Corporate culture has become a tool for organizational effectiveness in the 21st century. Corporate culture is said to have benefited many organizations if managed and nurtured properly. In this era of globalization there is need for corporate culture in order to enable organizations respond quickly to changes in the environment. The paper reviews literature on the effect of corporate culture on organizational performance. The paper concludes that the success of organizations to a very large extent depends on their cultures. The paper recommends that managers should put in place an adaptive culture that encourages the involvement of employees as this could enhance their responsiveness and commitment to the achievement of the organizational goals. The paper also recommends that the managers should share the mission of the organization with employees as it could increase their involvement. Finally the paper recommends that the values of the organization be shared as well to serve as an informal control measure that can be very effective.
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