Organizational Culture & HRM
A successful organization in 2017 is aware of the positive impact a good Human Resource Management (HRM) strategy has on its function. An effective Human Resource practice can lead to organizational success and development. But how can we define an ‘effective’ HRM practice? The most significant factor needed to examine how we can implement a useful HRM strategy is organizational culture. We cannot follow a strategy that is against organizational policies. Every business entity possesses specific rules, notions, and values. If we do not take into account all these aspects, we will not design a successful HR practice.
To begin with, we must comprehend that organizational culture is a difficult term. Businesses have faced many structural changes due to labor market evolution and competition. It is profound that organizations change through time, and so does the organizational culture. An organization can never stand in a vacuum. It is always included in a social context. The social context plays a key role in determining the basis, in which an organization can be developed. Also, the financial aspect is a paramount factor that affects businesses.
The important question is, why do we have different cultures among firms? What is the main ingredient that distinguishes each culture? The truth is there are many key elements, which influence the development of an organizational culture. History, size, location, goals, function and management, technology and the environment of the firm are some of them.
Firms must set specific goals and objectives so that they can measure their performance. Employee bonding, staff training, and motivation could bring friendly climate in the workplace and therefore positive results. Furthermore, the size of an organization demonstrates labor division. Large firms have many and different departments, something that makes the communication between employees and managers very difficult and sometimes chaotic. Also, the location of the company determines the origins of the employees.
Once the HR practice ‘fits’ the organizational structure, business success can be achieved. Workplaces should be areas where employees express and behave in productive and positive ways. Contradictory policies confuse and mislead employees from their professional goals. A satisfied and committed workforce is the biggest invest that an organization can make.