Referenced as: Low Kim Cheng Patrick (2005) ‘Towards a Framework & Typologies of Singapore Corporate Cultures’ Management Development Journal of Singapore, Vol. 13, No. 1, May 2005, p. 46 - 75.

Towards a Framework and Typologies of the Singapore Corporate Cultures

Professor Patrick Low Kim Cheng, Ph.D. (South Australia) & Chartered Marketer

Professor of Management & Marketing, the Kazakhstan Institute of Management, Economics & Strategic Research (KIMEP); and formerly an Associate Lecturer of Human Resources

Management and Organisational Behaviour Management Development Institute of Singapore (MDIS)

patrick_low2003@yahoo.com

About the Author:

Patrick Low Kim Cheng, Ph.D. (South Australia), M.Bus. (Curtin), Dip M (U.K.), GDPM, GDMF (MIS/Standard Chartered Bank Gold Award), BA. He teaches Small Business Management, Managing People and Entrepreneurship at the Kazakhstan Institute of Management, Economics & Strategic Research (KIMEP) and formerly, Assoc. Prof. Low is an associate lecturer of MDIS. A Chartered Marketer and Chartered Consultant, Patrick Low is also the author of 4 books: best-sellers The Power of Relationships (2001) and Strategic Customer Management, (2000, 2002), his third book is Team Success (2003); and his fourth book, co-written with Daniel Theyagu, Ph.D., is Developing True Leadership Potential (2003). He has on an ad hoc basis lectured and tutored for the Universities of London, Murdoch and Monash (Australia) as well as the Ngee Ann Polytechnic, Singapore.

The Management Development Journal of Singapore Management Development Institute of Singapore (MDIS)

Abstract

The study began by defining values, and through literature review highlighted that corporate leaders – through their own values held – play a large part, if not a key role in moulding their organisations and establishing their organisations’ core values. Using Low (2002) thesis as a foundational resource and data where twelve key Singaporean values were uncovered, this further research study, through the use of questionnaire survey-cum-interviews, examined the most important value(s) held by Singapore’s corporate leaders when running their Singapore companies. From here, a framework with local analogies or metaphors, are drawn. The results suggest that a pattern can be extrapolated to describe the various Singapore corporate cultures in existence, and implications of findings for corporate leaders are also discussed.

2

Towards a Framework and Typologies of

the Singapore Corporate Cultures

Low Kim Cheng, Patrick (2005) ‘Towards a Framework & Typologies of Singapore Corporate Cultures’ Management Development Journal of Singapore, Vol. 13, No. 1, May 2005, p. 46 - 75.

Abstract

The study began by defining values, and through literature review highlighted that corporate leaders – through their own values held – play a large part, if not a key role in moulding their organisations and establishing their organisations’ core values. Using Low (2002) thesis as a foundational resource and data where twelve key Singaporean values were uncovered, this further research study, through the use of questionnaire survey-cum-interviews, examined the most important value(s) held by Singapore’s corporate leaders when running their Singapore companies. From here, a framework with local analogies or metaphors, are drawn. The results suggest that a pattern can be extrapolated to describe the various Singapore corporate cultures in existence, and implications of findings for corporate leaders are also discussed.

Introduction

Values are the core beliefs, ideas and things people care and believe most. Values are

people’s or organisation’s priorities; they also provide purpose and a sense of direction,

setting the standards and giving us a sense of right and wrong. And in fact, it can be said

that values are derived from the founders and leaders (Borromeo, 1996: 51, Sithi-

Amnuai, 1996). In fact, both political and corporate leaders play a part in moulding

organisation and establishing values and beliefs (Horton, 1999: 32; Borromeo, 1996;

Sithi-Amnuai, 1996). Just as “pure springs make for clean rivers” (Kim, 1994: 145),

leaders’ values make for the organisation’s culture. Birch (1993) claims:

Singapore constructs itself as modern by relying on establishing a set of shared, i.e. collective, values and ideals. Its politicians, therefore, are also its cultural managers.

(Birch, 1993: 76)

The perceptions and views of Singapore leaders, political and corporate, are seen to be

critical, since they serve as the visible personification of the types of behaviour likely to

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find support in Singapore. According to Graves (1986: 122–123) and Sithi-Amnuai

(1996) leaders are perceived as culture givers and givers of meaning. Thus, when a

company operates in Singapore, it is affected by what Maurice (1979) calls the societal

effect of the Singapore culture.

Leaders are Principal Formers of Their Organisation’s Culture

To understand a particular culture within nations and organisations, it is helpful to look at

its founders and its present office bearers of business organisations. Founders are often

regarded as the principal formers of their organisation’s culture (Schein, 1983; Selznick,

1957).

Though Martin, Sitkin and Boehm (1985) appear to be scathing about the seductive

promise that founders can create a culture, cast in the founder’s own image and reflecting

his or her own values, priorities, and vision of the future, it is a strongly held belief. A

founder’s own perspective can be transformed into a shared legacy that will survive death

or departure from the institution — a personal form of organisational immortality

(Martin, Sitkin & Boehm, 1985: 99). Organisations’ founders or corporate leaders are

indeed “significant individuals in their organisations” (Jackson, 1993: 150). Parson’s

1998 study supports this; a strong inference exists in his findings that managerial values

were central to the formation of the organisation’s philosophy (Ashkanasy et al, 2000).

The leaders’ underlying values influence the staff’s likes and dislikes, the way they carry

out their duties and responsibilities as well as the work place process and behaviour

(Sithi-Amnuai, 1996).

Schein (1985, 1990) also invokes psychological theories of the psycho-dynamic make-up

of leaders, when he states that “organisations begin to create cultures through the actions

of founders” (Schein, 1985, 1990: 221).

Davis (1984: 8) concurs, in his statement that “the leader is the fountainhead” of culture.

In Asia, the saying “the tail trails the head” has the same meaning. One Singapore

corporate leader, Lien observes: “We Chinese always say: When a tiger dies, he leaves

his skin; a man dies, he leaves only his name.” (Lien & Kraar, 1994: 82).

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The leader is the fountainhead whether that individual is:

… the entrepreneur-founder who first lays out the guiding beliefs or the current Chief Executive Officer (CEO) who has been given the right to reinterpret the guiding beliefs and state new ones. If the leader is a great person, then inspiring ideas will permeate the corporation’s culture … strong beliefs make for strong cultures. The clearer the leader is about what he stands for, the more apparent will be the culture of that company. Whether strong and clear or not, the individual at the top of the organisation is the one who will set and, if necessary, re-set the beliefs.

(Davis, 1984: 8)

Entrepreneur-founders have been described as heroes or champions. Deal and Kennedy

(1982: 39–41, 1988) depict such heroes as reinforcing the basic values of a culture by

making desired behaviour attainable and human, by providing role models, being a

symbol to the outside world and by preserving what makes the organisation special or

unique and above all setting the standards for performance.

CEOs, through their role-modelling and setting of good examples, influence the ways

things are done (Daft, 2001; Low, 2001; Low, 2000; Sithi-Amnuai, 1996; Matsushita,

1991). “If the stick is crooked, the shadow cannot be straight.” (Low, 2000: 139); the

leaders’ “action runs deeper than words” (Sithi-Amnuai, 1996: 36; Kuczmarski and

Kuczmarski, 1995). Whittle states:

… the chief executive affects how people think, work and act on the job. As the twig is bent, so grows the tree … If the CEO likes a clean desk, executives all keep their desks clean. If the CEO has an outward aggressive personality, and supports marketing, the entire bank (company) supports marketing. If the CEO is a bean-counting cruncher, this influence filters down to the branch managers who emulate this particular management style.

(Whittle, 1987: 4)

As the Chinese saying goes, “with wisdom and gentleness, even the most powerful force

can be subdued” (Wang, 1993: 94). Corporate leaders reinforce the basic organisational

values.

Singaporean Values

In his doctorate thesis, the researcher conducted a survey of 32 Singapore companies, all

Singapore co-operatives. They play a significant role in the local economy (Tan,

1994: 11) and are considered as a social instrument for the rapid development of the

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country and its people (David, 1975: 8). “Singapore co-operatives are fully competitive

with private enterprise, do not get special treatment from the Government (and)… their

differentiating factor is that ownership is restricted to local people” (Low, 2002: 150).

Singaporeans wholly own these companies through Singaporeans’ memberships; and

hence, they can be duly classified as Singapore companies (Low, 2002), reflecting a

Singapore brand of corporate culture and core values. The thesis investigated the

characteristic cultural traits of the typical Singapore Company through survey

questionnaire-cum-interviews. A model of the Singapore national culture was then

identified and analysed; certain unique Singaporean cultural values were reaffirmed

(Low, 2002; also see footnote 1).

In Low’s (2002) research, with the use and help of the literature review [e.g. Lowe, 2000;

Chang and Wong, 1998; Trompenaars, 1994, the Chinese Values Survey (CVS) (The

Chinese Cultural Connection, 1987); Hofstede, 1980, 1991; List of Values (LOV) (Kahle,

1983) and Rokeach’s Values Survey (Rokeach, 1973)], four focus groups of five

experienced human resource practitioners and corporate leaders, providing “background

information” (Stewart & Shamdasani, 1990:15; Singleton , Jr. & Straits, 2002) such as

common sayings and personal experiences, identified and validated a list of the national

values commonly held by Singaporeans. From this list, a pilot test was conducted, and

the list was then further verified by the focus groups. After the test, the pilot respondents’

minor adjustments were made of the list and survey questions; confirmations were also

received from the pilot respondents that the survey questions did seek their views on the

various Singaporean values, and what and how these values affected their companies.

Low (2002) then validated these value assessments of the twelve values against a panel of

two independent assessors (and agreement from his two supervisors). A survey

questionnaire and guided interviews were then used to explore the values of Singapore

co-operatives to discover what distinguishes Singapore companies from other foreign

companies there, and what socio-cultural determinants and Singaporean values contribute

to the success of, or work against, the Singapore companies. In the process, Low, 2002

uncovered Singapore companies subscribing to 12 Singaporean values and these key

values were:

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Table 1: The 12 Singaporean Values

1 Human Capital 2 Learning 3 Sense of unity 4 Multiracial/multiculturalism 5 Achievement 6 Globalisation and networking 7 Continuous effort and being resilient 8 Governmental support and involvement 9 Rationalism 10 Pragmatism 11 Diversity 12 Participation of women (Source: Low, 2002; see Footnote 2).

Objective of the Study

While considerable amount of literature on the patterns of corporate cultures that exist in

the West (for example, Trompenaars, 1994; Handy, 1979), there is a limited amount of

research focusing on this issue in the context of Asia in general and Singapore in

particular to date. Therefore this study attempts to fill this void.

In his research, Low (2002) cites the twelve Singaporean values and these values are then

cited and used to examine the key value(s) that prevail among these Singapore companies

– as held by their corporate leaders, and if so, to survey what various types of Singapore

corporate cultures that may exist. The primary objective of this further study is to

determine whether surveying these top values held by the corporate leaders can present a

pattern of values or any clusters of similar core beliefs. Thus, the researcher asked the

most obvious question, and that is “What is the most important value (or values) of the

Singaporean managers when running their companies?” And are these priority values of

the leaders picked from the 12 Singaporean values (Low, 2002) or otherwise?

Methodology

Low (2002) thesis served as the foundational source of data with the twelve Singaporean

values extracted for this further study. Data for this further research were collected using

questionnaire survey-cum-interviews. Respondents consisted of co-operative leaders of

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Singapore co-operatives of all categories and industrial types, i.e. Campus, NTUC,

Industrial services and Credit sectors.

The survey-cum-interviews were administered. 32 out of a total of 66 Singapore

co-operatives’ leaders participated and the response rate of 48.48% obtained. The survey-

cum-interviews were conducted from September 1999 to the end of April 2000. To

increase the reliability and objectivity of the study, the researcher also checked and

validated these responses-cum-assessments against an independent assessor, a Ph.D.

candidate contracted by the researcher. Metaphors were also suggested since they are

believed to enrich the cultural descriptions (Ortony, 1979). They can be used to illustrate a

pattern or a theme, and Gannon (1994, 1993) has used them to describe cultures.

Findings

During the survey-interviews, scales of 1 (least agreeable to the value cited) to 10 (most

agreeable to the value cited) were used and the most important value answers from the

respondents were recorded. Their responses were then collated and tabulated; the

corporate leaders’ endorsements were summarised as follows:

Table 2: The most important value endorsed

The most important value endorsed (Here, respondents cited as top value on a scale of 9 /10 out of total 10)

Number and percentage (%) of respondents who agreed

1 Being viable/ concerned with the bottom-line 8 25 2 Achieving social objectives

(No. 2 matched with the values of the co-operatives – Low, 2002)

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18.75 3 Going modern/ professionalism and technology 6 18.75 4 Having close relationships/ all in the family

situation

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12.5 5 Valuing political stability with a sense of unity

(No. 5 matched with the combined values of Governmental support and involvement, and sense of unity, two of the 12 identified Singaporean values – Low, 2002)

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9.375 6 Being a role-model 3 9.375 7 Going global with diversified interests

(No. 7 matched with the value of globalisation and networking, one of the 12 identified Singaporean values – Low, 2002)

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6.25 8 Being bureaucratic

(No. 8 matched with the overall Confucian Heritage of the Singapore national culture – Low, 2002), the respondents referred to the various “procedures” or “bureaucratic practices” that prevailed.

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9.375

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Possible Limitations and Caveats

In analysing these data, the researcher compares the above list with that of the original 12

Singaporean values surveyed (Low, 2002). Interestingly enough, few of them chose from

the above original list of 12 Singaporean values but, instead, they suggested alternative

values. At this point, the researcher will highlight the possible limitations, being aware of

the possible limitations from the outset of the research.

One possible explanation is that the original list asked for core values but respondents

were replying in terms of activities. They were thinking more of their operational

activities and urgencies. Similar to Khong’s (1993: 39) research where “the SMEs were

more concerned with their daily operations”, the present study’s examples include the

fact that eight respondents (25%) spoke of their need to ensure the bottom-line and

profits. Six other respondents (18.75%) spoke of going modern, being professional and

tapping the benefits of technology.

Another possible explanation for the respondents’ citing their own alternative values, as

important values could be this researcher’s choice of words in the survey-interviews.

Perhaps, this researcher’s choice of words may not be appropriate; the respondents were

endorsing similar items but were using different terms. For example, they were endorsing

the value of globalisation and networking but were referring to going global with

diversified interests. And when they were endorsing the value of Governmental support

and involvement, they were referring to political stability with a sense of unity.

Additionally, another possible reason why the respondents selected values outside the list

of original 12 values could be that they were thinking of their leadership or organisational

image and even the “glamour”, and that they wanted to be seen in the right light as

serving their members’ or stakeholders’ interests. Hence, the citing of profits, being a role

model or fulfilling the social objectives and responsibilities was the most important value

that influenced them. Nonetheless, even if these were not actually the case, these were

values that affected them and were rightly pointed out by them.

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Another possible explanation for the respondents selecting values outside the list of the

original 12 values, particularly the social objective value, could be that the respondents

might be thinking of the raison d’être or purpose of their existence, hence their selection

of this value.

Yet another explanation is that the respondents took the original 12 values as axiomatic,

considering them as their accepted Singaporean values; and thus, their most important

value might or might not come from the 12 original values. If the most important value

came from one of the 12 original values, then it only reinforces the proposed Singapore’s

Confucian heritage cultural model. If, on the other hand, the most important value came

from outside the 12 original values, then it only speaks of the organisation’s special

circumstances and concerns. For example, corporate leaders selecting the value of social

objectives may possibly be thinking of their co-operatives’ own mission, objectives and

roadmaps.

Granted the latter explanation is true and given the fact that the co-operative leaders were

rightly voicing their most important values as to what they perceived and interpreted as

their priority value in running their organisations (what they want to be practised), the

corporate cultures that emerged are next assessed. Note that an independent assessor also

further verified the respondents’ answers and the labels of each corporate cultural type

are then given. Each corporate cultural type with its implications is now discussed.

Analysis and Discussion

1 The organisations that value profits (profit or the mee-pok

man/ street noodle seller culture)

Majority of respondents (8 or 25%) indicated that they were more conscious of their

bottom-line with perhaps the strong need to be resilient and survive. One co-operative

leader from the industrial services sector highlighted the typical view of organisations

that value profits:

as far as I’m concerned, I am not really bothered with whatever (Singaporean) values, we run the company as a profit centre. We have no choice. And run the

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business as best that we could. Like any other business, profits matter most of all. At the end of the day, we must satisfy our shareholders.

Also reflecting the “profits matter”, another respondent, one from the Campus sector

opined that:

First (1st.) in the ranking, the most important factor: we encourage thrift and savings amongst our students as much as we try to source out cheap to effect whatever savings – in line with our coop’s objectives (– and make money).

So, in what way is “profit matter” linked to the Mee-pok Man? How does this researcher

derive the Mee-pok man analogy? The Mee-pok Man is seen as a hardy seller of a popular

Singaporean fast food – a cheap fish-ball flat-noodle dish – much liked by Singaporeans

(see Footnote 3). Here, the Mee-pok Man, the hardy seller is seen as analogous to the

resilience value, “a certain can-do spirit” (Chua, 2003: H13) that is identified as one of

the underlying twelve Singaporean values (Low: 2002).

Such a Mee-pok Man culture is also reflected in Lee and Sheh’s (1994) study where the

results proved that the human-relations approach and business orientation are most

important. Consistent with earlier findings which indicated that the Chinese mind being

pragmatic and devoted to seeking profit (Zhang, 1999), the majority also demonstrated

the need for thriftiness. Indeed, in such a culture, profits are ploughed back and being

frugal is a virtue. Thrift involves the use of limited resources — material, capital and

human resources (in line with the island Republic’s limited resources that has impacted

on its culture; Low, 2002) and this results in improving productivity and overall

profitability (Sheh, 2001). Being thrifty helps to prosper, if not survive (Mulchand &

Fong, 2004). Besides, the leaders persevere, working hard (Sheh, 2001; Robertson, 2000;

Yeung & Tung, 1996) and exercising endurance, particularly at the early inception of the

business where existence and survival are the key objectives. The existence of this culture

as discussed very much supports the prevalence of the Singapore’s Confucian heritage

national culture (Low, 2002) although other writers have challenged such a notion.

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One implication of companies with an “organisations that value profits” culture is that

they can be niche players, making full use of their resources as well as being thrifty and

having a certain resilience, and can better survive in competitive environments.

2 The organisations driven by social objectives (co-operative

culture)

The 6 co-operative leaders or 18.75% voiced the social objective imperatives. One co-

operative leader from the credit sector reported that “We look after members’ interests;

members’ interests come first.” Another respondent (Industrial services) spoke of:

First - our social objectives are central. I’m here to help them. We’re here to help them. These are ex-convicts, and former drug addicts. They do find difficulties in getting employment and we are here to assist them getting jobs, be useful people, and re-integrate into society.”

It is heartening to note that the co-operative’s social objectives were pursued; these

organisations sought to satisfy their members’ needs, especially in the presence of

economic hard times. The findings are supported by Foo’s (1996) study that the

co-operatives have achieved their objectives, including the fact that NTUC co-operatives

have also contributed to the Singapore Labour Foundation (SLF), improving the workers’

welfare, and furthering the development of the trade union movement in Singapore.

Besides, the NTUC co-operatives were created to enable workers to acquire assets and

thus give them a greater stake in the economy (Campos & Root, 1996: 71). The

metaphor, “organisations driven by social objectives” can thus be interpreted to reflect

very much the Confucian value of helping others and paying back to the community.

NTUC Fairprice, one of the leading super-marts, unlike its profit-driven competitors, has

cut prices on 400 items and would do so for other items too. NTUC Fairprice has a social

obligation, helping workers pull through the economic hard times and redistributing the

profits to society (Osman, 2001; Soh, 2001; Ee, 2001; 2001a).

Call was also made for more co-operatives to care for the elderly, with NTUC Eldercare

opening day-care operations and heavily subsidising its operations to keep the rates

within the means of the working class (Ee, 2001a: 228–229).

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As a Confucian value, the leaders serve as guardians and providers of their people’s

welfare. Though some may dismiss this as mere patronage, nonetheless, it can be argued

that this is Confucian in nature. Confucian teachings stress benevolence and compassion

and, as a corollary, a successful and good person is one who is also benevolent and

compassionate to sufferings and deprived fellows (Sheh, 2001; Scarborough, 1998; Chan

& Chiang, 1994: 292). The leaders then help others less fortunate or pay to the society

what has been taken from it. The existence of such a co-operative culture reinforces

Singapore’s revamped Confucian cultural model earlier identified in Low’s (2002) study.

The implications of such a culture are that these co-operatives help ordinary people to be

company shareholders, while closing the ranks between the rich and the poor — they

help promote egalitarianism.

3 The organisations that value going modern (modernising / the

bum-boat owner culture)

6 corporate leaders highlighted this view with one of them, voicing that:

Nowadays, even Singapore family-run companies – although the key positions are held by family members and power are kept from ‘outsiders’ – adopt a more professional management style. They use technology or the services of top management consultants to advise and organise their companies.

Indeed, it is not surprising that the “go-modern” business owner/ bum-boat owner culture

prevails in the Singapore corporate scene. The existence of Singapore companies,

especially small Chinese companies under the strong pressure of a modernising

environment, cannot be denied. They have to upgrade their present level of technology

and management know-how so as to compete locally, regionally and internationally as

evidenced in Lee’s (1996) study as well as in Long (2004).

The existence of such a culture is further supported by the 2000 year-end joint study

researched by the National University of Singapore’s Centre for Business Research and

Development (CBRD) and the Singapore Chinese Chambers of Commerce and Industry

(SCCCI). Though the Chinese companies subscribed to IT, e-mail and the setting up of

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web-sites, they faced modernisation issues such as needing more knowledge and

information of Governmental assistance as well as tapping into the various Government’s

assistance schemes (SCCI-NUS, 2001).

Though Singapore businesses placed great value on new technology adoption (Menkhoff

& Loh, 2002), many of them — especially small Chinese ones — need to emphasise

technology and advancement (Long, 2004; Chan & Chiang, 1994: 272, 350, 357; Siew,

1987). Singaporean business owners should bring innovation and change into their

organisations, with professional management replacing the family entrepreneurs (Bjerke,

1999: 146; SyCip, 1995: 21). Recently, a newspaper columnist Leong (2003: 33) in fact

reported the growth of a family-owned company through modernisation and the hiring of

professional managers, particularly YHI; other such Singapore companies include

Breadtalk, which makes buns, and Qian Hu, which rears ornamental fish and Osim,

which sells massage chairs. One modernising, happy family group’s corporate leader

admitted, “at the end of the day, what is important is that the bank (company) must be

professionally managed” (Koh, 2003: A14).

Nevertheless, it is believed that Chinese businesses are faced with dilemmas to retain

traditional Chinese management (human-centredness, family-centredness, centralisation

of power and small size) or adopt the knowledge needed for the modern economy (Lee,

1996). Different perspectives are held by the two generations on how to run the

organisation (especially when children of first-generation leaders/founders in Chinese

organisations have received a Western education) (Lee, 1996; Siew, 1987).

This label has been used because like the bum-boat that is a motorised sampan, the

organisations that value going modern apply technology to reap its benefits while

adopting a professional approach. In the past, bum-boats were very commonly found in

the Singapore River and they were used for loading or unloading goods from ships

berthed at the Singapore Harbour’s Outer Roads). The Bum-boat Owner corporate culture

is characteristically unique in that it includes certain enlightened management practices.

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One implication of this “organisations that value going modern” corporate culture is that

of the challenge of continuing the traditional values of familial-like relationships, or

facing expansion while embracing modernisation. Yet another implication is the

challenge of integrating the values of both the first and second-generation leaders.

4 The organisations that value family relationships (sole

proprietor/ towkay and family culture)

It can be interpreted that in Singapore, within organisations that value family

relationships, the situation is very much the same as what one respondent (from the

Credit sector) expressed:

Creating that sense of belonging is very important to us, we want to create that sense of family. We want to also increase the rapport among our members. We are to help each other.

I also believe in relationship-building – networking. When you’re small and you network, you can build your contacts, business and last.

Another respondent (Campus) opined that:

We’re a unique in many ways; we stress more on building relationships. In this small business, we want the students to build their friendships with each other. We also want to emphasise the togetherness among our students.

Here, such corporate cultural traits can be assessed as applicable to the sole proprietor or

small-family Singapore companies. Indeed, there exist pockets of Chinese family

businesses in Singapore where the emphasis is on family (Sheh, 2001: 75-83). The

Towkay corporate culture can be construed as the typical ‘family’ or closely-knit business

a la Phua Chu Kang (PCK), a popular local Television of Singapore (TCS)’s sitcom

featuring the on-goings in Singapore’s favourite “Ah Beng” (backwoods or country

bumpkin boy) contractor. Phua Chu Kang’s wife, Rosie and Architect brother, Phua Chu

Beng are both roped in to help in Chu Kang’s business. The Chinese Towkay is a closely-

knit ‘all-in-the-family’ type of corporate culture where every members, their relatives,

friends and relationships count. Relationships matter most.

Towkay or “Boss-centred” (the analogy used by Sheh, 1995: 28), the proprietor or

business leader, runs the show, providing the knowledge and expertise with good

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relationships with his people (Sheh, 2001; Ng & Ng, 1996: 368; Sheh, 1995; Chen, 1991,

Siew, 1987; Yao, 1987). Chinese-owner managers take their meals with their employees

at a round table. Knowledge, information and experience are transmitted through this

informal gathering (SyCip, 1995: 21). This family culture, the analogy used by

Trompenaars (1994), appears foreign to most in the United States — conversations are

more important than research questionnaires and subjective data are superior to objective

data (Hodgetts & Luthans, 1997: 163). In fact, there is a tendency to “use more saliva

than tea” (Low, 2001). Talking means that the leaders’ ears are on the ground and that

they keep themselves aware of the environment in which they are operating.

Cultivating personal relationships (Guan Xi) is stressed (Yeung & Tung, 1996; Montagu-

Pollock, 1991; Siew, 1987; Yao, 1987). Superiors show concern openly but not criticism

(Yao, 1987). This lends support to Lee’s (1996) and Siew’s (1987) studies where family

or familial relationships play a critical role in the organisation (Bjerke, 1999: 153, Sheh,

1995).

In such a corporate culture, the business is run based on good relationships and

employees are not only being treated like all in the family situation, but they also view

their organisations as traditional families (Sheh, 2001; Adler, 1997: 52; Lee, 1996; Siew,

1987, Chong, 1987). Reflecting the Singapore’s Confucian heritage cultural model, the

corporate leaders or managers, like benevolent fathers, use more saliva than drinking tea

— meaning talking, coaching and taking personal interest in the employees’ welfare.

Informality and intimacy exists — with everyone undertaking a variety of activities to

meet daily performance demands (Low, 2001: 98–99; Ng & Ng, 1996; Chan & Chiang,

1994: 55–56; Lasserre & Schutte, 1995: 105; Bond, 1991; Siew, 1987).

One implication is that in such a culture, seniority and good conduct of behaviour such as

reliability and trustworthiness are stressed.

In fact, both these organisations (“organisations that value family relationships”) as well

as “organisations that value going modern” (see 3) have its implications for Singapore

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and the rest of Asia where overseas Chinese family businesses prevail and where they are

affected by the winds of change and modernisation. One such implication of the sole

proprietor or the “organisations that value family relationships” culture is that, as the

company expands, it will evolve into the “organisations that value going modern” culture

(see 3), embracing values of modernisation such as valuing technology such as e-

commerce and others.

5 The organisations that value political stability (stability or the

orchid shirt and national dress culture)

For this category of companies, national stability and the Government’s help are stressed.

These companies, being nurtured in such a politically stable environment, grow and

expand. Order and stability were found to be much valued in Confucian societies

(Robertson, 2000; Yao, 2000). Singapore, in particular, “has long had a reputation for

being intolerant of corruption and for having one of the more efficient, no-nonsense

regulatory systems in Asia” (PERC, 2003: 14).

True, all SMEs or for that matter, businesses in Singapore value political stability but in

such a culture, that political stability value is stressed, and in such a culture, the role of

the Singapore Government is emphasised and evidenced as a priority value. A typical

view expressed by the corporate leaders in such organisations goes as follows:

First in the ranking? The most important factor… we value political stability. The government provides the systems, the roads and all the necessary infrastructure. With political stability and unity within the company, we can work together to grow the company.”

Strongly reflecting the Government component of the underlying Singapore cultural

model earlier mentioned, this notion of “organisations that value political stability”

corporate culture is further supported by Lee’s (2001) research of larger companies and

SMEs in Singapore. These companies have normally expanded and grown through

Government incentives, financial assistance schemes as well as support, and form a

seabed of future Singapore MNCs.

17

Interestingly, it should be noted that in Singapore, the Orchid-shirt is a noted national

costume, it can be a dress, a lady’s blouse or a man’s shirt with printed or batik orchid

motifs. The Singapore Government has been encouraging the use of this national orchid

wear, among Singaporeans particularly when attending official functions abroad; hence,

the name for such a corporate culture. The Orchid-shirt (national dress) wearer corporate

culture exists in Singapore companies have distinctive emphasis on political stability,

being dependent on that governmental factor for growth.

There is no denial that there is Singapore companies that prosper and want to play it safe.

They have enjoyed Singapore’s political stability, its social cohesion and whatever

products of good government such as an efficient and effective civil service. Unlike its

neighbouring countries, particularly Indonesia that suffered from much social disorder,

politically safe and financially prudent Singapore has been highlighted as a good place to

do business, especially evident during the Asian Economic Crisis. This Orchid shirt-

wearer corporate culture would include Singapore’s banks, fund management and

insurance/ credit companies. These companies traditionally, over the years, benefit from a

well-ordered city, the Singapore Government’s smooth successions, the efficient and

effective Civil Service, the tripartite arrangements, provision of good roads, infra-

structure and communications systems; things that are doubly hard to let go. The efficient

and effective Civil Service’s influence on Singapore enterprises can be linked to political

stability, one of the Singapore values concurrently identified in Low’s (2002) study.

An implication of this culture is that success breeds success, as there is special emphasis

on the winners (Lee, 2001; Doh, 1996) by being identified as the Enterprise 50

companies and being able to utilise Government initiatives such as the Local Industry

Upgrading Programme (LIUP) and others (Lee, 2001). The Government lends much

support to innovative local start-ups and companies that have critical mass, commitment,

capacity and capability to innovate and grow (EDB, 1989). Another implication is that a

need exists for the Government to put more emphasis on developing other SMEs,

alongside the development of this “organisations that value political stability” corporate

culture. Otherwise, a ‘lop-sided’ economy may emerge, one that is heavily dependent on

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government’s initiatives, and GLCs with the latter growing bigger while emasculating the

SMEs with the passing time.

6 The organisations that value being role model (role model or

school teacher culture)

In organisations that value role model, one respondent said that:

Things central to whatever we do is that of being the role model, and as Catholics, we want to spread the message of love and charity. We want to learn and teach love. That’s the very reason of our formation and existence.

And another respondent (Industrial services) further indicated that his co-operative is:

(to provide) “Contoh”, a role model in which a group of people (Malay/ Muslim taxi-drivers) come and work together for our mutual benefits. Besides, it’s to raise our honour and good names.

We also want to run our co-op professionally.

Corporate leaders and managers should present the image of a mighty leader — in a way,

leaders need to set the example, and be trusted by counterparts and employees; this is

similar to Chen’s (1991) study or, as in Yao’s (1987) study, paternalistic leadership is

fostered (Bond, 1991: 71).

Like the benevolent father, the Singapore Government has intended that the GLCs lead

the way in becoming world class. For certain industries, GLCs such as POS Bank and

DBS were leading because of the pioneering nature of the industries (Tan, 1975: 93).

“Operat(ing) in a vast array of sectors” with “the single-minded quest for efficiency”, the

GLCs playing “the leading role”, “plot and spearhead economic moves” (Shameen &

Reyes, 2000: 43). This “organisations that value being role model” culture reinforces the

Confucian heritage cultural model discussed in Section 6.1. The teacher or the role

model in the Confucian sense is respected, commanding the same respect as is due to

one’s father and elders and are, in fact, the primary source of guidance (Scarborough,

1998: 23; Bond, 1991: 29).

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The Singapore Government has, in fact, reinforced this teacher or role model corporate

culture. Both POS and DBS Banks were set up by the Singapore Government to serve as

role-models or ‘lead’ the local banks in embracing hi-tech and updating their IT

processes, more so during the first twenty years after Singapore’s independence. And it

can be argued that during the Asian economic crisis 1997 – 1999 when the Government

was emphasising that big or corporate size matters, DBS Bank led in the acquisition or

the merger with POS Bank in 1998. DBS Bank also went shopping, buying into

Philippines bank, paying a total S$1.2 billion, “a near 20 per cent stake in Bank of

Philippine Islands, which is poised to be that country’s largest bank” (Velloor, 1999: 1).

And DBS thus sets the example when Singapore’s local banks were told that they needed

to consolidate, merge or follow-suit to be stronger and competitive.

An implication of the “organisations that value being role model” culture is that even

when it comes to investing abroad and spreading Singapore’s external wings, the

cosmopolitan GLCs encourage and set the example for other Singapore companies to

follow suit.

7 The organisations that value going global (going-global or the

Singapore Symphony Orchestra: SSO culture)

Two larger co-operatives (that have the necessary resources and means to go abroad) out

of the 32 corporate leaders interviewed perceived going global, growing into a Singapore

MNC, as the most important value they espouse. Here, one interviewee highlighted:

The most important value? Going regional? JTC has a JTC International. We’ve our dreams or vision (too)…. Of course, we want ‘quality’, ‘being the best’ and wanting to achieve ‘growth’. We’ve to be efficient and effective. Going regional we like to… going regional is an opportunity, to grow bigger, reaping the economies of scale …but very frankly, we must get it right first. We need talents, diverse talents and resources.

Perhaps, technology and globalisation will spur growth. We need to network to strengthen our business.

And staff training and development is another key factor.

And another NTUC co-operative interviewee added that:

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We are and will be building our global contacts and network. We’ll train, equip ourselves. We want, have the resources to go regional. We have previously tried it. We’ll go in, expand at the right time. We’ll go overseas when right opportunities prevail. And if so, our venturing overseas will be profit maximising.

Why then the SSO label? Such organisations normally seek to go global, embracing or

“enjoy(ing) technology”, and building contacts and networks as well as resources and

talents. Usually big, they have the necessary resources and diverse talents to build up

their diversified business interests.

Like the SSO – international in composition, of diverse talents and Singapore’s largest

professional artistic body aspiring to be a world-class orchestra, Singapore companies

with such a corporate culture are multinational, usually fairly big companies and banks

with several overseas branches (or at least has the potentials to be as such). Here, “access

to global talents (is) critical for Singapore banks” and “the best in the world will help the

industry set itself up as entrance to the regional economies” (The Straits Times, 2 Feb

2000, p. 45). And they too aspire to be world-class. They can also grow by leveraging

knowledge and other capabilities in multiple locations, rather just at home (Williamson,

Yes Dos & Santos, 2001 cited in Khanna, 2004).

Singapore as a global city is acting as key basing points for the expanding corporate

Singapore (Yeung, 2000). Increasingly, Singapore companies are becoming more and

more international with such a cultural orientation. The empirical support of the existence

of such a culture also comes from Low’s (1994) study of Singapore’s MNCs and the

Ministry of Finance (1993).

Additionally, such organisations with the SSO culture ordinarily bear valued brand names

(such as Tiger Balm, Yeo’s, Anchor, Tiger) and valuing technology, such typical

companies include those awarded with incentives or supported by Government bodies

such as the Trade Development Board (TDB), to go overseas (Trade Winds’ Industry

Weekly, 1996). They usually also employ foreign talents or have a diversity of people

within their ranks and file. Here again, the presence of such a culture reinforces the

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presence of the benevolent father, the Government as in the Singapore’s Confucian

heritage cultural model (Low, 2002). The Government through its various agencies such

as EDB plays an active role — almost like a partner — in helping Singapore companies

venturing overseas.

One implication of such a culture is that its potentials and strengths of diversity and

creativity can be further tapped to expand the company.

Another implication is that in such a culture, the company resorts to global sourcing,

providing it access to lower cost raw materials and components, particularly those not

available locally as well as access to higher quality inputs such as better technologies or

more skilled workers. Global sourcing and networking equips the company too with less

reliance on a small number of possible suppliers, which reduces risks.

8 The organisations that are procedure driven (bureaucratic or

kathakalli culture)

It is noteworthy that that about 3 interviewees or 9.375% from the above cultural types

indicated that there were bureaucratic issues. Thus, it would appear that although the

interviews were done with a group of co-operative leaders, the findings suggest that

another corporate cultural type that is evident in the Singapore corporate scene. One such

respondent (Industrial services) observed:

Perhaps, there are some quarters in the Singapore corporate culture that is rather procedure-driven.

And she further added:

When we’ve approached and asked for help, they would cite that they are bound by the rules. For example, the poor is defined as having an individual income of S$800 in order to qualify for free legal advice now this is quite unrealistic, the people there knows yet they are quite rigid. In terms of the aged, the family’s income needs to be less than $2000 to qualify. Easily, many middle-income Singaporeans would not have been qualified. The people there are rule-bound and they don’t want to subsidise the middle income but rather the poor. You can earn S$1200 or slightly more yet you can be poor. They are aware of the changing incomes/ conditions yet they fail to revise the guidelines, perhaps …very bureaucratic.

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It can be inferred that such a corporate culture tends to exist in pockets of Civil Service, a

particular Ministry or Ministries that this respondent had dealings with. And this strongly

coincides with what Chua (2003: H13) has cautioned, not to be overly rule-bound

(“hyper-precaution”), lack of risk-taking, tense and over-reacting.

There are organisations that are procedure-driven or rule-bound in getting the tasks done.

Such a culture is very much like Morgan’s (1986) machine or bureaucratic organisations.

Studies of bureaucratic culture has been documented in Wallach (1983 cited in

Wimalasari, 1991: 42) and Blau (1956) as having these dimensions — power-oriented,

cautious, established, solid, regulated, structured and procedural. These studies are useful

as guides in identifying aspects of such cultures in Singapore.

The existence of such a bureaucratic culture in Singapore has been further substantiated

by Yeung’s (2000) study. Being a developmental State, Singapore’s preoccupation with

economic development must be supported by the establishment of an elite economic

bureaucracy to guide the market, as argued by Wade (1990) and Johnson (1982). A case

in point is that since 1961 the Economic Development Board (EDB) of Singapore has

been established as a one-stop investment promotion agency to assist foreign firms in

their investments, entry to and operations in Singapore.

Here, it is argued that bureaucracy is a Confucian tradition and, here again, this metaphor

reinforces the Singapore cultural model (Low, 2002). Confucian institutions embody a

hierarchical, bureaucratic structure. The paternalistic approach that governs the family is

extended to the organisations, tempered with paternalistic benevolence (Scarborough,

1998: 21; Bond, 1991).

The existence of this bureaucratic culture highlighted here is also consistent with the

personality profiles studies done among the Singaporean managers (e.g. Tan and Tan

1999; Ditzig and You, 1988). In their research, Tan and Tan (1999) cited “serious”,

“systematic”, “thoughtful”, “thorough” and “conservative” with the likelihood to

“harbour traditional orientation” as the dominant traits among Singaporean managers.

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3 respondents or 9.37% made reference to this Bureaucrat or the Kathakalli Dancer

corporate culture. Why the selection of this label and its significance? To explain, the

Kathakalli is a form of classical Indian dance and one of Singapore’s traditional dances.

In the modern Singaporean context, the Kathakalli has been highly stylised

(‘mechanical’) classical dance that emerges from its own milieu, i.e., it is old yet elegant

and with its dramatic essence retained. Like the bureaucracy in its puritan form, the

Kathakalli dancer is a rare breed, and its numbers are also fast dwindling.

Just like not many people nowadays want to learn such traditional ‘elaborate step-by-

step’ dances like the Kathakalli dance, not many corporations too want to retain much of

its elaborate bureaucratic practices. Be it as it may, the “bureaucrat” corporate culture

reflects organisations as “machines” (Morgan, 1986); the implied downside of such a

corporate culture is its typical less open in communication, and its more of one-way flow

of information – i.e. top-down, rule-bound and procedure-oriented with slow adaptation

to changes. Companies with such a corporate culture can be victims of mergers and

acquisitions; the Big Boys – large corporations, using their financial muscles – can easily

acquire or take over them.

On the other hand, one other implication of the “organisations that are procedure-driven”

culture is that it not only provides a source of stability, but also growth. The latter further

implies that greater effectiveness could be derived from a more centralised decision-

making arrangement.

In summary, the above 8 Singapore corporate cultural types are shown in Table 3:

Table 3: The 8 Singapore Corporate Cultural Types (Based on the chosen top values perceived and voted by the corporate leaders)

1 Profit or the Mee-pok Man/ Street Noodle Seller Culture values:

o Profits, thriftiness and business viability o Being street-smart, surviving in the harsh environment and can be

quite hardy or resilience. 2 Co-operative Culture values:

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o Social objectives and the needs of the community.

3 Modernising/ the Bum-boat Owner Culture values: o Going modern and professionalism, using technology to reap the

benefits of automation and technology. o Learning. 4 Sole proprietor/ Towkay and Family Culture values:

o Creating “all-in-the-family”, a personal and caring atmosphere, building a high sense of belonging and togetherness.

5 Stability or the Orchid Shirt and National Dress Culture values: o Political stability and the government’s help and support with a

high sense of unity. 6 Role model or School Teacher Culture values: o Being a role model. 7 Going-global or the Singapore Symphony Orchestra: SSO Culture values: o Going global with diversified interests. o Technology. 8 Bureaucratic or Kathakalli Culture values: o Getting the tasks done; and in a way, being procedure-driven.

Conclusion

Singapore as a global city is acting as key basing points for the expanding corporate.

Overall, by grouping the most-important value answers from the respondents, this

research study has analysed and identified eight (8) different corporate culture typologies

that existed in the Singapore Company’s corporate cultures.

It is interesting to note that metaphors are normally situations, events or circumstances

that occur in a culture that capture and clarify its essential elements. Indeed, of prime

relevance is the research study’s usage of the metaphors in describing the Singapore corporate

cultures since they create a new understanding about the new objects (cultures) (Ortony, 1979).

Linking to and explaining the local metaphors used, eight (8) different Singapore corporate

cultural types are derived. Admittedly though some may argue that these cultural types

identified may appear not to be easily understood by non-Singaporeans or those who are

25

less exposed to Singaporean culture, Singaporeans nonetheless should be better able to

identify, relate or associate and appreciate some, if not all, of the local parallels and

analogies made.

Footnote 1: see Low Kim Cheng, Patrick (2002) Corporate Culture and Values:

Perception of Corporate Leaders of Co-operatives in Singapore, Unpublished Ph.D.

Thesis, the University of South Australia.

Low (2002) thesis investigated the characteristic cultural traits of the typical Singapore

company through survey questionnaire-cum-interviews. The researcher looked into the

validity and measurement of culture, specifically looking at developing a list of

commonly included dimensions or values in other empirical and theoretical publications,

as well as testing out these values and confirming with the focus groups held. Values

were compared and many studies were looked into, and among these studies reviewed,

just to name a few, included Lowe, 2000; Chang and Wong, 1998; Trompenaars, 1994,

the Chinese Values Survey (CVS) (The Chinese Cultural Connection, 1987); Hofstede,

1980, 1991; List of Values (LOV) (Kahle, 1983) and Rokeach’s Values Survey

(Rokeach, 1973).

Leaders of 32 Singapore co-operatives owned by Singaporeans were then interviewed

and from the study, a model of the Singapore national culture was also identified and

analysed. Certain unique Singaporean cultural values were reaffirmed, and a process

model, using focus groups, literature reviews, pilot test and interviews, for measuring

national culture also emerged.

Footnote 2: These 12 Singaporean values were uncovered in Low (2002)’s thesis. Interestingly,

Low’s (2002) research has created a process model for developing an adequate

description of a national culture and values. What the study has done is to focus on a

strategy for analysing the components of a national culture as represented by the local

companies. Such a strategy in arriving at a set of values in isolating a national culture —

or the model — can be represented in the following stages:

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1. Set up focus groups of locally relevant experts to identify an initial set of values cherished at the national level. The use of the focus groups is a good way of getting uninhibited opinions and views from the experts who are prepared to talk and argue about the country’s national culture and values. Here, Blumer (1969: 41) noted the importance of group interviews or focus groups. Focus groups comprising “acute observers and who are well-informed … a small number of such individuals brought together as a discussion and resource group is more valuable many times over than any representative sample”.

In the study of culture, as in this study, focus groups are “useful when it comes to investigating what participants think, but they excel at uncovering why participants think as they do” (Morgan, 1988: 24).

2. Develop the set of core values from the universal literature.

3. Give summary of core values from literature to focus groups.

4. Focus groups revise and then establish set of national values. The researcher then checks with a panel of independent assessors who reviews the set of national values. Finalise conceptual framework of local national culture.

5. Pilot-test.

6. Test for applicability with locally important informants.

7. Arrive at a final model of national culture.

The experts asked were experienced corporate and business leaders, because of the

peculiarities of Singapore — its history and economy. The model was then tested for

applicability since there is a synonymous match between the national culture and

business or corporate culture in Singapore. This synonymous match is primarily because

of the country’s small size and lack of natural resources, and because since its birth as a

modern nation, Singapore is dependent on human capital and relies strongly on its

economy for its survival and growth.

The use of best experts in the focus groups helps; they are able to provide more accurate

evidence, very much the same as courts of law getting expert witnesses. For the model to

work, and thus be applicable, the key to finding the national culture of a particular

country lies in getting members of the focus groups who are locally relevant experts. This

is because, in certain countries, certain sectors or fields need to be emphasised since they

serve as critical inputs to the national cultures involved. For example, in Indonesia, in

finding the national culture and core values of that country, the focus groups should

consist of experts — among them, the mullahs and the ulamas (Islamic leaders and

27

religious teachers), and the farmers. This is because Islam is the country’s key religion

(Indonesia is the world’s most populous Muslim country) and the agrarian way of life

have influenced much of Indonesia’s history, politics, economy, leadership, way of life

and thinking.

The Hofstede and Bond (1988) study, on the one hand, has come up with the dimension

of traditional Asian values (called Confucian Dynamism), a measure that is salient to

investigators of Chinese values, as other cross-cultural studies of values are based on

survey instruments developed by Western researchers. On the other hand, this research

study has mapped out a process model of using core values identified by the local

experts. The one aspect of the focus groups that is universally supported is their

employment as tools of exploration (Templeton, 1994: 138). Hence, in this way, future

researchers in their own countries could use this process model in order to audit and

identify the relevant set of core values, thereby customising the measurements of culture

in their respective country or society.

Footnote 3: Mee-pok is Singaporean as much as tom-yam (a spicy soup dish is to the Thai.

This fish-ball flat-noodle dish was very commonly sold in the back streets or the seamier

side of Singapore. There is a surprisingly strong sense of survivalism and resilience in

mee-pok stalls. The dish is at times being sold at night or in the wee hours of the morning

in notorious parts of Singapore. The Mee-pok Man’s patrons include the denizens of the

night, sometimes a motley assortment of characters from the seamier side of life. Mee-

pok Man, a Singapore story has in fact been made into a feature film in 1995, gaining

much status in international film festivals and even getting awards (such as 1. Special

Mention Prize from the International Federation of Film Critics (FIPRESCI), 8th

Singapore International Film Festival, 2. Special Jury Prize, 9th Fukuoka Asian Film

Festival - July 1996 and 3. Special Mention from the Jury - New Currents Award

Competition - Best New Asian Director - 1st Pusan International Film Festival -

September 1996; see http://www.zhaowei.com/mpmfest.htm .

28

References

Low Kim Cheng, Patrick (2002) Corporate Culture and Values: Perception of Corporate Leaders of Co-operatives in Singapore, Unpublished Ph.D. Thesis, the University of South Australia.

Low Kim Cheng, Patrick (2001) The Power of Relationships: How to Boost Your Business and Lead A Better Life, BusinesscrAFT® Consultancy, Singapore.

Low Kim Cheng, Patrick (2000) Strategic Customer Management: Enhancing Customer Retention and Service Recovery, BusinesscrAFT Consultancy, Singapore.

Low Kim Cheng, Patrick (1994) A Study of Singapore MNCs — The Route to Globalisation, A Master of Business (International Marketing) Project, Curtin University of Technology, Australia, June 1994.

Note: Other references given in the original document are not indicated here other than

the author’s own work. Further Reference Low Kim Cheng, Patrick (2009) Corporate Culture and Values: Perception of Corporate Leaders of Co-operatives in Singapore. VDM-Verlag – UK/ USA * ISBN-10: 3639151674/ * ISBN-13: 978-3639151671.

Acknowledgements

The author sincerely appreciates the helpful comments made by Prof Yasar Geyikdagi, Professor Emeritus of Business, State University of New York, the Editors and the Board of Reviewers of the Journal.

Referenced as: Low Kim Cheng Patrick (2005)‘Towards a Framework & Typologies of Singapore Corporate Cultures’ Management Development Journal of Singapore, Vol. 13, No. 1, May 2005, p. 46 - 75