Facets of institutional environment: A literature review

This article reviews the various facets of Institutional Environment today including its definition, components, significance and its impact in educational sector. The term Institutional Environment is viewed in different terminologies as Institutional Culture or Organizational Culture. As much as personality shapes an individual, organizational culture shapes its members’ responses and defines what an organization can or is willing to do. Organizational Culture makes an impact on motivation, performance, learning, trust, behavior, values and beliefs. Cultural artefacts, including management styles, are seen as powerful symbolic means of communication which can be used to build organizational commitment, convey a philosophy of management, rationalize and legitimate activity, motivate personnel and facilitate socialization/Culture not only shapes individual's behavior but contributes to the effective performance of the employees and results in job satisfaction.