“with Increasing Globalization, Organizational Culture Will Be More Important Than National Culture”. Discuss and Critically Evaluate This Statement.

Culture is an observable, powerful force in any organization. “Made up of its members’ shared values, beliefs, symbols, and behaviors, culture guides individual decisions and actions at the unconscious level. As a result, it can have a potent effect on a company’s well-being and success” (One Page, n.d.).

Levitt (2014) defines culture as the coherent, learned, shared views of a group of people and about life’s concerns that ranks what is important, furnishes attitudes about what things are appropriate, and dictates behavior. Macy’s corporate culture possesses a diverse leadership team to target their diverse customers and locations. Diversity, based on experiences and passion, gives the Macy’s leadership team new perspectives to promote successful business. Levitt (2014) suggests organizational diversity can be considered as a mixture of people with different group identities working in the same social system. A multi-cultural team of Americans, Italians, Germans and Swiss would adapt well in the rich bouquet of culture in Zurich, Switzerland. As a new team leader, the biggest concern would be establishing integrations between the different cultures working together at Macys.

The organization culture as a leadership concept has been identified as one of the many components that leaders can use to grow a dynamic organization. Leadership in organizations starts the culture formation process by imposing their assumptions and expectations on their followers. Once culture is established and accepted, they become a strong leadership tool to communicate the leader 's beliefs and values to organizational members, and especially new comers. When leaders promote ethical culture, they become successful in maintaining organizational growth, the good services demanded by the society, the ability to address problems before they become disasters and consequently are competitive against rivals. The leader 's success will depend to a large extent, on his knowledge and understanding of the organizational culture. The leader who understands his organizational culture and takes it seriously is capable of predicting the outcome of his decisions in preventing any anticipated consequences. What then is organizational culture? The concept of organizational culture has been defined from many perspectives in the literature. There is no one single definition for organizational culture. The topic of organizational culture has been studied from many perspectives and disciplines, such as anthropology, sociology, organizational behavior, and organizational leadership to name a few. Deal defines organizational culture as values,

Cultural organization is unique and configures their norms, beliefs, values, and behavioral characteristics into the individual and groups that unite to get things accomplished. Patterns begin to evolve and become a rule of basic assumption; whether it is a new idea, one recently discovered or under development by a certain group as they learn to cope with internal integration and external adaptation problems. Cultural characteristics are hard to define because culture is multi-dimensional with integrated components that intertwine at different levels and ever-changing which takes time to establish and therefore time to change it also. Culture becomes the fabric or social glue that unites its participants, this will counteract any processes that are different becomes an unavoidable side-effect of life in an organization. Mutual understandings and a shared system of meanings becomes the basis of communication in a cultural organization. Functions of a society need to be fulfilled with a certain amount of satisfaction or culture can impede the efficiency of that organization. Problems with this concept arise when trying to categorize culture or when, why, or how corporate culture should be changed or finding the best, healthiest or most desirable one.

Cultural differences between countries have strong effects on individual personality and behavior, as well as on organizational culture (Hofstede 2001). These differences can be a significant barrier for an international business leader. Failure to understand and adapt to these differences may

With the growth of transport and communication networks possible, individuals and businesses can exchange goods, services and information at a rate which us humans would have considered impossible 50 years ago. From improvements in the economy, rise in emerging markets and dramatic growth in technology, businesses have little or no choice but to adapt to the dynamics of globalisation and design strategies that compliment the compliance structure of current market trends and institutional conditions (Ghemawat, 2003). Organisational culture is also known to be classified by measures dictated by these forces.

The different in organization cultures are mainly related to the practices between companies, while the national culture are associated with the values that held deeply and difficult to change. Employees can adapt themselves to the organization culture and they can follow the leaders in an organization. However, if conflicts occurred between their national cultural values and the organizational culture, the organizational culture would be undermined. There are many viewpoints which will be the most important to the organization structure. In this case, The quotation below is given by Morgan Gareth which present the strongest reason that explain as follow;

The importance of national culture has become increasingly significant and has been shown to noticeably impact business activities and ventures throughout the world (Bhagat et al., 2005). Failure to appreciate and account for cultural differences can ultimately lead to the failure

Deresky (2011) defines international management as “the process of planning, organizing, leading, and controlling in a multinational or cross-cultural environment” (p. 458). Miroshnik (2002) suggests that although the economic and physical environments certainly are important issues in multinational business, the cultural environment has a special importance in multinational business. Therefore, it is essential for international managers to understand the notion of national culture, as it influences how managers and employees of a particular nation make decisions and interpret their roles. As a result, differences between national cultures not only can create important

Culture affects and governs all facets of life by influencing values, attitudes and behavior of a society, while organizational culture relates to the unique modes of carrying out their activities (Dartey-Baah, 2013). Furthermore, the nature of organizational culture is largely influenced by the cultural orientation of the individual forming

The most recent studies in cross-cultural management reveal that the culture is a very expansive subject for organizations to study, especially for organizations, which hire the most diverse workforce. One definition of a diverse workforce could be as the one, which comes from different ethnic and demographic backgrounds (Plessis, 2011). For studying culture of the diverse workforce, there are two parts to study, the implicit and the explicit culture. The explicit culture includes behavior while the implicit part involves norms and values of individuals (Guang & Trotter, 2012). The explicit culture is already known when workers stay and work in a firm for a length of time, but the most difficult is to understand the implicit culture which is obscured in form of norms and values of the workers. Due to the differences of cultures, workers hold a great potential of variance, variety in terms of their explicit and implicit parts of the culture. The

“Culture” can be defined as the beliefs, customs, behaviors, traditions, skills, etc., of a group or of a people. Though culture may be transmitted from generation to generation, it is often dynamic and changing.”(Toma, p.3) The bigger the company, the more diverse it may become. As companies grow, the various cultural within the company grows amongst the employees. This opportunity will enrich the atmosphere at work, as well as, bring about cultural conflict. The differences among cultures sometimes result in stereotyping, boundaries over stepped, ignorance, unethical behavior, and many times a division within the company. The employer must ensure that the differences between the employees to not

Can culture affect an organizations performance? The study of organizational culture, explores a wide range of factors which affect organizations. Each company creates their own culture based on the industry, people and goals. This summary will focus on culture within organizations and the issues, challenges and best practices that encompass it; while focusing on the technological industry.

National culture is a vital component of the organization culture. We can say that it is a set of elements specific to a particular group of people, which are illustrative of how the members of the organization, country or society think and act. Culture is necessary to the continuity of a group that needs to be structured. It is the social link from which the group or members build its existence. Any organization, regardless of its capacity or frame is formed of by

Ijose and Iossifova (2011) suggest that national culture is an important role in understanding the diffusion and adoption of organizational practices which companies need to beware. Companies should recognize that employees bring their cultural values and norms with them to workplace in the process of effectively distributing organizational practices even facing deep political and economic changes.