assessing organizational culture: demystifying the mysteries ira levin, ph.d. california...
TRANSCRIPT
Assessing Organizational Assessing Organizational Culture: Demystifying the Culture: Demystifying the
MysteriesMysteries
Ira Levin , Ph.DIra Levin , Ph.D..California Psychological Association ConventionCalifornia Psychological Association Convention
Division IIIDivision III
April 14, 2007April 14, 2007
Alliant International University
&
Levin Consulting Group, LLC
22
Learning ObjectivesLearning Objectives
Learn what organization culture is, how it develops Learn what organization culture is, how it develops over time, and how it exerts its influence on behavior in over time, and how it exerts its influence on behavior in organizationsorganizations
Explore a framework and methodology for assessing Explore a framework and methodology for assessing an organization’s culturean organization’s culture
Practice techniques for deciphering organization Practice techniques for deciphering organization culture through the use of exercises & a case study culture through the use of exercises & a case study
Examine key learnings and successful practices from Examine key learnings and successful practices from past culture assessment effortspast culture assessment efforts
33
44
55
Organization Culture: Different Ontology & Organization Culture: Different Ontology & Epistemology PerspectivesEpistemology Perspectives
Objectivity Objectivity vs.vs. Subjectivity Subjectivity
Etic Etic vs.vs. Emic Emic
GeneralizableGeneralizable vs.vs. Context SpecificContext Specific
J. Martin, (2002)
66
Organization Culture: A DefinitionOrganization Culture: A Definition
The learned patterns of beliefs, information processingand sense-making shared by organizational members that influence and guide their behavior & practices.
77
Organization Culture: Key Functions In Organization Culture: Key Functions In Organizational LifeOrganizational Life
Offers some stability and continuityOffers some stability and continuity
Provides sense of group identityProvides sense of group identity
Serves as an integrative & coordinating mechanism Serves as an integrative & coordinating mechanism
Reduces ambiguity & anxietyReduces ambiguity & anxiety
Provides short-hand for communication and actionProvides short-hand for communication and action
88
Basic AssumptionsBasic Assumptions
Basic BeliefsMarkets
Business/ManagementWork
PeopleRelationships
Time
Basic BeliefsMarkets
Business/ManagementWork
PeopleRelationships
TimeAdapted from Schein, E. 1992
Core Values• Shoulds & Oughts
Artifacts & BehaviorCharacteristics, Norms, Practices, & Behaviors
Culture Model: Three Inter-Related Culture Model: Three Inter-Related LevelsLevels
99
Culture Discovery: Individual Exercise Culture Discovery: Individual Exercise
1.1. Think of an organization you know well.Think of an organization you know well.
2.2. Jot down a few descriptors that reflect what your Jot down a few descriptors that reflect what your perception/experience of organizational life there is like.perception/experience of organizational life there is like.
3.3. Identify a few “artifacts” that are representative and/or Identify a few “artifacts” that are representative and/or expressive of the descriptors you noted.expressive of the descriptors you noted.– Norms & behaviorsNorms & behaviors– Formal practicesFormal practices– Work climateWork climate– Traditions & ceremoniesTraditions & ceremonies– Work space design/dress code/special language etc.Work space design/dress code/special language etc.
4.4. Think about what may be some foundational cultural Think about what may be some foundational cultural beliefs?beliefs?
1010
Culture Formation & Development Culture Formation & Development ModelModel
Founders & Early LeadersFounders &
Early Leaders
Industry & OccupationsIndustry &
Occupations
Organization LifeCycle
& History
Organization LifeCycle
& History
Larger SocialMilieu
Larger SocialMilieu
Mediating Processes
• Social Learning (Bandura, 1977)
• Social Influence/ Conformance (Sherif,1936, Festinger,1950; Asch, 1955)
• Social Exchange/ Reinforcement (Homans, 1961; Thibault & Kelley, 1959)
• Need Theory (Murray, 1938 ; McCllelland, 1961; Schutz, 1958)
Time
1111
Culture Assessment: Comparison of Culture Assessment: Comparison of MethodsMethods
Off-The-Shelf SurveysOff-The-Shelf Surveys
ProsProsLow cost of administrationLow cost of administration
Large sample sizesLarge sample sizes
Reliability of measuresReliability of measures
ConsConsPreconceived Preconceived categories/attributescategories/attributes
Very general & high levelVery general & high level
Fails to get at “beliefs”Fails to get at “beliefs”
Misses “dynamics” of cultureMisses “dynamics” of culture
Qualitative MethodsQualitative Methods
ProsProsObtain in-depth & nuanced viewObtain in-depth & nuanced view
Identifies culture at belief levelIdentifies culture at belief level
Identifies cultural dynamicsIdentifies cultural dynamics
ConsConsLabor intensiveLabor intensive
Smaller sample sizeSmaller sample size
Lack of consistent framework Lack of consistent framework
Reliability & validity dependent Reliability & validity dependent on inquirer skillon inquirer skill
1212
Culture Assessment Framework: Five Culture Assessment Framework: Five Windows Into CultureWindows Into Culture
Culture•Key Characteristics
•Behaviors•Values•Beliefs
Symbols
Leadership
Norms & Practices
Stories & Legends
Traditions &Rituals
Levin, 2000
1313
• There are no normatively effective or ineffective culturesThere are no normatively effective or ineffective cultures• An organization An organization isis its culture and culture is ubiquitous its culture and culture is ubiquitous• Culture is a shared belief system that can have Culture is a shared belief system that can have
contradictory sets of beliefs contradictory sets of beliefs • Cultural artifacts express & reinforce cultural beliefs and Cultural artifacts express & reinforce cultural beliefs and
require deciphering to identify these beliefsrequire deciphering to identify these beliefs• Culture develops from effects of daily problem-solving, Culture develops from effects of daily problem-solving,
issue management, and actions takenissue management, and actions taken• Interpretation of cultural patterns is best left to cultural Interpretation of cultural patterns is best left to cultural
inhabitants with assistance of an objective third party inhabitants with assistance of an objective third party (emic view)(emic view)
• You do not modify culture directly, but via changing how You do not modify culture directly, but via changing how the organization functions/operatesthe organization functions/operates
Framework: Underlying AssumptionsFramework: Underlying Assumptions
1414
Key Advantages Of Assessment Key Advantages Of Assessment FrameworkFramework
Inquiry not based on preconceived typologiesInquiry not based on preconceived typologies
Belief system is focus rather than artifacts or climateBelief system is focus rather than artifacts or climate
Insight can be gained about underlying culture dynamicsInsight can be gained about underlying culture dynamics
Members of social system are fully engaged in the Members of social system are fully engaged in the cultural inquiry & discoverycultural inquiry & discovery
Collective perceptions & meanings can be challenged Collective perceptions & meanings can be challenged and tested via conjoint inquiryand tested via conjoint inquiry
Ability to identify both shared and differentiated beliefsAbility to identify both shared and differentiated beliefs
Facilitates cultural awareness and learning that can Facilitates cultural awareness and learning that can serve as antecedent to changeserve as antecedent to change
1515
Culture Assessment: Key Culture Assessment: Key ConsiderationsConsiderations
Focus should be on discovery & not evaluationFocus should be on discovery & not evaluationWhich culture model or framework will guide the inquiry?Which culture model or framework will guide the inquiry?Who is the primary client for the assessment? Who is the primary client for the assessment? What is the client’s intention and expectations?What is the client’s intention and expectations?Who are additional stakeholders in the process? What are their Who are additional stakeholders in the process? What are their interests and how can these be attended to?interests and how can these be attended to?What is the assessment scope & your sampling strategy What is the assessment scope & your sampling strategy How will the data be used--who will see it, when, and in what form?How will the data be used--who will see it, when, and in what form?How will the data be analyzed, summarized, & reported?How will the data be analyzed, summarized, & reported?Who will manage the logistics and scheduling?Who will manage the logistics and scheduling?What is the communication strategy & plan?What is the communication strategy & plan?What are the boundaries of confidentiality/anonymity? What are the boundaries of confidentiality/anonymity? What else is going on in the organization that may affect the What else is going on in the organization that may affect the assessment or data collected?assessment or data collected?Recognize the assessment process itself is an interventionRecognize the assessment process itself is an intervention
1616
Culture Assessment: A Multi-Method Approach Culture Assessment: A Multi-Method Approach Combining Clinical Techniques & EthnographyCombining Clinical Techniques & Ethnography
Goal:Goal: To identify core cultural beliefs, values-in action, and keyTo identify core cultural beliefs, values-in action, and key
cultural characteristicscultural characteristics
Individual InterviewsWith
Selected Leaders
Individual InterviewsWith
Selected Leaders
Document Analysis
Document Analysis
Group InterviewsCross-Sectional Sample
Group InterviewsCross-Sectional Sample
StructuredObservation Structured
Observation
Survey Based on Preferred
Future Culture--option
Survey Based on Preferred
Future Culture--option
1717
Leadership Window: Exploratory AreasLeadership Window: Exploratory Areas
How leaders define successHow leaders define success
Significant learning events in leaders’ livesSignificant learning events in leaders’ lives
Personal heroesPersonal heroes
Key challenges overcome and lessons learnedKey challenges overcome and lessons learned
Legacy to leave behindLegacy to leave behind
What drives their decision-makingWhat drives their decision-making
1818
Norms & Practices Window: Exploratory Norms & Practices Window: Exploratory AreasAreas
What newcomers need to learn quicklyWhat newcomers need to learn quickly
Biggest mistake or “taboos”Biggest mistake or “taboos”
How people learn about organizational newsHow people learn about organizational news
What people What people really really are rewarded forare rewarded for
Beliefs & values underlying:Beliefs & values underlying:– Goals, priorities, & strategiesGoals, priorities, & strategies– Decision-making processesDecision-making processes– Planning & resource allocationPlanning & resource allocation– CommunicationsCommunications– HR practices/policiesHR practices/policies
1919
Stories & Legends Window: Exploratory Stories & Legends Window: Exploratory AreasAreas
Folklore & oral traditions Folklore & oral traditions – Heroic effortsHeroic efforts– Rule breaking incidentsRule breaking incidents– Crises encountered & responded toCrises encountered & responded to– Notable success stories & key blundersNotable success stories & key blunders
Attributes of “heroes” & other identified role modelsAttributes of “heroes” & other identified role models
Focus on determining “moral” or “message” of storyFocus on determining “moral” or “message” of story
2020
Traditions & Rituals Window: Traditions & Rituals Window: Exploratory AreasExploratory Areas
Rites of initiation or passageRites of initiation or passage
Rites of enhancement & renewalRites of enhancement & renewal
Rites of recognition & celebrationRites of recognition & celebration
Rites of play & integrationRites of play & integration
Various work related or management ritualsVarious work related or management rituals
Deal & Kennedy, 1982Trice & Beyer, 1986
2121
Symbols Window: Exploratory AreasSymbols Window: Exploratory Areas
Organizational logosOrganizational logos
Marketing slogansMarketing slogans
Office space design & décorOffice space design & décor
Position titlesPosition titles
Dress codesDress codes
Special language/jargonSpecial language/jargon
Historical symbolsHistorical symbols
2222
Key Documents For ReviewKey Documents For Review
Annual & quarterly performance reportsAnnual & quarterly performance reports
Mission & values statementsMission & values statements
Strategic plans & goalsStrategic plans & goals
Performance metricsPerformance metrics
Operating budgets & capital investment plansOperating budgets & capital investment plans
Human resources policies & practicesHuman resources policies & practices
Management & employee communicationsManagement & employee communications
Governance protocolsGovernance protocols
Organization charts & job profilesOrganization charts & job profiles
2323
Interview Sample: LeadershipInterview Sample: Leadership
How do you define success?How do you define success?
How do you view the markets & customers you serve?How do you view the markets & customers you serve?
What were some significant “learning moments” for you What were some significant “learning moments” for you in your life/career?in your life/career?
Who are your personal heroes? What attributes do Who are your personal heroes? What attributes do you most admire?you most admire?
What legacy would you like to leave behind?What legacy would you like to leave behind?
What drives how you make key decisions?What drives how you make key decisions?
2424
Structured ObservationStructured Observation
How is office/work space configured?How is office/work space configured?
What is the “feel” of office/work space?What is the “feel” of office/work space?
What patterns or themes characterize office décor?What patterns or themes characterize office décor?
How do people interact and congregate?How do people interact and congregate?
How is information communication and in what formsHow is information communication and in what forms
How is the ‘work-day” definedHow is the ‘work-day” defined
2525
Group Interview ExampleGroup Interview Example
How is success defined? How is success defined?
What do newcomer’s need to learn quickly to be successful?What do newcomer’s need to learn quickly to be successful?
What is most valued and appreciated here?What is most valued and appreciated here?
What is the biggest mistake someone could make here?What is the biggest mistake someone could make here?
Who are considered to be organizational “heroes?” What are the key Who are considered to be organizational “heroes?” What are the key attributes or qualities displayed?attributes or qualities displayed?
What stories are told about heroic efforts, major What stories are told about heroic efforts, major achievements/blunders, crises, etc.? (achievements/blunders, crises, etc.? (moral/messagemoral/message))
What are examples of ongoing traditions & ceremonies: rites of What are examples of ongoing traditions & ceremonies: rites of initiation, renewal, celebration, integration, work etc. initiation, renewal, celebration, integration, work etc.
Inquiry based on observation & document review: marketing Inquiry based on observation & document review: marketing
slogans, language, logos, titles, work space design, etcslogans, language, logos, titles, work space design, etc..
2626
Examples of Cultural BeliefsExamples of Cultural Beliefs
You need to listen to your customers to learn their expectations & needs
Size provides safety and sustainability
Formal structures/processes inhibit agility & speed
Debate & critique of ideas leads to better solutions
People are fundamentally trustworthy & well-intentioned
Relationships are what drive effective work
Decisions should be made closest to where the work is performed
Being a quick adopter is wiser than being the pioneer
Innovations should be “piloted” or tested before implemented
Innovations do not occur with taking some risks
2727
Key Cultural ExpressionsKey Cultural ExpressionsInclusiveness and welcoming of others Inclusiveness and welcoming of others
Tolerance for mistakes and generous chances to self-correctTolerance for mistakes and generous chances to self-correct
Flat & decentralized management structure with minimal central Flat & decentralized management structure with minimal central controls or standardized processescontrols or standardized processes
Formal rewards/recognition for initiative and new serviced Formal rewards/recognition for initiative and new serviced development/formation of strategic alliances etc.development/formation of strategic alliances etc.
Desire to probe and learn from different points of viewDesire to probe and learn from different points of view
Highly collaborative decision-making processesHighly collaborative decision-making processes
Large percentage resource allocations to employee developmentLarge percentage resource allocations to employee development
““Acorn” folklore & stories of individual contributionsAcorn” folklore & stories of individual contributions
Core Cultural Belief: “Each person is Core Cultural Belief: “Each person is unique and can make a difference”unique and can make a difference”
2828
Core Cultural Belief: “Growth Ensures Core Cultural Belief: “Growth Ensures Vitality & Survival”Vitality & Survival”
Key Cultural ExpressionsKey Cultural ExpressionsSuccess equated primarily with growth goal achievementSuccess equated primarily with growth goal achievementAll employees know growth goals and performance to goalsAll employees know growth goals and performance to goalsHistory of successive mergers & acquisitionsHistory of successive mergers & acquisitionsSenior level position, Senior level position, SVP, Mergers & AcquisitionsSVP, Mergers & AcquisitionsLarge resource allocations to sales & marketingLarge resource allocations to sales & marketingUse of military metaphors & analogies Use of military metaphors & analogies – ““Market conquests” “markets as battlefields,& “grab and hold” marketsMarket conquests” “markets as battlefields,& “grab and hold” markets– All senior executives expected to read various historical leadership All senior executives expected to read various historical leadership
biographiesbiographies
Ceremonies that celebrate revenue/sales achievements & initiativeCeremonies that celebrate revenue/sales achievements & initiativeStories about “beating competitors” & “making deals”Stories about “beating competitors” & “making deals”Large portion of executive pay tied to stock performanceLarge portion of executive pay tied to stock performance
2929
Deciphering Cultural Beliefs Exercise Deciphering Cultural Beliefs Exercise
Pair up with 1-2 colleagues:Pair up with 1-2 colleagues:Senior executive offices on top floor Senior executive offices on top floor Address senior executives by “Mr.” or “Ms.”Address senior executives by “Mr.” or “Ms.”Steep hierarchy and several layers of managementSteep hierarchy and several layers of managementExecutive parking lot with reserved spacesExecutive parking lot with reserved spacesHigh deference to authority & politeness in meetingsHigh deference to authority & politeness in meetingsEmphasis on rigorous planning and very careful analysisEmphasis on rigorous planning and very careful analysisValue placed on punctuality, working long hours, loyalty to one’s Value placed on punctuality, working long hours, loyalty to one’s boss, not making mistakes, specialized expertiseboss, not making mistakes, specialized expertiseFormal business attireFormal business attireOffice decorated with photos & portraits of founder, founder’s family, Office decorated with photos & portraits of founder, founder’s family, and early leadersand early leadersTraditional, ornate, dark toned furniture & late 19Traditional, ornate, dark toned furniture & late 19 thth century century paintings/artpaintings/art
3030
Culture Discovery Exercise: Group Culture Discovery Exercise: Group DiscussionDiscussion
1.1. Go back to the list you generated earlier e.g. Go back to the list you generated earlier e.g. descriptors, artifacts, etc.descriptors, artifacts, etc.
2.2. Share your list & any useful contextual information with Share your list & any useful contextual information with your colleaguesyour colleagues
3.3. Discuss what may be some operating core cultural Discuss what may be some operating core cultural beliefsbeliefs
4.4. Solicit input, feedback, and ideas from your colleagues.Solicit input, feedback, and ideas from your colleagues.
5.5. Discuss how you might go about investigating your Discuss how you might go about investigating your these beliefs further. these beliefs further.
3131
Case Study 40-45 MinutesCase Study 40-45 Minutes
Form small groups & read case study individuallyForm small groups & read case study individuallyDiscuss the questions posed at the end & develop a Discuss the questions posed at the end & develop a plan for conducting your culture assessment of the two plan for conducting your culture assessment of the two organizations. organizations. – What are some of your initial impressions/formative What are some of your initial impressions/formative
hypotheses about the two organization cultures?hypotheses about the two organization cultures?– What is the scope of your assessmentWhat is the scope of your assessment– What data would you like to collect & from whom?What data would you like to collect & from whom?– What structured observation would you like to perform?What structured observation would you like to perform?– What challenges do you anticipate? How might you manage What challenges do you anticipate? How might you manage
these?these?
Select spokesperson to present highlights of your Select spokesperson to present highlights of your discussion and assessment plandiscussion and assessment plan
3232
Culture Assessment: Learnings To DateCulture Assessment: Learnings To Date
Assessment purpose needs to be well-definedAssessment purpose needs to be well-defined
Communication with organization is important throughout the processCommunication with organization is important throughout the process
Culture is a very personal thing –expect emotional reactions to Culture is a very personal thing –expect emotional reactions to culture assessment feedbackculture assessment feedback
Culture assessment needs to be descriptive and appreciative rather Culture assessment needs to be descriptive and appreciative rather than evaluativethan evaluative
Focus on uncovering underlying beliefs—surface manifestations may Focus on uncovering underlying beliefs—surface manifestations may be deceiving—search for patternsbe deceiving—search for patterns
Broad cross-sectional sampling increases perceived credibility of the Broad cross-sectional sampling increases perceived credibility of the data and helps identify existence of sub-culturesdata and helps identify existence of sub-cultures
Approach produces high density data—perform data analysis along Approach produces high density data—perform data analysis along the way, distill into summary form, & partition data feedback sessionsthe way, distill into summary form, & partition data feedback sessions
Distill learnings and implications to inform focused actionDistill learnings and implications to inform focused action
3333