OB-culture final.ppt

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    ORGANIZATIONAL BEHAVIOR

    W W W . P R E N H A L L . C O M / R O B B I N S

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    Van City’s Corporate Culture

    Vancouver City Savings Credit Union has re-affirmed its

    corporate culture to improve customer service and employee

    relations.

    Courtesy of VanCity

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    Organizational Culture Deine!

    The basic pattern of shared assumptions, values, and

    beliefs considered to be the correct way of thinking

    about and acting on problems and opportunities facing

    the organiation.

    Courtesy of VanCity

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    !"#$%$%& '(&)%$S)T$'%)* CU*TU(""Cooke and (osseau# $%&&'

    “the ways of thinking, behaving and believing

    that members of a social unit have in common” 

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    The +asic #unctions of 'rganiational Culture

    'rganiational

    Culture+asic functions

    rovides a

    sense of identity for 

    members

    "nhancescommitment

    to the

    organiations

    mission

    Clarifiesand

    reinforces

    standards

    of behavior 

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    Le(els o )ulture

    National culture

    Occupational culture

    Organisational culture

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    hysical Structures

    *anguage

    (ituals and

    Ceremonies

    Stories and *egends

    BeliesBelies

    ValuesValues

     Assu*ptions Assu*ptions

    )rtifacts of 

    'rganiational

    Culture

    'rganiational'rganiational

    CultureCulture

    Ele*ents o Organizational Culture

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    Ran! +er),ant Ban-’s Culture

    /hen employees at (and

    0erchant +ank received a

    booklet entitled The Complete

    +ook of (ules, they

    discovered that the pages

    inside were blank. The book

    was a reminder that the South

    )frican financial institutions

    culture encouragesemployees to make their own

    decisions. Courtesy of Rand Merchant Bank

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    +eaning o Cultural Content

    Cultural content refers to the

    relative ordering of beliefs,

    values, and assumptions.

    "1ample2 (and 0erchant

    +anks empowermentculture

    )n organiation emphasies

    only a handful of values out

    of doens or hundreds ofvalues that e1ist.

    Courtesy of Rand Merchant Bank

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     Organizational Culture

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    Todays 0ergers and )c3uisitions2 /ill They be Tomorrows Culture Clashes4

    This bank…

    Citicorp

    +ank )merica

    +ank 'ne

    #irst Union

    Merged with…

    Travelers

    %ations +ank

    #irst Chicago %+!

    Corestates

    To become…

    Citigroup

    +ankamerica

    +ank 'ne

    #irst Union

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    Organizational .u/)ultures

    *ocated throughout the organiation

    Can enhance or oppose 5countercultures6 firms

    dominant culture

    Two functions of countercultures2– provide surveillance and crii!ue" e#ics

    – source o$ e%er&in& values

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     Artia)ts0 .tories an! Legen!s

    Social prescriptions of desired 5undesired6

    behavior 

    Stories about the past corporate incidents

    serve as powerful social prescriptions of the the

    things should be done.

    0ost effective stories and legends2– 'escri(e real people– Assu%ed o (e rue– )no*n #rouou #e or&ani+aion

    – Are prescripive

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     Artia)ts0 Rituals an! Cere*onies

    (ituals– pro&ra%%ed rouines

    – ,e&." #o* visiors are &reeed-"dress code"

    Ceremonies

    – planned aciviies $or an audience

    – ,e&." a*ard cere%onies-

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     Artia)ts0 Organizational Language

    /ords used to address people, describecustomers, etc.

    $s boss happening4 7as your boss come4

    romo romotion

    )ps )dvertising positioningstatement

    Cool "verything is fine

    &oogly Tricky situation

    )ccount client

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     Artia)ts0 1,ysi)al .tru)tures2.y*/ols

    +uilding structure -- may shape and reflectculture

    – Oale0s 1Inerplanear Head!uarers2 in3oo#ill Ranc#" Cali$ornia

    'ffice design conveys cultural meaning

    – 3urniure" o4ce si+e" *all #an&in&s

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    Beneits o .trong Corporate Cultures

    Strong'rganiational

    Culture

    SocialSocial

    ControlControl

    $mproves$mprovesSense-0akingSense-0aking

    SocialSocial

    &lue&lue

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    1ro/le*s 3it, .trong Cultures

    8. Culture content might be misaligned with the

    organiations environment.

    9. Strong cultures may focus on mental models that

    could be limiting

    :. Strong cultures suppress dissenting values fromsubcultures.

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     A!apti(e Organizational Cultures

    "1ternal focus -- firms success depends on

    continuous change

    #ocus on processes more than goals

    Strong sense of ownership

    roactive --seek out opportunities

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    +erging 4H1 5ay6 3it, Co*pa7 Culture

    7ewlett-ackard C"' Carly #iorina

    5left6 wanted to in;ect Compa3

    Computers responsiveness into 7-

    s culture by merging the two firms.

    0eanwhile, Compa3 suffered fromclashing cultures a few years earlier

    when ac3uiring !igital "3uipment

    Corp., so Compa3 e1ecutives were

    careful to ensure the merger with 7-

    was culturally feasible. © Reuters/New media, Inc./ CORBIS

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    Bi)ultural Au!it

    art of

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    +erging Organizational Cultures

     Assi*ilation Assi*ilation

    De)ulturationDe)ulturation

     A)7uire! )o*pany e*/ra)esa)7uiring ir*’s )ultural (alues

     A)7uiring ir* i*poses its )ulture on

    un3illing a)7uire! ir*

    IntegrationIntegrationCultures )o*/ine! into a ne3)o*posite )ulture

    .eparation.eparation+erging )o*panies re*ainseparate 3it, t,eir o3n )ulture

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    StrengtheningStrengthening'rganiational'rganiational

    CultureCulture

    8oun!ers8oun!ersan! lea!ersan! lea!ers

    CulturallyCulturally)onsistent)onsistentre3ar!sre3ar!s

    .ta/le.ta/le3or-or)e3or-or)e

    .ele)tion.ele)tionan!an!

    so)ializationso)ialization

    +anaging t,e+anaging t,e)ultural)ulturalnet3or-net3or-

    .trengt,ening Organizational Culture

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    Organizational .o)ialization Deine!

    The process by which individuals learn the

    values, e1pected behaviors, and social

    knowledge necessary to assume their roles in

    the organiation

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    .o)ialization0 Learning 9 A!:ust*ent

    *earning rocess

    – Ne*co%ers $or% a co&niive %ap o$ #eor&ani+aion0s p#sical" social" andsrae&ic/culural dna%ics

    )d;ustment rocess

    – Ne*co%ers need o adap o #eir ne* *orenviron%en

    ; %ew work roles

    ; %ew team norms

    ; %ew corporate cultural values

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    ; Insi!er Insi!er 

    ; C,anging rolesC,anging roles

    an! /e,a(ior an! /e,a(ior 

    ; Resol(ingResol(ing

    )onli)ts)onli)ts

    .tages o .o)ialization

    ; Ne3)o*er Ne3)o*er 

    ; TestingTesting

    e

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    $ndividual$ndividual

    )ttracts)ttracts

    'rganiation'rganiation

    $ndividual$ndividual

    SelectsSelects

    'rganiation'rganiation

    'rganiation'rganiation

    )ttracts)ttracts

    $ndividual$ndividual

    'rganiation'rganiation

    SelectsSelects

    $ndividual$ndividual

     C o n  f  l  i c  t  )

    C  o n f  l  i  c t   +  

    Conflict C Conflict !

    1re=e*ploy*ent .o)ialization Conli)ts

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    The rocess of $nnovation

    Stage 8

    Settingthe

    )genda

    Stage 9

    Settingthe

    Stage

    Stage :

    roducingthe

    $deas

    Stage >

    Testing and$mplementing

    the $deas

    Stage ?

    'utcome)ssessment

    "nd

    "ndSuccess

    #ailure

    rogress

    0otivation

    $ndividual

    or Teamroductivity

    (esources

    Skills

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    Creating a Custo*er=Responsi(e Culture

    @ey Variables Shaping Customer-(esponsive

    Cultures

    5.  :#e pes o$ e%ploees #ired ( #eor&ani+aion.

    7. Lo* $or%ali+aion; #e $reedo% o %ee cuso%er

    service re!uire%ens.9. E%po*erin& e%ploees *i# decisionood lisenin& sills o undersand cuso%er%essa&es.

    ?. Role clari #a allo*s service e%ploees o acas 1(oundar spanners.2

    @. E%ploees *#o en&a&e in or&ani+aionalcii+ens#ip (e#aviors.

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    Creating An Et,i)al Organizational Culture

    Characteristics of 'rganiations that !evelop

    7igh "thical Standards

    – Hi olerance $or ris

    – Lo* o %oderae in a&&ressiveness

    – 3ocus on %eans as *ell as ouco%es

    0anagerial ractices romoting an "thical

    Culture

    – Bein& a visi(le role %odel.

    – Co%%unicain& e#ical e6pecaions.

    – Providin& e#ical rainin&.

    – isi(l re*ardin& e#ical acs and punis#in&une#ical ones.

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    5,at Is Organizational Culture>

    Characteristics2

    8. $nnovation and risktaking

    9. )ttention to detail

    :. 'utcome orientation

    >. eople orientation

    ?. Team orientationA. )ggressiveness

    B. Stability

    Characteristics2

    8. $nnovation and risktaking

    9. )ttention to detail

    :. 'utcome orientation

    >. eople orientation

    ?. Team orientation

    A. )ggressiveness

    B. Stability

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    Institutionalization0 A 8orerunner o Culture

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    5,at Is Organizational Culture> ")ont’!'

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    5,at Is Organizational Culture> ")ont’!'

    Culture Versus #ormaliation

    – A sron& culure increases (e#avioralconsisenc and can ac as a su(siue $or$or%ali+aion.

    'rganiational Culture Versus %ational Culture

    – Naional culure #as a &reaer i%pac one%ploees #an does #eir or&ani+aion0sculure.

    – Naionals seleced o *or $or $orei&n co%panies

    %a (e apical o$ #e local/naive populaion.

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    5,at Do Cultures Do>

    Cultures #unctions2

    8. !efines the boundary between one

    organiation and others.

    9. Conveys a sense of identity for its members.

    :. #acilitates the generation of commitment to

    something larger than self-interest.

    >. "nhances the stability of the social system.

    Cultures #unctions2

    8. !efines the boundary between one

    organiation and others.

    9. Conveys a sense of identity for its members.

    :. #acilitates the generation of commitment to

    something larger than self-interest.

    >. "nhances the stability of the social system.

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    5,at Do Cultures Do>

    Culture as a *iability2

    8. +arrier to change9. +arrier to diversity

    :. +arrier to ac3uisitions and

    mergers

    Culture as a *iability2

    8. +arrier to change

    9. +arrier to diversity

    :. +arrier to ac3uisitions and

    mergers

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    Creating a Custo*er=Responsi(e Culture

    0anagerial )ctions2

    ; Select new employees with personality and

    attitudes consistent with high service

    orientation.

    ; Train and socialie current employees to be

    more customer focused.

    ; Change organiational structure to give

    employees more control.

    ; "mpower employees to make decision about

    their ;obs.

    0anagerial )ctions2

    ; Select new employees with personality and

    attitudes consistent with high service

    orientation.

    ; Train and socialie current employees to be

    more customer focused.

    ; Change organiational structure to give

    employees more control.; "mpower employees to make decision about

    their ;obs.

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    ?eeping Culture Ali(e

    Selection

    – Concerned *i# #o* *ell #e candidaes *ill ino #e or&ani+aion.

    – Provides in$or%aion o candidaes a(ou #eor&ani+aion.

    Top 0anagement

    – Senior e6ecuives #elp esa(lis# (e#avioralnor%s #a are adoped ( #e or&ani+aion.

    Socialiation

    –  :#e process #a #elps ne* e%ploees adap o#e or&ani+aion0s culure.

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    .tages in t,e .o)ialization 1ro)ess

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     A .o)ialization +o!el

    " 7 $ + $ T   18-2

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    Entry .o)ialization Options

    ; #ormal versus $nformal

    ; $ndividual versus Collective

    ; #i1ed versus Variable

    ; Serial versus (andom

    ; $nvestiture versus !ivestiture

    ; #ormal versus $nformal

    ; $ndividual versus Collective

    ; #i1ed versus Variable

    ; Serial versus (andom

    ; $nvestiture versus !ivestiture

    " 7 $ + $ T   18-3

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    Ho3 Organization Cultures 8or*

    " 7 $ + $ T   18-4

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    Ho3 E*ployees Learn Culture

    ; Stories

    ; (ituals

    ; 0aterial Symbols

    ; *anguage

    ; Stories

    ; (ituals

    ; 0aterial Symbols

    ; *anguage

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    Creating a Custo*er=Responsi(e Culture

    0anagerial )ctions 5contd6 2

    ; *ead by conveying a customer-focused vision

    and demonstrating commitment to customers.

    ; Conduct performance appraisals based on

    customer-focused employee behaviors.

    ; rovide ongoing recognition for employees who

    make special efforts to please customers.

    0anagerial )ctions 5contd6 2

    ; *ead by conveying a customer-focused vision

    and demonstrating commitment to customers.

    ; Conduct performance appraisals based oncustomer-focused employee behaviors.

    ; rovide ongoing recognition for employees who

    make special efforts to please customers.

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    .pirituality an! Organizational Culture

    Characteristics2

    ; Strong sense of

    purpose; #ocus on individual

    development

    ; Trust and openness

    ; "mployee

    empowerment; Toleration of employee

    e1pression

    Characteristics2

    ; Strong sense ofpurpose

    ; #ocus on individualdevelopment

    ; Trust and openness

    ; "mployee

    empowerment; Toleration of employee

    e1pression

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    Ho3 Organizational Cultures Ha(e an I*pa)t

    on 1eror*an)e an! .atisa)tion

    " 7 $ + $ T   18-7