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Mr. Ali Al-Aradi is a Human Resource (HR), Learning Development (LD) & Management lecturer and writer, based in the Kingdom of Bahrain.[/symple_box]
Manama, Kingdom of Bahrain- Tacit Assumptions in the corporate culture has been defined as a pattern of shared basic assumptions which come in response to the need for internal integration and external adaptation. This definition implies that an organization’s culture is a response to internal forces. This response can manifest itself at three levels: (1) artefacts organizational attributes that take a material form, (2) personal values that are widely expressed and shared within the organization, and (3) tacit assumptions that are not normally articulated and identified in everyday interactions between organizational members.
These tacit assumptions operate as hidden rules of the road and are often unspoken or even a taboo to speak of. The problem organizations confront in developing an approach to Corporate Social Responsibility (CSR) that is consistent with the desires of the larger society is that explicit ethical codes of conduct and negatively framed admonitions from corporate leadership do not impact those tacit values embedded in the culture. If those articulated values are not in harmony with the organizations’ tacit assumptions, paradoxical behaviour can result. For example, acknowledged values may be to treat the customer fairly and not cheat them. A customer with a big order may then not be told of an available quantity discount, because the tacit assumption is that taking the extra revenue from the customer is not cheating. A company may have explicitly articulated values to treat the environment with respect and not pollute it, however, pollution is defined as dumping into the sea system those chemicals explicitly. Yet, if as a result of new technologies, the company produces a new type of waste that is consequently not on the hazard chemical list, the company dumps the new waste in the sea as the tacit assumption is that if it’s not on the list it doesn’t count.
Creating or changing the tacit assumptions embedded deep within an organization’s culture can be difficult since they are hidden from view and not to be spoken of. That is where the role of ethical leadership comes into play. The characteristics of authentic leadership are mutually reinforcing constructs which further develop the constructs of charismatic, transformational and transactional leadership styles. Inspired leadership enhances both the individual self-fulfilment and the long-run goals of the organization, while benefiting the larger society.
Leading such a change is likely to be an emotion-laden process in the organization’s mood where emotions are entwined with all the factors that constitute the organization’s culture. The effectiveness of addressing the values embedded within the organization’s tacit assumption may be dependent on the emotional state of organization members and the emotional state of the leaders.
The mood of the organization can be broken down into (1) the mood of the individuals within the organization, (2) the affective tone of the organization, and (3) public expressions of mood which impact group processes like coordination and task strategy. Mood can be seen as an emotional state along a continuum running from pessimistic, discouraged, and lacking hope, to optimistic, encouraged, and hopeful. The task of leadership in developing the values orientation necessary to practical compassion requires activities and experiences which move the group along the continuum to the optimistic, encouraged, and hopeful. The mood of the leaders is also important because emotion is contagious. The leader’s behaviour may be an important source for positive and negative emotions among organizational members. To be a leader, one must foremost be human. A leader is seen as integrating employee’s inner perspective on the purpose of life where this inner perspective is the foundation for decisions and actions in the outer world of business. The ethically effective leader needs to create situations and events that lead to an emotional response among organizational members that encourage the members to think about the larger purpose of their lives. Leader behaviours shape workplace, affective events such as: giving feedback, allocating tasks, distributing resources as well as developing relationships based on trust, respect, honesty, empathy and compassion.
The culture here is a learned response to the necessities of internal integration and external adaptation. Since business organizations are open organizations, their cultures are necessarily dynamic and subject to change over time. As the organization responds to external stimuli, the tacit assumptions necessary to make the organization more socially responsive can be addressed through the development in the form of practical compassion developed by its members. As a learned response to the process of internal integration, tacit cultural values can be influenced by ethical leadership. Leaders can encourage employees to develop their own values by example. Encouraging an orientation to finding a purpose outside of self or short run organizational goals can be a powerful approach to changing organizational culture.
Finally the process of the authentic leader will lead to the self-actualization and can be a powerful motivating force in the life of the employees. The creation of a positive ethical stance in an organization requires members who share a practical compassion for the world outside the organization’s boundaries. This is not an outcome which can be imposed from the outside, but must develop from within.
