Organizational Culture

Analysis of Organizational Culture

Briefly describe the organization you have selected.

The organization I have selected is Mabati Rolling Mills (MRM), a large, well-established manufacturer and supplier of steel building materials with significant operations and a widespread distribution network across East Africa, including my local area in Kisumu.

Identify one or two examples from this organization for each of the three levels of culture described by Lochner (2020, March 5): what we see, what we say, and what we believe.

Lochner (2020) effectively segments organizational culture into three levels: artifacts (what we see), espoused values (what we say), and basic underlying assumptions (what we believe).

1. What We See (Artifacts): These are the tangible, visible elements of the culture.

   • Example 1: Open-plan offices and collaborative spaces: MRM has largely transitioned from traditional cubicles to open-plan office layouts with designated breakout areas, huddle rooms, and even large communal dining areas.
   • Example 2: Prominent safety signage and equipment: Throughout the manufacturing plants and warehouses, there are numerous, highly visible safety posters, marked walkways, mandatory personal protective equipment (PPE) requirements (helmets, safety boots, gloves), and clear emergency exits.
   • Analysis: The open-plan offices are designed to encourage collaboration and communication across departments, reflecting an intent for transparency and teamwork. The ubiquitous safety signage and strict PPE adherence demonstrate a strong emphasis on workplace safety as a top priority.

2. What We Say (Espoused Values): These are the stated values, philosophies, and norms that the organization explicitly communicates.

   • Example 1: "Safety First" slogan and official policies: "Safety First" is a common mantra recited in meetings, displayed on posters, and embedded in formal policies and training modules. The company explicitly states its commitment to zero harm.
   • Example 2: Emphasis on "Customer-Centricity" in mission statements and presentations: Internal communications and strategic planning sessions frequently highlight the importance of "customer satisfaction" and being the "customer's preferred partner."
   • Analysis: These espoused values articulate the desired behavior and focus areas. "Safety First" communicates that production targets should not come at the expense of employee well-being. "Customer-centricity" aims to align employee actions towards meeting customer needs and expectations, theoretically driving market success.

3. What We Believe (Basic Underlying Assumptions): These are the unconscious, taken-for-granted beliefs, perceptions, thoughts, and feelings that are the ultimate source of values and actions. They are often unstated but deeply held.

   • Example 1: Belief in paternalistic employee welfare, but limited empowerment: While MRM invests significantly in employee welfare (e.g., staff housing, transport, medical facilities), there's an underlying assumption among some middle managers that employees primarily need direction and provision, rather than radical empowerment or extensive autonomy in decision-making beyond their immediate tasks.
   • Example 2: "Loyalty is rewarded over disruptive innovation": While innovation is spoken about, the deeply held belief (evidenced by promotion patterns and reaction to mistakes) is that consistent, reliable performance within established processes and long-term loyalty are more highly valued and less risky than disruptive, outside-the-box initiatives that might fail. This can lead to a culture of risk-aversion.
   • Analysis: These underlying assumptions reveal the true drivers of behavior. The paternalistic belief, despite good intentions, can inadvertently limit employee initiative and ownership. The preference for loyalty over disruptive innovation, while ensuring stability, might hinder agility and adaptation to rapid market changes, potentially impacting long-term competitive advantage.

Next, indicate whether the organization’s internal and external cultures match.

MRM's internal and external cultures partially match, but with some significant discrepancies.

Externally, MRM projects an image of being a modern, reliable, and customer-focused industry leader, emphasizing safety, quality, and strong community engagement (e.g., CSR initiatives). This aligns with its espoused values of "Customer-Centricity" and "Safety First." The tangible artifacts like state-of-the-art facilities also support this image.

Internally, however, there's a mismatch with some of the underlying assumptions. While "Safety First" is a strong internal belief (manifesting in strict adherence and investment), the espoused value of "innovation" or "empowerment" sometimes clashes with the underlying belief that "loyalty is rewarded over disruptive innovation" or the paternalistic management approach. This can mean that while the company wants employees to be innovative and take ownership, the deep-seated fear of failure or the expectation of top-down direction can subtly inhibit it. This internal discrepancy can lead to frustration among employees who perceive a gap between what the company says it values and how decisions are truly made or who gets rewarded. This potentially impacts agility and responsiveness to external market shifts despite the external projection of being a modern leader.

Reference: Lochner, B. (2020, March 5). Organizational culture, explained. [Video]. LinkedIn Learning. (Accessed through the course learning resources; specific URL/platform details may vary based on institutional access).