Organizational Culture and its Role in Management Innovation
The purpose of this study is to discuss about the concepts of new awareness of organization culture, emerging positive organization behavior and its implications and role of organizational size in management leadership. . This study attempts to define organizational behavior and outlines the role of optimism, self- efficacy, resilience and hope on positive behavior in a specific enterprise. In today’s world, the enterprises try to renew its business owing to intensification of competition and advancement of technology. These challenges not only provides new commodities and services but also changes enterprise culture, behavior and nature of management within the enterprise. The behavior of leadership also contributes to change in organization culture and management innovation. This essay however analyzes about the organizational culture in form of dynamic framework of how culture is learned and changed over the years. With the advent of new ideas, the innovation in management and leadership behavior also changed the enterprise. Since management innovation entails change in the management work, it helps to improve organization culture (Hogan and Coote 2014). The paper also focuses on how effective management provides proper leadership behavior and resources to gain source of competitive advantage. The role of leadership behavior on management innovation at the enterprise level is also explored in this study. Overall, the relationship between organizational culture, positive organization behavior and management leadership is elucidated in this study.
The articles summarizes that the organization performance improves through positive change in organization behavior, culture and management leadership. According to Lee, Vargo and Seville (2013), positive organizational behavior refers to the study of positively oriented individual resource strengths as well as psychological capacities, which can be effectively managed, measured and developed for improvement in performance of workplace. Yukl (2012) argued that organizational behavior must involve pursuit of workers happiness as well as health as the viable target in themselves. Anderson, Poto?nik and Zhou (2014) opines that organizational behavior is mainly concerned with psychological state of an individual that impact employees performance. The organizational behavior mainly examines role of states such as – optimism, self- efficacy, resilience and hope to cope with the enterprise demands or foster financial performance. When these psychological resources are combined, the performance of both employees and organization improves.
Self- efficacy as people’s conviction about their abilities to mobilize cognitive resources, motivation and set of action required to effectively execute specific task with specific context. Self- efficacy has three main dimensions that includes- strength, generality and magnitude. Malik (2014) identified four self- efficacy sources that includes- past performance, verbal persuasion, vicarious experience and emotional cues. This impacts learning as well as performance in three ways, which are discussed below-
- Self- efficacy affects the company’s target that the employees chooses for themselves. However, the employees with low self- efficacy level tends to set low target for themselves.
- Self- efficacy affects persistence that the individuals attempt in doing new tasks. Workers with low self-efficacy level are less confident in which they learn as well as perform particular task.
- Self- efficacy impacts effort and learning that individuals exert on job. The workers with low self- efficacy level work less while performing new task as they are less confident about the fact that their efforts would be successful.
Positive Organizational Behavior and its Implications
Lee, Vargo and Seville (2013) states that resilience in enterprise refers to the ability as well as capacity of the workplace for bearing with potential risk, systematic disruptions and economic times by integrating, resisting and resuming vital operations and providing acceptable functional level and proper structure. Resilience involve behaviors, actions and thoughts that an individual learns and is influenced by person’s behavior. The leaders of the organization are mainly responsible to create workplace climate, which helps resilience and fosters well- being. The leaders plays a crucial role in helping employees cope with stress level, which in turn leads to burn out negative effect on employees. However, the leaders and managers makes certain that the workers have proper skill in to deal with demands they face.
Optimism is considered as positive force in workplace as it positively influences performance or work- related behaviors of employees. Recent evidences reflect that the relation between workers performance and optimism is moderated by strategies that is utilized to deal with workplace stress. Malik (2013) found out that optimistic individuals uses several issues coping strategies for creating positive workplace behavior. Moreover, the optimist workers have high level of aspiration and morale. Since it is the major contributors to well- being of workers, it affects the enterprise behavior.
Organizational culture is primarily analyzed at various levels starting with visible artifacts such as- technology, architecture and constructed environment. The strength of organization culture is reflected in terms of stability as well as homogeneity of group membership. As per Lee, Vargo and Seville (2013), organization with strong culture and stable leaders can survive at competitive business environment. The elements of organizational culture is the learned solutions to the issues arising within the workplace. There are two types of learning situations such as- anxiety avoidance and positive problem solving situation. Even if these two learning circumstances are intertwined, both varies in its framework. In the positive- learning situation, every individual needs innovative sources in order to find better solution to problems. On the contrary, in anxiety- avoidance situation, the leaders find anxiety source and gives workers alternative source of avoidance. The researchers have found out that the elements of enterprise culture that are mainly dependent on anxiety reduction will be more stable than those dependent on problem solving. The change in organization culture that occurs due to change in external environment can adversely impact on the business operations and performance. Noruzy et al. (2013) suggests that effective leadership behavior and management innovation helps to improve the organizational culture. However, the organizations now- a- days enhances its diversity for creating enterprise culture and maintain flexibility during poor environmental conditions (Schein 1984).
Leadership Behavior and Management Innovation
Management leadership is one of the antecedents of the organizational performance. Management leadership mainly entails encompassing as well as complex types of change to the way by which management work has been performed. Several scholars have proposed that leadership effectively motivates innovative thinking and reflects that it effects organizational choice. Hopkins (2013) opines that the leadership behavior has been vital precursor of innovation in management. As management innovation entails complex type of change in which management work has been performed, leadership has been preeminent problem to understand how enterprise introduces such complex innovation. Miner (2015) found out that leadership behavior impacts the pursuit of organization management innovation. The various types of leadership behavior such as- transactional, transformational directly impacts the organization management innovation. The researchers have investigated that organizational size play a moderating role in management leadership. Jung (2012) pointed out that as organizational size enhances, the effect of leadership behavior might decline. The leaders in bigger organizations might encounter several difficulties in introducing change in management work is generally performed owing to complex enterprise contexts as well as rise in spatial separation. Besides this, rising bureaucratic formalization within bigger organizations might have neutralizing impact on direct leadership behavior.
Vaccaro et al. (2012) portrays that top managers as leaders who can largely influence innovation and enterprises chances of growth as well as survival, enterprise ecology research mainly downplays role of micro-level factors. Among these are the choices of managers and leadership of top managers. Few leadership researchers have given the idea that specific leadership factors are endorsed as well as effective. The cross- cultural researchers argue that effectiveness as well as endorsement of the specific leadership factor are culture- specific. Particularly, the researchers that assert followers expectations depend on socio-cultural context and meeting the followers expectations of the leaders behavior generally results in greater leadership effectiveness. The research on leadership effectiveness and innovation reflect that management positively influences innovation processes outcomes in organizations. Anderson, Poto?nik and Zhou (2014) found out that leadership has huge impact on creativity as well as innovation. Thus, components of the management leadership are directly connected with management support for innovation.
The factors of leadership impact total management innovation in various ways – through personal identification, motivating opinions diversity, compliance and providing proper environment. For instance, the influence of leaders and motivation behaviors can influence innovation via two contemporary mechanisms such as- personal recognition and internalization. Personal recognition occurs when the followers seek in emulating leaders behavior while internalization indicates the procedure in which the followers accept the values of leaders (Hopkins 2013). When the values of leaders emphasize innovation, motivational behaviors and idealized influence induce followers to imitate leaders behavior and accept these values. Moreover, contingent leadership and effective management impacts innovation via inducing compliance
Role of Organizational Size in Management Leadership
The above three articles highlights that management leadership, positive organizational behavior and organizational culture are linked to each other. Wagner and Hollenbeck (2014) found out that effectiveness of leadership behavior depends on specific factors that includes- organizational behavior, organization culture and team homogeneity. Positive organizational behavior and strong organizational culture influences the leaders to implement proper leadership style or behavior and this leads to management innovation. Alvesson and Sveningsson (2015) states that proper way of management work creates positive organization behavior and workplace culture. The researchers have found out that change in organizational culture impacts the strategic decision making of the leaders. The leaders working in positive organization culture becomes motivated to face difficulties in some adverse situations. In fact, effective leadership behavior also encourages the employees of the organization to focus on work and improve their performance. The leaders may impact the management innovation by decreasing complexity as well as uncertainty connected that is linked to its pursuit by supporting change, developing enterprise culture and communicating shared vision. The management leadership also plays the role in simplifying the complex dynamics within enterprise (Büschgens, Bausch and Balkin 2013).
Recent studies show that the leaders of the organization adopting proper leadership style positively influences the organization behavior, culture and management innovation. Although the leaders adopting transformational leadership style complements the organization rising rigidity and is highly effectual to management innovation, it becomes less vital for small organizational size (Jung 2012). The leaders working in small and medium enterprise (SMEs) tends to adopt transactional leadership behavior as this leadership style is highly flexible to introduce changes within the organization. However, this highlights that size of the organization directly impacts the way of management innovation and leadership behavior. The three articles mainly analyses about the rational perspective on management innovation. The role of leaders in context of management leadership is relevant through transactional and transformational leadership behavior even if these leadership behaviors needs to be implemented based on the complexity of organizations (García-Morales, Jiménez-Barrionuevo and Gutiérrez-Gutiérrez 2012). Thus, management directly impacts organizational innovations since they set up enterprise structure, culture and processes, which support innovation as well as take leadership role to adopt innovations (Hu et al. 2012).
The recommendations are provided to the leaders of the organizations as they play vital role in bringing about positive organizational behavior, proper culture and management innovation. The following suggestions will help the leaders of the organizations to improve their leadership behavior that influences organizational culture and behavior.
Conclusion
Firstly, the leaders of the enterprise must analyze the workplace climate and adopt leadership behavior accordingly. This will facilitate them to achieve success in adopting positive culture and behavior within the organization.
Secondly, the leaders must acquire proper training regarding implementation of leadership behavior during changing organization culture. This will aid them to increase their efficiency in work and create positive organizational climate.
Thirdly, the leaders must adopt effective strategies regarding change of organization culture and behavior after analyzing market trends as well as their competitors.
Conclusion
The articles reflect that leadership behavior is one of the important determinants of positive organizational behavior, organization culture and management innovation. Management leadership redesigns organization structure and enhances management innovation. Moreover, positive enterprise behavior and enterprise culture affects the management leadership work and this helps the enterprise to gain competitive advantage over its rivals. Since organizational innovations success depends on top management’s use of proper leadership behaviors to develop cultural sensitivity, the multinational organizations has adopted proper changes which they require to make in its training programs and planning processes. Thus, understanding organization behavior and culture is integral to the management leadership.
References
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