Factors of Organizational Culture Change
Factors that had impact on the organizational culture change
In the
analysis of organizational culture change in furniture
manufacturing companies, the focus was made on internal organizational
changes that had impacted change in organizational culture. Two main
factors, which were used for management and change of organizational
culture in the research period can be distinguished in the
organization (see Picture 3).
To sum up the research data it can be
argued that the appointment of the new CEO produced the greatest impact
on the company's organizational culture change. Although the new CEO
began to work in the company in September, 2006 it may be assumed that
his influence on the organizational culture came out almost one year
later. This explains the first step of the research, whereby the answer
"neither agree nor disagree" dominated in the number of statements
evaluation; these responses showed that employees at that time did not
know what to expect from the new CEO. The new CEO began to change the
company's organizational structure (cut the number of departments (for
example, the sales department was merged with the logistics
department), replaced the managers of departments (for example, in
personnel, technical service, production departments), and reduced the
number of employees in the managerial system (the number of employees in the company decreased by 30%: from 119 employees in December, 2006 to 84 in April, 2008).
Picture 3. Change factors of organizational culture
New technologies, installation of the Navision accounting system, also had an impact on the organizational culture change. As the research showed, introduction of the Navision system in the company was taken quite painfully by its employees since it demanded new skills from them, as well as double accounting in the production department, which required additional time.