Peer review
Organizational culture and performance – evidence from the fast food restaurant industry
Torvald Øgaard,* Svein Larsen*† and Einar Marnburg*
*The Norwegian School of Hotel Management, Stavanger University, Stavanger, Norway; †Department of Psychosocial Science, University of Bergen, Bergen, Norway
Abstract
Correspondence: Torvald Øgaard, The Norwegian School of Hotel Management, Stavanger University, N-4036 Stavanger, Norway. Tel: +47 51 83 15 97; Fax: +47 51 83 37 08; E-mail: torvald.ogaard@nhs.his.no Keywords: hospitality industry, organizational culture, performance, restaurant management
This paper explores the relationship between organizational culture and the performance of managers in the restaurant industry. We also introduce the managers’ job efficacy and commitment to the organization as variables intervening between organizational culture and performance. Data were collected in a restaurant/fast food operation which included franchisees as well as employed managers. Results suggest that there are relationships between culture and manager’s efficacy and organizational commitment, and that some cultural aspects are related to performance variables such as personnel cost and additional sales. In addition, managers’ commitment and efficacy are also related to performance.
General background
In multi-outlet operations within the service industry, there has been a tendency to ‘production-line’ (Levitt 1972, 1976) service deliveries. As evidenced in the phenomenal success of franchise operations within the fast food business, the ‘production-lining’ and accompanying division of labour has allowed specialization and efficiency that may be very successful. However, two trends may have major influence on the viability of the continuing success of the standardized
References: © Blackwell Publishing Ltd. 2005 Food Service Technology, 5, pp. 23–34 Culture and performance T 33 Fitzgerald L, Johnston R, Brignall R, Silvestro R, Voss C (1991) © Blackwell Publishing Ltd. 2005 Food Service Technology, 5, pp. 23–34 34 Culture and performance T. Øgaard, S. Larsen & E. Marnburg Schein EH (1992) © Blackwell Publishing Ltd. 2005 Food Service Technology, 5, pp. 23–34