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The Impact of Organizational Culture on Organizational Effectiveness in Construction Projects

A majority of research show that organizational culture is context-specific and it can impact organizational effectiveness positively. But few empirical studies have probed into the relationship in the context of project-based organizations. A survey was conducted of construction projects in China with the aim of better understanding the relationship. Based on 512 samples, the findings indicate that there exist differences in the relationship between four culture types and organizational effectiveness. The results show that clan and hierarchy cultures have greater positive effect on organizational effectiveness than market and adhocracy cultures. Moreover, this research examines the possible moderating effects of project size in the relationship between organizational culture and organizational effectiveness. The findings validate that project size has not moderated the impact of organizational culture on organizational effectiveness. Future research is necessary to identify other moderators in the relationship between organizational culture and organizational effectiveness.