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Organisational culture - Coggle Diagram
Organisational culture
Strategic drift
Johnson (2017) argues that much of emergent strategy is based upon incremental change which develops from cultural influences within an organisation
There is often a time gap between the development of the strategy and the changes within the environment. He refers to this as strategic drift and he recongises four distinct phases in the drift process
Incremental Strategic Change: the small changes that occur during long periods of relative stability where the external environment is changing slowly and organisational strategy is able to adapt gradually without the need for more radical change
Strategic Drift: occurs where micro and macro environmental changes restrict the ability of an organisation to amend its strategy. In this situation the organisation will continue on an incremental change path with an increasing gap between the planned strategic path and the surrounding environment
Flux: is caused by the gaps that have developed during the strategic drift stage and can often cause significant periods of disagreement and complexirty within an organisatio. Different factions will be trying to find alternative methods to either change strategy or implement a radical environmental adaption
Transformation or death: is the result that naturally emanates from the stage of flux. Either there is an agreed resolution to realign the strategy with its external environment or alternatively the strategy ceases to exist. In a worst case scenario this might lead to the demise of the entire organisation
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Understanding culture
The values and beliefs of each individual manager and employee within an organisation will influence the strategic decision making within that organisation
Each of us, as individuals exist within a range of different cultural influences
To understand the cultural conflict and cultural alignment that exists within an organisation, it is important to consider the different frames of refrence for those cultures where they originate and their differing impacts
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Subcultures
In anything other than a single person organisation there will be an interplay of the main cultural drivers with a range of differing subcultures
These might be based around the behaviour and expectations of different individuals but will often be the result of different factions within the organisation and the creation of a diversity of aligned and conflicting fields
They might be based around different local, national and regional cultures within a larger multi-national organisation but equally might be based around different internal departments and operational functions within the same office