Transforming organizational culture amidst a diverse workforce: A qualitative study in the service industry

Gunilla Weber and Malte Martensen

No 1/2021, IU Discussion Papers - Human Resources from IU International University of Applied Sciences

Abstract: The purpose of this case study is to explore the topic of organizational culture and ultimately define the culture of HealthIA, a rapidly growing service organization operating in the hospitality industry. By collecting qualitative data through interviews and focus groups we aim to benchmark the organization of study against identified practices of healthy culture and provide suggestions for transformation and change. We base our analysis on well-researched cultural theories, namely Schein's ten step assessment process, Cameron and Quinn's Competing Values Framework and House et al.'s GLOBE study. For defining HealthIA's organizational culture, we make use of Schein's three levels of culture, determining the artefacts, espoused beliefs and values, and basic underlying assumptions. HealthIA is identified as culturally diverse with a communitarian focus valuing teamwork and relationships with an underlying assumption that the purpose of the organization is to be highly profitable. Since employee perceptions towards the organizational culture were found to be negatively charged and misaligned with the cultural perceptions of management, an incremental cultural transformation is advised. By extending identified desirable values such as innovation and transparency the organization can improve its culture towards more effective practices. HealthIA's leaders were identified as a crucial component of cultural change and are suggested to be empathetic, encouraging, and communicative. Moreover, HealthIA is advised to align strategy and culture, practice clear and consistent leadership, and emphasize employee socialization practices.

Keywords: Organizational Culture; Service Industry; Cultural Transformation; Culture Change; Leadership (search for similar items in EconPapers)
JEL-codes: M12 M13 M14 (search for similar items in EconPapers)
Date: 2021
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Persistent link: https://EconPapers.repec.org/RePEc:zbw:iubhhr:12021

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