Role of Organizational Culture in the Performance of IT Project Teams : A Study of Nepali Banks
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This study examines the role of organizational culture in determining the performance of IT project teams in Nepali banks undergoing digitalization. Despite the broad study of organizational culture and project performance in previous studies, little effort has been made in regulated emerging banking environments. The theoretical framework of the study comprises the Three-Level Model of Organizational Culture proposed by Schein, the Cultural Dimensions Theory by Hofstede, and the Competing Values Framework. The models are employed to examine the impact of cultural assumptions on leadership style, communication patterns, and decision-making structures in IT project environments.
The methodology was a qualitative case study. IT project managers and team members among commercial banks in Nepal were interviewed in semi-structured interviews. The collected data were analyzed using thematic analysis to identify patterns of culture that affected project performance.
The results suggest that Nepali banks exhibit a hybrid cultural pattern, with a hierarchical style of governance that coexists with new collaborative IT practice patterns. Although transformational leadership, open communication, and knowledge sharing are correlated with enhanced innovation and responsiveness, a centralized decision-making structure and high-power distance, supported by regulatory constraints, also tend to constrain agility in dynamic project settings. It is noted that, in many cases, digital transformation efforts change only surface practices without altering the underlying assumptions about power and risk.
The study is valuable to the body of knowledge because it contextualizes the established cultural models in regulated emerging economies and offers a qualitative understanding of the hybrid cultural dynamics. In practice, it is implied that the key to successful IT project performance in banking institutions is a balanced governance model that combines regulatory compliance with decentralized operational flexibility.