Khóa luận tốt nghiệp Quản trị kinh doanh: Effects Of Leadership On Organizational Culture Ase Of Vasc Software And Media Company

VNU- UNIVERSITY OF ECONOMICS AND BUSINESSFACULTY OF BUSINESS AND ADMINISTRATION EFFECTS OF LEADERSHIP ON ORGANIZATIONAL CULTURE CASE OF VASC SOFTWARE AND MEDIA COMPANY Supervisor’s name:

VNU- UNIVERSITY OF ECONOMICS AND BUSINESS

FACULTY OF BUSINESS AND ADMINISTRATION

EFFECTS OF LEADERSHIP ON ORGANIZATIONAL CULTURE

CASE OF VASC SOFTWARE AND MEDIA COMPANY

Supervisor’s name: Dr Hoa Dinh Viet Student’s name: Tu Anh Chu Thi

Student ID: 09050264 Class: QH — 2009 - E BA

Hanoi — May, 2013

Table of Contents

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CHAPTER 2: RESEARCH CONTEXT AND METHODOLOGY 19

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LIST OF ABRREVIATION

DOCS | Denison Organizational Culture Survey

VASC | VASC Software and Media Company

LIST OF TABLES

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Data Description of Adaptability Quadrant 4]

Data Description of Involvement Quadrant 43

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Results of Organizational Culture in VASC 49

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Organizational Chart of VASC ẰsSẰ 25

The Denison Ideal Model of Organ1zational Culture 28

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ACKNOWLEDGEMENTS

During the time of preparing and completing this thesis, | was inspired by anumerous support and encouragement from many people And this is hereby toexpress my sincere gratitude to them

First and foremost, I wish to express my sincere thanks to my advisor Dr.Dinh Viet Hoa - Lecturer in Faculty of Business Administration, who wasthoughtfully guiding me in writing this thesis Secondly, I would like to thankVASC Software and Media Company — vSolution Department that gave me anuseful internship opportunity | especially thank Mr Vu Tung and Mr Nguyen HuuVinh who was directly introducing me the field of organizational culture, andguiding me in measuring organizational culture at vSolution Department Besides, Ithank to all specialists of the company for their whole-hearted guides during my

internship in VASC Software and Media Company — vSolution Department

Last, but by no means least, my sincere thanks are devoted to University ofEconomics and Business, Vietnam National University, especially the academic

board, for providing me such a huge support to improve myself and gain helpful

experiences

Student

Tu Anh Chu Thi

ABSTRACT

This study explores effects of leadership styles on organizational culture in

case of VASC Software and Media Company The respondents are employees ofvSolution Department This study use data collected from in-depth interview withthe manager to define leadership styles and Denison's Organizational CultureModel to measure Organizational Culture.

A relationship exists between the leadership styles and organizationalculture Transactional Leadership Style and high level of organizational culture will

be make good impact for maintaining and achieving excellent organizational performance for company.

In addition, based on these findings, the thesis also gives some suggestions

for VASC Software and Media to further improve employee performance via

leadershp style and organizational culture

In the contemporary time, a rapidly changing world, organizations have toface with turbulence of market, high demand of shareholders, and global financialcrisis Those conditions make company to renew their strategy for win challenges

Business markets are becoming unstable, customer needs and desires are changing,

and information flow is becoming diverse and complex

These changes make leaders and organization that are enable to respond tocontinuous change in resource, technology, marketing methods, etc It is accepted

that leaders play an important role in driving the success or failure of organization

In the current organization, market share, employees satisfaction, customerSatisfaction and financial performance occupy the top or high priorities oforganization’s strategic plan Alignment of the organizational culture withOrganization’s strategic plan is essential in achieving goals and objectives oforganization The member of organization will generate their behavior follow theirrules, job descriptions, organizational structure and have specific identity that based

on vision and mission Thus, company will be based on organizational culture thatbuilt by member of organization and create values

Many organizations or company have competitive advantages that helpsorganizations differentiate themselves There are can be cost, quality, technology,product and innovation, customer service and logistics chain, talent or brand.Nonetheless, there is much less obvious and less tangible factor that also can bedetermining source of competitive advantage And that factor is organizationalculture “The success or failure of the culture may be determined by the leader an

by the people chosen by the leader to dwell within the system It is therefore

imperative that the leader understand and recognize the complexity and importance

of culture” (Mullins, 2007)

Leadership and culture have been recognized as critical concepts related to

the effective function of organizations There are many researches about leadership Styles, organizational culture, and relationship among them, conducts in Europe and

America, but research in Asia, especially in Vietnam was still rare.

According to the literature, leadership can transform cultures from the

present to the future and create visions of potential opportunities, instill

commitment to change and develop new strategies to focus energy and resources.Quality cultures are conducive to enhancing work environments and may have a positive impact with areas such as worker satisfaction, communication,effectiveness, innovation and creativity (Schein, 2004)

The lack of empirical findings and need clearly understand about leadershipstyles and organizational culture especially in Vietnam company was address by aresearch question: What are the effects of Leadership Styles on Organizational

Culture?

1; Statement of Problem

Corporate Culture has become both an obsession and a desire of every business leader at the time being Because corporations are most successful whenemployees feel valuable and appreciated, which tends to lead to increasedcommitment, loyalty and productivity Building up and developing an effective

organizational culture, one that refers to the beliefs, values and behaviors that the

business applies to face everyday challenges, falls squarely on the shoulders of the

company's executive leaders Leaders who encourage creativity and honest

communication can foster an organizational culture.

Some can be counted as successful companies which were building up anddeveloping corporate culture are FPT, Bao Tin Minh Chau, Viettel, or Tesco, Nonetheless, In fact corporate culture is still being a big challenge to almostVietnam small and medium enterprises Some objective reasons such as economiesmove to the market mechanism for not a long time, the institutional environment isnot fully developed, small scale production, short-term thinking, It leads to thelack of motivation to develop corporate culture Therefore, the author of this thesisdecided to study on one of not-yet perfectly successful companies in term ofcreating and developing corporate culture

2 Purpose and Research Question

The purpose of this thesis is clarifying two main conceptions: Leadershipand Corporate Culture Then going through the relationship between leadership andcorporate culture So, some suggestions may be given to the research context

To studied effectively, this thesis has to solve these questions:

k What is the leadership style of VASC software and Media Company?

Scale of organizational culture in VASC Software and Media

Company?

` To what extent a link can be established between leadership andorganizational culture?

` What are suggestions to build up and develop effectively corporate

culture based on leadership?

This research used qualitative method and the strategy of inquiry used was

survey and in-depth interview The place where survey was carried out is VASCSoftware and Media Company, No 97 Nguyen Chi Thanh, Hanoi This place wasSelected purposefully base on the number of employees (About 50 people invSolution) Data collected from this survey was analyzed in order to find outemployees assessment about leadership, organizational culture, and the relationshipbetween this assessment result and employees satisfaction In addition, a shortinterview was conducted to the leader Data collected from this interview wasanalyzed to find out leadership style in VASC and clarify how it effect onorganizational culture.

4 Delimitations and Limitations

Delimitations: The study confined itself to find about VASC Software and

Media Company It is just conducted in Hanoi.

Limitations: Because of time limit, survey and short interview are just

carried out in one office Thus, collecting and analyzing data were limited Some

suggestions may be subjective and would be improved

Outline of the thesis

Chapter |: Literature review

This chapter will provide theoretical framework for the research It includes

fundamental concepts about leadership, organizational culture as well as research

model and its hypotheses used in this research.

Chapter 2: Research context and methodology

This chapter will describe the context where the research is conducted In

addition, it will also provide detail research method from preparing for collecting

data to analyzing data

Chapter 3: Research results and analysis

This chapter will give description of data collected, and then show analysisresults from surveys that are conducted to employers and manager

Chapter 4: Findings and discussion

This chapter will answer two research questions by providing assessmentabout leadership, organizational culture, and the influence of leadership onorganizational culture at VASC Software and Media Company Besides, it will alsogive some suggestions to further improve leadership activities as well asorganizational culture at VASC

CHAPTER 1: LITERATURE REVIEW

1.1 Leadership

1.1.1 Concepts of Leadership

There is variety of definitions about leadership Some of the common ideas

that others include in leadership definitions compose exerting influence, motivatingand inspiring, helping others realize their potential, leading by example, andmaking a difference For perspective, the author include several common

definitions:

Warren Bennis' definition of leadership is focused much more on theindividual capability of the leader: "Leadership is a function of knowing yourself,having a vision that is well communicated, building trust among colleagues, and

taking effective action to realize your own leadership potential."

The forward to the Drucker Foundation's "The Leader of the Future" sums up

leadership: "The only definition of a leader is someone who has followers." To gain

followers requires influence but doesn't exclude the lack of integrity in achieving

this

In the 21 Irrefutable Laws of Leadership, John C Maxwell sums up hisdefinition of leadership, as "leadership is influence — nothing more, nothing less." This moves beyond the position defining the leader, to looking at the ability of theleader to influence others - both those who would consider themselves followers,and those outside that circle.

All in all, Leadership is a process by which a person influences others toaccomplish an objective and directs the organization in a way that makes it more

cohesive and coherent

1.1.2 Types of Leadership Style

Every leadership style has its own way of behavior and methods for getting

the work done Subordinates may prefer some styles, whereas the others mightconsider other inappropriate There are many diverse definitions of eleven leadership styles However the author just focused on 2 main styles: Transactionaland Transformational one

Laissez Faire Leadership

In the laissez-faire leadership, the leader leaves it on the team members to do the work in which they are supposed to This is a good style to be implemented if the members are skilled enough and understand their responsibilities properly.

Transformational LeadershipTransformational leadership traced in evaluation context during 1978 bydeveloping theory of transformational leadership and enriched with different aspectwith the passage of time Burns (1978) published a book on leadership, which differentiates the transformational leadership from the traditional leadership The

Burn's theory of transformational leadership explained that leader has more moral

quality and leader scarifies own interest over the group interest Burn's theory of

leadership is enhanced by Bass (1985) presenting transformational leadership in

context of formal theory, model and factors measurements Tichy and Devanna

(1986) presented characteristics regarding the estimation of transformational

leadership including qualities, courage, openness, values, learning and ability of

visionary These transformational abilities have specific attributes while Avolio and

Bass (1988, 1994) classified the leadership skills into 4 I's including idealized

influence, inspirational motivation, intellectual stimulation and individualizedconsideration Transformational leadership theory is the leader's power of

motivating the subordinates for achieving more than already planned by followers

(Krishnan, 2004) Bass and Riggio (2006); Baldoni (2005) and many other

researchers agree that transformational leadership has four elements includingidealized influence, inspirational motivation, intellectual stimulation andindividualized consideration Managerial ability is another ability oftransformational leadership, which is also essential for leader The transformationalleadership cannot implement effectively without some major attributes ofleadership including creativity, team orientation, and appreciations, teaching

power, responsibility and recognition (Parry, 1996) The qualities of

transformational leadership with elements are basic for management success

(Simic, 1998) Leader behavior toward the employees or subordinates should be

reflecting respect, trust and faith Leader actions build the respect for other, display

a sense of responsibility, scarify own benefits over the employee benefits andremove all obstacles in the way of subordinate progress

Transactional Leadership

This is a somewhat direct kind of effective leadership Transactional

Leadership is a type of leadership style, which is commonly used in behavior

sciences The pioneer of transactional leadership is Burns (1978) that describe thetransactional leadership as exchange the relationship between leaders andsubordinates Major focus of transactional leaders is follower role clarification andleaders have to know about the needs of employee, which require meeting the

organizational goals Bass and Stogdills (1990); and Avolio et al (2004) discussthe attributes of the transactional leadership in two ways, first is contingent rewardsand other is management by exception Hellriegel and Slocum, (2006) explain thattransactional leadership based on three primary components; contingent reward,

active management by exception and passive management by exception In

contingent reward, transactional leader provide reward in exchange of achieving targets and these targets are set on the basis of short term and measurable In active

management by exception, leader monitors the subordinate performance and

eliminates the deviation of subordinate from the path of goal In passive management by exception, transactional leader interface in the matter of employee when subordinate give unaccepted performance Transactional leadership is one who switches over interaction among subordinates for rewards and increasing their

productivity In nutshell that transactional leadership provides benefit at the

achievement of goals while penalties at not achieving the targets

Charismatic Leadership

In charismatic leadership, the leader puts in energy and enthusiasm into the

project of the team He does motivate and helps employees; though he may, at

times, tend to boast much about his leadership skills and capabilities

Bureaucratic Leadership

A bureaucratic leader is the one who makes sure that the standard procedures

of the process is followed by the team members This style rules out the scope for

trying out new problem solving methods and enhancing the project performance.

Relation-oriented Leadership

This style is also referred to as people-oriented style In this corporateleadership style, the leader try his best to support and mentor the team members,

which in turn turns out to be beneficial for the project.

Servant Leadership

In servant leadership, the leader is not officially intended to act as a leader

He is just an informal leader who takes one step forward on behalf of his team

members He takes decisions collectively by consulting with his colleagues.

Task-oriented Leadership

A task-oriented leader is usually known for only focusing on what his teamhas to achieve Though, unlike in autocratic leadership, he might understand theneeds and welfare of the team members

Situational Leadership

As the name suggests, situational leadership is not associated with any kind

of style It is adopted when a leader changes types of leadership styles in order to

get the work done considering the situation.

However a leader might have to use a particular team leadership style in aSpecific work setting, where other styles may not be effective

Autocratic Leadership

In this leadership, the leader solely carries out the decision-making process.The autocratic leadership style is a very suitable method for managing teammembers who require close supervision to get the work done

Participative LeadershipThis is probably the best leadership style followed in the business world Inparticipative leadership, though the leader is responsible for taking the finaldecision, he is open for suggestions from team members, which can influence thedecision

In conclusion, Leadership styles are the diverse ways that leader follows to

lead members It depends on distinguish characteristics of a corporate, leader can

implement leadership style supposed suitable for them to reach the best

effectiveness in business

1.2 Organizational Culture

1.2.1 Concepts of Organizational Culture

Many definitions of organization culture can be found in behavioral sciencesliterature A frequently cited definition comes from organization developmentpioneer Edgar Schein In his book, Organization Culture and Leadership, Scheindescribed culture as being deeper than behaviors and artifacts “I will argue that theterm ‘culture’ should be reserved for the deeper level of basic assumptions and

beliefs that are shared by members of an organization, that operate unconsciously,and that define in a basic ‘taken for granted’ fashion an organization’s view ofitself and its environment.” Schein emphasized assumptions and beliefs whileothers see culture as a product of values Elements of corporate culture arecharacterized by Schein (2006) as three levels of corporate culture (Fig 1).Elements of corporate culture from an outside perspective can be divided into:

- Visible elements: Symbols, logo, business, work clothes, workenvironment, equipment, architecture, etc

- Invisible elements: Language, stories, management style, values, attitudes,

standards of conduct and the like

Artifacts

Values & Standards

Figure 1.1: Elements of Corporate Culture (Schein 2006)

In Culture’s Consequences, Geert Hofstede wrote, “I treat culture as ‘the collective programming of the mind which distinguishes the members of one

human group from another.’ Culture, in this sense, includes values are among the building blocks of culture; and systems of values Culture is to a human

collectively what personality is to an individual.”

Beliefs and values are linked What about understanding? In the article,

“Organizations as Culture Bearing Milieus,” Meryl Reis Louis wrote that, “anysocial group, to the extent that it is a distinctive unit, will have some degree ofculture differing from that of other groups, a somewhat different set of common understandings around which action is organized, and these differences will findexpression in a language whose nuances are peculiar to that group.” These three

and strategies.” This description suggests a more systemic description of culture

with both internal and external components In Riding the Waves of Culture, FonsTrompenaars offers another systemic model and described three levels of culture;1) the explicit layer made up of artifacts and products and other observable signs,2) the middle layer of norms and values and 3) the implicit layer, which iscomprised of basic assumptions and beliefs In Corporate Culture and Performance,John Kotter and James Heskett acknowledge internal and external components of

culture, too They see organization culture as having “two levels, which differ intheir visibility and resistance to change.” The invisible level is made up of sharedvalues that tend to persist over time and are harder to change The visible level ofculture includes group behaviors and actions, which are easier to change

Organizational culture is one of the key areas of management An important

task of managers is to try to manage the ideas and understandings of their

subordinates Also dealing with technical issues — budgets, information systems —calls for people to ascribe a positive and similar meaning for these to work well

Managers can do implicit culture work here: culture is done (created, recreated,revised) without anyone really thinking about it In addition, we live in an

increasingly international and multicultural society, making cultural issues highly

Salient

1.2.2 Types of Organizational Culture

Acknowledging that organizational culture is an important aspect that contributes for the success of any corporate This thesis provides four mainorganizational :ulture types: Control (hierarchy), Compete (Market), Collaborate

(clan), and Crezte (adhocracy).

Collaborate (Clan) Culture

An openand friendly place to work where people share a lot of themselves.

It is like an extended family Leaders are considered to be mentors or even parental figures Group oyalty and sense of tradition are strong There is an emphasis on the long-term beneits of human resources development and great importance is given

to group coheson There is a strong concern for people The organization places a

premium on teanwork, participation, and consensus.

Create (Adhocracy) Culture

A dynanic, entrepreneurial, and creative work place Innovation and taking are embraced by employees and leaders A commitment to experimentation and thinking dfferently are what unify the organization They strive to be on theleading edge The long-term emphasis is on growth and acquiring new resources.Success means gaining unique and new products or services Being an industryleader is importmnt Individual initiative and freedom are encouraged

risk-Control Hierarchy) Culture

A highly structured and formal work place Rules and procedures governbehavior Leadưs strive to be good coordinators and organizers who are efficiency-minded Maintiining a smooth-running organization is most critical Formal

policies are wlait hold the group together Stability, performance, and efficient

operations are the long-term goals Success means dependable delivery, smooth

scheduling, and low cost Management wants security and predictability

Compete (Market) Culture

A results-driven organization focused onjob completion People arecompetitiveand goal-oriented Leaders are demanding, hard-driving, and

productive The emphasis on winning unifies the organization Reputation and

success are common concerns Long-term focus is on competitive action and

achievement of measurable goals and targets Success means market share and

penetration Competitive pricing and market leadership are important.

1.2.3 Traits of Organizational Culture

The Denison Organizational Culture Method (DOCM) posits four desirableorganizational traits grounded by theory and empirical findings

Table 1.1: Traits of Organizational Culture

Adaptability | translate signals from its operational and competitive

environment into internal behavior changes that increase itschanges for survival, growth, and development Generally,employees have the sense of creating change, customer focusand organizational learning

Mission

This reflects the organization’s ability to define a meena

long- term direction that provides employees with a sense offocus and a common vision of the future It provides a clear direction and goals that serve to define an appropriate course

of action for the organization and its members Generally,

employees have the sense of strategic direction and intent,

goals and objectives, and vision of the organization

Involvement

This is a characteristic of a “highly involved” culture, inwhich employee involvement is strongly encouraged andcreates a sense of ownership and responsibility Employeesrely on informal, voluntary, and implied control systems,thereby, resulting in greater organizational commitment and

an increasing capacity for autonomy Employees, generally,have the sense of empowerment, team orientation, andcapability development

Consistency

Defines the values and systems that are basis of a strongculture It provides a central source of integration,coordination, and control Also, it characterized organizationsthat create internal systems of governance based onconsensual support Generally, employees have shared corevalues, and demonstrate agreement, coordination, andintegration

1.3 Leadership and Organizational Culture

Effects of Leadership on Organizational Culture

Organizational culture is a major determinant of employee motivation and commitment, which improves the organization performance Past literature on the leadership relationship with the culture reveal various forms of behavior andattitude, which based on culture environment This variation comes from thedifferent workforce ideas (Bass, Jung and Avolio; 1999& Yamaguchi, 1999) andalso leadership style varies culture to culture (Dorfman et al, 2004; wood 150 andJogulu, 2006) Several researchers proved the linkage between leadership and organizational culture (Bass, 1985; Doherry, 1991; Trice and Beyer, 1991) Bass (1985) conducted study on leadership style and its impact on culture and found that transactional leaders operate in a boundary of existing culture, while transformationleaders operate to align the culture of the organization with vision of theorganization Schein (1992) inter correlate leadership and organizational culture.Organizational culture reflects the values and beliefs of founder and shaped thetraits of organization Hartog, Muijen and Koopman (1997) provide a link betweentransactional and transformational leadership with the culture and found positiverelaticnship between leadership style and organization culture Organizationalculture and leadership depend on each other and leader establishes the values,norms and behaviors of employees within culture (Bass and Riggio, 2006) Jogulu(2010: found that leadership style changes as the culture of the organization changes Schimmoeller (2010) concluded that transactional and transformational

leadership have positive relationship with clan and adhocracy culture Jaskyte

(2004) made exploratory study on transformational leadership and organizationalculture for not-for-profit organizations Transformational leadership has positiverelationship on cultural vale and leadership support the organization in developingstrong culture in organization.

A leader has a role to determine the program of activities based on the basic

assumptions of the organization or management concept like “Six Sigma” If the behavior of subordinates is in accordance with the program outlined by the leader,the value obtained is high, and vice versa when the behavior of individuals withinthe organization is far from the truth as set forth in the work program by the leader,

then its value is low Thus, the culture is created by leaders

CHAPTER 2: RESEARCH CONTEXT AND METHODOLOGY

2.1 Research context

2.1.1 VASC Software and Media Company

Value- Added Services Center (VASC) was established as a dependant subsidiary of Vietnam Data Communications Company (VDC), directly under

Vietnam Posts and Telecommunications Corporation (currently Vietnam Posts andTelecommunications Group) (VNPT) VASC was founded basing on the Decision

number 257/2000/QD-TCCB on March 20", 2000 issued by the General

Department of Post Office with the original name “VASC Software DevelopmentCompany” With diversified service portfolios, VASC has rapidly expanded itsactivities to new market segments By the time of October 2002, M-Commerce

Center was established It is the beginning of flourishing development stage ofcommercial services on mobile phone The company had its new name “VASC

Software and Media Company”, which was a dependent subsidiary of Vietnam

Posts and Telecommunications Group on August 29", 2003 Head office of the

Company is at no 97 Nguyen Chi Thanh Street, Hanoi.

After 13 years of establishment, VASC has been a reliable content provider,

which greatly contributes to make VNPT become the leading Group in

Communications, television, value-added services and digital content industry in

Vietnam

Together with development process, VASC sets clear vision, mission, andcore values for themselves (VASC’s website).

Vision

VASC is a reliable content provider, which greatly contributes to makeVNPT become the leading Group in communications, television, value-addedservices and digital content industry in Vietnam

Mission

- Adoption of IT application and value added services as a key to shift

quickly and strongly VASC’s business strategy to communications, multimedia,

television, e-information and digital contents

- Sustaining the position of a leading and branded ICT enterprise in domesticmarket From the period of 2013 — 2020 onwards, VASC is targeted at extending

its reach to regional and international markets based on its qualified personnel,

sufficient material resources, strong brand and prestige

Core Value

Basing on the core value “ Human is the most valuable asset”, together withthe combination of youth’s dynamism, solidarity with technology’s pinnacle tocreate much of differentiated values; and make use of and combine strengths of

VNPT Group and its business partners to promote the creation of new values for

customers, VASC hopes to promote and sustain its present values, develop newvalues to make a better contribution to the development of VNPT as well as ofservice markets

Currently, VASC is well-known for its multi-sector business in variousfields The activities of VASC comprises these following business lines:

- Value- added services on telecommunications network

- Multimedia communications

- Software research, development, manufacturing and processing

- Software export, import and trading

- Consultancy, design and provision of IT solutions

- Advertising services, market research, public relations (PR)

- Value added services on broadband Internet

Infrastructural build of Digital Video Broadcasting Terrestrial (DVB T)

-TV network, cable -TV, satellite -TV and GPS system

- Trading, installing, repairing encoders and satellite antenna, decoding

overseas TV programs

- TV productions (sports information, entertainment, music, TV

game-show).

VASC is a leading provider who createsvalue-added services in Vietnam:

Interactive Television service (MyTV) with over 200.000 subscribers in 2010 afteronly one year of launching; the biggest VNPT’s online portal (Megafun) for only

MegaVnn subscribers; Mobile Television service (Mobile TV) for VinaPhoneand

MobiFone telecoms operators.

Moreover, VASC is the leading enterprise in Vietnam for content provision

on mobile networks with preeminent trademarks such as Dalink, Alofun, LuckyFone In addition, VASC is famous for its best package software products,

namely “VASC Centralized Knowledge Management” which has been applied bysome of the biggest and most complicated e-newspaper editorial offices in Vietnam

such as VietNamNet, New Hanoi

As a leading company in Value Added Services and IT Services, VASCCompany is known as a key business unit with multiple service sectors In particular, VASC concentrates on 3 main services sector are: (i) IPTV televisionservice (the brand is MyTV), (ii) the group of value added services and digital

content for the mobile network; and (iii) group entertainment services over

broadband networks (MegaFun).

After more than 3 years officially providing MyTV, VASC served acrossthe country with nearly 800,000 subscribers ARPU is about 85,000 VND /

subscriber By the time being, Television service has 150 channels with thousands

of content about genres, music, karaoke, children, education and training with avariety of services / features gadget interactions such as fast forward playback,Storage, voted PIP, MOSAIC Thus, MyTV solutions for B2B customers the

company has also been studied and widely deployed with customers all over the

country such as VinpearlDa Nang, NhaTrang, Da Nang and Laguna Hue.

In the field of value added services on mobile, though the number of firmsentering the market increase continuously as well as increasing the level ofcompetition, VASC Company retains No | position in the market with a series ofnumerous utility services such as Infoplus, 2Friends, EZmail, Fastmail, Vlive,VinaSport, 2Chat, electronic payment All of them are provided on all mobile

networks in Vietnam via VinaPhone, MobiFone, Viettel Particularly, MobileTV

Due to incessant efforts, VASC achieved many significant awards.

VASC’s Milestones by Years

Year 2002

Gold Cup for the Application of Information Technology 1mCommunications and Entertainment at the Asia-Pacific Information Technologyand Communications Competition in 2002 (APICTA 2002)

VietNamNet won the Gold Cup for the Best E-newspaper and website.

Year 2003

VASC was ranked in Top Ten ICT Companies in Vietnam

VietNamNet e-newspaper, once again, won the Sao VangDat Viet (Gold Star

of Vietnam) award and the E-newspaper Gold Cup.

The integrated online payment port for Internet and Mobiles won the Bronze

Cup for E-commerce products during IT week in the framework of ASOCIO ICT

Summit

Year 2007

In March 2007, VASC was granted Consolation prize (no first and second

prizes) in Information and Communications Technology for research projects on

solutions and development of m-commerce service system on telecommunicationsnetwork in Vietnam (The prize was within the framework of VIFOTEC Award)

VASC was also honored to receive the Certificate of Merit granted by the

Prime Minister for the period of 2004-2006

Year 2009

In December 2009, VASC was honored to receive the Copper Cup in ICT

Gold Cup Award Ceremony during IT Week 2009 for its best package software

product, namely “VASC Centralized Knowledge Management (VCKM)

For the second time, VASC was honored to receive the Consolation Prize in

the field of Information and Telecommunications for the “Technical solutions to

develop Television system on xDSL and IPTV business model proposed to

VNPT” The prize was within the framework of VIFOTECH Award.

2.1.2 Branch or Headquarter

Brand

Manager

Deputy Director

Administration Office M-Commerce Center

Human Resource Management vSolutions Center

Dept

IPTV Center

Finance & Accounting Dept

HCMC Brand

Planning & Investment Dept

Central Region Brand Technology Management Dept

Business & International

Cooperation Dept

2.2 Methodology

2.2.1 Designing Questionnaires and In-Depth Interview

Leadership Style was measured through data analyzed from in-depthinterview that the author provided to the leader This in-depth interview takes about

20 minutes with 10 open questions There are 3 main parts in the in-depth interview (Appendix A)

Part 1: Leader’s Assessment about Organizational Culture

Q1: Leader’s opinion about the importance of organizational culture to a

corporate

Q2: Vision, Mission, and Core Values of VASC Software and MediaCompany

Q3: Targets and long-term strategy of VASC

Part 2: Finding out more details about VASC’s Human Resource

Q1: Requirements of newbie and Responsibility of staffsQ2: The role of Human Resource

Q3: Reward and Punishment PolicyPart 3: Leadership Style that the Leader has been following as well as

his opinion about effect of leadership style on organizational culture

Q1: Leadership style that the leader has been followingQ2: Essential qualifications of Leader

Q3:Opinon about effects of leadership style on organizational culture (Thecase cf VASC Software and Media Company)

Organizational Culture was measured by the Denison's OrganizationalCulture Survey (DOCS) The DOCS is one of the most commonly used tools inmeasuring organizational culture, which was founded on the theoretical framework

of the Denison's Organizational Culture Model (Block, 2003) Each cultural trait(mission, involvement, adaptability, and consistency) is measured by three indices(Denison, 2000b) In this research, researcher adopted questionnaire fromorganizational culture survey from Denison in 24-items questionnaires Each

Cultural trait is composed of three indices The higher score of indices, the strongerthe perception among employees that the specific cultural trait is present within the

organization (Block, 2003)

It is appropriate to use Denison model in terms of its complexity This modelanalyzes the content and the strength of corporate culture It examines the externaland internal environment of the enterprise and also shows, which level thecompany achieved in zone of stability and flexibility This model divides the

Corporate culture into four quadrants:

Mission: sets out a clear sense of existence and direction of the enterprise It

defines meaningful long-term direction of the organization

Adaptability: An enterprise’s ability to adapt to change, to the external

environment It translates the demands of business environment into action

Involvement: The rate of participation and initiative of all employees It

builds up human capability, ownership, and responsibility.

Consistency: Indicates the extent to which the values, beliefs and standards

of behavior are acquired and shared among employees It defines values and systems that are the basic of a strong culture.

Internal dynamics of the enterprise, i.e internal environment is represented

by “Involvement” and “Consistency” Relationship between enterprises andexternal environment express quadrants “Adaptability” and “Mission” Features

“Mission” and “Consistency” characterize orientation to the stability of the

enterprise The combination of quadrants “Adaptability” and “Involvement” refers

to the degree of flexibility the enterprise and its ability to adapt to changes.

Flexible

Figure 2.2: The Denison Idea Model of Organizational Culture

This research adopted the questionnaires from the Denison’s OrganizationalCulture Model in 24 (twenty four) question items, and use six Likert scales for measure organizational culture in unit or division The study using six Likert scalesrating system (1 = Strongly Disagree; 2 = Disagree; 3 = Slightly Disagree; 4 =Slightly Agree; 5 = Agree; 6 = Strongly Agree).