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Organisational Culture and Dynamics

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International Journal of Scientific Research and Management (IJSRM)
||Volume||06||Issue||01||Pages||EM-2018-31-39||2018||
Website: www.ijsrm.in ISSN (e): 2321-3418
Index Copernicus value (2015): 57.47, (2016):93.67, DOI: 10.18535/ijsrm/v6i1.em05

Organisational Culture and Dynamics

Hillary Odiakaose ODOR
PhD Candidate, Department of Business Administration, Faculty of Management Sciences, University of
Benin, Benin City, Nigeria

Abstract
Every organisation has something unique about the way it operates. It is that uniqueness that every other
organisation uses as a mark of distinction in describing that organisation. The ways an organisation
operates, with special reference to its beliefs, values and assumptions is what I have conceptualized as
organisational culture. The culture of an organisation, to a very large extent, determines the performance
of the individuals that work in that organisation and by extension, the organisational performance. This
paper takes an in-depth review of the relationships between some organisational culture parameters and
individual performance, organisational performance and sustainability. From the extant literature, it still
stands to reason that organisations should focus on those aspects of their cultures that are positive in
outlook and yield the greatest positive result in terms of individuals and organisational outcomes. On the
other hand, they should do away with those aspects of their culture, which are not adding any intrinsic or
extrinsic value to their bottom-line. This study totally supports the evidence that managing your
organisational culture effectively will lead to a higher organisational performance.

Keywords: organisational culture, organisational outcomes, strong organisational culture, weak

organisational culture

Introduction studies investigating the relationship between

An understanding of culture is very important for organisational culture, as an independent variable
anyone who is interested in the study of and other variables are examined.
organisational growth and development because it
gives an organisation a strong competitive What is culture?
advantage. The significance of culture is not Getting a universally acceptable definition of
being determined by whether there is an existence culture has been a very difficult exercise for both
of soft or complicated culture (Alvesson, 2002); management scholars and practitioners. In fact,
what is paramount is that there is the existence of one authority summarized the predicament of
a corporate culture that guide behaviours and having a generally accepted definition of culture
actions within a group. as follows: “Despite a century of efforts to define
culture adequately, there was in the early 1990s,
Kotter and Heskett (2011) give a lucid analysis of no agreement among anthropologists regarding its
how organisational culture positively or nature” (Apte (1994, p. 2001).
negatively affects the economic performance of an According to Schein, culture is the pattern of basic
organisation. “It is only recently that researchers assumptions that a given group has invented,
and management practitioners started looking at discovered, or developed in learning to cope with
organisations as institutions that are being affected its problems of external adaptation and internal
by an independent variable that affects employee integration, and that have worked well enough to
work attitude and behaviour” (Owoyemi, & be considered valid, and, therefore to be taught to
Ekwoaba, 2014, p.168). This paper seeks to new members as the correct way to perceive,
examine the construct of culture as it relates to think, and feel in relation to those problems”
organisation and its effectiveness by looking at the (As cited in Sun, 2008, p. 138).
various dimensions of culture as well as the Culture is “the collective programming of the
characteristics of culture. Finally, some previous mind which distinguishes the members of one
Hillary Odiakaose ODOR, IJSRM Volume 06 Issue 01 January 2018 [www.ijsrm.in] EM-2018-31
group or category of people from another” while Gathai, Ngugi, Waithaka and Kamingi
(Hofstede 1994, p. 5). “Culture consists of the (2012) look at organisational culture in terms of
derivatives of experience, more or less organized, the “leadership styles and the dominant values and
learned or created by the individuals of a beliefs, both conscious and unconscious, dress
population, including those images or codes, job titles, among others in an organisation”
encodements and their interpretations (meanings) (as cited in Onyango, 2014, p. 205).
transmitted from past generations, from Maseko (2017) viewed organisational culture as
contemporaries, or formed by individuals “a company‟s orientation towards its internal
themselves” (Spencer-Oatey, 2012, p. 2). In stakeholders, which forms the basic rules that
another way, but flowing from similar angle, the guide employees‟ behaviours, developed and
same author sees culture as “a fuzzy set of basic shared within an organisation” (p. 3).
assumptions, values, orientations to life, beliefs, Schein (2004) argued that “perhaps the most
policies, procedures and behavioural conventions interesting part of culture as a concept is that it
that are shared by a group of people, which points us to phenomena that below the surface are
influence (but do not determine) each member‟s powerful in their impact but invisible, and to a
behaviour and his/her interpretations of the considerable degree, unconscious to people” (p. 8)
„meaning‟ of other people‟s behaviour” (Spencer- “Organisational culture is made up of more
Oatey, 2012, p. 2). „superficial‟ aspects such as patterns of behaviour
Cameron (2003) posits that “culture is an enduring and observable symbols and ceremonies, and
slow to change, core characteristics of an more deep seated and underlying values,
organisation” (as cited in Owoyemi, & Ekwoaba, assumptions and beliefs” (O‟Donnel & Boyle,
2014, p.168). 2008, p. 6).
Schein (1990) went on to say that “culture is Although there is no agreement in the literature
manifested at different layers of depth: observable concerning organisational culture, one authority
artifacts, values, and basic underlying argued that “there is only one consensus and that
assumptions” (p.111). According to him, artifacts is the fact that organisational culture has both
include things as dress code, physical settings of tangible and non-tangible aspects” (Sokro, 2012,
the office, and the way and manner people address p. 4).
one another. However, in all the above
definitions, one very important common Characteristics of Organisational Culture
denominator is the fact that culture is shared and (Trice and Beyer, (2002), cited by Loisch, 2007,
learned. and further cited by Himmer, 2013)
Collective: It is assumed that cultures are not
Concept of Organisational Culture created by individuals alone, but as a result of
Serpa (2016) sees organisational culture as “a collective actions. Belonging to a culture involves
shared way of being, thinking and acting in a believing in what the group believes and handling
collective and coordinated people with reciprocal things the way and manner they handle them.
expectations” (p. 51).
Emotional: The substance and forms of culture are
Organisational culture is “the set of shared values, filled with emotions as well as meanings, which is
beliefs and norms that influence the way why they help to manage and overcome anxieties.
employees think feel and behave in the Members of a group seldom doubt the core values
workplace” (Agwu, 2014, p. 1) and attitudes of the organisational culture.
Collins and Porras (2000) opine that
organisational culture refers to a system of shared Historic: Cultural phenomena are connected to the
meaning held by members that distinguish one history of the organisation and its traditions and
organisation from other organisations. cannot be separated or changed rapidly.
Organisational culture is as “an informal, shared
way of looking at an organisation and membership Symbolic: Symbols are on the one hand, a specific
in the organisation that binds members together type of cultural form, but on the other hand, they
and influences what they think about themselves are the most general and persuasive form of
and their work” (O‟Donnel & Boyle, 2008, p.19). culture. Furthermore symbols are not directly
Schein (2009) defines organisation culture as seizable, but have to be interpreted in order to
collective behaviour of people in an organisation, understand their meaning.

Hillary Odiakaose ODOR, IJSRM Volume 06 Issue 01 January 2018 [www.ijsrm.in] EM-2018-32
Dynamic: Even though culture is connected to the discourage or demoralize them with a subsequent
organisation‟s history it still is not static, but disadvantage to the organisation‟s survival.
rather dynamic. Culture is subject to continuous Several studies support the preposition that
change. organisations with strong cultures perform better
than those with weak cultures. For instance,
Diffuse:The more complex the circumstances are, Onyango ( 2014) states that weak cultures are
the more diffuse the elements of organisational usually associated with autocratic managers whilst
culture will get. strong cultures are products of collaboration that
arises when employees share certain beliefs and
Robbins and Judge (2011) examine seven basic
value systems with the significant others.
characteristics of organisational culture:
In his own final submission, Maseko (2017)
Innovation and risk taking; Attention to detail;
concluded by stating that “strong organisational
Outcome, People orientation; Team
cultures are more successful than weak
orientation; Aggressiveness; and Stability.
organisational cultures in achieving organisational
Robbins and Judge (2000) also state that “the
goal due to the perceived correlation between
aftermath from the above, sets the foundation for
organisational culture and employee motivation.
the shared feelings, and how tasks should be
This is because organisations with strong cultures
performed in the organisation.” (p.560). They
have more unity among employees as they hold
went further to say that each of the seven
common beliefs and values” (p. 5).
characteristics exist on a continuum from high to
low and that approaching an organisation on the
Robbins and Judge (2000) have this to say about
basis of the above characteristics, then gives a
strong and weak culture:
composite picture of the organisational culture
“A strong culture will exert more influence on an
Concept of strong or weak organisational employee than a weak culture.
culture Therefore, if the culture is strong and support high
Organisational culture can either be a strong one ethical standard it will have a very
or weak one (Deal & Kennedy, 1982). The type powerful and positive influence on employee
of culture adopted by an organisation is dependent behaviour. On the other hand, a strong
on the extent to which members adapt to that culture that encourages pushing the limits can be a
culture” (Maseko, 2017, p. 5). A strong culture powerful force in shaping
exists when every member of the organisation unethical behaviour” (p. 600). For instance, some
agrees and follows the agreed pattern of behaviour commercial banks in Nigeria that set outrageous
that has proven to be beneficial, both in content deposit targets for its marketing staff are indirectly
and context, to the whole organisation. According encouraging them to go into unethical practices in
to Ashipaoloye (2014), a weak organisational order to get the deposits. “A positive and strong
culture, refers to values and beliefs not strongly culture can make an average individual perform
and widely shared within the organisation. and achieve brilliantly whereas a negative and
Karlsen (2011, p.112) states that “cultures where weak culture may demotivate an outstanding
employees‟ goals are aligned to the organisation‟s employee to underperform and end up with no
goals are often thought of as successful cultures.” achievement” (Ahmed, 2012, p. 51).
In an organisation with a weak culture, employees
only adhere to organisational rules and regulations Similarly, Saffold (1998) notes that “strong
not because they derive satisfaction from their culture has a powerful influence in improving the
jobs, but because of fear of the consequences of contribution made by each employee, either
their inactions (Maseko, 2017, p. 4). working independently or as a member of a team.
In the opinion of Owoyemi and Ekwoaba (2013, Strong culture enhances self confidence and
p. 175), strong culture is a “two edged sword that commitment of employees and reduces job stress
can affect both management and the employees.” and improves the ethical behavior of the
They therefore advised that positive strong culture employees” (as cited in Shazad, & Luqman, 2012,
should be encouraged while negative strong p. 981).
culture should be discouraged. Alkailani, Azzam,
and Athamneh (2012) state that organisational Model of organisatinal culture
culture can encourage employees to give out their Organisational culture has the following
best for the sake of organisational goals, or it can components: values, artifacts, symbols and

Hillary Odiakaose ODOR, IJSRM Volume 06 Issue 01 January 2018 [www.ijsrm.in] EM-2018-33
assumptions (Hatch, 1993). When these orientation. He labeled the above-mentioned
components interact with each other, it brings dimensions as national culture values. According
about different outcomes. The interactions of to him, “national culture was primarily based on
value and assumption are facilitated through differences in values which were learned during
manifestation. The interaction between value and early childhood. These values were strong
artifacts is facilitated through realization. The enduring beliefs, which were unlikely to change
interaction between artifacts and symbols is done throughout the person‟s life” (Abu-Jarad, Yusof,
through symbolization. The interaction of symbols & Nikbin, 2010, p. 36). According to Hofstede,
and assumptions is facilitated through history is the source of values, identity and
interpretation. institutions‟regulations and under condition of
relativism we can identify some cultural
Dimensions of Organisational Culture. dimensions:
From the sociology and management literature, 1. Power distance is the measurement on which a
different classification of organisational culture society accepts unequal distribution of power of
has evolved. According to Muthoni (2013, p. people and organisations.
204), “organisation culture can be classified in 2. Individualism/collectivism: the degree of
terms of adaptability, bureaucratic, mission, and responsibility in actions for individuals or groups.
entrepreneurial.” Onyango (2014) argues that 3. Masculinity/femininity: the extent to which the
“adaptability culture is flexible in approach to the social and emotional traits are allocated to
change process in meeting the demands of the different gender.
external environment, while bureaucratic culture 4. Uncertainty avoidance: the level of acceptance
is centered on the rituals performed by leaders in given by the threat of uncertainty and ambiguity
the organisation that leads to sustainable and as consequence avoidance in such situations.
transformation process.” (p. 9) 5. Long-versus short-term orientation: the size of
social, material and emotional need from a society
Another authority identifies two dimensions of to program its members to accept delayed
organisational culture, namely participative and satisfaction” as cited in (Vacile, & Nicolescu,
manipulative. In a manipulative culture, what the 2016, p. 37)
individuals have at the back of their mind is the
need to acquire power by any possible means. On Methods of Learning Culture
the other hand, in a participative culture, the
individuals seek to be self actualized and be at According to Brown (1998), as cited in (Ahmed,
peace with others (Trpathi, Kapoor, & Tripathi, & Shafiq, 2014, p. 23), there are nine ways of
2000). It may be deduced therefore from the learning an organisation‟s culture:
above that if an organisation develops a “Arte facts, Language, Behaviour patterns; Norms
participative culture, its members will feel proud of behaviour; Heroes; Symbols and symbolic
to be associated with that organisation and as well action; Believes, values and attitudes; Basic
be involved in the planning and implementations assumptions; and History” (Ahmed, & Shafiq,
of its strategic initiatives that will bring about 2014, p. 23.)
growth. On the other hand, in an organisation that
Importance of Organisational Culture.
has the characteristic of a manipulative culture,
Some researchers have discovered that there are
people will be loyal towards the organisation, but
some cultural traits that relates with economic
there is total lack of involvement and
performance (Denison, 1990). “Organisational
commitment, hence they do not have the tendency
culture is one of the most important factors that
to behave like good citizens of that organisation.
impact on organisational performance” (Ahmed,
This is true since loyalty without involvement and
& Shafiq, 2014, p. 22). They argued further, that
commitment will lead an organisation to the path
“the notion of organisational performance is
of failure.
affiliated to the endurance and success of any
Hofstede’s Cultural Dimensions organisation.” (Ahmed, & Shafiq, 2014, p. 22).
(Hofstede, 1980, p. 13) identified five universal
According to Divyarajaram (2014), organisational
values patterns that vary as influence in each
culture is important in promoting code of conduct
country: individualism, masculinity, power
in employees, facilitates motivation though
distance, uncertainty avoidance, and long-term

Hillary Odiakaose ODOR, IJSRM Volume 06 Issue 01 January 2018 [www.ijsrm.in] EM-2018-34
recognition, promotes self satisfaction, and acts as Similarly, Yildiz (2014), writing on the
a guide to employee thinking and actions. relationship between organisational culture and
organisational performance, demonstrated that
Schein (2011) identified four functions of knowledge management and innovative strategy,
organisational culture: providing a sense of which, according to him, are features of
identity to members; improving the readiness of organisational culture, have significant impact on
members and strengthening organisational values; organisational performance. However, Kotter and
and shaping behaviour through a control Heskett (2011) assert that even those cultures that
mechanism” as cited in (Ahmed, & Shafiq, 2014, work well with a company‟s strategy and business
p. 23). Organisational culture “is not just for a context may not promote excellent performance in
competitive advantage, it has become a sine qua the long run, unless they are backed up with
non for organisational success, allowing strategies and practices that continuously respond
companies to attract and retain top employees” to the dynamic environments. However, “the
(Sadri & Lees, 2001, p. 858.) literature suggest that there is an ambiguity in
Organisational culture that is “manifested in terms of the link with organisational performance
beliefs and assumptions, values, attitudes and as strong cultures have been shown to hinder
behaviours of its members is a valuable source of performance (unadaptive) and there is also a
firm‟s competitive advantage” (Ehtesham, problem of isolating the impact of corporate
Muhammad, & Muhammad, 2011, p. 79). culture on performance.” (O‟Donnel and Boyle
“Organisations are social glues that bond (2008, p. 14).
employees together, makes them feel as part of the Employees will experience a higher level of
organisation thereby bringing out the best in them motivation given a good organisational culture. It
in terms of efficiency and effectiveness in goes to say therefore that when organisations have
achieving organisational goal.” (Fakhar, 2005, p. a strong culture that appreciates the contributions
981). of employees through monetary and non monetary
In an empirical study on the effects of rewards, such act will be reciprocated and lead to
organisational culture on change management, it an increase in motivation and subsequently an
was discovered that “organisational beliefs, increase in performance.
employee attitude and value system, as part of Ahmed and Shafiq (2014) concluded by saying
organisation culture, has an impact on change that “organisational culture is the most important
management” (Onyango, 2014, p. 204). variable that influences organisational
He therefore recommended that organisation performance.” (p. 22)
should ensure that they openly support employee Awadh and Saad, (2013) state that “culture and
attitudes and pattern of work that promotes change performance were considered competitive
management. This, according to him, will enhance advantage of an organisation, which is attained
the corporate culture that sustains economic through strong association and establishment of
development and prosperity of the organisation culture and that organisation culture helps in
(Onyango, 2014, p. 204) internalizing joint relationship that helps to
Agrawal and Tyagi (2010) note that “a clear manage effective organisation processes” (p. 172)
understanding of organisational culture is According to O‟Donnel and Boyle (2008), “an
important for all organisational managers and understanding of organisational culture and
leaders because it influences the way their cultural types helps our understanding of why
companies react to the dynamic challenges faced managerial reforms may impact differently within
by the business organisations.” (p. 60) and between organisations.” (p. 10). Zalami
In other words, successful managers are those that (2005), on the other hand, notes that an existing
adhere strictly to the ways things are done in their good culture that is properly aligned with goals
dynamic organisations. One of the key drivers to a and objectives of a transformation agenda will
good knowledge management‟s strategy is surely be an aid to any major institutional
ensuring that an organisation embeds rich cultural transformation.
values into its vision and mission, because Agrawal and Tyagi, (2010), are of the opinion that
knowledge management can be used to develop an “culture can be a great attracter for talent,
innovative culture” (Agrawal, & Tyagi, 2010, p. especially those who are professionally qualified.”
71). (p. 84)

Hillary Odiakaose ODOR, IJSRM Volume 06 Issue 01 January 2018 [www.ijsrm.in] EM-2018-35
It is important to understand the elements that performance. They also observed that there is a
attract, retain and engage employees. Successful significant correlation and predictability of control
implementation of a positive corporate culture, systems, organisation structure and rituals on
with strong values can be a powerful human organisational performance.
resource strategy, whose importance will be Similarly, Shahzad, Iqbal, and Gulzar (2013)
growing continuously. observe that culture of an organisation has a
Jones et al. (2005) demonstrated that significant positive impact on employees‟ job
organisational culture is a source of knowledge performance in selected software companies in
since it enables employees to create, acquire, Pakistan.
share and manage knowledge. Organisational Aluko (2003), using qualitative and quantitative
culture has a strong bond with the competitive techniques with a sample size of 630 employees,
performance of a company. “Some authors even investigated and found out that employees attitude
agree that performance comes from and beliefs significantly affect organisation
interdependent behavior like cooperation, performance, as cited in (Onyango, 2014, p. 204).
knowledge sharing and mutual assistance.” When organisation members identify with the
(Tseng, 2010), (as cited in Yildiz, 2014, p. 54). culture, the work environment tends to be more
The research on the impact of culture on enjoyable, boosting morale. This leads to
organisational performance is mixed, however, increased levels of team work, sharing of
depending on how the research is done and what information and openness to new ideas.” as cited
variables are measured (Griffin, 2012). in (Agrawal, & Tyagi, 2010, p. 13).
Maseko (2017), in discussing the impact of Conclusion
culture on employee motivation, noted that “non- Culture has been defined as a way of life of a
motivated employees, generally portray a dis- group of people. It is concerned with how
satisfied attitude to work, hence are less employees perceive the characteristics of their
committed, and are more likely to quit the organisation, not with whether they like them or
organisation” (p. 2) not. In a nutshell, the importance of organisational
Perters and Waterman (1982) in their write up on culture as an organisational variable of analysis
the relationship between organisational culture cannot be overemphasised. Organisational culture
and performance, assert that “high performance plays a significant role in motivating employees.
firms could be distinguished from low The question of whether a culture is strong or not,
performance firms because the former possessed does not arise, rather what is important is that
certain cultural traits and „strong culture” strong and positive cultures should be encouraged,
The same view was held by Deal and Kennedy, while strong culture, with negative consequences,
(1982), who suggested that organisational should be discouraged. In other words, we should
performance can be enhanced by strong shared only encourage those aspects of the culture that
value” (as cited by Abu-Jarad, Yusuf, & Nikbin, will help to shape high ethical standards among
2010, p. 41). Furthermore, Agwu (2014), writing employees. This, in turn, will bring about high
on organisational culture and employee productivity among employees and on the
performance in National Agency for Food, Drug aggregate bring about increased organisational
administration and Control (NAFDAC), performance.
concluded that “there is a significant relationship
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