How Organizational Culture Can Affect Employees and Organizations

Topics: Organizational culture, Organizational studies and human resource management, Job satisfaction Pages: 9 (3444 words) Published: May 23, 2014
The 1980s witnessed a surge in popularity to examine the concept of organizational culture as managers became increasingly aware of the ways that an organizational culture can affect employees and organizations. This interest led management scholars and practitioners to undertake research investigations resulting in numerous articles, including a complete issue of Administrative Science Quarterly (September 1983), Organization Dynamics (Autumn 1983) and Journal of Management Studies (May 1986) being devoted to corporate or organizational culture issues. In marketing literature, despite the importance given to the study of culture in the 1960s towards understanding consumer behavior, particularly in market segmentation, communication, diffusion of innovations, and cross-cultural comparisons (Engel et al., 1968; Zaltman, 1965), relatively few studies have investigated organizational culture and its impact on marketing management issues (Deshpande and Webster, 1989). These studies include those that have recognized the importance of corporate culture in modeling selling effectiveness (Weitz et al., 1986), implementation in marketing strategy (Walker and Ruekert, 1987), customer orientation within organizations (Bonoma, 1984; Deshpande et al., 1993), and strategic market planning (Deshpande and Parasuraman, 1986; Mahajan et al., 1987). The pervasiveness of an organization’s culture requires that management recognize the underlying dimensions of their corporate culture and its impact on employee-related variables such as satisfaction, commitment, cohesion, strategy implementation, performance, among others. However, relatively few empirical studies have examined these relationships. For example, Sheridan (1992) examined the organizational culture-employee retention link among college graduates in accounting firms, while Vandenberghe (1999) investigated that link among nurses in hospitals. Other studies, such as Buono et al. (1985), examined the effects of organizational culture on its employees in the merger process in banking firms; Koberg and Chusmir (1987) examined the relationship between organizational cultures and managerial credibility, motivation, and other variables; while Deshpande et al. (1993) examined the relationship of organizational culture, customer orientation, and innovativeness to business performance in Japanese firms. Each of these studies employed different corporate cultural measurement instrumentation. While much of the early conceptual framework for corporate cultures has been developed and investigated in management literature, Deshpande et al.’s (1993) study adapted a comprehensive framework of corporate culture typology and showed its applicability in the marketing context. Utilizing Deshpande et al.’s (1993) typology of corporate cultures, the present empirical investigation focuses on examining the relationship between organizational culture types and job satisfaction of marketing professionals in a cross-section of firms in the USA.

Literature review
The notion of “culture” is often associated with exotic, distant peoples and places, with myths, rites, foreign languages and practices. Researchers have observed that within our own society, organization members similarly engage in rituals, pass along corporate myths and stories, and use arcane jargon, and that these informal practices may foster or hinder management’s goal for the organization (Baker, 1980; Deal and Kennedy, 1982; Peters and Waterman, 1982). In the organizational behavior literature, a number of definitions for organizational culture have been proposed. For example, Kilmann et al. (1985, p. 5) defined corporate culture as “the shared philosophies, ideologies, values, assumptions, beliefs, expectations, attitudes and norms” that knit an organization together. Deal (1986, p. 301) defined it as “the human invention that creates solidarity and meaning and inspires commitment and productivity.” Uttal (1983) defined it...
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