Influence of leader on Organization culture

Managers, and especially top mangers, create the climate for the enterprise. Their values influence the direction of the firm. Although the term “value� is used differently, a value can be defined as a fairly permanent belief about what is appropriate and what is not that guides the actions the actions and behavior of employees in fulfilling the organization’s aims.

Values can be thought of as forming an ideology that permeates everyday decisions.

In many successful companies, value-driven corporate leaders serve as role models, set the standards for performance, motivate employees, make the company special, and are a symbol to the external environment.

It was Edwin Land, the founder of Polaroid, who created a favorable organizational environment for research and innovation. It was Jim Treybig of Tandom, in the Silicon Valley near San Francisco, who made it a point to emphasize that every person is a human being and deserves to be treated accordingly. It was William Cooper Procter of Procter & Gamble who ran the company with the slogan “Do what is right�. It was Theodore Vail of AT & T who addressed the needs of customers by emphasizing service.

The organization culture created by corporate leaders can result in managerial functions being carried out in quite different ways. A clear vision of a common purpose elicits commitment. Moreover, when people participate in the decision-making process and exercise self-direction and self-control, they feel committed to their own plans.

But espoused values need to be reinforced through rewards and incentives, ceremonies, stories and symbolic actions. As it relates to organizations, culture is the general pattern of behavior, shared beliefs, and values that members have in common.

Culture can be inferred from what people say, do, and think within an organizational setting. It involves the learning the learning and transmitting of knowledge, beliefs, and patterns of behavior over a period of time, which means that an organization culture is fairly stable and does not change fast. It often sets the tone for the company and establishes implied rules for the way people should behave.

  • Ambuj Chaturvedi

    What is the main difference between Organisational Culture and Organisational Climate?

  • suresh

    i am sending the atricle

    do publish it

  • Yes, leaders do have impact on the formation of corporate culture. But there are many other factors that also contribute : industry characteristic, employees profile, national(sub) culture, and also HR policies and procedures.