CHAPTER TWO: Organizational Culture, Socialization, and...Chapter 02 - Organizational Culture,...

Full file at https://fratstock.euChapter 02 - Organizational Culture, Socialization, and Mentoring

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CHAPTER TWO: Organizational Culture, Socialization, and Mentoring

Chapter Contents Page

Learning objectives 71

Opening case summary 72

Lecture outline 73

Key terms presented in this chapter 89

Discussion questions 91

Ethical dilemma 92

Internet exercise 94

Lecture enhancer 95

Lecture enhancers Power Point 97

Power Point slide show 99

Explanation of symbols:

Self-Assessment Exercise, Test Your Knowledge Quiz, Group Exercise, or Manager’s Hot Seat Application (found on the Online Learning Center at www.mhhe.com/kinickiob4e)

Power Point Slide

http://www.mhhe.com/kinickiob4e


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Group and Video Resource Manual: An Instructor’s Guide to an Active Classroom

Learning Objectives

See Slide 2-2 After reading the material in this chapter, you should be able to:

Discuss the layers and functions of organizational culture.

Describe the general types of organizational culture and their associated

characteristics.

Summarize the process by which organizations change their cultures.

Describe the three phases in Feldman’s model of organizational socialization.

Discuss the various tactics used to socialize employees.

Explain the four types of developmental networks derived from a developmental

network model of mentoring.


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Opening Case: Apple’s Innovative Culture Fuels Financial Success

Apple’s success in developing commercial blockbuster products is a result of an organizational culture that emphasizes creativity and innovation. The organizational culture is profoundly impacted by Steve Jobs’ presence and his dedication to discovery. Apple focuses on “shoot to the moon” projects rather than minor tweaking to existing products. The company has had some “misses” but its successes are far more notable. Hiring the right people to fit with the corporate culture is crucial to Apple’s success. The company seeks individuals who demand perfection and are emotive about their work. Any “weak link” individuals can be ejected from teams and Apple is “not for the faint of heart.” The firm seeks to limit its corporate scope by only producing a limited number of products, but making those products exceedingly well. For Discussion: How would you describe the organizational culture at Apple? Explain. For an interpretation of this case and additional comments, visit our Online Learning Center at www.mhhe.com/kinickiob4e

Apple’s organizational culture that emphasizes creativity and innovation has given the world products that consumers cannot imagine living without, despite the fact we did not know we needed the products until Apple invented them. Apple’s corporate culture is characteristic of the adhocracy culture profile from the competing values framework discussed in Chapter 2. The main thrust of the adhocracy culture is to create, and Apple continues to create innovative products in spades. People from all ages, even small children, know about Apple’s iPods, iPhones and Macs. Steve Jobs has played a strong role in the organizational culture of Apple, illustrating how a company’s founder influences organizational culture. There appears to be a strong relationship between the firm’s espoused values and its enacted values—individuals who are not contributing to the success of a team can be ejected and employees can revolt against an underperforming boss. In terms of the functions of organizational culture, it is clear that Apple has been able to facilitate collective commitment. The fact that Apple in the span of less than a decade has gone from not even being a part of the music business, to being the second-largest music retailer in the United States is a testament to the value of Apple’s organizational culture. To gain further insight and knowledge about Apple, visit its website: http://www.apple.com.


http://www.apple.com/


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Lecture Outline

I. Organizational Culture: Definition and Context

i) Organizational culture: shared values and beliefs that underlie a company’s

identity. See Slide 2-3

ii) Organizational culture is passed on to new employees through the process of

socialization, it influences our behavior at work and it operates at different

levels. See Slide 2-4

iii) Figure 2-1: A Conceptual Framework for Understanding Organizational

Culture provides a conceptual framework for reviewing the widespread

impact organizational culture has on organizational behavior. See Slide

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(1) Organizational culture is shaped by the founders’ values, the industry and

business environment, the national culture and the senior leaders’ vision

and behavior.

(2) Organizational culture influences the type of structure adopted by the

organization and a host of practices, policies, and procedures

implemented in pursuit of organizational goals.

(3) Organizational culture is a contextual variable influencing individual,

group, and organizational behavior.


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II. Dynamics of Organizational Culture

i) Layers of Organizational Culture See Slides 2-6, 2-8, 2-10, 2-11

(1) Observable Artifacts

(a) Artifacts consist of the physical manifestation of an organization’s

culture.

(b) Examples include acronyms, manner of dress, awards, myths and

stories told about the organization, published lists of values,

observable rituals and ceremonies, special parking spaces,

decorations, and so on.

(c) This level also includes visible behaviors exhibited by people and

groups.

(d) Artifacts are easier to change than the less visible aspects of

organizational culture.

(2) Espoused Values

(a) Values: enduring belief in a mode of conduct or end-state.

(b) Values:

(i) Are concepts or beliefs.

(ii) Pertain to desirable end-states or behaviors.

(iii) Transcend situations.

(iv) Guide selection or evaluation of behavior and events.

(v) Are ordered by relative importance.

(c) Espoused values: the stated values and norms that are preferred by

an organization.


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(i) Espoused values are generally established by the founder of a new

or small company and by the top management team in a larger

organization.

(ii) The espoused values of Williams-Sonoma, Inc. are presented in

the Skills & Best Practices: Williams-Sonoma’s Espoused

Values Focus on Employees, Customers, Shareholders,

Ethical Behavior, and the Environment.

(iii)Because espoused values constitute aspirations that are explicitly

communicated to employees, managers hope that espoused values

will directly influence employee behavior, but this often does not

occur.

(d) Enacted values: the values and norms that are exhibited or converted

into employee behavior.

(e) The enacted values may differ from the values an organization

espouses, such as when Citibank espoused the value of collaboration

across business units but individual employees within the units tried to

maintain their separate identities.

(f) Any gaps between an organization’s espoused and enacted values

should be reduced because they can significantly influence employee

attitudes and organizational performance.

(g) Managers can use a “cultural fit assessment” survey to determine the

match between espoused and enacted values and use the results to

take corrective action.


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(3) Basic Assumptions

(a) Basic assumptions: taken-for-granted underlying assumptions about

the organizational values that guide organizational behavior.

(b) Basic assumptions are highly resistant to change.

ii) Four Functions of Organizational Culture See Slide 2-12

(1) Figure 2-2: The Four Functions of Organizational Culture illustrates

the four functions of organizational culture are to:

(a) Give members an organizational identity.

(b) Facilitate collective commitment.

(c) Promote social system stability—social system stability reflects the

extent to which the work environment is perceived as positive and

reinforcing, and conflict and change are managed effectively.

(d) Shape behavior by helping members make sense of their

surroundings—helps employees understand why the organization does

what it does and how it intends to accomplish its long-term goals.

(2) Southwest Airlines is an example of a firm that has successfully achieved

these four functions.

iii) Types of Organizational Culture See Slide 2-13

(1) Overview of Organizational Culture Types

(a) The competing values framework (CVF) provides a practical way for

managers to understand, measure, and change organizational culture.


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(b) The CVF indicates that organizations vary along two fundamental

dimensions or axes:

(i) The first dimension is the extent to which an organization focuses

its attention and efforts on internal dynamics and employees or

outward toward its external environment and its customers and

shareholders.

(ii) The second dimension is the organization’s preference for flexibility

and discretion or control and stability.

(c) Combining these two axes creates four types of organizational cultures

that are based on different core values and different sets of criteria for

assessing organizational effectiveness: Clan, Adhocracy, Hierarchy

and Market.

(d) Figure 2-3: Competing Values Framework shows the strategic thrust

associated with each of the four cultural types along with the means

used to accomplish this thrust and the resulting ends or goals pursued

by each cultural type.

(e) Organizations can possess characteristics associated with each

culture type but they tend to have one type of culture that is more

dominant than the others.

(2) Clan Culture

(a) Clan culture: a culture that has an internal focus and values flexibility

rather than stability and control.


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(b) Clan cultures resemble family-type organizations in which

effectiveness is achieved by encouraging collaboration between

employees.

(c) Clan cultures are very “employee-focused” and strive to instill cohesion

through consensus and job satisfaction and commitment through

employee involvement.

(d) Clan organizations devote considerable resources to hiring and

developing their employees, and they view customers as partners.

(e) Badger Mining Corporation is an example of a company with a strong

clan culture.

(3) Adhocracy Culture

(a) Adhocracy culture: a culture that has an external focus and values

flexibility.

(b) Adhocracy cultures foster the creation of innovative products and

services by being adaptable, creative, and fast to respond to changes

in the marketplace.

(c) Adhocracy cultures do not rely on centralized power and authority

relationships and they encourage employees to take risks, think

outside the box, and experiment with new ways of getting things done.

(d) This type of culture is well suited for start-up companies, those in

industries undergoing constant change, and those in mature industries

that are in need of innovation to enhance growth.


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(e) Apple, W L Gore and Intel are examples of companies with an

adhocracy culture.

(4) Market Culture

(a) Market culture: a culture that has a strong external focus and values

stability and control.

(b) Market cultures are driven by competition and a strong desire to deliver

results and accomplish goals.

(c) Customers and profits take precedence over employee development

and satisfaction and people who deliver results are rewarded.

(d) The Skills & Best Practices: The Mayo Clinic’s Market Culture

describes a market culture.

(5) Hierarchy Culture

(a) Hierarchy culture: a culture that has an internal focus and values

stability and control over flexibility.

(b) Hierarchy cultures have an internal focus, which produces a more

formalized and structured work environment, and value stability and

control over flexibility.

(c) Hierarchy cultures are characterized by reliable internal processes,

extensive measurement, and the implementation of a variety of control

mechanisms and they are likely to use total quality management

(TQM) programs.


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(d) Effectiveness is likely to be assessed with measures of efficiency,

timeliness, and reliability of producing and delivering products and

services.

(e) Exelon and Dell are examples of hierarchical cultures.

(6) Cultural Types Represent Competing Values

(a) Cultures on the two diagonals in Figure 2-3: Competing Values

Framework reflect opposing core values.

(b) The clan culture has opposing values to the market culture, while the

adhocracy culture has opposing values to the hierarchical culture.

(c) These contradictions are important because an organization’s success

may depend on its ability to possess core values that are associated

with competing cultural types.

(d) While this is difficult to pull off, it can be done, as Nortel Networks and

the Ritz-Carlton have done.

iv) Outcomes Associated with Organizational Culture See Slides 2-15,

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(1) Results from several studies demonstrated organizational culture was

significantly correlated with employee behavior and attitudes.

(2) Results from several studies revealed that the congruence between an

individual’s values and the organization’s values was significantly

associated with organizational commitment, job satisfaction, intention to

quit, performance and turnover.


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(3) There is not a clear pattern of relationships between organizational culture

and outcomes such as service quality, customer satisfaction, and an

organization’s financial performance.

(4) Studies of mergers have indicated that mergers frequently failed because

of incompatible cultures.

(5) Research underscores the significance of organizational culture and it

reinforces the need to learn more about the process of cultivating and

changing an organization’s culture.

III. The Process of Culture Change See Slides 2-17, 2-18, 2-19

i) The observable artifacts, espoused values, and basic assumptions of an

organizational culture can be changed by changing people’s minds and their

behavior.

ii) Changing an organizational culture involves a teaching process in which

organizational members instruct each other about the organization’s preferred

values, beliefs, expectations, and behaviors.

iii) Mechanisms for cultural change include:

(1) Formal statements of organizational philosophy, mission, vision, values,

and materials used for recruiting, selection, and socialization.

(2) The design of physical space, work environments, and buildings.

(3) Slogans, language, acronyms, and sayings.

(4) Deliberate role modeling, training programs, teaching and coaching by

managers and supervisors.

(5) Explicit rewards, status symbols (e.g., titles) and promotion criteria.


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(6) Stories, legends, and myths about key people and events. The Skills &

Best Practices: Developing Stories That Have Impact provides

suggestions for developing and telling motivating stories.

(7) The organizational activities, processes, or outcomes that leaders pay

attention to, measure, and control.

(8) Leader reactions to critical incidents and organizational crises.

(9) The workflow and organizational structure.

(10) Organizational systems and procedures.

(11) Organizational goals and the associated criteria used for

recruitment, selection, development, promotion, layoffs, and retirement of

people.

IV. The Organizational Socialization Process

i) Organizational Socialization Overview

(a) Organizational socialization: process by which employees learn an

organization’s values, norms, and required behaviors. See Slide

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(b) Figure 2-4: A Model of Organizational Socialization shows the

three-phase model of organizational socialization. See Slide 2-21

(c) Each phase has its associated perceptual and social processes.

(d) The model specifies behavioral and affective outcomes that can be

used to judge how well an individual has been socialized.


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ii) A Three-Phase Model of Organizational Socialization See Slides 2-

22, 2-23, 2-25

(1) Phase 1: Anticipatory Socialization

(a) Anticipatory socialization occurs before an individual joins an

organization and involves the information people learn about different

careers, occupations, professions, and organizations.

(b) The information for anticipatory socialization comes from many

sources, including the organization’s current employees.

(c) Unrealistic expectations about the nature of the work, pay, and

promotions are often formulated during this phase.

(2) Phase 2: Encounter

(a) In the encounter phase, employees learn what the organization is

really like and reconcile unmet expectations after the employment

contract has been signed.

(b) This is a time for reconciling unmet expectations and making sense of

a new work environment.

(c) Organizations use a combination of orientation and training programs

to socialize employees during the encounter phase, including

onboarding.

(d) Onboarding: programs aimed at helping employees integrate,

assimilate, and transition to new jobs to help assimilate employees into

their new work environment.

(3) Phase 3: Change and Acquisition


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(a) The change and acquisition phase requires employees to master tasks

and roles and to adjust to work group values and norms.

(b) Employees should be clear about their roles, feel confident they can do

what is expected of them, and have the acceptance of their coworkers.

(c) Table 2-1: Socialization Tactics describes tactics used by

organizations to help employees through this adjustment process.

See Slide 2-27

iii) Practical Application of Socialization Research See Slide 2-26

(1) Past research suggests four practical guidelines for managing

organizational socialization.

(a) Managers should avoid a haphazard, sink-or-swim approach to

organizational socialization because formalized socialization tactics are

more effective.

(b) Managers play a key role during the encounter phase.

(c) The organization can benefit by training new employees to use

proactive socialization behaviors.

(d) Managers should pay attention to the socialization of diverse

employees.

(2) The Hands-On Exercise: Have You Been Adequately Socialized

measures the extent to which you have been socialized into your current

work organization.


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V. Embedding Organizational Culture Through Mentoring

Test Your Knowledge: Mentoring

i) Mentoring Overview

(1) Mentoring: process of forming and maintaining development relationships

between a mentor and a junior person.

(2) Mentoring contributes to creating a sense of oneness by promoting the

acceptance of the organization’s core values throughout the organization.

(3) The socialization aspect of mentoring also promotes a sense of

membership.

(4) Mentoring can impact an employee’s job performance, career

advancement, and job and career satisfaction.

ii) Functions of Mentoring See Slide 2-29

(1) Kathy Kram identified two general functions of the mentoring process.

(a) Career functions:

(i) Sponsorship.

(ii) Exposure and visibility.

(iii)Coaching.

(iv)Protection.

(v) Challenging assignments.

(b) Psychosocial functions:

(i) Role modeling.

(ii) Acceptance and confirmation.


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(iii)Counseling.

(iv)Friendship.

iii) Developmental Networks Underlying Mentoring

(1) Figure 2-5: Developmental Networks Associated with Mentoring

presents a developmental network typology based on integrating the

diversity and strength of developmental relationships. See Slide 2-31

(a) Diversity of developmental relationships: the variety of people in a

network used for developmental assistance. See Slide 2-30

(i) The two subcomponents are:

1. the number of different people the person is networked with

2. the various social systems from which the networked

relationships stem (e.g., employer, school, family, community,

professional associations, and religious affiliations).

(ii) The diversity of developmental relationships ranges from low to

high.

(b) Developmental relationship strength: the quality of relationships

among people in a network. See Slide 2-33

(i) Strong ties are reflective of relationships based on frequent

interactions, reciprocity, and positive affect.

(ii) Weak ties are based more on superficial relationships.

(2) These two dimensions combine to form four types of development

networks:


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(a) Receptive: composed of a few weak ties from one social system.

(b) Traditional: contains a few strong ties between an employee and

developers that all come from one social system.

(c) Entrepreneurial: made up of strong ties among developers from

several social systems.

(d) Opportunistic: associated with having weak ties with multiple

developers from different social systems.

iv) Personal and Organizational Implications See Slides 2-34, 2-35

(1) Key personal implications to consider:

(a) Job and career satisfaction are likely to be influenced by the

consistency between an individual’s career goals and the type of

developmental network at his or her disposal.

(b) A developer’s willingness to provide career and psychosocial

assistance is a function of the protégé/protégée’s ability, potential, and

the quality of interpersonal relationships.

(c) Research demonstrates that those individuals who use a mentor find

the experience moderately or greatly beneficial to their career success

and therefore you should put effort into finding a mentor.

(2) In addition to the obvious benefit of employee development, mentoring

enhances the effectiveness of organizational communication by increasing

the amount of vertical communication in both directions, and provides a

mechanism for modifying or reinforcing organizational culture.


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(3) An effective mentoring program can also reduce employee turnover and

increase productivity.

(4) The Skills and Best Practices: Building an Effective Mentoring

Network provides suggestions for fostering your own developmental

network. See Slide 2-36

See Also:

Self-Assessment Exercise: Corporate Culture Preference Scale

Self-Assessment Exercise: Identify Your Preferred Organizational Structure

Resource Manual: Supplemental Group Exercise: Chapter Twelve

Resource Manual: Group Exercise for Self-Assessment: Corporate Culture Preference Scale


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Key Terms Presented in This Chapter:

Adhocracy culture A culture that has an external focus and values flexibility.

Anticipatory socialization

Occurs before an individual joins an organization, and involves the information people learn about different careers, occupations, professions, and organizations.

Change and acquisition

Requires employees to master tasks and roles and to adjust to work group values and norms.

Clan culture A culture that has an internal focus and values flexibility rather than stability and control.

Competing values framework

A framework for categorizing organizational culture.

Developmental relationship strength

The quality of relationships among people in a network.

Diversity of developmental relationships

The variety of people in a network used for developmental assistance.

Enacted values The values and norms that are exhibited by employees.

Encounter phase Employees learn what the organization is really like and reconcile unmet expectations.


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Espoused values The stated values and norms that are preferred by an organization.

Hierarchy culture A culture that has an internal focus and values stability and control over flexibility.

Market culture A culture that has a strong external focus and values stability and control.

Mentoring Process of forming and maintaining developmental relationships between a mentor and a junior person.

Onboarding Programs aimed at helping employees integrate, assimilate, and transition to new jobs.

Organizational culture

Shared values and beliefs that underlie a company’s identity.

Organizational socialization

Process by which employees learn an organization’s values, norms, and required behaviors.

Values Enduring belief in a mode of conducts or end-state.


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Discussion Questions

1. Using the competing values framework, how would you describe the type of organizational culture that exists at Apple? a. Apple’s corporate culture is characteristic of the adhocracy culture profile in the

competing values framework. Adhocracy cultures have an external focus and value flexibility. The main thrust of the adhocracy culture is to create, and Apple continues to create innovative products such as the Mac, the IPod and the iPhone. The adhocracy culture is evaluated based on cutting edge output, and Apple’s innovative products are always effective in meeting customer needs, even those needs they did not know they had. The company focuses on adding products the employees can be excited about and collaboration is crucial. The company pursues “shoot to the moon” projects. The company is not content to succeed based on past success and is agile enough to move on to the next generation of products, even if customers are still content with the current one.

2. How would you respond to someone who made the following statement? “Organizational cultures are not important as far as managers are concerned.” a. Students should definitely recognize this statement as false. Managers must be

aware of the organizational culture at all times. It governs how managers interact with their direct reports, how managers should react to different situations such as interpersonal conflict, and also gives a manager a blueprint of how to behave ethically (or whether or not a particular organization values ethics and behaves ethically). Students’ answers may vary slightly but definitely look for evidence as to why an organization’s culture is vitally important to a manager.

3. Can you think of any organizational heroes who have influenced your work behavior? Describe them and explain how they affected your behavior. a. Individual answers will vary. Look for an understanding of this concept and how it

applies to organizational culture.

4. Why is socialization essential to organizational success? a. If an employee is not properly socialized, he or she will not have a complete

understanding of the organization’s culture. Organizational socialization turns outsiders into functioning members of an organization—an individual will never truly “fit in” without socialization. Have you ever had a mentor? Explain how things turned out. Students’ individual answers will vary. Key is an understanding of mentoring. If a student has never had a mentor—perhaps this student should exhibit an understanding of this concept so that he or she will understand the relationship involved in mentoring if they ever obtain a mentor.


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Ethical Dilemma: Should Countrywide Reimburse Angelo Mozilo for His Wife’s Travel Expenses? What would you have done if you were on the board of directors for Countrywide?

1. Tell Mr. Mozilo that you will not reimburse him. His wife used the corporate jet, and the shareholders should not pay for this expense.

2. Reimburse him. Angelo co-founded the company and his wife should be able to

use the jet when she wants.

3. Split the expense. This is a win-win solution.

4. Invent other options. Discuss. Discussion: CEO compensation is one of the most controversial compensation issues. Every year the Wall Street Journal presents a profile of the most expensive compensation packages of CEOs of U.S. firms. When you look at the total compensation packages, including salaries, bonuses, perquisites, and stock options, the sums can be eye-popping. CEOs historically have enjoyed a myriad of perquisites, and often there was a weak link between receiving the money and firm performance. There is growing trend of shareholder activism to keep CEO’s pay packages reasonable and more closely aligned with corporate performance. However, some advocates for generous CEO pay packages argue that firms must be able to match the pay packages offered by other firms to be able to draw from the limited labor pool of individuals who have the knowledge, skills, ability and drive to be a CEO of a major firm. One issue in the current situation is that if Countrywide does not pay for these expenses, Mozilo could quit and go to work elsewhere. Also, the possibility of the CEO selling all of his stock is a real threat to the stockholders of the firm because if that many shares are sold at one time, the price of the company’s stock will fall as a result of basic supply and demand, and the stock price might fall even further if investors believe the CEO is dumping the stock for a strategic reason, such as he believes the company will perform poorly in the future. In hindsight, the board of directors for Countrywide should never have allowed the CEO to have a compensation package where he could drop all the shares at the same time. Rather the board of directors should have placed time limits on the CEO’s ability to sell shares. But that does not help the board of directors to decide what to do today.


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Another concern with the current situation is the mixing of corporate funds for personal expenses. Just ask Dennis Kozlowski, former CEO of Tyco, who is sitting in prison today, in part for using Tyco’s funds to spend six thousand dollars on a shower curtain for his corporate apartment and one million dollars on a garish, lavish 40th birthday party for his now ex-wife. Kozlowski contends that the payments were authorized by the board of directors, but the authorization for the payments just was not effectively documented and that the board member who could have proven that the payments were authorized is dead. Once Mozilo took the company that he started public, he lost the ability to use company funds as his own personal bank account. That is the tradeoff for going public—the firm gets an influx of cash from individual investors, but now then the firm has to account for how those funds are invested. Mazilo should not be reimbursed for his wife’s expenses just because he founded the company and feels entitled to the money. Although Mozilo is not entitled to the funds just because he started the firm, the board of directors still has the prerogative to offer Mozilo additional compensation to offset the expenses. The board of directors could just argue that the money is an additional employee perquisite, as long as the corporate governance policies of the firm do not preclude the payment. In today’s age of stockholder activism, the board of directors may be voted out by investors angry that the board of directors did not implement a CEO pay package that linked to performance, but as long as the payments are documented, the payment would be ethical. If the payment is not properly documented in the financial statements of the company or if the board of directors tried to argue that it was performance-based pay, then the legality of the payment could be more questionable. Although the shareholders would have a right to be upset about the payment based on the CEO’s performance, the board of directors could argue that the payment was being made to retain a valued CEO and/or to prevent substantial loss in market capitalization and a lower stock price caused by Mozilo cashing in all of his stock. The board of directors should then work to improve its accountability in creating an effective CEO pay package. The key for Mozilo is to make sure that the authorization for the payment is well documented and to stop thinking of Countrywide’s money as his own because he founded the firm, otherwise he could end up in the prison cell next to Dennis Kozlowski.

This interpretation is on our Online Learning Center: www.mhhe.com/kinickiob4e



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Internet Exercise This chapter focused on organizational culture and the competitive values framework as one tool for characterizing organizational cultures. General Electric, Google, Southwest Airlines, and Wal-Mart are all well-known successful firms but each has a different organizational culture. For this exercise, consult the web pages for each firm to determine what aspects of organizational culture you see demonstrated. Go to the General Electric homepage at: http://www.ge.com. Click on the “Our Company” link. Under the “Our Culture” link, read the “Our People,” “Working Environment” and “Leadership and Learning” sections. Return to the homepage and click on the “Our Company” link and read the section “Our History.” Go to the Google homepage at: http://www.google.com/about.html. Under the “Our Company” section, click on “Corporate Info” and read the information for “Culture” and “Diversity and Inclusion” under the “Corporate Overview” section. Return to the “Corporate Information” section and click on the “Ten Things” link under “Our Philosophy.” Also read the “Milestone” section under the “At a Glance” heading on the “Corporate Information” section. Return to the homepage and click on the “Jobs at Google” link and read the “Let’s Work Together” information. Go to the Southwest Airlines homepage at: http://www.southwest.com. Click on the “About Southwest” section and read the “Our Mission” and “History” sections. Click on the “Southwest Cares” link and read the section “Our People.” Go to the Wal-Mart homepage at http://walmartstores.com. Click on the “About Us” section. Read the sections titled “Our Purpose” and “History Timeline” and the sections under “Culture.” Return to the homepage and click on the “Diversity” section and read some of the sections of interest. Questions:

1. Describe examples of observable artifacts, espoused values, and basic

assumptions for each firm.

2. How do you think the history of each firm has impacted its culture?

3. Using Figure 2-3: Competing Values Framework as a guide, how would you classify each organization’s culture? Be sure to provide supporting evidence.

http://www.ge.com/

http://www.google.com/about.html

http://www.southwest.com/

http://walmartstores.com/


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Lecture Enhancer 2-1: Mythopoetic Leadership Source: Jarnagin, C., & Slocum, J. (2007). Creating corporate cultures through

Mythopoetic Leadership. Organizational Dynamics, 36(3), 288-302. Topics: Organizational Culture, Socialization

Lecture Notes: See Slides L2-1, L2-2, L2-3, L2-4 Organizational culture, the firm’s shared attitudes, values, goals and practices, drives employee actions and behaviors. It is a tie that binds employees together in the quest to achieve the organization’s goals. A strong organizational culture can contribute to a firm’s success. Organizational cultures are difficult to change and many mergers and acquisitions have been undone by incompatible organizational cultures. Firms find it impossible to implement any strategy that is inconsistent with their culture. Because organizational culture can have a profound impact on the behaviors of employees, managers should attempt to proactively shape and influence the firm’s culture. This article describes Mythopoetic Leadership as a framework for developing robust corporate cultures based on myths and rituals. A Mythopoetic Leader “proactively develops his or her firm’s mythology drenched in the company’s social identify framework to create the culture of the firm” (p. 291). Rather than rely only on the rational tools of structure and policy to change organizational culture, the Mythopoetic Leader uses myths, rituals, and policies working as a coherent whole to change organizational culture. One aspect of Mythopoetic Leadership is to link the company’s mission and values to myths. Myths are analogies used to explain the unexplainable and are used to help people make sense out of chaos. The mission statement of the firm should include a heroic component so that employees can feel like cultural heroes when they help the organization to achieve the mission that benefits mankind. It is important for employees to believe in the purpose of their work and to feel as though they are part of something worthwhile. The firm should have a Mythopoetic Value Set that 1) describes how the firm fits into its industry and society in general, and 2) describes how the employees fit into the firm. Another aspect of Mythopoetic Leadership is that the firm’s top management should expound upon and enforce the firm’s mission and values. Management must live the values of the firm or the values will ring hollow. Another component of Mythopoetic Leadership is to use storytelling to inspire followers and to develop the corporate mythology. Storytelling creates a vicarious experience for the listeners and it should be used to transmit the firm’s mission and values throughout the organization. The firm’s mission and values can also be reinforced by establishing rituals that reflect the firm’s myths. Installation rituals to initiate new hires into the firm are especially important.


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Senior executives must display seven behaviors to turn employees into heroes. First, employees must believe that they can make a difference in the lives of others. Second, the leader must define the values that reinforce the firm’s Mythopoetic Mission. Third, leaders must use storytelling to create their firms’ mythology. Fourth, the leaders must create a living book that contains stories that breathe life into the firm’s mission statement and values. Fifth, leaders should create rituals that reinforce the firm’s Mythopoetic Mission and Values. Sixth, the firm should select new employees based on fit with the firm’s Mythopoetic Mission and Values. Lastly, leaders need to provide a human touch as one of the firm’s heroic values.


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Lecture Enhancer Power Point Slide Show

Slide L2-1: Mythopoetic Leadership

Slide L2-2: Mythopoetic Leadership Activities

Slide L2-3: Mythopoetic Leadership Activities


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Slide L2-4: Mythopoetic Leadership Behaviors

Power Point Slide Show

Slide 2-1: Chapter 2

Slide 2-2: Learning Objectives


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Slide 2-3: Organizational Culture Definition

Slide 2-4: Organizational Culture Characteristics

Slide 2-5: Figure 2-1: A Conceptual Framework for Understanding Organizational Culture


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Slide 2-6: Layers of Organizational Culture

Slide 2-7: Review Question




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Slide 2-12: Figure 2-2: Four Functions of Organizational Culture


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Slide 2-13: Figure 2-3: Competing Values Framework


Slide 2-15: Outcomes Associated with Organizational Culture


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Slide 2-16: Outcomes Associated with Organizational Culture (continued)

Slide 2-17: The Process of Culture Change

Slide 2-18: The Process of Culture Change (continued)


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Slide 2-19: The Process of Culture Change (continued)

Slide 2-20: Organizational Socialization


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Slide 2-21: Figure 2-4: A Model of Organizational Socialization

Slide 2-22: Figure 2-4 (continued)



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Slide 2-26: Practical Application of Socialization Research


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Slide 2-27: Table 2-1: Socialization Tactics


Slide 2-29: Mentoring


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Slide 2-30: Diversity of Developmental Relationships

Slide 2-31: Figure 2-5: Developmental Networks Associated with Mentoring



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Slide 2-34: Personal and Organizational Implications

Slide 2-35: Personal and Organizational Implications (continued)


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Slide 2-36: Skills & Best Practices: Building an Effective Mentoring Network

Slide 2-37: Supplemental Slides



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Slide 2-39: Management in the Movies: Hoosiers

Slide 2-40: Example: Starbucks Canada

Slide 2-41: Mentoring Pitfalls


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Slide 2-42: Implications For Mentoring Minorities

Slide 2-43: Video Case: Johnson & Johnson Credo

Slide 2-44: Video Case: New Belgium Brewery

CHAPTER TWO: Organizational Culture, Socialization, and...Chapter 02 - Organizational Culture,...

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