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Chapter 15 Organizational Culture. What Is Organizational Culture?. Organizational Culture The norms, values, beliefs, assumptions, shared mental models, etc., held by the organization’s members; a system of shared meaning. Sample Culture Bases: Innovative and risk-taking - PowerPoint PPT Presentation
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Chapter 15Organizational
Culture
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What Is Organizational Culture?
Sample Culture Bases:1. Innovative and risk-taking
2. Attentive to detail
3. Outcome orientated
4. People orientated
5. Team orientated
6. Aggressive, competitive
7. Stable, predictable
Organizational CultureThe norms, values, beliefs, assumptions, shared mental models, etc., held by the organization’s members; a system of shared meaning.
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Culture and Performance
Culture impacts performance via:• Social control, generates commitment to
something larger than “self”• Social glue and stability, sense of identity• Sense-making:
- Reduces confusion (especially with diversity)
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Artifacts ofCulture
Core ofCulture
Espoused Culturevs.
Enacted Culture?Stories (Heroes)
Language/Usage
Rules & Policies
Physical Structures
Rituals/Ceremonies
NormsBeliefsValues
AssumptionsMental Models
Elements of Org. Culture
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How Employees Learn Culture?
• Stories• Rituals• Material Symbols• Language
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• Founding leaders, legends, histories• Subsequent leadership influence:
- What’s rewarded and punished?- Where are budgets allocated?- Who’s hired, how are they socialized?
• Member exchanges and interactions• Stability of workforce
How are organizational cultures created and maintained?
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Keeping Culture Alive
• Top Management:- Managers establish norms that permeate the
company; this happens as they reward and/or punish different behaviors, establish rules and policies, emphasize stories and rituals, set company budgets and priorities, and so on.
• Selection (when hiring):- Hiring candidates who “fit” into the company.- Provides information to candidates about the
company (and candidates also choose).
• Socialization:- Helps new employees adapt to the culture.
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What else can cultures do?
Cultures as liability:• Barriers to change• Barriers to mergers and acquisitions• Barriers to diversity
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Creating an Ethical Culture
• Strong culture• High risk tolerance• Low-to-moderate aggressiveness• Focus on means as well as outcomes• Managers must:
- be visible role models- communicate ethical expectations- provide ethics training- visibly reward ethical and punish unethical acts - provide protective mechanisms
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Positive cultures emphasize:• Building on employee strengths• Rewarding more than punishing• Clear and unambiguous reinforced (and
consistently lived) community values• Emphasizing vitality and growth of the
employee:– Clear and unambiguous trust
Creating a Positive Culture