Organizational Culture: Preferences and Realities

In this study we provided findings on the changeability of organizational culture preferences, the gaps between organizational preferences and realities, and findings on differences in preferences across five world regions and four countries—all with an emphasis on graduates with MBA degrees.

Overview

Job turnover is a major concern for organizations. The cost for recruiting new hires in the United States averages $6,000 (Leibowitz, Scholossberg, & Shore, 1991), and, for new MBA hires, the worldwide average is $12,073 (Schoenfeld, 2005). These recruiting costs alone make it in the best interest of the organization to reduce turnover, but when the monetary and nonmonetary costs of training, start-up time, and integration into the organization’s operations and culture are also considered, the importance of reducing job turnover becomes even more apparent.