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Functions of Organisational Culture

Organizational culture serves several important functions. It defines how work should be done to give meaning to organizational life and allows members to benefit from past lessons. Culture also determines behaviors by establishing goals, work methods, and interaction guidelines. Specifically, culture promotes consistency, facilitates coordination and control, reduces uncertainty, provides motivation and loyalty, and enhances competitive advantage. Additionally, culture creates organizational identity and boundaries, facilitates commitment beyond self-interest, provides stability, and guides member attitudes and behaviors. Overall, organizational culture gives direction to help the organization achieve its goals.

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3K views2 pages

Functions of Organisational Culture

Organizational culture serves several important functions. It defines how work should be done to give meaning to organizational life and allows members to benefit from past lessons. Culture also determines behaviors by establishing goals, work methods, and interaction guidelines. Specifically, culture promotes consistency, facilitates coordination and control, reduces uncertainty, provides motivation and loyalty, and enhances competitive advantage. Additionally, culture creates organizational identity and boundaries, facilitates commitment beyond self-interest, provides stability, and guides member attitudes and behaviors. Overall, organizational culture gives direction to help the organization achieve its goals.

Uploaded by

Gagleen Kour
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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FUNCTIONS OF ORGANISATIONAL CULTURE

The main function of organisational culture is to define the way of


doing things in order to give meaning to organisational life (Arnold,
2005). Making meaning is an issue of organisational culture, because
organisational members need to benefit from the lessons of previous
members. As a result, organisational members are able to profit from
whatever trials and errors regarding knowledge others have been
able to accumulate (Johnson, 1990). Organisational culture also
determines organisational behaviour, by identifying principal goals;
work methods; how members should interact and address each
other; and how to con duct personal relationships (Harrison, 1993).
Brown (1998, p 89- 91) states the following functions of
organisational culture: ™
Conflict reduction- A common culture promotes consistency of
perception, problem definition, evaluation of issues and opinions,
and preferences for action.
™ Coordination and control-Largely because culture promotes
consistency of outlook it also facilitates organisational processes of
coordination and control.
Reduction of uncertainty. Adopting of the cultural mind frame is an
anxiety reducing device which simplifies the world of work, makes
choices easier and rational action seem possible.
™ Motivation. An appropriate and cohesive culture can offer
employees a focus of identification and loyalty, foster beliefs and
values that encourage employees to perform.
™ Competitive advantage. Strong culture improves the
organisation’s chances of being successful in the marketplace.
In addition to the above functions, Martins and Martins
(2003, p 382) also mention the following as functions of
organisational culture:
™ It has a boundary-defining role, that is, it creates distinctions
between one organisation and the other organisations.
™ It conveys a sense of identity to organisational members. ™ It
facilitates commitment to something larger than individual self-
interests.
™ It enhances social system stability as the social glue that helps to
bind the organisation by providing appropriate standards for what
employees should say and do.
™ It serves as a meaningful control mechanism that guides or
shapes the attitudes and behaviours of employees.
These functions of organisational culture suggest
that an organisation cannot operate without a culture, because it
assists the organisation to achieve its goals. In general terms,
organisational culture gives organisational members direction
towards achieving organisational goals (Hampden-Turner, 1990).

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