Abstract
The values sharing mechanism summarizes the process of gathering, communicating and sharing the organizational values. It is placed in the upper vertex of the top pyramid of the loose coupling PMS and directly affects other four mechanisms, namely performance measurement, strategy formulation and implementation, incentive and rewarding. The values sharing mechanism also indirectly affects the strategy execution mechanism. In this Chapter, I will put forward the domain of the values sharing mechanism, by distinguishing between national and organizational culture, and the values embedded in the organizational culture. The following section analyses the impact of the values sharing mechanism on the organizational performance. Moreover, in the last section, a discussion on the design of the values sharing mechanism will be put forward in order to develop further the knowledge on the organizational culture and provide fruitful insights to PMS practiotioners.
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Notes
- 1.
Simons defines what has here been called as a ‘value sharing mechanism’ beliefs system, i.e. “concise, value-laden, and inspirational” (Simons 1995: 82) statements able to “empower individuals and encourage them to search for new opportunities” (p. 81).
- 2.
In order to understand the concept of culture, a study reviewed the literature and found 164 definitions of culture. Authors put forward a definition of culture based on the main characteristics analysed in these studies as follows: culture “is a product; is historical, includes ideas, patterns and values; is selective; is learned; is based upon symbols; and is an abstraction from behavior and the products of behavior” (Kroeber and Kluckholm 1952: 157).
- 3.
Hofstede distinguishes four main cultural characteristics that differ among countries, namely (a) individualism/collectivism, (b) masculinity/femininity, (c) power distance, and (d) uncertainty avoidance (Hofstede 1980).
- 4.
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Demartini, C. (2014). The Values Sharing Mechanism. In: Performance Management Systems. Contributions to Management Science. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-36684-0_6
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