jueves, 11 de marzo de 2010

Module 2 essay: Is there a corporate culture in every organization?

As mentioned in a previous blog (see: “Module 2: Organizational culture”), corporate culture is settled at the very beginning steps of any company foundation and is marked by the deeply embedded beliefs and values that are shared by members of the organization which become visible in the way work gets done on a day to day basis. So I do consider that every organization has a corporate culture by nature, “The culture of an organization is like its DNA, showing some outward representation yet much is held below the surface which is much harder to identify and name” but I also must clarify that not all the companies have the same culture structure, and not all the organizational cultures are equally strong. All these possibilities make possible the differentiation between companies, its strategies and achievements.

It is up to each company how to establish its own culture and how important would it be to follow it strictly in order to achieve any specific goal; and it is linked to this culture that the employees may fit and as a consequence feel better or worse in this company or in the next one. What is sure is that this organizational culture is (normally) deeply-rooted in the company and trying to change it may be very difficult and may also bring disastrous results. I’m not saying that is impossible to change the culture of an organization but I’m saying that it may be a very long and hard process and in some cases the results would not be the expected ones. The general mistake that leads to a failed “cultural change” is that it is developed in order to achieve a specific objective or in order to try to change a particular behavior but it is more effective to use the cultural strength of the company (instead of changing it) to achieve it. “You don’t go out and try to change the culture. You do something to improve performance, and if you pull it off, it tends to stick -it seeps into the culture”.

Now, we must also consider cases as M & A where the corporate culture of the company is different to the one of the acquired organization. In these cases it is often a giant (and common) mistake to try to impose one’s culture to the other, and it’s even worse when it takes place between companies of different nationalities. What should be done is to understand the other’s culture and gradually start adapting some main values and if possible shared aspects and adapting not only from the corporate culture but from the professional cultures (i.e. financial, engineering or operating culture). When facing challenges like this we must remember that the adaptation to change is one of the cultural traits seemed to be most associated with success.
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