Organizational Culture & Scheins Theory - The Need for Inevitable Change - Essay Example

A thorough analysis of the literature available on the subject matter and the market intelligence indicated that the workforce of GM is driven by its ideology and culture while GM’s culture itself is flawed; it resists change and shuns adaptation. This is the reason why measures taken by management and employees are often too late or inadequate. For example, in 2006, Jerry York, a GM board member had urged the automaker to unload Saab and Hummer but the idea met resistance and ended in ultimate losses (Krolicki, 2009). Now, one of these concerns is near bankruptcy whereas the other one is supervised by the court.

Out of resistance, the current culture of GM is less tolerant of differences, portrays less appetite for risk-taking and exploiting the opportunities in hand, and appears to be narrow-minded to the social concerns that are emerging every day and endangering its stability and existence in the future e.g. increasing labor cost with an excessive payload of surplus labor, and also the lack of attention paid to environmental issues. Due credit must be given to our predecessors but with the changes in absolutely every segment of our lives, GM must prepare itself first for the present and then for the future by first letting go of its same bureaucratic culture which is a souvenir from baby bombers. GM is trying hard to compete with the companies that value the importance of cultural diversity, innovation, and technology along with appropriate leadership. It has acted as a shelter for many managers who were afraid of getting out of their comfort zone and facing the current challenges (Krisher, 2012). Instead, our culture has provoked them to use the chain of command principle, as an excuse for lack of performance and innovation. Considering the last near-bankruptcy experience, GM culture has to change.

In light of past experiences, I would recommend that GM needs to evaluate the need for change and incorporate all necessary amendments not only in its operations and processes but in the overall organizational culture with a special emphasis on our most valued assets, our human resources. According to Schein (in Nellen, 1997), Organizational culture is defined by the artifacts (reflected through oral and written communication), espoused values (which will be demonstrated by the management and then will be adopted by the workforce), and the integration process of these values into overall organizational climate. Schien (1988) further emphasizes the importance of an organization’s adaptation to the environment’s requirements since they are dynamic entities always interacting with environmental forces.

GM needs to transform itself into a learning organization showing transformation and adaptation to the market requirements of the 21st century instead of an entity bearing a fixed culture (O’Keeffe, 2002). Here, the human resource department must influence the management to give necessary autonomy to the departmental heads to take risks along with increased accountability. Policies and procedures must ensure that the legacy of change passes on i.e. the departmental heads design teams comprising of potential talent by bridging cultural boundaries, defining goals and strategies to achieve them along with encouraging participation and involvement (Hatch, 1993). People will do what will be taught to them by their leaders. And if a change needs to be incorporated into GM’s culture, it has to begin with the actions and words of its leaders (Schein, 1985).

Factors like power distribution, rewards, and punishments also form a major part of organizational culture and increase the level of accountability (Kleinbaum, 2009). Also, the reward structure must demonstrate appreciation for passion and commitment instead of viewing it as a threat to the organization’s stability. This check and balance mechanism must reflect uniformity and fairness instead of bureaucracy. To gain the support and confidence of the workforce, it is of immense significance t that the integrity of this new model is made known to them. Our mission statement, philosophy, and even workplace and marketing material such as flyers, brochures, etc. need to portray that GM is changing; it's learning and evolving.

As an employee of General Motors, I feel necessary to add that we all are responsible for GM’s current condition and, therefore we all are under obligation to get it back on track. GM has always been gigantic but this has pushed us back. It is now time to take action and make this glorious organization the best place to work with the hope that innovation will come through. In light of these recommendations, I would request you to share an appropriate policy structure that would reflect innovation and value for passion and contribution. Read More