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Mgmt 371 organizational culture
MGMT 371:Organizational Culture

  • “A pattern of basic assumptions that the group learned as it solved its problems of external adaptation and internal integration, that has worked well enough to be considered valid and, therefore, to be taught to new members as the correct way to perceive, think and feel in relation to those problems.”

    Edgar Schein, 1992


Levels of organizational culture

Artifacts – symbols of

culture in the physical

and social work environment

Levels of Organizational Culture

Values

Espoused: what members of

an organization say they value

Enacted: reflected in the way

individuals actually behave

Assumptions –deeply held

beliefs that guide behavior and tell

members of an organization how

to perceive and think about things


Organizational Culture

Artifacts – symbols of

culture in the physical

and social work environment

Visible, often not

decipherable

Values

Espoused: what members of

an organization say they value

Enacted: reflected in the way

individuals actually behave

Greater level

of awareness

Assumptions –deeply held

beliefs that guide behavior and tell

members of an organization how

to perceive and think about things

Taken for granted,

Invisible, Preconscious


Types of artifacts
Types of Artifacts

  • Personal Enactment

  • Ceremonies and Rites

  • Stories

    • About the boss

    • About getting fired

    • About relocating

    • About promotions

    • About crisis situations

    • About status considerations

  • Rituals

  • Symbols


Functions of organizational culture
Functions of Organizational Culture

  • Culture provides a sense of identity to members and increases their commitment to the organization

  • Culture is a sense-making device for organization members

  • Culture reinforces the values of the organization

  • Culture serves as a control mechanism for shaping behavior


Understanding organizational culture

Antecedents

Group & Social Processes

Organizational Structure & Practices

  • Founder’s values

  • Industry & business

  • environment

  • National culture

  • Senior leaders’

  • vision and behavior

Organizational Culture

  • Socialization

  • Mentoring

  • Decision

  • making

  • Group

  • dynamics

  • Communication

  • Influence &

  • empowerment

  • Leadership

  • Reward systems

  • Organizational

  • design

  • Observable artifacts

  • Espoused values

  • Basic assumptions

  • Collective Attitudes & Behavior

  • Work attitudes

  • Job satisfaction

  • Motivation

  • Organizational Outcomes

  • Effectiveness

  • Innovation &

  • stress

Understanding Organizational Culture


Types of cultures
Types of Cultures

  • Constructive

    • Valuing members, self-actualizing, affiliative, and humanistic/encouraging normative beliefs (expected behavior or conduct)

  • Passive-defensive

    • Approval-oriented, traditional and bureaucratic, dependent and nonparticipative, punish mistakes but ignore success

  • Aggressive-defensive

    • Confrontation and negativism are rewarded, nonparticipative, positional power, winning valued, competitiveness rewarded, perfectionistic


Constructive culture

Organizational Characteristics

Normative Beliefs

Goal and achievement oriented

Achievement

Self-actualizing

Value self-development and creativity

Participative, employeecentered, and supportive

Humanistic-encouraging

High priority on constructive interpersonal relationships, and focus on work group satisfaction

Affiliative

Constructive Culture


Passive defensive culture

Organizational Characteristics

Normative Beliefs

Avoid conflict, strive to be liked by others, and approval oriented

Approval

Conservative, bureaucratic, and people follow the rules

Conventional

Dependent

Nonparticipative, centralized decision making, and employees do what they are told

Negative reward system and Defensive avoid accountability

Avoidance

Passive Defensive Culture


Aggressive defensive culture

Organizational Characteristics

Normative Beliefs

Confrontation and negativism rewarded

Oppositional

Power

Nonparticipative, take charge of Defensive subordinates, and responsive to superiors

Winning is values and a win-lose approach is used

Competitive

Perfectionistic, persistent, and hard working

Perfectionistic

Aggressive-Defensive Culture


Organizational culture research suggests
Organizational Culture Research Suggests:

  • Organizational culture correlated with employee attitudes and behavior

  • Congruence between an individual’s values and the organization’s values associated with organizational commitment, job satisfaction, intentions to quit, and turnover

  • Organizational culture did not predict a company’s financial performance

  • Mergers frequently failed due to incompatible cultures


Theories on the relationship between organizational culture and performance

Strong Culture Perspective

Fit Perspective

Adaptive Perspective


Strong culture
Strong Culture and performance

an organizational culture with a consensus on the values that drive the company and with an intensity that is recognizable even to outsiders


Strong Cultures Facilitate Performance and performance

  • BECAUSE

  • They are characterized by goal

    • alignment

  • They create a high level of motivation

    • because of shared values by the members

  • They provide control without the

    • oppressive effects of bureaucracy


Fit perspective
Fit Perspective and performance

a culture is good only if it fits the industry or the firm’s strategy


Fit Perspective and performance

  • Three particular industry characteristics affect culture:

  • Competitive environment

  • Customer requirements

  • Societal expectations


Adaptive culture
Adaptive Culture and performance

an organizational culture that encourages confidence and risk taking among employees, has leadership that produces change, and focuses on the changing needs of customers



Most important elements in managing culture
Most Important Elements and performancein Managing Culture

  • What leaders pay attention to

  • How leaders react to crises

  • How leaders behave

  • How leaders allocate rewards

  • How leaders hire and fire individuals


Organizational socialization
Organizational Socialization and performance

Phase 1: Anticipatory

Phase 2: Encounter

Phase 3: Change and acquisition



Organizational socialization1

  • Anticipating realities about the organization and the new job

  • Anticipating organization’s needs for one’s skills and abilities

  • Anticipating organization’s sensitivity to one’s needs and values

Organizational Socialization

Phases

Perceptual and Social Processes


Organizational socialization2
Organizational Socialization joining the organization

Phases

Perceptual and Social Processes

  • Encounter values, skills, and attitudes start to shift as new recruit discovers what the organization is truly like

  • Managing lifestyle-versus-work conflicts

  • Managing intergroup role conflicts

  • Seeking role definition and clarity

  • Becoming familiar with task and group dynamics


Organizational socialization3
Organizational Socialization joining the organization

Phases

Perceptual and Social Processes

  • Change and acquisition recruit masters skills and roles and adjusts to work group’s values and norms

  • Competing role demands are resolved

  • Critical tasks are mastered

  • Group norms and values are internalized


Outcomes of socialization
Outcomes of Socialization joining the organization

Newcomers who are successfully socialized should exhibit:

  • Good performance

  • High job satisfaction

  • Intention to stay with organization

  • Low levels of distress symptoms

  • High level of organizational commitment


How cultures are embedded in organizations
How cultures are embedded in organizations joining the organization

  • Formal/public statements

  • Physical Layout

  • Slogans, co. lingo

  • Mentoring, modeling

  • Explicit rewards, promotion criteria

  • Stories, legends, myths

  • Processes and outcomes, measurement

  • Workflow and systems


Mentoring
Mentoring joining the organization

  • Outcomes for Mentees

  • Outcomes for Mentors

  • Outcomes for Organizations

  • Maintaining the Culture


Functions of mentoring
Functions of Mentoring joining the organization

  • Career Functions

    • Sponsorship

    • Exposure-and-Visibility

    • Coaching

    • Protection

    • Challenging Assignments

  • Psychological Functions

    • Role Modeling

    • Acceptance-and-Confirmation

    • Counseling

    • Friendship


Organizational culture inventory
Organizational Culture Inventory joining the organization

Focuses on behaviors that help employees fit into the organization and meet coworker expectations

Uses Maslow’s hierarchy of needs to measure twelve cultural styles


Kilmann saxton culture gap survey
Kilmann-Saxton Culture-Gap Survey joining the organization

Focuses on what actually happens in the organization and the expectations of others

Two underlying dimensions – technical/human and time.


Interventions for Changing joining the organization

Organizational Culture


Questions on culture
Questions on Culture joining the organization

  • Can the organizational culture change?

    • How?

  • Where does the culture come from?

    1.

    2.

    3.

  • Does the culture look the same from the top and from the bottom?


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