The Relationship Between Organizational Culture and Business Excellence

//The Relationship Between Organizational Culture and Business Excellence

The Relationship Between Organizational Culture and Business Excellence

by Dr. Rassel Kassem

The Relationship Between Organizational Culture and Business Excellence

Quick description:

The relationship between organizational culture (OC) and corporate performance has frequently been studied, and this is reflected in relevant literature in the last few years. However, the relationship between OC and business excellence is rarely tackled. To this end, this research examined the relationship between four OC types and organizational excellence and the role of information communication technology (ICT) as a moderator. A quantitative study was conducted, and the data were collected using a survey questionnaire distributed to middle managers in one of the gold winners of a United Arab Emirates-based business excellence award. The results showed that there is a positive relationship between organizational culture components and business excellence in general. A mission culture has the most significant relationship; in contrast, the adaptability culture has no positive relationship. Also, the moderating role of ICT was proven. The results of this research can be utilized by managers to build the OC type that most boosts excellence within their organization.

Organizational culture is the set of beliefs, shared values, and norms that affect the way that employees feel, think, and behave in the place of work (Schein, 2010). Culture can be on the national level, ethnic level, or organization level and that depends on the scope and objectives of a culture study. When a group of employees work together in an organization, with time they will form a certain culture that belongs to them and exists particularly within their company. This culture has its own characteristics and can be diagnosed and studied (Ng & Ng, 2014). Moreover, organizational culture can be abstracted as integration, differentiation, or fragmentation culture (Martin, 2002). The integration approach towards organizational culture can be assessed quantitatively into four types of culture: adaptability, mission, involvement, and consistency (Fey & Denison, 2003).

“Quality” has different meanings and has been defined as excellence (Peters & Waterman, 1982). Excellence can be described as an ongoing process of continuous improvement. This perspective informs excellence models, which provide frameworks for the strategic management of competitive organizations (Martín & Rodrigo, 2003). Through the use of such models, organizational culture has the potential to improve employees’ performance, satisfaction, and confidence in their ability to solve work-related issues (Kotter, 2012). Quality and business excellence awards are based on models and criteria to assess the level of excellence in the applicant organizations. These criteria are used as guidelines by the award winners to sustain their level of excellence through activities that promote business excellence culture among employees and have it imbed into the work values.

The relationship between organizational culture and corporate performance has been widely covered in the literature, however most of these studies looked at the financial aspect of performance (Denison,1984). The contribution of this study is articulated by considering four sub categories of excellent performance of the firms, which include the financial and non-financial results, customer satisfaction, people satisfaction, and society results (EFQM, 2013). Researching the moderating role of ICT is a new perspective on the importance of communication in strengthen the OC-BE relationship, considering that ICT positively affects organizational performance (Polo Peña, Frías Jamilena, Rodríguez Molina, 2011) and at the same time communication in general is found to be crucial for major corporate duties (Garntett, 2005).

This research is an attempt to highlight the organizational culture types and their role in promoting organizational excellence within organizations. This is done based upon a relevant literature review which led to the development of research questions, hypotheses, and a conceptual model. A quantitative study using a 5-point Likert scale questionnaire was conducted, and SPSS and MS Excel were used for data analysis which included mean, standard deviation, correlation analysis, regression analysis, and moderating analysis.

Authors:

Dr. Rassel Kassem

Dr. Mian Ajmal

Dr. Mehmood Khan

Reviews

There are no reviews yet.

Be the first to review “The Relationship Between Organizational Culture and Business Excellence”

Your email address will not be published. Required fields are marked *

IGI Global academic publisher, Hershey, Pennsylvania (USA)

website: http://www.igi-global.com/

research direct link: http://www.igi-global.com/article/the-relationship-between-organizational-culture-and-business-excellence/153983

error: Ask the Author.