Culture And Climate In Entrepreneurial Organisation: Introduction: The Word Entrepreneur

Culture and climate in entrepreneurial organisation: Introduction: The word entrepreneur is derived from a French word, which means to undertake or start a new business .Innovations, climate and cultures ,finance ,risk and rewards are very much essential to produce the final economic outcome with huge profit though it is related with higher risks and responsibilities in an organisation. “The Entrepreneurial Process involves all the functions, activities and actions associated with the perceiving of opportunities and the creation of organisations to pursue them” (Byrgave and Hofer,1991,p14) Culture implies the personality of a organised culture. Culture reflects the values , norms ,beliefs ,assumptions and regulations of the company staff and their nature. The culture of a corporate company is very different from that of the culture of a school. culture signifies the identity of a person. Culture provides the pavement for the achievement of the task of the organisation. we can find different types of cultures in different firms and markets. Languages also play a prominent role in communication in many firms.

Rationale for research: This research is to emphasize the culture and climate in organisational entrepreneurship in both small as well as large firms. The firms would be successful only when the culture and climate influences the various lower categories of employees by the higher officials of the company .This helps to reduce the stress due to work. Culture provides employees with a sense of organisational uniqueness and generates a dedication to their work and beliefs, ideas can form anywhere within the organisation. Language mainly influences culture , many organisations uses definite slogan or saying to deliver special meaning to their employees, this would directly emphasize employees towards the organisation structure. Organisational culture: • The work can be done very efficiently if it is organised among the group rather than among individuals. This particular culture is used to share the previous activities achieved by previous employees who worked in the teams. • The employees are expected to work with more focus ,study and smart work to get rather focused results apart from innovation and risk taking.

(Stephen P Robbins & Nancy organisational behaviour...third edition) The directors are expected to set up certain standards and regulations to new employees. Identifying and selecting the candidate who fit in with the culture of the company is very important. The Top management should be able to communicate properly with the staff more efficiently and effectively about the regulations of the company. The culture of the firm should be inculcated in the minds of the staff. Types of cultures in an organisation: Depending on the values ,norms and ideas cultures may be classified into many types: 1.Blame culture:

In this type of culture the people are very selfish .The people doesn’t want to share their thoughts, beliefs and ideas with in the firm or outside. They want to develop individually without the aid of others and doesn’t even work for the company.

2.Multi directional culture: In this type of culture ,the people with in a particular group share the ideas and beliefs among themselves. They are not ready to work or share their ideas for other group of people. 3.Live and Let Live culture : In this type of culture people share their ideas and beliefs with few limited people or groups. They are share their ideas only if required. They work with the other group of people and the firm. 4.Brand congruent culture: In this type of culture people have strong beliefs and share their ideas with all co –workers, groups and other departments outside the organisation. They work mainly for the company growth and development. They are very trustworthy ,friendly, loyal. 5.Leadership enriched culture : In this type of culture people are rich in their leadership qualities and encouraging. They work very satisfactorily towards work ,encourage the workers with in the firm as well as outside. They work very dedicative towards the goals and objectives of the company. Example: By comparing the two best know companies in the world(IBM & Microsoft), we can understand the organisational culture .These companies never fell in the traps that made them to become dormant. Microsoft was one of the best company with revenues in the tens of millions ,but were long away from now. IBM was having the healthiest share of about 80% of the market share at that point of time.IBM used to invest a lot of money and time in investigating in a software system, which was a very huge amount. At that time most of the people reported that there would no more trials as OS/2 would be with every IBM with a strong hold on the industry, but this did not occur. This is because 80% of the market was using their own software. Microsoft did the same in the late 1980’s. OS/2 was really memory heavy and was not functional as it could have been. Bill Gates and Microsoft took the advantage of the weakness of IBM to take over the market share. But IBM could not analyse its own corporate culture and was in a opinion that they were doing everything right.IBM was only aiming to solve internal issues, goals and proving production. Programming was not done very efficiently as it did not have enough lines, whereas Microsoft did not aim on the bureaucracy but on getting the things done quickly. Meanwhile IBM was getting very entangled with high bureaucracy and heavier and heavier programming. Whereas Microsoft was very active in the market manufacturing customer focused products and was ruling the whole system market.IBM had many drawbacks resulting in delay customer service and production and so, had to hire entire outsiders to reorganise the company.

In this case IBM was very overconfident leading to dangers of bureaucracy ,goals, internal conflicts causing the company to lose its major share in the market. Initially it was in a position where no other company was in a position to compete with IBM, but due to lack of organisational culture. Microsoft is a role organisational culture that reflects the way that a company should work, while IBM recovered into a large company, the late eighties to early nineties show the cost of falling into the trap of a very organisational culture.

Innovation culture: Innovation is a part of the culture in any organisation, whether it may be small or large organisations. If the top level employees are innovative, then the low level employees automatically be innovative. Innovation can be done not only within an organisation ,but also with the neighbouring constituent organisations. Innovation should be open to all the individuals in a firm. Innovation and collaboration are strangely tied in the future of an organisation. Innovation can bring tough changes in the organisation with right leaders. Pick the leader with right mindset in a correct position with more innovativeness, so that the organisation does not have any problems. Entrepreneurship in large and small industries: The Entrepreneur should be highly skilled, interactive with the staff as well as the clients, whether it is a small or large organisation. The success or failure of the firm mainly depend on the entrepreneur right decisions, while starting a new project .Risk should be taken to get success, but the risk is very low in small firms when required with the large firms. The percentage of success is low in small firms when compared to large firms. The event of the entrepreneurship is the formation of an organisations, the process by which new organisations come into life. The entrepreneur is a part of difficult process of the new venture formation. Key characteristics of the entrepreneurial process: • It is unique. • It involves several ancestor variables. • It is a lively process. • It is a holistic process. • It involves a change of status. • It occurs at the level of individual firm.

Risk and rewards culture: Profits are always associated with risks. Risks are seen both in small and large firms. Every company has a risk manager who solves the problems of the workers and the firm. Risk management clearly defines the objectives and scope of policies and re-define regularly as the initiative expands and changes. The employees are rewarded for services they provide. Risk culture reduce risk taking in an organisation. The capital assets should be done properly.

Managing risk: “One person might aim too high and aspire to accomplish too much too quickly, or, conversely, shoot too low and expect to achieve too little.” (Schwartz; 2000). Risk includes mainly with decision takers, organisation leaders, intrapreneurs. This shows the impact on the effectiveness of the organisation this leads as if not following the action to be taken. This has to be controlled by eliminating the risk and reducing the risk factors, and accepting the little amount of risk. This all can be controlled or reduced through the scenario planning of the organisation structure and the management. Example : 1. As we look into the opening of the Heathrow terminal5. What should have been on the occasion of the national pride was in fact an occasion of national embarrassment. This mainly happened due to the lack of communication between the higher authorities and the lower subordinates. They have not assumed of the risk factor associated with the problem raised with the baggage handling system by not having proper training to the employees. Employee attitude survey has not been discussed in the meetings, it shows the monopoly of both BAA and BA. They even have not attempted to eliminate or reduce the risks, this shows the impact on whole the organisation entrepreneurship. As Schwartz said one should aim too high and expect to achieve too little where as the entrepreneurs in BAA organisation aimed too high and they expected to achieve too high.( The House of Commons transport committee, the opening of Heathrow terminal5, 12th report of session, 2007-2008, London: The stationary office Limited.) Climate: Climate is defined as a presentation attitude and beliefs that portray in the organisations. Climates deals with intrapersonal perception form of beliefs, views and opinions of the staff and this idea is called work climate. Climate can be felt at the low level area and altering area. The culture and climate differences can be interchangeable as per transformation and efficient change in the organisation. Culture Vs climate: • climate is more common assumption of culture where as culture is a comprehensive concept at different stages of examination. • Culture can be observed by the whole portion of an organisation but whereas climate can be observed by only individual shared behaviour, feelings and attitudes. • Culture comes under the region of anthropology but whereas climate comes under social psychology. Different tools and procedures are used to know about these theories. • Culture remain comparatively exclusive against normative and they feel that one set of assumptions are better or bad than others. Climate is regularly added normative commonly for nature and that are not same, but feel better for some definite things. Examine different types of climate and calculate the outcome against the other results such as improvement and growth. • Culture is more of qualitative type but whereas climate is more of quantitative type.

Conclusion: Therefore it can be concluded that in an entrepreneur organisation both climate and culture should behave properly using the basic principles of innovation, responsibility, risk management, rewards, leadership skills, decision making etc in the large or small organisations. Communication plays a role in shaping the organisation structure, it should be open for all the employees in a organisation. Culture mainly influences the whole organisation depending on the factors such as regional, language, values and attitudes. They should allow to represent their ideas into the company directly, and they should give identity for their contribution. By having proper communication whereas in large companies or small organisations we can minimise the risks by scenario planning.

REFERENCES:

• Byrgave and Hofer,1991,p14. • http://www.new-paradigm.co.uk/Culture.htm#Intro to Culture. • Stephen P Robbins & Nancy organisational behaviour...third edition. • http://www.organizationalculture101.com/sample-organizational-culture.html • http://findarticles.com/p/articles/mi_m3190/is_32_33/ai_55444109/ • The House of Commons transport committee, the opening of Heathrow terminal5, 12th report of session, 2007-2008, London: The stationary office Limited.