ALINA-GEORGIANA PROFIROIU AND ROXANA HURDUBEI (IONESCU) A REVIEW OF ORGANISATIONAL CULTURE INSTRUMENTS UTILISATION IN 11 COMPANIES FROM DIFFERENT GEOGRAPHICAL REGIONS Proceedings of the 11th Administration and Public Management International Conference ”Strategic Management for Local Communities” October 2015 Topic of the Article More and more companies across the word consider the organisation culture vital for the performance of their employees and ultimately for their business success To identify and assess the organisation culture a number of instruments have been developed by different publishers for research and consultancy purposes Organisational culture instruments vary greatly in terms of theoretical approach Some authors consider there is a little practical application of these tools. Roxana Hurdubei – October 2016 2 Research Question The purpose of this research is to investigate the following: How interested are a diverse range of companies from different geographical regions in profiling their organisational culture If companies prefer to use a standard instrument or develop a custom made questionnaire and what is the rational behind their choice Roxana Hurdubei – October 2016 3 Methodology The study was made by: Conducting a literature review to understand what instruments have been previously developed and standardised for profiling and measuring the organisation culture Developing a questionnaire and administering it to companies across different industries and geographical locations investigates if what is their methodology for measuring and profiling the organisation culture Roxana Hurdubei – October 2016 4 Review of organisation culture assessment instruments Following instruments have been reviewed: The Values Survey Module 2013 The Organizational Cultural Assessment Instrument (OCAI) “Measuring Core Dimensions of Organisation Culture: A Review of Research and Development of a New Instrument” - N. Delobbe, R.R. Haccoun and C Vandenberghe (2005) “Measuring and Assessing Organisation Culture in the NHS” - R. Mannion (2008) Roxana Hurdubei – October 2016 5 Review of organisation culture assessment instruments The Values Survey Module 2013 The Values Survey Module 2013 30-item paper-and-pencil questionnaire Developed for comparing culturally influenced values and sentiments of similar respondents Aims to compare two or more countries, or sometimes regions within countries. Based on the work of G. Hofstede and his co-researchers It allows scores to be computed on six dimensions of national culture, on the basis of four questions per dimension 1. Power Distance Index (PDI) 2. Individualism versus Collectivism (IDV) 3. Masculinity versus Femininity (MAS) 4. Uncertainty Avoidance Index (UAI) 5. Long Term Orientation versus Short Term Normative Orientation (LTO)* 6. Indulgence versus Restraint (IND) Roxana Hurdubei – October 2016 6 Review of organisation culture assessment instruments Organizational Cultural Assessment Instrument (OCAI) The Organizational Cultural Assessment Instrument (OCAI) Is a psychometric tool developed by Cameron and Quinn (2000) Its purpose is to help organizations identify their current and preferred culture. Organizations can then utilize these results to assess both the current cultural state and also to identify gaps between current and desired futures Roxana Hurdubei – October 2016 7 Review of organisation culture assessment instruments Measuring Core Dimensions of Organisation Culture “Measuring Core Dimensions of Organisation Culture: A Review of Research and Development of a New Instrument” - N. Delobbe, R.R. Haccoun and C Vandenberghe (2005) The article presents the comparative study of 20 organisation culture instruments. There is no consensus on a finite set of key dimensions able to describe and compare organisational culture Analysed the dimensions measured by current questionnaires and synthetized them into four (4) core dimensions that are common: People orientation Innovation Control Outcome orientation Roxana Hurdubei – October 2016 8 Review of organisation culture assessment instruments Measuring and Assessing Organisation Culture “Measuring and Assessing Organisation Culture in the NHS” - R. Mannion (2008) Comprehensive review of the ideas and themes raised by the organisational culturists Presents the result of a thorough study of 24 organisational culture assessment tools Identified that even though the instruments vary greatly in terms of theoretical approach, level of culture they tap into and pragmatism There is a little practical application of these tools Roxana Hurdubei – October 2016 9 Review of organisation culture assessment instruments Ready made instruments available in the market use typologies that allow the categorisation of different organizations into types. Such typologies have the advantage of simplifying the process, allowing for benchmarking and building higher-order theoretical categories the disadvantage of being so abstract that they often fail to describe accurately a particular organization. (E. Schein, 2004) Roxana Hurdubei – October 2016 10 The questionnaire Designed to investigate if companies use any instrument for profiling the organisation culture if this instrument is developed in-house or bought off the shelf from one of the publishers that are available in the market. I has a total of 16 questions Questions are grouped differently for companies who use organisational culture instruments and for those who do not formally investigate their corporate culture 9 closed questions 7 open questions that look for qualitative data The questionnaire was automated and administered online from June to September 2015 to companies from Romania, Middle East and Asia. Roxana Hurdubei – October 2016 11 Participation to the study 16 companies were invited to participate to the study Just 11 companies completed the questionnaire They have operations across United Arab Emirates, Saudi Arabia, India, Pakistan and Romania in a diverse range of industries and their number of employees range from 7 to 700. No crt Approx. no of employees Country Industry 1 UAE Automobile 750 2 Saudi Arabia Oil and Energy, Manufacturing 100 3 India Engineering 135 4 UAE Education 300 5 Pakistan Fashion retail 600 6 UAE Banking 120 7 UAE Tourism 80 8 UAE Facilities management 250 9 Romania Finance 25 10 Romania Human Resources 7 11 UAE Interior Design 25 Roxana Hurdubei – October 2016 12 Results of the study – importance of organisational culture 8 from 11 companies consider organisational culture being important or very important for their success 1 company considers it neutral and 1 company considers organisational culture not important for its success Companies that have representatives who answered the organisational culture is neutral or not important do not use instruments for measuring and profiling it and they do not expect to use any of these instruments in the future. The representatives from the 5 companies that do not use any organisational culture instruments do not expect their company to use any of these instruments in the future therefore, they do not plan to buy off the shelf nor to develop their instrument internally. Roxana Hurdubei – October 2016 13 Results of the study – use of organisational culture instruments 6 from 11 companies responded that organisation culture is regularly investigated and profiled The questionnaires administered by 5 companies develop their questionnaire internally and 1 company administers an off the shelf questionnaire In the questionnaires developed internally, companies focus on specific areas they consider important for their success including: Health and safety Human resources Satisfaction with line manager Policies Communication Teamwork Roxana Hurdubei – October 2016 14 Results of the study – in-house development of the organisation culture questionnaire and action planning As reasons to internally develop the questionnaire instead of administering a standardised instrument that will allow for benchmarking, the respondents mentioned: Availability of internal qualified staff who can manage the process Addressing the organisation’s specific needs Action plan to address the areas of development identified in this exercise is developed by all 6 companies who administer organisation culture questionnaires Roxana Hurdubei – October 2016 15 Conclusion: Organisation culture is considered important for business success by human resources professionals and managers Most companies prefer to develop the questionnaire themselves for better addressing their specific needs even though, there are a variety of instruments in the market that offer standardisation and the opportunity to benchmark with other organisations Roxana Hurdubei – October 2016 16 Thank You!