Organisational Culture & Managing change
Organisational Culture
An
organisational culture is a pattern of beliefs and expectations shared by the
members of organisation. Culture represent independent set of values and ways
of behaviors. It is the “glue” that the organisation’s all aspects are bound
together.
Values drive all
behavior. Values can make competitive advantage for an organisation. Values can
be thoughts of both individuals and organisations live. (Sullivan, Sullivan,
and Buffton, 2001). Researchers have found work relation values that hold by
individuals are taking responsibility, achieving results, developing a sense of
worth, recognition and being able to use skills and abilities while some of
organisational values are integrity, respect, customer focus, involvement,
quality, creativity/ innovation, accountability and fairness (Sullivan,
Sullivan, and Buffton, 2001).Individual values can be aligned with
organisational values in order to accomplish organisational objectives, hence
culture of an organisation can be driven by individual values.
Investigation of
the differences between 156
non-unionized employees of one Japanese owned automobile plant and 144
unionized employees of one US-owned automobile plant in the USA resulted that employees
in the Japanese-owned plant had higher scores for family orientation and
loyalty, open communication, team approach, manager knowledge, organizational
commitment, organization-based self-esteem, organizational instrumentality,
intrinsic satisfaction, and extrinsic satisfaction than those in the US-owned
plant (Li-Ping, Kim and O’Donald,2000) The
Japanese management philosophy is a direct outgrowth of their culture. This
Japanese philosophy is evident in several basic principles in which they
believe: trust employees, build employee loyalty to the company, invest in
training, treat employees as resources, recognize employee accomplishments,
decentralize decision making, and employ consensual decision making (Cole,
1980; Harper, 1988; Johnson and Ouchi, 1974 cited in Li-Ping, Kim and O’Donald,2000).
A ten year study
conducted to find out impact of union and non-union groups on organizational
culture and change fount that unions can often create cultural dynamics that
pose challenges to the effectiveness of organizations and can be difficult to
change (Nieminen, 2012).
According to
Nieminen (2012), there are sub cultures in an organisation which represent
primary work group, occupational or professional skills, gender and age.
Further, Nieminen (2012) found that unions reporting reduced empowerment, less
effective teamwork and less support for career development and advancement within
the company. It means unions have a distinct culture in comparison to non-union
groups and that the nature of the cultural variation may present a challenge to
the well-being of the company.
Power is the capacity
to impress the dominance of one’s goal or value on others (Armstrong, 2001). Sources
of power exerted by the leaders are vary. Referent power and expert power characterized
by the transformational leadership. The net effect of individualized
consideration and other transformational leadership behaviors is empowerment of
followers (Behling and McFillen, 1996 cited in Stone, Russell, and Patterson,
2004).Leadership can influence in order to maintain healthy culture to achieve organisational
objectives. Farling et al. (1999) concluded that servant leader’s
find the source of their values in a spiritual base. Furthermore, they argued
that empowering followers allows the servant leader to act on his or her
embedded values.
Empowerment of employees
diminishes the requirement of presence of unions and therefore affect positively
towards “no unionism. Empowerment is a concept whereby employees are
responsible their actions and hence they should be given authority to make decisions.
In most cases unions are playing politics to convince their consent on
individuals or groups and it may be viewed as unethical.
Management
of change.
If the existing
culture is unhealthy to an organaisation, it is advisable to manage change. The
change process redirects the strategies which was failed. Dunphy and stace,
(1988) describes four styles of leadership: incremental, transformational,
collaborative and coercive. Thornhill et al. (2000) describes seven relevant HR
practices;
§ Cultural change
§ Recruitment
§ Performing
management practices
§ Resource
development
§ Reward management
§ Management of
employee relations
§ Downsizing.
Therefore,
cultural change and management of employee relations are critical HR practices.
Managing employee relations without unions is necessity for nonunionosm as unions
are change resistance in nature. According to Ulrich , (1997) Change agent is
one of four roles for the HR professional and change actively shaping organisational
process and culture.
corporations
studied include Black & Decker, Eli Lilly, Gillette, Grumman, IBM, and
Polaroid. My study suggests that such companies benefit most from the
flexibility they have to improve productivity in both the short and the long
run. These companies’ rich legacies and traditions affect their managers and
employees profoundly.
Further reading: How To Define
Your Organization's Values https://www.forbes.com/sites/gregsatell/2015/11/27/how-to-define-your-organizations-values/#17b8d71c4054
Reference.
Armstrong, M. (2001) A Handbook of Human
Resource Management Practice, 8th edn. Philadelphia: Kogan Page Ltd.
Dunphy, D.C. and Stace, D.A. (1988) Transformational
and coercive strategies for planned organizational change: Beyond the OD model.
Organization studies, 9:3, pp.317-334.
Farling, M.L., Stone, A.G. and Winston,
B.E. (1999) Servant leadership: Setting the stage for empirical research. Journal
of Leadership Studies, 6:1-2, pp.49-72.
Li-Ping Tang, T., Kim, J.K. and
O’Donald, D.A.(2000) Perceptions of Japanese organizational culture-Employees
in non-unionized Japanese-owned and unionized US-owned automobile plants. Journal
of Managerial Psychology, 15:6, pp.535-559. Available at:https://www.emeraldinsight.com/doi/pdfplus/10.1108/02683940010373383.
(Accessed: 5th June 2018)
Nieminen, L. (2012) Unions Can Present
Challenges to Organizational Culture and Change. Society for Industrial and
Organizational Psychology (SIOP).Available at: https://www.newswise.com/articles/unions-can-present-challenges-to-organizational-culture-and-change
(Accessed: 5th June 2018)
Stone, G.A., Russell, R.F. and
Patterson, K. (2004) Transformational versus servant leadership: A difference
in leader focus. Leadership & Organization Development Journal, 25:4,
pp.349-361.
Sullivan, W., Sullivan, R. and Buffton,
B. (2001) Aligning individual and organisational values to support
change. Journal of Change Management, 2(3), pp.247-254. Available at:https://www.tandfonline.com/doi/abs/10.1080/738552750
(Accessed: 8th June 2018)
Thornhill, A., Lewis, P., Saunders, M.
and Millmore, M. (2000) Managing Change. A Human Resource Strategy Approach, Harlow:
Financial Times Prentice Hall.
Ulrich, D. (1997). Human Resource
Champions. Boston: Harvard University Press.
Hi Shanali,
ReplyDeleteAs you have mentioned, employee empowerment is a good solution to avoid unionism in any organization. Addition to this, open door culture can also help to avoid the unionism. Because, all the employees get a chance to speak with their supervisors and managers and by this the issues can be solved then and there without leading to unionism.
Very informative and impressive post you have written, this is quite interesting and i have went through it completely, an upgraded information is shared, keep sharing such valuable information. Door Supervisor Training Feltham
ReplyDelete