Unit 1_The Concept of Corporate Culture
The main aim of this unit is to introduce students to the concept of corporate culture.
The term is often used to describe the combination of an organisation’s values, beliefs and
attitudes. The culture of an organisation can affect the working environment and
atmosphere. It can also distinguish an organisation from its competitors.
Some companies have a formal dress code, which would include suits or smart
clothes. Others, such as supermarkets, have a uniform which easily identifies an employee
from
a member of the public. In some industries a strict dress code might be required for safety
reasons such as the construction industry, where hard hats, hard boots and high-visibility
garments must be worn to keep the employee safe. Less formal company cultures might be
reflected in a relaxed dress code or where specific days, such as dress-down Friday, are
designated for less formal work wear.
Small organisations may have an open, informal structure. Those running and
managing the company may have an open-door policy, where staff know they can approach
management without arranging a fixed appointment. However, as an organisation grows,
more managers are required to oversee the work of the employees. This creates a hierarchy
within the organisation, distancing employees from the employers.
The working environment and ofice layout can impact on an organisation’s company
culture. More traditional workspaces often have individual or shared offces. However, many
modern offces have open-plan layouts. This can affect aspects such as communication and
noise levels. The décor can communicate whether the company is seeking to communicate a
young, dynamic, playful ambiance or, conversely, more serious, traditional values.
Whether work hours are fixed or flexible, whether length of service or merit is the
main criteria for promotion and how employees are rewarded are often a reflection of and
an extension of corporate culture.
Many organisations want to promote a sense of shared corporate identity, a sense of
belonging and being part of a team. This can mean that the work culture extends to the
worker’s free time. This might be in the form of informal socialising in a bar or café after work
or in a more organised form such as company picnics or social events where attendance is
expected. Since it can be expensive to recruit and train workers, many organisations try to
find ways to improve employee retention. Companies may seek to reduce staff turnover by
creating a culture which promotes work–life balance or which attempts to make the working
environment relaxed and welcoming.