Organizational culture is crucial as it holds the company together and impacts practically everything within the organization, building its identity, too. It sets a common code of values and behaviors defining the culture and provides a unified force towards a certain goal. A good corporate culture results in a committed and satisfied working environment, increasing productivity and quality of work (Ratnasari, Prasetiyo, and Hakim 57 ). It also contributes to the appeal and retention of talent, as people tend to find their fit in workplaces that make them feel acknowledged and in line with the organization’s culture. A healthy organizational culture allows an organization to handle conflicts and change and adapt, which is an important condition for sustainable growth. It builds customer perceptions and relationships, which influence brand reputation and loyalty. Organizations with stronger cultures are more open to innovation by allowing creativity and collaboration within the workforce. It is not just a part of the business and the core factor that determines the company’s success and its employees’ well-being.
Reasons for Bad Organizational Culture
Businesses are thus found to have an organizational culture with negative elements due to several factors coming together. A prevalent area is the absence of a clear leadership vision providing overall focus and unity in which employees find their purpose and direction. Leadership may be a failure in other cases by neglecting the significance of culture itself, focusing only on the near-term financial goals, and ignoring the long-term benefits of bringing the people together and keeping them happy. Communication is very important in that the organization communicates well to avoid cultural problems, and thus, a good environment will be created. The absence of purposeful development and implementation of good values and conduct may result in some toxic behavior, including bullying, discrimination, and immoral practices.
An underdeveloped employee appreciation and growth program will likely create a demotivated workforce, reducing productivity and morale. In some companies, a traditional hierarchical structure drives people away from being creative because they do not feel valued or heard. An unchangeable environment or the organization’s inability to cope with new challenges or market demands can inhibit the motivation of the staff. The fact that the management does not ask for their feedback and does not consider it an important part of the culture can easily make the employees feel disconnected and alienated. Quick expansion, while ignoring cultural integration, can lower core values that are eventually perceived as disjointed and negative organizational culture.
Critical Factors
The most important element of having a great work culture is the direction from committed and genuine leadership. Managers determine the culture and climate of the organization by their actions and decisions, as well as what they give credit and rewards for (Roszkowska and Melé 188 ). They are the bedrock of organizational culture and serve to shape the company’s values and project vision, as well as the personification of the ideals the company wishes to diffuse among the employees. Skillful managers help create an atmosphere of trust, respect, and free communication, encouraging employees to talk for a common goal, share their ideas, and contribute towards company goals. They celebrate and recognize successes, resulting in higher employee motivation and reaffirming the desired behaviors. The best leaders know how to build the organization’s resilience and ability to eat the changing environment without surrendering its core values. They are dedicated to the unending quest for improving organizational processes and cultural growth.
Works Cited
Ratnasari, Sri Langgeng, Endiet Jaloe Prasetiyo, and Lukmanul Hakim. “The effect of organizational commitment, organizational culture, work environment, and leadership style on job satisfaction.” Enrichment: Journal of Management 11.1, Novembe (2020): 57-62.
Roszkowska, Paulina, and Domènec Melé. “Organizational factors in the individual ethical behaviour. The notion of the “organizational moral structure”.” Humanistic Management Journal 6 (2021): 187-209.
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