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Organizational Culture 1

Exploring Linkage between Organizational Culture and Performance:


A Case Study of Telesom Company

Nur Yusuf Abdilahi


(A/EMBA/17/86)

A Research Paper Submitted in Partial Fulfillment of the Requirements for the Award of
the Degree of Executive Master of Business Administration, Abaarso Tech University

April, 2017
Organizational Culture 2

DECLARATION PAGE

ABAARSO TECH UNIVERSITY


EXECUTIVE MBA

EXPLORING LINKAGE BETWEEN ORGANIZATIONAL CULTURE AND PERFORMANCE:


A CASE STUDY OF TELESOM COMPANY

BY: NUR YUSUF ABDILAHI NUR

I, the undersigned, declare that this thesis is my original work and has not been presented for a Degree
(Master’s Degree) in any other University and that all sources of material used for the thesis have been
duly acknowledged.

Signature ______________________

Nur Yusuf Abdilahi


April 30, 2017

This thesis is submitted for examination with my approval as an advisor of the candidate.

Signature _______________________

John Paul Otieno


April 30, 2017

This thesis is submitted for examination with my approval as the academic director.

Signature _______________________

Ahmed Ismail Abdi


April 30, 2017
Organizational Culture 3

ACKNOWLEDGEMENTS

I would first like to thank my research advisor Mr. John P. Otieno, faculty

member of Abaarso Tech. University. He provided invaluable guidance and support to

complete research paper. Mr. John was always consistent and encouraged to work my

own, but steered in the right direction whenever he thought I needed it.

I would also like to thank my classmate Mr. Abdi kariim Muse Guleed, who

distributed and collected research questionnaire; where he offered all possible

information that the study needed. I believe, without him, this would be difficult to work

on its completion.

I would also like to thank Ominco General Manager Mr. Mohamed Ali Muhumed

and Building material division Manager, Mr. Mohamed Osman; who were supportive and

encouraged in accomplishing this significant academic work.

And Finally, I must express my very profound gratitude to my parents for

providing me with consistent support and continuous encouragement throughout my

study and the process of researching and writing it. This accomplishment would not have

been possible without them. Thank You.


Organizational Culture 4

Contents

Declaration ii
Acknowledgement iii
List of tables’ vii
List of Figures viii
Abbreviations ix

Abstract x

1.0 Introduction 1

1.1 Background to the Study 1

1.2 Problem Statement 2

1.3 Objective of Research 3

1.3.1 General Research Objectives 3

1.3.2 Specific Research Goals 3

1.4 Research Questions 4

1.5 Relevance of Study 5

1.6 Scope& Time-frame of study 5

1.6.1 Scope 5

1.6.2 Time –Frame 5

1.7 Organization of the Study 6

1.8 Limitations 6

2.0 Review of Literature 8

2.1 Defining Organizational Culture 8

2.2 Organizational Theories and Models 9


Organizational Culture 5

2.3 Organizational Culture and Performance 12


2.4 Theoretical Framework 15
2.5 The Four Cultures 17
2.6 Conceptual Framework 18
3.0 Methods & Procedures 19
3.1 Introduction 19
3.2 Study Approach to Organizational Culture 19
3.3 Research Design 21
3.4 Sample and Population 21
3.5 Data Collection Methods and Instruments 22
3.6 Data Analysis 23
3.7 Data Presentation Plan 24
4.0 Data Presentation and Analysis 25
4.1 Introduction 25
4.2 Section One: Background Information 28
4.3 Section Two: Departmental Culture Profiles 28
4.3.1 Marketing Department Culture Profile 28
4.3.2 Sales Department Culture Profile 29
4.3.3 Technical Department Culture Profile 30
4.3.4 Organizational Culture Profile 31
4.4 Descriptive Statistics on Culture Types 32
4.4.1 Descriptive Statistics: Clan Culture 32
4.4.2 Descriptive Statistics: Hierarchy Culture 33
4.4.3 Descriptive Statistics:Adhocracy Culture 34
4.4.4 Descriptive Statistics: Market Culture 35
4.4.5 Descriptive Statistics : Performance 36
4.4.6 Comparative Descriptive Statistics 37
4.5 Section Three: Correlations Results 38
4.5.1 Correlation Results – Clan Culture and Performance 38
4.5.2 Correlation Results – Hierarchy Culture and Performance 42
4.5.3 Correlation Results – Adhocracy Culture and Performance 44
4.5.4 Correlation Results – Market Culture and Performance 46
Organizational Culture 6

5.0 Discussion, Conclusion and Recommendations 49


5.1 Introduction 49
5.2 Discussion and Conclusion 49
5.2.1 Section One: Organizational Culture Profile 49
5.2.2 Section Two: Correlation between Culture and Performance 51
5.2.2.1 Clan Culture Correlation Verification 51
5.2.2.2 Hierarchy Culture Correlation Verification 52
5.2.2.3 Adhocracy Culture Correlation Verification 53
5.2.2.4 Market Culture Correlation Verification 54
5.3 Recommendation 55
5.4 Further Research 56

References 57

Appendices 59

A. Frequency Tables 59
i. Hierarchy Frequency Tables 59
ii. Clan Frequency Tables 60
iii. Market Frequency Tables 61
iv. Adhocracy Frequency Tables 62
v. Organization Performance Frequency tables 63
B. OCAI data in Dimensional Wise of in departments. 65
C. OCAI questionnaire 70
D. Likert Questionnaire 73
E. Telesom Organization Structure 76
Organizational Culture 7

<List of Tables>
Table 01:Frequency Table for study population 22

Table 02: Response Rate 26

Table 03: Distribution of Respondents 27

Table 04: Geographic Distribution of respondents 27

Table 05: Sex Distribution 27

Table 06: Age Distribution 27

Table 07: Years of Service 28

Table 08: Descriptive statistics on Clan Culture 32

Table 09: Descriptive Statistics on Hierarchy Culture 33

Table 10: Descriptive Statistics on Adhocracy Culture 34

Table 11: Descriptive Statistics on Market Culture 35

Table 12: Descriptive statistics on Organization Performance 36

Table 13: Correlation Test – Clan Culture and Organization Performance 38

Table 14: Correlation Test – Hierarchy Culture and Organization Performance 41

Table 15: Correlation Test – Adhocracy Culture and Organization Performance 44

Table 16 Correlation Test – Market Culture and Organization Performance 46

Table 17: Dimensional Wise Analysis on Culture Types <Existing> 50

Table 18:Dimensional Wise Analysis on Culture Types <Preferred> 50


Organizational Culture 8

<List of Figures>

Figure 01: Levels of Culture and Their Interactions 11

Figure 02: Competing Values Framework 16

Figure 03: Conceptual Framework 18

Figure 04: Marketing Department Culture Profile 28


Figure 05: Sales Department Culture Profile 29
Figure 06: Technical Department Culture Profile 30
Figure 07: Organizational CultureProfile 31
Organizational Culture 9

Abbreviations

OCAI Organizational Culture Assessment Instrument

A Clan Culture

B Adhocracy Culture

C Hierarchy Culture

D Market Culture
Organizational Culture 10

Abstract

The study on exploring linkage between organizational culture and performance

attempted to assess the relationship between organizational culture as independent

variable and the organizational performance as dependent variable. Moreover, the

objectives of this study were to: Examine existing and preferred organizational cultures,

and their discrepancies; discover whether there existing congruent culture or eclectic

cultures in Telesom organization; assess the types of cultures existing in the departments

of the company; explore linkage between organizational culture and performance.

Furthermore, this study employed stratified sampling method, in which it is

utilized deliberate and convenience sampling under this method. The data collection

instruments were OCAI and Likert scale questionnaires, where the former is used to

assess organizational culture profile, and the later utilized to test the relationship between

organizational culture and performance. It also employed Pearson correlation coefficient

calculated in SPSS with descriptive statistics.

The study were tested the correlation between the competing values model culture

– clan, adhocracy, hierarchy & market cultures, analyzed independently with

organization performance. It was used to test correlation coefficient linear relationship

test guidance and is judged on the basis of it. The study has not considered the nature of

the relationship; rather it tested whether or not their relationship exists.

In conclusion, the study established that the relationship between organizational

culture and organizational performance is real phenomenon in Somaliland according to

the results found.


Organizational Culture 11

CHAPTER 1: INTRODUCTION

1.1. Background to the study

Organizational culture has been the subject of scrutiny in the last 80 years

conducted many researches and practitioners written books in different dimensions.

Mr. Lou Gerstner wrote, reflecting on his experience in taking over the CEO

Job at failing IBM and achieving one of the most remarkable turnarounds in recent

business history. He wrote : Until I came to IBM, I probably would have told you that

culture was just one among several important elements in any organization’s make up

and success-along with vision, strategy, marketing , financials , and the like …. I came to

see, in my time at IBM, that culture is not just one aspect of the game—it is the game

(James Heket, 2012, p.17)

Organizational culture as a field is multidisciplinary, studied in the field of

organizational theory. The structure, and the way it is constructed also impacts on

performance, where human resources play the central role for enabling business

organizations to coordinate and properly lead to jointly outperform in the industry.

Schein (2004) writes that cultures spring from three sources (i) the beliefs, values, and

assumptions of founders of organizations (ii) the learning experiences of group members

as their organization evolves; and (iii) new beliefs, values, and assumptions brought in by

new members and leaders (p.225).

The study on exploring linkage between organizational culture and performance

sought to understand the dynamics of Telesom organizational culture and the relationship

between its culture and performance.


Organizational Culture 12

1.2. Problem Statement

Organizations1 do not exist in a vacuum but in a specific culture or socio-cultural

environment, and that culture is a concept rooted in Anthropology and sociology. Thus,

culture is defined as the shared norms and values of a social system which are most

important aspect of society (Obafemi, 2003, p.165).

Organizations are thus characterized by different degrees of sharing of values,

norms, roles and expectations, which make up the organization’s particular meaning-

structures. These meaning-structures are a fabric with unique patterns waved out of (i) the

organization’s history, (ii) the definition of situations imposed by dominant actors and

(iii) member’s cumulative interpretation and sense-making out of ongoing actions and

interactions (Allaire, Firsrotu, 1984, p.208).

Many researchers found that the organizational performance and its culture

have positive relationship (Hofstede, 2011; Schein, 2004; Cameron, Quinn, 2006). In

addition to that, Social scientists and organizational theorists are increasingly and widely

accepted that the notion of pattern of management, and employee behavior in the work

place are considered culture bound (Ahiauzu, 1986).

Anecdotal evidence from seven case studies led Charles A. O’Reilly III and

Jeffrey Pfeffer to conclude in 2000 that an organization’s culture helps it leverage the

abilities of what they termed ordinary people to achieve extraordinary results. (James

Hesket, 2012, p.21).

1
Organization is defined as basically a structure for carrying out a particular social activity on a
regular basis and generally featured : a specific goal , a defined membership , rules of behavior or
conduct and authority relationship (Obafemi A. 2003)
Organizational Culture 13

The positive relationship existing between culture and organization performance

is a notion that has been tested and built in different models. In African perspective, a

Nigerian researcher also found that relationship according to his research study

conducted in three regions of Nigeria, where each dominated by certain societal culture

and religious beliefs (Obafemi, 2013, p.170).

None of the above mentioned researches were conducted in an African cultural

context except Obafemi, 2003. Also the researcher not found single research study on the

subject considered East African context let alone Somali culture. In accordance with this

reality, the researcher was interested in investigating the current culture and if any,

preferred culture that employees may prefer and find to examine the nature of

relationship between organizational culture and performance in Somaliland.

1.3. Objectives of the Research

1.3.1. General Objective

The main objective of the study is exploring the linkage between organizational

culture and organizational performance.

1.3.2. Specific Objectives

 Examine existing and preferred organizational cultures, and their discrepancies.

 Discover whether there existing congruent culture or eclectic cultures in Telesom

organization

 Assess the types of cultures existing in the departments of the company.

 Explore linkage between organizational culture and performance.


Organizational Culture 14

1.4. Research Questions

In accordance with the problem statement and objectives, the researcher attempt

to get answers for the following questions:

 What are the existing organizational cultures of Telesom Company?

 Is there a relationship between organizational culture and performance?

 Is there a phenomenon that Telesom Company has congruent or incongruent culture?

 Is there a discrepancy between existing and preferred?

1.5. Relevance of Study

The study on exploring linkage between organizational culture and performance

will contribute better understanding on the relevance of organizational culture and

organizational performance.

The findings of the study will show Telesom Company its existing and

preferred cultures of the three departments – Sales, marketing and Technical departments,

from the perspective of employees. This alarms how Telesom Company’s employees

satisfied or dissatisfied with the current culture of their employer and the kind of

improvement they suggest. In the general sense, the findings also contribute to get

insights from the big picture of organizational culture in two ways as the existing and

preferred cultures.

Alternatively, the thesis of the study will offer a deeper understanding of culture

and its application to organizational performance. In particular, it gives fresh perspective

on the organizational culture by understanding culture is beyond what it thought to be,

and that it is mix of variables of organizational success; where a given situation

prescribes certain culture.


Organizational Culture 15

Telesom managers will notice that culture is of importance for the operations of

the business. It further provides guidance and raises awareness about organizational

culture and its relationship with organizational performance in accordance with the

prevailing business environment, both internally and externally.

1.6. Scope & Timeframe of Study

1.6.1. Scope

The research on the relationship between organizational culture and

organizational performance deals with assessing the current culture of Telesom Company

and the preferred culture from the perspective of employees. Moreover, it concerns

testing the relationship between organizational culture and performance.

The organizational culture as in the literature accepted a variable for

organizational studies. It refers that organizational culture is one among the many

variables that influence the performance of the firm. Accordingly, this study endeavors to

find answers from one variable perspective considering other variables constant in an

attempt to establish its relationship with organizational performance.

1.6.2. Time-frame

The study on exploring linkage between organizational culture and performance

is a requirement of partial fulfillment of the award of Executive Master of Business

Administration, at Abaarso Tech. University. As it usual, academic research is time

bound work and the University management planned to complete one full semester as it

is normal in the academic research paper.


Organizational Culture 16

1.7. Organization of the Study

The study on exploring linkage between organizational culture and performance

organized in chapters. The first chapter is Introduction containing background to the

study, problems statement, research objectives, and research questions, relevance of

study, scope of study, organization of the study and limitations of study.

Review of literature chapter is followed containing definition of organizational

culture, theoretical model/framework, conceptual framework and related researches

conducted. Then, the third chapter is related to methods and procedures of data

collection, data analysis, research design and questionnaire validity and reliability.

Furthermore, the researcher will analyze data statistically and discuss the

findings in chapter four and five. The last chapter will consist of discussion of findings,

conclusion, and recommendation. The study will be concluded suggesting further

research for the area of organizational culture and performance in Somaliland utilizing

large sample with qualitative and quantitative research designs.

1.8. Limitations of the Study

Any attempt by researcher has some degree of bias that inherently human being

falls. The study on exploring linkage between the culture and organizational performance

is of the same as for the other researches.

This study should have some limitations stemming from the time frame and

inadequate information. Specifically, the secrecy tradition existing in business

organizations made impossible to get information about their financial data and other

human resource files.


Organizational Culture 17

Further, the data collection instruments are questionnaires in assessing

organizational culture. Due to in adequacy in data collection instruments, limited

cooperation and access to data are among the shortcomings of this study.
Organizational Culture 18

CHAPTER TWO: REVIEW OF LITERATURE

2.0 Introduction

This chapter is concerned with the review of literature related to the study and,

elaborates the existing theories in order to dig deeper in finding ways it affects

organization and its performance. In its organization, definition of organizational culture,

Culture & organization, and theoretical framework is discussed in this chapter followed

by conceptual framework to identify and construct the relationship between variables of

study.

2. 1. Defining Organizational culture

Scholars began paying serious attention to the concept of culture in the beginning

of 1980s (Cameron & Quinn-2006, p.16). Over 4,600 articles have examined the theme

of organizational culture since, and the belief that organizational culture is an important

social characteristic that impacts organization, group and individual behavior had great

influence for the minds of researchers; although there are a variety of meanings and

connotations about the topic (Hartnell, Yi Ou, & Kinicki, 2011, p.667).

Different concepts in culture are observable for the many definitions given to

organizational culture, and it is contingent on the two world views stemming from

Anthropology and Sociology. An interpretative view from Anthropology regards culture

as a metaphor for organizations, defining as being cultures. And the sociology used to

view in a functional way, defining culture as something organization possesses

(Shobhana Prem, 2011, P.13).


Organizational Culture 19

Shobhana (2011) argued that the most widely used definition belongs to

functionalist view of sociology. Accordingly, Edgar Schein (1984) defined organizational

culture as the pattern of basic assumptions that a given group has invented, discovered, or

developed in learning to cope with its problems of external adaptation and internal

integration, and that have worked well enough to be considered valid and therefore, to be

taught to new members as the correct way to perceive, think and feel in relation to those

problems (p.3).

According to Hofstede (2011), culture is defined as the collective programing of

the mind and distinguishes the member of one group or category from another. In this

light, the Hofstede model/framework brought a distinct quantitative comparative

approach to the study of cultures by identifying and measuring defining aspects of world

cultures (Hofstede, 2011).

This study adopts from Schein (1984) model of organizational culture definition

and it linked to the functionalist view stemmed from sociology.

2.2 Organizational Theories and Models

Karen Cacciattolo (2014) reported that Geert Hofstede established the presence of

local and national cultural groups that affect organizational behavior. Reading this line of

argument, G. Hofstede identified five cultural dimensions in his research. The dimensions

of this model are Power Distance2, Uncertainty Avoidance3, Individualism versus

Collectivism4, ‘Masculinity versus Femininity and ‘Long versus Short-term Orientation5’.

2
The degree to which people accept ambiguity and risk, and it relates to a culture where
individuals are disturbed by change and threats
3
Refers to the extent to which individuals are expected to defend themselves and it describes the
manner in which an employee relates to collectivity
4
Relates to the significance attached to the future versus past and present.
Organizational Culture 20

Furthermore, Edgar Schein (1984) also propounded the three levels of culture and

their interaction .Artifacts and Creations are visible but often not decipherable, whilst

basic assumption defined as the assumptions not debatable – taken for granted, invisible

and preconscious; and espoused values are debatable (p.4).

Both these authors studied in different aspects of organizational culture. G.

Hofstede emphasized that the national culture a society belongs shapes the organizational

culture, while E. Schein looked on the levels of organizational culture without

considering other organizational cultures as variable for his study.

5
5 Relates to the significance attached to the future versus past and present. Long term orientation
societies, and individuals value savings and determination, whilst short term oriented societies respect
tradition, nepotism and reciprocation of donations
Organizational Culture 21

Figure 01: Levels of Culture and their Interaction

Artifacts & Creations

Technology Visible but often


Art
Visible and Audible
Behavior Patterns Not Decipherable

Values
Greater level of

Awareness

Taken for Granted


Basic Assumptions
Relationship to Environment Invisible
Nature of Reality,
Time & Space Preconscious

Nature of Human Nature

Nature of Human Activity

Nature of Human Relationship

Other authors studied organizational culture in an interpretative and functionalist

view. Johnson & Scholes (1993) interpretative view suggested a cultural web that

identifies various basics such as the paradigm6, control system7, organizational structure8,

6
Paradigm Represents the purpose of the organizational business, its mission, and its values
7
Control System are the procedures set to control what happens in the organization
8
Deals with hierarchies and the way work flows through the organization and they are likely to reflect
power structure
Organizational Culture 22

symbols9, rituals & routines10, and stories (Karen Cacciattolo, 2014, p.2). While, Charles

Handy’s structural view identified four types of culture, namely Power culture 11, Role

Culture12, Task Culture13and Person Culture14(Ibid).

In this sense, the different concepts of culture led organizational scholars to

absolutely different research directions and themes as organizational culture became a

variable. (Bachtiar, Jerry, and Hendry, 2016, p.81).

Therefore, the researcher views competing values framework as the most fitting

model that facilitates to understand the impact of culture on organizational performance

in Somaliland business firms. Particularly, the competing values framework has strategic

orientations “internal focus and integration” “versus external focus and differentiation”

that work with the four cultures (clan, hierarchy, adhocracy & market) under the values

of flexibility/discretion, and stability/control (Cameron, Quinn, 2006, p.35).

2.3. Organizational Culture and Performance

Performance definition, in fact, continues to be a contentious issue among

organizational researchers. Abu Jarad, Aini&Nikbin (2010) reported that performance in


15
one definition is the economic model of organizational performance that basis on the

9 Symbols relates to logos and designs used in an organization


10 Refer to automatic repetitive routines such as management meetings and board of directors’
report and simple decision rules which may be employed consciously
11
Power culture symbolized as a web and it refers to control that is spread out like a network
from the center to the rest of the organization
12
Role culture refers to a highly defined structured organization in which employees have
specified delegated authorities and which are offered security and predictability
13
Task culture is job oriented and it is present in organizations where individuals work as a team
and power is derived only from expertise and only when required
14
Person culture is quite unusual and it reflects organizations in which individuals believe to be
superior to the organization they are employed in
15
The economic model of organizational performance provided a range of major determinants of
organizationalprofit which included:
(i) Characteristics of the industry in which the organization competed,
(ii) The organization’s position relative to its competitors, and
Organizational Culture 23

famous 3Es (economic, efficiency and effectiveness) of a certain program or activity,

whereas organizational model of firm performance16tend to see as the organization’s

ability to attain its goals by using resources in an efficient and effective manner (p.28).

Abu Jarad, et al (2010) also argued that there is a difference between productivity

and performance. Productivity is a ration depicting the volume of work completed in a

given amount of time while performance is a broader indicator that could include result-

oriented behavior (criterion – based) and relative (normative) measures, education and

training, concepts and instruments, including management development and leadership

training which are the necessary building skills and attitudes of performance

management(p.29).

Zhang (2010) writes that organizational culture influences the operations of

organizations on two aspects, namely, Individual and organizational level, and can be

decided by the degree of how much main values and beliefs of organization is accepted

deeply and widely; and its impact can be divided into three aspects. Firstly, cultural

dimension, it means the accurate degree of how much organizational culture influencing

organization’s operation direction. Secondly, cultural permeability that refers to the

extent of how much organizational culture is shared by all members in common. And

thirdly, cultural intensity which is the degree of employees abides by the culture.

(iii) The quality of the firm’s resources.


16
Organizational model of firm performance focused on organizational factors such as
(i) Leadership styles and environment,
(ii) Organizational culture,
(iii) Job design,
(iv) Model of motive, and
(v) Human resource policies.
Organizational Culture 24

Performance is a multi – dimensional concept and it categorized as task

performance and contextual performance (Sonnentag S, Frese M., 2002, p.6). The

contextual performance refers to activities which do not contribute to the technical core

but which support the organizational, social, and psychological environment in which

organizational goals are pursued. Task performance refers to an individual’s proficiency

with which he or she performs activities contribute organization’s technical core

(Sonnentag S, Frese M., 2002, p.6).

Borman & Motowidle, 1997; Motowidlo & Schmit, 1999) explained the

difference between the task and contextual performance which they stated that (i)

activities relevant for task performance vary between jobs whereas contextual

performance activities are relatively similar across jobs; (ii) task performance is related to

ability, whereas contextual performance is related to personality and motivation; (iii) task

performance is more prescribed and constitutes in role behavior, whereas contextual

performance is more discretionary and extra role.

By linking it, the contingency theory has significant role in enhancing

organizational performance and require the fit of organization: structure, culture, and

processes. Contingency school believes that the relationship among organizational

characteristics, specially the nexus between structure, size, strategy, technology and

environment, are contingent or dependent upon the situation or context. Mix between

organizational culture, structure and its contingency variables (size, strategy, technology,

and environment) can lead to organizational effectiveness (Adin Sendro, 2012, p.2)
Organizational Culture 25

Conceptualizing from the above, the researcher believes that organizational

performance also is a multi-dimensional as for the individual performance. Manager’s

challenge would be how to maintain performance management system that supports the

contextual performance and task performance of the organization in order to produce

good results.

From that perspective, the variables of this research are organizational culture as

the independent variable and organizational performance as the dependent variable. The

performance itself is measured in this research as two themes – Financial and non-

financial indicators, which the researcher categorized. The non-financial indicators are

individual performance, quality of services, customer satisfaction etc. Further, the

financial indicators that the researcher identified are: Return on Equity/Asset/Investment,

Annual turnover, Market share, net profit/profit margin.

In the context of this study, the researcher takes organizational model of

performance approach to measure the performance of the organization.

2.4. Theoretical Framework

American researchers R.E. Quinn and J. Rohrbaugh (1983) had created and later

was adapted by K. Cameron and R. E Quinn (1999) emphasizing the complex nature of

organizational culture according to the following dimensions : Internal/external focus and

stable/flexible structure. The two dimensions create four quadrants representing four sets

of values that guide the organizational objectives in accordance with the external

environment and with the internal integration.

The competing values framework theoretical model highlights the key variables

associated with organizational effectiveness. This model underpinned the development of


Organizational Culture 26

the organization culture assessment instrument (OCAI) that has been employed 1,000

organizations operations in a diverse range of private and public sector firms around the

world (Cameron & Quinn, 1999).

Quinn and McGrath( 1985) further show how the four quadrants of the competing

values framework model reflect differing types of theoretical underpinnings,

organizational forms , theories of effectiveness, environmental context, leadership,

information processing , and cultural profiles. The competing values framework is also

the theoretical model upon which the OCAI is based, and this instrument provides a

means for diagnosing and changing an organization’s culture, albeit with caveats

(Cameron & Quinn, 1999).

Figure 02: Competing Values Framework

(Adopted from Cameron & Quinn, 2006)

The competing values framework approach as described by Quinn and McGrath

(1985) and, Cameron and Quinn (1999) adopts a functionalist and managerial orientation

consistent with cultural studies reflecting Martin’s (2002) integration perspective.


Organizational Culture 27

2.5. The Four Cultural Profiles

 The Clan Culture: This culture is rooted in collaboration. Members share

commonalities and see themselves are part of one big family who are active and

involved. Leadership takes the form of mentorship, and the organization is bound by

commitments and traditions. The main values are rooted in teamwork,

communication and consensus.

 The Adhocracy Culture: This culture is based on energy and creativity. Employees

are encouraged to take risks, and leaders are seen as innovators or entrepreneurs. The

organization is held together by experimentation, with an emphasis on individual

ingenuity and freedom. The core values are based on change and agility (Ibid).

 The Market Culture: This culture is built upon the dynamics of competition and

achieving concrete results. The focus is goal-oriented, with leaders who are tough and

demanding. The organization is united by a common goal to succeed and beat all

rivals. The main value drivers are market share and profitability (Ibid)

 The Hierarchy Culture: This culture is founded on structure and control. The work

environment is formal, with strict institutional procedures in place for guidance.

Leadership is based on organized coordination and monitoring, with a culture

emphasizing efficiency and predictability. The values include consistency and

uniformity (Ibid).
Organizational Culture 28

2.6 Conceptual Framework

Independent Variable Dependent Variables

Financial Indicators
1 Return on Equity/Asset/Investment
2 Net Profit/ Profit Margin
Organizational 3 Annual Turnover
Cultures
Organization
Clan Culture Performance
Adhocracy Culture
Hierarchy Culture Non-Financial Indicators
Market Culture 4 Employee Turnover
5 Customer Satisfaction
6 Market Share

Figure 03: Organizational Culture and Performance


Extraneous Variable
1. General Economic
Conditions
2. Government regulations
3. Socio – Cultural factors

In conclusion, this chapter summarized the relevant information from the

literature reviewed. The approaches that the researcher followed in theoretical models

were organizational model of performance measurement and functional view of

organizational culture from sociology – the competing values framework model.


Organizational Culture 29

CHAPTER THREE: METHODS AND PROCEDURES

3.1. Introduction

This chapter outlines the study approach of organizational culture, research

design, sample and population, data collection and analysis methods that the researcher

employed.

3.2. Study Approach to Organizational Culture

The organizational culture differentiates the culture of overall organization from

the values, preferences, and inclinations of individuals – personal culture, and from the

language norms, and philosophies of a nation or civilization – societal culture. Similarly,

organizational cultures may be composed of unique subcultures, but each of these

subcultures contains common attributes that make up an overarching culture typical of

the entire organization (Cameron & Quinn, 2006, p. 148).

To measure culture at the organizational level of analysis, it can be utilized

accordingly to the three strategies available for researchers: a holistic approach17,

Metaphorical or language approaches18 , and quantitative approaches19. The researcher of

this study selected to follow the quantitative approaches – A quantitative approach allows

multiple viewpoints to be considered in evaluating the attributes of an organizational.

17
An approach that the investigator becomes immersed in the culture and engages in in-depth participant
observation; that is the investigator tries to become a “native” in the organization.
18
Approaches in which the investigator uses language patterns, in documents , reports, stories, and
conversations to uncover cultural patterns , just as detectives use fingerprints, voice prints , or work prints
to detect personal identity.
19
Approaches in which the investigator uses questionnaires or interviews to assess particular dimensions
of culture
Organizational Culture 30

In diagnosing organizational culture, two dimensions can be used: content

dimensions20 and pattern dimensions21. This study employs content dimensions to assess

cultural profile, and OCAI captures the underlying structure of these psychological

archetypes22 in its core dimensions (Cameron & Quinn, 2006, p.150). According to

OCAI, it identified six dimensions in which each represents certain dimension of the

organization. These dimensions are summarized as below:

 The dominant characteristics of the organization, or what the overall

organizational is like.

 The leadership style and approach that permeate the organization.

 The management of employees or the style that characterizes how employees

are treated and what the working environment is like.

 The organizational glue or bonding mechanism that holds the organization

together.

 The strategic emphases that define what areas of emphasis drive the

organization’s strategy.

 The criteria of success that determines how victory is defined and what gets

rewarded and celebrated.

Accordingly, Cameron & Quinn (2006) writes that these content dimensions

reflect fundamental cultural values and implicit assumptions about the way the

organization functions.

20
Refer to the aspects of an organization’s culture that should be used as cues in scenarios in order to
help individuals recognize their organization’s cultural values.
21
Refer to a cultural profile that is produced by scoring a culture assessment instruments.
22
Refers to the categories people form in their minds to organize the information they encounter
Organizational Culture 31

3.3. Research Design

The study on culture and organizational performance is about to assess the

organizational culture of Telesom company and the relationship between the culture and

performance through descriptive research design.

As the study employed quantitative and qualitative approaches, the researcher had

seen a research design that fits the approach employed to accomplish research objectives.

3.4. Sample and Population

The population of the study comprises all low level employees and the middle

level managers – departmental managers, and supervisors working in Telesom Company.

In particular, the study endeavors to assess Telesom organizational culture and the nature

of relationship with its performance. Hence, this is a case study research approach

employed stratified sampling technique.

The respondents are classified as the departmental/middle level managers and

supervisors in one stratum, and the low level employees as the second stratum. Under the

stratified sampling method, the researcher employed deliberate sampling by choosing

sales, marketing, and technical department’s employees in assessing Telesom Company

organizational culture utilizing OCAI questionnaire. Moreover, the middle level and low

level managers were chosen in convenience sampling method.

The sample size is forty (40) respondents planned to distribute OCAI to the

employees of the three departments equally – each 10 and the remaining Ten (10)

respondents represents the middle and low level managers. Sales, marketing and
Organizational Culture 32

technical department are staffed 110, 15 and 30 employees respectively, and the

remaining were selected convenience sampling from the other strata – middle and low

level managers.

Strata Population Sample % of


Sample
Lower Level and Middle Managers 25 10 40%
Lower Level of Employees 155 30 19.35%
Table 01: Frequency Table for study population

In summary, the reason for choosing convenience and deliberate sampling

methods were to get access as much as possible the needed information to carry out this

study.

2.5. Data Collection Methods and Instruments

The study on the relationship between organizational culture and performance

used to collect data two questionnaires intended to serve different purposes as the

objectives of the research.

The researcher employed OCAI questionnaire as the one that facilitates to assess

the organizational culture of Telesom. And a qualitative questionnaire concerned with

investigating the nature of the relationship between the dependent and independent

variables of the study. The questionnaires were mailed to one of the employees of

Telesom and he subsequently sent to respondents, where he sent back to the researcher.
Organizational Culture 33

The OCAI is an instrument developed by Robert Quinn and Kim Cameron

(Cameron & Quinn, 2006) which was academically tested its validity by many authors

including Cameron and Freeman (1991), Quinn and Spreitzer (1991)23.

2.6 Data Analysis

The data gathered from the study respondents can be classified into two

categories. One category designed for middle managers/supervisors and the other

intended to the three departments’ employees in order to assess the organizational culture

of Telesom Company.

The OCAI questionnaire was analyzed according to Cameron & Quinn (2006),

and that the researcher studied as departmental and organizational wide approaches. The

departmental approach analysis was based on total addition of all responses given by

employee in each dimension considered in the questionnaire and overall organizational

picture by adding and calculating average point for each respondent.

In this regard, all A’s are added in each dimension, and divided by six (6). In

addition to that, B’s, C’s and D’s are added and divided by six (6) as the A elements. The

points that each category scores stands for one culture and each character exceeds others

meant that this culture is dominant culture as against others.

Furthermore, the existing and preferred culture points represent the current culture

of Telesom and the preferred culture that the employees view fit for the organization to

survive and continue in the future.

23
(Cameron & Quinn, 2006, p. 153 - 159)
Organizational Culture 34

This study also considers the second questionnaire as the one that serves to assess

the link between culture and performance. It’s used to test the nature of relationship by

employing Pearson’s Correlation analysis and tests its significance utilizing SPSS

software, version 20. Moreover, the study also used to analyze the information gathered

by utilizing descriptive statistics.

The researcher was followed to determine the relationship between organizational

culture and performance according to Evans (1996) behavioral statistics criterion as listed

in the below.

 -1 perfect negative relationship between the variables

 -0.10 almost no relationship

 0 No relationship between variables

 0.2 – 0.09 Very Weak relationship

 0.10 – 0.29 Weak relationship

 0.3 – 0.49 Moderately weak relationship

 0.5 Moderate relationship

 05 – 0.6 Moderately Strong relationship

 0.70 – o.98 Very strong relationship

 0.98 – 0.98 very Strong relationship

 0.99 Almost perfect Relationship

 +1 Perfect Positive Relationship between variables


Organizational Culture 35

2.7. Data Presentation Plan

The study on exploring linkage between organizational culture and performance is

used to gather data for two questionnaires. The first questionnaire was OCAI in the study

presents its findings as the Cameron & Quinn, 2006 developed. And the second

questionnaire partially (Culture characteristics) adopted from the model by the author

planned to present in a descriptive statistics.


Organizational Culture 36

CHAPTER FOUR: DATA ANALYSIS AND PRESENTATION

4.1. Introduction

This chapter is dealt with data presentation and analysis in descriptive statistics

including correlation tests between four cultures – Competing Values Model, separately

with organizational performance.

This study endeavors to find academic answer on the relationship between the

organizational culture and organizational performance. Accordingly, the analysis

considered in this chapter was based on the following objectives:

 To investigate the current and preferred cultures of Telesom Company

 To assess the types of cultures existing in the departments of the company

 To determine the possibility that the company may have congruent or eclectic

culture.

 And to test the linkage of relationship between the types of cultures and

organizational performance.

The data were collected on two questionnaires, one adopted from competing

values model questionnaire, and another designed by the author. On these grounds, the

researcher categorized into three sections, where section one concerns the characteristics

of respondents; and section two deals with organizational culture profiles, and the third

section is considered the descriptive statistics presentation and correlation analysis.


Organizational Culture 37

4.2.0 Section One: Background Information

Table 02: Response Rate

Frequency Percentage
Responded 33 82.5%
Not Responded 7 17.5%
Total 40 100%
Source: Research Data, 2017
According to the above table, the sample size was 40 respondents, and the

percentage that has responded is 82.5%, whilst 17.5% did not. According to Mugenda

(2009), the response rate is sufficient to investigate types of organizational culture

existing and to analyze the relationship between organizational culture and performance.

The least percentage that’s accepted is 50% and the response rate for this study is above

the least criterion.

Table 03: Distribution of Respondents

Employee Strata Middle


Managers/Supervisors
strata
Sales Marketing Technical Middle
Depart. Depart. Dept. Managers/Supervisors
Planned 10 10 10 10
Responded 8 10 7 8
Non Responded 2 0 3 2
Source: Research data, 2017

In addition, the table 02 shows the distribution of respondents according to their

departments and the number of no respondents per each stratum. Employee strata depict

according to their departments, non-respondents were from sales and technical

departments 2 & 3 respectively; and the other stratum is shown as 2 non respondents.

Moreover, the respondents were geographically dispersed as it depicted below table 03.
Organizational Culture 38

Table 04: Geographic Distribution of respondents

Geographic Distribution of Branches


Frequency Hargeisa Borama Las- Buroa Berbera
Anod
Low Level Staff 25 10 7 3 3 2
Middle Mgt. 6 2 1 1 1 1
Supervisors 2 1 1
Source: Research data

This study also revealed that only 12.5% of the actually responded from middle

level mangers/supervisors stratum is women, while the remaining 87.5% are men. In

addition to that, the total 33 respondents characterized as male whilst only 1 respondent is

female.

Table 05: Sex Distribution

Frequency Sex
1 Female
32 Male
Source: Research Data

Table 06: Age Distribution

Age Class Low Level Staff Middle Level Managers/Supervisor


15 – 25 0 0
26 -36 15 0
37- 47 4 3
48 – 58 4 4
59 – 69 2 1
Source: Research Data

The research also found that the respondents’ years of service were distributed as

(1 – 3) years as the least and the longest years in service are in between (9 – 12). The (1 -
Organizational Culture 39

3) class represents 27%, where (4-5) is 42%; while the (6-8) & (9-12) classes depicted as

18% and 13% respectively.

Table 07: Years of Service

Years Frequency Percentage


1–3 9 27%
4–5 14 42%
6–8 6 18%
9 – 12 4 13%
Source: Research Data

In the final analysis, the research data showed that 50% of the total sample has attained

bachelor degree, whilst 20% reached Master degree; and the remaining percentage were

secondary certificate holders or equivalent.

4.3.0 Section Two: Departmental Culture Profiles


Marketing Dept. Culture Profile
4.3.1 Marketing Department Culture Profile EXISTING PREFERRED
Clan 247.00 296.67
N = 10 Adhocracy 266.83 226.17
Hierarchy 202.17 230.00
Market 284.00 243.00

Figure 04: Marketing Department Culture Profile


Organizational Culture 40

The dominant culture in this department according to existing column is market

culture, while adhocracy culture hit the second. The third highest score is clan and

hierarchy as the fourth. Marketing department cultural profile shows that the four cultures

– competing values model represents in this department.

According to the preferred column, it showed that the employees preferring clan

culture as the dominant culture for their department and the second highest culture is

market culture, while the third culture in the rank is hierarchy; followed by adhocracy.

In this context, employees in this department preferred to be clan as the dominant

culture, whilst it is the third rank in the existing culture.

4.3.2 Sales Department Cultural Profile

Sales Dept. Culture Profile


N=8
Cultures EXISTING PREFERRED
Clan 195.50 195.00
Adhocracy 194.83 190.17
Hierarchy 202.33 209.83
Market 207.33 205.00

Figure 05: Sales Department Culture Profile


Organizational Culture 41

As the chart showed, the market culture scored the highest, 207.33 while

hierarchy became 202.33 as the second and followed by adhocracy, 194.83; and clan as

the fourth rank, 195.5. Sales department according to its existing and preferred cultures,

employees depicted that they are satisfied with the current mix of cultures.

4.3.3 Technical Department Cultural Profile

N=7 Technical Dept. Culture Profile


EXISTING PREFERRED
CLAN 137.50 189.17
ADHOCRACY 185.83 167.50
HIERARCHY 175.83 155.00
MARKET 200.83 217.50

Figure 06: Technical Department Cultural Profile

In the existing culture, clan culture became the dominant culture scored 200.83,

while adhocracy culture slightly (185.83) as the second dominant culture. The third

culture is hierarchy followed by clan as the fourth. According to preferred culture, market

is the dominant culture, where clan culture is ranked as the second. The third and the

fourth are adhocracy and hierarchy respectively.


Organizational Culture 42

4.3.4. Organizational Culture Profile


Organizational Culture Profile
Existing Preferred
N = 25 Clan 95.56 138.3
Adhocracy 123.89 119
Hierarchy 118.06 124.07
Market 190.28 204.74

Figure 07: Organizational Culture Profile

According to existing culture, the dominant culture is market, where adhocracy

and hierarchy being the second and third respectively. Further, clan culture ranked as the

fourth dominant culture existing in organizational wise.

Moreover, preferred cultures being depicted market as the dominant culture

followed by clan and hierarchy scored in the third rank, whilst, the adhocracy became the

four narrowly.
Organizational Culture 43

4.4.0. Descriptive Analysis on Culture Types

4.4.1 Descriptive Statistics: Clan Culture

Table 08: Descriptive Statistics on Clan Culture

Statement N Min Max Mean Standard

Deviation

1. Cohesiveness, Participation , Team Work and


Sense of Family Attributes Leads Good 8 3.00 5.00 4.75 0.70

Performance

2. Mentor, Facilitator, and Parent-Figure


8 4.00 5.00 4.87 0.35
Leadership Style Contributes Company Growth

3. Loyalty , Interpersonal Cohesion and Tradition

Leads towards achieving Team Work , 8 4.00 5.00 4.87 0.35

Accomplishment of departmental Goals

4. Human Resource Development, Commitment,

and Morale Strategically Orientates Towards 8 3.00 5.00 4.62 0.74

Outperforming your Competitors

Valid N (List Wise) 8

Source: Research Data

Regarding the table 08, middle managers/ supervisors responses were produced

approximately 4.8 mean. The statement: cohesiveness, participation, teamwork and sense

of family attribute leads good performance yielded 4.7500 mean, where the next three

statements are 4.8750, 48750 & 4.6250 respectively. The standard deviations for the

statements – clan culture characteristics, are 0.70, 0.35, 0.35, & 0.74 respectively.
Organizational Culture 44

Further, it is meant that the higher the standard deviation, the spread of data set is

observed, and lower, the distance between mean and observation are closer. Regarding

this, the observations of statement (1&2) have closer distance with the mean of the data

for the other two statements; and the statement (4) is the farthest observation according to

data set mean. In summary, the lowest observation standard deviation is 0.35 and 0.75 the

highest score.

4.4.2 Descriptive Statistics : Hierarchy Culture

Table 08: Descriptive Statistics on Hierarchy culture

Statement N Min Max Mean Standard

Deviation

1. Order , Rules and Regulations ; Uniformity and 8


4.00 5.00 4.75 0.46
Efficiency Attributes Leads Good Performance

2. Coordinator, Organizer , and Administrator 8


4.00 5.00 4.62 0.51
Leadership Style Contributes Company Growth

3. Rules , Policies & Procedures , and Clear 8


Expectations Leads Towards Achieving Team 2.00 5.00 4.50 1.06

Work , Accomplishment of Departmental Goals

4. Stability, Predictability and Smooth Operations 8


Strategically Orientates towards Outperforming 3.00 5.00 4.500 0.92

your Competitors

Valid N ( List Wise ) 8

Source: Research Data

The data set for hierarchy culture according to the managers/supervisors are

depicted as the lowest mean as 4.5 and the highest 4.75; where standard deviation results

0.46 and 1.06 as the lowest and the highest respectively.


Organizational Culture 45

Accordingly, the farthest observation from the mean in the data set is statement

(3) 1.06; the more closely distanced from mean are statement (1&2) showing 0.46 & 0.51

respectively.

4.4.3 Descriptive Statistics: Adhocracy Culture

Table 09: Descriptive Statistics on Adhocracy Culture

Statement N Min Max Mean Standard

Deviation

1. Creativity, Entrepreneurship , Adaptability and


8 4 5 4.75 0.46
Dynamism Attributes Leads Good Performance

2. Entrepreneur , Innovative and Risk taker


8 2 5 4.50 1.06
Leadership Style Contributes Company Growth

3. Entrepreneurship , Flexibility, and Risk taking

Leads towards Achieving Team Work, 8 3 5 4.63 0.74

Accomplishment of Departmental Goals

4. Innovation , Growth and Exploring new resources

Strategically Orientates towards Outperforming 8 4 5 4.75 0.46

your Competitors

Valid N ( List Wise ) 8

Source: Research Data

Adhocracy culture statistics showed that the lowest mean in the data set as 4.50

and the highest as 4.75, where the standard deviation results as 0.46 and 1.06 as the

lowest and highest observation in the data set. In addition, it is mean that the farthest

observation in the data is statement (2) depicting as 1.06; and statements (1&4) scored for

the closest observation away from the mean.


Organizational Culture 46

4.4.4 Descriptive Statistics: Market Culture

Table 10: Descriptive Statistics on Market Culture

Statement N Min Max Mean Standard

Deviation

1. Competitiveness, Goal Achievement and


Environment Exchange Attributes Leads Good 8 4.00 5.00 4.87 0.35

Performance

2. Decisive , Production and Achievement Oriented


8 4.00 5.00 4.75 0.46
Leadership Style Contributes Company Goals

3. Goal Orientation , Production , and Competition

Leads Achieving Team Work , Accomplishment 8 4.00 5.00 4.62 0.51

of Departmental Goals

4. Competitive Advantage and Market Superiority

Strategically Orientates towards Outperforming 8 3.00 5.00 4.37 0.74

your Competitors

Valid N ( List Wise ) 8

Source: Research |Data

Market culture data set shows that the lowest mean score is 4.37 and the highest

as 4.87; with standard deviation of 0.74 and 0.35 respectively. Interestingly, the lowest

mean score has the highest standard deviation. Also the lowest standard deviation score

corresponds with the highest mean score of 4.87. Accordingly, statement (4) of the data

set has the farthest distance from the mean and the other statement had closer standard

deviation scores according to the statement (4).


Organizational Culture 47

4.4.5 Descriptive Statistics: Organization Performance

Table 11: Descriptive statistics on Organization Performance


Statement N Min Max Mean Standard

Deviation

1. Return On Equity, Return on Asset and Return on 8

Investment of your company satisfactorily higher 3.00 5.00 4.75 0.70

than your competitors

2. Net Profit , Annual Turnover and Profit Margin 8

of your Company are higher enough to 4.00 5.00 4.87 0.35

outperform your competitors

3. The Annual Employee turnover of your Company 8


1.00 5.00 3.25 1.28
is higher than your competitors

4. To what extend you believe that your Customers 8


are fully satisfied with the Quality of your 3.00 5.00 3.87 0.83

Services

5. Your Company Market share is very high in 8


3.00 5.00 4.37 0.74
contrast to your competitors

Valid N ( List Wise) 8

Source: Research Data

According to the performance data set, the lowest mean score is 3.25 corresponds

the highest standard deviation of 1.28; while the highest mean score is 4.87 as against

lowest standard deviation of 0.35. This meant that statement (4) has the longest distance

from data set mean; and the closest observation in the data from the mean is statement

(2).
Organizational Culture 48

4.4.6. Comparative Analysis on Descriptive Statistics on Culture

The comparative section of descriptive statistics on cultures – clan, adhocracy,

hierarchy and market, depicted different means and standard deviations. Accordingly,

this study found differing standard deviation values on dominant characteristics

statement. Clan culture showed 0.70, while adhocracy, hierarchy and market cultures

dominant characteristics statements depicted as 0.46, 0.46, and 0.35 respectively. It is

meant that the market culture dominant characteristics statement has the closest

concentrated observation around the mean of the data set.

The leadership style statements of all cultures showed that their standard

deviations are 0.35, 0.51, 1.06, & 0.46 according to the order of: clan, hierarchy,

adhocracy and market cultures. Therefore, the smallest spread data around the mean of

the respected data set is clan culture. In addition to that, the organizational glue

statements that the clan standard deviation portrayed as the smallest deviation value from

the mean (0.35), whilst the hierarchy became the farthest value from the mean. Also

market and adhocracy cultures are 0.51 & 0.74 values and can be ranked as the second

and the third.

In the last item, the strategic emphasis of cultures: clan, hierarchy, adhocracy and

market, shown that the standard deviations are 0.74, 0.92; 0.46 & 0.74. The smallest

deviation value from the mean 0.46 in regard to its data set and the other three standard

deviations are far away from the mean.


Organizational Culture 49

4.5.0. Section Three : Correlation Results


4.5.1. Correlation Results – Clan Culture and Performance
Return on equity Net Profit, Annual
To what extent you
/asset/ investment Turnover, and profit Annual employee Your company
believe that your
of your company margin of your company turnover of your market share is very
Culture Characteristics customers are fully
satisfactorily higher are higher enough to company is higher high in contrast to
satisfied with the
than your outperform your than your competitors your competitors
quality of your services
competitors competitors
Dominant Pearson
CharacteristicsCohesiven Correlation 1.000** 1.000** -.143 -.061 .204
ess, participation, teamwork Sig. (2-tailed) .000 .000 .736 .887 .629
and sense of family attributes
leads good performance N 8 8 8 8 8
Pearson
Leadership Style Correlation 1.000** 1.000** -.143 .061 .204
Mentor, facilitator, and parent-
figure leadership style Sig. (2-tailed) .000 .000 .736 .887 .629
contributes company growth
N 8 8 8 8 8
Organizational Glue Person
Loyalty, interpersonal 1.000** 1.000** -.143 -.061 .204
Correlation
cohesion and tradition and
tradition leads towards
Sig.(2-tailed) .000 .000 .736 .887 .629
achieving teamwork,
accomplishment of
departmental goals N 8 8 8 8 8
Strategic Emphasis Pearson
.882 .882 -.204 -.086 .290
Human resource development, Correlation
commitment, and morale
strategically orientates Sig.(2-tailed) .004 .004 .629 .839 .485
towards outperforming your
competitors N 8 8 8 8 8
**. Correlation is significant at the 0.01 level(2-tailed)
Table 13: Correlation Test – Clan Culture and Organizational Performance
Organizational Culture 50

In determining the relationship between culture and organization performance, the

researcher is utilized predetermined criterion set in the methods and procedures chapter.

Based on that, clan culture and organization performance are considered, and

accordingly, the statement: cohesiveness, participation, teamwork and sense of family

attribute leads good performance, were inquired respondents to rate a 5 point Likert scale

questionnaire; where 5 ,4,3,2 & 1 represents very strongly agree, strongly agree , agree ,

moderately agree and slightly agree respectively.

The first statement showed that the relationship between its corresponding

statements as correlation 1.000 that is significance 0.001 at the 0.01 level. It meant that

these two variables have perfect positive relationship according to +1.000 criteria.

Further, it also depicted that the second statement from performance parameters has the

same correlation 1.000 with (0.001) significance at 0.01 levels.

The dominant characteristics statement according to correlation test results that

the (Net profit, Annual turnover….) statement has perfect negative relationship with

significance of 0.736. In addition to that, it also shows that there almost no relationship

with annual employee turnover at -0.06 with 0.887 significance.

The dominant characteristics had positive relationship with market share question

from performance indicators. In reference, this relationship is conclusive on condition

that the correlation test was 0.204 and meant that the relationship is very weak.
Organizational Culture 51

Furthermore, the leadership style24 portrayed 1.000 with statement (1&2) of

performance parameters, for a significance value of 0.000 at the 0.05 level. In this regard,

their relationship with independent statement judged as perfect positive relationship.

In contrast, the leadership style statement showed similar correlation results and

significance scores as against the dominant characteristics statement. Therefore, the

researcher concludes that leadership style have perfect negative relationship, almost no

relationship and very weak relationship respectively. According to table 12,

organizational glue25 statement has similar correlation results and significance scores. In

this context, the relationship with the five performance indicators are perfect positive

relationship, perfect positive relationship, perfect negative relationship, and almost no

relationship and very weak relationship as in the order.

In the final analysis, the strategic emphasis26 showed correlation 0.882, 0.882, -

0.204, -0.086 & 0.290 with regard to the five parameters of performance respectively,

where significance scores as 0.004, 0.004, 0.629, 0.839 and 0.485 regarding their order.

Therefore, the researcher concludes that the relationship with each parameter is very

strong relationship, very strong relationship, almost no relationship and weak relationship

respectively.

24
Represents the second statement regarding clan culture table 12
25
Refers the third statement according to the above clan culture table 12
26
The fourth statement of the table 12
Organizational Culture 52

4.5.2. Correlation Results – Hierarchy Culture and Performance

Return on equity Net Profit, Annual


To what extent you
/asset/ investment Turnover, and profit Annual employee Your company
believe that your
of your company margin of your company turnover of your market share is very
Culture Characteristics customers are fully
satisfactorily higher are higher enough to company is higher high in contrast to
satisfied with the
than your outperform your than your competitors your competitors
quality of your services
competitors competitors
Dominant Pearson
Correlation
.655 .655 .218 .277 .311
Characteristics
Order , rules and regulations; Sig. (2-tailed) .078 .078 .604 .506 .543
uniformity and efficiency
attributes leads good N 8 8 8 8 8
performance
Pearson
Leadership Style Correlation
.488 .098 .098 .207 .046
Coordinator, organizer, and
administrator leadership style Sig. (2-tailed) .220 .220 .818 .623 .913
contributes company growth
N 8 8 8 8 8
Organizational Glue Person
Correlation
.945** .945** -.189 -.080 .090
Rules , policies & procedures,
and clear expectations leads
towards achieving teamwork , Sig.(2-tailed) .000 .000 .654 .851 .833
accomplishment of
departmental goals N 8 8 8 8 8
Strategic Emphasis Pearson
.655 .655 -.218 -.092 -.104
Stability, predictability, and Correlation
smooth operations
strategically orientates Sig.(2-tailed) .078 .078 .604 .828 .807
towards outperforming your
competitors N 8 8 8 8 8
*. Correlation is significant at the 0.01 level (2-tailed)
**.Correlation is significant at the 0.05 level (2-tailed)
Table 14: Correlation Test - Hierarchy Culture and Organization Performance Correlation
Organizational Culture 53

In analyzing the relationship between hierarchy culture and organization

performance, the researcher has organized in the following:

1. Dominant Attributes –

According to correlation results, it is evident that this statement has

positive relationship with the performance parameters. The correlations are 0.655,

0.655, 0.218, 0.277 and 0.311 respectively with significance at 0.078, 0.078,

0.604, 0.506, & 0.543 according to their order. Therefore, the relationships

between variables have moderately strong relation, moderately strong

relationship, weak relationship, weak relationship, & moderately weak

relationship respectively.

2. Leader style –

Pearson’s correlation co-efficiency showed that the relationship between

leader style and performance has positive relationship. In this regard, the return on

equity statement has moderately weak relationship with leader style at 0.488, and

0.22, significance. In addition, the net profit statement has very strong

relationship with 0.98 with significance of 0.22, where employee turnover

statement showed exactly the same correlation figure and with different

significance of 0.818.

The statement of customer satisfaction has 0.207 correlation score and it

has very weak relationship (0.623) significance. In the end, market share

statement has moderately weak relationship with a score of 0.046 correlations, at

(0.913) significance.
Organizational Culture 54

3. Organizational Glue –

As the correlation results depicted, the organizational glue statement has

positive relationship with return on equity statement and 0.000, significance. It

also showed that the net profit statement has 0.945 correlation value and the same

significance at 0.000 for 0.05 levels. The organizational glue statement produced

negative relationship with the annual employee statement at -0.189 and a

significance value of 0.654. Also it results that the customer satisfaction statement

has negative relationship at -0.80 and a value of 0.85 as significance.

Furthermore, the organizational glue statement portrayed that market share

statement had positive relationship at 0.90 with corresponding 0.833 significance

value. This means that they relate very strongly.

4. Strategic Emphasis –

As strategic emphasis statement showed, it has positive relationship with

return on equity and net profit statements 0.65 correlation value in each with same

significance of 0.078. It also produced negative relationship with the annual

employee, customer satisfaction and market share statements as 0.218, -0.092 & -

0.104 correlation values, with significance of 0.604, 0.828, & 0.807 respectively.
Organizational Culture 55

4.5.3. Correlation Results – Adhocracy Culture and Organization Performance

Return on equity Net Profit, Annual


To what extent you
/asset/ investment Turnover, and profit Annual employee Your company
believe that your
of your company margin of your company turnover of your market share is very
Culture Characteristics customers are fully
satisfactorily higher are higher enough to company is higher high in contrast to
satisfied with the
than your outperform your than your competitors your competitors
quality of your services
competitors competitors
Dominant Pearson
.655 .655 .218 .277 -.104
Characteristics Correlation
Creativity, Entrepreneurship, Sig. (2-tailed) .078 .078 .604 .506 .807
adaptability, and dynamism
attributes leads good N 8 8 8 8 8
performance
Pearson
Leadership Style Correlation
.945 .945 .000 .080 .090
Entrepreneur, Innovator and
risk taker leadership style Sig. (2-tailed) .000 .000 1.000 .851 .833
contributes company growth
N 8 8 8 8 8
Organizational Glue Person
.882 .882 .068 .144 .290
Entrepreneurship, flexibility, Correlation
and risk taking leads towards
achieving teamwork , Sig.(2-tailed) .004 .004 .873 .734 .485
accomplishment of
departmental goals N 8 8 8 8 8
Strategic Emphasis Pearson
-.218 -.218 .218 .277 .311
Innovation, Growth and Correlation
exploring new resources
strategically orientates Sig.(2-tailed) .604 .604 .604 .506 .453
towards outperforming your
competitors N 8 8 8 8 8
*. Correlation is significant at the 0.01 level (2-tailed)
**.Correlation is significant at the 0.05 level (2-tailed)
Table 15: Correlation test – Adhocracy Culture and Organization Performance
Organizational Culture 56

Adhocracy culture correlation table shows that dominant characteristics statement

is positively correlated with return on equity, net profit, employee turnover, and customer

satisfaction statements as 0.655, 0.655, 0.218 & 0.277 respectively. The significance

values of these statements also are 0.78, 0.78, 0.604, & 0.506 according to their order.

The dominant characteristics is only has negative relationship with market share

statement at -0.104 correlation value and a significance level of 0.807.

Leadership style statement also has positive relationship with the dependent

variables as the values in the bracket (0.945, 0.945, 0.80, & 0.90) with significance

values: 0.000, 0.000, 1.000, 0.851, & 0.833 according to their order

Furthermore, organizational glue has also positive relationship with the dependent

variables. The first positive correlation value with return on equity results 0.882 with

corresponding significance value of 0.004; whilst the value of correlation with net profit

statement produced the same values. The annual employee turnover statement also has

positive value of 0.068 correlations, and significance of 0.873. And the market share

statement showed 0.290 as correlation value and significance of 0.485.

And the strategic emphasis statement has negative relationship with return on

equity and net profit statements with -0.218 correlation value and significance of 0.604 in

each dependent variable. Accordingly, the annual employee turnover statement depicted

as correlation 0.218, and significance value of 0.604. With this regard, the customer

satisfaction and market share statements produced positive relationship with the

independent variable for values of 0.277 & 0.311 correlation and significance of 0.506,

and 0.453 respectively.


Organizational Culture 57

4.5.4. Correlation Results – Market Culture and Performance

Return on equity Net Profit, Annual


To what extent you
/asset/ investment Turnover, and profit Annual employee Your company
believe that your
of your company margin of your company turnover of your market share is very
Culture Characteristics customers are fully
satisfactorily higher are higher enough to company is higher high in contrast to
satisfied with the
than your outperform your than your competitors your competitors
quality of your services
competitors competitors
Dominant Pearson
Characteristics Correlation 1.000** 1.000** -.143 -.061 .204
Competitiveness , goal Sig. (2-tailed) .000 .000 .736 .887 .629
achievement and environment
exchange attitudes leads good N 8 8 8 8 8
performance
Leadership Style Pearson
Decisive, production , and Correlation .655 .655 .218 .277 -.1.4
achievement oriented
Sig. (2-tailed)
leadership style contributes .078 .078 .604 .506 .807
company goals N 8 8 8 8 8
Organizational Glue Person
Goal orientation, production Correlation .488 .488 .098 .207 -.325
and competition leads
achieving team work, Sig.(2-tailed)
accomplishment of .220 .220 .818 .623 .433
departmental goals N 8 8 8 8 8
Strategic Emphasis Pearson
.204 .204 .204 .316 .-.290
Competitive advantage and Correlation
market superiority
strategically orientates Sig.(2-tailed) .629 .629 .629 .445 .485
towards outperforming your
competitors N 8 8 8 8 8
*. Correlation is significant at the 0.01 level (2-tailed)
**.Correlation is significant at the 0.05 level (2-tailed)
Table 16: Correlation test – Market Culture and Organization Performance
Organizational Culture 58

In the final analysis, the researcher found that the dominant characteristics have

positive relationship with dependent variables except annual employee turnover &

customer satisfaction statements, where these two result negative relationship. Return on

equity and net profit showed 1.000 correlation values and significance of 0.000 at the

0.05 level respectively. In addition to this, annual employee turnover, and customer

satisfaction statement correlation values are -0.143 & -0.061, and consequently reported

significance values of 0.736 & 0.887 accordingly. Also market share statement has

positive relationship value of 0.204 and significance value of 0.629.

The leadership style has positive relationship with all variables except the market

share statement for a negative value of -0.14, and significance of 0.07. The positive

correlation values are: 0.655, 0.655, 0.218 & 0.277 according to their order; where it also

has corresponding significance values 0.078, 0.078 & 0.604 with regard to the order of

the table.

Organizational glue statement has positive relationship with the dependent

variables as following: 0.488, 0.488, 0.098, & 0.207 respectively; whereas the

significance values are 0.220, 0.220, 0.818, & 0.623 as in the order of the table. The

negative dependent variable further showed the market share statement has negative

relationship with the independent variable.

The strategic emphasis also produced positive relationship with market share,

customer satisfaction and employee annual turnover statement as 0.204, 0.204, and 0.316

with corresponding significance values of 0.629, 0.629 and 0.629 accordingly. The
Organizational Culture 59

market share statement showed -0.290 negative correlation relationships exist between

independent and dependent variable, and significance value of 0.485.


Organizational Culture 60

CHAPTER FIVE: DISCUSSION, CONCLUSION AND RECOMMENDATIONS

5.1. Introduction

This chapter related to discussing and making conclusions on the basis of research

data analyzed in the previous chapter. The author organized into two sections: discussion

& conclusion, and recommendations. It also considered in this chapter further research

suggestion to explore more about the organizational culture.

5.2. Discussion and Conclusion

5.2.1 Section One: Organizational Culture Profile

Theoretically, (Cameron & Quinn, 2006) writes that the congruent culture is

meant the strategy, leadership style; reward system, approach to managing employees,

and dominant characteristics all tend to emphasize the same set of cultural values (p.73).

Cameron & Quinn, et al (2006) has found that congruent cultures, although not a

prerequisite for success, are more typical of high – performing organizations than

incongruent cultures; and culture congruency ,and its association with high performance

is more likely to be connected to unit performance than to the overall performance of a

large, complex corporation.

In this context, departmental wise in dimensions showed that Market culture is

dominated. Accordingly, the researcher has concrete evidence to conclude that congruent

culture is being observed in dimensional wise for all departments.


Organizational Culture 61

Table 17: Dimensional Wise Analysis on Culture Types <Existing>


Cultures Dominant Leadership Employee Organizational Strategic Criteria
Characteristics Style Mgt. Glue Emphasis Of
Success
Sales D B C D B D
Technical D B D C D D
Marketing B A D D D B

In addition, the organizational culture profile is also market culture with regard to

the data analysis results. Al though the results has shown that the clan culture is the

dominated culture type in the preferred cultures, whilst Hierarchy, adhocracy and market

cultures presented in approximately equal frequencies.

Table 18: Dimensional Wise Analysis on Culture Types <Preferred>


Cultures Dominant Leadership Employee Organizational Strategic Criteria
Characteristics Style Mgt. Glue Emphasis Of
Success
Sales C C C C B D
Technical B A A B A D
Marketing A A D A A A

Hence, this section concludes that the organizational culture profile of Telesom

Company is market culture and observed that the other culture types are somewhat nearly

considered. It also showed with concrete evidence that there congruent culture in

dimensional wise is observed. And accordingly, Cameron et al (2006) writes that at least

ten (10) points in the preferred column suggests a cultural change with an in depth

assessment; and therefore, the study concludes that Telesom employees are of the opinion

to shift from market culture as the dominant to clan culture in the near future.
Organizational Culture 62

5.2.2. Section Two: Correlation between Culture and Organization Performance

The study on exploring linkage between organizational culture and performance

deals with this section to present conclusion that their relationship exist or not. According

to the data analysis, it is organized into four cultures in attempt to assess their relationship

with performance in each culture.

5.2.2.1 Clan Culture Correlation Verification

The clan culture showed that the dominant characteristics have positive

relationship with return on equity/investment/asset and net profit/annual turnover/profit

margin statements at significance correlation at 0.01 levels. It also meant that when r =

+1, then the dominant characteristics have very strong positive relationship with these

variables.

Moreover, the dominant characteristics have perfect negative relationship with

customer satisfaction, and annual employee turnover at -0.143 and -0.061. A positive

relationship is observed at 0.204 with p value of 0.629. It implies that r2 = 0.79, this shift

can be explained at 79% of the relationship is represented at this point.

The leadership style statement also concluded that it have very strong positive

relationship with return on equity and net profit statement at r = +1, p, 0.001. This

statement also have positive relationship with 0.061, 0.204 at p values of 0.887 & 0.629

respectively. The leadership style statement has negative relationship with annual

employee turnover statement at -0.143 with p value of 0.736.


Organizational Culture 63

Organizational glue statement has very strong positive relationship with return on

equity and net profit statement at p 0.001. Both the annual employee turnover and

customer satisfaction statements portrayed negative relationship with organizational glue

statement at -0.143 and -0.061 respectively; while 0.204 positive relationship is observed

in the data according to market share statement against the organizational glue.

The strategic emphasis statement presented at 0.882 correlation values and 0.004

significance values with return on equity and net profit statements. It also observed in the

data set that annual employee turnover and customer satisfaction statements shown

negative relationship with strategic emphasis, whilst the market share statement linked in

positively.

According to the above analysis, this study concluded that clan culture has

established relationship with the organization performance as with the evidence that the

return on equity, net profit , and market share statements’ have positive relationship with

the culture characteristics.

5.2.2.2. Hierarchy Culture Correlation Verification

The study on organizational culture and performance relationship is being tested

in Pearson correlation coefficient; and it produced that the dominant characteristics

statement has positive relationship at 0.65, 0.65, 0.218, 0.277 & 0.311. The study

concludes that their degrees vary as moderately strong relation, moderately strong

relationship, weak relationship, weak relationship, & moderately weak relationship

respectively.
Organizational Culture 64

As the leadership style presented that the relationship between leader style and

performance was positive relationship, and the return on equity statement is moderately

weak relationship with leader style at 0.488, and 0.22, significance. In addition, the net

profit statement has very strong relationship with 0.98 with significance of 0.22, where

employee turnover statement showed exactly the same correlation figure and with

different significance of 0.818.

The statement of customer satisfaction at 0.207 correlation score with very weak

relationship of significance value (0.623) In the end, market share statement has

moderately weak relationship with a score of 0.046 correlations, at (0.913) significance.

Regarding the data analysis section on hierarchy culture, the organizational glue

and strategic emphasis has portrayed that the relationship between these statements and

the dependent variables has evidently proofed.

Therefore, the researcher, according to the data analysis, the relationship between

hierarchy culture and organization performance is observed on the basis of the research

data, and the evidence can be seen on the positive relationship between culture

characteristics and the return on equity and net profit statements.

5.2.2.3 Adhocracy Culture Correlation Verification

The adhocracy culture characteristics, regardless of the nature of the relationship,

it presented that their relationship exists and have impact on organizational performance.

The dominant characteristics correlation values showed positive relationship with

performance variables except market share statement27. Further, the leadership style

27
Return on Equity (0.655) Net Profit (0.655) Annual Employee (0.218), Customer Satisfaction(0.277) Market
Share (-0.104)
Organizational Culture 65

statement showed that the relationship between the dependent and independent variables

is positive28 with varying degrees.

The organizational glue also presented positive relationship with the dependent

variable at varying degrees29. On the contrary, the strategic emphasis statement showed

that the return on equity and net profit statements have negative relationship with the

independent variable at -0.218 in each, whilst the other three dependent variables shown

as positive relationship with it at 0.218, 0.277 & 0.311 according to their order.

Therefore, the adhocracy culture has relationship with organizational

performance. Also it is concluded that the positive relationship of adhocracy culture with

the dependent variables are observed in the data set.

5.2.2.4. Market Culture Correlation Verification

The market culture has proofed according to the data set that return on equity, net

profit & market share statement have positive relationship with dominant culture. The net

profit and return on equity displayed similar correlation values at 1.000 (0.001

significance). This means that the relationship is very strong positive linear relationship.

It also showed that the relationship with annual employee turnover and customer

satisfaction statements is negative; and significance of 0.736 & 0.887 respectively.

28
Return on equity (0.945) net profit (0.945) annual employee(0.001) customer satisfaction(0.08) and 0,090
29
(0.882), (0,882) (0.068)(0.144)(0.290)
Organizational Culture 66

Furthermore, leadership style statement has positive relationship with return on

equity30, net profit31, and annual employee32 and customer satisfaction33 statements,

whilst it portrayed market share statement in a negative correlation value of -0.14.

Organizational glue statement has positive relationship with the dependent

variables as following: 0.488, 0.488, 0.098, & 0.207 respectively;. The negative values

showed that the market share statement has negative relationship with the independent

variable. The strategic emphasis also results a positive relationship with market share,

customer satisfaction and employee annual turnover statement as 0.204, 0.204, and 0.316

accordingly. The market share statement showed -0.290 negative relationships exist

between independent and dependent variable, and significance value of 0.485.

Thus, the research concludes that the relationship between organizational cultures

– market culture is established with varying positive and negative relationships.

5.3 Recommendations

The study on exploring linkage between organizational culture and organizational

performance proofed statistically that their relationship is established. On the basis of this

facts, the researcher attempts to offer recommendations based on the study. Therefore,

the following advices were offered to:

 Re assess the existing organizational culture by considering the suggestion of

their employees, and improve employee management system.

30
0.655
31
0.655
32
0.218
33
0.277 ,
Organizational Culture 67

 Investigate in an in-depth awareness and understanding of departmental

environment to align sub-unit organizational culture.

 Continuously monitor internal and external environments in an organizational

wise to match the existing culture and the prevailing economic, social and

political trends.

5.4. Further Research Suggested

The study on exploring linkage between organizational culture and performance

concludes that organizational culture has firm relationship with company performance.

Accordingly, this study considered limited data collection instruments – questionnaires,

and the timeframe & the resources were not enough to deeply assess in this field.

Therefore, the author suggests other researchers, academicians and students to

conduct and deeply investigate the organizational culture and its impact on organizational

performance by sufficiently resourced and given adequate period.


Organizational Culture 68

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Organizational Culture 70

ANNEXES

ANNEX A - Frequency Tables:

i. Hierarchy Culture

Order , Rules and Regulations ; Uniformity and Efficiency Attributes Leads Good
Performance

Frequency Percent Valid Percent Cumulative


Percent

Strongly Agree 2 25.0 25.0 25.0

Valid Very Strongly Agree 6 75.0 75.0 100.0

Total 8 100.0 100.0

Coordinator, Organizer , and Administrator Leadership Style Contributes Company


Growth

Frequency Percent Valid Percent Cumulative


Percent

Strongly Agree 3 37.5 37.5 37.5

Valid Very Strongly Agree 5 62.5 62.5 100.0

Total 8 100.0 100.0

Rules , Policies & Procedures , and Clear Expectations Leads Towards Achieving Team
Work , Accomplishment of Departmental Goals

Frequency Percent Valid Percent Cumulative


Percent

Moderately Agree 1 12.5 12.5 12.5

Strongly Agree 1 12.5 12.5 25.0


Valid
Very Strongly Agree 6 75.0 75.0 100.0

Total 8 100.0 100.0


Organizational Culture 71

Stability, Predictability and Smooth Operations Strategically Orientates towards


Outperforming your Competitors

Frequency Percent Valid Percent Cumulative


Percent

Agree 2 25.0 25.0 25.0

Valid Very Strongly Agree 6 75.0 75.0 100.0

Total 8 100.0 100.0

ii. Clan Culture

Cohesiveness, Participation , Team Work and Sense of Family Attributes Leads Good
Performance

Frequency Percent Valid Percent Cumulative


Percent

Agree 1 12.5 12.5 12.5

Valid Very Strongly Agree 7 87.5 87.5 100.0

Total 8 100.0 100.0

Mentor, Facilitator, and Parent-Figure Leadership Style Contributes Company Growth

Frequency Percent Valid Percent Cumulative


Percent

Strongly Agree 1 12.5 12.5 12.5

Valid Very Strongly Agree 7 87.5 87.5 100.0

Total 8 100.0 100.0

Loyalty , Interpersonal Cohesion and Tradition Leads towards achieving Team Work ,
Accomplishment of departmental Goals

Frequency Percent Valid Percent Cumulative


Percent

Strongly Agree 1 12.5 12.5 12.5

Valid Very Strongly Agree 7 87.5 87.5 100.0

Total 8 100.0 100.0


Organizational Culture 72

Human Resource Development, Commitment, and Morale Strategically Orientates


Towards Outperforming your Competitors

Frequency Percent Valid Percent Cumulative


Percent

Agree 1 12.5 12.5 12.5

Strongly Agree 1 12.5 12.5 25.0


Valid
Very Strongly Agree 6 75.0 75.0 100.0

Total 8 100.0 100.0

iii. Market Culture

Competitiveness, Goal Achievement and Environment Exchange Attributes Leads


Good Performance

Frequency Percent Valid Percent Cumulative


Percent

Strongly Agree 1 12.5 12.5 12.5

Valid Very Strongly Agree 7 87.5 87.5 100.0

Total 8 100.0 100.0

Decisive , Production and Achievement Oriented Leadership Style Contributes


Company Goals

Frequency Percent Valid Percent Cumulative


Percent

Strongly Agree 2 25.0 25.0 25.0

Valid Very Strongly Agree 6 75.0 75.0 100.0

Total 8 100.0 100.0

Goal Orientation , Production , and Competition Leads Achieving Team Work ,


Accomplishment of Departmental Goals

Frequency Percent Valid Percent Cumulative


Percent

Strongly Agree 3 37.5 37.5 37.5


Valid Very Strongly Agree 5 62.5 62.5 100.0

Total 8 100.0 100.0


Organizational Culture 73

Competitive Advantage and Market Superiority Strategically Orientates towards


Outperforming your Competitors

Frequency Percent Valid Percent Cumulative


Percent

Agree 1 12.5 12.5 12.5

Strongly Agree 3 37.5 37.5 50.0


Valid
Very Strongly Agree 4 50.0 50.0 100.0

Total 8 100.0 100.0

v. Adhocracy Culture

Creativity, Entrepreneurship , Adaptability and Dynamism Attributes Leads Good


Performance

Frequency Percent Valid Percent Cumulative


Percent

Strongly Agree 2 25.0 25.0 25.0

Valid Very Strongly Agree 6 75.0 75.0 100.0

Total 8 100.0 100.0

Entrepreneur , Innovative and Risk taker Leadership Style Contributes Company


Growth

Frequency Percent Valid Percent Cumulative


Percent

Moderately Agree 1 12.5 12.5 12.5

Strongly Agree 1 12.5 12.5 25.0


Valid
Very Strongly Agree 6 75.0 75.0 100.0

Total 8 100.0 100.0


Organizational Culture 74

Entrepreneurship , Flexibility, and Risk taking Leads towards Achieving Team Work,
Accomplishment of Departmental Goals

Frequency Percent Valid Percent Cumulative


Percent

Agree 1 12.5 12.5 12.5

Strongly Agree 1 12.5 12.5 25.0


Valid
Very Strongly Agree 6 75.0 75.0 100.0

Total 8 100.0 100.0

Innovation , Growth and Exploring new resources Strategically Orientates towards


Outperforming your Competitors

Frequency Percent Valid Percent Cumulative


Percent

Strongly Agree 2 25.0 25.0 25.0

Valid Very Strongly Agree 6 75.0 75.0 100.0

Total 8 100.0 100.0

vi. Organization Performance

Return On Equity, Return on Asset and Return on Investment of your company


satisfactorily higher than your competitors

Frequency Percent Valid Percent Cumulative


Percent
Agree 1 12.5 12.5 12.5

Valid Very Strongly Agree 7 87.5 87.5 100.0

Total 8 100.0 100.0

Net Profit , Annual Turnover and Profit Margin of your Company are higher enough to
outperform your competitors

Frequency Percent Valid Percent Cumulative


Percent

Strongly Agree 1 12.5 12.5 12.5

Valid Very Strongly Agree 7 87.5 87.5 100.0


Total 8 100.0 100.0
Organizational Culture 75

The Annual Employee turnover of your Company is higher than your competitors

Frequency Percent Valid Percent Cumulative


Percent

Slightly Agree 1 12.5 12.5 12.5

Moderately Agree 1 12.5 12.5 25.0

Agree 2 25.0 25.0 50.0


Valid
Strongly Agree 3 37.5 37.5 87.5

Very Strongly Agree 1 12.5 12.5 100.0

Total 8 100.0 100.0

To what extend you believe that your Customers are fully satisfied with the Quality of
your Services

Frequency Percent Valid Percent Cumulative


Percent

Agree 3 37.5 37.5 37.5

Strongly Agree 3 37.5 37.5 75.0


Valid
Very Strongly Agree 2 25.0 25.0 100.0

Total 8 100.0 100.0

Your Company Market share is very high in contrast to your competitors

Frequency Percent Valid Percent Cumulative


Percent
Agree 1 12.5 12.5 12.5

Strongly Agree 3 37.5 37.5 50.0


Valid
Very Strongly Agree 4 50.0 50.0 100.0

Total 8 100.0 100.0


Organizational Culture 76

ANNEX B- SALES DEPARTMENT – OCAI DATA IN DIMENSIONAL WISE

DOMINANT CHARACTERISTICS
EXISTING PREFERRED
A 186 196
B 180 180
C 210 220
D 224 204
800 800

ORGANIZATIONAL LEADERSHIP
EXISTING PREFERRED
A 202 189
B 210 179
C 198 220
D 190 212
800 800

EMPLOYEE MANAGEMENT
EXISTING PREFERRED
A 200 200
B 188 190
C 222 222
D 190 188
800 800

ORGANIZATIONAL GLUE
EXISTING PREFERRED
A 205 205
B 188 188
C 196 207
D 211 200
800 800
Organizational Culture 77

STRATEGIC EMPHASIS
EXISTING PREFERRED
A 193 193
B 207 205
C 198 200
D 202 202
800 800

CRITERIA SUCCESS
EXISTING PREFERRED
A 187 187
B 196 199
C 190 190
D 227 224
800 800

Marketing Department – OCAI Data in Dimensional Wise

N = 10

DOMINANT CHARACTERISTICS
EXISTING PREFERRED
A 260 280
B 290 205
C 179 250
D 271 265
1000 1000

ORGANIZATIONAL LEADERSHIP
EXISTING PREFERRED
A 287 297
B 217 235
C 222 210
D 274 258
1000 1000
Organizational Culture 78

EMPLOYEE MANAGEMENT
EXISTING PREFERRED
A 261 265
B 248 240
C 210 212
D 281 283
1000 1000

ORGANIZATIONAL GLUE
EXISTING PREFERRED
A 214 342
B 285 202
C 198 190
D 303 266
1000 1000

STRATEGIC EMPHASIS
EXISTING PREFERRED
A 260 344
B 265 175
C 180 290
D 295 191
1000 1000

CRITERIA SUCCESS
EXISTING PREFERRED
A 200 252
B 296 300
C 224 228
D 280 220
1000 1000
Organizational Culture 79

Technical Department – OCAI Data Dimensional Wise

N=7

DOMINANT CHARACTERISTICS
EXISTING PREFERRED
A 135 140
B 185 205
C 180 180
D 200 175
700 700

ORGANIZATIONAL LEADERSHIP
EXISTING PREFERRED
A 140 225
B 200 150
C 170 150
D 190 175
700 700

EMPLOYEE MANAGEMENT
EXISTING PREFERRED
A 160 220
B 170 140
C 175 135
D 195 205
700 700

ORGANIZATIONAL GLUE
EXISTING PREFERRED
A 150 160
B 160 210
C 205 165
D 185 165
700 700
Organizational Culture 80

STRATEGIC EMPHASIS
EXISTING PREFERRED
A 100 225
B 215 140
C 155 130
D 230 205
700 700

CRITERIA SUCCESS
EXISTING PREFERRED
A 140 165
B 185 160
C 170 170
D 205 205
700 700
Organizational Culture 81

ANNEX C- OCAI Questionnaire

The questionnaire comprises of 6 (six) parts, each consists four questions. You're to fill in
each part separately by ensuring that each part will not exceed 100 points. Each column,
Existing and Preferred should be counted each for 100 points. If you feel that the first
question according to your organization is related in an extended degree, you could fill
like 60 the next highest degree 25 and the next 10 and least like 5 which will total 100
points. When you fill existing for all parts then preferred column will be next to fill as
you did. Please don't hesitate to call me on my phone as 063-4615500 and I will clarify as soon
as you needed.

NOTE: this questionnaire is fact based research in which employees should judge as
against their organization. Please take your time to fill seriously the highest extent degree
possible.

1. Please identify your Department

Sales Department Marketing Department

Technical Department

2. Age Distribution

15 – 25 26 – 36 37- 47 48 – 58

59 – 69

3. Please check according to your years of service with Telesom

1–3 4- 5 6- 8 9 – 12

4. Educational Level

Secondary Education /equivalent Bachelor Master

PHD

Section Two: Organizational Culture Assessment Instrument Questionnaire

1. Dominant Characteristics
A. The organization is a very personal place. It is like an extended family. People seem
to share a lot of themselves
B. The organization is a very dynamic entrepreneurial place.
People are willing to stick their necks out and take risks
Organizational Culture 82

C. The organization is very results oriented. A major concern is with getting job done.
People are very competitive and achievement oriented
D. The Organization is a very controlled and structured place. Formal procedures
generally govern what people do.
2. Organizational Culture
A. The leadership in the organization is generally considered to exemplify mentoring,
facilitating or nurturing
B. the leadership in the organization is generally considered to exemplify entrepreneurship,
innovating, or risk taking
C. The leadership in the organization is generally considered to exemplify a no-nonsense ,
aggressive, results- oriented focus
D. The Leadership in the organization is generally considered to exemplify coordinating,
organizing, or smooth- running efficiency
3. Employee Management
A. The management style in the organization is characterized by teamwork, consensus, and
participation
B. The Management style in the organization is characterized by individual risk-taking ,
innovation, freedom , and uniqueness
C. The management style in the organization is characterized by hard-driving
competitiveness, high demand, and achievement
D. The management style in the organization is characterized by security of employment,
conformity, predictability , and stability in relationships
4. Organizational Glue
A. The glue that holds the organization together is loyalty and mutual trust commitment to
this organization runs high.
B. The glue that holds the organization together is commitment to innovation and
development. There is an emphasis on being on the cutting edge.
C. The glue that holds the organization together is the emphasis on achievement and goal
accomplishment. Aggressiveness and winning are common themes
D. The glue that holds the organization together is formal rules and policies. Maintaining a
smooth-running organization is important
5. Strategic Emphases
A. The organization emphasizes human development; high trust, openness, and participation
persist
B. The organization emphasizes acquiring new resources and creating new challenges.
Trying new things and prospecting for opportunities are valued.
C. The organization emphasizes competitive actions and achievement. Hitting stretch targets
and winning in the market place are dominant.
D. The organization emphasizes permanence and stability. Efficiency, control, smooth
operations are important
6. Success Criteria
A. The Organization defines success on the basis of the development of human resources,
teamwork , employee commitment, and concern for people
Organizational Culture 83

B. The organization defines success on the basis of having the most unique or newest
products. It is a product leader and innovator
C. The Organization defines success on the basis of winning in the market place and
outpacing the competition. Competitive market leadership is a key.
D. The organization defines success on the basis of efficiency. Dependable delivery, smooth
scheduling and low-cost production are critical.
Organizational Culture 84

ANNEX D – LIKERT SCALE QUESTIONNAIRE

Section One: General Information

5. Please identify your branch location

Hargeisa Borama Berbera Las-Anod

Buroa

6. Check your status in the company


Middle Level Manger Supervisor

7. Age Distribution

15 – 25 26 – 36 37- 47 48 – 58

59 – 69

8. Please check according to your years of service with Telesom

1–3 4- 5 6- 8 9 – 12

9. Educational Level

Secondary Education /equivalent Bachelor Master

PHD
Organizational Culture 85

Section Two: Please Mark (x) below the Likert Scale for the following statements as you
believe. 5 = Very Strongly Agree, 4 = Strongly Agree 3 = Agree, 2 = Moderately Agree, 1 =
Slightly Disagree

Adhocracy Culture 5 4 3 2 1
1. Creativity, Entrepreneurship , Adaptability and
Dynamism Attributes Leads Good Performance
2. Entrepreneur , Innovative and Risk taker Leadership
Style Contributes Company Growth
3. Entrepreneurship , Flexibility, and Risk taking Leads
towards Achieving Team Work, Accomplishment of
Departmental Goals
4. Innovation , Growth and Exploring new resources
Strategically Orientates towards Outperforming your
Competitors

Hierarchy Culture 5 4 3 2 1
1. Order , Rules and Regulations ; Uniformity and
Efficiency Attributes Leads Good Performance
2. Coordinator, Organizer , and Administrator Leadership
Style Contributes Company Growth
3. Rules , Policies & Procedures , and Clear Expectations
Leads Towards Achieving Team Work ,
Accomplishment of Departmental Goals
4.

Clan Culture 5 4 3 2 1
1. Cohesiveness, Participation , Team Work and Sense of
Family Attributes Leads Good Performance
2. Mentor, Facilitator, and Parent-Figure Leadership Style
Contributes Company Growth
3. Loyalty , Interpersonal Cohesion and Tradition Leads
towards achieving Team Work , Accomplishment of
departmental Goals
4. Human Resource Development, Commitment, and
Morale Strategically
Orientates Towards Outperforming your Competitors
Organizational Culture 86

Market Culture 5 4 3 2 1
1. Competitiveness, Goal Achievement and Environment
Exchange Attributes Leads Good Performance
2. Decisive , Production and Achievement Oriented
Leadership Style Contributes Company Goals
3. Goal Orientation , Production , and Competition Leads
Achieving Team Work , Accomplishment of
Departmental Goals
4. Competitive Advantage and Market Superiority
Strategically Orientates towards Outperforming your
Competitors

Performance 5 4 3 2 1
1. Return On Equity, Return on Asset and Return on
Investment of your company satisfactorily higher than
your competitors
2. Net Profit , Annual Turnover and Profit Margin of your
Company are higher enough to outperform your
competitors
3. The Annual Employee turnover of your Company is
higher than your competitors
4. To what extend you believe that your Customers are
fully satisfied with the Quality of your Services
5. Your Company Market share is very high in contrast to
your competitors
Organizational Culture 87

ANNEX E - TELESOM ORGANIZATIONAL STRUCTURE

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