CREATING A RECEPTIVE CULTURE FOR THE IMPLEMENTATION OF A MAJOR CHANGE INITIATIVE
Abstract
Importance and Key Contribution: This paper seeks to conduct an analysis of how the culture of an organisation can be prepared to be more supportive for the implementation of a major change initiative by examining the concept... [ view full abstract ]
Importance and Key Contribution: This paper seeks to conduct an analysis of how the culture of an organisation can be prepared to be more supportive for the implementation of a major change initiative by examining the concept of congruence (Ansari et al., 2010). We examine how the culture of an organisation can be altered to fit the proposed strategy specifically looking at the preparation for the implementation of a major change initiative within an organisation. Through a retrospective examination of data pertaining to an organisation we will seek to confirm that the culture of an organisation can be preconditioned over a period of time to be more congruent with that of the proposed strategy leading to an accelerated realisation of the benefits associated with the change and an easier path to implementation.
Theoretical Base: Major cultural and structural change initiatives require significant effort on the part of management in order to facilitate their successful implementation (Zammuto et al., 1992). The compatibility of an existing culture within an organisation with that of the values of the proposed strategy is defined as the level of "cultural fit”(Ansari et al., 2010). The impact of a low level of cultural fit between the existing culture within the organisation and that of the proposed strategy has been identified as an impediment, and often a cause of delay in realising the full range of benefits associated with the proposed strategy, possibly even leading to the ultimate failure of the implementation (Canato et al., 2013). A more receptive climate can be created within an organisation to facilitate the implementation of a major new initiative through altering and conditioning the existing underlying values within the organisation to make them more congruent with those of the proposed new strategy (Zammuto et al., 1992).
Congruence of Values within an Organisation
Within the area of organisational behaviour the concept of congruence of values or cultural fit requirement between the four main inputs to an organisation in order to deliver the requisite outputs has long been established (Nadler et al., 1980). In addition to the formal elements of the organisation, there are often informal elements that are undocumented behaviours and values that are engrained within the organisation and can often influence the outputs either aiding or hindering the process depending on the level of acceptance of the chosen strategy within the organisation (Detert et al., 2000).
The necessity for basic congruence between at least two of the inputs becomes evident when the structure of the organisation is examined; if the organisation is required to carry out a range of tasks in order to transform inputs to outputs, the individuals within the organisation must have the skill set and ability to perform the necessary tasks (Nadler et al., 1980). If we expand this examination to include the fourth input element that of strategy it further becomes evident that congruence between the chosen strategy and the other inputs of the organisation is necessary. Should there be a misfit between the strategy or practice chosen with the history of the organisation and the underlying core values of the groups within the organisation a tension will result, and tension will only prevail for a limited period resulting in either a changing in the underlying core values, or more likely, the failure of the implementation and a return to the original core values (Canato et al., 2013).
Organisational Strategy
The strategy of an organisation, described as the fourth input element, can also be described as a road map that mediates between the organisation and its environment (Zammuto et al., 1992). If there is not a level of congruence between the proposed strategy and the core values of the organisation, the challenge associated with the implementation is likely to be greater, and the organisation is unlikely to realise the full range of benefits associated with the proposed strategy (Zammuto et al., 1992).
Organisational Culture
Culture, a hypothetical construct, a means of organising a set of beliefs or experiences within an organisation, is created as a result of its history, management systems, the values reinforced by the organisation, and the experiences of that organisation (Mann, 2010). A set of values and norms that form the informal element of the organisation is established at this point and go on to provide the core influence on the organisation’s design going forward (Baird et al., 2011). In order to understand if there has been any preconditioning of the culture within an organisation it is first necessary to understand the orientation of these core values within the organisation, one established and accepted means of doing so is through Quinns competing values model (Quinn et al., 1983).
Research Questions: Within this paper we will seek to conceptually confirm that the level of congruence between the existing core values of the organisation and those of the proposed strategy to be implemented is critical to maximise the potential for the successful implementation.
We will also seek to confirm that in the cases of low congruence or ‘fit’ between the proposed change initiative and the existing culture, an organisation can alter the core values of the organisation over a prolonged period of time in anticipation of the change through either purposefully, or intuitively, conditioning the culture of the organisation leading to an accelerated realisation of the benefits associated with the change.
Findings: The extensive review of the existing literature on congruence of values or fit and that of the implementation of major change initiatives would confirm the criticality of congruence between the existing culture of the organisation and that of the proposed strategy.
Furthermore, this review would also confirm that in cases of low congruence it is possible to alter the existing culture of the organisation to enable the implementation of a proposed strategy over an extended period.
Through a retrospective examination of the culture within an organisation that is implementing a major change initiative over the course of 15 years we have confirmed that either purposefully or intuitively, the organisation did precondition the culture of the organisation to become more aligned with that of the proposed new strategy.
Finally, we have confirmed that that the preconditioning of the organisational culture has led to an accelerated realisation of some of the benefits associated with the change initiative within the organisation delivering improved performance almost immediately on commencing the initiative.
Implications: We have conceptually confirmed that the concept of congruence between inputs in an organisation remains as critical today in the implementation of modern strategy as when Homan and Levitt first explored the concept (Nadler et al., 1980).
Arguably, given the fact that the environment is one of those critical inputs, and taking into account the modern dynamic and ever changing manufacturing and service environment we live in, these concepts have never been more critical to the success of an organisation.
However, organisations need to take cognisance of the fact that the strategy adopted by some to cater with the changing environment may not be suitable for all. Management need to evaluate the inputs available to the organisation in selecting a strategy to mitigate the change in environment.
By carefully choosing the minor initiatives in light of the more strategic goals of the organisation advantages can be gained in the implementation of major change. Those smaller wins will lead to an accelerated realisation of some of the benefits associated with the major change initiative if they are in line with the culture of the new practice.
Bibliography
Ansari, S. M., Fiss, P. C., & Zajac, E. J. 2010. Made to fit: How practices vary as they diffuse. Academy of Management Review, 35(1): 67-92.
Baird, K., Hu, K. J., & Reeve, R. 2011. The relationships between organizational culture, total quality management practices and operational performance. International Journal of Operations & Production Management, 31(7): 789-814.
Canato, A., & Ravasi, D. 2013. Coerced practice implementation in cases of low cultural fit: Cultural change and practice adaptation during the implementation of six sigma at 3M. Academy of Management56: 1724-1753.
Detert, J. R., Schroeder, R. G., & Mauriel, J. J. 2000. A framework for linking culture and improvement initiatives in organizations. Academy of management Review, 25(4): 850-863.
Mann, D. 2010. Creating a lean culture: tools to sustain lean conversions (2nd ed. ed.). New York: Productivity Press/Taylor & Francis Group.
Nadler, D. A., & Tushman, M. L. 1980. A model for diagnosing organizational behavior. Organizational Dynamics, 9(2): 35-51.
Quinn, R. E., & Rohrbaugh, J. 1983. A Spatial Model of Effectiveness Criteria: Towards a Competing Values Approach to Organizational Analysis. Management Science, 29(3): 363-377.
Zammuto, R. F., & O'Connor, E. J. 1992. Gaining advanced manufacturing technologies' benefits: the roles of organization design and culture. Academy of Management Review, 17(4): 701-728.
Keywords
Culture, change, congruence, fit, strategy, organisation, core values [ view full abstract ]
Culture, change, congruence, fit, strategy, organisation, core values
Authors
- Declan Maguire (Dublin City University)
- Malcolm Brady (Dublin City University)
Topic Area
Main Conference Programme
Session
PPS-6f » Strategy and Business Models (16:00 - Thursday, 1st September, N204)
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