Why is organizational culture a very important tool in strategic human resource management towards organizational success?

The world is changing rapidly and the organizations and the work culture is also changing due to technological development. Due to large opportunities and challenges to the managers and decision makers, today’s organization Culture is predominantly dynamic and it is very vital to understand the dynamism to achieve the organizational objectives. Organizational culture in terms of the relative ordering of beliefs, values and assumptions, provides opportunity and broad frame for the development of human resource management skills in an organization. Many scholars of human resource management have proposed that the various features of organizational culture have an impact on values, beliefs and assumptions of the workforce. The present research…show more content…
Due to large opportunities and challenges to the managers and decision makers, today’s organization Culture is predominantly dynamic and it is very vital to understand the dynamism to achieve the organizational objectives. There have been a wide researches to explore the impact of organizational culture on human resource management of an organization. Organizational culture is helping to provide opportunity and broad frame for the development of human resources management skills in an organization which is driven by ethical values. An organization can manage the human resource by embedding ethical values in its culture. However, organizational culture could be varied since organizations differ in their cultural backgrounds in terms of beliefs, values and assumptions. Organizational culture can cope with the continuous changes and fulfill the demands of the organization to gain competitive success in all its activities. Therefore, an organizational culture is considered as a motivational tool which promotes the human resource management to perform smoothly and ensure success in all its accomplishments. Thus, the motive of the paper is to study the impact of organizational culture on the human resource…show more content…
It is a collective process of the mind and heart that differentiates the individuals of one group from the other one. Thus, we can summarize that organizational culture can be the tool of maintaining human resource in link and accelerating them towards organizational objectives. And creating the link between culture and organizational success via its human resource management. These cultural values and human resource management are reliable with organizational strategies that led to successful organizations. The organizational culture is consist of overall aspects of the organization such as natural settings, the rituals, atmosphere, and values and polices of the organization. Organizational culture can relates the workforce to Organization’s values, beliefs, customs and principles of work frame and integrate these assumptions into job performance. Organizational culture can be situated as the core of organization’s activities which has great impact on effectiveness and the quality of its productivity and performance. It is a vibrant strength which is engaging and interacting and shaping workforce management and workforce attitudes. Organizational culture is the basic model of shared values and assumptions, beliefs, correcting a way of critical thinking on problems facing the organization. Organizational culture initials with leadership

  1. Career development
  2. 8 Reasons Why Organizational Culture is Important

By Indeed Editorial Team

Updated April 28, 2022 | Published April 17, 2020

Updated April 28, 2022

Published April 17, 2020

Companies with a strong work culture appeal to job candidates looking for a permanent position and the opportunity for growth. Organizational culture promotes a positive, structured work environment that helps companies achieve success. In this article, we discuss why organizational culture is important and how to improve culture in the workplace.

What is organizational culture?

Organizational culture refers to a company's mission, objectives, expectations and values that guide its employees. Businesses with an organizational culture tend to be more successful than less structured companies because they have systems in place that promote employee performance, productivity and engagement. Having a strong company culture motivates everyone to do their best work.

Related: What is Organizational Culture?

8 reasons why organizational culture is important

Here are eight reasons why organizational culture is important:

  1. Increased employee engagement

  2. Decreased turnover

  3. Strong brand identity

  4. Elevated productivity

  5. Transformational power

  6. Top performers

  7. Effective onboarding

  8. Healthy team environment

1. Increased employee engagement

A work environment that possesses organizational culture is driven by purpose and clear expectations. This motivates and inspires employees to be more engaged in their work duties and interactions with others. It also leads to high levels of workforce engagement, which drives productivity. Having a strong connection to an organization and its people creates an atmosphere of positivity that is hard to ignore.

2. Decreased turnover

People who feel valued and respected at a company are less likely to leave it. That's why it's essential for brands to foster a winning organizational culture that supports their core values and mission statement. Happy employees mean less turnover, which saves companies time and money in the hiring process. Companies that achieve a strong culture must take steps to maintain and improve it.

3. Elevated productivity

When employees have the resources and tools they need to succeed, it helps increase productivity and performance levels overall. Organizational culture impacts the structure of a workplace in ways that bring people of the same skill set together. Those who share similar backgrounds and skills may work more quickly together when tackling company projects.

Related: 15 Examples of How to Increase Productivity in the Workplace

4. Strong brand identity

A company's organizational culture represents its public image and reputation. People make assumptions about businesses based on their interactions within and outside of the company. If it lacks organizational culture or has a weak image, customers may hesitate to do business with anyone who is associated with the brand. Businesses with a strong brand identity tend to attract more business and job candidates with similar values who support their mission.

5. Transformational power

Not all businesses have the power to transform ordinary employees into total brand advocates, but those with a strong organizational culture do. Companies that recognize their employees' efforts and celebrate team successes are more likely to notice a change in employees as they experience a sense of accomplishment.

6. Top performers

Companies that promote community in the workplace are more likely to retain their best employees. People who are great at their jobs and know the value of their skills commonly leave negative work environments where they feel undermined and unappreciated. Organizational culture builds a high-performance culture that strengthens the work of people within the company, resulting in a positive employee experience overall.

Related: 7 Ways Organizational Culture and Leadership are Connected

7. Effective onboarding

More and more, businesses with an organizational culture are relying on effective onboarding practices to train new hires. Onboarding practices that include orientation, training and performance management programs help new employees access the right resources and better transition into their roles. This promotes employee longevity and loyalty and reduces the amount of frustration some employees experience when they don't have the information needed to do their job well. Onboarding is a great way for companies to ensure new hires understand the core values of their business.

8. Healthy team environment

Organizational culture helps improve workflows and guides the decision-making process. It also helps teams overcome barriers of ambiguity. Team members who are informed and knowledgeable about certain processes are often more motivated to finish projects. Having a clear culture that unifies employees and promotes organized work structures helps people work together with purpose.

How to improve organizational culture

If you're in a leadership position at work, follow these steps to ensure your team achieves success in the workplace:

  • Communicate well

  • Listen to concerns and ideas

  • Provide feedback

  • Be consistent

Communicate well

Knowing how to communicate well is the best way to improve organizational culture. Miscommunication is the main reason people become unsatisfied with their jobs and start looking for other opportunities. Help your team have a better experience by doing your part to communicate well. When sending emails and contributing to meetings, try to share your ideas in the clearest possible way. Sometimes it helps to provide people with the background information of an issue or give specific examples. When people seem confused, look for ways to simplify your message. Encourage people to ask questions.

Related: 4 Different Ways to Communicate Effectively in the Workplace

Listen to concerns and ideas

If you're in a leadership position, provide your employees with a public (or anonymous) platform that makes it easy for them to share their opinions. Encourage one-on-one meetings with team members to allow them the chance to speak openly, yet privately about sensitive concerns. Letting employees know they can come to you when they have questions helps them feel valued.

Encourage feedback

If you notice that a certain aspect of the company needs improvement, take time to provide feedback regarding the issue and encourage others to do the same. Some companies have policies in place that dictate the process of giving feedback, while others are more relaxed. When leaving feedback, keep your communication professional and honest. Provide details and offer possible solutions to any problems the company is facing.

Be consistent

Being consistent in your leadership efforts helps people experience a sense of stability. Once a company's organizational structure is in place, do your best to maintain processes and procedures. Treat everyone in the same professional manner and avoid giving preferential treatment.