How Organisations Manage Their Culture Strategically Essay

Recent re guesss of the relationship of organisational nuance to strategical Human Resource Management (SHRM) suggest that subtlety plays a prodigious role in strategy implementation for sustaining competitive advantage and contribute to self-colored performance (Dyer & Ericksen, 2005 Roberts & Hirsch, 2005 Roehling et al. , 2005). A search of the literature reveals only twain empirical studies examining organisational agri nicety from an SHRM perspective.The first study was a micro SHRM summary examining the relationship between organisational culture and HR practices. An international study was conducted development Hofestedes model to examine each participating countrys cultural characteristics at a national direct. The findings from this study showed oppose for a powerfuler relationship between HR and indispensable communication practices and a weaker tie-in with rewards (Papalexandris & Panayotopoulou, 2004).A second study of companies in Asia used a misadventur e approach to examine the effect of culture and HR on firm performance. A content analysis of public documents was carried out to assess cultural grade for each organisation. The findings suggested that organisations with elite or leader value pens with a complementary HR system get tod higher financial performance (Chew & Basu, 2005).Although both studies had a number of limitations, both also provided preliminary empirical support for examining organisational culture as an important factor in SHRM research. From the practical viewpoint, varied organisations while implementing their strategic vision of organisational culture pursue different strategic HRM objectives to create trusting environment highlighted by cooperation and openness, to gain sweet food commercialize sh atomic number 18 and reaches targets, to achieve operational efficiency, to look for new opportunities and welcomes new challenges, and so forthThe most prevalent and cited quantitative approaches to stra tegic assessment and management of culture in organisations are Hofstedes (1983) GLOBE dimensions model, Kets de Vries five impaired events model (DeVries & Miller, 1986) and Cameron and Quinns (2006) competing values role model (CVF). From both practical and decisive perspective, managerial literature has relied heavily on the competing values framework, which as a result, has been empirically validated (Cameron & Quinn, 2006 Kwan & Walker, 2004).CVF has also been tested in various slipway in the HR literature using both quantitative (Prajogo & McDermott, 2005) and soft (Boggs, 2004) approaches, such as in studies showing that certain culture values are positively associated with HR outcomes including organisational commitment, job involvement and empowerment, and employee outcomes including job gaiety (Goodman, Zammuto, & Gifford, 2001), operational practices (TQM) and productivity outcomes. Cameron and Quinns (2006) competing values framework offers the most congruous prac tical framework for organisations for several reasons.First, CVF links to strategy implementation and resource-based view (RBV) through the integration of both values and dimensions in the model. The values framework allows for an assessment of organisations based on competing dimensions, which draw out the characteristics of organisational cultures. Second, it provides a level of assessment that tie to RBVs social complexity of managerial expression and leadership, along with its emphasis on organisational capital (i. e. , organisational administration and coordination).Third, the framework has been empirically tested and shown to be valid (Cameron & Quinn, 2006 Igo & Skitto a greater extent, 2006 Kwan & Walker, 2004). Fourth, the framework is measured using the Organisational heathenish Assessment musical instrument (OCAI), which assesses an organisations overall cultural profile through a self-reported survey method. The survey is easily transferable to a format that responden ts dejection interpret and respond to. The competing values framework differentiates organisational cultures on the basis of four culture types.Using the Organisational Cultural Assessment Instrument (OCAI), an organisations overall cultural profile and dominant characteristics can be assessed through a self-reported survey. The model considers two portions of competing values. The first set represents the contrast between the degree of control an organisation exercises on the whiz hand and the degree of flexibility it offers on the otherwise. In other words, where oneness dimension exercises the values for organisations that provide a flexible environment with discretion, the other dimension shapes values around a controlled environment with stability.The second set of competing values is represented by the contrast between the degrees to which an organisation has an internal versus an external focus. Organisations that value an internal focus are interested in the ways in w hich the organisation integrates and operates internally, whereas organisations with an external focus are more interested in examining and responding to the forces outside. These competing dimensions serve as the basis to develop characteristics that shape four organisational culture types, which are measured by the OCAI.Each of these four main culture types has notable distinguishing characteristics. Studies using this approach to examine organisational culture have revealed that a company ofttimes has one dominant culture type but demonstrates varying degrees of each of the other types (Goodman et al. , 2001 Kwan & Walker, 2004 Prajogo & McDermott, 2005). The four organisational culture types are briefly described below. Clan social environment in which employees work well together in teams. Leaders focus on mentoring employees and facilitating group problem-solving. A strong emphasis on ooperation and openness is evident, highlighted by a concern for people and customers. High l evels of employee loyalty are often found in clan-dominant cultures.Market results-oriented approach emphasizing growing the foodstuff and customer base. Leaders are hard driving and competitive with a high demand for achievement. Emphasis is on being a market leader, which is pursued through goal orientation. Hierarchy environment with a strong emphasis on rules and processes. Leaders in such environments are typically good coordinators and organisers. The focus of this culture ype is to develop a stable environment with job security and conformity to rules by employees. Dependability and efficiency are key to its success. Adhocracy innovative, creative environment that encourages risk-taking. Leaders in this culture type are entrepreneurial and encourage others to take risks and innovate. Employees motivated by challenges and new opportunities to create products and services are drawn to adhocracy-dominant cultures. Organisations depending on their existing or potential organisat ional culture type can employ specific organisational methods to achieve their objectives.