along with the best performance in cooperatives. ... SEO are, by definition, organizations of collective character with a shared power and, as such, their culture ...
Organizational Culture and Performance in Social Economy Organizations: an exploratory study in cooperatives
Cristina P. Marques /Ana C. Rodrigues /Marisa R. Ferreira Superior School of Industrial and Management Studies, Porto Polytechnic Institute 16 July 2015 - Lisbon
Index
Research relevance
03
Research purpose
05
Theoretical background
06
Research methodology
13
Population and Sample
14
Conclusions
18
Research relevance 1. Social Economy relevance, namely Cooperatives - Worldwide centennial phenomenon (crucial to its progressive legal and political recognition); ₋ The ever-increasing importance that this sector has been experiencing clearly shows its potential as an alternative job-creating agent;
₋ Cooperatives can be an indispensable player of social cohesion, promoting the renewal of the economy and society, contributing to the creation of new hopes and opportunities for communities and its citizens. 2. Scarce research on Social Economy ₋ Research on social economy clearly remains scarce (Social Economy and Sustainability Research Network, 2013).
Research relevance 3. Theme relevance in the context of the social economy ₋ Growing is need for management professionalization in general and namely regarding the management of their organizational culture and management of their performance, contributing to a
more scientific approach of these issues in the context of social economy organizations, in particular the cooperatives; ₋ European agenda priority – Horizonte 2020; ₋ Strengthening the legislative and institutional framework (Law nº 30 / 2013, 8th May | Basic Law of Social Economy).
Research purpose Main purpose:
₋ To understand the relationship between organizational culture and performance of social economy organizations, namely, cooperatives.
Specific purpose: ₋ To characterize the organizational culture of cooperatives;
₋ To characterize the organizational performance of cooperatives; ₋ To relate organizational culture with performance in different cooperatives, including cultures that get along with the best performance in cooperatives.
Theoretical background Social Economy in the European and Portuguese context
Europe Guarantees paid employment to more than 14.5 million people, about 6.5% of the working population in the EU-27 (Monzón & Chaves, 2012). Cooperatives representes 100 million jobs.
Portugal Consists of 55.383 units, representing 4.5% of gross national product. Employs 4.2% of the
economically active population. Cooperatives
represents
employment. (INE & CASES, 2013).
4.7%
of
total
Cooperatives A cooperative is an autonomous association of persons united voluntarily with economic aspirations, social and cultural common, through a common owned and democratically managed (CASES, 2012). The UN Secretary - General, Ban Ki-Moon, declared 2012, the International Year of Cooperatives considering that cooperatives are:
- relevant business model in economically difficult times and in case of collapse of markets; - recognizes that the cooperative movement as an important partner for the development and social cohesion.
Human Resource Management in the Social Economy Organizations HRM is critical to all organizations, particularly to Social Economy Organization (Akingbola, 2006) considering the essencial characteristics:
considering Social Economy diversity /HRM:
- social purpose, democratic process management, service deliverys;
- organization dimension;
- particularities of its human resources;
- social purpose, but their missions reflect the diversity of needs that respond;
considering ideology:
- primacy of co-operaters on capital; - respect for the person and his desires; - social responsability.
- variaty of activities;
- depending on the activities, people who employ; - great diversity of legislative and agreements frameworks.
The literature devoted to these organizations speaks of the importance of people, viewing them as their differentiator (Akingbola, 2006, Pynes, 2009; Ridder e McCandless, 2010).
Organizacional Culture in Social Economy Organizations Organizational culture is as mental programming, with all its implications in terms of beliefs, creation of
meaning and expression through artifacts and behavioral patterns, adjusted to the membership groups (Lopes, 2010).
Organizational culture, according Orsi, Marino, Rossi, Bertoia & Shiniashiki, (2005, p. 7), “(...) is particularly important in social economy organizations since people generally believe and trust in the cause for which they work.
SEO are, by definition, organizations of collective character with a shared power and, as such, their culture will not modeled the purposes and personality of a single leader, but of a set of people who have a collective project (Parente, 2010).
Competing Values Framework
The model conceptualized by Quinn & Rohrbaugh (1983) is one of the reference
models in this area, used in hundreds of organizations
around
the
world
to
successfully assess corporate culture and to promote
and
improve
organizational
efficiency.
Fonte: Quinn, 1991, p. 51 & Cameron & Quinn, 1999, p. 32
Performance Performance assessment systems contribute to organizations deal efficiently and effectively with the uncertainty environment in order to manage resources and interests of various organizational
stakeholders, increasing the probability of the goals set to be achieved (Ferreira, 2009). Performance is related to organizational culture, once it influences the behavior of members in the
organization, reflecting on motivation, engagement and organizational performance Caetano, 2001).
(Ferreira, Neves &
Performance in Social Economy Organizations Each SEO is a case and thus may deserve different treatmen (Kasperskaya, 2006; Carvalho, 2008, Moxham, 2009). Does not exist an appropriate method for measuring the performance of SEO, as there are variables difficult to quantify, however, SEO must adopt the best method of performance assessment,
depending on their goal and mission (Carvalho, 2005; Moxham, 2009). It is observed, also, that good management practices have a strong influence on the performance of
the SEO, sometimes even more than they have in the profit organizations (Keller, 2011).
Research Methodology - Quantitative methodology of exploratory nature
Data collection Organizational Culture - organizational culture questionnaire: OCAI -
“Organizational Culture Assessment Instrument” (Competing Values Framework (Cameron & Quinn, 2011), translated by Rodrigues & Caetano (2013) and adapted to the SEO reality by the author.
Organizational perfomance - documentary analysis in accordance with the performance assessment analysis model to the SEO of Carvalho (2005), to evaluate indicators from the components: sustainability, quantitative analysis and human.
-
- administered directly to the sample population (september and october of 2014).
in human component it was evaluated the people satisfaction, through the Work Satisfaction Survey, Portuguese version of Job Satisfaction Survey©, (Paul Spector, 1994), adapted by João Malheiro (2009).
Population and Sample 3 cooperatives: 2 coop. of education and training and 1 coop. of social solidarity, based in the north of Portugal. We obtained a total of 96 responses.
As a result of analysis, we found that: - 56,3% of the sample belong to the age group of 26 to 50 years old; - 63,5% has higher education; - 46,8% have 10 or more years of seniority in the organization; - 86,5% are developing paid and regular activity (80% a 100% of working time in the cooperative);
- 94,7 % of respondents are cooperator's members of the organization.
Presentation and data analysis Characterization of Organizational Culture of SEO Table 1- Cultural organization profile E1, E2 and SS
Characterization of organizational performance of SEO Table 2 - Performance evaluation measures for organization
Relating culture with performance in different cooperatives Table 3 - cultural profiles and performance in cooperatives Organization
E1
E2
SS
Clan- 2,84
Clan- 2,40
Clan- 3,08
Adhocracy – 2,43
Adhocracy – 2,22
Adhocracy – 2,64
Hierarchy- 2,03
Hierarchy- 2,09
Hierarchy- 1,97
Market - 2,43
Market – 3,31
Hum an Com ponent
Moderate Higt
Moderate Higt
Moderate Higt
Sustainability com ponent
Moderate Low
Moderate Low
Moderate
Quantitative analysis com ponent
Low
Moderate
Moderate
Overall Perform ance
Moderate Low
Moderate
Moderate Higt
Cultural Profiles predom inant
Final perform ance
Conclusions
The results contributed to suggest guidelines to be explored in the future: ₋ Does not exist a cultural profile that is "more associated" with a better organizational performance in cooperatives. Meaning that all cultural backgrounds may be good to get satisfactory results in the performance of cooperatives, according to what the authors say (Cameron & Quinn, 2011). ₋ Various types of culture get different performances, however moderate and regular, lead us to statement highlight.
Conclusions
₋ Various types of culture are important to obtaining good performances in cooperatives, there are higher prevalence for Clan, Adhocracy and Market cultures, and less dominance to the Hierarchy culture, bucking the trend found in literature of Cameron & Quinn (2001) .
₋ The data seem indicate Market and Clan cultures as the cultures that get along with the best performance in different fields of cooperatives activity.
Thank you for you attention Cristina Paula Marques
