Helal Murshed

Peoples Friendship University of Russia

Scientific Supervisor
Ivanova T. B.

The role of corporate culture and company effectiveness in Bangladesh

Corporate culture refers to the beliefs and values that have existed in an
organization for a long time, and to the beliefs of the staff and the foreseen value of
their work that will influence their attitudes and behavior. Corporate culture is
rooted in an organization's goals, strategies, structure, and approaches to labor,
customers, investors, and the greater community. Administrators usually adjust
their leadership behavior to accomplish the mission of the organization, and this
could influence the employees' job satisfaction. The knowledge of corporate
culture has increasingly received attention in many field of study. Traditionally,
implications of corporate culture can be understood through a qualitative approach
since it believed that characteristics of corporate culture are complex and difficult
to measure as a concept. As an executive, identifying, understanding and the
influencing the organizational culture can ensure corporate agility and success. As
a potential employee, catching a glimpse of the true culture of an organization will
help one decide if the company is a place where one can contribute and flourish.
In, both cases misunderstanding culture can lead to disaster.
Global economic situation urges the humanity to take steps go in search of
mutual understanding and comprehension. It is especially difficult but extremely
important to model an effective corporate culture in multinational companies
which face problems caused by national differences and cross-cultural
communication. (1)
In order to decide whether an organization is successful or not some indicators of
effectiveness should be analyzed. Customer satisfaction plays an important role
providing productivity for organizations. In addition, employee satisfactions are
very important for successful business. Effective organizations should have a
culture that encourages employee satisfaction. These employees are closer to

organization commitment. That is why it is very important to consider the

satisfaction of both customers and employees.
Corporate culture of the transnational company absorbs national cultures and
submits national mentality, creating a new vision of personal and labor relations.
Corporations are interested in constant employees vocational professional training
and education and HR rotation from region to another. It makes personnel stop
identifying themselves with their own country and its national interests,
considering them to be part and parcel of the multinational corporation.

So in the wide sense of this word corporate culture deletes national frontiers and
differences, and creates favorable conditions for transnational corporations to
penetrate and strengthen its positions in the markets overseas. (See:
.., .. : , .196-197)
In Bangladesh the corporate culture is a newly established social system which
enlightened the business environment with cultures of the different corporations.
For this reason the market is huge and the interest of business organization of the
country is significant. Mainly multinational corporations (MNCs) have tremendous
interest of marketing profits from this market.
Bangladesh is a country of rich cultural norms, values, tradition and festival.
Bangladeshis are totally influenced by the culture they adore. Corporations
national and international maintain and reconcile the true common culture of
Bangladesh in their corporate strategies to maintain a rich working environment
which will be productive and healthy for the corporation or company.(2)

After the introduction of privatization policy, the private business organizations

have spread rapidly and changed the working environment. Government
organizations are far behind in maintaining a good working environment than the
private companies. The reason for this success of maintaining good trend of
environment is strong and friendly working environment is the outcome of a strong
corporate culture.

However, is this apparent professionalism only skin deep? Are Bangladeshi

corporations truly adopting best practices in managing and promoting employees
and in encouraging appropriate employee behavior? There appear to be structural
forces that are raising the level of professionalism in Bangladesh. First, foreign
multi-nationals have rapidly become the employer of choice for top graduates from
business and engineering universities in Bangladesh. I was sharing my ideas with
Mr. Ahmad AHD director of Ayman group , a leading manufacturing company in
Bangladesh. He talked about how Ayman offers Bangladeshi employees a
professional work environment with more latitude than a multi-national
corporation may offer. Our production has increased a lot than the last decade
because of our positive corporative culture he said.
Strong and friendly environment is the outcome of a strong corporate culture. In
Bangladesh, MNCs are the path finder of practising unique corporate culture in
different organisations. Government organisation should promote an innovative
corporative culture which will create good working environment and increase the
production as well. In order to promote and maintain such culture one needs to
change images and the values, the evaluative and social elements of organisation.
This requires a strong leader, who knows where he wants to go, articulate both
these points and who has the power to drive the change inside the organization.

References
1 .IVANOVA T.B and MARIUS VACARELU, Corporate Culture and
Company Effectiveness, page 4
2. Abul Hasnat Opu, Corporate Culture in Bangladesh, page 3
3. .., .. : , .196-197