Subasri T s /[Link].
6(14) (2024) ISSN: 2663-2187
[Link]
The Impact of Organization Culture on Employee Behaviors
1Subasri T s, and 2Dr A. Ravikumar
s 1II MBA – PG Scholar, School of Management,
Hindustan Institute of Technology & [Link] 2Research
Guide - Asst. Prof (SG),School of Management,
Hindustan Institute of Technology & Sciencerera2525@[Link]
Volume 6, Issue 14, Aug 2024 Abstract: This study delves into the intricate dynamics between
organizational culture and employee behavior, aiming to elucidate the
Received: 15 June 2024 profound impact of culture on various aspects of employee conduct
within organizations. Drawing upon a multi-dimensional research
Accepted: 25 July 2024 framework, the study investigates how organizational culture shapes
employee attitudes, values, and actions, thereby influencing
Published: 15 Aug 2024 organizational effectiveness and performance. By surveying 120
participants, the research evaluates the effectiveness of organizational
doi: 10.48047/AFJBS.6.14.2024.5812-5827 culture training programs and cross-functional activities. By using the
PARAMERTICS TOOLS such as (Correlation, Regression, Chi-
square, and One-Way Annova). This study’s findings provide valuable
recommendations for employee behavior for optimizing and
sustaining growth in the organizational culture.
Keywords: Employee Engagement, Work Environment, Employee
Morale, Corporate Culture, Cultural Norms.
Introduction
Organizational culture is the collective behavior of people that are part of an organization. It is
also formed by the organizational values, norms, working language, system, and symbols, it
includes beliefs and habits it is also the patter Organizational culture is the collective behavior
of people that are part of an organization. It is also formed by the organizational values, norms,
working language, system, and symbols, it includes beliefs and habits it is also the pattern of
such collective behaviors and assumption that are taught to new organizational members as a
Subasri T s /[Link]. 6(14) (2024) Page 5813 to 10
way of perceiving, and even thinking and feeling. Organizational culture affects the way people
and groups interact with each other‘s, with clients, and with shareholder Organizational culture
is defined as a pattern of basic assumption invented, discovered or developed or developed by
a given groups, as it learns to cope with the problem of external adaption and internal
investigation that has worked well enough to be considered valid and therefore is to be taught
to the new members as correct way to perceive think, and fee in relation those problems.
Organizational culture is a set of shared understanding, norms, value, attitude and beliefs of an
organization which can foster or impede change. When people join an organization, they bring
with them the values and beliefs that they have been taught. However, these values and beliefs
are insufficient for helping the individual succeed in the organization. The person needs to learn
how the particular things of enterprise.
The word ―culture¦ has been derived metaphorically from the idea of ―cultivation¦,
the process of tilling and developing land. When we talk about culture, we are typically
referring to pattern of the development reflected in a in a society ‘s system of knowledge,
ideology, values, laws, social Normand day-to-day rituals. Since the pattern of development
differs from society to society, the cultural phenomenon varies according to a given society ‘s
stage of development. Accordingly, culture varies from one society to another requiring a study
of cross-national and cross culture phenomenon within organizations. So, this study focuses on
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prevailing organizational culture in Mobis India Ltd and how to improve its corporate
performances through various strategies. An awareness of culture has led to the fact that is
examining organizations at local, regional, and national levels are often needed. It is very
relevant to people's beliefs and values.
A preponderance of scientific research and investigation suggests a tremendous impact
on human behaviour, especially on the behaviour of individuals, groups, companies, and
industries. Due to the complexity of society, much time-consuming, broad learning for
complicated, organizational advancement has occurred. More specifically, developmental
necessities in many diverse surroundings and varying circumstances brought an increased sense
of urgency in the challenges associated with the transition.
Review of Literature
Bulach, Lunenburg, &Potter, (2012); Hellriegel& Slocum, (2011) We can summarize the
effects of organizational culture on employee behaviour and performance based on four key
ideas knowing the culture of an organization allows employees to understand both the
organization ‘s history and current methods of operation. This insight provides guidance about
expected future behaviours. Organizational culture can foster commitment to the organization
‘s philosophy and values. This commitment generates shared feelings of working toward
common goals. That is, organizations can achieve effectiveness only when employees share
values. Organizational culture, through its norms, serves as a control mechanism to channel
behaviours toward desired behaviours and away from undesired behaviours. This can also be
accomplished by recruiting, selecting, and retaining employees whose values best fit the values
of the organization.
Schein (2011) Organizational culture is the set of shared values, beliefs, and norms that
influence the way employees think, feel, and behave in the workplace.
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Nelson & Quick (2011) Organizational culture has four functions gives members asense
of identity, increases their commitment, reinforces organizational values, and serves as a
control mechanism for shaping behaviour.
Hofstede (2006) In order to understand the full complexity of organizational culture, a
number of researchers made attempts to recognize and examine the components of the
organizational culture. One of the inseparable components of organizational cultures the values
that are shared and held by the individuals of an organization. On the other hand, explains the
organizational culture in the form of onion that contains a number of layers and values that
make the core of the organizational culture.
Wagner (2005) is of view that, the shared perception of the organization ‘s members on
the life within the organization which creates a bond amongst the members. This affects their
perception of their self and their work. The platform for culture is provided by values, norms
and beliefs.
Azhar (2003) organizational culture is the combination of important assumptions that
are shared in common by each member of an organization and are often unstated.
Organizational culture is basically made up by two major common assumptions: values and
beliefs. Values are the assumptions that have been forwarded by the leaders of the organization
and considered to be ideals that are desired by all the members of an organization. Beliefs on
the other hand are the assumptions about the reality and created by experience.
Ernst, (2001) if an organizational culture becomes incongruent with the changing
expectations of internal and/or external stakeholders, the organization ‘s effectiveness can
decline as has occurred with some organization.
Rousseau (2000) Organizational culture is also as a set of commonly experienced stable
characteristics of an organization which shows the distinctive features of an organization which
differentiates it from others. The organizational culture has set of norms and values that are
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shared by individuals and groups across the organization. Organizational values and beliefs
refer to the common ideas about what the shared goals of an organization are, what types of
behaviour should the members of an organization follow in order to achieve the common goals
of an organization. These organizational values in turn form out the standard norms and
guidelines for the organization that makes it distinct from others. Also states that it is important
for the organization to recognize the fact that the organizations do not improve in a vacuum
environment and they need human interaction to support the improvement and development
which can be achieved only by following the effectively accepted and equally shared values by
each individual members of an organization.
Robbins and Coulter, (1998) define organizational culture as a system of shared
meaning within an organization that determines, in large degree, how employees act They also
suggest that culture implies several things They argue that it is perception. Individuals perceive
the culture of the organization based on what they see or hear within the organization and even
though individuals may have different backgrounds. Organizational culture provides the
organization and its members with the capacity and ability to deal with the environment,
reflecting the contingency approach to management suggested by many organization theorists
and practitioners.
Schein, (1997) When we apply it to groups and organizations, we are almost certain to
have conceptual and semantic confusion because groups and organizations are also not always
easy to define Often with regards to ‗organizational culture ‘people agree that it exists and that
it is important in its effects but that people have completely different ideas of what it is.
Robbins (1995) Suggests that organizational culture is concerned with how employees
perceive the characteristics of an organization ‘s culture, not with whether or not they like them.
It is also argued by Robbins that ―Culture by definition is elusive, intangible, implicit, and
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taken for granted but every organization develops a core set of assumptions, understandings
and implicit rules that govern day-today behavior in the workplace¦.
Robbins (1986) on the other hand, defines organizational culture as a uniform
perception of an organization which has common characteristics. Organizational culture,
according to the authors something descriptive and effectively team distinguish one particular
organization from another. It can also integrate individuals and groups of organization systems.
Buchanan and Huczynski (1985) have defined organization as a social arrangement for
the controlled performance of collective goals Organizations of various kinds and form catering
to venous human needs exist in society Human experience tells us that groups of people can
achieve much more than individuals acting on their own. It is rightly said that our society is
heavily dependent on collective, organized activity we are born, work, and die in and through
organizations, and all of us are influenced by organizations in one way or another. The
argument and the debate cited above makes amply clear the importance of organizations in
society and the need to understand their functioning to derive the maximum benefit from them.
Haralmbos and Heald, (1981) Organizations are important elements of society and all
people do not look at them in the same way. It is suggested that the increasing tendency to view
organizations as a distinct field of study is due to the pervasiveness and recognized importance
of this type of social unit. Organizations have also been perceived as a threat to individual
liberty and as undermining democracy but at the same time they have also been seen as essential
requirements for a democratic society, as a means for the protection of individual freedoms
―Democratic objectives would be impossible to attain in modern society without bureau critic
organizations to implement them.
Significance of The Problem
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Organizational culture plays a pivotal role in shaping employee behavior, influencing their
attitudes, work ethics, and overall performance. However, the extent and nature of this impact
remain a complex and multifaceted challenge. Understanding the specific dimensions of
organizational culture that significantly Mold employee behavior is essential for fostering a
positive work environment and optimizing organizational outcomes. Thus, the question arises:
What are the nuanced ways in which organizational culture shapes employee behavior.
Limitation of The Study
Employees may interpret and respond to organizational culture differently based on their
individual values, personalities, and backgrounds. External factors like economic conditions,
industry trends, or legal changes can override the impact of organizational culture on employee
behavior. Employees may resist adopting or aligning with the prevailing culture, especially if
it conflicts with their personal values or previous experiences. Organizations cannot fully
control or predictor employees will internalize and express the culture. Individuals may
selectively adopt aspects of the culture. Organizational culture is dynamic and subject to
change. Shifts in leadership, strategies, or external factors can alter the cultural landscape,
affecting its impact on employee behavior. While culture can shape internal interactions, it
may have limited impact on how employees engage with external stakeholders, such as
customers or partners. Organizations with diverse workforce may have subcultures or
conflicting values that dilute the overarching impact of the organizational culture.
Objectives of The Study
1. To find the influence of organization culture on employee behavior.
2. To understand the employee’s relationship with the peers.
3. To identify the internal factors affecting the employee behavior.
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4. To identify the employee behavior patterns and practices exhibit by employee.
Research Methodology
The research challenge can be approached methodically using research methodology. It is a
detailed outline of how data will be gathered and analysed for a research endeavour. Research
methodology can be through of as the scientific study of how research is conducted. It might
include a wide range of research projects, form straightforward descriptive and examination to
the design of complex experiments. A clear objective provided the basis of design of the project.
Since the main objectives of the study is to study the employee retention factors it was decided
to use including, survey and fact-finding enquiries of different kinds, which found out the most
suitable design in order to carry out the project.
Research Design
This study is descriptive in nature. Descriptive research is an exploration of certain existing
phenomenon. It is mostly done when a researcher wants to gain a better understanding of the
topic. Primary data is collected through a survey. The survey is carried out by the means of self-
administered, structured questionnaire and secondary data is collected from articles, research
papers of various journals Data collected was of primary nature as it was collected Through
the mode of questionnaire from employees of corporate life. Structured Questionnaire with
close ended questions Likert scale with ranging from four to five-point options were used
ranging from strongly agree to strongly disagree.
Sample Design
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For the achievement of the above stated objective, a questionnaire is being framed through
google forms and with the help of that questionnaire the research has been done. The data has
been collected by filling questionnaire from the employees.
Data Analysis and Interpretation:
I. Regression:
AIM: To estimate the relationship between the Opportunities for Career Advancement
and Training Opportunities.
NULL HYPOTHESIS(H0): There is a no significant relationship between the career
advancement and training opportunities.
ALTERNATIVE HYPOTHESIS(H1): There is a significant relationship between the
career advancement and training opportunities.
Model Summary
Adjusted R Std. Error of
Model R R Square Square the Estimate
1 .329a .109 .101 .911
a. Predictors: (Constant), Training Opportunities
ANOVAa
Sum of
Model Squares df Mean Square F Sig.
1 Regression 11.927 1 11.927 14.369 .000b
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Residual 97.940 118 .830
Total 109.867 119
a. Dependent Variable: Opportunities of career advancement
b. Predictors: (Constant), Training Opportunities
Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 1.467 .195 7.541 .000
VAR00020 .305 .081 .329 3.791 .000
a. Dependent Variable: Opportunities of career advancement
Inference:
The ANOVA results indicate that the regression model, with Training Opportunities as the
predictor, explains a significant amount of the variability in the dependent variable
Opportunities for Career Advancement. The low p-value (p < 0.001) associated with the F-
statistic suggests that the observed relationship between the predictor and the dependent
variable is unlikely to be due to random chance. Therefore, the regression model appears to
provide a meaningful explanation for the variation in opportunities for Career Advancement.
II. Correlation Analysis:
AIM: To determine significant relationship between the Clarity of Communication and
Team Decision Making
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NULL HYPOTHESIS(H0): There is no significance relationship between clarity
communication and team decision making.
ALTERNATIVE HYPOTHESIS(H1): There is a significance relationship between
clarity and team decision making.
Correlations
Clarity of Team
Communicati Decision
on Making
Clarity of Pearson Correlation 1 .476**
Communicati Sig. (2-tailed) .000
on N 120 120
Team Pearson Correlation .476** 1
Decision Sig. (2-tailed) .000
Making N 120 120
**. Correlation is significant at the 0.01 level (2-tailed).
Inference:
The correlation table indicates a moderate positive correlation (Pearson's correlation coefficient
of 0.476) between variables Clarity in Communication and Team Decision Making. This
suggests that as one variable increases, the other tends to increase as well, and vice versa. The
correlation is highly statistically significant (p < 0.01), indicating a reliable association between
the two variables.
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III. ANNOVA:
NULL HYPOTHESIS(H0): There is no significant relationship between Gender and
Current Role of Employees.
ALTERNATIVE HYPOTHESIS(H1): There is a significant relationship between
Gender and Current Role of Employees.
ANOVA
Current Role of Employees.
Sum of
Squares df Mean Square F Sig.
Between Groups .410 3 .137 .176 .913
Within Groups 90.257 116 .778
Total 90.667 119
Inference:
This is an ANOVA test. The F-statistic between groups is 0.176 with a p-value of 0.913. Since
the p-value (0.913) is greater than the significance level (usually 0.05), we fail to reject the null
hypothesis. In other words, there is not enough evidence to conclude that the means between
the groups are statistically different.
IV. CHI-SQUARE:
AIM: To determine the significant between the Gender and Opportunities for career
Advancement.
NULL HYPOTHESIS(H0): There is no a significant Differences between the gender
and opportunities for career advancement.
Subasri T s /[Link]. 6(14) (2024) Page 5824 to 10
ALTERNATIVE HYPOTHESIS(H1): There is a significant Differences between the
gender and opportunities for career advancement.
Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 1.467 .195 7.541 .000
VAR00020 .305 .081 .329 3.791 .000
a. Dependent Variable: Opportunities of career advancement
Symmetric Measures
Approximate
Value Significance
Nominal by Phi .031 .998
Nominal Cramer's V .031 .998
Inference:
The symmetric measures of association presented in the table indicate the relationship between
two nominal variables. Both Phi and Cramer's V coefficients yield values of 0.031, suggesting
an extremely weak association between the variables under consideration. Furthermore, the
corresponding approximate significance values of 0.998 imply that this observed association
is highly likely to be due to random chance, rather than reflecting a significant and meaningful
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relationship between the variables. It's important to note that the analysis is based on a sample
size of 119 valid cases. Therefore, while there may be a slight association observed, it lacks
statistical significance, emphasizing the need for caution when interpreting any apparent
relationship between the variables.
Findings and Suggestions
The analysis reveals several key findings regarding the relationship between organizational
culture and employee behavior, as well as their interactions with peers. Firstly, it indicates a
significant influence of organizational culture on employee behavior, as evidenced by the
regression model's ability to explain variability in the dependent variable. Moreover, a
moderate positive correlation between employee relationships with peers suggests the
importance of social dynamics within the workplace. However, internal factors examined in
the analysis do not demonstrate a significant impact on behavior, highlighting potential areas
for further investigation. Additionally, the weak association observed in symmetric measures
underscores the challenge in identifying clear behavior patterns based solely on the variables
considered. Overall, while organizational culture and peer relationships play crucial roles, the
analysis suggests the need for a more comprehensive understanding of internal factors and
additional variables to fully grasp the complexities of employee behavior.
Suggestions:
➢ Conduct in-depth qualitative research to complement quantitative findings.
Qualitative methods like interviews and focus groups can provide richer insights
into employee behavior and its underlying drivers.
➢ Combine quantitative analysis (such as ANOVA and correlation tests) with
qualitative research to gain a comprehensive understanding of employee
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behavior. This integrated approach ensures a more nuanced interpretation of
findings.
➢ Prioritize initiatives aimed at enhancing employee engagement, fostering
positive relationships among peers, and creating a supportive work
environment. This can improve morale, productivity, and overall organizational
performance.
➢ Implement mechanisms for ongoing monitoring and evaluation of employee
behavior. Regular assessments will help track changes over time and identify
emerging trends or issues that require attention.
Conclusion
The study on the impact of company culture on employee behavior uncovers interesting trends
across a variety of demographic and satisfaction factors. Addressing the highlighted
suggestions can make a big contribution to creating a positive work environment.
Organizations can improve overall satisfaction and inclusivity by adapting initiatives to
specific age groups, educational backgrounds, and marital statuses. Recognizing and
reinforcing positive characteristics, such as effective recognition and leadership support, while
also addressing issues about teamwork, communication clarity, and conflict resolution, will
help to create a more harmonious workplace. The report emphasizes the need for continual
efforts in employee engagement, personal relationships, and career development, as well as the
need for firms to adapt and evolve cultural initiatives to satisfy their workforce's unique
demands.
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