Is business performance linked to organizational culture? A study from Tunisian SMEs through subjective measures

Abstract

Purpose Every independent organization would sincerely like to have competent, loyal and engaged people, as engaged persons are typically those who have significant attachment and active involvement in their organization. Without engaging people, high quality and productivity will not be achieved. The purpose of this study is to explore the impact of organizational culture derived from Tunisian customs of firm performance. Tunisian subcultures may not be represented in the national culture. Design/methodology/approach This study carefully examines the impact of organizational culture on firm performance of Tunisian small and medium-sized enterprises. Results from 100 organizations and companies were collected using questionnaires for data collection analysis from employees occupying various positions in different hierarchical levels. Statistics used are tested by ordinary least squared regression. Furthermore, response bias, validity and reliability were the most important points examined by researchers. Findings These results reveal and confirm that the charisma that has been perceived by employees as energy state has an impact on the performance of the organization, regardless of the moderating effect of the uncertainty of the environment. Moreover, this study also showed that organizational culture has a significant effect on firm performance as well as on the interpretation of the organization, which depends on charisma. Originality/value The implication is that even in a country with many subcultures, excellent management still needs to pay attention to the impact of national culture at the organizational level on job attitude, work ethics and employee engagement, which are however, very limited. It is expected that this finding can contribute to the organization in that management becomes aware of the personality of the employees during their recruitments, especially the chief characteristic of being energetic. Managers need to create a conductive and rewarding environment for individuals to contribute positively.

The Effect of Organizational Culture’s Dimension, Total Quality Management and Entrepreneurial Orientation towards the Performance of Herbal Enterprises in Indonesia

“…However, research on the factors that influence organizational performance in the context of the herbal industry in Indonesia is still rare to find (Islami et al, 2017). Several studies have inconsistent and conflicting results in the study of organizational culture and its relationship to firm performance (Morched and Jarboui, 2021). Another study found that there is a positive correlation between organizational culture and company performance (Behram and Özdemirci, 2014;Morched and Jarboui, 2021).…”

“…Several studies have inconsistent and conflicting results in the study of organizational culture and its relationship to firm performance (Morched and Jarboui, 2021). Another study found that there is a positive correlation between organizational culture and company performance (Behram and Özdemirci, 2014;Morched and Jarboui, 2021). On the other hand, Yesil and Kaya (2013) reports that there was no relationship between organizational culture and company performance.…”

Organizational culture and leadership as antecedents to organizational flexibility: implications for SME competitiveness

“…While they have been sounded as great organizational assets that have the ability to produce enhanced performance (Dadzie et al, 2012), it is important that such assets create the needed organizational flexibility that can catapult the firm into sustainable competitive advantage creation. For instance, studies such as Jardioui et al (2019), Gorondutse and Hilman (2019), Morched and Jarboui (2020) and Harel et al (2020) have all investigate the effect of SME culture on firm performance. Others such as Alefari et al (2020), Nag et al (2020), Afriyie et al (2019) and Imran and Aldaas (2020) have also investigated the effect of leadership on SME competitiveness and performance.…”

Pengaruh kepemimpinan karismatik, budaya organisasi, dan strategic flexibility terhadap kinerja perusahaan dengan ketidakpastian lingkungan usaha sebagai variabel mediasi

“…Pada dasarnya, ada banyak faktor yang dapat memengaruhi kinerja usaha. Faktor-faktor yang dapat memengaruhi kinerja usaha tersebut antara lain adalah gaya kepemimpinan karismatik, budaya organisasi, strategic flexibility, dan ketidakpastian lingkungan (Morched & Jarboui, 2020). Kepemimpinan memiliki peran penting dalam menentukan masa depan bisnis.…”

“…Selain gaya kepemimpinan karismatik, budaya organisasi, dan fleksibilitas strategi, faktor yang dapat memengaruhi kinerja usaha adalah ketidakpastian lingkungan usaha (Morched & Jarboui, 2020). Ketidakpastian lingkungan (environmental uncertainty) merupakan hasil dari kompleksitas (complexity) tentang banyaknya dan keragaman faktor lingkungan yang memengaruhi bisnis dengan tingkat perubahan (rate of change) atau dinamika (dynamism) yang dialami pada kondisi lingkungan (Afriza et al, 2020).…”