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Influence of organisational culture on company performance

Wybrane pełne teksty z tego czasopisma
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Warianty tytułu
Języki publikacji
EN
Abstrakty
EN
Purpose: The lack of organizational effort to assess cultural compatibility or fit prior to the engagement of firms has contributed to the failure of several mergers and acquisition. A Korean public listed company with manufacturing plants in Malaysia and New Zealand found that the performances of the newly acquired plants were significantly lower than the manufacturing plants in Korea. Design/methodology/approach: In this study, the influence of national culture on organizational culture and the effect on the organizational performance was conducted on 6 manufacturing plants in Korea (2), Malaysia (3) and New Zealand (1). Hofstede's culture dimensions were used to determine culture diversity between the manufacturing plants. Findings: The values survey module was used to calculate the index scores on five dimensions of national value system as components of national cultures: power distance, Individualism, Masculinity, Uncertainty avoidance and Long term orientation. Practical implications: The model of culture fit assesses the dimensions of socio-cultural environment, internal work culture and HRM practices. The resulting multiple regression analysis showed that there are cultural diversities between the manufacturing plants and national culture does influence organizational performance. Originality/value: The results also showed that a dimension of internal work culture does influence organizational performance.
Rocznik
Strony
837--845
Opis fizyczny
Bibliogr. 18 poz., wykr., tab.
Twórcy
autor
autor
autor
autor
  • Department of Mechanical and Manufacturing Engineering, Faculty of Engineering, Universiti Putra Malaysia, Serdang, Selangor, Malaysia, rosnah@eng.upm.my
Bibliografia
  • [1] T. J. Peters, R. H. Waterman Jr., In Search Excellence: Lessons from America's Best-Run Companies, Harper & Row, New York, 1982.
  • [2] G. Hofstede, G. J. Hofstede, Cultures and Organizations: Software of the Mind, Second Edition, McGraw-Hill, New York, 2005.
  • [3] E. H. Schein, Organizational Culture and Leadership, Third Edition, Jossey-Bass, San Francisco, 2004.
  • [4] K. D. Witte, J. J. Muijen, Organzational Culture, European Journal of Work and Organizational Psychology 8/4 (1999) 497-502.
  • [5] P. C. Early, H. Singh, Innovation International and Cross Cultural Management, Thousand Oaks, CA:Sage, 2000.
  • [6] R. Fontaine, S. Richardson, Cross Cultural research in Malaysia, Cross Cultural Management 10/2 (2003) 75-89.
  • [7] M. Sondergaard, Hostede's consequences: A study of reviews, citations and replications, Organization Studies 15/3 (1994) 447.
  • [8] Z. Aycan, R. N. Kanungo, M. Mendonca, K. Yu, J. Deller, G. Stahl, A. Kurshid, Impact of culture on Human Resource Management Practices: A 10-Country Comparison, Applied Psychology, An International Review 49/1(2000) 192-221.
  • [9] J. Frayerweather, International Business Strategy and Administration, in Miroshnik, V. Culture and international management: a review, Journal of Management Development 21/7 (1978) 521-544.
  • [10] V. Miroshnik, Culture and International Management: A review, The Journal of Management Development 21/7-8 (2002) 521.
  • [11] R. J. Carleton, Culture due diligence, Training 34 (1997) 67-80.
  • [12] S. Cartwright, C. L. Cooper, The role of culture compatibility in successful organization, The Academy of Management Executive 7/2 (1993) 57-69.
  • [13] M. Schraeder, D. R. Self, Enhancing the success of mergers and acquisitions: an organizational culture perspective, Management Decision 41/5 (2003) 511-522.
  • [14] Y. Weber, Corporate culture fit and performance in mergers and acquisitions, Human Relations 49/9 (1996) 1181-1195.
  • [15] K. Walker, Meshing cultures in a consolidation, Training and Development 52/5 (1998) 83-88.
  • [16] A. F. Buono, J. L. Bowditch, J. W. Lewis, When culture collide: the anatomy of a merger, Human Relations 3/5 (1985) 477-500.
  • [17] J. P. Kotter, J. L. Heskett, Corporate Culture and Performance, Free Press, New York, 1992.
  • [18] K. S. Cameron, R. E. Quinnn, Diagnosing and Changing Organizational Culture, in Miroshnik, V., Culture and international management: a review, Journal of Management Development 21/7 (1999) 521-544.
Typ dokumentu
Bibliografia
Identyfikator YADDA
bwmeta1.element.baztech-article-BWAN-0004-0049
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