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An empirical investigation of not-for-profit organizations: Impact of Organizational Culture on Organizational Effectiveness
, Apurva Sanaria
Published in

The relationship between organizational culture and organizational effectiveness has been investigated extensively in the past decade. Most of the studies have been in a business organization context and consider both culture and effectiveness as global variables. This study attempts to examine the culture-effectiveness relationship in the context of non-business organizations. The purpose of this study has been to explore directions for future research, rather than to find conclusive evidence. Thus, the focus was to find directions from a relatively small sample of two organizations, rather than provide conclusive evidence from a large sample. Accordingly employees from two not-for-profit organizations were interviewed to gauge the impact of organizational culture on organizational effectiveness. Organizational culture was dimensionalized into the six dimensions of workplace autonomy, adaptability within the organization, discipline at the workplace, economy in approach, perceptions of fairness and prospects for individual growth. After discussion with the key personnel of the organizations, effectiveness was defined in terms of achievement of stated goals. Accordingly, the dimensions of organizational effectiveness were taken as, increase in legal awareness, empowerment of beneficiaries and internal effectiveness or cost control. Workplace autonomy, perceptions of fairness and individual growth were found to have a significant impact on increasing legal awareness and empowering the beneficiaries, which are parameters of external effectiveness. Adaptability within the organization was expected to have a significant positive impact on the effectiveness dimension of empowerment of beneficiaries. However, this was found to be only moderately supported. Economy in approach and discipline at the workplace were found to have a strong correlation with internal effectiveness. More positive organizational culture, thus, was found to have a significant impact on organizational effectiveness.

About the journal
JournalAsia Academy of Management Conference
Open AccessNo