Management culture: From theory to practice

Management culture is a concept of modern science that has recently received attention in research and application in organizational management. Associate Professor Pham Ngoc Thanh - Deputy Head of the Faculty of Management Science, University of Social Sciences and Humanities - discusses this concept in academic research, thereby examining management practices to find appropriate ways to apply it.

* Management culture, or the way of behaving in management.

ButDear Associate Professor Pham Ngoc Thanh, at the end of the 20th century and the beginning of the 21st century, many scientific concepts "associated" with the word "culture" emerged. Could the concept of management culture also have arisen within this trend?ButAssoc. Prof. Dr. Pham Ngoc ThanhThat's also true. The concept of culture itself is very broad, with many different approaches, so depending on the field of study, people usually associate the term with the terms and concepts of that field. Although management and organizational activities have existed since the early days of human life, modern management science only emerged at the beginning of the 20th century, and the concept of management culture only received attention and research much later. In the 1970s, when the global energy crisis erupted, leading to the bankruptcy and failure of numerous companies, the world recognized the power of management culture through the typical case of Japanese businesses. The Japanese, with their tradition of valuing relationships and strong connections between individuals in a group, all working towards a common goal, overcame the difficulties at that time to develop strongly. Since then, management culture has become a subject of widespread research, appearing with increasing frequency. To this day, all the world's most famous and successful companies owe their strength to having built a good management culture. In his book "The Way of Management," Professor Le Hong Loi (China) divided the stages of human development into three phases: the political phase, when the state emerged and political power became the criterion for defining individual roles; the economic phase, when capitalism emerged and economic interests were considered the decisive factor in all matters; and the cultural phase, from the 1970s onwards, when people realized that economics was not the sole determinant of everything, and that people also needed cultural and spiritual values ​​to have a good life. Particularly at the end of the 20th century and the beginning of the 21st century, cultural factors have become increasingly significant in the context of globalization and deep integration between nations and communities.So what is the most concise definition of management culture...?ButAssoc. Prof. Dr. Pham Ngoc ThanhThis is also a difficult point because there are hundreds of different definitions of culture and management, so the concept of management culture also has hundreds of approaches. Some focus on the aspect of behavioral culture, while others reduce it to material and spiritual values. Before the concept of management culture, people talked a lot about business culture associated with enterprises and the training of business people. But management culture has a broader meaning. In my 2008 National University-level research project, I proposed the definition: "Management culture is a system of meanings, values, and core beliefs with different symbols, agreed upon by the subjects participating in the management process, and having a broad influence on the way all members of the organization act to achieve the set management goals."If we were to "break free" from the academic definition, what would management culture be understood in simpler terms, Professor?ButAssoc. Prof. Dr. Pham Ngoc ThanhIt should be understood as a way of behaving. Management culture is essentially how people behave during the management process, manifested externally through material and non-material values.How important is management culture in the organization and management of an agency or business today?ButAssoc. Prof. Dr. Pham Ngoc ThanhManagement culture plays a crucial role in the operation of an organization, manifested in the following functions: Firstly, the orientation function. This is similar to the culture of a family; each individual, from birth and upbringing, tends to approach and gravitate towards the values ​​and cultural norms of their family, shaped by family tradition. It helps us always act in accordance with existing norms. Secondly, the adjustment function. This can be understood in two senses: adjusting individuals whose behavior deviates from established values, and also changing or adjusting existing values ​​that are no longer relevant. Thirdly, the monitoring and evaluation function. Fourthly, the motivational and cohesive function. Thanks to the traditional values ​​of the organization, the rituals, beliefs, and consensus in the way of working, a harmonious management style will help individuals feel enthusiastic, confident in success, and willingly contribute their efforts to the common work.So, what are the basic manifestations of management culture that we can clearly observe in current agencies and organizations?ButAssoc. Prof. Dr. Pham Ngoc ThanhThe manifestations of management culture in organizations can be divided into two types: material and non-material. Material manifestations are clearly visible, such as dress code, communication style, office layout, building architecture, logos, signage, and promotional materials. Non-material manifestations include operating philosophies, slogans and action guidelines, values, traditions, beliefs, product quality standards, legends or myths about individuals or groups, etc. The values ​​of a company's management culture are clearly visible in its normal operations when one has the opportunity to interact with it. It is this that creates the difference between one organization and another. Applying management culture to the practical management of one's own organization requires creativity, intention, high awareness, and patience.

* Be different or die!

ButIt is evident that management culture is accompanied by a whole system of cultural and spiritual values ​​of an entire society and a historical period. Based on your practical research, if you could offer a general comparison, could you point out the differences between modern management cultural values ​​and the management principles and practices of the past?ButAssoc. Prof. Dr. Pham Ngoc ThanhComparing the two periods of development, from 1975 to 1986 – the period before the reforms – and from 1986 to the present – ​​the period after the reforms – reveals the most significant difference: we have identified strategic development directions, creating major changes in core values ​​within our management philosophy. These changes have manifested in external actions. The administrative management mentality, where individuals lived dependent on the collective and on state subsidies – a fundamental characteristic of a prolonged period of state subsidies – has disappeared. This management mindset hindered the development of individual creativity and initiative, stifling their abilities and enthusiasm. Today, the management philosophy of the market economy prevails; individuals are valued for their rightful place, free to create and develop. Economic human resources are highly valued. All economic sectors are respected and treated equally. The state has established a legal framework that facilitates the development of individuals and groups, enabling them to contribute their efforts to benefit themselves and the community. This creates broad democracy and promotes social progress. This is an inevitable development in a globally integrated world, a "flat" world.So, according to the Associate Professor, what is the core issue for a business in its efforts to build its own management culture values?ButAssoc. Prof. Dr. Pham Ngoc ThanhJust one sentence: "Differentiate or die!" The key to building core values ​​for a business is to create differentiation from other businesses. This also requires continuous innovation. For a business, management culture is reflected in the culture of interpersonal relationships within the company, extending to the culture of interaction with customers and society, in which the culture of product quality plays an extremely important role. If you believe the customer is king, you will find ways to care for customers in a way that satisfies them the most, creating products of the highest quality. In the book series "Business Ethics in Vietnam and the World," when studying 25 legendary entrepreneurs worldwide, it shows that despite many differences, they all share a common guiding principle: "Business is serving society," meaning they prioritize serving society over profit. They have created a difference between themselves and their competitors. This also reflects a very positive management culture and loyalty to those cultural values; they have succeeded in the marketplace. Conversely, businesses that treat customers as targets for deception produce low-quality products and cheat customers to make a profit. Naturally, such businesses cannot have a lasting place in the hearts of customers.In organizational and management activities, human resource management plays an extremely important role in the development of an organization. According to the Associate Professor, what are the fundamental difficulties currently faced in human resource management?ButAssoc. Prof. Dr. Pham Ngoc ThanhGenerally speaking, managing people is much more complex than managing organizations or tasks. On the other hand, all activities of an organization are related to people; therefore, good management will lead to high operational efficiency. In my view, good people management means motivating and fully exploiting their potential, making them willingly and enthusiastically participate in assigned tasks, thereby achieving the desired work efficiency. Currently, people management faces the following challenges and difficulties: Firstly, current social relationships are very complex; each individual holds many roles and positions with intertwined relationships, different values, and norms. Managers need to respect these differences. Secondly, the rapid development of science and technology is changing people themselves, their relationships, and their modes of operation. To avoid becoming outdated, managers must constantly strive for improvement, seeking new methods of managing people that adapt to new conditions. Thirdly, as people develop to a higher level of culture, possess broad knowledge, access diverse information, and constantly innovate, they become "wiser," thus requiring managers to be extremely "wise." Fourthly, the context of globalization and integration also presents significant challenges to human resource management, in the process of achieving international standards and deepening national cultural identity.So, based on modern management science research, what advice do scientists have for businesses and organizations in building a system of management and organizational values ​​within their institutions in the current era of integration?ButAssoc. Prof. Dr. Pham Ngoc ThanhMy only advice is that companies and businesses should remain loyal to the management culture values ​​they have built and developed. Loyalty doesn't mean being conservative and clinging to outdated values. They must constantly innovate and add new, positive cultural elements to strengthen their existing values. The success of many companies, businesses, and organizations cannot be attributed solely to the crucial role of management culture. A unit with a strong, positive management culture will thrive, while a weak culture will hinder development.