Organisational culture refers to the shared values, beliefs, norms and behaviours that shape “the way things are done” in a workplace. One of the most widely used models isCharles Handy’s four types of organisational culture, which describe different ways in which organisations can operate.
The first is thePower Culture. In this type, authority is concentrated at the centre, usually with a strong leader or small group of individuals. Decisions are made quickly, and personal influence is key. This culture can be dynamic and decisive but may create dependency on the leader and limit employee autonomy. In procurement, a power culture might mean senior management unilaterally deciding supplier strategies without consulting the wider team.
The second is theRole Culture. Here, the organisation is highly structured with clear roles, rules, and procedures. Power comes from position rather than personality. Stability and order are prioritised, making it efficient in predictable environments. However, it can be rigid and resistant to change. In procurement, this culture might be seen in public sector bodies where strict compliance, policies, and audit controls dominate purchasing activities.
The third is theTask Culture. This type is project-oriented, with teams formed to solve problems or deliver objectives. Power is based on expertise, and collaboration is valued. It is flexible, innovative, and well-suited to dynamic environments, but can cause conflict if resources are limited. In procurement, task culture is often evident in cross-functional category teams formed to deliver strategic sourcing projects.
The fourth is thePerson Culture. Here, the focus is on individuals rather than the organisation. Employees see themselves as more important than the structure, and autonomy is prioritised. This is rare in large organisations but can be found in professional partnerships such as law or consultancy firms. In procurement, a person culture may appear where highly specialised experts operate independently, sometimes resisting organisational control.
In conclusion, Handy’s four types of culture — power, role, task, and person — each offer strengths and weaknesses. Effective managers must understand the prevailing culture in their organisation and adapt their leadership approach. In procurement and supply, recognising cultural influences is vital to building cohesive teams, aligning strategies, and driving ethical and sustainable practices.
