Effect of organizational culture on performance management

Early researches believed that there is a relationship between organizational culture and organizational performance (Maamari and Saheb, 2017). Magee ( 2002) argues that an organizational culture is inherently connected to organizational practices (Rofcanin et al 2007), it is manifested by the collaborative circumstances between the different units of organization (Hofstede,2011). Therefore, it clearly understands that the organizational performance depends on the culture. Also, the major challenges for organizational performance are the employee engagement and the culture. By improving the culture of the organization employee engagement will automatically increase. The fact that attitudes are part of the organizational culture and part of the employees’ performance will straighten out the relation between organizational culture and performance ( Maamari and Saheb, 2017). The relation between belief, participation and performance is associated by the organizational culture (Debusscher et al, 2017).

According to Slocum and Hellriegel (2009), organizational culture can boost performance on a large scale, and the culture of an organization allows the employees to be acquainted with both the firm’s history and current methods of operation (Awadh and Alyahya ,2013). Also, Kozlowski and Klein (2000) report that an organization is a consciously coordinated system where characteristics of individuals, groups and organizations interact with each other, and where the effective interaction among them highly depends on organizational culture that shapes the individual performance leading in most of cases, that high performers are more appreciated and promoted than low performers (Cross et al ,2000).

Organizational culture can be defined by its aspects (Nahavandi & Malekzadeh 1993), dimensions (Van der Post, et al. 1997), traits (Denison & Mishra 1995), elements (Quinn & Cameron 1983), The word culture has been derived from idea of cultivation which means the patterns of development, Sometimes known as “corporate culture” (Childress, 2013), corporate culture is used to denote the more commercialized meaning of organizational culture (Deal & Kennedy, 1982). When the culture is favorable to achieve the goals of the company employees have a clear picture about how the top management wants them to respond in work and also employees know that they will be rewarded by fulfilling the company requirements. A strong organization culture supports adaptations and develops the organization’s employee performance by motivating employees towards a shared goal and objective, although some scholars report a neutral effect (Behery and Paton, 2008).

A successful and well performing organization defines its organizational goals as the report card of its forthcoming (long term) future (Hamel and Prahalad ,1994). Chatman et al. (1998) postulate that organizational culture has a considerable effect on work process and outcomes, moreover, organizational culture shapes the way employees operate and interact with each other in an organization, and affects their self-perceptions, post – task assessment and performance (Beyer, 1990).

The effects of organizational culture on employee behavior and performance can be summarized based on four key ideas (Lunenburg, & Potter, 2012), First, knowing the culture of an organization allows employees to understand both the organization's history and current methods of operation, This insight provides guidance about expected future behaviors, Second, organizational culture can foster commitment to the organization's philosophy and values, This commitment generates shared feelings of working toward common goals, That is, organizations can achieve effectiveness only when employees share values, Third, organizational culture, through its norms, serves as a control mechanism to channel behaviors toward desired and accepted behaviors, This can also be accomplished by recruiting, selecting, and retaining employees whose values best fit the values of the organization. Finally, certain types of organizational cultures may be related directly to greater effectiveness and productivity than others (Deal & Kennedy, 1982).

References :

Bassem E. Maamari and Adel Saheb, 2017.

Bulach, Lunenburg, & Potter, 2012; Hellriegel & Slocum, 2011.

Deal & Kennedy, 1982; Akpa, Victoria O., 2 Asikhia, Olalekan U., 3 Nneji, Ngozi Evangeline,2021.

Awadh and Alyahya ,2013; Zainet al, 2009; Bassem E. Maamari and Adel Saheb, 2017.

Rofcanin et al 2007; Zanin et al2009 Zanin et al,2009.

Hofstede,2011; Bassem E. Maamari and Adel Saheb, 2017.

Debusscher et al, 2017; Dubey et al, 2017; Bassem E. Maamari and Adel Saheb, 2017.

Cross et al ,2000; Bassem E. Maamari and Adel Saheb, 2017.

Van der Post, et al. 1997; Lee, & Yu 2004; Quinn & Cameron 1983.

Quinn & Cameron 1983; Weber & Camerer 2003) as cited in Tandonet al, 2018.

Hamel and Prahalad ,1994; Mnintzberg,1987; Ohmae ,1982; Bassem E. Maamari and Adel Saheb, 2017.