Organisational culture plays a pivotal role in shaping a company’s work environment, employee behaviour, and overall success. Two influential frameworks that provide valuable insights into this complex topic are Charles Handy’s Model of Organisational Culture and David Rock’s SCARF Theory. This article explores these models, key concepts, and practical applications in modern workplaces.
Charles Handy’s Model of Organisational Culture
Charles Handy, an Irish philosopher and management expert, introduced his model of organisational culture in his seminal work Gods of Management: The Changing Work of Organisations. Handy’s model identifies four distinct types of organisational culture, each represented by a Greek deity:
- Power Culture (Zeus): This culture is characterised by a central power source influencing the entire organisation. Decision-m
akin g is swift, and control emanates from the centre. Small, entrepreneurial companies often exhibit this culture. - Role Culture (Apollo): Roles and responsibilities are clearly defined in this culture. It emphasises logic, rationality, and bureaucracy. Large organisations and government institutions typically adopt this culture.
- Task Culture (Athena): This culture focuses on completing projects or solving problems. It values expertise over position and thrives in environments where flexibility and adaptability are essential.
- Person Culture (Dionysus): Here, individuals are the central focus. This culture is rare in commercial organisations but can be found in partnerships, small consultancy firms, or artist cooperatives.
Handy’s model provides a framework for understanding the underlying values and beliefs that drive organisational behaviour. Organisations can better align their strategies, structures, and management practices by identifying their dominant culture type.
David Rock’s SCARF Theory
David Rock, a neuroscience expert, introduced the SCARF model in his 2008 paper SCARF: A brain-based model for collaborating with and influencing others. The model is grounded in neuroscience research and focuses on five key domains that influence human behaviour in social situations:
- Status: Our perceived importance relative to others.
- Certainty: Our ability to predict future outcomes.
- Autonomy: Our sense of control over events.
- Relatedness: Our sense of safety with others.
- Fairness: Our perception of fair exchanges between people.
Rock’s theory asserts that these five domains activate the brain’s ‘primary reward’ or ‘primary threat’ circuitry. When people experience a reward in these domains, they are more likely to engage, collaborate, and perform well. Conversely, when they perceive a threat, it can lead to reduced cognitive performance, increased stress, and decreased collaboration.
Practical Applications in Modern Workplaces
Handy’s model and Rock’s SCARF theory offer valuable insights for modern organisations seeking to improve their culture and employee engagement.
Applying Handy’s Model
Organisations can use Handy’s model to:
- Identify their dominant culture type and assess its alignment with their goals and strategies.
- Recognise subcultures within different departments or teams.
- Guide organisational change initiatives by understanding the culture and the desired future state.
For example, a startup might initially adopt a power culture but may need to transition to a task culture as it grows and faces more complex challenges.
Implementing Rock’s SCARF Theory
The SCARF model can be applied to:
- Improve leadership practices by considering how decisions and communications might impact the five domains.
- Enhance employee engagement by creating an environment that positively addresses each domain.
- Design more effective performance management systems that consider the SCARF elements.
For instance, organisations might implement recognition programmes highlighting employee achievements to address the ‘Status’ domain. They could offer flexible working arrangements or increased decision-making authority to enhance’ Autonomy’.
Integrating the Models
While Handy’s model provides a macro view of organisational culture, Rock’s SCARF theory offers insights into individual motivations and behaviours within that culture. By integrating these approaches, organisations can create a more comprehensive strategy for cultural development and employee engagement. For example, in a Role Culture (Handy’s model), where clear structures and procedures are valued, leaders might need to pay extra attention to the ‘Certainty’ domain of the SCARF model. They could provide clear guidelines, regular updates, and transparent communication about organisational changes. Similarly, addressing the ‘Status’ domain becomes important in a task culture where expertise is highly valued. This could involve creating opportunities for employees to showcase their skills and contribute to important projects.
Challenges and Considerations
While these models offer valuable insights, it’s important to note their limitations. Organisational cultures are complex and can rarely be neatly categorised into a single type. Moreover, as highlighted in a Harvard Business Review article, applying theories like the SCARF model requires careful consideration of the specific organisational context and individual employee differences.
Conclusion
Charles Handy’s Model of Organisational Culture and David Rock’s SCARF Theory provide complementary frameworks for understanding and shaping organisational behaviour. By employing these models, leaders can create more effective, engaging, and productive work environments. However, it’s essential to apply these theories flexibly, considering the unique characteristics of each organisation and its workforce. As organisations continue to evolve in response to changing market conditions and workforce expectations, these models offer valuable tools for navigating the complexities of organisational culture.
