Students of leadership and management are often stumped when the conversation turns to organizational culture. That’s because the concept is not clearly defined, varying from professional to professional, from organization to organization, and from industry to industry. Show
Nonetheless, author Michael D. Watkins says there’s little doubt that organizational culture exists, and “it plays a crucial role in shaping behavior in organizations.” His interviews with business leaders turned up many definitions, including:
Organizational culture has been defined as comprising the values and behaviors of a company’s employees. These factors can include:
Such characteristics play an important role in determining whether project objectives are achieved, the PMBOK Guide notes. How employees view their role in a project – and their function in the company as a whole – can be considered a foundational aspect of organizational culture. In turn, a company’s structure and projects can be shaped by organizational culture. Projects that are seen as aligning with organizational culture may have smoother implementation and higher success rates compared to projects that conflict with those cultural norms. The best way to get a grasp on organizational culture is to identify the elements that go into a successful one. The Harvard Business Review identifies six components:
Authors Kim Cameron and Robert Quinn have identified four types of organizational cultures in their groundbreaking book, Diagnosing and Changing Organizational Culture, Based on the Competing Values Framework. The Importance of CultureFastCompany emphasizes that “culture is what drives an organization forward,” and those organizations with performance-oriented cultures see greater growth, involvement, communication and willingness to try new things. Deloitte’s 2020 Global Human Capital Trends survey reveals that individuals perform at their highest when they’re connected to their company culture through a sense of purpose and belonging, with 79% of survey respondents saying that fostering a sense of belonging in the workforce was important to their organization’s success in the next 12–18 months, and 93% agreeing that a sense of belonging drives organizational performance. Culture is important because it:
Changing the CultureCultural change needs to start at the top of the organization with leaders, such as a chief people officer, setting expectations and displaying the behaviors they expect from managers and workers. From that point, organizations can do the following:
Why is organizational culture important in project management?Organizational culture shapes how people work together in pursuit of common goals. A culture that supports and actively works to improve project management processes will likely experience growth and success. If you need to change attitudes towards projects, focus on behaviors and actions that can be easily measured.
Why do project managers have to be aware of organizational culture to help guide a project to success?Why do project managers have to be aware of organizational culture to help guide a project to success? To be able to interact with external stakeholders and to be able to interact with diverse departments.
What are three ways that organizational culture impacts project management?5 Ways Your Company Culture Affects Project Management. Incentivize employees to increase productivity. ... . Ensure accountability and boost collaboration. ... . Bringing diversity to the team and the project. ... . Define leadership roles and strengthen organization. ... . Carrying the project with shared values and passions. ... . Final thoughts.. What is project culture in project management?A project culture represents the shared norms, beliefs, values, and assumptions of the project team. Understanding the unique aspects of a project culture and developing an appropriate culture to match the complexity profile of the project are important project management abilities.
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