The relationship among organizational theory, organizational design and change , in managing the structure and culture to control activities to achieve its goals. In short, organizational theory, design and change, structure and culture are. Relationship between Organizational Structure and Culture monitored and controlled, While in the decentralized structure decision making. relationship between organisational structure and culture Organization culture involves several issues like how management works, which particular.
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This is a highly effective type of structure in most cases. They are usually led by Project Managers who report directly to the head of the organization. These shared values have a strong influence on the people in the organization and dictate how they dress, act, and perform their jobs. Organizational Culture can be defined as "the specific collection of values and norms that are shared by people and groups in an organization and that control the way they interact with each other and with stakeholders outside the organization.
Organizational culture encompasses values and behaviours that "contribute to the unique social and psychological environment of an organization.
According to NeedleOrganizational culture represents the collective values, beliefs and principles of organizational members and is a product of such factors as history, product, market, technology, strategy, type of employees, management style, and national culture; culture includes the organization's vision, values, norms, systems, symbols, language, assumptions, beliefs, and habits.
Culture of an organization is not always easy to explain but it can be felt or sensed much more distinctly.
The relationship among organizational theory Essay
Simply put, it is the personality of the company. This type of culture is well defined and stable. It is quite a formal culture which emphasizes on control and authority to keep the organization running smoothly. This type of culture offers security and stability. This type of culture is similar to Hierarchy Culture in the sense that it also focuses somewhat on security and stability but it is driven results. It is a very competitive environment to work in and there is very high focus on production.
The focus of this type of organizational culture is the employees of the organization. It is a very friendly environment to work in. Loyalty is emphasized and employees are asked to express themselves more openly.
There is also a lot of importance given to teamwork. This type of culture emphasizes thinking outside the box. Employees are given a bit of latitude to experiment and to think differently.
Creativity is encouraged and appreciated. The atmosphere is dynamic and roles are not always defined. It is quite different from the rest of the organizational cultures.
Is There a Relationship Between Organizational Structure and Culture?
Like organizational structures, it is not necessary that one type of culture will be prevalent throughout an organization. Some companies tend to implement different cultures in different sectors.
This is important to distribute tasks into different groups to ensure that no two people are working on the same project or task so that we get the most output for our input. Because organizations cannot be run without people, this tends to create different informal structures or environments in the organization which leads to different attitudes, perceptions, behaviors and traits with lots different types of aptitudes.
So when employees are supposed to work together on a task in the constraints of a formal structure to reach a certain objective there are certain ways to speak and interact, which in effect forms an organizational culture, where it may be created knowingly or unknowingly by the employees.
Organizational culture in some way defines the organizational structure of an organization but the structure also partially defines the culture of an organization.Functional Organizational Structure - Organizational Design - MeanThat
It can also be said that the structure is a framework for the culture to be implemented, while the culture dictates how the company should be structured. So, no matter how big a company, if its culture starts to disintegrate, it is only a matter of time till the structure also follows.
Business performance in a Functional Organization structure can be severely affected by the time it takes for the flow of communication through the different levels of the hierarchy making the organization very slow to adhere to the new technology, the political situations, the economy, cultural changes or social factors and legal issues.
It generally has a narrow span of control which may cause restrictions in individual expression and power which causes job dissatisfaction and de-motivation. The level of motivation employees possess will affect their output affecting business performance. Employees might not understand the bigger scenario and the significance of their individual work.
Employees may have a bad perception towards work or because everything is so clearly defined and communication is limited, this could result in an indifferent nature and attitude even greater affecting employee relations, affecting motivation, resulting in low business performance.
Just as a forest cannot exist without its timber, the organisational culture will not stand without structure. The organisational structure is how communication moves from one area to the other, the reporting procedures where one person has decision-making powers over subordinates, and ultimately how the company gathers its resources to achieve objectives. The culture of the organisation matures and spreads out from the support beams brought on by the structure. The structure is then built with that end idea in mind.
The concept of what will be the culture has an enormous influence on the structure as it is developed. The decisions about organisational cultural themselves may be influenced heavily by external events.
Is There a Relationship Between Organizational Structure and Culture? |
A company that is heavily regulated by the government has to have certain procedures in place to be compliant with the law. This is especially true of financial institutions, and while they made appear extremely formal to the outsider be defined structure is necessary for financial reporting and compliance purposes. Other cultures have to respond immediately to changes.
The software and mobile application industries need to have cultures that can react quickly to any technological change. This means the structure may have an orientation towards teams as opposed to departments, or only three levels of staff, with executives not that distant from the workforce in the hierarchy.
Communication flow within the organisation may have to be formal or informal, depending on what is demanded by external factors. A software company that has to move quickly cannot have the hierarchical structure of a bank.
The reason why many corporate mergers experience initial difficulty is that two separate cultures, with different structures as well, are joined together.
No matter how upper management tries to allow both to coexist, sooner or later one organisational culture and structure is going to prevail. Organisations can change with time.