Org Behavior

Leaders are the _______ and _________ of organizational culture - culture is not determined by fate.

architects, and developers

Common denominators of all organizations:

-Coordination of effort: achieved through formulation and enforcement of policies, rules, and regulations -Aligned goals: start from the companywide strategic plan, then cascade down through the organization so the employees are aligned in their pursuit of common goals -Division of labor: occurs when the common goal is pursued by individuals performing different but related tasks -Hierarchy of authority (aka chain of command): a control mechanism dedicated to making sure the right people do the right things at the right time. This is maintained by adhering to the unity of command principle which states that each employee should report to a single manager

Conclusions about Organizational Culture

-Organizational culture is related to measures of organizational effectiveness -Employees are more satisfied and committed to organizations with clan cultures -Innovation and quality can be increased by building characteristics associated with clan, adhocracy, and market cultures -Financial performance is not strongly related to organizational culture -Market cultures tend to have more positive organizational outcomes

Phase 3 of organizational socialization: Change and Acquisition

-The change and acquisition phase requires employees to master important tasks and roles and to adjust to their work group's values and norms. -This will occur only when employees have a clear understanding about their roles and they are effectively integrated within the work unit. -Success during this phase is enhanced when companies take a long-term approach toward socialization.

Phase 2 of organizational socialization: encounter

-This second phase begins when the employment contract has been signed. -During the encounter phase employees come to learn what the organization is really like reconciling unmet expectations and making sense of a new work environment. -Many companies use a combination of orientation and training programs to socialize employees during the encounter phase.

4 truths about culture change

1. leaders are the architects and developers of organizational change 2. changing culture starts with one of the three levels of org, culture- artifacts, espoused values, and basic underlying assumptions 3. consider how closely the current culture aligns with the organizations vision and strategic plan 4. use a structured approach when implementing culture change

The CVF contends that organizations vary along two fundamental dimensions or axes:

1.An organization's focus on internal dynamics and employees or outward towards external environment, customers and shareholders. 2.An organization's preference for flexibility and discretion or control and stability.

4 functions of org culture

1.Establishes organizational identity. 2.Encourages collective commitment. 3.Ensures social system stability, which reflects the extent to which the work environment is perceived as positive and reinforcing, and the extent to which conflict and change are effectively managed. 4.Acts as sense-making device, helping members make sense of their surroundings by helping employees understand why the organization does what it does and how it intends to accomplish its long-term goals.

There is a variety of mechanisms for creating culture change

1.Formal Statements -Mission and vision -Values -Represent visible artifacts 2.Design of Physical Space 3.Slogans, Language, Acronyms, and Sayings 4.Role Modeling, Training, Coaching 5.Explicit Rewards, Status Symbols -Strongest way to embed culture 6.Organizational Activities and Processes 7.Stories, Legends, or Myths 8.Leader Reactions to Critical Incidents 9.Rites and Rituals 10. Workflow and Organizational Structure Hierarchical structure vs. flatter organizations 11.Organizational Systems, Procedures and Goals Companies are increasingly using electronic networks as a tool to promote different types of cultures. How a company handles basic HR duties

Organizational artifacts examples

Acronyms, Manner of dress, Awards, Myths and stories told about the organization, Published lists of values, Observable rituals and ceremonies, Special parking spaces, Decorations.

Hollow Structure:

An example of an open organization Also known as a network structure Designed around a central core of key functions and outsources other functions to obtain them cheaper or faster The more processes that are outsourced, the more the resulting organization is "hollow"—and focused on what it does best. Useful when faced with strong price competition and there are enough companies to perform the required outsourced processes.

Modular Structure:

Another example of an open organization that uses outsourcing Company assembles product parts, components, or modules provided by external contractors Also responsible for quality requirements, timely work, and efficiently combining parts into the final whole. Useful when product modules are identifiable and create design interfaces that allow it to assemble parts into a working order.

3 step organizational socialization process

Anticipatory socialization, Encounter, Change and acquisition

Divisional Structure:

Employees are segregated into organization groups based on similar products or services, customers or clients, or geographic regions The divisional structure is sometimes called a product structure or profit center approach. As with functional structures, some organizations have concluded that using a divisional structure can also create silos within the organization

Virtual Structure:

Example of an open organization would be members being geographically apart working with e-mail and other forms of information technology Appears to customers as a single, unified organization with a real physical location Primary benefits are the ability to tap into a wider talent pool, increase the speed in getting things done, and reduce costs associated with less need for physical facilities and travel. The nature of virtual organizations has expanded since their inception - classified into two different types: internal and networked.

organizational innovation-learning from failure:

Failure occurs when an activity fails to deliver its expected results or outcomes

True or false: Gaps between the things an organization "claims" to value (espoused values) and what is really valued (enacted values) don't influence employee attitudes and organizational performance.

False

True or false: There is only one way that is the best organizational design.

False

Balanced score cards (BSC) and other organizational dashboards provide managers with 4 perspectives:

Financial perspective. Customer perspective. Internal business perspective Learning and growth perspective

mentoring can serve to embed an organization's culture when developers and the protégé/protégée work in the same organization for two reasons.

First, mentoring contributes to creating a sense of oneness by promoting the acceptance of the organization's core values throughout the organization. Second, the socialization aspect of mentoring also promotes a sense of membership.

Organic Organizations

Flexible networks of multitalented individuals who perform a variety of tasks More likely to use horizontal designs or those that open boundaries between organizations.

Antecedents (drivers and flow of org culture)

Founders values, industry and business environment, national culture, senior leaders visions

Functional Structure:

Groups people according to the business functions they perform (i.e. manufacturing, marketing, finance) A manager is responsible for performance of each of these functions and employees tend to identify strongly with their particular function. Some conclude that using a functional structure divides people too much, ultimately creating "silos" within the organization detracting from collaboration and sharing best practices across functions.

Researchers have shown that organizations learn by using five independent sub-processes:

Information acquisition Information distribution Information interpretation Knowledge integration Organizational memory.

Innovation differs from

Invention - the creation of something new Creativity - a process of developing something new or unique Integration - actions associated with getting multiple people, units, departments, functions, or sites to work together in pursuit of a goal, idea, or project.

This type of structure increasingly is being used by companies expanding into international markets.

Matrix structure

Developing a mentoring plan is also helpful:

Make it goal driven. Seek out those experienced in the areas in which you want to improve. What value will you bring to the relationship? Know when to move on.

__________ are generally feared and penalized, which creates an environment of risk aversion and reduces innovation

Mistakes

Phase 1: Anticipatory Socialization

Occurs before an individual actually joins an organization Information learned about careers and organizations Learned from: -Current employees -Social media -Internet

The Learning Organization

One that proactively creates, acquires, and transfers knowledge and changes its behavior on the basis of new knowledge and insights Important to understand how organizations learn because learning is essential to an organization's continuous improvement and renewal over time.

Which maro design view is squattier, wider, and has fewer layers of management?

Organic organization

Matrix Structure:

Organizations use matrix structures when they need stronger horizontal alignment or cooperation in order to meet their goals. Combines a vertical structure with an equally strong horizontal overlay generally combining functional and divisional chains of command to form a grid with two command structures. One shown vertically by function The other shown horizontally by product line, brand, customer group, or geographic region.

Mechanistic Organizations

Rigid bureaucracies with strict rules, narrowly defined tasks, and top-down communication Generally would have one of the traditional organization designs described earlier and a hierarchical culture

Key issues when making organizational design decisions include:

Strategy and goals. Technology. Size. Human resources.

Horizontal Structure:

Teams or workgroups,temporary or permanent, created to improve collaboration and work on common projects Focus on work processes. A process consists of every task and responsibility needed to meet a customer need Completing a process requires input from people in different functions, typically organized into a cross-functional team.

Innovation

The creation of something new that makes money and finds a pathway to the consumer More likely to occur when organizations have the proper supporting forces

There are 3 categories of organizational design:

There are 3 categories of organizational design: Traditional Designs - a traditional approach that has functional, divisional, and/or matrix structures. Vertical hierarchy, defines clear departmental boundaries. Horizontal Design - work hard to flatten hierarchy and organize people around specific segments of the workflow. Sometimes called a team or process structure, it relies on horizontal workflow and attempts to dissolve departmental boundaries and reporting relationships. Open Designs - have hollow, modular, or virtual structures. Each relies on leveraging technology and structural flexibility to maximize potential value through outsourcing and external collaboration

Learning and Growth Perspective (assessing organizational effectiveness)

This perspective assesses "Can we continue to improve and create value?" The learning and growth perspective focuses on providing employees with the capabilities, resources, and work environment they need to achieve customer, internal business processes, and financial goals. Typical metrics are employee satisfaction/engagement, employee retention, employee productivity, training budget per employee, technology utilization, and organizational climate and culture.

Customer Perspective:

This perspective assesses "How do customers see us?" The balanced scorecard measures items such as market share, customer acquisition, customer retention, customer satisfaction/loyalty, product/service quality, response time, and percentage of bids won.

financial perspective (Balance scorecard perspectives)

This perspective assesses "How do we look to shareholders?" Corporate financial strategies and goals generally fall into two buckets: revenue growth and productivity growth.

Internal Business Process Perspective (assessing organizational effectiveness)

This perspective assesses "What must we excel at?" Four critical high-level internal processes are innovation, customer service and satisfaction, operational excellence, and good corporate citizenship. These processes influence productivity, efficiency, quality, safety, and a host of other internal metrics. Companies tend to adopt continuous improvement programs in pursuit of upgrades to their internal processes.

Assessing organizational effectiveness

Translating organizational vision, strategy, and goals into comprehensible performance metrics.

True or false: There can be a variety of subcultures in an organization.

True

True or false: highly different subcultures developing should be avoided because they can lead groups to focus on different goals, customers, or values, which can impact unit and organizational performance.

True

Phase 1 of organizational socialization process issues and solutions

Unrealistic expectations, realistic job preview helps

Open systems

are entities that rely on constant interaction with environment for survival. An illustration of an open system is on the next slide.

Product innovation

a change in the appearance or the performance of a product or service or the creation of a new one

Process innovation

a change in the way a product or service is conceived, manufactured or distributed

Vision

a long-term goal that describes what an organization wants to become.

Closed systems

are self-sufficient entities that are fundamentally closed to the surrounding environment. These types of organizations theoretically have little or no interaction with the outside environment.

Subcultures

distinctive clusters of ideologies, cultural forms, and other practices that identifiable groups of people in an organization exhibit.

organzational outcomes (drivers and flow of org culture)

effectiveness, innovation and stress

Espoused values

explicitly stated values and norms preferred by an organization

Onboarding is a technique that...

helps employees to integrate, assimilate, and transition to new jobs by making them familiar with corporate policies, procedures, culture, and politics and by clarifying work-role expectations and responsibilities. There is no set way to onboard a new employee.

organization

is a system of consciously coordinated activities or forces of two or more persons

One macro design view:

mechanistic vs. organic organizations.

Organizational culture includes... (drivers and flow of org cultures)

observable artifacts, espoused values, basic assumptions

The teralogy of grad student services

onboarding (pre socialization), orientation (transitional socialization), ongoing (socialization and identity development), outgoing (realized identity).

Basic underlying assumptions

organizational values that have become so taken for granted over time that they become assumptions that guide organizational behavior. Highly resistant to change

Strategic plan

outlines an organization's long-term goals and the actions necessary to achieve those goals.

Artifacts

personal enactment, ceremonies and rites, stories, rituals and symbols. Visible, often not decipherable

Organizational Socialization

process by which a person learns the values, norms, and required behaviors which permit them to participate as a member of an organization.

Types of Innovation

product, process, core, transformational

The Competing Values Framework (CVF)

provides a practical way for managers to understand, measure, and change organizational culture.

Assumptions

relationship to environment; nature of reality, time, and space; nature of human nature; nature of human activity; nature of human relationships. Taken for granted Invisible Preconscious

Important to note that being mechanistic does not mean that an organization should not be _____________ to employee and customer feedback.

responsive

organizational structure and practices... (drivers and flow of org culture)

reward systems, organizational design

Four characteristics of organizational culture

shared concept, learned over time, influences our behavior at work, impacts outcomes at multiple levels

Group and social processes (Drivers and flow of org culture)

socialization, mentoring, decision making, group dynamics, communication, influence &empowerment, leadership

An organization's _________ is the cornerstone of its decision about the most appropriate design.

strategy

Organizations learn from both ___________ and _________, but learning is ________ and longer lasting when it is based on ___________.

success and failure, stronger, failure

Transformational innovations

targeted at creating new markets and customers and they rely on developing breakthroughs and inventing things that don't currently exist

Core innovations

targeted at existing customers and they rely on optimizing existing products/services for existing customers

Values

testable in physical Environment and testable only by social consensus. Can be espoused and/or enacted. Greater level of awareness

Mentoring

the process of forming and maintaining intensive and lasting developmental relationships between a variety of developers (i.e., people who provide career and psychosocial support) and a junior person (the protégé, if male; or protégée, if female).

Social capital

the productive potential resulting from relationships, goodwill, trust, and cooperative effort

Organizational culture

the set of shared, taken-for-granted implicit assumptions that a group holds and that determines how it perceives, thinks about, and reacts to its various environments

organizational designs

the structures of accountability and responsibility used to develop and implement strategies

Enacted values

values and norms that are actually exhibited or converted into employee behavior.

collective attitudes and behavior (drivers and flow of org culture)

work attitudes, job satisfaction, motivation