Various business management theorists have introduced models of the types of corporate culture because there is no one common theory of the different models of organizational culture. It is mainly because businesses are very different in the ways that they operate.
Rob Goffee and Gareth proposed a theoretical model of corporate culture that is based on The Double-S Model of organizational culture. Specifically, it looks at two dimensions of corporate culture such as sociability (concern for others or tasks) and solidarity (unity or self-interest).
Dimensions of corporate culture by Rob Goffee and Gereth Jones
Every business organization has its own mix of the following dimensions of corporate culture including:
- Sociability. This refers to the degree of concern people in a business organization have for other people such as their colleagues. A corporate culture with high sociability tends to focus on relationship with people instead of tasks while a culture with low sociability tends to focus on completing tasks instead of people.
- Solidarity. This refers to the degree of unity in a business organization such as sharing the same values, having common interests, etc. A corporate culture with high solidarity tends to aid harmony leading to low levels of internal conflict, cooperative behavior and efficiencies. On another hand, low solidarity tends to aid self-interest leading to internal conflicts, uncooperative behavior and inefficiencies.
Here are different types of business organizations depending on their levels of sociability and solidarity:
- Networked organizations. High sociability and low solidarity.
- Mercenary organizations. Low sociability and high solidarity.
- Fragmented organization. Low sociability and low solidarity.
- Communal organizations. High sociability and high solidarity.
The ideal corporate culture will have both high levels of sociability and high solidarity.
Types of corporate culture by Rob Goffee and Gereth Jones
Based on different mix of dimensions, the following types of organizational culture can emerge:
- Hierarchy culture. Similar to Schein’s bureaucratic culture, this emphasizes rules, structure, and authority. Decisions flow from the top down, and employees prioritize stability and order.
- Market culture. Focused on competition, customer satisfaction, and profitability. Innovation and individual performance are highly valued, often leading to a fast-paced, results-oriented environment.
- Clan culture. Similar to Schein’s group culture, this prioritizes collaboration, teamwork, and loyalty. Relationships and consensus building are key, fostering a strong sense of community.
- Adhocracy culture. This culture champions risk-taking, flexibility, and creativity. Experimentation and individual freedom are encouraged, leading to a dynamic and potentially chaotic environment.
- Group culture. Like Schein’s model, this focuses on team success, consensus decision-making, and a strong sense of belonging. However, it differs by being more informal and egalitarian, with less emphasis on hierarchy.
- Network culture. This emphasizes external relationships, partnerships, and alliances. Information sharing and collaboration across boundaries are crucial, making it suitable for organizations operating in complex, interconnected environments.
It is important to note that these are just two dimensions of corporate culture, and in reality, most companies will have a culture that is a mix of these dimensions. The best type of corporate culture for a company will depend on a variety of factors, such as the company’s industry, size, and stage of development.
