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Organizational Culture

Organizational Culture. The set of shared values, norms, and behaviors that control organization members’ interactions with each other and with people outside the organization. Levels of Corporate Culture. Observable Symbols Ceremonies, Stories, Slogans, Behaviors, Dress, Physical Settings.

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Organizational Culture

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  1. Organizational Culture The set of shared values, norms, and behaviors that control organization members’ interactions with each other and with people outside the organization

  2. Levels of Corporate Culture Observable Symbols Ceremonies, Stories, Slogans, Behaviors, Dress, Physical Settings Underlying Values, Assumptions, Beliefs, Attitudes, Feelings

  3. Property rights system Characteristics of people within the organization Organizational culture Organizational structure Organizational ethics Culture Development Develops from interaction of four factors:

  4. Socialization • The process by which members learn and internalize an organization’s culture. • Includes use of stories, ceremonies, symbols, and language

  5. Interpreting Culture • Rites and ceremonies • rites of passage, integration • Stories • heroes, legends, myths • Symbols • Language • words, non verbal communication • Behavior patterns

  6. Calvin at Large What factors shape Calvin’s ethics?

  7. Sources of Ethical Values Personal Ethics Organizational Culture Beliefs and Values Moral Development Ethical Framework Rituals, Ceremonies Stories, Heroes Language, Slogans Symbols Founder, History Is Decision or Behavior Ethical and Socially Responsible? Organizational Systems External Stakeholders Structure Policies, Rules Code of Ethics Reward System Selection, Training Government Regulations Customers Special Interest Groups Global Market Forces

  8. Social Responsibility An organization’s moral responsibility to stakeholder groups that are affected by the organization’s actions Organizations may adopt a narrow or a broad stance on social responsibility. narrow stance: acts within the law and plays by the rules of the game broad stance: views itself as a moral agent and examines every situation from a moral perspective

  9. How Leaders Shape Culture and Ethics • Value Based Leadership • Formal Structure and Systems • Ethics committee • Ethics ombudsperson • Whistle-blowing • Code of ethics • Training programs © 1998 South-Western College Publishing Cincinnati, Ohio

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