Structure Or Culture; What Makes A Great Organization?

4 Pages 879 Words

AES is an example of a large organization with an unusual culture that had a direct impact on the structure of the company. The culture of the company resulted in a major restructuring after expansion of the company illustrated shortcomings in structure. Evidence supports the hypothesis that a large company cannot operate successfully with a laissez faire management attitude.
Defining the culture of an organization is not a simple process; it is the soul or embodiment of its existence. “Basically, organizational culture is the personality of the organization” (McNamara). Organizational culture illustrates the essence of the people that work for the company. It reflects the accepted norms and values of the total organization. “There are different types of culture just like there are different types of personality” (McNamara). Selecting the type of culture that permeates a particular organization is possible when evaluated broadly. Schein (1992) “himself acknowledges that, even with rigorous study, we can only make statements about elements of culture, not culture in its entirety” (Hickok). Research indicates that it is impossible to place a encompassing label on a particular organization but it is possible to evaluate the different levels of the culture. Schein “divides organizational culture into three levels: 1) at the surface are "artifacts", those aspects (such as dress) which can be easily discerned, yet are hard to understand; 2) beneath artifacts are "espoused values" which are conscious strategies, goals and philosophies; 3) the core, or essence, of culture is represented by the basic underlying assumptions and values, which are difficult to discern because they exist at a largely unconscious level, yet provide the key to understanding why things happen the way they do” (Hickok). The combination of these three elements defines the organizational culture holistically.
What then, is the org...