have a structure that was designed to solve problems that no longer exist" but "I am less interested in inducing any particular change than I am in fostering and nourishing the conditions under which constructive change may occur." In one sense the author's work at Thornlea could be classed as in-service training, but as the case developed the training was found to be of a very different kind from that which school people are accustomed to or acquainted with. This case study begins with the assumptions and objectives of organizational development (OD) in general; proceeds to some background of a school which recently participated in a very brief taste of OD; presents some essential features of the communication package itself and some of the results; and concludes, of course, with some implications.

The Triad: Organizational Cultural Values, Practices and Strong Social Intra-Firm Networks

Abstract: The primary purpose of this research paper is to demonstrate the role, strong organizational culture plays in transforming a loosely connected organization to one with strong ties. The results of this study indicate that business units are likely to get assistance from other sister business units to accomplish tasks in a timely manner and to be innovative. Cultural practices, such as open communication and rewards incentivize units sufficiently to do so. It is found that cooperative values indigenously motivate units to develop strong networks and do not require the added inducement of collective rewards or open communication, as these practices seem to be resonant in values of cooperation. The Relationship between Organizational Cultural Values, Practices and Strong Social Intra-firm Networks In the past decade, strategists have studied the pervasive phenomenon of social networks or social relationships at various levels of analysis both within and outside the organization (e.g. Ahuja, 2000; Brass, Galaskiewicz, Greve, & Tsai, 2004; Gulati, 1998; Gulati & Singh, 1998; Hansen, 1999; Kraatz, 1998; Nohria & Eccles, 1992; Tsai & Ghoshal, 1998; Tsai, 2000 etc.). In this study, intra-firm or intra-organizational networks are analyzed, which allows units within an organization to develop new knowledge while cultivating existing know-how (Khoja & Maranville, 2009; Tsai & Ghoshal, 1998). Intra-firm or intra-organizational networks are defined as 'a set of relationships among business units of the same legal firm that interact with each other to exchange resources, information, and/or services' (Achrol & Kotler, 1999). Most of the research studies, to date, have primarily analyzed the characteristics of intra-firm networks or lateral linkages) such as network centrality, (2) structural holes, (3) tie-strength, (4) network size, (5) and network density (6) to assess performance, innovation, resource (knowledge) accumulation, and sharing, to name a few. The associated independent variables studied are trustworthiness, shared vision, strategic relatedness, absorptive capacity, centralization, formalization, geographic distance, internal competition, and, more recently, divisional subculture. The dependent variables under investigation have been knowledge and information sharing, organization learning, time for new product development, innovation, and performance, to name a few (Gupta & Govindrajan, 2000a; Hansen, 1999, 2002; Hansen & Lovas, 2004; Hansen, Mors, & Lovas, 2005; Marx, Lechner, & Floyd, 2006; Powell, 2003; Skerlavaj & Dimovski, 2006; Tsai, 2000, 2001, 2002; Tsai & Ghoshal, 1998; Walter, Lechner, & Kellerma, 2007). More recently, Khoja and Maranville (2009) found that strong intra-firm networks enhance intellectual capital and that this relationship is further strengthened by absorptive capacity (7). In addition, Hansen and Nohria (2004) posited that although firms can create value for themselves through inter-unit collaboration, they do need to overcome certain barriers by using a few 'management levers.' The barriers include units' '(1) unwillingness to seek input and learn from others, (2) inability to seek and find expertise, (3) unwillingness to help, and (4) inability to work together and transfer knowledge.' The management levers include 'leadership behavior, shared values and goals, human resource procedure, and lateral cross unit mechanisms.' As organizational culture is the backbone of any organization and determines a firm's strategy and structure (Deal & Kennedy, 1999), it becomes imperative to learn about the role culture plays in establishing social networks within organizations that is likely to assist units to collaborate, share, and exchange resources to attain competitive advantage. The research question addressed in this study is: 'how does strong organizational culture facilitate strong intra-firm networks? …

Corporate Treatment of Exchange Risk

Abstract: Dr. Adams asked me in September to provide an applied dessert as a counterfoil to your academic menu. We agreed that some attention to the corporate treatment of exchange risk would be worthwhile. But he restricted me to twenty minutes.© 1970 JIBS. Journal of International Business Studies (1970) 1, 83–88

Tipologías de las culturas organizacionales. Estudio de caso: PYMIS del Municipio del Distrito Metropolitano de Quito

Abstract: Organizational culture has become in an essential management tool to be managed by the organizations, as a vector for the consolidation of the intangible assets of a company such as climate, identity and organizational image, managing thereby to strengthen the corporate image and identity, both internally and externally. This article analyzes the type of cultures prevailing in small and medium-sized industries (SMIs), through a diagnosis of the current state of these cultures, on the basis of the approach to structured questionnaires of closed questions. For this purpose, a representative sample for a finite population, which according to the sampling of proportions derived in 380 surveys, applied to the owners of the pymis in metropolitan district of the city of quito. The results of this study determine the type of culture in which are embedded the SMIs, consistent with the typology of scheinsohn as well as to establish if there are practices of cultural management that respond to a permanent management of this policy, in the SMIs or if on the contrary that policy is not managed. The article concludes in favor of a diagnosis to management culture through strategies in the sector of the SMIs.