chap 10 ob
TRANSCRIPT
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BDM 212 : Organisational Behavior
CHAPTER 10Organisational Culture
2010 Cosmopoint
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Topic Outlines
1.1 What Is Organizational Culture?
1.2 Contrasting Organizational Cultures
1.3 Do Organizations Have Uniform Cultures?
1.4 What Do Cultures Do?
1.5 How Culture Begins
1.6 Keeping Culture Alive1.7 Stages in the Socialization Process
1.8 A Socialization Model
1.9 How Organization Cultures Form
2.0 How Employees Learn Culture
2.1 Creating An Ethical Organizational Culture
2.2 Spirituality and Organizational Culture2.3 Reasons for the Growing Interest in Spirituality
2.4 How Organizational Cultures Have an Impact on
Performance and Satisfaction
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This chapter aims to:
Chapter Aims
1. Define the common characteristics making up
organisational culture
2. Contrast strong and weak culture
3. Identify the functional and dysfunctional effects oforganisational culture on people and the organisation.
4. Explain the factors that maintain an organisations
culture
5. Clarify how culture is transmitted to employees6. Outline the various socialisation alternatives available
to management
7. Describe a customer-responsive culture
8. Identify characteristics of a spiritual culture.
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1.1 What Is Organizational Culture?
Characteristics:
1. Innovation and risktaking
2. Attention to detail3. Outcome orientation
4. People orientation
5. Team orientation
6. Aggressiveness
7. Stability
Organizational Culture
A common perception held bythe organizations members; asystem of shared meaning.
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1.2 Contrasting Organizational Cultures
Organization A
This organization is a manufacturing firm. Managers are expected to fully document
all decisions; and good managers are those who can provide detailed data to
support their recommendations. Creative decisions that incur significant change or
risk are not encouraged. Because managers of failed projects are openly criticized
and penalized, managers try not to implement ideas that deviate much from the
status quo. One lower-level manager quoted an often used phrase in the company:
If it aint broke, dont fix it.
There are extensive rules and regulations in this firm that employees are
required to follow. Managers supervise employees closely to ensure there are no
deviations. Management is concerned with high productivity, regardless of the
impact on employee morale or turnover.
Work activities are designed around individuals. There are distinct departmentsand lines of authority, and employees are expected to minimize formal contact with
other employees outside their functional area or line of command. Performance
evaluations and rewards emphasize individual effort, although seniority tends to be
the primary factor in the determination of pay raises and promotions.
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Contrasting Organizational Cultures (contd)
Organization B
This organization is also a manufacturing firm. Here, however, managementencourages and rewards risk taking and change. Decisions based on intuition are
valued as much as those that are well rationalized. Management prides itself on its
history of experimenting with new technologies and its success in regularly
introducing innovation products. Managers or employees who have a good idea are
encouraged to run with it. And failures are treated as learning experiences. The
company prides itself on being market-driven and rapidly responsive to the changing
needs of its customers.There are few rules and regulations for employees to follow, and supervision is
loose because management believes that its employees are hardworking and
trustworthy. Management is concerned with high productivity, but believes that this
comes through treating its people right. The company is proud of its reputation as
being a good place to work.
Job activities are designed around work teams, and team members areencouraged to interact with people across functions and authority levels. Employees
talk positively about the competition between teams. Individuals and teams have
goals, and bonuses are based on achievement of these outcomes. Employees are
given considerable autonomy in choosing the means by which the goals are attained.
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1.3 Organizations Have Uniform Cultures?
Dominant Culture
Expresses the core values thatare shared by a majority ofthe organizations members.
Subcultures
Minicultures within anorganization, typically definedby department designationsand geographical separation.
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Do Organizations Have Uniform Cultures? (contd)
Core Values
The primary or dominant values that are acceptedthroughout the organization.
Strong Culture
A culture in which thecore values are intenselyheld and widely shared.
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What Is Organizational Culture? (contd)
Culture Versus Formalization
A strong culture increases behavioral consistency
and can act as a substitute for formalization.
Organizational Culture Versus National Culture
National culture has a greater impact onemployees than does their organizations culture.
Nationals selected to work for foreign companies
may be atypical of the local/native population.
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1.4 What Do Cultures Do?
Cultures Functions:
1. Defines the boundary between one organization and
others.
2. Conveys a sense of identity for its members.
3. Facilitates the generation of commitment to something
larger than self-interest.
4. Enhances the stability of the social system.
5. Serves as a sense-making and control mechanism for
fitting employees in the organization.
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1.5 How Culture Begins
Founders hire and keep only
employees who think and feel thesame way they do.
Founders indoctrinate andsocialize these employees to their
way of thinking and feeling. The founders own behavior acts
as a role model that encouragesemployees to identify with them
and thereby internalize theirbeliefs, values, and assumptions.
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1.6 Keeping Culture Alive
Selection
Concern with how well the candidates will fit into
the organization.
Provides information to candidates about the
organization.
Top Management
Senior executives help establish behavioral norms
that are adopted by the organization.
Socialization
The process that helps new employees adapt to
the organizations culture.
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1.7 Stages in the Socialization Process
Prearrival Stage
The period of learning in the socializationprocess that occurs before a newemployee joins the organization.
Metamorphosis StageThe stage in the socialization process in which a new employeechanges and adjusts to the work, work group, and organization.
Encounter Stage
The stage in the socialization process in which anew employee sees what the organization isreally like and confronts the possibility thatexpectations and reality may diverge.
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1.8 A Socialization Model
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1.9 How Organization Cultures Form
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2.0 How Employees Learn Culture
Stories Rituals
Material Symbols
Language
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2.1 Creating An Ethical Organizational Culture
Characteristics of Organizations that Develop High EthicalStandards
High tolerance for risk
Low to moderate in aggressiveness
Focus on means as well as outcomes
Managerial Practices Promoting an Ethical Culture Being a visible role model
Communicating ethical expectations
Providing ethical training
Rewarding ethical acts and punishing unethical ones Providing protective mechanisms
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2.2 Spirituality and Organizational Culture
Workplace Spirituality
The recognition that people have an inner life that nourishes and is nourished bymeaningful work that takes place in the context of the community.
Characteristics:
Strong sense of purpose
Focus on individualdevelopment
Trust and openness
Employee empowerment
Toleration of employee
expression
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2.3 Reasons for the Growing Interest in Spirituality
As a counterbalance to the pressures and stress of a turbulentpace of life and the lack of community many people feel and
their increased need for involvement and connection.
Formalized religion hasnt worked for many people.
Job demands have made the workplace dominant in many
peoples lives, yet they continue to question the meaning of
work.
The desire to integrate personal life values with ones
professional life.
An increasing number of people are finding that the pursuit ofmore material acquisitions leaves them unfulfilled.
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2.4 How Organizational Cultures Have an Impact on Performance and
Satisfaction
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REFERENCES
Stephen P, Robbins, Organizational
Behavior, 11th Edition, Pearson.