Chapter 8
Which of these would be considered observable artifacts in an organization?
-Awards -Decorations -Rituals
Which of the following are outcomes associated with various types of organizational culture?
-More positive work attitudes in clan cultures -Better financial performance in market and hierarchy cultures -Higher customer satisfaction in clan and market cultures -Higher market share in clan and market cultures -More positive organizational outcomes in market cultures
Which two of the following are some of the strongest ways to embed organizational culture?
-Status symbols -Rewards
A clan culture has what three characteristics?
-Strives to encourage cohesion through consensus and job satisfaction -A family-type organization -Encourages collaboration among employees
According to Barnard's definition, which of the following examples represent organizations?
-The BumbleBee or StarKist tuna companies with their thousands of employees -A crew of two people coordinating their activities on a commercial tuna fishing boat
What are the two types of information that organization charts reveal about organizational structure?
-Who specializes in what work -Who reports to whom
Which of the following can leaders pay attention to, measure, and control in order to change the organization's culture?
-activities -outcomes -processes
market culture
-has a strong external focus and values stability and control -thrust: compete -means: customer focus, productivity, enhancing competitiveness - ends: market share, profitability, goals, achievement
adhocracy culture
-has an external focus and values flexibility -thrust: create -means: adaptability, creativity, agility -ends: innovation, growth, cutting-edge output
clan culture
-has an internal focus and values flexibility rather than stability and control -encourages collaboration among employees, striving to encourage cohesion through consensus and job satisfaction and to increase commitment through employee involvement -thrust: collaborate -means: cohesion, participation, communication, empowerment -ends: morale, people development, commitment
hierarchy culture
-has an internal focus and values stability and control over flexibility -thrust: control -means: capable processes, consistency, process control measurement -ends: efficiency, timeliness, smooth functioning
Which of the following represent learning-related tools that can be leveraged to change an organization's culture?
-role modeling -training -coaching
Organizations wishing to change their culture may alter their physical layout and design in order to:
-send a strong message about the culture -encourage employee productivity
Organizational culture:
-significantly affects work outcomes at all levels of the organization -represents beliefs and values shared among workers -is passed on to new employees through socialization and mentoring -is the social glue that binds members of the organization together -helps employees understand why the organization does what it does
four types of organizational culture
1. clan 2. adhocracy 3. market 4. hierarchy
Edgar Schein's four common elements of organizations
1. common purpose (the means for unifying members) 2. coordinated effort (working together for common purpose) 3. division of labor (work specialization for greater efficiency) 4. hierarchy of authority (the chain of command)
12 ways a culture becomes established in an organization
1. formal statements 2. slogans and sayings 3. rites and rituals 4. stories, legends, and myths 5. leader reactions to crises 6. role modeling, training, and coaching 7. physical design 8. rewards, titles, promotions, and bonuses 9. organizational goals and performance criteria 10. measurable and controllable activities 11. organizational structure 12. organizational system and procedures
what drives an organizational culture?
1. founder's values 2. industry and business environment 3. national culture 4. organization's vision and strategies 5. behavior of leaders
three levels of organizational culture
1. observable artifacts 2. espoused values 3. basic assumptions
employees learn culture through
1. symbols 2. stories 3. heroes 4. rites and rituals 5. organizational socialization
three types of organizational design
1. traditional designs (simple, functional, divisional, and matrix structures) 2. horizontal designs 3. designs that open boundaries between organizations
two kinds of information organization charts reveal
1. vertical hierarchy of authority (who reports to whom) 2. horizontal specialization (who specializes in what work)
additions to Schein's four common elements of organizations
5. span of control (narrow or tall vs. wide or flat) 6. authority, responsibility, and delegation (line vs. staff positions) 7. centralization vs. decentralization of authority
_____ embed preferred culture by describing organizational philosophy, mission, vision, and values.
Formal statements
hierarchy of authority (chain of command)
a control mechanism for making sure the right people do the right things at the right time
boundaryless organization
a fluid, highly adaptive organization whose members, linked by information technology, come together to collaborate on common tasks; the collaborators may include competitors, suppliers, and customers
organizational structure
a formal system of task and reporting relationships that coordinates and motivates an organization's members so that they can work together to achieve the organization's goals
common purpose
a goal that unifies employees or members and gives everyone an understanding of the organization's reason for being
story
a narrative based on true events, which is repeated (and sometimes embellished upon) to emphasize a particular value
hero
a person whose accomplishments embody the values of the organization
symbol
an object, act, quality, or event that conveys meaning to others
virtual structure
an organization whose members are geographically apart, usually working with e-mail, collaborative computing, and other computer connections
contingency approach to organization design
approach that says organizations are more effective when they are structured to fit the demands of the situation and when the structure is aligned with the strategies and internal actions of the organization
horizontal design
arrangement in which teams or workgroups, either temporary or permanent, are used to improve collaboration and work on shared tasks by breaking down internal boundaries
division of labor (work specialization)
arrangement of having discrete parts of task done by different people; the work is divided into particular tasks assigned to particular workers
organizational chart
box-and-line illustration of the formal relationships of positions of authority and the organization's official positions or work specializations
organizational design
creating the optimal structures of accountability and responsibility that an organization uses to execute its strategies
A system of shared beliefs and values that develops within an organization and guides the behavior of its members is called organizational ______.
culture
horizontal dimension (organizational effectiveness)
expresses the extent to which an organization focuses its attention and efforts inward on internal dynamics and employees (internal focus and integration) versus outward towards its external environment and its customers and shareholders (external focus and differentiation)
vertical dimension (organizational effectiveness)
expresses the extent to which an organization prefers flexibility and discretion versus stability and control
An organization that wants to eliminate layers in favor of creating a culture where employees have more power should consider adopting a _____ organizational structure.
flattened
matrix structure
fourth type of organizational structure, which combines functional and divisional chains of command in a grid so that there are two command structures (vertical and horizontal)
If an organization wishes to become more controlling and authoritative toward its employees, it should consider adopting a(n) _____ structure.
hierarchical
An organization's _____ can pay attention to, measure, and control a number of activities, processes,or outcomes in order to foster a certain culture.
leaders
narrow span of control
manager has limited number of people reporting; an organization is said to be tall when there are many levels with narrow spans of control
wide span of control
manager has several people reporting; an organization is said to be flat when there are only a few levels with wide spans of control
line managers
managers who have the authority to make decisions and usually have people reporting to them
In organizational culture, a story is a(n)
narrative based on true events which is repeated in order to emphasize a particular value.
basic assumptions
not observable, represent the core values of an organization's culture (those that are taken for granted and are difficult to change)
Symbols in organizational culture represent
objects or actions that convey an organization's most important values to others.
The readily apparent symbols and manifestations of an organization's culture are called its _____.
observable artifacts
A(n) _____ is a system of consciously coordinated activities or forces of two or more people.
organization
mechanistic organization
organization in which authority is centralized, tasks and rules are clearly specified, and employees are closely supervised (centralized hierarchy of authority, many rules and procedures, specialized tasks, formalized communication, few teams or task forces, narrow span of control, taller structures)
organic organizations
organization in which authority is decentralized, there are fewer rules and procedures, and networks of employees are encouraged to cooperate and respond quickly to unexpected tasks (decentralized hierarchy of authority, few rules and procedures, shared tasks, informal communication, many teams or task forces, wider span of control, flatter structures)
decentralized authority
organizational structure in which important decisions are made by middle-level and supervisory-level managers (power is delegated throughout the organization)
centralized authority
organizational structure in which important decisions are made by upper managers (power is concentrated at the top)
flat organization
organizational structure with few or no levels of middle management between top managers and those reporting to them
The extent to which your personality and values match the climate and culture in an organization is referred to as _____.
person-organization fit
Some businesses have created open-area workspaces where employees sit at desks that are side-by-side and no walls are between them. This is to foster collaboration among the staff. What aspect of culture change does this represent?
physical design
observable artifacts
physical manifestations such as manner of dress, awards, myths and stories about the company, rituals and ceremonies, decorations, as well as visible behavior exhibited by managers and employees
unity of command
principle that stresses an employee should report to no more than one manager in order to avoid conflicting priorities and demands
If an organization wishes to change its culture, managers can alter the types of _____ and status symbols they give out and to whom they give them.
rewards
Organizations can use _____, activities that celebrate important events or achievements for the organization, to change the organization's culture.
rites and rituals
modular structure
seventh type of organizational structure, in which a firm assembles product chunks, or modules, provided by outside contractors
staff personnel
staff with advisory function; they provide advice, recommendations, and research to line managers
A _____ is a narrative about the company's history that is repeated by an organization's members in order to emphasize a particular value.
story
hollow structure (network structure)
structure in which the organization has a central core of key functions and outsources other functions to vendors who can do them cheaper or faster
In terms of organizational culture, a _______ is an artifact, act, quality, or event that conveys an organization's most important values to others.
symbol
organizational culture (corporate culture)
system of shared beliefs and values that develops within an organization and guides the behavior of its members
rites and rituals
the activities and ceremonies, planned and unplanned, that celebrate important occasions and accomplishments in an organization's life
coordinated effort
the coordination of individual efforts into a group or organizationwide effort
person-organization (PO) fit
the extent to which your personality and values match the climate and culture of an organization
simple structure (for the small firm)
the first type of organizational structure, whereby an organization has authority centralized in a single person, as well as a flat, hierarchy, few rules, and low work specialization
span of control
the number of people reporting directly to a given manager; there are two kind of spans of control narrow (or tall) and wide (or flat)
responsibility
the obligation one has to perform the assigned tasks
organizational socialization
the process by which people learn the values, norms, and required behaviors that permit them to participate as members of an organization
delegation
the process of assigning managerial authority and responsibility to managers and employees lower in the hierarchy
authority
the right to perform or command; also, the rights to inherent in a managerial position to make decisions, give orders, and utilize resources
functional structure (grouping by similar work specialties)
the second type of organizational structure, whereby people with similar occupational specialties are put together in formal groups
differentiation
the tendency of the parts of an organization to disperse and fragment
integration
the tendency of the parts of an organization to draw together to achieve a common purpose
divisional structure (grouping by similarity of purpose)
third type of organizational structure, whereby people with diverse occupational specialties are put together in formal groups according to products and/or services, customers and/or clients, or geographic regions
One method of changing organizational culture is to provide structured _____ as an in-depth introduction to organizational values.
training
Common purpose, one of the four common elements of organizations proposed by Schein,
unifies members and helps everyone understand the organization's reason for being.
slogans and sayings
use language, slogans, sayings, and acronyms to express corporate culture
enacted values
values and norms actually exhibited in the organization
According to the competing values framework (CVF), organizational _____ varies along two dimensions.
effectiveness
formal statements
embed preferred culture through the use of formal statements of organizational philosophy, mission, vision, and values, as well as materials used for recruiting, selecting, and socializing employees
Formal statements can help to change an organization's culture by
embedding the culture in various organizational materials such as the mission, vision, and values statements.
espoused values
explicitly stated values and norms preferred by an organization
What is the most accurate description of person-organization fit?
A match between an individual's personality and values and those of the organization
Horizontal dimension (CVF)
Expresses the extent to which an organization focuses its attention and efforts inward on internal dynamics and employees versus outward toward its external environment and customers
Vertical dimension (CVF)
Expresses the extent to which an organization prefers flexibility and discretion versus stability and control
Rites and rituals, which are activities and _____ used to celebrate important organizational events or achievements, can be leveraged in the process of culture change.
ceremonies
A _____ culture has an internal focus and values flexibility rather than stability and control.
clan
Research shows that employees have more positive work attitudes in organizations with a(n) _____ culture.
clan
accountability
describes expectation that managers must report and justify work results to the managers above them
customer divisions
divisional structures in which activities are grouped around common customers or clients
geographic divisions
divisional structures in which activities are grouped around defined regional locations
product division
divisional structures in which activities are grouped around similar products or services