Culture's Role in Organizational Behavior

1.0: Chapter 1: Introduction

1.1 Background Information:

In essence, the cultures of people globally vary widely and are substantial representations of the place ones background with regards to the society (Christopher, 2012). These cultural practices have a wide impact on the development of the organizations including their structures, operations as well as the individual organization culture adopted by different companies. The idea here is that people make organizations and they carry with them the values, norms, and behaviours embodied in every day’s life. For instance, Xu (2018) and Yongnian (2009) point out that the Chinese, based on their near communistic approach to life, tend to look at groups and thus the entirety of an organization as a single unit, on the other hand, Americans are more interested with the individual such that they praise and celebrate people singly as opposed to groups. Of course, this is just a general rule of the thumb to the extent that the majority precipitate towards such behaviors but not a strict statement to the effect that Chinese do not focus on individuals and Americans do not involve groups entirely (Pandey, 2007). In addition to this, the Chinese and more so organizations are much focused when it comes to bureaucracy. In other words, hierarchy is very critical in the manner in which organizations are managed and how decisions are made. On the other hand, the American organizations tend to be more democratic to the extent that such companies have flatter organizational culture s (Christopher, 2012). This research is now concerned with conducting a very in-depth evaluation of the Chinese cultural background including consumer behaviour, beliefs, interpersonal relationship, and ideals with the aim of determining exactly how they affect employee development

Broadly, both Flynn (2011) and Court (2011) point out that, irrespective of the cultural background, the strategic consideration of employee strengths and practical abilities through the creation and maintenance of employee development programs is taking centre stage of Human Resource management functions in a wide range of organizations. This is majorly to tap into different employee potentials and enhance their growth and development in the management of assigned tasks; this consequently impacts their performance and benefits the employer (Court, 2011). Organizations can hardly grow without ensuring that their workers are developing their careers and skills for the sake of improving performance. As such, the study will explore whether different cultures focusing particularly on Chinese cultures influence employee’s efficiency and productivity in the organizational content. Understandably, it will incorporate different aspects of the structure used by companies in both of the two countries using sound theoretical framework as discussed in a latter section of this research proposal.

1.2: Research Rationale

As indicated above, organizations are faced with the critical need to manage their organizational employees for the sake of growth and better performance. Whereas, according to Flynn (2011) and Court (2011), the research has sought to adopt a comparative approach to make determinations about the effect of organizational culture on employee development and productivity. Since Huawei has been in operation of more than 10 years in technology industry, the experiences of the employees can provide some insight on whether the tendencies of the management in organizing people could actually affect their ability, willingness, and motivation for personal and professional development as well as efficient conduction of their tasks and duties within the organization. In essence, the research provides a framework on which beneficiary cultural components as well as gaps can be identified for each organization and hence benchmark to get solutions.

1.3: Research Aims and Objectives

1.3.1: Aims

The research study aims to evaluate cultural backgrounds followed within Chinese society and, to that effect, working environments of Huawei Company as to enable the identification of beneficial factors that impact employee growth and productivity in the design of the organization structures. These factors will then form the basis of aligning the cultural factors to the organizational operations, structures, and strategies in engaging with employees. The aim is further broken down into specific objectives to enable the sequential and efficient research of the topic. These objectives include:

1.3.2: Objectives

To investigate the influence of employee’s cultural backgrounds on performance, development, and turnover

To explore policies adopted by Huawei Company aimed at integration employees’ cultural background aimed at employee development

To evaluate the cultural variables adopted within Chinese organizational setting (Huawei) and highlight the benefits and drawbacks of the structures

To explore ways in which policies integrated by Huawei towards employee development correlated with value orientations in Chinese national cultures and founders as explored by Schwartz (1992)

1.4: Research Questions

What are some of the policies adopted by Huawei associated with the cultural backgrounds in its organizational setting relating to employee development?

What are some difference in the policies integrated by the company correlated to value orientation in national values?

Are the values observed with Huawei culture reflects those explored by Schwartz (1992)?

1.5: Hypotheses

Employees’ cultural backgrounds holds significant influence on individual and collective performance, productivity, and interpersonal relation.

Reflecting different cultural backgrounds influencing ideals, beliefs, and perspective towards work and authority, employees from Huawei (American and Chinese cultural setting respective) have a different productivity, performance, and development levels and rates.

As pointed by Schwartz, organizations need to align its values and beliefs towards those of the nation it has key operations in in order to optimise employees’ performance and turnover.

Organizational culture, Huawei, has significant drawbacks that influence the organizations eventual overall performance.

2.0: Chapter 2 Literature Review

2.1: Introduction

This chapter is one of the most critical ones in the dissertation process because it provides the framework of the research and more so determines the gaps that should be closed in the process of conducting the research. In this particular case, the gap is usually identified as analysing what has already been done in the body of literature and then coming up with specific aspects that should be researched on. In this chapter, a review of literature with regards to the development and culture of multinational companies will be outlined. The concept of organizational culture will also be significantly exploited especially its connection with the development of organization structure and how they impact employee development and eventual improves organization performance.

2.2: Organizational Culture

Organizational culture broadly encompasses the values and behaviours forming the larger distinct organizational social and psychological environment. As pointed by Schein (2010), organizational culture has a significant influence on the manner in which people involved directly or indirectly interact, knowledge sharing, context and content of knowledge and skills creation and sharing, as well as prevalence of resistance or support in implementation of changes. Various scholars have come up with definitions of organizational culture. Generally, the term refers to a collection of beliefs, values and norms that have a direct influence on the thinking and behavioural patterns of employees in the workplace. Heidenreich, (2012) states that organizational culture is embedded in a conglomerate of crucial assumptions that members of an establishment share. More often, these values are unstated, and have been forwarded by the management as the acceptable ways in which things are done. Beliefs are formed from experience and are contained in the assumptions that employees hold about the reality of the business. According to Hartnell et al. (2011), the organizational culture outlines the collective values held by employees and managing personnel, norms, beliefs, and principles core to organization operations. Ideally, such elements as history, product, strategy, management approach, technology adopt, nature of business, and importantly country’s culture plays a core role in firm’s objectives, values, system, environment, beliefs, and assumptions. It forms the anatomy of a corporation and is the foundation through which the business functions take place. The elements are identified, relationships between them structured, and all of them create a functional unit. Scholars state that organizational culture shows the division of organizational activities, their organization, and coordination (Zheng et al., 2010; Tseng, 2010). Organizational culture serves functions such as offering the employees a sense of identity, reinforcing the values of the establishment, strengthens the commitment of members, and acts as a mechanism through which behaviours can be shaped and regulated to meet the objectives of the business. Successful managers enforce unique cultures that enable the company to achieve the best structures for implementation of their strategy. Organizational culture, therefore, plays a crucial role towards the success of the company (Azhar, 2003). Jarratt & O’Neill, (2002) states that businesses that have a string organizational culture have increased chances of success.

The organizational values has a direct influence on employee performance. The motivators and emotions of individuals are put into account and the manner in which they drive employees is considered. Companies identify and accept the role played by cultural and social factors towards the level of motivation of employees. The business then uses these factors to drive individuals towards increased productivity at all levels. Quinn and Cameron (2011) argued that there exist four types of organizational culture: Clan, Market, Adhocracy, and Hierarchy. The clan organizational culture is largely associated with family-like composition focusing on nurturing, mentoring, and working in unity towards common goals. Adhocracy, on the other hand, orients beliefs and values held towards a dynamic and entrepreneurial environment while emphasising on the risk-taking, ‘doing things first’ and innovation. Quinn and Cameron (2011) pointed that Market organizational culture is a results or market driven values and beliefs shaped by competition and achievement under ‘getting the job done’ ideology. Lastly, hierarchy culture is follows a structured and controlled perspective with behavioural and values adopted trickling down from top (managerial level to lowest workers level) and largely informed by efficiency and stability of an organisation under ‘doing things right’ ideology. Prajogo and McDermott (2011) held that despite existence of several organizational culture, there is no correct for one followed explicitly for a particular organization. However, all organizational cultures promote some forms of values while inhibiting others. Some of these cultures set are core in rapid development and conforming to changing organizational environment while others resist or are slow in that respect. According to Quinn and Cameron (2011), right organizational culture is one that closely aligns its characteristics to the values, direction, and strategy of a particular organization.

2.3: Employee Development

The most significant resource in any organization is the human resources. People form a vital component in any business, and for this reason, they should be nurtured and developed to drive the profitability levels and create a memorable customer experience for service companies. According to Lee and Bruvold (2003), employee development is termed as the process in which the abilities of a member of staff or an organization in its entirety are developed. Their ability to perform the job increase after development occurs. Gruman and Saks (2011) laments that in addition to increased job satisfaction, employee development play a significant part in motivation, efficiencies, productivity, and turnover. Thus, the key area associated with employee development, and can be used to quantify its results is employee performance. When employees are more developed, they exhibit characteristics such as increased job satisfaction, increased commitment to work, and higher performance that has a direct effect on organizational effectiveness and efficiency (Perlmutter, 2000). Employee development can take place through self-development. In this case, the individuals are willing to learn and show interest in developmental activities. Employees who engage in self-development have an intrinsic motivation to be better and increase their professional competence (Hameed, and Waheed, 2011; Antonacopoulou, 2000). Their curiosity and interest is internal and self-directed. Study conducted by Jacobs & Washington (2003) and Nasution et al. (2018) on relationship between organizational culture and employee development, found a positive and significant connection on employee performance. The company can also facilitate employee development through internal and external activities such as workshops, seminars, trainings, and interactions with other organizations. Some of the most common developmental activities include coaching and development and feedback centers, which can be internal or external (Kirkpatrick, 2006).

The most significant challenges to employee development are that it is largely dependent on an individual’s willingness to learn. If a person lacks the motivation, the company will have wasted its resources and time in investing towards employee development (Hameed, and Waheed, 2011; Harrison, 2012). Another challenge to this facet of business is the barriers in the organizational culture. Some institutions do not invest in employee development, while others have unstable mechanisms of instituting the process of development. In addition, most organizations have few opportunities for employee development, and it may seem that only the selected few get to enjoy these benefits (Pajo et al., 2011; Koster et al., 2011). In many cases, the top management is availed with these opportunities. If such opportunities are available for lower cadre employees, the top management influences which individuals are selected. Companies should come up with clear employee development plans to overcome these challenges (Hwang, 2003).

2.4: Conceptual Framework

The concept of the literature review in being able to effectively answer and cover the requirements by the objectives will involve an evaluation of organization structures of multinational companies, Huawei and Apple. Afterwards a comparison of these structures highlighting their similarities and differences as well as their benefits and drawbacks when it comes to employee development and subsequently the improvement of company performance. Building from theory forwarded by Schwartz (1992) of basic values, people from different backgrounds (especially countries) hold substantial difference in value, priorities, perspectives, attribute, norms, and traits. Schwartz model holds that two opposing dimensions. One dimension conflicts one openness to change (independence of thoughts, beliefs, action, and feelings) and conservation of held values (emphasizing order, preservation of the existing norms, self-restriction, and conforming to traditions). The second dimensions holds ‘self-transcendence’ against ‘self-enhancement’ values pointing to individuals driven by own interests, success, and dominance over other through gaining fame or achieving power while others valuing interests and welfare of others. The model outlines seven dimensions of: harmony, mastery, embeddedness, hierarchy, egalitarianism, affective autonomy, and intellectual autonomy. As a company, Huawei traces its origin as rural sales agent for Hong Kong based network business entities and later expanding to over 170 countries and currently connecting to more than a third of world population. The company operations can be grouped in three sections; Consumer Business Group, the Enterprise Business Group, and the Carrier Network Business Group. Huawei employs more than 180,000 workforce across 170 countries it operates in depicting sense of diversity in beliefs, values, perspectives, and ideals of a given team. Being an international organizations, a team can comprise of English, Chinese, Arabic, Italian, or German national among other nationalities. This creates a multi-cultural teams and environment that might conflict with individual uni-culturalism. As such, such organizations Huawei operating in different countries with distinct history, beliefs, norms, and traits have definitely different organizational culture and hence varying implication of employee development.

Chapter 3: Methodology

3.0 Research Methodology

3.1: Introduction

Research methodology includes the description of the actual methods to be utilized in the conduction of the actual study process in order to be able to derive inferable findings. According to Kumar (2005).. The chapter sequentially outlines the procedures as well as other activities that are actually involved in the field study geared towards collection of data to produce first-hand information useful in deriving inferences regarding the topic of study from the respective population with which it affects directly. As such within this chapter, a conclusive discussion of the research strategy, research Approach, philosophical paradigm, data collection methodology as well as the analysis method and ethical consideration will be carried out.

3.2: Research Design

The research design taken up is crucial in the determination of other elements of the research including research Approach as well as data collection and analysis methodology. It also dictates the structure of the study that are effective for the research investigation (Cresswell and Plano, 2011; Saunders, Lewis and Thornhill, 2009). The research study taken up mostly involves a description of employee development in multinational organizational with potential of having several cultures, which might in turn influence individual employee values and beliefs. According to Hammersley (2013), qualitative research is a research strategy that predominantly involves the use of words rather than quantification in the compilation and investigation of data. This is contrary to the other research design quantitative study, which according to Fallon (2016) involves the usage and analysis of data that can be numerically and statistically quantified. Fundamentally, qualitative design allows a study to venture into core variables driven by need to have an in depth understanding. Given that this study aims to outline ways in which organizational culture influences employee development, growth, performance, and productivity, qualitative approach is the appropriate design for the research in order to achieve the goals effectively.

3.3: Philosophical Paradigm

According to Strauss and Corbin (1994) and Yin, (2013) Research philosophy is concerned with how things are viewed in the world: an idea about how data regarding a phenomenon should be gathered, analyzed and used. The study being involved in the nature of social entities especially concerning working conditions and working environment and its general and desired impact to the employees, the research will adopt the philosophy of: interpretivism (social constructionism). This is because social phenomena have an existence, which is independent or separate from the actors within them. Employee development and values held is subject to social elements, interaction, one perspective, and shared meanings. In order to have a deeper understanding or even a glimpse into factors influence employees development in workplace, it necessitates direct association with participants to gain insights. In doing so, this exploratory study will appreciate diversity of employees take by one values, embeddedness, intellectual autonomy, egalitarianism, master, and affective autonomy as depicted by Schwartz in seeking to improve one’s or collective team’s performance.

3.4: Population of Study

Population refers to a group of people, objects or subjects or items that produce a significant impact or have relevant impact to any specific element of the research study and as such present a unique perspective on the research (Gobo, 2011).These are people with a specific attachment or approximate to the features or subjects of the study that are being researched (Morse and Richards, 2002). The research focuses on two companies: Apple and Huawei. Both companies have a large number of employees largely reflecting either American or Chinese surrounding ideals, traits, or behaviour. For this study, a sample will be selected from each organization focused on highlighting beliefs, perspectives, ideas, and traits adopted by respective firm. Therefore, the employees from both organizations will make up the respondents of the primary study and enhance the collection of information regarding the organization structures adopted by the companies.

3.5: Sampling

A researcher’s awareness as to the magnitude and extent to which ones population goes and therefore the confines from which the sample for study can be selected is a key consideration in the decision of which sampling technique to be employed (Blaikie, 2010). Sampling process will be randomised process but respondent must be employees of Huawei. This study need to identify potential respondents through coordinating with respective management informing them the objectives and goals of the study. The obtained list of employees (potential respondents) from the company will be informed and asked to participant to the study by emailing them its scope, objectives, and expectation. Given the wide population for this research, the research will adopt a purposive random sampling in identifying 100 respondents focusing particularly to the company’s head offices. This implies that respondents will be selected at random based on their ability and knowledge concerning the knowledge they have in their respective organization setup and how this imp acts employee performance in the organization.

3.6: Research Methods

This section describes the different methods that will be involved in the data collection process of the actual field study. Based on the qualitative nature of the study, data will be collected using an online survey using structured online questionnaire administration (White, and McBurney, 2012). The online questionnaire was further considered an effective method given the nature of the companies and that the employees of these institutions are already tech savvy. The questionnaire will consist of open-ended questions capturing organization culture, employee development, growth, productivity, and performance within respective environment.

3.7: Research Analysis

The researcher will adopt the use of thematic analysis in the analysis of the findings. Thematic analysis involves a widely used qualitative research method of first hand data analysis, which primarily focuses on the identification, and relation of patterns, themes and connections within the data (Braun and Clarke, 2006)

3.8: Ethical consideration

Before requesting identified respondents to fill the online questionnaire, this study will ensure respective organization management are aware and approve data collection and respective usage of acquired information in formulation of conclusion to research objectives. Moreover, every participant will be informed and made aware of the scope and usage of the data as well as assurance of privacy and confidentiality of personal data. Additionally, it will ensure the data collected and information obtained from primary and secondary sources are represented appropriately.

3.9: Limitations

As such, multinational organizational setups happen to have a huge influence on the landscape of the organizational culture and structure. In future research studied, it would be more rewarding academically to focus on more than these cultures in order to expand the understanding of organizational behaviour within the international arena.

3.9: Contingency Plan

Non-response is a very possible scenario for a research process where there are practically no respondents that agree to participate or provide information about the research subject. Whereas the research method has provided a concrete approach through which participation is increased and reinforced, it is important to come up with an alternative. In case there are no responses, this research will change into a completely systematic review.

4.0: Conclusion

The research proposal highlights an evaluation of organizational employee development with specific focus on American Company, Apple, and Chinese company, Huawei. The research into these organizations will assist in the identification of organizational culture components that are critical in the performance of the organization through employee development. Different beneficial factors will be optimally combined in analysis to enable the development of an inclusive approach that is more productive and engaged in employee development as compared to the two distinct structures adopted by the companies. Multinational Corporations especially those operating in different economies with different cultural practices can then adopt the hybrid structure to enhance further their performance.

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