Optimizing corporate culture dimensions and operational performance in the context of multinational companies in Kenya
DOI:
https://doi.org/10.14267/VEZTUD.2024.11.02Keywords:
corporate culture, market culture, consensual culture, bureaucratic culture, adhocracy culture, operational performance (OP), multinational companies (MNCs)Abstract
The performance of multinational firms in Eastern Africa has raised concerns about their future sustainability. In this paper, the authors argue that optimal management of corporate culture is a way these firms could improve their operational performance. Edgar Schein’s Model of Culture and the Contingency Theory served as the foundation for the research study. The study utilized the descriptive cross-sectional survey technique, in which structured questionnaires were administered to 150 foreign multinational companies in Kenya. Data were analysed for descriptive statistics, correlation, and multiple regression analysis using SPSS. The results showed that adhocracy and bureaucratic culture had a significant positive influence on operational performance. However, market and consensual culture had a positive influence that was not significant. Empirically, the study contributes to management practice by diagnosing corporate traits as a process factor, especially in instances where activities such as recruitment, onboarding, international management, and innovation are being carried out by an organization.
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