Business Management

Internal Assessment
Higher Level
The impact of organizational culture in motivation and
performance at Universidad del Pacifico
To what extent does organizational culture impact employee motivation and performance at
Universidad del Pacífico?

Word count: 2690

Executive summary: 153
Research proposal: 492
Main body: 2268
Contents page:

Research proposal: 2

Research question: 2

Rationale: 2

Theoretical framework: 2

Methodology: 2

Anticipated difficulties: 3

Action plan: 3

Executive summary: 3

Introduction: 4

Method employed: 5

Main results and findings: 5

Analysis and discussion: 6

STEEPLE: 9

Hofstede Cultural Dimensions: 12

Conclusion: 12

Recommendations: 13

Sources: (interviews and survey): 13

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Research proposal:

Research question:
In this investigation the proposed research question is: To what extent does organizational culture

impact employee motivation and performance at Universidad del Pacífico?

Rationale:

The company might desire the output analysis because of the different opinions that the employees

working there are suffering from, although an ethics code is put in place there might be a way to even

improve productivity and efficiency when it comes to work output. Every company is surrounded

with employees who might want a better environment who suffer from regular business days. This

might affect motivation and productivity throughout the business.

Theoretical framework:

In this essay the subjects explored will be the second unit which is human resources. Then multiple

tools from the business management toolkit will be used: SWOT analysis, STEEPLE analysis,

business plans, descriptive statistics, Hofstede’s culture dimensions and force field analysis. A bit of

the fourth unit of marketing might also be used to explain business decisions.

Methodology:

In this investigation several primary sources of information will be used, these include: interviews

with employees, a survey with several responses from a lot of employees and employers. Plus several

documents such as the gender equality policy provided by the university for a more in depth analysis.

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Anticipated difficulties:

The lack of direct connection with the university might prove to be a limitation to research because

they might believe that the one conducting this research might do it for negative reasons instead of

what has really been done.

Action plan:

Apr May Jun Aug Sep Oct Nov

Task / Date Jul 2023
2023 2023 2023 2023 2023 2023 2023

Identification of a company
and research question

Secondary Research
Primary Research
Planning and writing of
Research Proposal
Analysis of Research
Writing of Written Report

Writing of Executive
Summary
Final Draft Submission
Feedback and improvement

Final Submission

Executive summary:

La Universidad del Pacifico is a university situated in Lima, Perú. There are various people apart from

professors or students because it is not just a school it is also a center for economic action where

consultancies are the main product and to sell the motivation and performance of employees is

important. In the investigation a SWOT analysis, STEEPLE analysis and Hofstede Cultural

Dimensions were used with a survey conducted to various employees and an interview conducted

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with employees and documents such as the code of ethics and the policy of gender equality. In this it

was found that motivation and performance is affected but there is a balance between productivity

with this issue that some felt that the organizational culture helped them with motivation and others

who did not. The limitations could be the lack of direct contact and the amount of time that would

take for visual changes to take place.

Introduction:

In the realm of academia, the role of organizational culture in influencing employee motivation and

performance stands as a pivotal subject of inquiry. This investigation delves into the specific context

of Universidad del Pacífico, aiming to gauge the extent to which its organizational culture shapes the

engagement and productivity of its employees.

Organizational culture encompasses the shared values, beliefs, norms, and practices that define the

environment within an institution. It is widely acknowledged that a positive and well-aligned culture

can foster a sense of belonging and purpose among employees, subsequently boosting their

motivation levels. Such motivation is often intertwined with increased performance outcomes, as

employees who feel supported and valued are more likely to invest their efforts into achieving

organizational goals.

In the case of Universidad del Pacífico, an exploration of the interplay between its cultural aspects and

employee motivation and performance can offer insights into the institution's overall effectiveness and

success. By examining the various dimensions of the university's culture, its communication patterns,

leadership styles, and recognition mechanisms, this study seeks to discern patterns of influence and

draw conclusions about the tangible impact on the academic community's engagement and

accomplishments.

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Method employed:

For this investigation a variety of interviews were used, as well as a survey to analyze the overall

consensus of the people working in the institution. On top of that, there were two interviews

conducted with two employees who had to respond to more personal questions towards the topic on

the investigation’s hand. Then also a variety of documents based on the topic of this investigation

were provided for further analysis and in depth view.

The survey helped for the investigation since it provided multiple opinions on real life scenarios

whereas assumptions wouldn’t be considered much of a step up from a bare bone investigation.

Although some people may present a bias towards the institution instead of being a reliable source of

information. The part to get the sufficient responses for the scope of the investigation was the part that

took the longest, whilst having to analyze them at the same time using the tools necessary to do so

also proved to be a demanding task. If there would have been more time for all of this it might have

proven to be easier.

Main results and findings:

The main findings that were discovered were that many employees were divided into the support or

the contradiction to the things the organization does in terms of human resources. Many employees

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don’t even know what values need to be presented to the organization. The findings show that many

employees that have served a long time tend to defend and praise the organization while newer

employees lack that confidence in the organization. Many are divided into specific terms landing them

into the unsure part since they agree and disagree somewhat.

Analysis and discussion:

This institution has several documents to prove and place down the laws of human resources in the

minds of those who are actively involved in the organization. These are supported by the principles of

organizational culture which is a factor in decisions made daily by the company on the business side.

Organizational culture is shaped by five different factors, these are: habits, beliefs, values, laws and

manners. It is important for the organization to promote and establish these to share a sense of identity

and influence to the members of the organization. The goal of this analysis is to prove the extent of

the effect that organizational culture has on this organization to consider measures that could help the

employee’s of this organization to further develop in their human resources department which could

also translate to the students who study in this university. But what exactly is the human resource of a

company? In basic terms: ”the strategic and coherent approach to the effective and efficient

management of people in a company or organization such that they help their business gain a

competitive advantage.”1

SWOT Factors: Explanation:

Strengths ● Reliable code of ethics The code of ethics is a reliable

● Employee consensus
● Big percentage of
employees agree
one that hasn’t been changed
since 2018 and due to this
many employees see it as a
great base for their behavior
throughout the business. A big
percentage of the employees

1
Stimpson , P. and Smith, A. (2011). Business and Management for the IB Diploma. [online] Available at:
http://www.mim.ac.mw/books/Business%20and%20Management%20for%20IB%20Diploma.pdf.

6
 know the importance of the
organizational culture as seen
in the survey.

Weakness ● Turnover and retention From the survey it can be

● Workload and stress deduced that many of its
● Bureaucracy employees have been in the
business for at maximum 15
years which means that there
has been high retention and
relatively low labor turnover in
the past which would establish
a bureaucracy since they keep
these people in which would
limit the innovation and the
workload and stress fall to the
hands of these employees and
can’t offload them to others.

Opportunities ● Innovation Due to its prestige, the

● Employee Engagement attention the organization
● Global Talent Pool receives is one of the greatest
in the Peruvian education
system. It attracts new
innovative people from all
other the world and these
employees based on the survey
can engage in different
activities that make them feel
involved.

Threats ● Budget Constraints Due to complications with the

● Changing regulations regulations that external
● Cultural resistance to organizations have over
change different issues it can cause an
effect on its employees, and
since it is a private company in
the private sector budget
constraints can happen leading
to the cancellation of different
projects. Cultural resistance to
change can also affect the
overall performance of
employees because the cultural
resistance can cut their projects
and sabotage their progress in
these.

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The objective of the Code is to serve as a guide for mutual reflection and continuous improvement,

which guides the members of the university community in situations in which they face ethical

problems.2

STEEPLE:

Social Factors:

Universidad del Pacífico's organizational culture is shaped by key social factors: diversity,

technology, social values, student expectations, communication, and alumni engagement. While

diversity enriches the culture, inclusivity is vital. To respond effectively, UP implements diversity

programs, technology integration, social responsibility initiatives, enhanced student services, a strong

social media strategy, and an alumni relations office. This ensures it provides an exceptional

educational experience aligned with excellence and innovation.

Technological factors:

Technological factors play a pivotal role in shaping the organizational culture at Universidad del

Pacífico. The adoption of technology has transformed education at UDP, fostering a culture of

innovation. It enables innovative teaching approaches and interactive learning experiences,

reinforcing a dynamic and forward-thinking academic environment. Technology also promotes

connectivity through digital communication and collaboration tools, facilitating knowledge sharing

and teamwork among students, faculty, and staff. Access to digital resources and online libraries

empowers continuous learning and research, reinforcing a culture of intellectual curiosity.

2
Consejo Universitario (2018). Código De Ética De La Universidad Del Pacific. [online] Código De Ética.
Available at: https://www.up.edu.pe/Documents/C%C3%93DIGO%20DE%20%C3%89TICA%20-
%20versi%C3%B3n%20final%203_CU26.II.2018.pdf.

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Economic Factors:

Market stability affects the university's finances and employee compensation. In stable times,

investment and donations support competitive pay. During economic volatility, the university may

need temporary measures like salary freezes or cost-sharing for benefits. The surge in overseas

education led to a 50% financial stability drop, prompting an increase in student enrollment as a

countermeasure. Peru’s economic stability is put into question since the changes that the governments

subject to private companies affect the retention rate and the labor turnover. This changes can throw

off many different operations that would have progress that could affect the productivity and

motivation of employees.

Political and Legal Factors:

Stable politics and supportive government policies enable confident investments in infrastructure,

research, and talent development, fostering innovation and excellence at the university. Political

instability or unfavorable regulations, conversely, can hinder progress, leading to a cautious and

adaptable culture. Universidad del Pacífico's private sector position limits long-term government

impact, but proactive risk management and strategic planning remain crucial for navigating

challenges.

Ethical Factors:

Universidad del Pacífico's commitment to CSR initiatives reflects both ethical values and a strategic

imperative. Engagement in activities like community development, sustainability, and philanthropy

demonstrates ethical business practices, enhancing the university's reputation and appeal to socially

conscious stakeholders. With increasing ethical expectations from faculty , maintaining high standards

and transparency is essential. To meet these expectations, UDP must establish ethical codes, foster an

integrity-driven culture, and integrate ethical considerations into HR policies, leadership programs,

and training to uphold trust and reputation.

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Hofstede Cultural Dimensions:

Power Distance Index:

A power distance index indicates the measurement of acceptance of hierarchy in a business. It is very

common for South American cultures to have a high PDI because of their authoritarian hierarchy

system which hasn't changed for years. This is also the case for this university in its employees and its

students as well, it can be seen in several parts of the code of conduct “You should report or share any

kind of problem with a superior or authority” 3. There's a strong respect for formal titles and hierarchy,

with communication being formal and indirect. Most business decisions are made by those in higher

positions.

Individualism vs Collectivism:

Universidad del Pacífico exhibits a balanced approach between individualism and collectivism,

reflecting common cultural characteristics in Latin American countries like Peru. While individual

achievements and personal goals are valued, there is also a strong emphasis on group cohesion and

collaboration within the university community. Though it is important to note due to the findings of

the survey conducted not all people feel that way, there is a division where there is also a balance

between people who feel that it is individualist and others who feel collective, meaning that in general

it is a balance which can lead to competition between those who don't agree.

Masculinity vs Femininity:

This is one of the universities biggest concerns, they have a whole gender equality policy where they

show the relation of types of workers and the percentage of the amount of male and female workers

the position has. This means that they aim for gender equality and that they value it very dearly to

3
Consejo Universitario (2018). Código De Ética De La Universidad Del Pacific. [online] Código De Ética.
Available at: https://www.up.edu.pe/Documents/C%C3%93DIGO%20DE%20%C3%89TICA%20-
%20versi%C3%B3n%20final%203_CU26.II.2018.pdf.

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give them the advantage in this aspect. In terms of organizational culture there are several workshops

and activities for the diffusion of the policies that are present in terms of gender equality. It even

applies to the authority that runs the business, including its professors and board of directors.4

Uncertainty Avoidance Index:

The index is derived from five factors: risk perception, rules and regulations, adaptability,

communication, and hierarchy/decision-making. Employees' opinions were assessed through

interviews and surveys. Risk perception scored low with an average of 2, indicating a tendency to

overlook risks. Rules and regulations received a 4, signifying strong adherence but room for

improvement. Adaptability was rated 3, reflecting the organization's somewhat bureaucratic nature.

Communication scored a 4, indicating ease of communication despite a clear hierarchy. Hierarchy and

top-down decision-making were prominent, earning a 4 in the assessment.

Long term vs Short term orientation:

Universidad del Pacifico's organizational culture exhibits Long-Term Orientation by emphasizing a

strategic vision, sustainability, investment in education, relationship-building, and patience for long-

lasting success. We know this because several factors that define short term orientation are not present

in their system. This orientation prioritizes immediate problem-solving, quick wins, flexibility, risk-

taking, and immediate feedback, focusing on addressing immediate challenges and adapting rapidly to

changing circumstances, sometimes at the expense of longer-term planning which is not on brand with

the organization as far as the evaluation went.

4
Comité Ejecutivo (2023). Política De Igualdad de Género . [online] Política de igualdad de género . Available
at:
https://www.up.edu.pe/Documents/Pol%C3%ADtica%20de%20Igualdad%20de%20G%C3%A9nero.pdf?#:~:te
xt=La%20Universidad%20vela%20por%20que,actividades%20organizadas%20por%20la%20Universidad..

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Indulgence vs restraint:

An "Indulgence" culture encourages open expression, work-life balance, innovation, diversity, and

flexibility, fostering an environment where natural human desires and emotions are valued and

encouraged. Conversely, a "Restraint" culture emphasizes emotional control, strict guidelines,

traditional values, hierarchy, and risk avoidance, where regulations and adherence to established

norms take precedence over individual expression and experimentation. In terms of universidad del

Pacifico it is a balance between these two as both are shown: with indulgence, this organization has

innovation, open expression and diversity whereas with restraint is shown by traditional values,

hierarchy and regulation focusing.

Conclusion:

In summary, this study underscores the critical role of organizational culture in shaping employee

motivation and performance at Universidad del Pacífico. It reveals that a positive and supportive

culture within the institution significantly enhances motivation and performance in factors such as

labor turnover where it matters to employees, to what extent the specific rate is in, in order to

maintain their work ethic, emphasizing the interconnectedness between the two. The alignment

between employees' personal values and the organizational culture emerged as a pivotal factor. To

improve these aspects, the university should consider strategies such as promoting open

communication, providing professional development opportunities, and creating a supportive work

environment. However, it is important to acknowledge the study's limitations, such as the reliance on

self-reported data and the specific context of Universidad del Pacífico to improve the employee’s

motivation and performance. Future research could explore these dynamics further and conduct

comparative analyses across various academic institutions and industries to gain a deeper

understanding of organizational culture's impact.

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Recommendations:

To improve the impact of organizational culture on employee motivation and performance at

Universidad del Pacífico, several key recommendations can be considered. Firstly, the university

should conduct regular cultural assessments involving input from employees at all levels to identify

strengths and weaknesses within the existing culture. This assessment can serve as a foundation for

aligning the culture more closely with the university's values and objectives. Secondly, fostering

effective communication and transparency is essential. Creating clear channels for feedback, both

from employees and leadership, can promote a culture of openness and trust, leading to improved

motivation. Lastly, implementing a structured recognition and rewards program is crucial. Such a

program can motivate employees by acknowledging outstanding contributions and achievements

through mechanisms like financial incentives, promotions, or public recognition, thereby enhancing

overall performance.

Sources: (interviews and survey):

Comité Ejecutivo (2023). Política De Igualdad de Género . [online] Política de igualdad de género .
Available at:
https://www.up.edu.pe/Documents/Pol%C3%ADtica%20de%20Igualdad%20de%20G%C3%A9nero.
pdf?#:~:text=La%20Universidad%20vela%20por%20que,actividades%20organizadas%20por%20la
%20Universidad..

Consejo Universitario (2018). Código De Ética De La Universidad Del Pacific. [online] Código De
Ética. Available at:
https://www.up.edu.pe/Documents/C%C3%93DIGO%20DE%20%C3%89TICA%20-
%20versi%C3%B3n%20final%203_CU26.II.2018.pdf.

Quesada, J. (2023). Motivación En UP. [online] Survey to Measure Motivation and Performance in
Universidad Del Pacifico. Available at: https://forms.gle/Nj2VXuy3YqWCfzpU7 [Accessed 5 Oct.
2023].

Stimpson , P. and Smith, A. (2011). Business and Management for the IB Diploma. [online] Available
at: http://www.mim.ac.mw/books/Business%20and%20Management%20for%20IB%20Diploma.pdf.

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