Why organizational culture is so important in formulating strategies.
Management and their relevance in formulating strategies.
Explain your rationale and provide research to support your claims.
In the contemporary corporate world, under a more integrated and inclusive framework post Globalization, the business operations of the companies have become more widespread and complex. The increase in the competitive environment also adds to the dynamics in the corporate domains. Therefore, for staying ahead in the competition and for ensuring long-term sustainability and profitability, an effective and efficient management framework is required for the same. Considering this, the report tries to analyze the problems, which are being recently faced by Uber, due to their poor management framework, and also tries to discuss the need for changes in their corporate culture (Forbes.com, 2017).
Recent management issues in Uber
Uber has over the years emerged as the primary global transportation technology giant; with headquarter in the USA and operating across 633 cities in the globe, creating huge employment scope. However, in the recent periods, the company has been facing several issues of immense concern, most of which are attributed to the decline in the quality of management of the company (Fortune.com, 2017).
One of the concerning issues is the presence of noticeable discrimination among the male and female employees in the company, in terms of pay, work place environment as well as sexual harassments on the female employees. Several female employees on this ground have in fact legally sued the company. Apart from discrimination based on gender and color, there are also several bothering issues cropping up in the company, which have been hampering the goodwill as well as the business prospects of the company to a considerable extent. The working environment of the company is also allegedly tensed and rigid as the employees are always in fear of retaliation from the management, if they complain or raise any issue.
Need for change in Corporate Culture
The work environment of Uber, as discussed above, is not the healthiest one as can be seen from the presence of grievances and work-place tensions of the employees, as discussed above. This unhealthy, aggressive and discriminating work culture of the company have also contributed to loss of goodwill of the company to a considerable extent, both on parts of the potential and existing employees as well as on parts of the consumers. Given this degrading and problematic corporate environment in the company, it is of utmost importance for the company to implement certain crucial changes in their corporate culture (Hua & Ray, 2017).
The primary changes, which are required to be implemented in the corporate culture of the company, are the increase in the clarity and communication in the framework of the company. Efficiency in management increases when there are proper communication channels among the different strata as well as sectors of the company facilitates the creation of a healthy and productive environment as the employees feel heard and valued (Rogers, 2015). The intimidating environment should also be reduced, strict, and biased vigilance on part of the company to prevent any further unpleasant issues of harassment, gender bias and other malpractices on part of the company. The implementation and proper working of the efficient corporate environment and an unbiased management can contribute in long term sustainability and increase in prospects of Uber efficiently.
Forbes.com. (2017). Forbes Welcome. Forbes.com. Retrieved 2 December 2017, from https://www.forbes.com/sites/georgebradt/2017/06/10/why-uber-needs-a-mu-sigma-culture-to-survive/#407e28f6315f
Fortune.com. (2017). Uber Is Hit With More Unflattering Allegations. Fortune. Retrieved 2 December 2017, from https://fortune.com/2017/10/25/uber-sued-alleged-racial-gender-discrimination/
Hua, J., & Ray, K. (2017). Beyond the precariat: race, gender, and labor in the taxi and Uber economy. Social Identities, 1-19.
Rogers, B. (2015). The social costs of Uber. U. Chi. L. Rev. Dialogue, 82, 85.