This chapter discussed the literature in related areas.
The first section outlines the concept of organizational culture in various dimensions. This chapter covers the definition of organizational culture and hospitality culture. This chapter also presents a detail of the company profile which the researcher used to conduct the data. 2.
2 Organisational culture definitionCulture is an abstract concept which defines it to be useful to increase the understanding of organizational behavior, beliefs, and values through the sharing of thinking, knowledge, and language they use (Schein, Organizational Culture and Leadership, 2010). Culture is acquired from family, school, and workplace, whereas in terms of organization, culture has their own characteristics and dimension (2003). Conners and Smith (2012) defined the culture is the way people (e.g. leaders, managers, team members, and employees) think and act in the organization. They share ideas, values, assumption, beliefs, attitudes, and expectations together.
According to Coleman (2013) wrote about six components of a great corporate culture which are: vision, Values, Practices, People, Narrative, and Place. Vision or mission statement is the initial element of culture. Values are commonly held in the organization, a set of values presents behavior and mindsets. The organizational culture also modeled in the literature as a many-sided abstraction with several dimensions which impact on employees’ behavior.
Studying on organizational culture could relate to the longer length of employment (Madaus, et al., 2008).Handy (1993) classifies four types of cultures: Power culture, Role culture, Task culture, and Person culture. Power culture was discovered that it was used in small entrepreneurial organizations such as property, trading and finance companies. Organisational with role culture, employees have a specific role and they are controlled by rules, procedures and job description. This organization represents the structured organization or functional departments, such as the finance department and the purchasing department. Task culture or task-oriented culture is an emphasis on getting the job done.
This culture also supports and encourages each other and formed a team to develop and use their knowledge for solving a particular purpose or problem. Person culture is an emphasis on individuals who are professional in a particular area. With their abilities and knowledge affect to effectively organizations.
Employees feel that they are more important than an organization, thus they are rarely loyal to their organization. Person culture may be found in a university or research institution due to their specializations. However, Handy argues that an employee who is successful in one type or culture may not always do well in another. (Cacciattolo, 2014).Cameron and Quinn (2005) classified culture into two polarities like internal and external focus and flexibility and controlled with four types of culture which are: Clan culture, Adhocracy culture, Market culture, and Hierarchy culture. Moorman (1995) explained Cameron and Quinn’s theory as Clan culture (internal factor and flexible) focus on doing thing together, the employee is more participation, communication, and involvement. Adhocracy culture (external focus and flexible) focuses on risk-taking, in which dynamic, entrepreneurial and creative place to work.
Market culture ( external factor and controlled) focus on competition, productivities and goal achievement. Hierarchy culture (internal focus and controlled) focus on order, efficiency, stability, and certainty. According to Cameron and Quinn’s theory, Novana ; Ogunlana (2006) studies and concluded that in Market culture, leadership style used in the contracting firms and management of employee in the company is strongly Hierarchy culture. Moreover, to hold and glue the company together is characterized by clan culture which stresses loyalty, mutual trust, and commitment to the company. From his studies in construction companies in Thailand, he found that the strongest culture is the Hierarchy and the weakest culture is adhocracy. On the other hand, Lund (2003) studies on organizational culture and job satisfaction. His results showed that Clan culture and adhocracy culture draw higher relationship on job satisfaction than market and hierarchy culture.
Deal and Kennedy (2008) defined organizational culture or corporate culture as a strategy in shaping a business which widely accepted in financial control and employee satisfaction. He classified corporate culture into four cultures: work-hard, play-hard, Tough-guy macho culture, Process culture, and Bet-the-company culture. Work-hard, play-hard culture focus on high-quality customer service, moreover, it required highly active and positive and fun most of the time. Most of the sale organizations or companies applied in this culture (Cacciattolo, 2014). Tough-guy is macho culture who describes as a fighter, employees take high risks and acquire fast feedback. Stockbrokers (Cacciattolo, 2014), and the entertainment industry (Deal ; Kennedy, 2008) applied macho culture as their own culture.
Process culture considers as minimal risk and slow feedback, where employee focuses on process rather than the result. The system is governed by a hierarchy and give priority to the position. The organization as a banking or insurance company adopts this kind of culture (Cacciattolo, 2014). In bet-the-company culture focus on results, a big stakes decision takes a very extended period of years before the employees know whether that decision was right or wrong.