Theoretical Article
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The Role of Organisational Culture Traits on Corporate Image in Service Industry

Year 2021, Volume: 2 Issue: 2, 139 - 152, 29.12.2021
https://doi.org/10.54733/smar.1036305

Abstract

Organisational culture is a key aspect of functioning that impacts the company performance and effectiveness. It is formed by the shared values, beliefs, assumptions, attitudes, and behaviour of the employees that help the organisation to have a competitive advantage in the market. Scholar predominantly researches organisational culture from the managerial perspective that aims to understand the relation between the performance of the organisations including ROA, ROI, sales growth, and market share. However, organisational culture shapes the external perception of the organisation. Mainly, a shared organisational culture is reflected on the customers by frontline employees in service sector organisation. This makes organisational culture is a key factor that shapes the customers' perception affecting customer satisfaction and loyalty. Therefore, this research aims to conceptualize the organisational culture and its traits and explore their effect on the corporate image in the service sector context where human interaction is important. This study aims to extend the literature on organisational culture and corporate image with a new conceptual model. However, the limitation of the study is the lack of empirical research in testing the proposed relationships. Future studies may provide contribution to extend the current study with empirical data and model validation.

References

  • Abratt, R., & Mofokeng, T. N. (2001). Development and management of corporate image in South Africa. European Journal of Marketing, 35 (3/4), 368-386.
  • Adamson, I., Chan, K. M., & Handford, D. (2003). Relationship marketing: customer commitment and trust as a strategy for the smaller Hong Kong corporate banking sector. International journal of bank marketing.
  • Alam, I. I. (2011). Exploring cross‐national differences in service innovation process and strategy in developing and developed nations. Journal of Service Management.
  • Balmer, J. M., & Greyser, S. A. (2006). Corporate marketing: Integrating corporate identity, corporate branding, corporate communications, corporate image and corporate reputation. European journal of marketing, 40(7/8), 730-741. Brennan, D. R., Turnbull, P. W., & Wilson, D. T. (2003). Dyadic adaptation in business‐to‐business markets. European Journal of Marketing, 37 (11/12), 1636-1665.
  • Chelladurai, P. (2014). Managing Organizations: For Sport and Physical Activity a Systems
  • Chen, Y. R. R., Hung-Baesecke, C. J. F., Bowen, S. A., Zerfass, A., Stacks, D. W., & Boyd, B. (2020). The role of leadership in shared value creation from the public’s perspective: A multi-continental study. Public Relations Review, 46(1), 101749.
  • Davies, G., & Chun, R. (2002). Gaps between the internal and external perceptions of the corporate brand. Corporate reputation review, 5(2), 144-158.
  • Davies, G., & Miles, L. (1998). Reputation management: theory versus practice. Corporate reputation review, 2(1), 16-27.
  • De Chernatony, L. (1999). Brand management through narrowing the gap between brand identity and brand reputation. Journal of marketing management, 15(1-3), 157-179.
  • Deloitte, (2018). The services powerhouse: Increasingly vital to world economic growth, viewed 04 July 2020, https://www2.deloitte.com/us/en/insights/economy/issues-by-the-numbers/trade-in-services-economy-growth.html
  • Denison, D. R. (1990). Corporate culture and organizational effectiveness. John Wiley & Sons.
  • Denison, D. R. (2000). Organizational culture: Can it be a key lever for driving organizational change. The international handbook of organizational culture and climate, 18(4), 347-72.
  • Denison, D. R., & Mishra, A. K. (1995). Toward a theory of organizational culture and effectiveness. Organization science, 6(2), 204-223.
  • Denison, D., & Neale, W. (2000). Denison Organizational Culture Survey Denison Consulting. Ann Arbor, MI.
  • Denison, D., Lief, C., & Ward, J. L. (2004). Culture in family-owned enterprises: Recognizing and leveraging unique strengths. Family Business Review, 17(1), 61-70.
  • Famiyeh, S., Asante-Darko, D., & Kwarteng, A. (2018). Service quality, customer satisfaction, and loyalty in the banking sector: The moderating role of organizational culture. International Journal of Quality & Reliability Management, 35(8), 1546-1567.
  • Fey, C. F., & Denison, D. R. (2003). Organizational culture and effectiveness: Can American theory be applied in Russia?. Organization science, 14(6), 686-706.
  • Gillespie, M. A., Denison, D. R., Haaland, S., Smerek, R., & Neale, W. S. (2008). Linking organizational culture and customer satisfaction: Results from two companies in different industries. European Journal of work and organizational psychology, 17(1), 112-132.
  • Gioia, D. A., Schultz, M., & Corley, K. G. (2000). Organizational identity, image, and adaptive instability. Academy of management Review, 25(1), 63-81.
  • Grönroos, C., & Helle, P. (2012). Return on relationships: conceptual understanding and measurement of mutual gains from relational business engagements. Journal of Business & Industrial Marketing, 27(5), 344-359.
  • Hatch, M. J., & Schultz, M. (2001). Are the strategic stars aligned for your corporate brand. Harvard business review, 79(2), 128-134.
  • Krasnikov, A., Jayachandran, S., & Kumar, V. (2009). The impact of customer relationship management implementation on cost and profit efficiencies: evidence from the US commercial banking industry. Journal of marketing, 73(6), 61-76.
  • Kushwaha, G. S., & Agrawal, S. R. (2015). An Indian customer surrounding 7P׳ s of service marketing. Journal of Retailing and consumer services, 22, 85-95.
  • Lawrence, P. R., & Lorsch, J. W. (1967). Differentiation and integration in complex organizations. Administrative science quarterly, 1-47.
  • MacIntosh, E., & Doherty, A. (2007). Extending the scope of organisational culture: The external perception of an internal phenomenon. Sport management review, 10(1), 45-64.
  • Nguyen, N., & Leblanc, G. (2002). Contact personnel, physical environment and the perceived corporate image of intangible services by new clients. International Journal of Service Industry Management, 13(3), 242-262.
  • Olughor, R. J. (2014). The influence of organizational culture on firms’ effectiveness. Journal of Business and Management, 16(6), 67-70.
  • Parasuraman, A. (1987). Customer‐oriented corporate cultures are crucial to services marketing success. Journal of Services Marketing, 1(1), 39-46.
  • Poku, K., Owusu-Ansah, W., & Zakari, M. (2013). Organizational culture and organisational performance: Empirical evidence from the banking industry in Ghana.
  • Schein, E. H. (1995). The role of the founder in creating organizational culture. Family business review, 8(3), 221-238.
  • Shamah, R. A. (2013). A model for applying lean thinking to value creation. International Journal of Lean Six Sigma, 4(2), 204-224.
  • Shiu, Y. M., & Yu, T. W. (2010). Internal marketing, organisational culture, job satisfaction, and organisational performance in non-life insurance. The Service Industries Journal, 30(6), 793-809.
  • Sørensen, J. B. (2002). The strength of corporate culture and the reliability of firm performance. Administrative science quarterly, 47(1), 70-91.
  • Tran, M. A., Nguyen, B., Melewar, T. C., & Bodoh, J. (2015). Exploring the corporate image formation process. Qualitative Market Research: An International Journal, 18(1), 86-114.
  • Wilkins, A. L., & Ouchi, W. G. (1983). Efficient cultures: Exploring the relationship between culture and organizational performance. Administrative science quarterly, 468-481.
  • Wilson, A. M. (2001). Understanding organisational culture and the implications for corporate marketing. European Journal of Marketing, 35(3/4), 353-367.
  • Wirtz, J. & Lovelock, C. (2018). Essentials of Service marketing. Pearson Education England.
  • Yilmaz, C., & Ergun, E. (2008). Organizational culture and firm effectiveness: An examination of relative effects of culture traits and the balanced culture hypothesis in an emerging economy. Journal of world business, 43(3), 290-306.

Hizmet Sektöründe Örgüt Kültürü Boyutlarının Kurumsal İmaj Üzerindeki Rolü

Year 2021, Volume: 2 Issue: 2, 139 - 152, 29.12.2021
https://doi.org/10.54733/smar.1036305

Abstract

Örgüt kültürü, işletme performansını ve etkinliğini etkileyen işleyişin kilit unsurudur. Örgüt kültürü, işletmenin pazarda rekabet edebilmesine yardımcı olan, ortak değerler, inançlar, varsayımlar, tutmlar ve çalışan davranışlarından oluşur. Yönetimsel bir perspektif ile araştırmacılar ağırlıklı olarak örgüt kültürünün, aktif karlılık, yatırım getirisi, satış, büyüme pazar payı gibi organizasyonların performans göstergeleri arasındaki ilişkiyi anlamaya çalışır. Ancak örgüt kültürü, örgütün dışardan nasıl algılandığını da şekillendirir. Ortak bir örgüt kültürü, hizmet sektöründeki işletmelerde, ön saflarda yer alan çalışanlarla birlikte müşterilere yansıtılır. Bu şekilde, örgüt kültürü müşteri memnuniyetini ve sadakatini etkileyen müşteri algısını şekillendiren kilit bir faktör haline gelir. Bu yüzden, bu araştırma, insan etkileşiminin önemli olduğu hizmet sektöründe, örgüt kültürünü ve boyutlarını kavramsallaştırmayı ve kurumsal imaj üzerindeki etkilerini araştırmayı amaçlamaktadır. Bu çalışma, yeni bir kavramsal model ile örgüt kültürü ve kurum imajı literatürünü genişletmeyi amaçlamaktadır. Ancak, çalışmanın limiti, varsayılan ilişkilerin ampirik olarak test edilmemesidir. Gelecekteki araştırmalar, bu çalışmayı ampirik veriler ile modeli test ederek genişletebilir.

References

  • Abratt, R., & Mofokeng, T. N. (2001). Development and management of corporate image in South Africa. European Journal of Marketing, 35 (3/4), 368-386.
  • Adamson, I., Chan, K. M., & Handford, D. (2003). Relationship marketing: customer commitment and trust as a strategy for the smaller Hong Kong corporate banking sector. International journal of bank marketing.
  • Alam, I. I. (2011). Exploring cross‐national differences in service innovation process and strategy in developing and developed nations. Journal of Service Management.
  • Balmer, J. M., & Greyser, S. A. (2006). Corporate marketing: Integrating corporate identity, corporate branding, corporate communications, corporate image and corporate reputation. European journal of marketing, 40(7/8), 730-741. Brennan, D. R., Turnbull, P. W., & Wilson, D. T. (2003). Dyadic adaptation in business‐to‐business markets. European Journal of Marketing, 37 (11/12), 1636-1665.
  • Chelladurai, P. (2014). Managing Organizations: For Sport and Physical Activity a Systems
  • Chen, Y. R. R., Hung-Baesecke, C. J. F., Bowen, S. A., Zerfass, A., Stacks, D. W., & Boyd, B. (2020). The role of leadership in shared value creation from the public’s perspective: A multi-continental study. Public Relations Review, 46(1), 101749.
  • Davies, G., & Chun, R. (2002). Gaps between the internal and external perceptions of the corporate brand. Corporate reputation review, 5(2), 144-158.
  • Davies, G., & Miles, L. (1998). Reputation management: theory versus practice. Corporate reputation review, 2(1), 16-27.
  • De Chernatony, L. (1999). Brand management through narrowing the gap between brand identity and brand reputation. Journal of marketing management, 15(1-3), 157-179.
  • Deloitte, (2018). The services powerhouse: Increasingly vital to world economic growth, viewed 04 July 2020, https://www2.deloitte.com/us/en/insights/economy/issues-by-the-numbers/trade-in-services-economy-growth.html
  • Denison, D. R. (1990). Corporate culture and organizational effectiveness. John Wiley & Sons.
  • Denison, D. R. (2000). Organizational culture: Can it be a key lever for driving organizational change. The international handbook of organizational culture and climate, 18(4), 347-72.
  • Denison, D. R., & Mishra, A. K. (1995). Toward a theory of organizational culture and effectiveness. Organization science, 6(2), 204-223.
  • Denison, D., & Neale, W. (2000). Denison Organizational Culture Survey Denison Consulting. Ann Arbor, MI.
  • Denison, D., Lief, C., & Ward, J. L. (2004). Culture in family-owned enterprises: Recognizing and leveraging unique strengths. Family Business Review, 17(1), 61-70.
  • Famiyeh, S., Asante-Darko, D., & Kwarteng, A. (2018). Service quality, customer satisfaction, and loyalty in the banking sector: The moderating role of organizational culture. International Journal of Quality & Reliability Management, 35(8), 1546-1567.
  • Fey, C. F., & Denison, D. R. (2003). Organizational culture and effectiveness: Can American theory be applied in Russia?. Organization science, 14(6), 686-706.
  • Gillespie, M. A., Denison, D. R., Haaland, S., Smerek, R., & Neale, W. S. (2008). Linking organizational culture and customer satisfaction: Results from two companies in different industries. European Journal of work and organizational psychology, 17(1), 112-132.
  • Gioia, D. A., Schultz, M., & Corley, K. G. (2000). Organizational identity, image, and adaptive instability. Academy of management Review, 25(1), 63-81.
  • Grönroos, C., & Helle, P. (2012). Return on relationships: conceptual understanding and measurement of mutual gains from relational business engagements. Journal of Business & Industrial Marketing, 27(5), 344-359.
  • Hatch, M. J., & Schultz, M. (2001). Are the strategic stars aligned for your corporate brand. Harvard business review, 79(2), 128-134.
  • Krasnikov, A., Jayachandran, S., & Kumar, V. (2009). The impact of customer relationship management implementation on cost and profit efficiencies: evidence from the US commercial banking industry. Journal of marketing, 73(6), 61-76.
  • Kushwaha, G. S., & Agrawal, S. R. (2015). An Indian customer surrounding 7P׳ s of service marketing. Journal of Retailing and consumer services, 22, 85-95.
  • Lawrence, P. R., & Lorsch, J. W. (1967). Differentiation and integration in complex organizations. Administrative science quarterly, 1-47.
  • MacIntosh, E., & Doherty, A. (2007). Extending the scope of organisational culture: The external perception of an internal phenomenon. Sport management review, 10(1), 45-64.
  • Nguyen, N., & Leblanc, G. (2002). Contact personnel, physical environment and the perceived corporate image of intangible services by new clients. International Journal of Service Industry Management, 13(3), 242-262.
  • Olughor, R. J. (2014). The influence of organizational culture on firms’ effectiveness. Journal of Business and Management, 16(6), 67-70.
  • Parasuraman, A. (1987). Customer‐oriented corporate cultures are crucial to services marketing success. Journal of Services Marketing, 1(1), 39-46.
  • Poku, K., Owusu-Ansah, W., & Zakari, M. (2013). Organizational culture and organisational performance: Empirical evidence from the banking industry in Ghana.
  • Schein, E. H. (1995). The role of the founder in creating organizational culture. Family business review, 8(3), 221-238.
  • Shamah, R. A. (2013). A model for applying lean thinking to value creation. International Journal of Lean Six Sigma, 4(2), 204-224.
  • Shiu, Y. M., & Yu, T. W. (2010). Internal marketing, organisational culture, job satisfaction, and organisational performance in non-life insurance. The Service Industries Journal, 30(6), 793-809.
  • Sørensen, J. B. (2002). The strength of corporate culture and the reliability of firm performance. Administrative science quarterly, 47(1), 70-91.
  • Tran, M. A., Nguyen, B., Melewar, T. C., & Bodoh, J. (2015). Exploring the corporate image formation process. Qualitative Market Research: An International Journal, 18(1), 86-114.
  • Wilkins, A. L., & Ouchi, W. G. (1983). Efficient cultures: Exploring the relationship between culture and organizational performance. Administrative science quarterly, 468-481.
  • Wilson, A. M. (2001). Understanding organisational culture and the implications for corporate marketing. European Journal of Marketing, 35(3/4), 353-367.
  • Wirtz, J. & Lovelock, C. (2018). Essentials of Service marketing. Pearson Education England.
  • Yilmaz, C., & Ergun, E. (2008). Organizational culture and firm effectiveness: An examination of relative effects of culture traits and the balanced culture hypothesis in an emerging economy. Journal of world business, 43(3), 290-306.
There are 38 citations in total.

Details

Primary Language English
Subjects Regional Studies
Journal Section Conceptual Articles
Authors

Serap Sap 0000-0002-2560-4105

Publication Date December 29, 2021
Submission Date December 15, 2021
Published in Issue Year 2021 Volume: 2 Issue: 2

Cite

APA Sap, S. (2021). The Role of Organisational Culture Traits on Corporate Image in Service Industry. Sosyal Mucit Academic Review, 2(2), 139-152. https://doi.org/10.54733/smar.1036305