10.10.12

IMPACT OF ORGANISATIONAL CLIMATE



Organizational climate has a major influence on human performance through its impact on individual motivation and job satisfaction. It does this by creating certain kinds of expectancies about what consequences will follow from different actions. Individuals in the organization have certain expectations and fulfillment of these expectations depends upon their perception as to how the organizational climate suits to the satisfaction of their needs. Thus organizational climate provides a types of work environment goes a long way in determining his efficiency, organizational climate can be said to be directly related with his performance in the organization. There are four mechanisms by which organizational climate affect performance, satisfaction and attitudes of people in the organization.
1.    Organizational variables can operate as constraint systems in both a positive and negative sense by providing knowledge of what kinds of behavior are rewarded, punished or ignored. The organization can influence behavior by attaching different rewards and punishments to varying behaviors. This assignment of different values to behavioral outcomes would then influence the behavior of those people most interested in those specific values.
2.    Organizational variables may affect behavior through evaluation of the self and others , and such evaluation will in turn, influence behavior. There are both physiological and psychological variables associated with this evaluation process.
3.    Organizational factors work as stimuli, they influence an individuals arousal level, which is a motivational variable directing behavior. The level of arousal will directly affect the level of activation and hence performance.
4.    Organizational variables influence behavior in that hey influence the individual to form a perception of the organization. The perception then influences behavior.


FACTORS IN ORGANISTAIONAL CLIMATE

Researchers in organizational climate  have used data relating to individual perception of organizational properties in identifying organizational climate. Even in this context there is a great amount of diversity. For example, Litwin and Stringer have included six factors which affect organizational climate. These are:
1.    Organization structure perception of the extent of organizational constraints, rules, regulations, red tape.
2.    Individual responsibility – feelings of autonomy of being one’s own boss.
3.    Rewards feelings related to being confident of adequate and appropriate rewards.
4.    Risk and risk taking – perceptions of the degree of challenge and risk in the work situation.

5.    Warmth and support – feelings of general good fellowship and helpfulness prevailing in the work settings.
6.    Tolerance and conflict – degree of confidence that the climate can tolerate differing opinions.

A broader and somewhat more systematic study of climate dimensions described by Schneider and Bartlett includessix items that should be included in determining organizational climate. These are managerial support, managerial structure, concern for new employees, inter – agency conflict, agent dependence and general satisfaction. Taguiri has identified five factors in organizational climate on the basis of information provided by managers. These are:

1.    Practices relating to providing a sense of direction or purpose to their jobs – setting objectives, planning and feedback.
2.    Opportunities for exercising individual initiative.
3.    Working with a superior who is highly competitive and competent.
4.    Working with co- operative and pleasant people and
5.    Being with a profit – minded and sales – oriented company.

The results of these studies show that it is very difficult to generalize the basic contents of organizational climate based on these studies. Other studies in this respect do not elicit different result and present the vastly different orientations or sets. However some broad generalizations can be drawn and it can be concluded that four basic factors are somewhat common to the findings of most studies. There are individual autonomy, the degree of structure imposed upon the people, reward orientation and consideration, warmth and support.

Chapter II CORPORATE STRATEGY

Our principles: We recognize that we must integrate our business values and operations to meet the expectations of our stakeholders. They ...