THE INFLUENCE OF LEADERSHIP ON ORGANIZATIONAL CULTURE

Abstract

Research confirms that a leader's style has a profound impact on the organizational climate and, consequently, shapes the organizational culture. The article reviews various approaches to classifying organizational cultures. The authors compare different typologies of organizational cultures based on the leader's influence on their development and sustainment, analyze how leadership style affects the organizational climate, provide examples illustrating leaders' roles in forming organizational culture, and describe mechanisms for establishing and maintaining a customer-oriented culture. The article notes that in a globalized world, having a clear strategy, utilizing information technologies, maintaining high-quality standards, and employing highly qualified personnel are necessary but not sufficient conditions for remaining competitive. Organizational culture is becoming a critical factor in a modern organization's competitiveness. The founder or leader plays a pivotal role in shaping and managing the organizational culture. The article argues that the study of organizational culture is more popular than ever. This heightened interest has led to numerous definitions and classifications. In our view, organizational culture is a system-forming phenomenon that defines the boundaries, norms, patterns, and rules of behavior within the organization, guiding how individuals and the organization achieve their goals. Different approaches to classifying organizational cultures assign varying roles to leaders. Let us examine typologies where issues of power and leadership are central. The article concludes that organizational culture is a unique and inimitable phenomenon—a fragile yet valuable tool for managers. Leadership is crucial in shaping an organization's culture. Without a leader, a “culture of powerlessness” can occur. The leader’s influence depends on the organizational conditions within which they operate. A creative leader can manifest ideas in any cultural form, but a leader introduced into a strong “systemic” culture may find it difficult to disrupt or fundamentally change it. In today's Georgian environment, leaders who can create a customer-oriented culture with high ethical standards are in especially high demand.