STRATEGIC FRAMEWORK FOR MANAGING ORGANIZATIONAL CULTURE AT THE STAGE OF COMPANY DEVELOPMENT AND UNDER ITS ADAPTATION TO CHANGE

Abstract

The study attempts to explore organizational culture as a set of beliefs, habits, values, attitudes, traditions, etc. among individuals and groups within any organization. In particular, it is noted that the notion of organizational culture is widely used in a business context. The way organizational culture is expressed has underpinned much of social sciences research and gained particular importance in the mid-20th century when some scholars in the field of management and organizational behavior had started actively advocating the benefits of promoting organizational culture. Thus, the research on a human aspect and human relationships in company management was previously part of sociology focus and from this perspective could be regarded as a predecessor of organizational culture. It is argued that adequate and precise identification of values, basic norms of conduct and employment procedures to be adhered to by all company employees will translate into specific organizational framework which contributes to shaping organizational culture and has dramatic impact on the way employees perceive management decisions. Individual behavior of each employee directly depends on relationships, communication and interaction they have with the rest of the group members. Hence, organizational culture can develop and improve employee capabilities on the one hand, and limit them on the other, especially when a company fails to build clear and effective corporate culture. This study views organizational culture as a set of paradigms which are formed during the organisation’s life cycle through the interaction between its members with internal structural units, strategies, systems and processes, and between the organization and its environment. This interaction suggests certain messages and links which will be valid as far as they ensure the organization’s efficiency, effectiveness and performance. The paper also describes the relationship between culture and a company strategy. A set of principles, values and beliefs shared by all employees, together with a company hierarchical structure, management levels, control mechanisms and effectiveness management tools ultimately shape the fundamental rules of employee conduct and working arrangements and indicate the focus of organisation’s strategy.