It has been universally agreed that organizational culture exists and plays a critical role to shape behavior within an organization. It cannot be changed entirely by a leader itself. This is so because organizational culture is formed and maintained by the employees. This is considered as one major problem (Jones 2004). This is also because features of organizational culture cannot be clearly stated. This makes it difficult to understand its link with other main elements within an organization. Other key elements include incentive systems and structure. Development of appropriate approaches also cannot be done for its preservation, transformation, and analysis. Certain problems that initiate change in culture have been identified below:
Culture is how things are done within an organization
Culture has been identified as observable and consistent designs of behavior within an organization (Kotter 2004). This statement justifies repeated habits or behavior as the key aspect of organizational culture and helps in deemphasizing what people think, believe, or feel. This ultimately results in influencing the success of an organization. Therefore, if the culture is not formulated in an adequate manner, it requires to be changed.
Culture is a result of compensation
Incentives to employees are highly responsible to shape up culture (Lewin 2001). What and how tasks are being performed by people can be predicted by what incentives they receive. Here incentives refer to an entire set that includes non-monetary and monetary rewards. However, it is hard to state that incentive formulates culture or culture helps in formulation of good incentives.
Organizational culture helps in defining the complete description of an organization
Culture is also defined as the process of making sense within an organization. Sense-making refers to a collaborative process for creation of shared understanding and awareness out of varying value interests and perspectives of individuals (Schein 2002). Ultimately, it can be stated that it enables in formulating the reputation of an organization. Therefore, carrying on with an organizational culture that result in a negative reputation must be changed.