Robbins.culture.revised.ppt16.2014

Copyright ©2014 Pearson Education, Inc.

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Chapter 16

Organizational Culture

Essentials of Organizational Behavior

12eStephen P. Robbins & Timothy A. Judge


After studying this chapter, you should be

able to:1. Define organizational culture and describe its

common characteristics.2. Compare the functional and dysfunctional effects of

organizational culture on people and the organization.

3. Identify the factors that create and sustain an organization’s culture.

4. Show how culture is transmitted to employees.5. Demonstrate how an ethical culture can be created.6. Show how national culture may affect the way

organizational culture is transported to a different country.

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Organizational Culture

Organizational culture: A system of shared meaning held by members that distinguishes the organization from other organizations

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Seven Characteristics of Organizational Culture

1. Innovation and risk taking

2. Attention to detail3. Outcome orientation4. People orientation5. Team orientation6. Aggressiveness7. Stability

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Culture Is a Descriptive Term

Culture

Organizational culture is concerned with how employees perceive an organization’s culture, not whether or not they like it

Descriptive

Job Satisfaction

Measures affective responses to the work environment: concerned with how employees feel about the organization

Evaluative 16-5


Do Organizations Have Uniform Cultures?

The dominant culture expresses the core values that are shared by a majority of the organization’s members

Subcultures tend to develop in large organizations to reflect common problems, situations, or experiences of members

Subcultures mirror the dominant culture but may add to or modify the core values 16-6


Strong Cultures In a strong culture, the organization’s

core values are both intensely held and widely shared

Strong cultures will Have great influence on the

behavior of members Increase cohesiveness Result in lower employee

turnover

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Culture’s Five Basic Functions

Defines boundaries Conveys a sense of identity Generates commitment beyond oneself Enhances social stability Sense-making and control mechanism

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Culture as a Liability

Barrier to changeCulture is slow to change – even in a dynamic environment

Barrier to diversityCulture seeks to minimize diversityCan embed prevalent bias and prejudice

Barrier to acquisitions and mergersMost mergers fail due to cultural incompatibility

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Creating Culture

Ultimate source of an organization’s culture is its founders

Founders create culture in three ways1. By hiring and keeping those who think and

feel the same way they do

2. Indoctrinating and socializing those employees to their way of thinking and feeling

3. Acting as a role model and encouraging employees to identify with them 16-10


Keeping a Culture Alive Selection – seek out those who fit in Top management – establish norms of

behavior by their actions Socialization – help new employees

adapt to the existing culture

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A Socialization Model

Pre-arrival – initial knowledge about the organization and own unique ideas

Encounter – exposed to the organization Metamorphosis – member changed to fit

within the organization 16-12


Dimensions of Socialization Programs

Intense Programs Formal – new workers

separated for training Collective – group

basis Fixed – planned

activities Serial – role models

used Divestiture – strip

away characteristics to build up new ones

Moderate Programs Informal – new workers

immediately put to work

Individual – one-on-one Variable – no timetables Random – on your own Investiture – accepts

and confirms existing characteristics

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How Organization Cultures Form

Success in employee socialization depends on management’s selection of socialization methods and the closeness of new employees’ values to those of the organization

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How Employees Learn Culture

Culture is transmitted to employees through: Stories – provide

explanations Rituals – reinforce key

values Material symbols –

convey importance Language – identify and

segregate members16-15


Creating an Ethical Organizational Culture

A strong culture with high risk tolerance, low-to-moderate aggressiveness, and a focus on means as well as outcomes is most likely to shape high ethical standards

Managers must be visible role models Communicate ethical expectations Provide ethical training Visibly reward ethical acts and punish

unethical ones Provide protective mechanisms

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Creating a Positive Organizational Culture

A positive culture is one that emphasizes

Building on employee strengths

Rewarding more than punishing

Emphasizing vitality and growth of the employee

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Global Implications

National and organizational cultures Organizations exist in a global context Must be aware of local and national cultures

Suggestions and observations Organizations heavily dependent on foreign

markets and labor National culture does influence

organizational culture All managers must be culturally sensitive 16-18


Implications for Managers

Changing organizational culture is not easy, expect it to take years

Hire people who “fit” Ensure that

employees know the right way to do their job

Work to create an ethical culture

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Keep in Mind… Organizational culture develops over

time and reflects deeply held values to which employees are strongly committed

Ethical and positive organizational cultures can be created – methods differ

National culture influences organizational culture

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Summary1. Defined organizational culture and described its

common characteristics.2. Compared the functional and dysfunctional effects

of organizational culture on people and the organization.

3. Explained the factors that created and sustained an organization’s culture.

4. Showed how culture was transmitted to employees.

5. Demonstrated how an ethical culture could be created.

6. Showed how national culture might affect the way organizational culture is transported to a different country.

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Robbins.culture.revised.ppt16.2014

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