intercontinental journal of human … · a case of selected textile mill, coimbatore, ... human...

ORGANISATIONAL CULTURE:

A CASE OF SELECTED TEXTILE MILL, COIMBATORE, TAMIL

NADU

Dr.R.SAMINATHAN 1 S.NIKILALOCHANI

2

, 1Research advisor, Assistant Professor & Head, Bharathidasan University Constituent College,

Lalgudi, Tiruchrappalli (Dt.). 2Ph.D ( Part-time Research Scholar), Bharathidasan University Constituent College, Lalgudi,

Tiruchrappalli (Dt.).

ABSTRACT

Organizational culture is manifested in the typical characteristics of the organization, in other words,

organizational culture should be regarded as the right way in which things are done or problems

should be understood in the organization. The paper studies the attitude of the employees towards the

organizational culture of the particular textile mill running in Coimbatore district, Tamil Nadu. The

sample size is determined as 30% of the population (600). The paper conclude that the organizational

culture practices of the study unit can further be created by using appropriate Human Resource

Policies and systems.

Key words: Organizational culture, Human Resource Management.

INTRODUCTION

Organizational culture is defined as the commitment of the senior management to make

learning capability a competitive advantage; direction for change is well defined; leadership is

appropriate, handling resistance to change effectively; proper performance management system

linking compensation to achievement; environment encourage in experimentation and innovation; and

power feedback mechanisms and diversified learning channels. The structure of the learning

organization is not vital; it is created in horizontal workflows. Self direction team; open channels of

communication with customers, suppliers or even competitors, continuous improvement and changes

define the organization. (Dr.Darakhshan Anjum and Alka Sharma, 2014).

Organizational culture is manifested in the typical characteristics of the organization, in other

words, organizational culture should be regarded as the right way in which things are done or

problems should be understood in the organization. It is widely accepted that organizational culture is

defined as the deeply rooted values and beliefs that are shared by personnel in an organization. (Shili

Sun,2008)

REVIEW OF LITERATURE

Charles A. O'reilly et al., (1991) brings together three current themes in organizational

behavior in their study. They are (1) a renewed interest in assessing person-situation interactional

constructs, (2) the quantitative assessment of organizational culture, and (3) the application of "Q-

sort," or template-matching, approaches to assessing person-situation interactions. Using longitudinal

data from accountants and M.B.A. students and cross-sectional data from employees of government

agencies and public accounting firms, the authors developed and validated an instrument for assessing

person-organization fit, the Organizational Culture Profile (OCP). Results suggest that the

dimensionality of individual preferences for organizational cultures and the existence of these cultures

INTERCONTINENTAL JOURNAL OF HUMAN RESOURCE RESEARCH REVIEWISSN: 2320-9704 - ONLINE ISSN:2347-1662 - PRINT IMPACT FACTOR:4.169VOLUME 5, ISSUE 6, JUNE 2017UGC APPROVED JOURNAL - S.NO:49244

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are interpretable. Further, person-organization fit predicts job satisfaction and organizational

commitment a year after fit was measured and actual turnover after two years. This evidence attests to

the importance of understanding the fit between individuals' preferences and organizational cultures.

Osibanjo Omotayo Adewale and Adeniji Adenike Anthonia (2013) show results of the impact

of organizational culture on human resource practices in some selected Nigerian private universities.

The statistical analysis was based on two hundred and thirty-seven respondents in the selected studied

private universities showing that a close relationship exists between organizational culture and

recruitment process, training programmes, job performance management, performance of employees,

pay structure, and compensation administration. The results of this study suggest that there is close

relationship between recruitment process and organizational culture (belief, value, and practice). The

implication of this for managers or recruiters agency is that recruitment process being the first point of

interaction between the organization and the prospective employees, could serve as the right avenue to

disseminate vital information about the organization to the job seekers. The paper suggested that

given the organizational context of the study, each of the variables will be appreciated more by the

individuals in values, beliefs, and practices of the organization.

Olu Ojo (2008) examined the impact of organizational culture on performance using Nigerian

insurance companies as case study. The study investigates the importance of the relationship between

organizational culture and performance and stresses the necessity of a strong employee-responsive

culture. Data were collected through the use of questionnaires, and the chi-square method was used to

test our research hypotheses. It was discovered that there was indeed a relationship between

organization culture and performance and also a strong employee-responsive culture can lead to

effective performance. While carrying out the study it was also discovered that the values and beliefs

of the companies were not compatible with that of few employees. It was therefore recommended that

to solve this problem appropriate machinery should be put in place to drive compatibility, thereby

ensuring unity of purpose.

Yadollah Karimi1 et al., (2012) investigated the relationship between four construct of

organizational culture and two types of Total Quality Management (TQM) as soft and hard in the

Iranian oil industry. The method of confirmatory factor analysis was applied to refine culture and

TQM scales for empirical analysis in Iranian Oil Industry. The structural equation modeling method

was ap-plied to test the theoretical models. This study confirms the results of previous studies that

considered culture as a set of practices. It confirms that not all types of culture—considered as a set of

practices—has a positive impact on the TQM implementation. Only two components of culture—

hierarchal and developmental showed a negative impact on the soft and hard TQM.

Owoyemi O. O. and Ekwoaba J.O (2014) examined strong organizational culture as a tool for

management to control, motivate and enhance/improve employees‘ performance in selected federal

government tertiary institutions in Lagos mainland local government area of Lagos state. Structured

questionnaire constituted the major instrument; it was administered on 120 employees of Personnel

Departments of these institutions. Descriptive and inferential statistics were used for data analysis.

The response rate was 90 percent as only 108 filled questionnaires. The result showed that

organizational culture is a two edged sword that can cut across both management and employees, and

therefore should be encouraged if it will lead to productivity and increase on performance, if not,

other means of achieving performance should be employed. This study indicates that organizational

culture is ambiguous and can lead to closure of mind and restriction and reduction of autonomy.



NEED OF THE STUDY

There are no definitive answers to questions about the most appropriate way to change or

maintain an organizational culture in order to provide for success or, indeed, whether change or

maintenance is required in a given context to answer these question is the essential challenge facing

the strategic leader. (Lesley Willcoxson and Bruce Millett,2000). This necessitates the present

research.

STATEMENT OF THE PROBLEM

The impact of organizational culture on the functioning of organization and its effectiveness

are the important topics both from an academic and practitioners‘ perspective. The organizational

culture is the challenging area to the management as it faces practical difficulties from many sides i.e.,

employees, trade union, administration etc. Now, the organizational culture requires more funds,

plans, human intelligence and time. The administrative wing of the management concentrates on the

overall attainment of the organisation. So, the demands, problems and expectation of the employees

are not given importance. In this situation, the employees feel dissatisfaction and their expectations

that are not fulfilled make them as disloyal to the firm. This leads to labour turnover and the firm has

to recruit new employees frequently. In this context, the present research takes the problems for study.

OBJECTIVES OF THE STUDY

Following are the objectives of the paper:

1. To study the attitude of the employees towards the organizational culture of the particular

textile mill running in Coimbatore district, Tamil Nadu.

2. To analyse association between demography and perception of the employees in respect of the

organizational culture.

HYPOTHESES OF THE STUDY

Following are the hypotheses framed for the study:

1. There is significant association between age of the employees and faith on delegation of

authority.

2. There is significant association between marital status and opinion regarding the rewards

given by the management.

3. There is significant association between designation of the employees and faith on the

effectiveness of the training programme.

RESEARCH METHODOLOGY

The research methodology explains scientific approach of the research problem and

systematic analysis of data of the study. It is the way of approach of the subject matter. The present

paper is a study on limited scale. One particular textile mill (henceforth study unit )*1, functioning in

Coimbatiore district, Tamil Nadu is the study units. This work is analytical because this takes up

primary data, collected from the selected employees of the study unit and the primary data have been

analyzed with the help of statistical tools for making meaningful inferences.

POPULATION AND SAMPLES

Population of the present study consists of the employees of the study unit. The unit mills has

1,993 of employees in total (temporary/ casual/ contract basis staff are not taken into consideration).

1 * According to the restrictions of the textile mill, the real name of the mills is not disclosed. Instead,

it is mentioned as study unit.



The sample size is determined as 30% of the population. (i.e., 30% of 1,993 = 597.9 rounded to 600).

The present study classifies the entire work force into two categories i.e., administrative staff and

technical staff. Stratified proportionate random sampling technique has been used to select the

samples for this study.

The following table shows the details of the sample employees taken for the study:

Table No.1

Details of Population and Samples

Sl.No

.

Category of Employees

of the 3 mills

Total No. of

Employees*

Percentage in

Total

No. of Samples

1. Administrative staff 573 28.75 173

(28.75 % of 600)

2. Technical staff 1,420 71.25 427

(71.25% of 600)

Total 1,993 100 600

Source: Record of the mills

DATA USED AND SOURCES OF DATA

Primary data and secondary data have been used in this research. The secondary data were

collected from various secondary sources viz., books, journals, records, registers and records of the

company. The primary data are collected by the researcher from the employees working in the study

unit. A questionnaire is used to collect the primary data from the employees of the study unit.

FRAMEWORK OF ANALYSIS

In the analysis section, responses for every question are analyzed with the help of percentages. The

percentages are the common tools used for analyzing the data and the percentage is the appropriate

tool to determine the majority and minority classification in respect of the responses. By means of the

percentage analysis, inferences can be made at a logical base (Davis, 2005). So, the percentage

analysis was undertaken at first. Then, the statistical analysis section consists of testing of hypotheses

so that the Chi square Test has been used as analytical tool.

SCALING TECHNIQUE

Scaling is a technique to measure the satisfaction, attitude and any abstract thing. Likert‘s

Five point scale has been used (Strongly Agree, Agree, Moderate, Disagree and strongly Disagree).

Such type of scale is a general scale and it is suitable for all types of studies.

LIMITATIONS OF THE STUDY

The study is running with the following limitations:

1. This study has been carried out from the employees‘ point of view but not from the other angles.

2. As the perception of the employees is mainly based on the personal experience of them, the

perception may vary in future.

RESULTS AND DISCUSSION

This section deal with the data collected from the 600 employee respondents.

* Not including the Temporary/ casual/ contract basis/ daily wage labourers



Table No.2

Demographic factors of respondents

Sl.No. Gender Number of Employees

(N=600)

Percentage

1. Male 492 82

2. Female 108 18

Sl.No. Marital Status Number of Employees Percentage

1 Married 215 36

2. Unmarried 385 64

Sl.No. Age (in years) Number of Employees Percentage

1. Less than 25 322 54

2. 26-30 178 30

3. 31-35 74 12

4. More than 35 26 4

Sl.No. Designation Number of Employees Percentage

1. Administrative 258 43

2. Supervisory 182 30

3. Clerical 136 23

4. Labour 24 4

S.No. Experience (in years) Number of Employees Percentage

1. Less than 2 yrs 308 51

2. 2 - 5 yrs 182 30

3. 6 - 10 yrs 74 12

4. More than 10 yrs 36 6

Source: Primary data

The Table No.2 is self explanatory in nature so that the following features are important to be

noted. Male employees are of majority group (82%). Unmarried employees form 64% in total

samples. The employees who are below the age of 25 are in large number.(54%) Administrative side

employees are the majority group.(43%.) 51% of the employees have less than 2 years of experience.

Table No.3

The management totally supports the employees in enjoying their work

Sl.No Attitude No. of

Employees

%

1. Strongly Agree 93 16

2. Agree 130 22

3. Neutral 121 20

4. Disagree 146 24

5. Strongly disagree 110 18

Total 600 100

Source: Primary Data

Majority employees (24%) are of the category of ‗disagree‘ with the statement in respect of

‗the management totally supports the employees in enjoying their work‘. 24% of the employees are of

strongly disagree group. This implies that the employees are not in good opinion towards their



superiors. On the other hand, 22% fall under the category of ‗agree‘ and 16% under ‗strongly agree‘.

So, they are of good opinion in this regard. At the same time, 20% of the employees do not take any

stand in this regard.

Table No.4

Seniors guide their juniors and prepare them for responsibilities

they are likely to take up.


Employees

%


2. Agree 128 21

3. Neutral 110 18

4. Disagree 102 17


Total 600 100


In respect of the matter of guidance of the seniors to the juniors, majority of the employees

(27% strongly agree; 21% agree) accept it. So, it is clear that they are guided properly by their seniors.

At the same time, 16% (strongly disagree group) and 17 % employees (disagree group) do not accept

it. 18% of the employees are of neutral.

Table No.5

Delegation of authority encourages employees to develop handling higher responsibilities in

common in the organization.


Employees

%


2. Agree 166 28

3. Neutral 120 20

4. Disagree 124 21


Total 600 100


Majority employees of the study units (28 %) accept that the delegation of authority

encourages employees to develop handling higher responsibilities in common in the organization. The

case of 11% of employees is the same. This means that the employees are in favour of the delegation

of authority and they are supported with adequate authority in their work. The other side of the

employees is opposite. 21% and20% employees do not agree with this.



Table No.6 -Job rotation in the organizational facilities employees‟ development


Employees

%


2. Agree 130 22

3. Neutral 121 20

4. Disagree 146 24


Total 600 100


24% of employees are of the opinion that the job rotation in the organization does not facilitate

employees‘ development and they are in the large number. Likewise, the state of 18% of the

employees is strong and they are of strongly disagree in this matter. 16% of employees and 22% of

employees have faith on the job rotation. In their view, the job rotation in the organization facilitates

for employees‘ development.

Table No.7

The organizational policy is favourable to the employees

for developing new skills and knowledge.


Employees

%


2. Agree 100 17

3. Neutral 160 27

4. Disagree 127 21


Total 600 100


Apart from the 27% employees (neutral group), majority employees do not have the hope on

the HRM policy of the firm and they are of strongly disagree group. Next, 21% of the employees are

of the same case. On the other hand, 14% and 17% of the employees have faith on the HRM policy.

Table No.8

Subordinates are encouraged to take up challenging tasks.


Employees

%


2. Agree 94 16

3. Neutral 103 17

4. Disagree 162 27


Total 600 100


27% of the employees express their view that the subordinates are not encouraged to take

up challenging tasks in the organization. The same view is strongly conveyed by 24% of the



employees. This means that the subordinates are not permitted to enter into the higher level of tasks

and they are doing the routine work repeatedly. But, on the other side, 32% of the employees (16%

strongly agreed; 16% agreed) that the subordinates are encouraged to do the challenging jobs.

Table No.9

Rewards are given to the employees for their better performance and contribution.


Employees

%


2. Agree 137 23

3. Neutral 128 21

4. Disagree 113 19


Total 600 100


Majority employees (22% strongly disagree plus 19% disagree) don accept that the rewards

are given to the employees for their better performance and contribution in the organization. This

view is the effect of their disappointment in this regard. At the same time, 23% of the employees

agree it and 15 strongly agree it. So, it is clear that the two segments have got benefited with the

awards. .

Table No.10

Existing training programme is very effective


Employees

%


2. Agree 137 23

3. Neutral 128 21

4. Disagree 113 19


Total 600 100


According to 22% of the employees (strongly disagreeing group), the existing training

programme is not very effective. 19% of the employees also point out like this. At the same time, 23%

of the employees (agreeing group) and 15% of the employees (strongly agreeing group) have the faith

on the existing training programme.



STATISTICAL ANALYSIS:

TESTING OF HYPOTHESES

Null Hypothesis

There is no significant association between age of the employees and faith on delegation of

authority.

Table No.11 -Cross Tabulation

delegation of authority

To

tal

Str

on

gly

ag

ree

Ag

ree

Mo

der

ate

Dis

ag

ree

Str

on

gly

dis

agre

e

AG

E

Less than 25 37 94 70 61 60 322

26-30 20 50 32 37 39 178

31-35 6 16 13 21 18 74

Above 35 5 6 5 5 5 26

Total 68 166 120 124 122 600


Table No.12 - Chi-Square Test

A.1 cells (5.0%) have expected count less than 5. The minimum expected count is 2.95.

Source: Result generated through SPSS

Hence p i.e., 0.741 > 0.05 null hypothesis is accepted. There is no significant association

between age of the employees and faith on delegation of authority.

Null Hypothesis

There is no significant association between marital status and opinion regarding the rewards given by

the management.

Table No.13 - Cross Tabulation

Rewards given

To

tal

Str

on

gly

ag

ree

Ag

ree

Mo

der

at

e

Dis

ag

ree

Str

on

gly

dis

agre

e

Marital Married 120 0 80 15 0 215

Unmarried 0 119 40 106 120 385

Total 120 119 120 121 120 600


Value Df Asymp. Sig. (2-

sided)

Pearson Chi-Square 8.543 12 0.741

Likelihood Ratio 8.228 12 0.767

Linear-by-Linear Association 1.666 1 0.197

N of Valid Cases 600



Table No.14 - Chi-Square Tests

Value Df Asymp. Sig. (2-sided)



Linear-by-Linear

Association 184.343 1 0.000


A. 0 cells (.0%) have expected count less than 5. The minimum expected count is 42.64


Hence p i.e.,0.001 < 0.05 null hypothesis is rejected. There is significant association between

marital status and opinion regarding the rewards given by the management

Null Hypothesis

There is no significant association between designation of the employees and faith on the

effectiveness of the training programme.

Table No.15 - Cross Tabulation

Faith on the effectiveness of the training

programme.

Total

S. A A M D.A S.D.A

Des

ign

ati

on

Administrative 49 57 46 53 53 258

Supervisory 22 41 40 32 47 182

Clerical 17 34 36 22 27 136

Labour 4 5 6 6 3 24

Total 92 137 128 113 130 600


Table No.16 - Chi-Square Tests

Value Df Asymp. Sig. (2-sided)



Linear-by-Linear

Association 0.078 1 0.780


a. cells (10.0%) have expected count less than 5. The minimum expected count is 3.68.


Hence p i.e., 0.424 > 0.05 the null hypothesis is accepted. There is no significant association

between designation of the employees and faith on the effectiveness of the training programme.

SUGGESTIONS

Following are the suggestions to improve organizational culture of the study unit in particular

and all other units in general.

1. The working environment of the concerned study unit should be improved with all welfare

facilities.



2. The incentive provided by the study unit and promotion policy should be revised in proper

way.

3. The monetary benefits provided by the unit should be restructured.

4. Cardinal relationship between management and labour should be maintained in the firm.

5. A counseling meeting may be held periodically to share the ideas and opinions of the two

parties i.e., labour and management themselves.

CONLUSION

The organizational culture plays a very important role in ensuring the competency, motivation

and development of the employees. The study unit is not exceptions to this. The organizational culture

practices of the study unit can further be created by using appropriate Human Resource Policies and

systems. When the support from the workers and their unions are gained by the study unit to

implement the organizational policy, it will reap more fruitful benefits to the both parties i.e., labour

and management. The organizational practices are both a means to an end as well as an end in itself

so that the company may bring a congenial atmosphere in this regard in the near future.

REFERENCES

1. Charles A. O'reilly and Jennifer Chatman and David F. Caldwell (1991). People and

Organizational Culture: A Profile Comparison Approach to Assessing Person-Organization

Fit Academy of Management Journal, Vol. 34, No. 3, pp.487-516.

2. Darakhshan Anjum and Alka Sharma.(2014). A Study of Organizational Culture and

Organizational Performance: A Study of Jammu and Kashmir Bank, Rajouri District, Abhinav

International Monthly Refereed Journal of Research in Management & Technology, Vol. 3,

Issue 5, pp.29-34.

3. Davis, 2005, Statitical Methods, Kitab Mahal, Ludhiyana.

4. Lesley Willcoxson and Bruce Millett (2000). The Management of Organisational Culture,

Australian Journal of Management & Organisational Behaviour, 3(2), pp.91-99.

5. Olu Ojo (2008), Organisational Culture and Performance: Empirical Investigation of Nigerian

Insurance Companies. www.organisataioanl culture.com,pp118-127.

6. Osibanjo Omotayo Adewale and Adeniji Adenike Anthonia (2013). Impact of Organizational

Culture on Human Resource Practices: A Study of Selected Nigerian Private Universities,

Journal of Competitiveness, Vol. 5, Issue 4, pp. 115-133.

7. Owoyemi O. O. and Ekwoaba J.O (2014). Organizational Culture: A Tool for Management to

Control, Motivate and Enhance Employees‘ Performance, American Journal of Business and

Management, Vol. 3, No. 3, 2014, pp.168-177

8. Shili Sun (2008). Organizational Culture and Its Themes, International Journal of Business

and Management, vol.2(12), pp.137-142.

9. Tobias Jung (2009). Instruments for Exploring Organizational Culture: A Review of the

Literature, Public Administration Review,Vol.11, No.2,p.1088.

10. Yadollah Karimi1, Sharifah Latifah and Syed Abdul Kadir (2012). The Impact of

Organizational Culture on the Implementation of TQM: Empirical Study in the Iranian Oil

Company. American Journal of Industrial and Business Management, 2012, 2, 205-216



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