Thursday, February 24, 2011

NATIONAL & ORGANIZATIONAL CULTURE

It is important to make a distinction between cultural identity and national identity. Cultural identity refers to the relationship between a given geographical area and the cultural expressions associated with it; it provides bases for differentiation. On the other hand national identity is composed by cultural components that are intentionally established and maintained by state institutions.

National culture involves the systems of values that characterize a culture and that allows to distinguish members different groups. Corporate culture can be seen as the national culture within organizations given that it refers to the systems of values and rules that people that work in a given organization adopt while working there. The elements that constitute corporate culture shape employee’s behavior to what is expected in the organization.  Corporate culture establishes a guide for expected behavior within the organization and in difficult situations; it provides employees with a sense of identity and establishes a set of organizational values that often begin with the founder of the company. This knowledge about an organization is passed down through generations of hires.

Corporate culture takes different aspects (symbols, slogan, and ceremonies) and includes corporate symbols that can be visible or tangible and felt experiences. To analyze the corporate culture of an organization one has to pay attention to elements such as organizational structure, communication, rewards and promotion, dress code and relationships.
The following image summarizes the main characteristics of organizational culture:




Source: Organizational Culture. (n.d.). Retrieved February 10, 2011, from New Horizons: http://www.nhorizons.ca/en-change-culture-change.asp


DISCUSSION: How can national culture influence corporate culture?

Corporate culture can definitely be influenced by national culture because the later is a much broader concept that the first one and therefore corporate culture is implied in the national culture. In this order of ideas, as national culture represents the values that characterize a given society and their members, the companies that work in an environment where a given national culture prevails will be part of that group and share the same general set of values.

Even if a multinational company establishes in a host country, they will have to hire local employees and this will impregnate the organizational culture with the values of the local community. National culture can be perceived then as one of those elements that pull companies towards localization instead of globalization, because no matter where they go adapting to the local culture and its national values can make the difference between failure and success. As national culture implies all the aspects that differentiate a group of people from another, it is nearly impossible for an organization to work outside of those boundaries. 

1 comment:

  1. as you said corporate culture takes into account symbols, slogans etc.. but I think to better understand why a company chose a specific slogan or symbol it's important to know how the organization communicates, promotes and how is the relationship between employees since this things influence the corpotate culture of an organization.

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