The influence of culture in an organisation

Shanthini Wickramasuriya

Although information systems have captured the market in integrating and processing a vast amount of data it is questionable if such an approach alone enables the organisation to develop or make the best decisions it could make based on all available knowledge.

Organisational culture can critically impact business success including how critical decisions are made. The influence of culture in an organisation is more powerful than we realise. Crane Davis says “Before organisations decide to invest in technology it should think of the organisational culture”.

Organisations must consider the way culture can support knowledge sharing. He goes on to say that “establishing the type of culture that exists in an organisation is a key prerequisite”. Individuals use knowledge to add meaning to particular situations.

Their beliefs and the culture they’re operating within may well influence the way they interpret the situations and the future actions they take.

Organisational culture must create an expectation of high standards of performance from every individual, stimulate personal development to leverage full abilities of employees, encourage openness, make workers feel valued so that they become empowered and committed to the organisation. Why would a top level performer choose one company over another even when the competition offers a “better deal”?

The surprising answer lies in the corporate culture. “A” players are attracted to and stay with companies whose corporate culture is one that embraces excellence and is committed to values, vision creativity trust and respect.

It is very important for the top management of the organisation to understand the value of filling the organisation with the best fit and not the best talent. It is indeed a difficult task to create a corporate culture to attract the best fit and keep the best talent.

All companies have a culture a corporate way of life Companies that are dominating, autocratic and inflexible, have the highest turnover rates regardless of pay corporate culture built on participation and communication keeps retains good people.

Success requires more than full commitment of the management. Companies must create a climate that stimulates people to challenge current practices and to develop and implement new ideas.

Then why not change the place so that your employees feel more comfortable. Think deep and act fast. Some organisations need to have a radical transformation in their culture if it needs to survive in the future.

Here are a few hints to help you change the culture of your organisation: 1. Replace the key (highly visible) employees, 2. Reorganise the hierarchical structure, 3. Initiate new or eliminate existing forms of communication, 4. Establish new reward or recognition systems, 5. Change management processes, including meeting frequencies, attendance and agendas.

The underlying problems of many organisations are not in the structure, CEO, or strategy rather it is in the social structure and culture. Because people working in different cultures act and perform differently changing the culture can allow everyone to perform more effectively and constructively.

Culture change is very challenging when you’re dealing with a large number of geographically diverse workforces. Culture change is neither easy nor false proof. It can require lot of time and effort. The proponents of change must care fully model the behaviour you want to see in others.

It should be a consistent message clear and dominant.

Be ready to face resistance - it is an ever-present danger when changes start to take effort. Therefore get the expert guidance and unbiased feed back if to be successful on your culture change. Bear in mind that simple cost cutting may show fast results but the profits may not stay for long.

Daimler Chrysler in the early 1990s had a terrible customer service and press relations with a history of innovation but presenting outdated.

Costs and losses were very high. Within a programme of culture change, customer one was built around it - got profits in billions. Now Chrysler is world famous for producing Benz, the world’s best cars. Changing the culture no doubt is a challenge, but why not take it up you never know, you might be the next Chrysler.