ORGANIZATIONAL CULTURE

DEFINITION
A SYSTEM OF SHARED MEANING HELD BY MEMBERS THAT DISTINGUISHES THE ORGANIZATION FROM OTHER ORGANIZATIONS - Stephen P Robbins

ORGNIZATIONAL CULTURE IS THE SET OF ASSUMPTIONS, BELIEFS, VALUES, AND NORMS THAT ARE SHARED BY AN ORGANIZATIONS MEMBERS - Newstrom & Davis

A COMMON PERCEPTION HELD BY ORGANIZATIONS MEMBERS. INDIVIDUALS WITH DIFFERENT BACK-GROUNDS AT DIFFERENT LEVELS WILL TEND TO DESCRIBE ORGANIZATIONS CULTURE IN SIMILAR TERMS. IT IS IMPLICIT AND TAKEN FOR GRANTED.

LINKING ORGANIZATIONAL STRUCTURE TO ORGANIZATIONAL CULTURE (CHARLES HANDY (1985)

POWER CULTURE CONCENTRATION OF POWER AMONG A FEW, CONTROL FLOWS FROM THE WEB. ROLE CULTURE PEOPLE HAVE CLEARLY DELEGATED AUTHORITIES WITHIN THE STRUCTURE. TASK CULTURE TEAMS ARE FORMED TO SOLVE PARTICULAR PROBLEMS. EXPERT POWER IN USE. PERSON CULTURE INDIVIDUALS BELIEVE THEMSELVES TO BE SUPERIOR TO THE ORGANIZATION.

ORGANIZATIONAL CULTURE : EDGAR SCHEIN

ORGANIZATIONAL CULTURE AS THE RESIDUE OF SUCCESS WITHIN AN ORGANIZATION. CULTURE IS THE MOST DIFFICULT ORGANIZATIONAL ATTRIBUTE TO CHANGE, OUTLASTING ORGANIZATIONAL PRODUCTS, SERVICES, FOUNDERS AND LEADERSHIP AND ALL OTHER PHYSICAL ATTRIBUTES OF THE ORGANIZATION. HE TALKS ABOUT THREE COGNITIVE LEVELS OF ORGANIZATIONAL CULTURE.

FIRST, ORGANIZATIONAL CULTURE CAN BE SEEN, FELT AND HEARD BY THE UNINITIATED OBSERVER, FACILITIES, OFFICES, FURNISHINGS, VISIBLE AWARDS AND RECOGNITION, THE WAY THE MEMBERS DRESS, HOW EACH PERSON VISIBLY INTERACTS WITH EACH OTHER AND WITH ORGANIZATIONAL OUTSIDERS. SECOND, PROFESSED CULTURE OF AN ORGANIZATIONS MEMBERS, COMPANY SLOGANS, MISSION STATEMENTS. THIRD, THE ORGANIZATIONS TACIT ASSUMPTIONS, EVERYDAY INTERACTIONS BETWEEN ORGANIZAL MEMBERS, UNSPOKEN RULES. FOURTH, UNDERSTANDING PARADOXICAL ORGANIZATIONAL BEHAVIOURS, THE WAY ORGANIZATIONAL REWARDS ARE DISTRIBUTED (RULES ARE THERE, BUT WHAT DOES ACTUALLY GET PREFERENCE).

WAYS OF LOOKING AT ORGANIZATIONAL CULTURE EMANATES FROM

HISTORICAL CULTURE IS SOCIAL HERITAGE, PASSED ON TO FUTURE GENERATION BEHAVIOURAL CULTURE IS SHARED, LEARNED HUMAN BEHAVIOUR NORMATIVE CULTURE IS IDEALS, VALUES OR RULES FOR LIVING FUNCTIONAL CULTURE IS THE WAY PEOPLE SOLVE PROBLEMS OF ADAPTING TO THE ENVIRONMENT AND LIVING TOGETHER MENTAL CULTURE IS COMPLEX OF IDEAS, OR LEARNED HABITS, FOR SOCIAL CONTROL STRUCTURAL CULTURE CONSISTS OF PATTERNED AND INTERRELATED IDEAS, SYMBOLS, OR BEHAVIOURS SYMBOLIC CULTURE IS BASED ON ARBITRARILY ASSIGNED MEANINGS THAT ARE SHARED BY AN ORGANIZATION

ORGANIZATIONAL CULTURE
A POWERFUL FORCE FOR DETERMINING INDIVIDUAL AND GROUP BEHAVIOUR ORGANIZATIONAL CULTURE MAY BE CREATED CONSCIOUSLY BY ITS KEY MEMBERS, OR IT MAY HAVE SIMPLY EVOLVED ACROSS TIME IT IS A KEY ELEMENT OF THE WORK ENVIRONMENT IN WHICH EMPLOYEES PERFORM THEIR JOBS IT IS INTANGIBLE, BUT PRESENT AND PERVASIVE: OXYGEN IN THIS ROOM IT IS A DYNAMIC SYSTEMS CONCEPT IT IS ALSO AFFECTED BY ALMOST EVERYTHING THAT OCCURS WITHIN AN ORGANIZATION

ORGANIZATIONAL CULTURE IS CONCERNED WITH HOW EMPLOYEES PERCEIVE THE CHARACTERISTICS OF AN ORGANIZATIONS CULTURE, NOT WITH WHETHER OR NOT THEY LIKE THEM. THEREFORE IT IS A DESCRITIVE TERM AND THUS ORGANIZATIONAL CULTURE DIFFERS FROM JOB SATISFACTION. ORGANIZATIONAL CULTURE DESCRIPTIVE JOB SATISFACTION - EVALUATIVE

HOW ORGANIZATIONAL CULTURES FORM ?

TOP MANAGEMENT

PHILOSOPHY OF ORGANIZATIONS FOUNDERS

SELECTION CRITERIA

ORGANIZATION CULTURE

SOCIALIZATION

WHY ORGANIZATIONAL CULTURES ARE IMPORTANT?

THEY GIVE AN ORGANIZATIONAL IDENTITY TO EMPLOYEES VISION AS TO WHAT DOES THE ORGANIZATION REPRESENT AN IMPORTANT SOURCE OF STABILITY AND CONTINUITY WHICH PROVIDES A SENSE OF SECURITY TO ITS MEMBERS HELPS NEWER EMPLOYEES INERPRET WHAT GOES ON INSIDE THE ORGANIZATION BY PROVIDING IMPORTANT CONTEXT FOR EVENTS THAT WOULD OTHERWISE SEEM CONFUSING IT HELPS STIMULATE EMPLOYEE ENTHUSIASM FOR THEIR TASKS IT ATTRACTS ATTENTION, CONVEY A VISION AND HONOUR HIGHPRODUCING AND CREATIVE INDIVIDUALS AS HEROES / ROLE MODELS

SEVEN PRIMARY CHARACTERSTICS THAT CAPTURE THE ESSENCE OF AN ORGANIZATIONS CULTURE (PROF. G. HOFSTEDE)
1. INNOVATION AND RISK TAKING 2. ATTENTION TO DETAIL 3. OUTCOME ORIENTATION 4. PEOPLE ORIENTATION 5. TEAM ORIENTATION 6. AGGRESIVENESS (COMPETITIVE IN NATURE) 7. STABILITY

HOW DO ORGANIZATIONAL CULTURES HAVE AN IMPACT ON EMPLOYEE PERFORMANCE AND SATISFACTION

AN INTERVENING VARIABLE

OBJECTIVE FACTORS
*INNOVATION & RISK TAKING *ATTENTION TO DETAIL

PERCEIVED AS

HIGH PERFORMANCE

ORGANIZATIONAL

*OUTCOME ORIENTATION *PEOPLE ORIENTATION *TEAM ORIENTATION *AGGRESSIVENESS *STABILITY

CULTURE

SATISFACTION

LOW

CULTURES FUNCTIONS
1. IT HAS A BOUNDARY-DEFINING ROLE, i.e. CREATES DISTINCTIONS BETWEEN ONE ORGANIZATION AND THE OTHERS 2. CONVEYS SENSE OF IDENTITY FOR ORGANIZATIONS MEMBERS 3. FACILITATES THE GENERATION OF COMMITMENT TO SOMETHING LARGER THAN ONES INDIVIDUAL SELF-INTEREST 4. IT ENHANCES THE STABILITY OF THE SOCIAL SYSTEM 5. CULTURE IS THE SOCIAL GLUE THAT HELPS HOLD THE ORGANIZATAION TOGETHER 6. CULTURE GUIDES AND SHAPES THE ATTITUDES AND BEHAVIOUR OF EMPLOYEES

HOW TO KEEP CULTURE ALIVE SELECTION TOP MANAGEMENT ROLE SOCIALIZATION

HOW EMPLOYEES LEARN CULTURE ?

STORIES RITUALS MATERIAL SYMBOLS LANGUAGE

CULTURE AS A LIABILITY
BARRIERS TO CHANGES BARRIERS TO DIVERSITY BARRIERS TO ACQUISITIONS AND MERGERS