The Business Intermediate Unit 1 Corporate Culture

Subject Background
Corporate culture
What is corporate culture? There are two answers to this question, one non-academic and one academic. In the non-
academic approach, the basic definition of corporate culture is ‘the personality of an organization’, or simply ‘how things
are done around here’. It includes:
 core values and beliefs
 corporate ethics
 rules of behaviour.
Corporate culture can be expressed in the company’s mission statement and other communications, in the architectural
style or interior decoration of offices, by what people wear to work, by how people address each other, and in the titles
given to various employees.
Then, there is the academic approach to corporate culture (often called ‘organizational culture’ in this context). There are
many gurus in this field, and perhaps the best known is Geert Hofstede. He has developed a Cultural Orientation Model
which classifies cultures based on where they fall on five continuums (highly simplified below):
1 Individual vs. collective
(At what level in the organization is behaviour regulated?)
2 Power distance
(Do less powerful parties accept the existing distribution of power?)
3 Uncertainty avoidance
(Do employees feel threatened by ambiguity? How important are rules?)
4 Dominant values
(What are the dominant values? Assertiveness? Money? Job satisfaction?)
5 Short-term vs. long-term
(Do employees expect immediate or deferred gratification?)
Company culture affects employees in many ways. For example:
 the hours you work, including options such as flextime and telecommuting.
 the work environment, including how employees interact, the degree of competition, and whether it’s a fun or
hostile environment.
 the dress code, including accepted styles of clothing and things such as casual days.
 the office space, including things such as cubicles, window offices, and rules regarding display of personal items.
 training and skills development available to employees.
 onsite perks, such as break rooms, gyms, daycare facilities, etc.
 the amount of time outside the office you’re expected to spend with co-workers.
 interaction with other employees, including managers and top management.
Another key issue is whether the company hierarchy is ‘tall’ (with many layers) or ‘flat’ (with few layers). This links to the
issue of the delegation (or not) of responsibilities.
The importance of corporate culture is growing as the result of several recent developments, some of which are listed
below.
 Companies are encouraging employees to be more responsible and act and think like owners.
 With the decline of more traditional communities (e.g. neighbourhoods) companies are filling their employees’
need to belong to a community.
 Companies are encouraging teamwork.
For all these reasons, organizations need to make their culture explicit, and it is increasingly referred to in mission
statements and emphasized in company-sponsored training and company communications.

Useful websites
Websites with background information on company culture include:
http://humanresources.about.com/od/organizationalculture httn://www.answers.com/topic/organizational-culture
For individual companies, look for the ‘investor relations’ button on the company website.
Download the annual report and look at the CEO’s opening comments.
Job seekers might be interested in how to research a company before an interview. Try sites like this one:
http://interview.monster.com/articles/compculture
The Business Intermediate Unit 1 Corporate Culture

Vocabulary

1.1 to work for to climb the ladder to work long hours to achieve results
to be promoted to complain to conform to to fit in
to rock the boat to look smart to share ideas with to give feedback
to share ideas with to respect commitments to define clear procedures
to apply knowledge to provide training to encounter smth to adapt to
to cause problems to replace smbd/smth to pull down
to embrace positive values to reinforce positive/negative attitude to pick up smth
to value ideas to ignore instructions to give up to brainstorm
to find it difficult to do smth to give black looks to break rules

ethnic minorities profitability assignment task autonomy

eress code etiquette initiative internship work placement
recruit written/unwritten rules work culture consultancy customer
staff internship intern work placement probation period

1.2. to run the business on a day-to-day basis to deal with to hire

to resign to be on the board of the company to look after to report to smbd
to work under smbd to be in charge of to liaise with to recruit smbd
to work as/at/in/on/under to work alongside smbd to take over to be the done thing
dog eat dog

CEO CFO COO R&D PR

deputy supervisor colleague associate parent company subsidiary

accountant organigram insurance timetable purchasing complaint
logistics analysis evaluation observation suggestion line/project manager
branch division predecessor temporary

1.3. to challenge smbd to do well for himself to set goals

to neglect smth to reduce to get a job to apply for a job
to incorporate smth into smth to enhance career prospects
to relate study to the workplace to be assessed by smbd to be supervised by
to offer smth to be involved in to threaten smbd
to trust smbd to be frustrated by to give insight into smth

executives full-time/part-time job deadline workload

commitment overview outcome sombre/depressing/friendly atmosphere

1.4. to socialize with to stay late at the office to be advisable for

to disturb smbd to meet deadlines to prioritize to delegate
to make calls to mind smbd’s own business to accept smth
to get promotion

work-life balance integral part of smth

effective efficient appropriate acceptable suitable

assertive critical decisive diplomatic firm flexible
friendly helpful knowledgeable impatient insincere objective
threatening understanding weak
The Business Intermediate Unit 1 Corporate Culture

1.5. to acquire skills to conduct study to contact smbd by telephone

to obtain results to perform tasks to evaluate to assemble
to have good rapport with smbd to double-check smth to attach smth
to be modified to be well received to work under the supervision of

background objective mailshot achievement failure

observation challenge warehouse bar code system
routine predecessor successor

sophisticated impressive extremely

1.6. to manage/explore/tackle problems to assist smbd to encourage smbd

to echo smbd to summarize smth to establish options to clarify smth
to pull smth together to guide smbd through smth to find solutions to smth
to give feedback to give advice to smbd to think positively
to bounce back to experience culture shock

action planning counselling issue bogy language

alternative implication problem holder everyday concerns
accommodation healthcare open/hypothetical question outlook
perspective prospects

Questions on the Topic

1. What is corporate culture? What does it include? How does corporate culture affect
employees? The importance of corporate culture is growing. Why?

2. Speak about office etiquette (dress code, punctuality, personal calls, coffee and lunch breaks);
working hours; relationships with colleagues, management and clients or business partners;
autonomy and initiative; promotion). Is office etiquette the same in a government department
and in a small firm? Think of possible differences.

3. Give examples of unwritten rules and comment on them. How can newcomers learn about
unwritten rules? What can be done by some company’s management to avoid enforcing
negative values and attitudes among staff?

4. What is internship? What is the difference between work placement and probation period?
Give some guidelines for an intern or a recruit when they just join a company. What kind of
information should they learn about the company and the company’s rules?

5. What problems can interns experience with work placements? How can companies help interns
to adapt to their work culture and achieve a better work-life balance? Give some guidelines
for the supervisors of interns.

6. What is organigram? What departments can exist within a company? Speak about
responsibilities of employees working in these departments. Think of a position in a department
you would like to work in and comment on it.

7. What is counseling? Define its three phases. Describe a situation when you helped someone
with a problem, or when someone helped you. What counseling skills were used?