Culture Can Be Both An Asset And A Liability - 1571 Words

Question: Culture can be both an asset and a liability to an organisation Ravasi and Schultz (2006) wrote that Organizational culture is shared values and ideas that guide appropriate behaviour for various situations in the organization. Culture is created for people in an organization to behave consistently, which encompasses identical values, beliefs and principles of all the members (Needle 2010). Therefore, the culture in an organization can affect the ways of its members in work strategy and performance as well as interaction with colleagues, clients and stakeholders. In addition, organizational culture also have significant impact on the employees sense of identity with their organizations. As a result, organizational culture has always been treated as an important attribute for an organization’s effectiveness (Deal and Kennedy, 1982; Peters and Waterman, 1982). If the culture for an organization is valuable, supportive and positive, it would be an asset for the organization, which leads to satisfied financial performances. On the contrar y, firms with negative and invaluable culture will bear liability resulting from such culture and hence make the organization less competitive. A valuable culture has significant positive economic value for an organization. Firms with valuable culture are more likely to engage in activities that can make profits for them. These activities have impose a positive economic effect on companies, which lead to strong performance ofShow MoreRelatedOrganizational Culture : Employee Growth Or Over Dependency?1532 Words   |  7 Pagesâ€Å"Culture can be both an asset and a liability to an organization† Culture is the shared principles and traditions that influence the ways its member perform. Culture within a business organization can be the difference between a good and a great company, this essay will discuss both positives and negatives of a strong culture then make a final decision about each aspect. The topics that will be covered in this essay are; Consistency or Inertia?, Strong company or flexible company? Easier hiringRead MoreMergers and Acquisitions (M A) Mergers and acquisitions (MA) is an important area of corporate800 Words   |  4 Pagesinterest or asset. In a merger, the parties negotiate how relative value will translate into the amount of ownership each party will have in the new company. In an acquisition, the parties negotiate how the relative value contributed to the new enterprise will translate into the purchase price. A merger does not require cash and may in some cases be accomplished tax-free for both businesses but it is not so in acquisition. In a stock acquisition it’s a faster and easier transaction than an asset purchaseRead MoreIRS and Tax Regulations1649 Words   |  7 PagesGenerally Accepted Accounting Principles (GAAP) which uses the accrual method to report revenues. Taxable income on the other hand, which is determined by rules and regulations of the IRS, follow a modified cash basis to determine revenue. Therefore, it can be seen that these amounts differ because of the differences between tax regulations and GAAP. The majorities of financial advisers do not have a formal accounting or tax background and thus have some challenges to overcome when reading tax returnsRead MorePricing Strategy Of Pizza Hut949 Words   |  4 Pagesmarketplace through this penetration pricing policy. Logistics and its costs – Pizza Hut can source its baking recipes from one of the best local baking recipes sellers, the Dangote group who has the highest market share in this region could be a reasonable source. Also, they could help with distribution. A warehouse could be made available, and it should be located close to the factory. Distribution logistics can be outsourced to local transport services on contracts, using special containers brandedRead MoreOrganizational Culture At Ivey Business Journal1351 Words   |  6 PagesOrganisational culture shared among all the members, with its values, principles, traditions and methods of working. It determines how an organisation functions, from industry side to individually. It could be an important asset which, if not managed well, can be a critical liability for the organisation. While a healthy and positive organisational culture could increase relationship between employees and employer, and together achieve the maximum p erformance for the company, a deleterious culture would leadRead MoreAnnual Report Analysis Of Franklin Covey And Standard Register1312 Words   |  6 Pages Annual Report Analysis of Franklin Covey and Standard Register Yolanda Bell Colorado Technical University Abstract An Annual Report is a visible look at the activities of a corporation the can give shareholders and any other individual who may need to look at company finances, a comprehensive understanding of the company performance. This report will take a look at the different information found in an annual report. The Annual Report is customized by companies, but there are components thatRead MoreCase Study : Gaap Convergence And Ifrs1671 Words   |  7 Pagesand goal, however they both require different techniques and have different regulations and allowances to attain this goal. In general, GAAP utilizes a rule based approach, its straight forward in exactly what is allowed and what is taboo. This fits mirrors a low context culture, such as the United States, where communication is concrete. On the other hand, IFRS leaves more room for interpretation and is a little more open ended. This is befitting of high context cultures such as China, where communicationRead MoreTootsie Roll Loan154 8 Words   |  7 PagesInc. will be preparing a loan package to maintain ultimate company performance, maximize the company’s profits, and increase the shareholder’s value. Tootsie Roll Industry Inc. will be applying for a loan that will increase the company’s total liability by $17,449.50. A perfect loan package includes a concise executive summary that focuses primarily on the ratio analysis of the financial statement, justification for the loan, and explanation of how the company intends to use loan. The correspondingRead MoreStarbucks Coffee Company ( Sbux )1563 Words   |  7 Pagesserve the best coffee with delicious flavors of coffee beans, treating employees as partners, and serving an inviting atmosphere to their customers. The new owner, Howard Schultz generated a culture of high values where people are treated like family. He has worked to produce a modernized structure where employees can grow by working in a teamwork environment. The key to his success has been communication in which it differentiates Starbucks Coffee is creating the biggest coffeehouse in the twentieth-centuryRead MoreSwot Analysis Of Jp Morgan Chase997 Words   |  4 PagesMorgan JP Morgan and Chase (JPMC) is the top fanatical service of US market and the biggest bank in US. JPCM with its exceptional 5 different business segments, which are corporate and investment banking (CIB), consumer and community banking (CCB), asset and wealth management (AWM), commercial banking (CB) and corporate entity. Strengths in the SWOC Analysis of JP Morgan Chase: JP Morgan Chase is a leading player in the global financial services: JPMC has operations in over 100 countries and serves