Saudi Aramco Leadership Assessment Introduction Organizations whose cultures are tightly integrated to cultural, societal and political norms and values often face a significantly greater series of challenges in implementing change management and retaining agility in the midst of market turbulence. Saudi Aramco's culture is a polyglot of cultural, societal and political norms, unified under the Saudi Arabian series of cultural constraints and values. While Saudi Aramco is a global force in oil production, refining and is a significant influence on the global economics of energy as well. As is the case with large organizations that have attained significant financial success, change is especially difficult as complacency will often permeate an organizational culture (Witten, 2009). The intent of this analysis is to summarize the key findings and recommendations regarding the performance issues defined in weeks four, five and six. In addition, important factors that will determine the success or failure of change efforts are defined, in addition to a discussion surrounding ethics of organizational assessment. An analysis is also provided on the issue of leadership and follower perspectives. All of these factors are used for providing recommendations and options to improve organizational performance. Analysis Of Findings From Weeks Four, Five And Six In evaluating the series of findings, a complex, often conflicting and paradoxical view of Saudi Aramco emerges. A
Organizational culture is the “values and beliefs that people have about an organization and provides expectations to people about the appropriate way to behave” (Kinicki, 2013, slide 3). Corporates can change Changing organizational culture can be a process using one or more of the eleven strategies, (1) formal statements, (2) slogans & sayings, (3) stories, legend, & myths, (4) leader reactions crises, (5) role modeling, training, & coaching, (6) physical design, (7) rewards, titles, promotions, & bonuses, (8) organizational goals & performance criteria, (9) measurable & controllable activities, (10) organizational structure, and (11) organizational systems & procedures (Kinicki & Williams, 2013, p. 236-137). Like stated before organizations
One of the many responsibilities of company leaders is to ensure that their organization is able to compete and excel in the global marketplace. One way organizations are reaching this goal is though a shift in organizational culture. According to Thompson (2014), a company 's culture can be defined as its personality or the way in which things are done. When an organization attempts to shift its culture from that of an individual contribution to a team environment, the transition must be thoughtfully considered and strategic steps should be taken to encourage the most positive results. Changing an organization 's culture does not occur overnight, and will take patience and focused attention from its leaders and workforce to engrain these new ways of doing things into the fabric of the company. Team culture can be fostered through assessing the workforce 's key skills, encouraging team development and teamwork, selecting and utilizing the right motivation, and creating a rewards program that drives a team to achieve the company 's goals.
This report takes a look at the Fortune 1000 company Wells Fargo in respect to organizational culture. Every organization is impacted by the cultural environment within the organization as well as in a specific industry which can impact the efficiency and effectiveness of the organization.
A strong culture is important to today’s organizations in a fast pace environment affected by a diverse internal workforce (Baker, 2002 p. 4). Schein (as cited in Baker, 2002) defined organizational culture as an arrangement of shared beliefs that the group learned through problem solving, and adapting to internal and external environments (p.4). Culture is not only a means of bettering internal coordination, but is important in facilitating environmental adaptation (Baker, 2002 p. 4).
Within organizations, large and small, there exists a sense of identity among its members that separates it from other organizations. This sense of identity is known as organizational culture. All over, managers seek to influence and change this into something that can be beneficial for the organization. In his article, “The Six Levers for Managing Organizational Culture”, Professor David W. Young defines the different elements that can influence and change the culture within the organization and how the reader can use these “levers” to their advantage. While the author does present a decent explanation for changing the culture of an organization, he leaves many questions unanswered that leaves his argument incomplete.
The process described below has been applied successfully in a number of organizations to bring about culture change (Thornbury, 2003). At a very high level, it consists of three phases:
Culture change is not a program with a completion date, nor is it a quick fix. It is an ongoing journey – a journey that requires leaders to understand the current state of the organization, establish a clear vision, align behaviors and instill
Organizational cultures that can be a liability to an organization include those that create barriers to change, create barriers to diversity or barriers to mergers and acquisitions. (Robbins, S. P. 2011) Organizational cultures are also good for change and revitalization of a company. This paper will provide background information on Best Buy and the ROWE (Results-Only Work Environment) Program. This paper will describe the culture of Best Buy. This paper will also discuss the approach to organizational change that the ROWE program illustrates. This case has sources of stress and this paper will discuss the sources that are apparent in the case. Changes have occurred
The story of Arabian American Oil Company (ARAMCO), the United States, and Saudi Arabia is a tale that has been told countless times throughout the history of mankind. ARAMCO is another chapter in the endless saga of empire and global capitalism that has spread around the world with the aid of multinational corporations over a period of several centuries. Many of the techniques used in Saudi Arabia beginning in the 1930s were similar to practices used throughout history as empires expanded and a global economy was formed. Aside from the adoption of several “exceptional” policies in their relationship with Saudi Arabia, ARAMCO continued trends of capitalism established long before the movements towards empire and national economy
Edgar Schein is a respected expert on organizational culture and leadership. He has written numerous books including “Organizational Culture and Leadership” (Schein, 2010). This specific publication outlines a structure for rapidly assessing the culture of an organization. The second method is administering the “Organizational Culture Inventory (OCI), a statistically normed and validated survey used for organizational consulting and change purposes” (Balthazard, Cooke, & Potter, 2006, p. 712).
Within the field of management, the success and failure of the modern business organisation has been largely depicted by the intricate concept of culture. Organisational culture, a concept borrowed from borrowed mostly from anthropology typically is defined as a complex set of values, beliefs, assumptions and symbols that define the way in which an organisation conducts and manages its business (Barney 1986). Management is not just an act of change, but the responsibility for and control of a company or similar organisation (Willmott 1983). It is the management of organisational culture that merely drives the
It is important to change various aspects of organization culture when trying to institute change in organizations (Kavita, 2005). The aspects that such changes should target include the balance of power in the organizations, the organization structure that supports the framework, leadership and management styles. Organizational history is also very critical, especially if it has a progressive track record success. However, if the culture despite the changes remains aligned to the organization goals and mission the employees will adopt it and embrace change.
According to Yukl (Yukl, 2013) one of the many definitions of leadership is “the ability of an individual to influence, motivate, and enable other to contribute toward the effectiveness and success of the organization”. Therefore it is of importance to have an effective leader in an organization to guide the company in the correct direction, in order to achieve the company’s’ main goal.
The competing values framework represents a theory, based on the crucial indicators of an effective organization. It revolves around four major components of organizational culture, which measure the organization's leadership style, institutional bonding, strategic emphases and general cultural characteristics. Leaders and managers benefit from this conceptual framework as it offers teaching tools and helps interpret various organizational functions and processes. In order the examine the organizational culture more in depth, this framework has been extended (Quinn and Kimberly, 1984, p 298). They identified the two main dimensions upon which the competing values framework of cultured is based : the competing demand of change and stability, and the conflicting demands created by the internal organization and the external environment. These dimensions were reflected by other scholars as Thomson
Existing culture can in times be very hard to continue with because of the change in the growth or in the strategic change in the organisation. At such appropriate web of culture is important to be identified or that can be a problem in the progress of the organisation. These identified elements will give organisation a bigger picture of what was going wrong and how can they change it towards betterment of the organisation.