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16 Organizational Culture (ks)
Terms in this set (49)
1 Define organizational culture and describe its common characteristics.
organizational culture A system of shared meaning held by members that distinguishes the organization from other organizations.
Seven primary characteristics, Each of these characteristics exists on a continuum from low to high
1. Innovation and risk taking. The degree to which employees are encouraged to be innovative and take risks.
2. Attention to detail. The degree to which employees are expected to exhibit precision, analysis, and attention to detail
3. Outcome orientation. The degree to which management focuses on results or outcomes rather than on the techniques and processes used to achieve them.
4. People orientation. The degree to which management decisions take into consideration the effect of outcomes on people within the organization
5. Team orientation. The degree to which work activities are organized around teams rather than individuals
6. Aggressiveness. The degree to which people are aggressive and competitive rather than easygoing.
7. Stability. The degree to which organizational activities emphasize maintaining the status quo in contrast to growth.
Other research has conceptualized culture into four different types based on competing values
collaborative and cohesive clan, the innovative and adaptable adhocracy, the controlled and consistent hierarchy, and the competitive and customer focused market
Culture Is a Descriptive Term
Organizational culture shows how employees perceive the characteristics of an organization's culture
organizational culture is descriptive, whereas job satisfaction is evaluative
Most large organizations have a dominant culture and numerous subcultures
dominant culture A culture that expresses the core values that are shared by a majority of the organization's members.
core values The primary or dominant values that are accepted throughout the organization.
subcultures Minicultures within an organization, typically defined by department designations and geographical separation.
strong culture A culture in which the core values are intensely held and widely shared.
core values are both intensely held and widely shared
members who accept the core values and the greater their commitment, the stronger the culture and the greater its influence on member behavior, because the high degree of sharedness and intensity creates a climate of high behavioral control
A strong culture should reduce employee turnover because it demonstrates high agreement about what the organization represents. Such unanimity of purpose builds cohesiveness, loyalty, and organizational commitment
Culture versus Formalization
high formalization creates predictability, orderliness, and consistency
A strong culture achieves the same end without the need for written documentation less management need be concerned with developing formal rules and regulations to guide employee behavior
2 Compare the functional and dysfunctional effects of organizational culture on people and the organization.
organizational climate The shared perceptions organizational members have about their organization and work environment.
Culture as a Liability
Culture can enhance organizational commitment and increase the consistency of employee behavior, clearly benefits to an organization. Culture is valuable to employees too, because it spells out how things are done and what's important. But we shouldn't ignore the potentially dysfunctional aspects of culture, especially a strong one, on an organization's effectiveness
institutionalization A condition that occurs when an organization takes on a life of its own, apart from any of its members, and acquires immortality. can stifle innovation mean behaviors and habits that should be questioned and analyzed become taken for granted
Barriers to Change
Culture is a liability when the shared values don't agree with those that further the organization's effectiveness. This is most likely when an organization's environment is undergoing rapid change, and its entrenched culture may no longer be appropriate.24 Consistency of behavior, an asset in a stable environment, may then burden the organization and make it difficult to respond to changes
Barriers to Diversity
Because diverse behaviors and unique strengths are likely to diminish as people attempt to assimilate, strong cultures can become liabilities when they effectively eliminate these advantages. A strong culture that condones prejudice, supports bias, or becomes insensitive to people who are different can even undermine formal corporate diversity policies.
3 Identify the factors that create and sustain an organization's culture.
This is how it begins, Free of previous customs or ideologies, founders have a vision of what the organization should be, and the firm's small size makes it easy to impose that vision on all members.
The 3 ways the culture begins
First, founders hire and keep only employees who think and feel the same way they do. Second, they indoctrinate and socialize these employees to their way of thinking and feeling. And finally, the founders' own behavior encourages employees to identify with them and internalize their beliefs, values, and assumptions
Keeping a Culture Alive
Three forces play a particularly important part in sustaining a culture: selection practices, the actions of top management, and socialization methods. Let's look at each.
Selection of employees hire individuals with the knowledge, skills, and abilities to perform successfully, candidates will fit into the organization, identifies people whose values are essentially consistent with at least a good portion of the organization's
top management also have a major impact on the organization's culture. Through words and behavior, senior executives establish norms that filter through the organization about, for instance, whether risk taking is desirable, how much freedom managers give employees, what is appropriate dress, and what actions earn pay raises, promotions, and other rewards.
socialization A process that adapts employees to the organization's culture. see exhibit 16-2
prearrival stage The period of learning in the socialization process that occurs before a new employee joins the organization.
encounter stage The stage in the socialization process in which a new employee sees what the organization is really like and confronts the possibility that expectations and reality may diverge.
metamorphosis stage The stage in the socialization process in which a new employee changes and adjusts to the job, work group, and organization. See Exhibit 16-3
How Employees Learn Culture
4 Show how culture is transmitted to employees.
Stories: how the company can about, rags to riches, success organizational coping,
rituals Repetitive sequences of activities that express and reinforce the key values of the organization, which goals are most important, which people are important, and which are expendable.
material symbols What conveys to employees who is important, the degree of egalitarianism top management desires, and the kinds of behavior that are appropriate.
5 Demonstrate how an ethical culture can be created.
shape high ethical standards among its members is high in risk tolerance, low to moderate in aggressiveness, and focused on means as well as outcomes. This type of culture takes a long-term perspective and balances the rights of multiple stakeholders, including employees, stockholders, and the community. Managers are supported for taking risks and innovating, discouraged from engaging in unbridled competition, and guided to heed not just to what goals are achieved but also how.
Be a visible role model
Employees will look to the actions of top management as a benchmark for appropriate behavior. Send a positive message.
Communicate ethical expectations
Minimize ethical ambiguities by sharing an organizational code of ethics that states the organization's primary values and ethical rules employees must follow.
Provide ethical training
Set up seminars, workshops, and training programs to reinforce the organization's standards of conduct, clarify what practices are permissible, and address potential ethical dilemmas.
Visibly reward ethical acts and punish unethical ones
Appraise managers on how their decisions measure up against the organization's code of ethics. Review the means as well as the ends. Visibly reward those who act ethically and conspicuously punish those who don't.
Provide protective mechanisms
Provide formal mechanisms so employees can discuss ethical dilemmas and report unethical behavior without fear of reprimand. These might include ethical counselors, ombudsmen, or ethical officers.
6 Describe a positive organizational culture.
positive organizational culture A culture that emphasizes building on employee strengths, rewards more than punishes, and emphasizes individual vitality and growth.
Building on Employee Strengths
Rewarding More Than Punishing: rewards such as praise
Emphasizing Vitality and Growth
Limits of Positive Culture
The recognition that people have an inner life that nourishes and is nourished by meaningful work that takes place in the context of community.
Why Spirituality Now?
emotions improves our understanding of organizational behavior, an awareness of spirituality can help us better understand employee behavior in the twenty-first century.
Achieving a Spiritual Organization
Several types of practices can facilitate a spiritual workplace,64 including those that support work-life balance. Leaders can demonstrate values, attitudes, and behaviors that trigger intrinsic motivation and a sense of calling through work. Encouraging employees to consider how their work provides a sense of purpose through community building also can help achieve a spiritual workplace; often this is achieved through group counseling and organizational development, a topic we take up in Chapter 18.
7 Identify characteristics of a spiritual culture.
Spirituality has been defined so broadly in some sources that practices from job rotation to corporate retreats at meditation centers have been identified as spiritual
goal is limited to helping employees find meaning and purpose in their work lives.
positively related to creativity, employee satisfaction, job involvement, and organizational commitment.
8 Show how national culture may affect the way organizational culture is transported to a different country.
organizational culture as an intervening variable. Employees form an overall subjective perception of the organization based on factors such as degree of risk tolerance, team emphasis, and support of people. This overall perception becomes, in effect, the organization's culture or personality and affects employee performance and satisfaction, with stronger cultures having greater impact.
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