The Morgan Motor Company - Essay Example

Culture and organisation- A case of the Morgan Motor Company Word count: 3,019 words Introduction: Morgan Motor Company background and environment Morgan Motor Company has been making exciting sports cars for more than 100 years through the unique blend of quality materials, craftsmanship, charisma, and performance (Miroshnik, 2013). The company utilises the current motor technologies and follows a strategy formulated by HFS Morgan and Peter Morgan that remains product focused. Morgan Motor Company history stems from the Morgan Three Wheeler in 1909 at a small garage in Malvern Hills. The basic principle of using powerful engine to lightweight chassis is a paramount manufacturing principle that has guided the company through the years (Stanford, 2013). Some of the excellent models that attained high sales volumes include V8 Morgan and Plus 8 models dues to their traditional craftsmanship and ability to win numerous sporting races. The company culture is appreciates innovation since Aero model ultimately evolved to a high-end luxury Aero SuperSports Morgan in order to meet the changing consumer needs of more fashionable and stylish cars. The political environment is characterised by stable governments while the economic environment is characterised by high growth in consumer incomes and increase in consumer spending (Stanford, 2013). The social environment has favorable attitudes towards luxurious cars while the technological environment is characterised by stylish automobile designs (Avolio & Gardner, 2005, p 320). However, there is stiff competition in the automobile industry and increase in the costs of raw materials. The company aspires to remain flexible and small while remaining faithful to the philosophy and original HFS’s concept of lightweight construction. Purpose of the report The aim of the paper is to illustrate the culture of Morgan Motor Company in the human resource department using Schein model of culture and determine how the organisation has maintained to remain consistent in its culture. The paper will also examine the application of Schein organisational culture model at Morgan Motor Company. The paper will examine the cultural artifacts and observable behaviours and determine their consistent with the current espoused values and assumptions. Organisational culture The country culture refers to the complex knowledge, art, beliefs, moral laws, customs and habits that define the interactions in the society. Accordingly, the country culture influences the business culture and includes the collective programming the distinguish the member of one human group from another (Hofstede, 2001). In this case, British culture can be identified by the greetings, dress code, customer tastes and preferences and how the people conduct their affairs which is distinct from members of other cultures. Some of the determinants of the culture include language, social institutions, education, technology, customs, aesthetics, religion, values and attitudes of the people in the society. Schein (1992) defined culture as the organisational shared beliefs and assumptions (Schein, 2006). Rossi and O’Higgins (1980) defined culture as the shared system of knowledge and beliefs while Ogbonna & Lloyd (2002) outlined culture as the collective sum of beliefs, meanings, values and assumptions that are shared by a particular social group that shapes how the members respond to each other and their external environment. Schein (1992) offers a more conclusive definition by asserting that culture is evidenced by a pattern of shared basic assumptions learned by a group as it solved its problems of external adaptation and internal integration that has worked well to be considered valid in solving such problems. I have selected Schein model since it offers a process based definition of culture that starts with the artifacts, values and finally the assumptions. Schein cultural framework Edgar Schein model of organisational culture identifies three distinct levels of organisational culture that include the artifacts and typical behaviours, espoused values and assumptions (Singh, 2010). The three are based on the degree to which cultural aspects can be observed in the organisation. The artifacts entail the tangible or verbally identifiable elements in an organisation and will include the office furniture, logos, slogans and dress code (Schein,. 2006). The espoused values and beliefs are the rules of behaviour that are expressed in public statements and include the goals, philosophies and strategic objectives of the company. The espoused values will determine the expected rewards and punishments, working relationships, group boundaries and identity, the authority and use of power within the organisation (Miller, 2012). The last level of organisational culture that is evident at Morgan Motor Company according to Schein model is the underlying assumptions that cannot be measured, but make a different in employee interactions in the company. The underlying assumptions stay hidden and include beliefs on the truth, space, time and appropriate human activity. (Schein organisational culture model: Source, http://www.sidewaysthoughts.com/blog/2010/11/organisational-culture-defined-courtesy-of-edgar-schein/). Analysis of culture at Morgan Motor Company human resource department Artifacts and observable behaviours The artifacts are the visible manifestations of the social and physical environment of Morgan Motor Company and include the systems, symbols and plaques. The artifacts also include the norms, rules and procedures that are followed by employees in the department including the stories and media releases (Miroshnik, 2013). Schein model considers symbols as artifacts that have deep symbolic significance and some of the organisational symbols that are available at Morgan Motor Company that offer cultural meaning include visual images, metaphors, slogans and corporate logo (Singh, 2010). The three-wheeler metaphor is a classic symbol that has defined the innovative culture and stylish nature of the design teams and guides the employees in future car model development (Miller, 2012). Accordingly, the human resource department often shares stories about the founders of the company and their aspirations of ensuring high growth while maintaining the unique design of the car models (Cummings and Worley, 2013). In addition, this level of corporate culture will contain the observable behaviours such as dress code, walking style and jargons. The human resource department values employee feedback and has installed suggestions boxes in the workplace so that employees can communicate their feelings and grievances. Accordingly, the human resource department at Morgan Motor Company is committed to enhancing innovation and creativity and rewards employees for new ideas in their work. The human resource department encourages casual dress code due to the relaxed nature of the organisational climate and employees are free to use technical jargon on certain features of the luxurious car model (Harrison and Stokes, 1992). The stylish furniture and accessories exemplify the luxurious car model designs and colors in the department signify the unique traditions of maintaining classic car design that attracts individuals seeking high lifestyle. The department has a high level of cleanliness thus symbolising the quality expectations and high performance standards that are followed within the department (Herzog, 2011). The superior modern technology that offers high performance and luxurious car models is another observable element of the culture since the employees are capable of seeing how the car model design has been evolving for the last 100 hundred years. Another artifact that is evident in the organisation is the symbols of the original manufactured models of Morgan cars and posters that define the rich history and consistent manufacturing philosophy. For instance, the posters of Aero Racing are geared at demonstrating the capabilities and commitment of the company towards ensuring higher quality and efficient design processes that ensure customers participate in various forms of motorsport due to the high performance of the cars. Accordingly, the culture of Morgan motor Company is evidenced by ceremonies and event that are held to commemorate different engineering breakthroughs and milestones. Some common events include the holiday parties, regular staff meetings, service quality acknowledgements, end of the year parties and employee performance recognition ceremonies (Sims, 2002). The ceremonies remind the employees of the rich organisational history and offer an opportunity of reinforcing the existing values and assumptions of the company such as the need to ensure high quality car design, the expectations of creativity and innovativeness and teamwork in the organisation (Cummings and Worley, 2013). Espoused values The espoused values of Morgan Motor Company include charisma, high performance and quality in craftsmanship. The values of the company determine the leadership expectations and employee interactions. Morgan Motor Company has certain espoused values that form part of the organisational culture and include the need to ensure high quality and high performance, the excellent customer service and after-sales services and loyalty to the company. The espoused values will determine the basic assumptions and beliefs that individuals in the company have on the level of supportiveness and trustworthiness in the organisation (Cummings and Worley, 2013). The human resource department has created a culture of high productivity, close working relationships, efficient communication, creativity and teamwork. The human resource department has designed jobs with the view of ensuring collaboration and effective leadership that embraces transformational and inspiration ideas of the team leaders (Cummings and Worley, 2013). In addition, the espoused values determine internal integration and are evidenced by the proper use of information, position and charismatic power in ensuring employees remain committed to the strategic objectives of the company. The values encourage informal relations and dissemination of responsibility and accountability to the subordinates who are responsible of controlling the pace of their work and attaining the desired results. From the analysis, employee loyalty, trust and interpersonal skills are some values that are evident during the human resource management functions such as recruitment, training and performance evaluation. There is a cultural value of risk taking, creativity, and innovation as evidenced by the high level of creative ideas encouraged by the HRM department as evidenced by numerous experiments before development of new models (Pfister, 2009). In this case, the culture values individual contribution and initiatives since subordinates are encouraged to implement solutions to problems in their work areas. Another value that is common in all manufacturing and human resource department of the company is the consistent innovation as evidenced by the Morgan three-wheeler that is intended to portray values of appreciation of modern technology and classic design that is aligned with the changing British culture (Sims, 2002). In this case, fitting the modern V-twin engine and Mazda 5-speed gearbox provides is aimed at ensuring simplicity and reliability while aerodynamic hull portrays the values of the need to safeguard the safety of the passengers. The human resource department hires technicians who are capable of ensuring the products bring the joy and freedom associated with driving cars in early 1920s (Cummings and Worley, 2013). Underlying assumptions According to Schein model of corporate culture, the underlying assumptions are not cognitively identified in the daily interactions and are formed over a long period. Some underlying assumptions include the assumptions about truth, time, space, human nature, the nature of human relationship, and appropriate human activity (Miroshnik, 2013). The HRM department has been capable of entrenching deeper cultural assumptions on the need to observe time and improve productivity of the employees within limited time. In this case, observation of strict deadlines at work and completion of team projects is evident since employees perceive it as rewarding and expected for career growth in the company. In terms of human nature, the underlying assumption is that human beings have the brains and capabilities to innovate and produce high quality and exciting products for the shifting consumer tastes and preferences in the motoring industry (Herzog, 2011). The employees assume that customers prefer class, self-esteem and high social status in their car purchasing habits and this is why the human resource department has implemented numerous training programs so that technicians can improve on the luxurious elements of the car models. The underlying assumptions on the nature of human interactions are evident in the human resource department since all employees are capable of respecting and valuing their peers and ensuring collaboration in teamwork (Mohan, 1993). In addition, there is an assumption that diversity promotes creativity and innovativeness and the department encourages diversity in its human resource policies especially in composition of the research and development teams. From the analysis, there is an underlying assumption that friendship and close working relationships will eliminate conflicts and lead to faster decision-making in the organisation (Herzog, 2011). The underlying assumptions on space are that design of space reflects social status and that is why technical teams design superior and stylish models. In addition, the use of body language carries meaning and thus employees constantly waive at each other and firmly shake their hands as an assumption of agreement or appreciation (Mohan, 1993). The underlying assumptions have a future time orientation since the department encourages labour planning and forecasting of future skills needs. The orientation stresses on the ideas and vision while the planning is long-term oriented and time-bound in order to facilitate performance measurement. The social distance is low and this facilitates good working relationships and the HRM managers consider the maslow’s hierarchy of needs very critical in determining the human nature. The department appreciates the unique needs of each employees and ability of humans to learn new things and offers opportunities for both professional and personal fulfillment (Mohan, 1993). Morgan Motor Company car design and manufacturing process and human resources have an underlying assumption that it is the duty of citizens to protect and safeguard the ecological environment from pollution. In this case, the company managed to develop the remarkable LIFE cars in 2008 in partnership with QinetiQ thus allowing the car to use electrical power from the capacitors. The model saves 50 percent kinetic energy during braking and uses lightweight aluminum and wooden frame thus reducing the wastage of raw materials and natural resources like aluminum. Assumptions about external adaptation issues Organisational cultural assumptions about external adaptation focuses on the mission, goals, strategy, means of attaining the goals, measuring results and taking corrective action (Alvesson and Sveningsson, 2007). The formation of groups and development of organisational culture is evident at the artifact level and mission and strategy of the organisation determines how the new members will develop the shared values in order to adapt to the external environment. The newly recruited employees at Morgan Motor Company are oriented on the mission and strategic objectives of the company. The corporate culture in the HRM department has been capable of adapting to the changing external environment such as economic changes, shifts in consumer buying behaviour, technological changes and environmental changes. The external adaptation permits survival of the culture while the internal integration permits the proper functioning of the company (Mohan, 1993). The basic assumption is that people who are consistently treated in a certain manner will adapt the basic assumptions in order to make the external environment more understable. The culture of Morgan Motor Company appreciates the mission and strategy of the company that has made it the last remaining family owned car company and independent British motor manufacture. The culture is aligned with the business strategy of using the latest cutting edge technologies and ensuring sustainable manufacture through considering the impact of the operations on the ecological environment (Alvesson and Sveningsson, 2007).. Accordingly, adaptation to the external environment entails considering the assumptions on the goals of the company. The company underlying assumptions are that time is of essence and goals have an end unlike the mission that is timeless. In this case, the human resource management practices encourage less abseentism, high productivity within the working hours and work-life balance in order to attain the pre-planned goals. The values and underlying assumptions must also be adapted with the means of attaining the goals in order to ensure survival (Miroshnik, 2013). For instance, Morgan Motor aims at attaining its goals through competing with innovative technology, ensuring supportive organisational structure, teamwork and incentive systems that ensure high employee retention. The human resource department uses performance management and reward systems that encourage higher productivity, low workflow interruptions and commitment to the goals through excellent training and development opportunities (Mohan, 1993). Division of labour is a key component of the culture since employees are assigned interrelated tasks according to their unique skills and attitudes. The HRM policies and procedures ensure enough control of behaviour and promote the desired attitudes that are essential for proper functioning of the company. There are punishments for unacceptable behaviours such as bullying and other unethical activities that may hinder cooperation and collaboration among staff in the company (Miroshnik, 2013). The culture has created feelings of individual and group achievement due to recognition of individuals for superior work in project teams and individualised performance management systems that consider skills and attainment of job expectations. Furthermore, adaption and survival of the culture has been strengthened by the measurement of results and corrective action that is undertaken to affect change in the external environment. For instance, the cultural values embrace technological innovations, shifts in consumer car purchasing patterns and need for environmental stewardship (Miroshnik, 2013). Assumptions about internal integration The assumptions about internal integration focuses on the internal relationships such as common language, rewards and punishments, ideology, relationships, group boundaries and authority within the organisation (DuBrin, 2012). The cultural values embrace common language, use of gestures and metaphors that are associated with underlying assumptions in the company. In addition, the group boundaries are few since human resource management policies encourage job enlargement and merit-based promotions thus eliminating position identities in the company (DuBrin, 2012). The values are inclusive and individuals may work in different departments at the same time according to their job specifications. Morgan Motor Company has evenly distributed power and authority throughout the organisational hierarchy in order to ensure proper leadership and management practices that enhance higher performance and innovation. The rewards encourage high retention, close working relationships while punishments are designed to prevent undesirable behaviors (DuBrin, 2012). The internal integration has an ideology that fosters the founding leader’s stories and myths about stylish and luxurious cars. In addition, the workplace encourages religious diversity. Conclusion Schein corporate culture model contains the artifacts, espoused values and underlying assumptions that guide adaptation to external environment and internal integration. Morgan Motor Company must continue with its unique cultural values and underlying assumptions and retain the royal heritage of car designs that offer real classic feel to the customers. The HRM department embraces the values of loyalty, innovation, high performance, informal communication and teamwork. The company must aim at expanding market share through adapting the culture to external environment and ensuring internal integration in the production and human resource processes. Bibliography: Alvesson, M and Sveningsson, S. 2007. Changing organizational culture: cultural change work in progress. New York: Routledge. Avolio, B & Gardner, W. (2005). ‘Authentic leadership development: getting to the roots of positive forms of leadership”, The leadership quarterly, 16, pp 315-337. Cummings, T and Worley, C. 2013. Organization development and change. New York: Cengage Learning. DuBrin, A.J. 2012. Essentials of management. Mason: Thomson Learning. Frost, P.J. 1991. Reframing organizational culture. London: Sage Publications. Harrison, R and Stokes, H. 1992. Diagnosing organisational culture. London: Pfeiffer & Co. Herzog, P. 2011. 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