In the following analysis of the Lincoln Electric Company case study, I will be exploring how Lincoln Electric’s organizational culture is seemingly well understood and communicated by the employees, as well as how consistency in the approach towards their organizational culture has attributed to the great success of the business, as well as generating extreme loyalty of their employees, not only to the business, but to each other as well. At Lincoln Electric, my analysis concluded evidence of several types of organizational culture that seamlessly work together, creating a hybrid organizational culture that has made Lincoln into a highly successful with a sustainable business model.
There seems to be a strong focus on the employee at Lincoln …show more content…
There are other factors contributing to the culture such as only entry level positions are hired from external sources, a policy of job security which virtually guarantees employment after a year of service, and the fact that there has not been a layoff at Lincoln since 1949. (“Lincoln Electric Company” p.7). Stock ownership by employees also contributes positively to the culture, and at the time of this case study in 1989, it is stated that Lincoln employees owned about 50% of the company stock (“Lincoln Electric Company” p.10). With employees well invested in the success of the company, it is not surprising to read about increased production and an employee willingness to perform many different tasks. The case study reveals high levels of worker performance, efficiency and work ethic of Lincoln employees. There is a direct correlation to the fact that they are also paid almost two times the standard compensation the standard factory worker is paid in the Cleveland area. Even a review of the company website today, 27 years after this case study, reveals “a strong tradition of promotion form within”, “guaranteed continuous employment”, and “profit sharing bonuses” …show more content…
Organizational culture can be impacted by employees (attitude, behavior, work ethic), management (management style, ability to relate to employees), policies (rigidity, enforcement), and work environment (organized, disorganized). In the following analysis of the Lincoln Electric Company case study, I found that the Lincoln approach to organizational culture has been successful mostly because of overwhelming mutual respect and understanding between employees and management. Every person has a clear understanding of their role in the business and the impact of their contributions. This approach lends itself to an extremely strong culture that has endured even 27 years after this case study was
There seems to be a strong focus on the employee at Lincoln …show more content…
There are other factors contributing to the culture such as only entry level positions are hired from external sources, a policy of job security which virtually guarantees employment after a year of service, and the fact that there has not been a layoff at Lincoln since 1949. (“Lincoln Electric Company” p.7). Stock ownership by employees also contributes positively to the culture, and at the time of this case study in 1989, it is stated that Lincoln employees owned about 50% of the company stock (“Lincoln Electric Company” p.10). With employees well invested in the success of the company, it is not surprising to read about increased production and an employee willingness to perform many different tasks. The case study reveals high levels of worker performance, efficiency and work ethic of Lincoln employees. There is a direct correlation to the fact that they are also paid almost two times the standard compensation the standard factory worker is paid in the Cleveland area. Even a review of the company website today, 27 years after this case study, reveals “a strong tradition of promotion form within”, “guaranteed continuous employment”, and “profit sharing bonuses” …show more content…
Organizational culture can be impacted by employees (attitude, behavior, work ethic), management (management style, ability to relate to employees), policies (rigidity, enforcement), and work environment (organized, disorganized). In the following analysis of the Lincoln Electric Company case study, I found that the Lincoln approach to organizational culture has been successful mostly because of overwhelming mutual respect and understanding between employees and management. Every person has a clear understanding of their role in the business and the impact of their contributions. This approach lends itself to an extremely strong culture that has endured even 27 years after this case study was