Organizational Behavior and Culture Built For Success
I remember reading an article where Louis Gerstner, former Chief Executive Officer for IBM, wisely stated that “The thing that I have learned at IBM is that organizational behavior and culture is everything.” I would have to agree with this statement. The success of any business depends on the behavior and culture within that particular organization. To ensure success, businesses must have effective management and leadership in place capable of creating strong organizational behavior and cultures.
This post will highlight the correlation between organizational behavior and organizational culture, along with describing the observable and non-observable aspects of how the behavior and culture within an organization affects the outcome of the business.
So let’s begin by defining both terms. In gist, organizational behavior is the study of individuals and groups in organizations. Successful organizations understand the importance of organizational behavior and the affect that it has on the outcome of the business. For instance, by infusing positive variables into the organization, such as cooperation and collaboration, organizations would increase the productivity of goods and services because employees are working cohesively to achieve organizational goals and objectives.
As for organizational culture, it is a shared set of beliefs and values within an organization. Effective leaders recognize that creating and maintaining a strong and healthy organizational culture is crucial to the success of any business. Leaders in an organization can use some factors to create and maintain a healthy organizational culture, such as social factors, physical settings, technology, organizing arrangements and individual behavior. For instance, leaders use social factors for inspiring and motivating people. By acting as a positive exemplar and ideologist, leaders lead by example by showing other employees how to behave in the workplace based on the organizations’ values, beliefs, and ethics code. Doing so would gain the respect of employees and create an environment that fosters creativity, diversity, teamwork, and magnanimity, thus creating and maintaining a strong and healthy organizational culture through positive organizational behavior.
With this in mind, a noticeable correlation exist between organizational behavior and organizational culture. For businesses to achieve a strong and healthy organizational culture, members must ensure that their values, beliefs, and practices are ethical, and aligns with the company’s vision, policies, procedures, and practices. Only then would the organization be setup for astronomical success.
To illustrate, let me give some examples of Applied Materials Inc. where I’ve worked for over a decade. For those unaware of this conglomerate, Applied Materials is a global leader in creating high-volume nano-manufacturing technology. The company’s mission is to “help turn next generation technology into profitable new market opportunities to assist high-tech manufacturers to improve factory efficiency and end-product performance, effectively creating growth opportunities.”
In addition to the grand mission statement, Applied Materials also has a strong ethics code adhered to by employees. For example, employees at Applied Materials attend mandatory ethics, human resources, and technical training courses. Through this repetitive training process, employees of Applied Materials understand the value of ethics, diversity, technology, and teamwork. Through well-developed and well-communicated formal policies, procedures, and practices, Applied Materials embed the values, beliefs, and practices evident in successful organizations to their employees. This in turn, creates a customer-responsive culture in which employees are friendly and courteous, accessible, knowledgeable, prompt in responding to customer needs, and willing to do what’s necessary to please the customer. As evident, Applied Materials continue to create and maintains a strong organizational culture that assists with fulfilling the company’s vision of the future.
The company also promotes a strong organizational culture through other non-observable means. For instance, the individual management styles and practices at Applied Materials aid in creating a work environment that cultivates collaboration. Through informal communications, such as constant verbal praises, the management teams at Applied Material assists with creating and maintaining a constructive culture. In a constructive culture, members are encouraged to work together in ways that meet higher order human needs; and researchers find that employees work with greater motivation, satisfaction, teamwork, and performance. By promoting an organizational culture that is strong and constructive, and through corporate governance, Applied Materials remains a successful and responsible corporate citizen working to improve the way people work and live, thus creating a brighter future for all.
Hopefully this post has provided you with additional info to highlight how organizational behavior and organizational culture are entwined. Evidence shows that for companies to achieve a strong culture, members must ensure that their values, beliefs, and practices are ethical, and aligns with the company’s vision, policies, procedures, and practices. Ayn Rand, a Russian writer and novelist, intelligently stated that “a culture is made, or destroyed, by its articulate voices.” With this in mind, management would have to use observable, and non-observable, techniques to create a strong and constructive culture that fosters diversity, teamwork, and innovation. Only then would the organization be able to create, and maintain, a strong and healthy organizational culture built for success and longevity.