family business research international center

Culture's Influence in Family Business

Organization Culture is one of the most overused terms in management today. It also happens to be one of the most critical indicators of the long term success of a business.

However, like many other really important things in life, organizational culture does not have a quick fix. Many people believe that a quick weekend retreat with employees, some team building activities, a four-hour presentation on company values, vision and mission, can all drill “culture” into the organization. Unfortunately, real life is more complex and a lot more organic than that.

In India, there is a huge importance placed on family and societal culture. It is one of the aspects of life that is passed on from generation to generation. Traditionally, the matriarch of the family and all the women per se are regarded as the guardians of the family’s culture.  Similarly, the custodianship of organizational culture in a family business falls on the shoulders of the founder.

In the three primordial drivers of life, Iccha, Kriya and Jnana shakti-s, culture is  an aspect of kriya – action. It is the manifestation in reality of the vision of the company. It almost has a life of its own. It is the fabric of the organization. It can be seen clearly in the habits and rituals of an organization, and gets stronger with time. It is also a reflection of the beliefs and shared value system of the business.

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