Organizational Culture and Leadership in Forest International

Running head: LEADERSHIP
LEADERSHIP
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LEADERSHIP
The term company culture refers to the personality of the company and defines the
environment in which the employees would work. This includes multiple elements that
comprises of the work environment, value, ethics, company vision, goals and expectations.
Forest International consists of a team-based culture where there is encouragement of the
participation of the employees at all the levels (Schein 2010). This is in juxtaposition to the other
companies that have a more formal and traditional culture of management style. This company is
known for its clear-cut policies about the company culture. Company culture holds meanings for
the employees as the workers would be more likely to enjoy their workplace when they can fit in
the company. It has been found that employees would prefer to work in a workplace that
provides a compatible environment for the employees to work. The internal integration of Forest
International is consistency and involvement. The managerial style of Forest International is
quite flexible and is in consonance with the interests of the employees. Instead of adhering to an
autocratic top-down approach, the company is known for following the bottom-up approach.
Forest International follows a democratic management style where the opinions of all the
employees are taken into account and employee involvement is considered to be an important
aspect of this style of leadership. This is a collaborative process where the management and the
employees would work together and strive towards a common vision. The company also
emphasizes on consistency in the recruitment of the employees (Gregory, Harris, Armenakis and
Shook 2009). The external adaptation of the employees is division of labour, reward system and
the organizational structure. Reward system has been considered an important tool that can be
used by the management to boost the motivation of the employees and for performing high level.
The reward system in Forest International comprises of the decision-making activities, people
process rules and benefits for the employees for their contribution towards the organization.