Ch. 7 - Organizational Culture

time orientation

(One of the core shared assumptions) Are members oriented with the past, present, and future?

human nature

(One of the core shared assumptions) Are people good? Can they be trusted?

nature of relationships

(One of the core shared assumptions) Are relationships hierarchical? Individualistic? Is there a caste system?

our fit with the environment

(One of the core shared assumptions) Can members master the environment? Are they controlled by it?

Universalism vs. particularism

(One of the core shared assumptions) Do we treat members the same (universalism)? Do we treat members differently (particularism)?

assumptions about activity

(One of the core shared assumptions) Doing, being, becoming.

nature of truth

(One of the core shared assumptions) How is truth revealed?

rites of renewal

(Rite) Emphasize changes and improvements in the organization, such as opening a new store or launching a new product.

rites of conflict reduction

(Rite) Focus on resolving conflicts and disagreements that arise in an organization, such as grievance hearings or union contract negotiation.

rites of enhancement

(Rite) Reinforce activities and accomplishments of individuals, such as recognition awards and graduation ceremonies.

rites of passage

(Rite) Show that an individual's status has changed, such as a promotion or retirement.

rites of integration

(Rite) Unite diverse groups within an organization and renew commitment to the larger organization, such as annual picnics and company newsletters.

rites of degradation

(Rite) Used to publicly punish or demean persons who fail to adhere to accepted norms and values, such as a demotion or a dissemination of a public apology.

worker attitudes and behaviors

- Behavior is determined by culture. - Culture is strong when it is defined, understood and followed by all employees. - Southwest Airlines..."family, fun, and LUV"

founder expectations

- Founders have a large influence on the culture of an organization. - Impact of a founder diminishes as an organization grows. - Culture audit recognizes impact of a founder: 1. Why was the organization started? What was the goal of the founder? 2. Problems the founder encountered? How were they solved? 3. What are some values and assumptions about how the organization should be managed?

core shared assumptions

1. Human Nature 2. Nature of Relationships 3. Nature of Truth 4. Our Fit with the Environment 5. Time Orientation 6. Assumptions about Activity 7. Universalism vs. Particularism

leader behaviors.

1. Spend time on activities that are important. 2. Change or enhance the setting. 3. Review and interpret history. 4. Establish a dominant value expressed in a simple phrase.

reward allocations

An organization's reward system can either maintain or change its culture. - Dramatic change in a reward system can make a significant change in culture almost overnight.

Individualistic culture

Culture that believes in self-reliance. - Do not build strong ties to other people. - Power evenly distributed. - Greater occupational and economic mobility. EX: USA and Canada.

Collectivist culture

Culture where members assume they are part of an in-group they gave been in since birth. - Focus on strong ties among individuals. EX: Asian and South American countries.

Business decencies

Deliberate decencies such as writing thank you notes, praising in public/criticizing in private, getting to know coworkers, acknowledging others, conveying bad news in person, and having regular office hours.

Shared assumptions

Foundation beliefs that impact how people think about and respond to organizational events, but which are mostly subconscious. - Most difficult to study.

Internal integration

How an organization coordinates its internal systems and processes. - Concerned with maintaining relationships among members.

Masculinity vs. Femininity

How society perceives role differences between men and women and how these differences should impact their roles and activities. - Low masc. = minimal distinction; there is an overlap of roles. - High masc. = roles are distinct; tough values prevail.

External adaptation

How the organization responds to the external environment and the changes that occur in it.

historical accommodations

Include two major challenges that impact the development of an organization's culture: external adaptation and internal integration.

culture and ethical behavior

Includes the following strategies: 1. Visible moral acts speak louder than company communications. 2. What employees do off the job influences how they are perceived at work. 3. Develop and publish a code of ethics. 4. Discuss the importance of integrity. 5. Encourage employees to report unethical behavior and protect them from retribution.

changing organizational culture

Involves the following steps: 1. Conduct a culture audit. 2. Assess the need for change. 3. Unfreeze the current culture (change is not usually planned). 4. Elicit support from the cultural elite (top managers). 5. Implement intervention strategies (meetings, new systems, replacing key individuals). 6. Monitor and evaluate.

member contributions

Members bring their own personal cultures into an organization. - Actions of members contribute to an organization. - Business decencies.

employee selection

Organizations hire people who match their culture. - Organizations discipline and/or terminate employees who consistently deviate from accepted norms and practices.

Organizational culture

Refers to organizational rules and beliefs that are relatively enduring and resistant to change.

Organizational myths

Significant stories that are told about an organization's earlier years that impact the way members think about its history even if they are not true. - Stories preserve primary values of the organization and promote a shared understanding among employees.

Cultural values

Social values that are shared among members or an organization that tend to regulate individual behaviors and induce collective conformity. - Applied across situations. - Identified in statements of corporate values or management philosophy.

Power distance

The acceptability of power differentials within a society. - Low = large differentials are undesirable; inequality should be minimized. EX: Scandinavian and European countries. - High = differentials neither legitimate nor illegitimate; inequality is a fact of life. EX: Philippines, Mexico, India, Singapore.

Shared norms

The common expectations that guide the behavior of organizational members. - Can be inferred from artifacts. - Some are explicitly spelled out.

Uncertainty avoidance

The degree of tolerance people have for ambiguity and whether they feel treated by uncertain situations. - Strong = structure risky situations to avoid risk and promote security. EX: Greece, Japan, Peru. - Weak = risk is unavoidable; there is greater tolerance for ambiguity. EX: Singapore, Denmark, Sweden.

Individualism vs. Collectivism

The relationship between individuals and the larger society.

Rites and ceremonies

The special events in an organization that recognize individuals and the ways they are treated. - Usually have special significance for members and are conducted for their benefit.

Cultural artifacts

The visible symbols and objects that are unique to an organization and suggest the kinds of shared beliefs and expectations of members.

Organizational climate

Used to describe characteristics that are temporary and capable of being changed. - People's attitudes and feelings about the organization. - Often a function of the organization's culture.

simplicity, self-confidence, and speed

Words used by General Electric to support its new culture. - Jack Welch frequently criticized bureaucratic inefficiencies. - He created "work out" sessions. - Manuals were replaced with one page statements. - Metaphors made employees think the company would be in better shape.