The Constraint of Organisational Culture and Performance ManagementManagement Process

This chapter provides an empirical analysis of the constraint of organisational culture and the performance management process design such as goal setting, performance rating and feedback, performance development. The cross-cultural setting was likened to such a PM landscape, one that contains a natural tendency for efficacy, one that has a natural propensity and latency. The tendency for efficacy within a situation may be exploited if allowed to unfold naturally and by seizing opportunities as they emerge, through influence rather than direct forceful control. In doing so, efficacious outcomes are rooted in natural attributes and propensity of the situation and have a natural sustainability, as opposed to a forced or imposed ideal of reality that is unlikely to be sustainable, as it is likely to require ongoing intervention to maintain the status of its effect. This chapter explained how cultural value differences might constrain the effectiveness of PM through systems design elements of goal setting, performance ratings and feedback, and approaches to staff development. Management control systems such as matrix management may also act as a constraint on staff performance, due to issues associated with the cultural distance of management operating outside the country of operation, of the offshore subsidiary’s business.