Organisational Culture, Employee Motivation, and Success: Woolworths

This report provides an in-depth analysis of Woolworths' organisational culture, examining its structure, values, and assumptions using models like Handy's and Edgar Schein's. It explores how culture enhances organisational effectiveness through communication, employee retention, and team performance. The report also highlights the critical role of culture in employee motivation, referencing Maslow's hierarchy of needs to illustrate how a positive culture can fulfill employee needs. Finally, it discusses strategies for Woolworths to leverage its culture to further enhance its success, emphasizing the importance of employee engagement and satisfaction. The report is a valuable resource for understanding organisational behaviour and its impact on business outcomes, offering practical insights into creating a thriving workplace environment at Woolworths.

REPORT

Executive Summary
Organisational behaviour is study of behaviour of organisation and individuals in
organisational setting. This report discussed about organisational culture which is one of the very
important aspect of organisational behaviour and element affecting behaviour of individuals in
organisation. In this practices of Woolworths were considered and secondary research was
undertaken for the purpose of identifying theories and models of the organisational culture.
Secondary research was done through different online sources and through journals and articles
about organisational culture.

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Role of culture on employee motivation.........................................................................................1
Ways in which company could use the culture of the organisation to further enhance its success.2
REFERENCES................................................................................................................................5

INTRODUCTION
Organizational behaviour can be defined as human behaviour study that help organizations
in understanding factors that can influence human behaviour (Yusof and et. al., 2017).
Organizational behaviour plays a vital and important role within an organization. This study
further helps firms in understanding factors that can motivate their employees and enhance their
overall performance as well as further helps in understanding factors that can demotivate their
employees and eventually result in degradation within their overall performance. Organization
that will be focused upon in this study is Woolworths Group Limited. It is a retail sector
Australian Company that was founded in 1924 whose main headquarter is in Bella Vista, New
South Wales, Australia. They specialize in grocery selling, selling magazines, DVD, beauty
products, household products, baby supplies, stationary items etc. This report will lay emphasis
upon identification of Woolworths culture in line with a theoretical model, ways in which culture
improves organisational effectiveness with a focus on communication, role of culture on
employee motivation, and ways in which company could use the culture of the organisation to
further enhance its success.
Identify its culture in line with a theoretical model of your choice
There are different models and theories of organisational culture and these theories
include-
Handy’s Model of Organisational Culture
This model outlines that there are mainly four types of culture in an organisation. Tthese
types are:
Power Culture- This is one of the types of organisational culture in which power in organisation
remains in hands of few people and they are required to take decisions of organisation. These
few people in organisation have all special privileges and are decision-makers in organisation
(Ruck, 2017). Employees in such organisational culture have no option but to follow what
decisions are taken by these people with power.
Task Culture- Task culture is another culture organisation follow and in this culture
organisation is based on teams and these teams are developed to solve specific problems
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identified by the organisation. In this individuals with specialisation and common interest come
together and form team in which every member of the team contribute equally.
Person Culture- This is a culture in organisation in which individuals in organisation consider
them superior to organisation. This is the reason that in such organisation individuals keeps their
interest at priority and organisational interest comes later for them. This type of organisational
culture is mainly followed in firms of professional such as firms of lawyer.
Role Culture- Role culture is type of culture in which organisations have employees with
delegated roles and responsibilities. In such culture and organisation power of individuals comes
from their position (Nightingale, 2018). Position that individual get is mainly based on their
specialisation and capabilities that they are able to carry out activities associated with the role.
On the basis of this model it can be said that in Woolworths follows role culture in
organisation because every individual in organisation have predefined roles and responsibilities.
In addition to this for different roles individuals or employees are selected on the basis of their
competency and qualification.
Edgar Schein Model of Organization Culture
Another model of organisation culture is Edgar Schein Model of Organization Culture. This
model of organisational culture involves three phases in which Artifacts and Creation is first
stage, Values, is second and Basic Assumption is last phase.
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Figure 1 Edgar Schein Model of Organization Culture
Artifacts- This is first phase of an organization’s culture in which visible aspect of organization
is included such as structure and processes of organisation that are visible to everyone (Darling,
2017). In this process and structure of Woolworths are included that suggests what activities are
carried out and what is the process and structural system of activities being carried out.
Values- These are strategies, goals, philosophies and justifications that are given by
organisation. This is also known as those values and philosophies that organisation
communicates and those are included in statements of organisation. In relation with Woolworths
their statements about what they value such as sustainability, value of customers, value of people
or employees are statements and included in this phase of organisational culture.
Assumptions- This is concerned with perception, feelings, thoughts and beliefs that individuals
in organisation have about organisation. This means what employees of Woolworths feel and
consider about organisation and how they perceive organisational culture is known as
assumptions of organisational culture (Duerr and et.al., 2018). This aspect of organisational
culture is invisible and not something that organisation communicates and states about in public.
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Explore how culture improves organisational effectiveness with a focus on
communication
Organisational effectiveness gets significantly affected by the culture of organisation and
it has very important role in improving organisational effectiveness.
Transforming employees into advocates through communication
This is a way through which organisational culture can improve organisational
effectiveness in which it is required that employees are communicated their values. Through
communication with employees Woolworths creates a culture in which employees become
advocates so that Woolworths have many ideas collected through its employees. This also
involves consulting with employees so that they are able to share their views on decisions that
are being taken for Woolworths in Woolworths (Gochhayat, Giri and Suar, 2017). This change in
organisational culture is only possible through effective and strong communication in
organisation.
Keeping best people in organisation
This is also a very important role of culture in organisation for improving organisational
effectiveness. People in organisation have several expectations from organisation and its culture,
in order to retain best people it is important that their expectations are heard and considered. To
considering their expectation and working on fulfilling their expectations and requirements it is
very important that organisation have best practices of communication. This means that in
Woolworths a system is there so that employees can communicate about their concerns and also
organisation can clearly communicate about its expectations from employees.
Clarity and Transparency
Clarity and transparency are also important ways through which organisational culture
can improve its effectiveness. Clarity and transparency include that roles and responsibilities,
accountability and expectations are clear in the organisation. This plays very important role and
enables individuals in organisation to complete their roles and jobs effectively (Curry and et.al.,
2018). Clarity and transparency ensures that everyone in organisation has all required
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information regarding their work. Woolworths have developed such clarity and transparency
through effective communication in organisation.
Improving team performance
Teams are very important part of the organisation and strong and effective team
functioning is mainly based on strong, effective, clear and continuous communication within
team. This means that in team, communication of and between members enable team to function
effectively and discuss aspects of work, share problems and find solution of the problems.
Effective communication is an indicator and effective culture and team and organisational
effectiveness gets significantly affected by this.
Motivate Employees in organisation
This is also a role of organisational culture through which it can improve effectiveness of
Woolworths. Motivated employees are very important for effectiveness of organisation and this
is why culture is important because of being an important element of employee motivation
(Oyemomi and et.al.,2019). Regarding motivation it also require being considered that
motivation of employees get significantly affected by communication in organisation. Improper
communication in organisation can affect motivation and morale of the employees in
organisation.
Above discussion suggests that culture of the organisation can improve organisational
effectiveness in several ways and in this considering role of communication is very important for
Woolworths and have led to success of organisation.
Role of culture on employee motivation
Culture of an organization plays a vital and important role in increasing overall
motivational level of employees. It is important for organizations to focus upon enhancing
overall organizational culture as it can directly impact overall motivational level of employees
which can eventually result in increasing employee turnover rate. Positive working culture of a
firm help employees to feel that they are a part of organization. It works like a magic force on
employees that can help in driving overall performance of employees and can further motivate
them to work upon their current skills, knowledge and qualities (Rantesalu, Mus and Arifin,
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2017). There are various kinds of motivational theories that can help in understanding
importance of culture on employee motivation. In order to develop a positive organizational
culture organization need to understand needs and requirement of employees and Maslow’s
hierarchy of needs can help organizations like Woolworths to develop a working culture that can
help them in fulfilling main needs and requirements of their employees. Maslow’s hierarchy of
needs theory helps in understanding hierarchy in which needs of employees should be fulfilled.
This theory can help Woolworths to understand thigs that an employees desires and expects from
the organization to be fulfilled to live a fulfilling life. A well-developed organization culture can
fulfil needs of their employees and if all the needs of employees is fulfilled in an adequate
manner then it eventually results in enhancement of motivational level of employees. If it is
explained with the help of Maslow’s theory then:
Survival needs: An organization with highly positive organizational culture will be providing
good salaries to their employees so that their basic survival needs can be fulfilled (Yang, Wang
and Mohammed, 2019).
Security needs: An organization with highly positive organizational culture will enhance sense of
security of employees. For example: they will provide health insurance of employees, provide
them travelling allowance, have complete security at office so that employees feel safe within
workplace.
Belonging needs: highly positive organizational culture firms like Woolworths will establish a
proper communication channel or program that includes all the employees so that employees feel
that they are a part of organization.
Importance needs: Highly positive organizational culture firms will make rewards, incentives,
appraisals etc. as a part of their organizational culture. This will help them to make their
employees feel that they are importance of organization and will eventually motivate them.
Self-actualization needs: Positive organizational culture will help employees to feel that their
achievements are being recognized by the organizations and they are being rewarded for the
same and their path of moving forward in carrier is being supported by the organization.
Above explanation of role of culture in motivating employees with the help of Maslow’s
hierarchy of needs theory clearly helps in understanding that it is important for Woolworths to
develop a highly positive and effective organizational culture as it can directly influence
motivational level of employees. This further helps in understanding role of culture and its
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importance for organization in understanding ways in which it can help in enhancement of
employee motivation. If an organization need to shape their culture then they need to consider
needs and requirement of employees and shape their organizational culture accordingly or
enhancement of motivation and engagement of employees.
Ways in which company could use the culture of the organisation to further
enhance its success
As it has already been discussed that culture plays a vital and important role for an
organization like Woolworths. So, in order to ensure that overall performance of all of their
employees is high and for ensuring their success it is extremely important for them to work upon
their current organisational culture. It can also be said that working on organizational culture can
further enhance success of organization in a much better manner (Al-Ali and et. al., 2017). There
are various ways in which company could use the culture of the organisation to further enhance
its success. Some of them have been explained below in detailed manner:
Woolworths can focus upon enhancing orientation and onboarding. From past research studies it
has been identified that almost 20 percent of employees quit organization within 90 days of their
joining an this is because of they do not get proper orientation and their no well-thought -out
onboarding process. This increases overall employee turnover rate of organization and further
increases recruitment and selection cost. Organizations can focus upon developing and effective
and engaging orientation as well as a well thought out onboarding process (Warrick, 2017). This
will directly help firm in developing a positive culture which will motivate employees to
continue their career within that organization, reduce their recruitment and selection process cost
and ensure success.
Woolworths can focus upon conducing behavioural reviews and make it a part of organization.
This will directly help organization in understanding whether their employees will be able to
understand their organization’s culture or not and will understand core values of their job. This
will further help organization in ensuring that their employee retention rate is much higher. It
will one of the ways in which organization can use their culture to ensure success because high
retention and performance rate of employees will eventually enhance overall business
performance of organization and enhance success rate of business operations of organization.
Organizations like Woolworths can further focus upon using a part of organizational culture
which is promotions, rewards, incentives, appraisals etc. for ensuring success (Pham and et. al.,
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2018). In order words in order to ensure success it is important for firms to know that all of their
employees are highly motivated, they are giving their best and focusing upon enhancing their
overall performance. this can be done with the help of reward and appraisal process as this
process directly help in motivating employees and make then feel that they are an important part
of the organization and will focus upon enhancing their current skills and knowledge so that they
can ensure that all the expectations of organizations are being fulfilled by them. In this manner
organization can use their organization culture to ensure success.
Other than this organization can further focus upon using training and development a part of
their culture for ensuring success because training and development will enhance current skills
and knowledge of their employees and will enhance their overall performance which will make
sure that organization achieve success.
CONCLUSION
On the basis of above discussion it can be concluded that there are several models and
theories of organisational culture and on the basis of Handy’s model of organisational culture
Woolworths have role culture. In addition to this, Schein model of culture and different aspects
linked with culture of Woolworths was also discussed in report. Culture of organisation has
strong impact on its effectiveness and in report of culture of the organisation can improve its
effectiveness was also discussed. In this report role of culture in employee motivation was also
discussed and discussion suggests that culture has a very important role in employee motivation.
Culture along with influencing motivation of employees can also affect and can be used by
organisation to enhance its success.
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REFERENCES
Books and Journals
Al-Ali, A.A., and et. al., 2017. Change management through leadership: the mediating role of
organizational culture. International Journal of Organizational Analysis.
Curry, L.A and et.al., 2018. Influencing organisational culture to improve hospital performance
in care of patients with acute myocardial infarction: a mixed-methods intervention
study. BMJ quality & safety, 27(3), pp.207-217.
Darling, J., 2017. A conversation with Edgar Schein: Aligning strategy, culture, and
leadership. People & Strategy. 40(2). pp.64-68.
Duerr, S and et.al., 2018, January. What is digital organizational culture? Insights from
exploratory case studies. In Proceedings of the 51st Hawaii International Conference
on System Sciences.
Gochhayat, J., Giri, V.N. and Suar, D., 2017. Influence of organizational culture on
organizational effectiveness: The mediating role of organizational
communication. Global Business Review. 18(3). pp.691-702.
Nightingale, A., 2018. Developing the organisational culture in a healthcare setting. Nursing
Standard. 32(21). pp.53-63.
Oyemomi, O and 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.
Pham, T.N., and et. al., 2018. Enhancing the organizational citizenship behavior for the
environment: the roles of green training and organizational culture. Management &
Marketing-Challenges for the Knowledge Society.
Rantesalu, A., Mus, A.R. and Arifin, Z., 2017. The effect of competence, motivation and
organizational culture on employee performance: the mediating role of organizational
commitment.
Ruck, K., 2017. Organisational culture. In Exploring Internal Communication (pp. 37-46).
Routledge.
Warrick, D.D., 2017. What leaders need to know about organizational culture. Business
Horizons. 60(3). pp.395-404.
Yang, B., Wang, L. and Mohammed, B.O., 2019. Improving the organizational knowledge
sharing through online social networks: The mediating role of employee
motivation. Kybernetes.
Yusof, H.S.M., and et. al., 2017. The relationship between organizational culture and employee
motivation as moderated by work attitude. Journal of Administrative and Business
Studies. 3(1). pp.21-25.
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