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Terms in this set (48)
A system of shared assumptions, values, and beliefs that show people what is appropriate and inappropriate behavior. It is related to the second facet of the P-O-L-C framework (Organizing). The culture of the organization is closely linked to organizational design. Three Levels: Assumptions, Values, Artifacts
Basic ____ lie below awareness. ____ are taken for granted, and reflect beliefs about human nature and reality. Example "Happy people are productive"
At the second level, ____ exist. ____ are shared principles, standards, and goals. Example "Developing work relationships", "Try to have fun at work"
____ are on the surface, or visible, tangible aspects of organizational culture. Examples:
Executive 'open door' policy
An office layout that includes open spaces and gathering areas
Frequent company picnics
Organizational Culture Profile
7 Distinct Values: Innovative, Aggressive, Outcome Orientated, Stable, People Oriented, Team Oriented, Detail Oriented
Dimensions of culture
Represented by the Organizational Culture Profile
Difficult to change. Can be a liability during a merger as each separate culture must merge together
a set of values unique to a limited cross section of the organization.
is a culture with shared values and beliefs that are in direct opposition to the values of the broader organizational culture. ____ may be tolerated as long as they are adding to organizational effectiveness (e.g., innovativeness in a bureaucracy)
Founder values and preferences along with industry demands contribute and create early values, goals and assumptions
The values goals and assumptions created lead to attraction-selection-attrition, new employee on boarding, leadership, and reward systems which all lead to organizational culture
1. Employees are attracted to organizations where they will fit in.
2. ____ is when organizations look for people who are the right fit for the job.
3. ____ refers to the need to eliminate individuals that do not adequately fit within the organization.
When entrepreneurs establish their own businesses, the way they want to do business determines the organization's rules, the structure set up in the company, and the people they hire to work with them.
The specific industry an organization operates in can have influence over the culture of the organization. Industry characteristics and demands act as a force to create similarities among organizational cultures
____ refers to the process through which new employees learn the attitudes, knowledge, skills, and behaviors required to function effectively within an organization.
A ____ program indoctrinates new employees to the company culture, as well as introducing them to their new jobs and colleagues. An orientation program has a role in making new employees feel welcome in addition to imparting information that may help them be successful in their new jobs.
____ can be crucial to helping new employees adjust by teaching them the roles of their jobs and how the company really operates.
____ is the process by which employees modify their own beliefs and behaviors to reflect those of the leader.
Mission statements, rituals, rules and policies, physical layout, stories and language
repetitive activities within an organization that have symbolic meaning
Rules and Policies
determine acceptable and unacceptable behavior within an organization
communicate important messages about a company's culture. Such as the building and layout of employee offices and other workspaces
Stories and Language
provide a way of identifying an organizations culture. Think of Apple starting inside of a garage
provide tangible declarations of purpose, describing who the company is and what it does
What is an organizational culture?
A system of shared assumptions, values, and beliefs that show people what is appropriate and inappropriate behavior
Where does an organizational culture fit into the POLC framework?
It fits into the organizing facet of the POLC framework and is closely linked to organizational design
What are the advantages of an organizational culture?
Culture, or shared values within the organization, may be related to increased performance
Organizational culture is an effective control mechanism dictating employee behavior
What does an organizational culture influence?
It influences employee behavior and organizational performance
When can organizational culture be an asset or a liability?
It can be a liability when the culture doesn't allow change fast enough. It can also lead to difficult mergers. It can be an asset if it leads to competitive advantage, if it helps you control employee behavior, or if it increases performance
When does organizational culture generate a sustained competitive advantage?
If the culture is rare and hard to imitate
3 Levels of organizational culture
Assumptions, Values, Artifacts.
Assumptions and values are unobservable. Artifacts are observable
What is the difference between a strong vs weak culture?
A strong culture is one that is shared by organizational members—that is, a culture in which most employees in the organization show consensus regarding the values of the company. The stronger a company's culture, the more likely it is to affect the way employees think and behave. A weak culture allows for easier change and mergers. It could be a liability in that employees may not have company loyalty and may be more likely to leave the company
When can a subculture exist in a company?
Subcultures may arise from the personal characteristics of employees and managers, as well as the different conditions under which work is performed.
When can a counterculture exist in a company?
Defined as shared values and beliefs that are in direct opposition to the values of the broader organizational culture, countercultures are often shaped around a charismatic leader. For example, within a largely bureaucratic organization, an enclave of innovativeness and risk taking may emerge within a single department. A counterculture may be tolerated by the organization as long as it is bringing in results and contributing positively to the effectiveness of the organization.
Factors playing an important role in culture creation
Founder values, industry demands
Factors playing an important role in culture maintenance
Attraction-selection-attrition, onboarding, leadership, reward systems
Difference between ASA and Onboarding
ASA is the way organizations attract, hire, and eliminate individuals in their quest for organizational culture. Onboarding refers to the way new employees learn about the organizational culture
Important Onboarding methods
Formal orientation programs, mentoring, role modeling
How do rewards influence culture?
The types of behaviors that are rewarded or ignored set the tone for the culture
What 4 areas of reward structure set the tone for an organizational culture?
Behaviors, Results, Performance, Seniority
What are the visual elements of a culture?
Rituals, Mission statement, stories and language, physical layout, rules and policies
flexible, adaptable, and experiment with new ideas (e.g., Google)
value competitiveness and outperforming competitors (e.g., Microsoft)
emphasize achievement, results, and action (e.g., Best Buy)
predictable, rule-oriented, and bureaucratic (e.g., Kraft Foods)
value fairness, supportiveness, and respecting individual rights (e.g., Starbucks)
collaborative and emphasize cooperation among employees (e.g., Southwest Airlines)
emphasize precision and paying attention to details (e.g., Four Seasons, Hotel industry)
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