Samsung Report: Organizational Culture, Power Dynamics, and Politics

This report provides a comprehensive analysis of Samsung, a leading global technology company. It delves into Samsung's organizational culture, examining the four types: power, role, task, and person cultures, and their impact on the company's operations. The report also explores the concept of power within the organization, differentiating between position and personal power, and analyzing various power types such as legitimate, coercive, reward, expert, and referent power. Furthermore, it discusses Hofstede's cultural dimensions, applying them to understand the cultural nuances within Samsung. The report also investigates organizational politics, including the political terrain comprising of weeds, rocks, high ground, and woods, to provide a holistic view of the internal dynamics and influence tactics within Samsung. It offers insights into how these factors contribute to the company's success and challenges.

Samsung
Samsung is a well-known south Korean brand which specialized in many different
electronical categories including television, mobile phones, monitors, fridges, washing
machines, media and many more appliances. It is one of the
most recognizable brand names in the world for technology.
And exports around 5th percent of South Koreas total
exports. It was founded by Lee Byung-Chull in 1938. After
long investing in many departments such as textiles,
shipbuilding and heavy industries did it then enter the technology industry in 1969. In 1990
it expanded all around the world and has made advancements in most technological
appliances. In the early 2000’s with their release of Samsung mobiles their brand name
increased immensely. (Bondarenko, 2015)
Samsung revenue is around 211.2 billion USD and is equal to the 17% of South
Koreas GDP. Its income in 2019 was just about 24 billion USD. With a number or 300,000
employees all around world. (Byford, 2020)
Organizations Cultures
The system which an organization works through is usually the culture which is to be
followed by the people. In a culture, people share similar beliefs which impacts the way they
perform and do their job. It gives the people a certain direction to work with.
Handy’s Model of an organizational culture consists of four parts which are power,
role, task and person.
Power Culture
In this type of culture, power relies on a certain amount of people which are few in
amount who decide most of the decisions that need to be taken. Their influence is upon far
on everyone in the organization. Employees usually are judged upon their achievements
rather than their choice of doing it. This usually results in failure of the best long-term
decisions for the organization.
Role Culture
This culture works in a hierarchy culture, it works systematically and every important
person having their own level of power as you go up the ladder. People have been given

clear roles and responsibilities. Authorities are clear over others. The position of the person
on the ladder defines the power that they have over the ones below them. Having an
expertise is not often given importance or power to. The structures are usually tall and not
flat as task culture is. However, decision making may take a while as it takes time to get to
the top of authority.
Task Culture
In this culture, teams are formed to complete tasks without a single source of power
over them. Power is derived individually depending on their expertise. It may shift from one
to another depending on the task based on their expertise. Unlike role culture where you
have authority over others, in this power may shift from one to another depending on the
task at hand. Individuals are responsible for their own tasks which may be a risk.
Person Culture
This is a very unusual culture which is not used by many organizations. Every person
in this culture believe they are superior to the business. It is a culture where the cluster of
these people have similar training and background to each other. Each individual carries
their own individual power in the business.
Hofstede’s Cultural Dimensions
This framework was created in 1980 specifically to understand the different cultures
around the world in countries which one is not so knowledgeable about. It is to help
distinguish how differently the business is done in these countries. There are six categories
which help define the culture which are:
Power Distance Index
This index helps figure out the power and inequality that is borne and to which
extent. It is evaluated from the lowest level. When there is a high-power index, it shows that
the culture has acceptance of inequality and of power differences. It favors government and
respect is given to higher authorities and ranks.
Individualism vs Collectivism
Individualism basically indicates how there is more of an importance to a person’s
personal goals and improvement rather than where collectivism focuses on achieving goals
and importance as a group.
Uncertainty Avoidance Index
This index focuses on till which extent are the uncertainty and ambiguity tolerated
and looked over. How unexpected situations are dealt with. When there is a high
uncertainty avoidance index it basically means that there are few unexpected situations and
have high risk control over the situations. The unknown is basically made less through rules
and regulations. When there is a lower uncertainty avoidance index, there is more space for
the unexpected situations to take place. The unknown is basically more easily accepted.

Masculinity vs Femininity
It is also known as the tough or tender aspect which looks upon on the preference of
work culture in the society. What is the attitude upon the sexuality equality, behavior and
how it is looked upon? Masculine characteristics being distinct gender roles, assertive and
wealth building. Feminine characteristics being gender fluid, modesty and nurturing.
Long-Term Orientation vs Short-Term Orientation
Long term orientation basically focuses on the future and does not give much
thought to short term accomplishments and profits rather they focus on the long-term
growth and success that they will receive later on. Short-term orientation on the other hand
focuses on the near future and gaining success sooner rather than thinking of the future,
instant success and gratification is needed.
Indulgence vs Restraint
This considers the extent to which the society goes to fulfill its desires and how they
can control their impulses. Indulgence being free willed and allowing gratification to
enjoying and living life while having fun. Whereas restraint being suppressing the needs of
gratification of needs.
Types of Power
Power is basically the potential to influence or control the decisions of people.
Politics is the way to achieve and give power to people. Organizational politics refers to
gaining power which does not require merit or luck. Political skill is to be able to socialize
and adapt accordingly to the situation and its demands. They need to have trust and
support who appear genuine and sincere and need to be able to influence other people.
Position Power
Managers have power as they have authority and the right to order people around
due to the position that is given to them. The power comes from a few ways which are:
Legitimate Power
It is the managers formal position on the hierarchy and is above many of its
subordinates. Due to the hierarchy they are given more importance and power over others.
Everyone who they are above from the hierarchy they have more power over them.
1. Coercive Power
This comes from controlling people through threats of getting punishment or
through fear. Some punishments that can be given are not giving an employee promotion,
firing an employee and giving bad performance evaluations. For this to be effective,
employees need to fear punishment and want to be part of this business.
2. Reward Power

This involves controlling people by motivating them through rewards or promises of
them. Some rewards in an organization could be promotion, bonuses, day off and
recognition to employees. This will be important to employees who care well enough for the
business and are looking to get higher pays.
Personal Power
Managers gain power through personal characteristics as well which are as follows:
1. Expert Power
Being an expert in a certain skill or abilities and having knowledge on a certain aspect
helps in influencing people and guiding them which gives them a certain power and a
greater image over others. Group members need to respect when expertise is involved.
2. Referent Power
Being able to influence people through traits and characteristics which would be
desirable by others. Having leadership skills and traits really give a person power over
others. Being charismatic contributes to this power.
Organizational Politics
The different activities that are associated with the politics in an organization are
done by influencing tactics to achieve organizational goals. People will political skills are
better in gaining personal power by managing stress and the demands of the jobs by feeding
their political selves.
The Political Terrain
To determine the different types of political activities happening at an organizational
context or individual, the political terrain is used to clearly state the distinct line between
them. This consists of the weeds, rocks, high ground and woods. Knowing whether activity is
being done on organizational or personal level through formal or informally is the key to
differentiate them.

The Weeds
The Weeds come under the informal source of power and takes place at an
individual level. This is an informal group which is made to cover specific tasks or projects
which other generals are not doing due to any reason. They do this to keep the reputation
of the organization and complete all important tasks. The weeds can quickly turn
disadvantageous due to the gaps and informal grouping.
The Rocks
The Rocks come under the formal source of power and under the individual level.
The people classified in this category are given power through their roles of authority such
as title and expertise. This also includes any strong ties that they may have with groups with
high status. A role in this context could be a chairman who is fickle and disagrees with the
work their employees are doing often. And is able to fire them or stop projects as he wills.
This causes bureaucracy in the organization if leaders act in this manner.
The High Ground
This category comes under the formal source of power within an organizational
level. In this system the rules, regulations, guidelines have been set which have to be
followed by the people in the organization. The benefit being that it keeps people in check
who have a need for individual level power. Its very functional but limits innovations and is
bound to become bureaucratic constrained with no change.
The Woods
The Woods come under the informal source of power in an organizational level. There is an
unspoken system in the organization which is not stated but is seen and adapted to with
routine. It can either be a source of good ideas or a place of no emotions being shared and
very dull. No innovations or changes coming. There is no spoken system but is still there due
to the routine of people. It is easy for organizations to get lost in the woods that’s why it is
important to ask questions and be seen.