Factors influencing culture and corporate culture
The report presents a detailed examination of the responsible leader influence in developing and shaping the organizational culture by accounting for all the stakeholders’ requirements including the environment and society. In order to address the requirements, the chosen company is Google Inc, and the arguments presented in the paper is supported using the real examples. There are several factors influencing culture and the corporate culture is shaped by both the relationship amongst the people and efficiency of business and production. Also, leaders tend to have significant impact on developing a culture of responsibility amongst the employees towards developing the culture in organization (Elsbach and Stigliani 2018). The ways in which leaders influence and develop a culture of responsibility is critically analysed by referring to relevant “responsibility leadership and organisational culture theory”. Therefore, the paper critically evaluates the role played by responsible leaders in developing culture of responsibility. Also, discussion about the responsible leadership role in the paper is facilitated by referring to the journal articles and relevant cultural theory.
Organisational leaders help in building the responsible business cultures through the participation and active involvement with the commitment to the issues. Organizational culture It is also important for the leaders when designing or influencing the culture of responsibility to account the forces or the environmental factors that also includes people that are interrelated and also affect the organization (Trans 2017). Dynamics of leadership is examined by the responsible leadership within the context of the society of stakeholders which also includes the perspectives of ethics such as norms, principles and values. Nonetheless, responsible leadership has the commitment to mobilize different stakeholders to work and cooperate for a common sustainable development vision (Crawford and Kelder 2019). One of the noteworthy points that can be identified is that the responsible leadership can be cited as one of the leadership styles where to develop and build the stakeholders relationship, leaders act as a weaver and respond to the practical challenges.
In this section, a detailed analysis of the various ways responsible leader influences the development of responsible culture in the organization is detailed out by linking to the principles of responsible leadership and other relevant theories. The arguments presented in relation to the responsible leadership is supported ad explained by referring to the real company Google Inc and drawing instances from it. A view point on the culture of responsibility on Google Inc is presented where the company has history of developments having positive impacts on the society due to its leadership styles, however, facing challenges at the same time. Google Inc is a multinational technology company that has many talented leaders and huge engineering staffs. It is one of the few technology companies witnessing the fastest growth in the world (Ta?tan and Davoudi 2019).
The quest for responsible leadership has been developed from new demands in the context of business and increasing expectations of the stakeholders that leaders should take active roles that helps in fostering responsible behaviour within the organization and shape the culture accordingly. The first discussion on the responsible leaders presents the emphasis on the corporate social responsibility (CSR) because responsible leaders are concerned with extended stakeholder management or CSR, where leaders live up to their responsibilities of developing responsible culture (Mousa 2019). Such leadership is value based where the relationship between leaders and stakeholders is driven by the ethical principles. Employees being a key stakeholder are taken care of seriously by the responsible leadership where influence on the self-concept such as personal identification is exerted by the leaders. Such leader’s commitment lies in articulating a promising vison and setting up a model where the needs of the subordinates are also taken care of (Afsar et al. 2020). It is suggested by the scholars that the stakeholders identify more with the leaders when there need is satisfied and it helps in enhancing employee leaders’ relationship. Leadership style of responsible leadership is of great charm because of characteristics such as CRS consciousness, global view and long-term perspectives. It is likely that the responsible leadership encourages employees to share the norms and goals of leader and hence incorporating the leader as an essential partner of self-identity. Furthermore, it is proposed by the social identity theory that the subordinates tend to be more willing to act on the behalf of a responsible leader when they have a feeling of greater leader identification. For example, they might be willing to perform extra role behaviours that is beyond their descriptions of job and thereby satisfying the expectation of leader (Miska and Mendenhall 2018. Moreover, when personal decisions are made by the employees, it is vital for them to perceive social responsibility and ethics to be important and subsequently they reflect greater ethics and social responsibility. Such employee’s behaviour is in line with the environmental philosophy and CSR practices of organization. At Google Inc, responsible leadership is positively associated with the responsible employees-leaders innovative behaviour, where the innovative behaviour is facilitated by the psychological process. Also, failure at Google Inc is encouraged and is considered culturally alright to admit the mistakes so that the employees to get stuck to one thing for a long time and start losing their self-identify. Therefore, leaders at Google are responsible to make employees feeling responsible to the overall organization. It also makes the employees to be aware of their ethical responsibility in conducting ethical behaviour (Biraghi et al. 2018).
Ways responsible leaders influence culture of responsibility
Another fact that can be used to explain the influence of responsible leaders in the organization is the existing agreement that responsible leadership concept is grounded in the stakeholder theory. Usually, the responsible leadership approach is based on the theory of normative stakeholder that reflects the underlying philosophical and moral principles (Waldman 2020). Behaviour of responsible leaders are driven by the normative mindset and their values and this in turn has impact on their approach towards the stakeholders. The two normative approach of leadership is identified as integrative and instrumental where the instrumental approach focuses on the objectives of organization and they do not pay attention to non-core business and they feel only accountable to the company’s shareholders (Stein 2021). Also, they tend to interact with the stakeholders in a quit limited way. Contrary to this, the integrative approach of responsible leadership focuses broadly on value creation and integrate the societal and business objectives and they tend to make accountable to all the legitimate stakeholders of the company by engaging themselves in the collaboration and active communication. For instance, Google is really touched by the process of philosophy and they are involved in the constant experimentation which is of paramount importance for the success of the company. Collaborative culture at Google is another way of interaction of the leaders with their stakeholders (Zhaoand Zhou 2019). Such culture presents a decentralized workforce at Google having an integrated units that work together to deal with any failure or problems. A common responsible organizational culture is established by Google where the employees can freely contribute their opinions and ideas to create a friendly and comfortable working environment. Leader of Google of more concerned about the abilities and the demand of the individuals and creates a home like environment so that the employees can connect better and feel responsible (Teece 2018). Therefore, it is understood that leaders adopt interactive responsible approach to influence the responsible culture by incorporating all the stakeholders of the company and with a particular focus on the employees.
One of the aspects of responsible leadership is the dynamic managerial capabilities as they represent the leaders’ dynamic abilities in transforming and refreshing the company’s resource base. Leaders’ role is considered fundamental to the strategic change in the organization and management of entrepreneurship is directly associated with the creativity and seizing of opportunity. The leader’s ability to invest and develop the cospecialized asset is fundamental to value creation and building dynamic capabilities. In the time of technological turbulence, new strategic visions must be spread by the leaders within the organization so that new strategies are implemented effectively (Saha et al. 2020). Orientation is provided by such strategy in deploying the resource base. The dynamic managerial capability of leaders should be discussed by taking a physiological and cognitive approach and emphasize on the mental capabilities. Attention and perception of leaders are the two cognitive capabilities that facilitate sensing opportunities (Gürlek and Tuna 2018). Therefore, the behaviour of leaders in developing the sense of responsibility of organizational culture is influenced by the dynamic managerial capabilities of leaders. The American management have stressed the individual responsibility on their job that would represent the interest of the workers in influencing the development of the organizational cultural responsibility, communication plays an effective role that facilitates the experience of socialization. An important moderator in the process of socialisation by the leaders with their stakeholders is their past experiences (Pless and Makk 2011). The experience of socialization is different due to difference in the feeling of self-esteem, confidence, feeling of competence and self-efficacy perceptions.
Responsible leadership with stakeholder theory
There is an interaction between leaders that are socially responsible, organizational ethical climate and relational transparency. It is argued that the responsible leadership role is for each leader and it forms a part of the collective action of leaders that is regarded essential for global competition success. Moreover, it is deliberately supposed that leaders should be prepared so that they can create global communities by way of social responsibility, collaboration and ethics. With many of the approaches of the leadership in the today’s organizational context focuses on the development of the socially leadership style in order to achieve long term organizational and human sustainability (Lis 2019). Socially responsible leaders are responsible towards a broad range of stakeholders that is included in the mainstream of theory of leadership. Such stakeholders comprise of customers, employees, government, people through the supply chain and the future generations and all of which are affected by the activities of organization. Accordingly, responsible leadership can be identified as the art of maintaining and building morally sound relationships with the wide range of stakeholders. Such relationship is based on the sense of recognition, justice and responsibility for a wide range of political, social and human resource tasks (Ko 2018). Socially responsible leadership as per the social change model can be described as to feature self-consciousnesses, commitment, congruence, controversy with civility, collaboration, change and citizenship. Hence, responsible leadership can be broadly defined as the multilevel phenomenon that involves group, individuals and organization that emphasize on the effectiveness of leadership, ethical behaviour and respect for the socially, environmentally and economic sustainable practices for all the stakeholders. It is important for the responsible leadership to include three components such as ethical decision making, value-based relationship and quality stakeholder relationships with respect to the variety of stakeholders (Haque et al. 2019).
Some of the emerging theories of leadership that is consistent with the responsible leadership notion include authentic and spiritual leadership. It is stressed that the process that helps the employees in internalizing the values and beliefs of leaders lies in the dedication, transparency and morality of the leaders. Responsible leaders take into considerations the marketplace, workplace and even issues relating to the environment, however, engagement with the communities is somewhat not considered relevant for the business (Nguyen et al. 2021). Unfortunately, the right values of the wide range of benefits which the communities provide is not perceived by the responsive leaders as well. Another aspect of responsible leaders can also be explained in terms of philanthropic and the leaders can facilitate a culture of philanthropy when they think themselves to be a part of the control movement rather than controlling it. A disproportionate amount of power is held by the philanthropic actions and for the resources belong to the communities, it serves as gatekeeper (Cha and Rew 2018). However, the real face of leadership can be identified from the fact that they might not agree with the strategies and ideas of the funders (Previtali et al. 2019). Responsible leadership at Google is far away from the proper philanthropy as the company had the experience of making no grants to financing new companies or to the non-profit organization. Although, the organization had some positive impact in terms of various areas such as climate and public health, the organization is yet to prove itself in terms of its philanthropic contributions. However, in recent years, some contributions have been made by Google Inc to the non-profit organizations that focused on economic opportunity, education and improvement. In order for the company to transforms itself into responsible leadership and develop the culture of responsibility in the culture of organization, it is important that the responsible leadership should make themselves accountable to the communities and society alongside environment (Mengand Berger 2019).
Impact of responsible leadership on employees
The transition of the organization to a true leadership requires to create an ambiguous and single goals driving the work of organization and encouraging constant refinement and reassessment, emphasizing scale and compelling transparency (Vaughan 2018). In the philanthropy, responsible leadership implies becoming more agile, forward thinking and less restricted. Therefore, for a responsible leader to create a culture of responsibility by taking into account the environment and society, it is required by the leaders to steer their organizations to adjust their objectives and goals through the continuous communication with the stakeholders and participative approach and bringing the society together and breaking the silos (Pless et al. 2021). Furthermore, mutual transparency forms the core component of unrestricted giving based on trust. Also, it is important for the funders to acknowledged the fact of the changed behaviours and embrace the approach of evidence based on emotions.
Conclusion
The development of the responsible organizational culture requires the responsible leaders to adopt the sustainable development philosophy that considers both the external stakeholder such as society and communities and internal stakeholders such as employees and suppliers. Therefore, it is concluded from the overall analysis of the role, those responsible leaders play in shaping the culture of organization, that improving the active protection behaviour of the employees is particularly important.
The responsible leadership should be for the benefit for all the stakeholders of the company by encompassing the leader’s follower’s relationship. It is found that the key idea of responsible leadership is the mobilization and influence of stakeholders outside and inside the organization to achieve the results of society and business. Leaders focuses on the social developmental goals that broadens the focus of the stakeholder and broadens their influence.
It is important that in the age of responsibility, it needs to be understood by the leaders that the organization forms a part of the society and business is relevantly impacted by the societal issues. Leaders should both encourage the employees and act as volunteer to make charitable donations and for the community. The long-term business success should be more associated with the community engagement and ethical issues. In order to develop and build the sustainable world, intersection of ethics and leadership is a must because leadership plays a vital role in promoting the moral and ethical behaviour.
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