School of Business Administration
The Effect of Organizational Culture and Leadership Style on Organizational Performance
MGMT 601 - MANAGING ORGANIZATIONS AND LEADING PEOPLE
Dr. Evangellos Dedoussis
June 17th, 2013
Table of Contents
Introduction:
In management and organizational studies and leadership style and organizational culture are considered to be the most important concepts and key resources of strength for any firm that can derive, control and combine people, processes and organizational behavior and performance. The main reason of importance is the significant relationship between leadership style and organizational performance from one side and organizational culture and organizational performance from the other side.
There many studies indicates the impact the organizational culture has on the organization outcomes such as financial performance, gaining competitive advantage, and enhancing firm effectiveness. The firms such as McDonalds, IBM and HP have focused on the managerial values and beliefs form in their organizational cultures. In the recent days, the growth in the mentioned firms has increased drastically lead researchers to take attention to their success, they then found a strong relationship between their culture and their leadership style. They are still world lead firms in their respective area, for them leadership-culture fit has not happened by a chance. The key point is that culture will remain linked with management performance only the culture is able to adapt to the changes in environmental conditions. Equally, the relationship between leadership and organizational performance is an important topic. In a competitive business environment, organizations rely on upon their leaders to facilitate the changes and creativeness required to maintain competitive advantage. Leadership has been changed overtime by the change in employee’s
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