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The Financial Express

Posted: Tuesday, Nov 03, 2009 at 2152 hrs IST
Updated: Tuesday, Nov 03, 2009 at 2152 hrs IST


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: This paper* draws from a review of the literature on the concepts of sustainability and organisational culture in the current context of economic turmoil:

Sustainability is an issue of escalating importance as a result of structural changes of organisations that are consolidating, downsizing, merging and outsourcing, as well as due to the increasing complexity and unpredictability of the external environment. Understanding, assessing and managing organisational culture can help create both stability and adaptability for organisations, thus helping supportive integration of the sustainability strategy into appropriate organisational behaviour. The findings suggest that organisational culture moderated by leadership and trust plays an important role in sustainability of organisations. A model is thereby proposed depicting the role of organisational culture, leadership and trust towards sustainability of a firm. It is also suggested that organisations can be visualised as manifestations of cultures and future organisations need to integrate sustainability with their organisational culture in order to be prepared for the uncertain socioeconomic times. Sustainability is rooted in something deeper, something beyond superficial explanationand is difficult to be explained by terms like capabilities, competence building, competence leveraging, decision making, closing strategy gaps between the perceived and the desired states of any of the firm’s elements.

*Indu Rao, Implications of Global Crisis: Integrate Sustainability with Organizational Culture, WP No 2009-10-03, October 2009, IIM Ahmedabad

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