Functional and Dysfunctional effects of organizational culture: It creates a distinction between one organization and

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Functional and Dysfunctional effects of organizational culture:

• It creates a distinction between one organization and others.

• It conveys a particular identification for organization members.

• Organization culture binds the collective effort rather than the individual's self-interest.

• It enhances the stability of the social system.

• Organization culture provides standards for the employees to work properly.

• Organization culture provides a controlled mechanism that guides and shapes the employee's attitude and behavior.

• The culture of the organization defines the rules for the organization.

• Culture creates a sound environment in the workplace.

But establishing a strong culture for an organization is difficult due to certain obstacles and hindrances.

Dysfunctional effects of organization culture:

• When an organization undergoes institutionalization that may be valid for it but not necessary for goods and services then due to change in the organization culture it can affect services and products of the company.

• Barriers to change: culture can serve as a liability when it provides resistance to change which could be in the best interest of the company or an organization. It is most likely to happen when the environment is dynamic.

• Barriers to diversity: Organization culture may differ from one company to another therefore hiring employees from different organizations could result in a clash of organizational cultures. This would result in the employees taking time to adapt to the current culture and the urgency on the part of the management to enable the employees to adapt to the culture could result in clashes.

• Barrier to acquisitions merges: If organizations are more concerned with matching their cultures in order to merge rather than important aspects like financial gains and product synergy then cultures will serve as barriers for the firm to expand and grow.

Do you think there are some of these more important than others?