The Impact Of Corporate Culture On The Effectiveness Of Companies

The paper synthetically presents the concept of corporate culture and aims at outlining the wide impact of this phenomenon in the contemporary context. Moreover, the paper aims at describing a framework where culture interacts and influences upon corporate culture. Seen as a determining element in the achievement of performance, corporate culture mainly aims at describing this phenomenon in its relation with staff motivation, communication and interaction within a company, as well as solving possible conflicts. Another significant aspect marking the personality of every organisation refers to organisational change. Facing the fluctuations of the external environment, more and more companies use changes of strategy with a view to achieving performance, but not many managers are aware of the importance of culture when drawing up such strategies. Staff reductions, retooling are just some of the strategies frequently used by managers with a view to reinforcing their position, without taking into account the integration of such structural changes into genuine mental changes. Studies show that most organisations ignore the mental, psychological component in the organisational change process, though the results obtained after such strategies fail to meet the expectations.