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Welcome To A Session On Organizational Culture

Welcome To A Session On Organizational Culture. Institutionalization: A Forerunner of Culture. What Is Organizational Culture?. Characteristics: Innovation and risk taking Attention to detail Outcome orientation People orientation Team orientation Aggressiveness Stability.

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Welcome To A Session On Organizational Culture

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  1. Welcome To A Session On Organizational Culture

  2. Institutionalization: A Forerunner of Culture

  3. What Is Organizational Culture? • Characteristics: • Innovation and risk taking • Attention to detail • Outcome orientation • People orientation • Team orientation • Aggressiveness • Stability

  4. Organizational Culture Organizational culture is “a pattern of basic assumptions that are taught to new personnel as the correct way to perceive, think, and act on a day-to-day basis”. [ Luthans] Continued…….

  5. Organizational Culture Organizational culture is “a pattern of basic assumptions-invented, discovered, or developed by a given group as it learns to cope with its problems of external adaptation and internal integration- that has worked well enough to be considered valuable and, therefore, to be taught to new members as the correct way to perceive, think, and feel in relation to those problems”. [ Edgar Schein]

  6. Characteristics Of OC Observed Behavioral Regularities ( common language, terminology, and rituals) Norms ( such as ‘do not do too much; do not do too little) Dominant Values ( high product quality, low absenteeism, and high efficiency) Continued……

  7. Characteristics Of OC Philosophy(how employees and customers are to be treated) Rules(Strict guidelines relating to getting along in the organization. Ropes in order to be accepted as full-fledged members of the group) Continued……

  8. Characteristics Of OC Organizational Climate( Overall feeling; physical layout, the participants interaction, the way members conduct themselves with customers and outsiders) Continued……

  9. Characteristics Of OC (Contd.) The most recent research suggests the following seven primary characteristics of OC: Innovation and risk taking Attention to detail Outcome orientation Continued……

  10. Characteristics Of OC People orientation Team orientation Aggressiveness Stability

  11. Bases of Classifying Cultures • Sharedness • Intensity • Type of risks managers assume • Type of feedback that results from decisions

  12. What is Organizational culture?

  13. What is organizational culture?

  14. What is organizational culture? • Culture Versus Formalization • A strong culture increases behavioral consistency and can act as a substitute for formalization. • Organizational Culture Versus National Culture • National culture has a greater impact on employees than does their organization’s culture. • Nationals selected to work for foreign companies may be atypical of the local/native population.

  15. How Organizational Cultures Start A single person (founder) has an idea of a new enterprise The founder brings in one or more other key people and creates a core group that shares a common vision with the founder Continued….

  16. How Organizational Cultures Start The founding group begins to act in concert to create an organization Others are brought into the organization by the core group and a common history begins to be built.

  17. What does culture do? In this regard two issues are examined: What are the functions that culture performs? Is culture a liability?

  18. Functions of Culture Boundary defining role Conveying a sense of identity for organization member Facilitating the generation of commitment Enhancing social system stability Continued….

  19. Functions of Culture Serving as a sense-making and control mechanism that guides and shapes the attitude and behavior Acting as the social glue that helps hold the organization together

  20. Dysfunctional Aspects of Culture • Barrier to change • Barrier to diversity • Barrier to merger and acquisition

  21. Keeping a culture alive Selection of entry-level personnel Placement on the job Job mastery Measuring and rewarding performance Continued…….

  22. Keeping a culture alive Adherence to important values Reinforcing the stories and folklore Recognition and promotion Continued…….

  23. A Socialization Model: Keeping culture alive 18-2 E X H I B I T

  24. Stages in the Socialization Process

  25. Entry Socialization Options • Formal versus Informal • Individual versus Collective • Fixed versus Variable • Serial versus Random • Investiture versus Divestiture 18-3 E X H I B I T

  26. How Organization Cultures Form 18-4 E X H I B I T

  27. How Employees Learn Culture Stories Rituals Material symbols Language

  28. Changing the Culture Felt need Management commitment Shared mindset Employee involvement Focused training Accountability

  29. Creating An Ethical Organizational Culture • Characteristics of Organizations that Develop High Ethical Standards • High tolerance for risk • Low to moderate in aggressiveness • Focus on means as well as outcomes • Managerial Practices Promoting an Ethical Culture • Being a visible role model. • Communicating ethical expectations. • Providing ethical training. • Visibly rewarding ethical acts and punishing unethical ones.

  30. Creating a Customer-Responsive Culture • Key Variables Shaping Customer-Responsive Cultures • The types of employees hired by the organization. • Low formalization: the freedom to meet customer service requirements. • Empowering employees with decision-making discretion to please the customer. • Good listening skills to understand customer messages. • Role clarity that allows service employees to act as “boundary spanners.” • Employees who engage in organizational citizenship behaviors.

  31. Creating a Customer-Responsive Culture • Managerial Actions: • Select new employees with personality and attitudes consistent with high service orientation. • Train and socialize current employees to be more customer focused. • Change organizational structure to give employees more control. • Empower employees to make decision about their jobs.

  32. Creating a Customer-Responsive Culture • Managerial Actions (cont’d) : • Lead by conveying a customer-focused vision and demonstrating commitment to customers. • Conduct performance appraisals based on customer-focused employee behaviors. • Provide ongoing recognition for employees who make special efforts to please customers.

  33. Spirituality and Organizational Culture • Characteristics: • Strong sense of purpose • Focus on individual development • Trust and openness • Employee empowerment • Toleration of employee expression

  34. What are criticisms of spirituality?

  35. What are criticisms of spirituality? • Do organizations have the right to impose • spiritual values on their employees • Are spirituality and profits compatible?

  36. How Organizational Cultures Have an Impact on Performance and Satisfaction 18-7 E X H I B I T

  37. Thank You for Attending the Session

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