org culture2
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Organizational CultureOrganizational Culture
and Changeand Change
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Management ChallengesManagement Challenges
Describe how organizational culture helpsDescribe how organizational culture helpsmanagement achieve its objectives.management achieve its objectives.
Understand how cultural symbols, rites,Understand how cultural symbols, rites,
ceremonies, heroes, and stories are used toceremonies, heroes, and stories are used tosustain an organizations culture.sustain an organizations culture.
Recognize the differences between strong andRecognize the differences between strong andweak organizational cultures, and identify situationsweak organizational cultures, and identify situations
in which each of these cultures may bein which each of these cultures may beadvantageous.advantageous.
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Skills for managing organizational culture andSkills for managing organizational culture andchange:change:
Cultural diagnostic skillsCultural diagnostic skills
Cultural strategic skills
Cultural strategic skills
Managing culture skillsManaging culture skills
Change management skillsChange management skills
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Organizational CultureOrganizational Culture
A system of shared values, assumptions,A system of shared values, assumptions,
beliefs, and norms that unite the members ofbeliefs, and norms that unite the members of
an organization.an organization. Reflects employees views aboutReflects employees views about the waythe way
things are done around here.things are done around here.
The culture specific to each firm affects howThe culture specific to each firm affects how
employees feel and act and the type ofemployees feel and act and the type of
employee hired and retained by theemployee hired and retained by the
company.company.
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CoreCoreValuesValues
ExpressedExpressed
ValuesValues
VisibleVisible
CultureCulture
Levels of CorporateLevels of Corporate
CultureCulture
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Functions performedbyorganizationalFunctions performedbyorganizationalculture:culture:
Employee SelfEmployee Self--ManagementManagement
Sense of shared identitySense of shared identity
Generation of commitmentGeneration of commitment StabilityStability
Sense of continuitySense of continuity
Satisfies need for predictability, security, andSatisfies need for predictability, security, andcomfortcomfort
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Functions performedbyorganizationalFunctions performedbyorganizationalculture:culture: (continued)(continued)
SocializationSocialization
Internalizing or taking organizational valuesInternalizing or taking organizational values
as ones ownas ones own Implementation Support of the OrganizationsImplementation Support of the Organizations
StrategyStrategy
If strategy and culture reinforce each other,If strategy and culture reinforce each other,
employees find it natural to be committed toemployees find it natural to be committed to
the strategythe strategy
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Types of cultureTypes of culture
Mechanistic & organic cultureMechanistic & organic culture
Dominant & sub cultureDominant & sub culture
StrongStrong vsvs weak cultureweak culture Authoritarian & participative cultureAuthoritarian & participative culture
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Creating andSustaining OrganizationalCreating andSustaining OrganizationalCultureCulture
CulturalSymbolsCulturalSymbols CompanyRitualsCompanyRituals
and Ceremoniesand Ceremonies
CompanyHeroesCompanyHeroes
StoriesStories
LanguageLanguage
LeadershipLeadership
OrganizationalOrganizationalPolicies andPolicies and
Decision MakingDecision Making
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ManagingManaging Organizational ChangeOrganizational Change
Organization culture can facilitate or inhibitOrganization culture can facilitate or inhibit
changechange in an organization.in an organization.
A firm attempts to change organizationalA firm attempts to change organizationalculture because the current culture hindersculture because the current culture hinders
the attainment of corporate goals.the attainment of corporate goals.
EnvironmentalEnvironmentalandand internalinternalforces canforces can
stimulate the need for organization change.stimulate the need for organization change.
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Formal & informal components ofFormal & informal components oforganizational cultureorganizational culture Informal componentsInformal components
Shared values, Beliefs, AssumptionsShared values, Beliefs, Assumptions
Power culturePower culture
Role cultureRole culture
Task cultureTask culture Person culturePerson culture
Formal componentsFormal components
Mission/ VisionMission/ Vision
PoliciesPolicies
ProceduresProcedures
RulesRules
State of organizationalState of organizational devptdevpt
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Functions of organizational cultureFunctions of organizational culture& change& change
Culture supplements rational mgtCulture supplements rational mgt
Culture facilitates induction & socializationCulture facilitates induction & socialization
Culture promotes code of conduct &Culture promotes code of conduct &customer focuscustomer focus
Sub culture contributes to organizationalSub culture contributes to organizational
diversitydiversity
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Research on cultural difference inResearch on cultural difference inorgorg
Work behaviour across cultureWork behaviour across culture
Change in culture : cross culture researchChange in culture : cross culture research
Individualism/collectivismIndividualism/collectivism Power distance orientationPower distance orientation
UncertainityUncertainity avoidanceavoidance
MesculinityMesculinity/femininity/femininity
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