Solent University: Organisational Culture's Impact on Performance

This essay examines the significant impact of organizational culture on organizational performance, using the British supermarket chain Morrisons as a case study. The report delves into the core components of organizational culture, emphasizing its influence on employee behavior, values, and beliefs, and how these factors collectively shape performance. The essay explores various aspects of organizational culture, including risk orientation, collaboration, and the role of organizational structure in fostering a positive work environment. It discusses different types of organizational culture, such as clan, adhocracy, market, and hierarchical cultures, and their respective impacts on employee engagement, innovation, and overall business outcomes. Furthermore, the essay applies management theories, specifically Hofstede's Six Dimensions of Culture, to analyze cultural differences and their influence on organizational dynamics. The conclusion highlights the critical role of a positive and well-defined organizational culture in driving employee satisfaction and organizational success.

Contemporary
Management
Theory

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY ..................................................................................................................................3
CONCLUSION ...............................................................................................................................6
REFERENCES................................................................................................................................8

INTRODUCTION
Every organisation want to become successful and gain more profitability so that
organisation need to pay more attention on their performance. To improve the performance level
of the organisation, it is necessary to focus on organisational culture. Basically organisational
culture is consider the proper manner to behave in an organisation and it mainly contain the
values, beliefs and attitude and behaviour of the employees and it is important for the manager to
take care about every employees share more values and respect all employees belief.
Organisation culture maintain the experience of employees, improve the way of thinking, respect
the value and belief of everyone which can help to improve the behaviour of the employees so
that they can work together and improve their performance level. This report will discuss about
the Morrisons organisation culture and organisation performance. Morrisons is the most famous
British supermarket chain that deal with the hospitality industry. Which established in the year
1899 and the headquarter established in Bradford, UK. The main purpose of this report is to
identify the impact of organisation culture on organisational performance.
MAIN BODY
Organisational culture is considered as the systematic framework that mainly shared the
values, belief and also help to change the behaviour and attitude of the employees so that a
positive working environment can create. Organisational culture include the expectations,
philosophy, experience and positive behaviour so that all the employees can expressed their
positive self image and effectively communicate with the other employees management. There
are various things and activities which include in the organisation culture and help to reduce the
issues in an organisation. Some specific activities such as provide freedom for decision making
to the employees, develop the new ideas, consider the personal experience of the employees,
increase flow of information by hierarchy and many more (Elsmore, 2017). All these things
maintain with the help of effective organisational structure. There are some characteristics of the
organisational organisation considered by the manager of the Morrisons like risk orientation,
precision orientation, achievement orientation, fairness orientation, collaboration orientation,
competitive orientation and rule orientation. All these characteristic can help to improve the
system and environment of the organisation so that management and employees both work
together without any conflict and disputes. This report also determine the role of organisational

structure, which can help to develop the strong corporate culture and also increase the goodwill
of the Morrisons and also improve the performance level of the employees and also organisation.
Some specific role of organisational culture such as it can help to improve the unity, provide the
sense of identity to the employees, enhance the open communication, generate commitment, set
specific organisational norms, standards & rules, enhance the mutual trust & cooperation etc.
Morrisons follow an effective organisation culture which can help to improve the productivity of
the employees so that they can perform well. Morrisons follow some steps which can help to
build the high performing organisational structure. Some specific steps are excel in identification,
enable the employee voice, consider your leader as a culture advocates, follow organisational
values, create connection among team members, concentrate on learning & development, keep
culture on mind from the beginning. Personalize employees experience. All these steps followed
by the Morrisons which are useful to create the strong and systematic organisational culture in an
organisation ( Kellie Wong, 2020). Morrisons contain various type of organisational culture,
which are helpful to maintain the working of the organisation. Four types of organisational
culture such as clan culture, adhocracy culture, market culture and hierarchical culture. On the
basis of clan culture, it mainly rooted in the collaboration. Its primary focus on the mentorship
& teamwork and it consider the flexibility & discretion. This type of culture focus on internal
and integration concept of the organisation. The main motto of of clan culture is “WE are all in
this together”. This culture concentrate on the employees and treat organisation like a family
(Oyemomi and et. al., 2019).There is highly cooperative & collaborative working atmosphere
where every employee can communicate effectively and do their task. This culture mainly paired
with the horizontal structure that is useful to reduce the barriers and encourage the employees to
perform well. There are various benefits of this culture like clan culture enhance the high rate of
employee engagement and provide the satisfaction to the employees because satisfied employees
can create the good relationship with the customers. Adhocracy culture, the primary focus on
risk taking and innovation, this culture consider the quality like flexibility & discretion that
concerned about the external focus & differentiation. The main motto of this culture is “ Risk it
to get the biscuit”. This culture mainly concerned about the innovation and it can help to develop
the innovative things and risk taking so that organisation can effectively improve their
performance. This culture value provide the sense that is beneficial to encourage the employees
so that it can think creative and with the innovative ideas they can effective improve their

productivity and performance and take risk so that they can effectively maintain their
effectiveness (Cropley and Cropley, 2017). There many benefits of this culture like it can help to
gain more revenue, all the employees stay motivated and enhance the professional development
and personal development. As per the market culture,the primary focus of this culture is on
competition & growth. In this culture, stability & control is the main quality that can help to
maintain the positive Woking environment. The main motto of this culture is “ we are in it to
win”. Market culture provide the profitability to the organisation and it is useful to evaluate the
bottom line of the mind and each employees position contain the specific objective that mainly
aligns to perceived the organisation. This type of culture is result oriented and focus on external
success as compared to the internal satisfaction. The main benefit of market culture is it can
mainly concerned about the external organisational activities. In term of Hierarchy culture, the
primary focus of this structure is on structure & stability and it follow the stability & control
quality that mainly concerned about the integration. The main motto of this culture is “ Get it
done right”. It can follow the traditional corporate structure and the main concern of this culture
is on internal organisation and use the clean chain of the command. This culture provide the
effective working condition and very appropriate for the employees to follow. The main benefit
of this structure is that it provide direction to the organisation and well define the process of the
organisation activities ( Kate Heinz , 2019). Morrisons consider all these culture which can help
to improve the marketing and performance of the employees.
Organisation culture follow various appropriate theories and model that can help to
maintain the working of the organisation and also responsible to enhance the performance level
of the organisation. Morrisons organisation manager use Hofstede's Six Dimensions of culture ,
which developed by Psychologist Dr Geert Hofstede. This theory published in the end of 1970s.
There are various steps involved in this dimensional theory like power distance index,
individualism vs. collectivism, masculinity vs. femininity , uncertainty avoidance index and
indulgence vs. restraint (Kuo and Tsai, 2019). On the basis of Power Distance Index, this
dimension mainly express the specific degree in which less power people of the society accept &
also expect that power factor distributed unequally. The main issue address that how society
balance the inequalities among the people. As per the Individualism Vs. Collectivism, this
dimension define the preference for loosely knit framework for the social people. In this
dimension , individual came expect to concern only themselves and also their families.

Collectivism is opposite of individualism , in term of collectivism, it mainly present the
preference for the tightly -kit framework as per the society and individual expect that their
relatives and other members are in grope and it exchange the unquestioning type of loyalty.
Masculinity Vs. Femininity, on the basis of Masculinity, it present the preference in the society
for achievement , assertiveness , material rewards & heroism which can help to provide the
success. It can predict that there is lot of competition in the society (Oh and Han, 2020). And in
term of Femininity, it stand for the preference of cooperation , caring , modesty, quality of life. It
considered that society is more consensus – oriented. Uncertainty Avoidance Index, UAI
dimension express the degree in which people of the society mainly feel uncomfortable,
uncertainty & ambiguity. The main issue is considered that how society can deal with specific
facts that not predict the future. It can try to control the future and maintain the unorthodox
behaviour & ideas. Indulgence Vs. Restraint, IVR mainly stand for the society that can help to
allow the free gratification of the natural humans drives that mainly related to the enjoying the
life in an appropriate manner. Restraints can mainly focus on society that can help to suppress
gratification of the requirement& regulates the strict social norms (Oyewobi, Abiola-Falemu and
Ibironke, 2016). All these dimensions are essential and used by the Morrisons so that they can
effective overcome the differences and regulate the positive environment that can help to
improve the performance of the employees and employees performance help to improve the
organisation performance. Morrisons focus on the requirements of their employees so that they
can gain more employees satisfaction to full fill the their expectations. There are various
competitor of Morrisons like Tesco, Sainsbury, M& S and many more which also provide high
quality services to their customer so that to take more competitive advantage Morrison can
concentrate on this model that can help to address the internal and external marking environment
and also reduce the issues which affect the performance of the organisation.
There are various issues experienced by the organisation like lack of accountability, lack
of alignment, poor execution, lack of clear vision and many more which affect the performance
of the Morrison organisation so that manager of the organisation used effective techniques and
practices of the organisational culture so that they can effectively improve their performance.
CONCLUSION
According to this report it can be concluded that organisation culture play an important
role to improve the organisational performance. This report mainly discussed about the impact

of the organisational culture on the organisation performance. This report identified that
organisational culture provide the positive impact on the employees and organisation both
performance. A happy and satisfied employee is the key of success and that can help to provide
the more profitability to the organisation. This report identified various type of organisational
structure like clan, market and hierarchical culture that can help to provide the positive impact on
the working of the organisation.

REFERENCES
Books and Journals
Elsmore, P., 2017. Organisational Culture: Organisational Change?: Organisational Change?.
Routledge.
Oyemomi, O., et. al., 2019. How cultural impact on knowledge sharing contributes to
organizational performance: Using the fsQCA approach. Journal of Business Research,
94, pp.313-319.
Cropley, D. and Cropley, A., 2017. Innovation capacity, organisational culture and
gender. European Journal of Innovation Management.
Kuo, T. and Tsai, G.Y., 2019. The effects of employee perceived organisational culture on
performance: the moderating effects of management maturity. Total Quality
Management & Business Excellence, 30(3-4), pp.267-283.
Oh, S.Y. and Han, H.S., 2020. Facilitating organisational learning activities: Types of
organisational culture and their influence on organisational learning and
performance. Knowledge Management Research & Practice, 18(1), pp.1-15.
Oyewobi, L.O., Abiola-Falemu, O. and Ibironke, O.T., 2016. The impact of rework and
organisational culture on project delivery. Journal of Engineering, Design and
Technology.
Online
Wong, K.,Organizational Culture: Definition, Importance, and Development, 2020, [Online ]
Available Through <https://www.achievers.com/blog/organizational-culture-
definition/>
Heinz, K.,THE 4 TYPES OF ORGANIZATIONAL CULTURE YOU SHOULD KNOW, 2019,
[Online] Available Through <https://builtin.com/company-culture/types-of-
organizational-culture>