Good Corporate Culture
“Corporate culture is the basic specifications which are created, discovered and developed by a specific organization in dealing with their own external adaptation and internal integration issues”. (Baeney, 2006) “It is used as a guide for organization members to feel, think and understand the issues related to cultural identity, including the guiding ideology of corporate, business idea, work style, values, and codes of conduct, ethics, cultural traditions, customs, ceremonies, management systems and corporate image”. Gordon & Ditomaso, 2002) This essay will firstly state the necessity of building the good corporate culture. Following this, it will discuss the specific measures to build a good corporate culture.
Then, there will be a real cause study of Haier’s successful corporate culture. The necessity of building the good corporate culture “Build a good corporate culture will undoubtedly have a decisive significance for a good business”. Kreps, 2000) To promote the development of the corporate and culture, not only can stimulate the positivity of employees, and still can make the corporate popularity and influence, so that corporate will develop based on long-term goals. “A good business, regardless of their industry, is bound to have its own cultural atmosphere closely related to its development”. (Joris, Maryse & Marco 2005) This kind of atmosphere can be reflected in the spirit, reflected in a specific employee behavior or it also can be reflected in the management idea. All of these can build the corporate culture.
Measures should be taken to build a good corporate culture Firstly, the good corporate culture should have the business idea of people-based and people-oriented, which should consider the issue from the human point of view and the dual point of view of internal customers and external customers (Rob and Zemsky, 2002). It is a good instantiation of people-oriented. Some famous corporate which conform to the mainstream ideology considering their own culture – to cite two very simple examples, the famous Disney theme park, from the perspective of tourists thoughts, is et up specially on the playground for people counseling, because of the size of a large park.
Disney is very thoughtful for customers, which even takes into account how to help parents change their children diapers in staff training and take this as a required course for every employee (Gachter and Thoni, 2005). The idea of decision make Disney has a strong competitive advantage in the industry; this is not only a culture of customer service, but also gives their staff fully trained. Secondly, another major key point of the construction of corporate culture is the dynamic role of leadership (Cremer, 2003).
Senior management of a large group is the company’s soul, no exaggeration to say that, it is a pillar and backbone of the company. Advanced ideas and concepts directly determine the life of the company’s development. There are many examples of loss or damage which caused by high-level decision error happen in today’s society. There is no exception in the building of corporate culture. Imagine that, if a company’s executives paid little attention to culture, only the pursuit the benefits of economic alone, it will become a shriveled company and there is no spiritual realm and room for the development of companies.
Without a strong culture support, even a large company can not be in the long-term foothold in today’s competitive society. ” (Besley and Ghatak, 2005) The lack of a support of corporate culture is the short life expectancy of the Chinese private corporate. Looking ahead, small companies and corporate, as a general manager, is only emphasize on creating effectiveness for their own staffs, there are no culture, no spirit, and no prospects, rather than talking about the target. In this situation, the corporate will decline in its future development, because of the lack of long-term planning.
As the company’s executives, to promote the building of corporate culture are not only responsible for company employees, but also for the whole society. Only the pursuit of high culture and high-level leadership, it will be possible to lead your own business toward the successes road. The third aspect of corporate culture is the involvement of all employees. Such participation could be a self-spontaneous and also can be organized by the corporate themselves (Baker, Gibbons Murphy, 2002). A good culture and idea has a need for every employee to learn and to carry forward.
All employees for the active participation of the objective to promote the corporate culture, if without the involvement of employees, no matter how good, the slogan is empty, and also the goals are also just a few empty. “To harness the enthusiasm and mobilize all people to participate in the construction of corporate culture is the key step in building a corporate culture”. (Runtian & John, 2008) This is necessary to have a completely human resources planning and all employees want participate to build corporate culture, which is an important part of corporate culture.
Therefore there requires our leadership to learn more about our employees’ needs and our staff are most concerned through surveys. In fact, only control the overall and pay attention to small problem, the company will develop greater and stronger. Example of Real example of good corporate culture For example, the success of Haier’s culture construction is worth studying. There are several characteristics of Haier’s successful corporate cultures, and following will be the major characteristics:
First of all, focusing on its basic Chinese culture background, Haier is developing its global development strategy. Haier’s CEO, Zhang Reimin, took the post of CEO when Haier is in a chaos situation (Xu, 2009). And Zhang’s greatness is to build a well-known Chinese corporate in the global. “Haier’s culture”, which is to make Haier go into the world’s top 500! Today, Haier is not only a symbol of culture, but also a symbol of China. From 1984 to 1991, Zhang called this period as Haier “brand name strategy stage” (Ruimin, 2007). Haier only had a refrigerator product.
By 1991, Haier’s refrigerator production exceeded 300,000 units, the output value break 5 million (Ruimin, 2007); Haier products are only one which has no overstock and sales without price cuts during the country’s more than 100 refrigerators corporate, corporate has non-debt default (Ruimin, 2007). Haier’s trade mark appeared in the “China Ten well-known trademark” as household appliances. Since 1992, Haier began to be the “diversity stage of development” Today, Haier has 58 series products, more than 9200 kinds (Ruimin, 2007), not only have white household appliances, but also have black and beige appliances.
Among them, refrigerators, freezers, washing machines and air conditioners have the best market share in the country. Thanks to an innovative culture, Haier achieved speed development and growth. Moreover, Haier is a corporation with corporation culture focusing on learning and innovation. Haier’s corporate culture is a strong sub-culture, the direct reason is to learn and adapt to the excellent components at home and abroad and through continuous concept innovation and management innovation. “It is a typical Chinese-style management model with Chinese cultural characteristics”.
Haier’s corporate culture was the innovation values of business leaders recognized by all the staff. The core culture of Haier is innovation. It is a particular cultural system gradually formed by Haier’s two decades development process. Haier’s culture regard the concept of innovation as a guide, a strategic innovation as the direction, technology innovation as a means and market innovation as the goal. “Along with the development of Haier’s experience, from small to big, from big to strong, from the China to the world, Haier’s culture is also constant innovation and development”.
All the staffs of the active participation are the most significant cultural characteristics of Haier. Haier’s slogan “Daily gingerly, daily walking on thin ice, daily excellence, and continuous improvement every day” is not empties words, but a belief and spiritual of Haier’s. Conclusion To sum up, the implementation and enterprise culture construction is connected, only by emphasize on the spirit of people-oriented, attaching much importance on the role of leadership, let every employee participates in the company, then the good corporate culture can be built up.
Besides these three important factors, there are other aspects needed to emphasize to build a good company culture. It is necessary to follow the problems caused by development and implementation of enterprise culture and ensure the successful completion of the task of building corporate culture. To promotion the corporate culture should be simple, easy to remember and inspiring language to express it. As for changes of environment, it is necessary to adjust and rebuild the corporate culture.
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