Muhammad Faizal

ZP03323

Importance of Organizational Culture

Organizational culture consists of the values and assumptions shared within an

organization. So, it means the customs, rituals, and values shared by the members of an
organization that have to be accepted by members of that organization. Today organizations
try to achieve fast growth, continue improvement, profitability, preparation for future, and top
situation in their activities in global spectrum (Salajegheh et al., 2015). Furthermore, today
organizations work in an environment that constantly changes and is very hard to predict these
changes. This issue has caused the organizations to spend a lot of time and money over the
changes so as to achieve high performance.

A shared organizational culture helps to unite employees of different demographics.

Many employees within an organization come from different backgrounds, families and
traditions and have their own cultures. Having a shared culture at the workplace gives them a
sense of unity and understanding towards one another, promoting better communication and
less conflict. In addition, a shared organizational culture promotes equality by ensuring no
employee is neglected at the workplace and that each is treated equally. Organizational culture
also helps to keep employees motivated and loyal to the management of the organization. If
employees view themselves as part of their organizations culture, they are more eager to want
to contribute to the entity's success. They feel a higher sense of accomplishment for being a
part of an organization they care about and work harder without having to be forced.

Company culture is unique and provides arguably the most sustainable competitive
advantage an organization can have in the marketplace for distinguishing itself against the
competition. Competitors may attempt to poach employees, steal customers and duplicate the
product or service an organization has worked hard to develop. Culture, like the brand, becomes
the fabric of an organization. The stronger the culture and the brand, the more difficult it is for
competitors to pose a threat to the organization.

Organizational culture has a very big role in creating a smooth operation and
productivity company. Companies that have full infrastructure and high financing, do not rule
out of losses if the company does not have strong corporate culture. On the other hand,
companies engaged in the same field with limited infrastructure and finance, can grow well
due to a very conducive corporate culture. From the example that is the strong corporate culture
will support the performance of its target employee effectively.
Muhammad Faizal
ZP03323

For todays workforce, a desirable corporate culture includes an emphasis on work-life

balance, with a relaxed work schedule and flexible hours. Theyre also drawn to team
collaboration and socializing after work. And while workers nowadays recognize the
importance of a paycheck, they dont want to work for a company that is only interested in
profits and revenue. They want to feel that their work is making a difference and their
organization is contributing to making the world a better place. Companies understand this and
many are addressing the changing needs of their employees.

Reference

McShane, Steven Lattimore, and Mary Ann Young Von Glinow. 2005. Organizational
behavior. Boston: McGraw-Hill Irwin.

Salajegheh, S., Chamanifard, R., Chamanifard, S., & Nikpour, A. (2015). The relationship
between quality of work life and organizational performance: The moderating role of
demographic variables (A case study of foreign exchange units of Tejarat Bank, Iran).
Asian Journal of Research in Business Economics and Management, 5(9), 128141