IDEAS home Printed from https://ideas.repec.org/a/ids/ijpqma/v18y2016i1p1-18.html
   My bibliography  Save this article

The relationship between organisational culture and firm performance: an empirical study on Indonesian manufacturing firms

Author

Listed:
  • Didik Wahjudi
  • Moses L. Singgih
  • Patdono Suwignjo
  • Imam Baihaqi

Abstract

The impact of organisational culture on firm performance has been well documented. Previous studies on the impact of organisational culture derived from its national culture have been conducted in homogenous cultures. Little attention has been given to the impact of organisational culture derived from Indonesian culture on firm performance. Indonesia's subcultures may not be represented in the national culture. This study examines the impact of organisational culture on firm performance among Indonesia manufacturing firms. Results from 152 organisations confirm that organisational culture has significant effect on firm performance. Only individualism and uncertainty avoidance significantly impact firm performance. The implication is that, even in a country with many subcultures, firms' top management still need to pay attention to the impact of national culture at organisational level. Furthermore, since Indonesia has a very low score on individualism, managers need to create a conducive and rewarding environment for individuals to contribute.

Suggested Citation

  • Didik Wahjudi & Moses L. Singgih & Patdono Suwignjo & Imam Baihaqi, 2016. "The relationship between organisational culture and firm performance: an empirical study on Indonesian manufacturing firms," International Journal of Productivity and Quality Management, Inderscience Enterprises Ltd, vol. 18(1), pages 1-18.
    • Handle: RePEc:ids:ijpqma:v:18:y:2016:i:1:p:1-18
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=75702
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Abdelkader Derbali & Lamia Jamel, 2018. "Determinants of performance of Tunisia insurance companies: case of life insurance," International Journal of Productivity and Quality Management, Inderscience Enterprises Ltd, vol. 24(4), pages 531-542.
    2. José Luis Camarena Martínez, 2016. "La organización como sistema: el modelo organizacional contemporáneo," 'Oikos Polis', Revista Latinoamericana de Ciencias Económicas y Sociales (RLCES), Instituto de Investigaciones Economicas y Sociales 'Jose Ortiz Mercado' (IIES-JOM), Facultad de Ciencias Económicas, Administrativas y Financieras, Universidad Autonoma Gabriel Rene Moreno, vol. 1(1), pages 135-174.
    3. Hunjra, Ahmed Imran & Boubaker, Sabri & Arunachalam, Murugesh & Mehmood, Asad, 2021. "How does CSR mediate the relationship between culture, religiosity and firm performance?," Finance Research Letters, Elsevier, vol. 39(C).
    4. Phoebe Akoth Okwata & Susan Wasike & Kifleyesus Andemariam, 2022. "Effect of Organizational Culture Change on Organizational Performance of Kenya Wildlife Service Nairobi National Park," Administrative Sciences, MDPI, vol. 12(4), pages 1-13, October.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ids:ijpqma:v:18:y:2016:i:1:p:1-18. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=177 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.