Importance of Organizational Culture

Organizational culture is an essential feature of any organization that allows the creation of a unique working environment. Work culture is created with values, work ethic, and customs accepted by organizations (Champoux, 2017). Organizations achieve success not because of technical brilliance, but because they create the right culture (Morrill, 2008). For example, hospitality organizations focus on the clients’ needs and work on constant improvement of their services. If managers in these agencies create a dynamic organizational culture that is open to change and improvement through hard work, the company will be successful.

Organizational culture plays an important role in defining rules of behavior in a company. The culture provides members of an organization with a distinct vision of its position on the market and future directions (Champoux, 2017). Indeed, providing employees with a clear understanding of the company’s products, customers, and competitors helps to create a strong team that aims at the organization’s progress. Furthermore, defining responsibilities, rewards, and interpersonal relationships is crucial for maintaining a healthy environment among employees (Champoux, 2017). To prevent toxic organizational culture, companies should be open to criticism and change.

The type of organizational culture defines the environment inside companies and the performance of teams in projects. If the culture is dysfunctional due to poor interpersonal communication and the lack of shared values, a team performs poorly. On the other hand, companies are more efficacious when employees have a clear vision of their goals, and their collaboration is polite and productive. The purpose of organizational culture is to reduce uncertainty and anxiety in communication at the workplace (Champoux, 2017). Therefore, organizations should encourage benevolence in teams and discourage any unprofessional behavior.


Champoux, J. E. (2017). Organizational behavior: Integrating individuals, groups, and organizations (5th ed.). Routledge.

Morrill, C. (2008). Culture and organization theory. The Annals of the American Academy of Political and Social Science, 618(1), 15-40.

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