Is business performance linked to organizational culture? A study from Tunisian SMEs through subjective measures

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Salim Morched ◽  
Anis Jarboui
Keyword(s):  
Organizational Culture ◽  
Firm Performance ◽  
Employee Engagement ◽  
National Culture ◽  
Energy State ◽  
Organizational Level ◽  
Validity And Reliability ◽  
Content Type ◽  
Job Attitude ◽  
The Impact

Purpose Every independent organization would sincerely like to have competent, loyal and engaged people, as engaged persons are typically those who have significant attachment and active involvement in their organization. Without engaging people, high quality and productivity will not be achieved. The purpose of this study is to explore the impact of organizational culture derived from Tunisian customs of firm performance. Tunisian subcultures may not be represented in the national culture. Design/methodology/approach This study carefully examines the impact of organizational culture on firm performance of Tunisian small and medium-sized enterprises. Results from 100 organizations and companies were collected using questionnaires for data collection analysis from employees occupying various positions in different hierarchical levels. Statistics used are tested by ordinary least squared regression. Furthermore, response bias, validity and reliability were the most important points examined by researchers. Findings These results reveal and confirm that the charisma that has been perceived by employees as energy state has an impact on the performance of the organization, regardless of the moderating effect of the uncertainty of the environment. Moreover, this study also showed that organizational culture has a significant effect on firm performance as well as on the interpretation of the organization, which depends on charisma. Originality/value The implication is that even in a country with many subcultures, excellent management still needs to pay attention to the impact of national culture at the organizational level on job attitude, work ethics and employee engagement, which are however, very limited. It is expected that this finding can contribute to the organization in that management becomes aware of the personality of the employees during their recruitments, especially the chief characteristic of being energetic. Managers need to create a conductive and rewarding environment for individuals to contribute positively.

In today's global environment organizational culture dominates national culture!

2014 ◽  
Vol 21 (4) ◽  
pp. 651-664 ◽  
Author(s):  
Braden R. Kattman
Keyword(s):  
Organizational Culture ◽  
National Culture ◽  
Continuous Improvement ◽  
Management Practices ◽  
Organizational Impact ◽  
Content Type ◽  
Quantitative And Qualitative Research ◽  
Power Company ◽  
The Impact ◽  
Business And Management

Purpose – The specific problem this research addresses is whether cultural differences, national or organizational, impact how effectively the continuous improvement process is received within the supply chain in order to improve supplier performance. The paper aims to discuss these issues. Design/methodology/approach – The research design used a mixed methods approach, combining quantitative and qualitative research. Findings – The research found that Canada was most receptive to continuous improvement, with China being the least receptive. The study found that organizational culture was more influential than national culture. Isomorphism and benchmarking is driving continuous-improvement language and methods to be more universally known within business. Business and management practices appear to take precedence in driving change within organizations. Research limitations/implications – The sample size and countries involved was very small and limited to key medium sized distributed power company (MSDPC) suppliers. This limited diversity and may have introduced supplier selection bias, as well as survey response bias. Practical implications – This research concludes that organizational culture is more dominant over national culture and the influence of leadership within the organization drives the impact of continuous improvement. Originality/value – With isomorphism and the fact that businesses want to be successful, continuous improvement language and methods are becoming more universally known. Business and management practices are now taking precedence in driving change within organizations. Organizational culture is now more influential than national culture.

Employee engagement in Indian power companies: study of executives identifies four key drivers

2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Keyword(s):  
Organizational Culture ◽  
Employee Engagement ◽  
Power Plants ◽  
Power Sector ◽  
Content Type ◽  
Specific Factors ◽  
Indian Power Sector ◽  
The Impact ◽  
The Relationship ◽  
Supervisor Trust

Purpose The purpose was to study how to create employee engagement in the Indian power sector. It also explored the antecedents of employee engagement. Design/methodology/approach Responses were gathered from executives in three companies working at power plants, distribution and transmission offices spread across five districts in the states of Odisha and West Bengal. Findings The research revealed how co-worker trust, supervisor trust and organizational trust all mediate the relationship between organizational culture and employee engagement. The study also compares engagement levels of employees at the three companies. Originality/value The authors say it is crucial to enhance employee engagement by identifying sector-specific factors. The results also help policymakers to appreciate the impact of organizational culture on employee engagement, and formulate appropriate policies.

Drivers of supply chain integration and the role of organizational culture

2016 ◽  
Vol 22 (1) ◽  
pp. 89-115 ◽  
Author(s):  
Erlinda N. Yunus ◽  
Suresh K. Tadisina
Keyword(s):  
Organizational Culture ◽  
Supply Chain ◽  
Firm Performance ◽  
Manufacturing Firms ◽  
Supply Chain Integration ◽  
Equation Modeling ◽  
Content Type ◽  
The Impact ◽  
The Relationship

Purpose – Supply chain integration (SCI) is a set of practices driven by many factors and circumstances. The purpose of this paper is to examine firms’ internal and external drivers of SCI, evaluate the impact of the integration on firm performance, and further investigate the moderating role of organizational culture in strengthening the relationships between firms’ drivers and SCI. Design/methodology/approach – For the purpose of this study, manufacturing firms were identified as the focal firms in supply chains, and thus data were collected through a survey of 223 Indonesian-based manufacturing firms. Two informants from each firm became the respondents. Structural equation modeling was used to analyze the data. Findings – This study confirmed the positive relationship between SCI and firm performance. The results also indicated that internal driver, or specifically firms’ customer orientation (CO), triggered the initiation of SCI. Organizational culture, in terms of external focus, positively influenced the relationship between CO and SCI. Research limitations/implications – This study illustrates the important role of organizational culture in determining the shape of the relationship between firms’ drivers and SCI. The results of this study enhance the understanding of SCI, especially related to types of organizational culture that could promote the integration. Originality/value – This study brings a different dimension of SCI as this study provides evidence from a developing country, which might implement different practices as compared those of developed countries. This study provides a measure of internal drivers, which has not been empirically investigated. The new measure was tested and validated using a rigorous process, and thus could be employed in other studies with different settings.

The impact of strong and balanced organizational cultures on firm performance

2018 ◽  
Vol 10 (1) ◽  
pp. 16-35 ◽  
Author(s):  
Panagiotis Polychroniou ◽  
Panagiotis Trivellas
Keyword(s):  
Firm Performance ◽  
Business Environment ◽  
Negative Influence ◽  
Organizational Level ◽  
Sustainable Competitive Advantage ◽  
Competing Values ◽  
Content Type ◽  
Culture Strength ◽  
Innovation Competence ◽  
The Impact

Purpose This study aims to investigate the relationship between organizational culture and performance. It concerns the aspects of culture related to culture strength and unbalance and its impact on introvert and extrovert firm performance, controlling for business environment and size. Design/methodology/approach Based on the competing values model (CVM), culture strength is measured as the intensity of the culture values driving the company. The cultural unbalance is measured by the sum of absolute deviations of organizational members’ culture perceptions across the four archetypes (adhocracy, clan, hierarchy and market) imposed by CVM from the individual “average” shared cultural value. Evidence is drawn upon a sample of 1,305 employees of 114 Greek firms. Findings The findings indicate a strong positive relationship between culture strength and internal performance (innovation competence and human relations) as well as firm outcomes (profitability, growth and reputational assets). On the contrary, culture unbalance exerts a negative influence to market position, growth and innovation competence. Practical implications Understanding the nature of the association between culture strength, unbalance and firm performance would enable academics and practitioners to reflect critically on the core culture values which shape employee involvement and formulate leaders’ quality improvement decisions and actions, so as to achieve sustainable competitive advantage at the organizational level. Originality/value This research provides supporting empirical evidence for the culture–performance link by identifying the principle culture value characteristics (strength and unbalance), which exert both direct and interaction effects on the introvert and extrovert aspects of firm performance.

scholarly journals Employee perception of impact of knowledge management processes on public sector performance

2019 ◽  
Vol 23 (2) ◽  
pp. 351-373 ◽  
Author(s):  
Sultan Ali Al Ahbabi ◽  
Sanjay Kumar Singh ◽  
Sreejith Balasubramanian ◽  
Sanjaya Singh Gaur
Keyword(s):  
Knowledge Management ◽  
Public Sector ◽  
Firm Performance ◽  
Innovation Performance ◽  
Extensive Literature ◽  
Validity And Reliability ◽  
Content Type ◽  
The Public ◽  
Operational Quality ◽  
The Impact

PurposeThe application of knowledge management (KM) is critical to public sector firm as it is to private sector firm. However, despite its significance, the academic enquiry of KM in public sector is at its nascent stage. This forms the motivation of the present work; this paper aims to analyze and understand the intricate relationship between KM processes and public sector firm performance in terms of operational, quality and innovation performance.Design/methodology/approachA comprehensive KM processes–performance framework consisting of seven constructs (four constructs of KM processes and three constructs of KM performance) and their underlying factors was developed through an extensive literature review. The employee perceptions of these seven constructs were captured on a five-point Likert scale using a country-wide survey in the UAE public sector. The 270 valid responses captured were then used to first validate the KM framework and then test the hypothesized relationships between KM processes and KM performance.FindingsThe findings show that all four KM processes (knowledge creation, knowledge capture and storage, knowledge sharing and knowledge application and use) had a positive and significant impact on operational, quality and innovation performance of public sector in the UAE.Research limitations/implicationsThe findings confirm the validity and reliability of all the seven constructs and their underlying factors and the assessment framework. Overall, this study fills a gap in the literature about applying/implementing a KM framework for the public sector and therefore significantly contributes toward the theoretical advancement of the field. However, the study does acknowledge the use of perceptual measures of individual employees as a limitation instead of more objective measures to capture the impact KM processes on KM performance.Practical implicationsThe strong and significant impact of KM processes on firm performance is expected to provide the impetus for practitioners and policymakers to implement and leverage from KM processes and improve firm performance in the public sector.Originality/valueA comprehensive development, validation and assessment of a KM framework for the public sector has not been attempted previously anywhere, let alone UAE, and hence constitutes the novelty of this work.

scholarly journals Exploring the impact of geographical traits on the occurrence of supply chain failures

2017 ◽  
Vol 22 (2) ◽  
pp. 160-171 ◽  
Author(s):  
Christian F. Durach ◽  
Frank Wiengarten
Keyword(s):  
Organizational Culture ◽  
Supply Chain ◽  
National Level ◽  
Organizational Level ◽  
Content Type ◽  
Factors Affecting ◽  
Country Level ◽  
Culture Dimensions ◽  
National Environment ◽  
The Impact

Purpose This research aims to explore the impact of geographical traits on the occurrence of on-time or the risk of late deliveries – one vital category of supply chain failures. Specifically, the regulatory environment framework and national and organizational culture are explored as potential contingency factors affecting these supply chain failures. Furthermore, the authors assess whether or not potential negative cultural characteristics at the national level can be addressed through specific organizational culture at the organizational level of practice. Design/methodology/approach This study combines primary survey data from 647 plants in 12 countries collected through the Global Manufacturing Research Group with secondary national data from the World Economic Forum and Hofstede’s national culture dimensions to test the six hypotheses. Findings Results indicate that firms situated in a regulatory national environment that is conducive to trade experience fewer late deliveries; a national infrastructure that has continuously been neglected leads to more late deliveries. Firms situated in countries with low levels of national uncertainty avoidance experience fewer late deliveries. Supplier communication should be practiced at an organizational level to excel in these countries. Originality/value This paper adds to the ongoing discusses about the importance of contingency factors at the country level (i.e. institutional and cultural factors), which need to be considered when setting up global supply chains. It also contributes important empirical insights to the convergence/divergence discussion.

The impact of organizational culture archetypes on quality performance and total quality management: the role of employee engagement and individual values

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Omar Mohammed Ali Ababneh
Keyword(s):  
Organizational Culture ◽  
Total Quality Management ◽  
Employee Engagement ◽  
Total Quality ◽  
Individual Values ◽  
Quality Initiatives ◽  
Quality Performance ◽  
Content Type ◽  
The Impact

PurposeThe relationship between organizational culture and total quality management (TQM) can be facilitated by the virtue of certain psychological states. Employee engagement refers to a mechanism foreseeable to predict the successful implementation of TQM. Therefore, this study focuses on the attribution theory to propose a model that presents a differential impact of organizational culture archetypes on quality performance and TQM, while underlying role of employee engagement and individual values.Design/methodology/approachAn empirical study was performed based on the data collected from 153 senior employees working in hotel companies. This study has used partial least squares path modeling (PLS-SEM) to test the relationships and model proposed.FindingsThe findings have confirmed the hypotheses using PLS-SEM and provided a positive significant impact of organizational culture archetypes on employee engagement with quality initiatives; individual values on organizational cultural archetypes and employee engagement with quality initiatives on TQM implementation.Originality/valueThe study concluded that the impact of organizational culture on quality performance and TQM is significant. It is, therefore, suggested that management of hotel companies should work to increase the level of engagement, encourage cultures, while reducing the level of power culture with the emphasis given to individual and organizational quality initiatives.

Influence of artificial intelligence (AI) on firm performance: the business value of AI-based transformation projects

2020 ◽  
Vol 26 (7) ◽  
pp. 1893-1924 ◽  
Author(s):  
Serge-Lopez Wamba-Taguimdje ◽  
Samuel Fosso Wamba ◽  
Jean Robert Kala Kamdjoug ◽  
Chris Emmanuel Tchatchouang Wanko
Keyword(s):  
Artificial Intelligence ◽  
Firm Performance ◽  
Case Studies ◽  
Research Question ◽  
Business Value ◽  
Organizational Level ◽  
Content Type ◽  
Industrial Sectors ◽  
Wide Range ◽  
The Impact

PurposeThe main purpose of our study is to analyze the influence of Artificial Intelligence (AI) on firm performance, notably by building on the business value of AI-based transformation projects. This study was conducted using a four-step sequential approach: (1) analysis of AI and AI concepts/technologies; (2) in-depth exploration of case studies from a great number of industrial sectors; (3) data collection from the databases (websites) of AI-based solution providers; and (4) a review of AI literature to identify their impact on the performance of organizations while highlighting the business value of AI-enabled projects transformation within organizations.Design/methodology/approachThis study has called on the theory of IT capabilities to seize the influence of AI business value on firm performance (at the organizational and process levels). The research process (responding to the research question, making discussions, interpretations and comparisons, and formulating recommendations) was based on a review of 500 case studies from IBM, AWS, Cloudera, Nvidia, Conversica, Universal Robots websites, etc. Studying the influence of AI on the performance of organizations, and more specifically, of the business value of such organizations’ AI-enabled transformation projects, required us to make an archival data analysis following the three steps, namely the conceptual phase, the refinement and development phase, and the assessment phase.FindingsAI covers a wide range of technologies, including machine translation, chatbots and self-learning algorithms, all of which can allow individuals to better understand their environment and act accordingly. Organizations have been adopting AI technological innovations with a view to adapting to or disrupting their ecosystem while developing and optimizing their strategic and competitive advantages. AI fully expresses its potential through its ability to optimize existing processes and improve automation, information and transformation effects, but also to detect, predict and interact with humans. Thus, the results of our study have highlighted such AI benefits in organizations, and more specifically, its ability to improve on performance at both the organizational (financial, marketing and administrative) and process levels. By building on these AI attributes, organizations can, therefore, enhance the business value of their transformed projects. The same results also showed that organizations achieve performance through AI capabilities only when they use their features/technologies to reconfigure their processes.Research limitations/implicationsAI obviously influences the way businesses are done today. Therefore, practitioners and researchers need to consider AI as a valuable support or even a pilot for a new business model. For the purpose of our study, we adopted a research framework geared toward a more inclusive and comprehensive approach so as to better account for the intangible benefits of AI within organizations. In terms of interest, this study nurtures a scientific interest, which aims at proposing a model for analyzing the influence of AI on the performance of organizations, and at the same time, filling the associated gap in the literature. As for the managerial interest, our study aims to provide managers with elements to be reconfigured or added in order to take advantage of the full benefits of AI, and therefore improve organizations’ performance, the profitability of their investments in AI transformation projects, and some competitive advantage. This study also allows managers to consider AI not as a single technology but as a set/combination of several different configurations of IT in the various company’s business areas because multiple key elements must be brought together to ensure the success of AI: data, talent mix, domain knowledge, key decisions, external partnerships and scalable infrastructure.Originality/valueThis article analyses case studies on the reuse of secondary data from AI deployment reports in organizations. The transformation of projects based on the use of AI focuses mainly on business process innovations and indirectly on those occurring at the organizational level. Thus, 500 case studies are being examined to provide significant and tangible evidence about the business value of AI-based projects and the impact of AI on firm performance. More specifically, this article, through these case studies, exposes the influence of AI at both the organizational and process performance levels, while considering it not as a single technology but as a set/combination of the several different configurations of IT in various industries.

The mediating role of informal learning on work engagement: older workers in the US public sector

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Osaretin Uhunoma ◽  
Doo Hun Lim ◽  
Woocheol Kim
Keyword(s):  
Organizational Culture ◽  
Informal Learning ◽  
Work Engagement ◽  
Older Workers ◽  
Organizational Level ◽  
Organizational Setting ◽  
Content Type ◽  
Older Employees ◽  
The Impact

Purpose The purpose of this paper is to examine the mediating relationship between organizational culture, informal learning and work engagement of older workers in a public organizational setting. More specifically, this study aimed to investigate if informal learning is a pivotal component connecting an organizational-level factor (culture) to work engagement, which, in turn, directly influences business performance in the workplace. Design/methodology/approach After a careful review of the selected and relevant literature, four hypotheses were developed to test the structural relationships between the selected variables. Findings The data analysis indicated that informal learning mediated the relationship between organizational culture and work engagement for older employees working in a public organizational setting. Practical implications The findings from this study provide a solid justification for promoting informal learning in organizations to ensure knowledge transfer between younger and older generations while minimizing knowledge and financial loss for organizations. Originality/value In previous research, little emphasis has been placed on the impact of informal learning on work engagement. This study presents a valuable finding about the role of informal learning to facilitate work engagement for older workers.

Gamification, the finer art: fostering creativity and employee engagement

2015 ◽  
Vol 36 (6) ◽  
pp. 3-12 ◽  
Author(s):  
Hari Kumar ◽  
Satish Raghavendran
Keyword(s):  
Organizational Culture ◽  
Employee Engagement ◽  
Positive Impact ◽  
Superior Performance ◽  
Sweet Spot ◽  
Conceptual Approach ◽  
Content Type ◽  
Emotional Connectedness ◽  
Survey Results ◽  
The Impact

Purpose – Fostering employee engagement in large organizations is a formidable problem that gets even more challenging in a sluggish economy, when the standard lever of monetary incentives are not a viable option for boosting employee engagement and motivation. As the organization gets larger, building emotional connectedness or bonding becomes challenging as teams expand to operate in different time zones. The overwhelming pace of work in the modern workplace can also hamper bonding. Yet emotional connectedness, when present, serves as a catalyst in driving superior performance and employee loyalty. The culture of many large organizations discourages innovation and out-of-the-box thinking because their institutional structures encourage risk aversion. Even though large organizations are best positioned to absorb the ups and downs of intelligent risk-taking, their talent processes enforce conformity, legitimize mediocrity and penalize failed attempts at innovative thinking. Performance appraisals tend to promote employees who take the path of least resistance. Managers, of course, help perpetuate this risk-averse cycle of mediocrity. Either they have been conditioned to think only in a linear fashion or organizational systems perpetuate managerial insecurity at all levels. This insecurity manifests in several ways: managers may take credit for the work performed by a subordinate; shoot down ideas a subordinate may have; or deflect opportunities that a subordinate may get. Survival in such an environment is based on being average and staying within the system. As a result, the spirit of entrepreneurship is lost. The authors designed a creative and playful contest called “Maverick” to tackle employee engagement in large organizations. The contest deeper goals include: shifting culture and behavior, talent discovery, brand building and meaningful engagement. The impact of the program on a broader organizational culture parameters were assessed through a survey. The survey results validate the impact of the program. Design/methodology/approach – The paper develops a conceptual approach that underlies the design of the Maverick program. Surveys were deployed to determine the perceived impact of the program on the broader culture. Findings – The secret ingredient in employee engagement is gaining the “emotional share of wallet” of employees to drive meaningful, enduring organizational change. Emotional wallet share is the sweet spot that lies at the intersection of employees’ skill sets, their aspirations and the value they generate for the organization. Proactively identifying the sweet spot empowers an organization to capture employees’ emotional wallet share to identify enablers and catalysts that can unlock motivation and performance. The survey results indicate that the Maverick contest was perceived to have a positive impact on all the identified attributes. This is a testament to the program’s success as a pivotal driver of a positive organizational culture. Further, it validates that the Maverick contest identifies several levers that leaders can use to positively influence organizational culture. Research limitations/implications – The organizations can adapt the proposed conceptual framework in designing meaningful programs to tackle employee engagement and motivation. Practical implications – The paper provides a meaningful framework to tackle employee engagement in large organizations. The Maverick approach is of interest to leaders of large organizations that are struggling to increase employee engagement with limited resources and that wish to foster creativity to drive innovation. The program offers a compelling way for talented professionals to meaningfully contribute to their organization that is agnostic to their position in the hierarchy. It gives employees the freedom to strive without being paralyzed by fear of failure; the chance to build their personal brand and pride; and a safe environment in which they can question received wisdom and attempt an unconventional approach to problem-solving. It creates a playful environment to bust stress, foster innovation and encourage an entrepreneurial mindset. Originality/value – This paper offers a superior alternative to the standard gamification solutions that are routinely applied to business situations. Gamification mechanics work effectively in roles that are transactional, instead of roles that demand autonomy, mastery and a sense of purpose. Maverick program is designed while being mindful of the intrinsic motivation of the professionals.

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