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Organizational Culture and its influence on Innovation

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A French perspective of organizational culture and its inluence on innovation.

A French perspective of organizational culture and its inluence on innovation.

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  • 1. Exploring organizational culture and its influence on innovation: a French perspectiveFabien Barrillot - Ritu Jadwani - Kevin P. Jordan March 28th 2012
  • 2. Introduction Project Question Methodology Results DiscussionOCAI - Organizational Culture Assessment Instrument*• Dominant characteristics CLAN ADHOCRACY• Organizational leadership Collaborate Create• Management of employees Internal Maintenance• Organization glue• Strategic emphasis HIERARCHY MARKET Control Compete• Criteria of success*Quinn & Rohrbaugh - Competing Values Approach to Organizational Effectiveness (1981) 2 1
  • 3. Introduction Project Question Methodology Results DiscussionHow does organizational culture influence innovation from a French perspective? Let’s explore… 3 2
  • 4. Introduction Project Question Methodology Results Discussion Selected resources for the projectQuinn & Rohrbaugh - Competing Values Approach to Organizational Effectiveness (1981)Edgar Schein - Organizational Culture (1990)Cameron, Quinn, DeGaff, Thakor - Competing Values Framework (2004)Cameron & Quinn - Organizational Culture and Leadership (2004)Booz & Company - Why Culture is Key (2011) 4 3
  • 5. Introduction Project Question Methodology Results DiscussionCompany Model Collection Data choice used online analysis CVF 6 out of 9 Graph OCAI companies generation Different departments Interpretation 5 4
  • 6. Introduction Project Question Methodology Results Discussion French companies surveyed Current Preferred Clan Adhocracy Clan AdhocracyHierarchy Market Hierarchy Market Electrical – Gas – Utilities – Electronics – Aeronautics – Automotive Technology 6 5
  • 7. Introduction Project Question Methodology Results Discussion Company background & marketA large global utilities company84,5€ billion in 2010 revenues and €11 billion net invested per year over 2011-2013 – 218 350 employees throughout in 70 countries – incl. 155 450 in energy and services – and 62 900 in environment – 1,200 researchers and experts in 9 R&D centers1st company in the “utilities” sector worldwide (Forbes Global 2000)1st Independent Power Producer (IPP) in the world1st purchaser of natural gas in Europe1st transmission and distribution network in Europe1st supplier of efficiency and environmental services in Europe2nd supplier of water and waste services in the world. 110 district heating and cooling networks operated throughout the world 7 6
  • 8. Introduction Project Question Methodology Results Discussion Global Utilities Company Clan Adhocracy • Current • Focus is directed toward hierarchy quadrant • Highly bureaucratic • Systematic problem-solving • Process control • Preferred • Focus is directed toward Clan quadrant • Family-oriented • Open Communication • Team buildingHierarchy Market 8 7
  • 9. Introduction Project Question Methodology Results Discussion Supporting results from Booz & Company’s survey involving 1000 companies worldwide Advantages of aligned cultures & innovation strategies“Studies have shown again and again that there may be no more critical source of business success or failure than a company’s culture; it trumps strategy and leadership” 9 8
  • 10. Introduction Project Question Methodology Results DiscussionRecommendations for initiating organizational culture change(a) Know where you are **(b) Know where you want to go **(c) Determine what the changes will mean(d) Identify and communicate success stories(e) Develop a strategic action plan(f) Develop an implementation plan 10 9
  • 11. Merci !