Theory of Organizational Culture: the Climatic and Cultural Factors

Topics: Organizational culture, Culture, Organizational studies Pages: 10 (3184 words) Published: August 5, 2012
People and Organizational Management in the Built Environment

Theory of Organizational Culture: The Climatic and Cultural Factors

Table of Contents SECTION 1: INTRODUCTION ................................................................................. 3 1.1 1.2 1.3 1.4 ORGANIZATIONAL CULTURE IN THE CONSTRUCTION BUSINESS ..................................... 3 WHAT IS ORGANIZATIONAL CULTURE?................................................................... 3 WHY DOES IT MATTER? ..................................................................................... 3 UNDERSTANDING THE ORGANIZATION CULTURE....................................................... 3

SECTION 2: THE TYPES OF ORGANIZATIONAL CULTURE ........................................ 4 2.1 TYPES ORGANIZATIONAL CULTURE ........................................................................ 4 2.1.1 Control (Hierarchy) ................................................................................... 4 2.1.2 Compete (Market) .................................................................................... 4 2.1.3 Collaborate (Clan) ..................................................................................... 4 2.1.4 Create (Adhocracy) ................................................................................... 4 SECTION 3: THE PATTERNS OF ORGANIZATIONAL CULTURE ................................. 5 3.1 3.2 3.3 THE CULTURAL PATTERNS IN CONSTRUCTION INDUSTRY ............................................. 5 THE ORGANIZATION CULTURE IN MALAYSIAN CONSTRUCTION ..................................... 5 MANAGEMENT CULTURE CASE STUDY – THE TOYOTA WAY ........................................ 8

SECTION 4: CONCLUSION ................................................................................... 10 SECTION 5: BIBLIOGRAPHY................................................................................. 11

Section 1: Introduction
1.1 Organizational Culture in the Construction Business

In the recent years, organizational culture has gained importance in the increasingly globalized construction business where the construction business has become more dependent than ever on the cultural characteristics of construction companies. It should have made clear and obvious that sustained profitability and high financial returns are not enough to survive and remain successful in today’s highly competitive markets because there is considerable evidence of conflicts and misunderstandings caused by cultural differences. Therefore it is essential that firms need to understand their own and other firms’ organizational culture and need to adjust their ways and traditions while conducting business with other firms, organizations or individuals with different cultural values.

1.2

What is Organizational Culture?

Generally, in lay man terms, culture in an organization can be answered as simple as ‘the way we do things here’. This defines the consistent way in which the tasks were performed, conflicts were resolved and how customers and employees were treated. In a more articulate manner, an organizational culture can be defined as a core values that defined that particular organization itself. It comprised of its member shared values, behaviors, beliefs and teamwork that guide and determine the organization decisions and actions and how it behaves in the local as well international market.

1.3

Why Does it Matter?

In the context of whether it matters or not, an organizational culture is something that cannot be easily capture or define but at the same time it is not something that any of the organization should take for granted. Many anthropologists and coaches had noticed that ineffective leadership tends to be the major factors of an organization diminishing and weakening (Alvesson, 2002). Rolling back to the Ancient Rome era, the great empire had endured a series of terrible emperors. Due to the culture and structure of the empire was...

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