GENERAL ARTICLES

 

The role of leadership and values in creating a positive organisational culture

 

 

F. Van der Walt^I; L. Wiese^II

^IDepartment of Business Management Central University of Technology Bloemfontein, South Africa. https://orcid.org/0000-0001-6110-0716
^IIFaculty of Management Sciences Central University of Technology Bloemfontein, South Africa. https://orcid.org/0009-0000-0627-0958

 

 

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ABSTRACT

South African Higher Education institutions have historically faced significant challenges which hindered the establishment of a genuinely inclusive and conducive organisational culture. This study aimed to explore the organisational culture of a university of technology and consider the role of institutional leadership and organisational values in shaping a positive organisational culture within the university. This study utilised a case study design and a document analysis was conducted. The document analysis revealed sub-themes related to leadership, such as high leadership turnover, lack of information sharing, male-dominant leadership, lack of alignment between leadership structures, and student leadership. In terms of values, it became evident that values and culture are not aligned, employees lack knowledge of values, are not living organisational values, values are absent in Human Resources systems, and concerns were raised regarding student values. The study contributed to organisational culture literature in the Higher Education domain which is currently lacking.

Keywords: organisational culture, values, leadership, transformational leadership, South Africa, Higher Education institutions

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INTRODUCTION

South African Higher Education institutions (HEIs) face unique challenges in a rapidly changing environment currently characterised by limited human and financial resources, and an interplay of socio-political, historical, and educational factors (Waller 2004; Ngirande 2021). Amongst others, the country's history, marked by Apartheid and subsequent efforts towards inclusivity and differentiating leadership styles of organisations' executive and senior leaders, have influenced the development of organisational cultures within these institutions. However, despite the importance of organisational culture, sufficient consideration has not been given to it within HEIs (Coman and Bonciu 2016). The scholars argue that this lack of consideration given to organisational culture has led to university leaders and administrators often only having an intuitive grasp of their prevailing cultures, resulting in conflict and the manifestation of adverse relationships in various forms. Evidence of this conflict and adverse relationships in HEIs in South Africa (SA) has flooded the public domain in recent years. The problem is that organisational culture often emerges when an organisation is in a crisis rather than within a setting allowing for peaceful reflection and cooperative adaptation (Tierney 1988).

Considering and interpreting organisational culture provides critical insight into the best possible avenues to meet employees' needs and the institution's goals. This implies that HEIs should have a dual focus on organisational culture and educational quality, coined "quality culture" (Bendermacher, Oude Egbrink and Wolfhagen 2017). The scholars state that a quality culture shift implies an emphasis move from control, accountability, and regulation to increased autonomy, credibility, and educational attainment based on experiences, expertise, and values. This quality culture comprises both individual aspects (i.e., commitment, responsibility, and engagement) and collective aspects (i.e., trust, leadership, communication, participation, and shared values) (Hildesheim and Sonntag 2020). Amtu et al. (2021) assert that to improve the quality of Higher Education (HE), one needs to consider leadership and organisational culture.

Waller (2004) postulates that there is common ground in the organisational culture of HEIs, namely the dynamic and rapidly changing HE environment that is affected by internal and external factors. Previous research studies found that the organisational culture of HEIs can have a significant positive or negative impact on organisational effectiveness and the performance and perceptions of its employees about their organisation and how they relate to it (Demissie and Egziabher, 2022). While studies on organisational cultures abound, limited attention has been directed toward the intricate interplay between leadership practices and the cultivation of shared values in South African public HEIs. With its history of segregation and subsequent efforts towards equity and inclusivity, the South African HE sector offers fertile ground for investigating how leadership and organisational values change organisational cultures. This research gap not only hinders a comprehensive understanding of the dynamics influencing HEIs in SA, but also overlooks valuable insights that inform strategic decision-making, effective leadership, leadership development, and the cultivation of a cohesive community within these institutions based on shared values. Addressing this research void is vital for enhancing the overall quality and transformative potential of South African HEIs. Against this background, this research delves into leadership and values prevailing in a South African university of technology, shaping its interactions, decision-making processes, and environments.

Focusing on values within an organisation holds profound significance, as it lays the foundation for a cohesive, purpose-driven, and ethically guided environment. Values serve as the moral compass that shapes the organisation's citizens' interaction, decisions, and behaviour (Fraraccio 2023; Schein 2004). When shared values are consciously identified, nurtured, and aligned with the organisation's mission, they foster unity and a sense of belonging among employees (Bailey, Yeoman and Kerridge 2018). This, in turn, enhances communication, collaboration, employee engagement, and the organisation's professional image, making it more attractive and drawing like-minded talent that resonates with its ethos (Vance 2006). By infusing values into an organisation's fabric, leaders cultivate a culture that drives performance and innovation, integrity, trust, and a positive organisational reputation, both internally and outside of the organisation (Tsai 2011).

Aim of the study and research objectives

This study aimed to explore the organisational culture dynamics within a university of technology, and to establish how the institution's leadership and values are shaping the future of the HEI. Furthermore, the study aimed to expand on organisational culture literature in the HE domain, which is currently lacking. Aligned with the aim of the study, the following research objectives were formulated:

• To analyse institutional documentation relevant to the organisation's culture.

• To suggest initiatives to promote a positive organisational culture which may also be helpful to other HEIs in SA.

 

LITERATURE REVIEW

Organisational culture

An organisation's culture encompasses the norms, beliefs, behaviours, shared values, and underlying assumptions that shape the identity and character of the organisation, and that manifest in the behaviour, thinking, and feelings of the members of the organisation (Mikusova, Klabusayova and Meier 2023; Pratiwi et al. 2023; Schein 2004). It includes the accepted guidelines that influence how individuals within an organisation behave, interact with one another, approach their work, and make decisions (Demissie and Egziabher 2022). An organisation's culture impacts organisational performance (Pratiwi et al. 2023) and employees' performance, effectiveness, and motivation (Paais and Pattiruhu 2020; Van Straaten 2019). The development of an organisational culture is a gradual process that results from various factors, including its employees' experiences, the organisation's leadership style, and how it responds to challenges. Over time, these elements form a distinctive organisational ethos that is recognisable and unique to the given entity (Lory and McCalman 2002; Cooper 2007). It is important to note that the evolution of an organisational culture is an ongoing and dynamic process that is influenced by various internal and external factors and is subject to change. Understanding how these factors contribute to forming an organisational culture is essential for leaders seeking to shape and maintain a positive workplace environment to achieve organisational goals.

Leadership

Leadership styles may impact an organisation's employees positively or negatively. For instance, democratic and participative leadership styles may positively impact employees' performance and motivation (Hassnain 2023; Iqbal, Anwar and Haider 2015). Transformational leaders go beyond managing an organisation's day-to-day activities and aim to take the company, team, or department to higher performance and success (Piccolo and Calquitt 2006). Amongst others, they motivate employees, set goals, encourage team players, offer incentives to encourage optimal performance, and provide opportunities for employees' professional and personal growth (Piccolo and Calquitt 2006). Organisational leaders fulfil a crucial role within organisations beyond their management level. Therefore, universities' executive and senior managers, and line managers at all levels have a significant role in establishing a positive institutional environment and culture where employees are motivated to develop and excel (Dobre 2013; Oliver 2012).

The role of leaders in shaping and sustaining the organisation's culture cannot be overemphasised. When leaders fail to lead by example, or to exhibit the strength and commitment required to drive organisational culture change, the essence of the organisation's culture becomes vulnerable (Fullan 2007; Hickman and Silva 2018). Hou, Peng and Nie (2023) assert that employees lose trust in leaders who do not consistently fulfil their leadership roles and may become disillusioned and confused. This may negatively impact their innovativeness and cause them to resist change and stagnate in their roles. This research sheds light on the far-reaching consequences of weak leadership, and the importance of appointing and cultivating leaders who can drive a transformative organisational culture that will enable the organisation to grow, and employees to thrive within a conducive environment.

Values

Personal values play a significant role in shaping behaviour and decisions, whether in life in general or in the workplace (Arielli, Saggiv and Roccas 2020). They may also have a bearing on how engaged and committed employees are to their organisation (Schein 2004). As such, it is crucial for organisations to ensure that they recruit and appoint employees whose personal values and ethics are aligned with those of the organisation (Hoffman and Woehr 2006; Van Straaten 2019). The values an organisation upholds should form the basis for how employees behave. This is especially pertinent for South African HEIs, where universities must articulate, share, and fully embrace their values.

When an organisation's employees fail to uphold its core values, it can break down the organisational culture (Ellemers and De Gilder 2022) and ultimately harm the organisation's overall performance. For example, if an organisation values Ubuntu, which emphasises interconnectedness and employee well-being (Chigangaidze 2022; Mutanga 2023), a failure to embody these principles can lead to a lack of collaboration and empathy, hindering innovation, productivity, engagement, and team cohesion. When these factors are compromised, they can have a negative impact on the organisation's growth and competitiveness (Mangaliso 2001; Muller 2017). Similarly, neglecting excellence can also adversely affect employees' productivity, while toxic leadership and a lack of integrity can erode trust and damage the organisation's professional reputation (Tavanti and Tait 2021). These points highlight the profound importance of employees embodying an organisation's core values.

 

THEORETICAL FRAMEWORK

This research examines leadership dynamics and organisational culture utilising the Transformational Leadership Theory (Bass and Riggio 2006) as a theoretical framework. The reason being that organisational culture can impact the development of its leadership, which, in turn, contributes to the organisation's culture (Bass and Avolio 1993). According to previous research studies, transformational leaders significantly influence organisational culture (Lasrado and Kassem 2021). Hartnell and Walumbwa (2011) emphasise the significance of studying organisational culture and transformational leadership to better understand how leadership affects the social context and stimulates favourable organisational outcomes. A transformational leader takes the initiative to drive change and raise awareness among subordinates to benefit the team and achieve exceptional goals (Busari et al. 2020). Putri, Mirzania and Hartanto (2020) point out that transformational leaders are crucial for guiding, persuading, and inspiring employees through difficult times by creating a deeper understanding of the organisation's vision. Although transformational leadership primarily applies to the business context, it is also relevant to HEIs that operate similarly to businesses (Chipunza and Gwarinda 2010).

 

METHODOLOGY

Design

Aligned with the study's exploratory nature, using a qualitative research design was deemed appropriate. The research design adopted for the study is a case study, which focused on the organisational culture of a University of Technology, i.e., an individual unit (Babbie and Mouton 2014). Furthermore, document analyses were conducted to identify and understand the current and desired organisational cultures. According to Bowen (2009), document analysis particularly applies to qualitative case studies to provide a rich description of a single phenomenon.

To conduct document analyses on organisational culture, we considered several Senate reports related to the subject under investigation. From the documents submitted over a three-year period, we identified four documents for inclusion in the analysis. We deliberately chose these documents as they report on the university's challenges with organisational culture from 2020 to 2023, including internal leadership instability, politically incited student protests, and the impact of COVID-19, which contributed to the absence of a positive performance-based organisational culture. These documents were submitted to the governance structures of the institution to provide a comprehensive understanding of the prevailing organisational culture and suggest interventions towards improvement thereof. Ethical clearance was obtained from the institution under research to conduct the study. Confidentiality measures were rigorously upheld to protect the institution's identity and data integrity.

Data analysis

According to Bowen (2009), document analysis involves skimming (superficial examination), reading (thorough examination), and interpretation, combining elements of content analysis and thematic analysis. Carley (1993) proposed eight steps for conceptual content analysis, which include deciding on the level of analysis (analysis - one word, key phrase, or string of words from a literature review); deciding how many concepts to code for; deciding whether to code for the existence (does or does not occur) or frequency of a concept; deciding how to distinguish among concepts; developing roles for the coding of texts; deciding what to do with irrelevant information; coding texts; and analysing results. The researchers followed these steps for the analyses conducted.

 

FINDINGS AND DISCUSSION

During the initial document analyses process, it became evident that leadership and values were the two most recurring words in the selected documents. The literature review confirmed that leadership and values are relevant to organisational culture, and as such, these two themes were chosen for reporting in this research article. Table 1 reports the frequency of the concepts and the identified sub-themes from the analyses.

In the subsequent section, these themes (leadership and values) will be discussed according to the sub-themes that emerged during the data analysis.

Leadership

The most recurring theme that emerged was leadership. Leadership is essential in any organisation, because leaders influence followers' behaviour and attitudes towards stated organisational goals and form a vital part of effective decision-making (Baba, Makhdoomi and Siddiqi 2019). Therefore, strong leadership is required for optimal organisational effectiveness.

The first sub-theme that emerged was high leadership turnover. Despite evidence that leadership turnover could improve outcomes such as innovation, strategic thinking, and openness to risk in the business environment, the opposite has been reported for HE (Scott, Dizon and Kezar 2019). In HE, lengthy tenure improves decision-making and working relationships, and as such, leadership instability is concerning in this context. The issue of leadership instability is evident in many SA universities. Leteka-Radebe (2022) reported that some of SA's leading HEIs are losing members of their executive teams fast due to resignations or retirements, which may have contributed to leadership instability and unsuccessful leadership transitions. This instability has had a detrimental impact on working relationships in many cases, which is concerning if one takes into consideration that trust (which emerges from working among leaders and followers) could enhance or hinder success and psychological outcomes, such as individuals' well-being (Farmanesh and Zargar 2019).

The second sub-theme that emerged in terms of leadership, was the level of transparency achieved by the leadership team and information published about the needs and interests of society. The latter concern is aligned with the findings of Croucher and Lacy (2020), namely that concerns regarding broader society and communities have emerged as two of the highest-rated issues faced by HE. A desired state reflective of a broadened agenda focusing on the needs and interests of society should, therefore, be envisioned. Furthermore, improving leadership transparency requires accountability, communication, and openness (Spalluto et al. 2020).

The third sub-theme that emerged was the leadership team's male-dominant composition and that women are not sufficiently supported to succeed in leadership. HE leadership being male-dominated seems to be a global trend. In South Africa, various structures have been formed to promote gender diversity, e.g., HE Resource Services South Africa (HERS-SA); yet there still seems to be an absence of women leaders in the South African HE landscape (Macupe 2020). O'Connor (2020) asserts that the reason why reducing gender inequality in these male-dominated organisations has been slow is that the organisational culture and structure work against initiatives and interventions promoting gender equality. Furthermore, apart from senior leaders being male-dominated, university councils are often also male-dominated, and as such, decisions are influenced and directed by men. To transform universities, they need to be reflective of their student bodies and communities, and, as such, it is necessary that diversified governance and management structures drive the process.

The fourth subtheme that emerged was a lack of alignment between different leadership structures in the organisation, such as the Council, Executive Management, and Senate. This misalignment is also experienced at other HEIs in SA. For example, the quality audit conducted at the University of South Africa (UNISA) indicated ambiguity around the roles and accountability of the Council, Senate, and Management (James and Dell 2023). This ambiguity and lack of alignment is not a new issue. Kulati (2000) raised the same concern more than two decades ago. The scholar stated that university councils either do not adequately fulfill their mandate to support management or become too involved in institutional governance and management operational aspects. To ensure that governance and management structures are in tandem with each other, it is necessary that the roles and accountability of different structures are clearly defined in universities' statutes and that proper onboarding is conducted.

The fifth sub-theme identified was student leadership. It was mentioned that student leadership gets involved in management matters. This behaviour is expected, given that similar concerns were previously raised regarding university leadership, which should ideally act as exemplary role models for student leaders. It was further mentioned that the Students' Representative Council (SRC) has created a culture of continued strikes and unrest, and this culture is persisting, which is not conducive to teaching and learning, and the well-being of staff and students. Frantz, Marais and Du Plessis (2022) emphasise that HEIs should aim to develop students into responsible citizens and leaders in broader society. It is, therefore, critical that HEIs evaluate their success in pass rates and throughput rates, whilst also considering their impact on their students and the broader society.

Values

The second most recurring theme that emerged from the document analyses was values. The first sub-theme which emerged was that the organisation's values are clearly articulated and appropriate but compromised because the culture and values are not aligned. Baumgartner (2020) emphasises the importance of building an organisational culture aligned with personal values through empowering employees to live by shared values. This can be achieved by fostering more collaborative relationships at work. Furthermore, employees' feelings and perceptions of the organisational culture create patterns of trust, values and expectations that create shared meanings (Amtu et al. 2021). Therefore, creating an organisational culture aligned with organisational and personal values is essential.

The second sub-theme which emerged was a lack of knowledge and embodiment of organisational values. It was mentioned that not all employees could identify the organisation's values and fully embrace and live them. It was mentioned in one report that values are just words and that they are not being put into action. Ekwutosi and Moses (2013) postulate that organisational culture is more than just shared internalised values and beliefs, and that it should be concerned with collective sensemaking, collective purpose and collective consciousness. The reason being that collective consciousness develops from social forces that work together to create shared beliefs, values and ideas which individuals internalise and then behave accordingly (Cole 2019). Thus, if collective consciousness or sensemaking is absent, individual behaviour will not be aligned with organisational culture and values. As alluded to earlier, to create a strong organisational culture, there needs to be alignment between individual and organisational values (Diskiene and Gostautas 2013).

The third sub-theme which emerged was that values are not translated into observable behaviours nor embedded in critical HR systems such as recruitment, performance management, and compensation. It is therefore evident that although the organisation has espoused organisational values (i.e., values that are explicitly stated and preferred), values are not enacted (i.e., evident in employee behaviour) (Kreitner and Kinicki 2013). Because of the latter observation, it was noted that employees and leadership are not held accountable for living the organisation's values. Grote (2011) postulates that organisations seldom hold employees accountable for living organisational values during performance appraisals. However, the issue of accountability seems critical and should be integrated into performance management systems, as emphasised by Gleeson (2021). This integration allows employees' day-to-day actions and behaviour to be more authentically aligned with organisational values.

The fifth sub-theme that emerged was student values. It was mentioned that students do not embrace and live the organisational values fully. As such, a comment was made that students should be holistically developed and taught good values, morals, and principles. This perspective of HEIs' role in the holistic development of students has been supported by various scholars (e.g., Bosio and Schattle 2021). Bosio and Schattle (2021) point to educators' critical role in developing students' core values, which can assist them to act as value creators. Apart from educators, extracurricular activities and group work are essential to produce the type of students required in the world of work (Dicker et al 2019). This supports the notion that HEIs need to consider the development of student values holistically and that these values should form an integral part of creating a quality culture.

 

LIMITATIONS AND RECOMMENDATIONS FOR FUTURE RESEARCH STUDIES

The study's findings are limited to the university of technology under study. Therefore, we recommend that more studies be conducted across South African HEIs to determine the challenges of their organisational cultures and how to overcome them. Furthermore, the study only relied on document analyses, and the ideal would have been to confirm the findings with another data collection method, such as interviews. However, the study's exploratory nature was deemed sufficient to conduct a document analysis. Also, the documents analysed in this study contained data collected by means of questionnaires and interviews, which were found to be adequate for this study. Future document analyses studies may consider confirming their findings with other sources, utilising qualitative or quantitative research.

 

MANAGERIAL IMPLICATIONS

The results obtained from the study offer significant implications for HEIs and their leadership, which shall be expounded upon in detail. From the findings it is suggested that South African HEIs must foster and embrace transformative leadership to inspire and empower both faculty and students to adapt and excel in a dynamic and evolving world. To mitigate the exodus of executive leaders, HEIs should consider implementing effective retention strategies that prioritise relationship management, create a conducive work environment, and facilitate career advancement opportunities (Walker 2017). Specifically, retention strategies must focus on fostering positive relationships with employees by demonstrating appreciation and open communication channels that promote transparency. Additionally, building effective teams and providing promotional opportunities and opportunities for professional growth are crucial factors for retaining executive leaders. Gandy, Harrison and Gold (2018) state that turnover in HE is often neglected as it is understood to be prevented through fair promotion, higher salaries, and employee satisfaction. However, due to the complex challenges South African HEIs face, more research should be conducted to assess current talent management and retention strategies.

To promote gender equality in leadership positions, it would be meaningful for HEIs to examine their structures and organisational cultures, as proposed by O'Connor (2020). This means they should assess their recruitment and promotion criteria to ensure that they are fair and unbiased towards women and do not obstruct women's career advancement. Additionally, they should evaluate their ongoing structural practices, such as workload allocation, to ensure they are equal and do not disadvantage women. Furthermore, it is essential to consider the impact of informal practices on career advancement, as noted by Akala (2018). These informal practices may include gender-based stereotypes and biases that can undermine women's career growth and limit their opportunities for advancement. Hence, HEIs should assess and address any such informal practices that may give preference to men over women. By adopting these measures, a work environment that is more inclusive and equitable and that provides equal opportunities for women to advance in leadership positions can be created.

When recruiting and selecting employees, it is suggested that South African HEIs strongly emphasise the values of the individuals interviewed and the alignment of each interviewee's values with those of the organisation. This is crucial to ensure employee commitment and ethical conduct, alignment in decision-making, and fostering a positive organisational culture while supporting and living the organisation's values. Value Congruence Theory (Triandis 1959) underscores the significance of shared values between individuals and their respective organisations. According to this theory, a heightened level of congruence in values is posited to yield favourable outcomes, such as heightened job satisfaction and commitment, thereby positively influencing the overall organisational culture. Furthermore, living the organisation's values should form part of the annual performance contracts of employees, and employees who perform well in this regard should be acknowledged and celebrated - not necessarily in monetary terms, but at least at unit or departmental level.

Effective student leadership is essential in South African HEIs. From their induction, universities should instill in their students a strong emphasis on morals, values, and commitment to society. Amongst others, this can be done through workshops, roadshows, webinars, and the organisation of fun events where these principles are advocated amongst students. University leaders and staff should also display such morals, values, and commitment through the example they set for students. Universities' vital role in developing student leaders to become responsible citizens has been supported by literature (Frantz et al. 2022). Therefore, HEIs must evaluate their success in developing student leaders and their broader societal impact.

Such a comprehensive approach to organisational culture, leadership and values will align the university's core values with its organisational culture (and vice versa). This will create a supportive environment that enables university employees and students to reach their full potential and make a positive impact on society.

 

CONCLUSION

The aim of this study was to investigate the dynamics of organisational culture within a university of technology and analyse how the institution's leadership and values shape its future. Additionally, the study aimed to expand the literature on organisational culture in the HE domain. The findings underscored the critical role of leadership in ensuring quality within the HE context. By comprehending the importance of organisational culture in South African universities and the role of leadership and organisational values in creating a transformative and enabling environment for employees and students to thrive, the implementation of the strategies proposed in this research article can help South African HEIs establish an environment that promotes the growth, success, and well-being of all their stakeholders. By fostering a conducive organisational culture, South African universities can enhance their reputation, attract and retain talented individuals, and contribute to advancing knowledge, research, and societal development.

 

DISCLOSURE STATEMENT

No potential conflict of interest was reported by the authors.

 

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