AbstractsBusiness Management & Administration

Organisations in many industries, such as energy, banking and electronics, have faced increasingly complex and changing environments brought about by deregulation, technological revolution, foreign competition and unpredictable markets. Key to the success of these organisations is the development of a particular culture for the organisation. A well-conceived and well-managed organisation culture closely linked to organisation success, can also mean the difference between success and failure in the present demanding environment. Organisational culture has been assumed to have important implications, not only for the individual's affective reactions to organisational life, but also for organisational effectiveness. This study investigates the relationship between organizational culture and effectiveness in the Western Cape banking industry. Beginning with an existing model of organizational culture and effectiveness, the paper presents a linked study. The study uses survey data from six organizations designed to test the applicability of the model in the context of the Western Cape banking industry. The results support Denison's findings, namely that organisational culture has a positive impact on effectiveness. The discussion includes several recommendations for future research.