Custom essays on The impact of the cultural environment on organizational performance and development

The impact of the cultural environment on organizational performance and development

Introduction
Today, organizations operate in the multicultural environment, whereas many organizations operate internationally. Therefore, they have to hire local employees and supply products and services to customers with different cultural background. Hence, organizational performance becomes dependent on the cultural environment they operate in. Organizational performance comprises the actual output or results of an organization as measured against its intended outputs (or goals and objectives).
Thesis statement: Under the impact of the process of globalization, organizations tend to operate in multicultural environment and enter new markets internationally that raises the problem of their adaptation to their cultural environment to maintain healthy organizational culture, effective organizational performance and positive company-customer relationships. Different cultural environment can either cause additional challenges and problems, or bring considerable benefits.

Literature review.
The problem of the impact of the cultural environment on the organizational performance is subject to many studies. Therefore, the study of the literature can help to understand the essence of the problem and develop possible recommendations for organizations operating in the diverse cultural environment.
The field of organizational development (OD) is about the operation, development and effectiveness of human organizations. An organization is defined as two or more people gathered for one or more common goals. Organizational Development is conceived as free and relentless effort of management and all members of the organization to make credible, sustainable and functional to the organization over time, putting emphasis on human capital, streamlining processes, creating a style and pointing north from the institutional one.
The Organizational Development is also seen as a tool that, through internal analysis of the organization and the surrounding environment, allows information to guide you on a path or strategy to adopt towards change, towards an evolution, according to the requirements or demands of the environment in which they are placed, making the efficiency of all its constituent elements for organizational success. This is required for an organization is able or has the necessary elements to enter and compete in today’s world, thereby becoming a necessity, according to Organizational development (2010).
To use this tool is used or made use of a fundamental process such as learning, which is the means by which access to knowledge and skills acquired skills to produce behavioral changes, for the reason that we must take into account the factors which influence the performance of the elements that constitute the organization.
Organization Development is an organization-theoretical concept of converting the planned social change in organizations. Organization Development was defined very generally as “intervention strategy, which uses group dynamics, which focuses on organizational culture to bring about planned changes”. With a slightly altered gravity describe Bowman and Asch as a “long-term intervention program in the social processes of organizations using principles and practices of behavioral sciences with the aim of bringing about behavior and attitude changes that lead to increased of organizational effectiveness.”
It should be noted that corporate culture – is a system of values and beliefs, which divides each employee and the company provides its behavior determines the nature of life. Corporate culture is also a way and means of creating an organization that develops independently. It should be noticed that corporate culture is being influenced by different factors. Its goal – is to ensure high yield firms by improving human resources management, ensuring the loyalty of employees, the perception of education as their own home, without addressing conflicts. The main components of corporate culture are basic rules, values, common language, legends and symbolism, according to Organizational Culture and Environment The Constraints (2009).