Organizational Organizational Culture,Culture,Creativity, and Creativity, and InnovationInnovation

Chapter 14Chapter 14

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Learning ObjectivesLearning Objectives

1. Define organizational culture and identify the various functions it serves in organizations.

2. Describe the four types of organizational culture identified by the double S cube.

3. Identify the factors responsible for creating and transmitting organizational culture and for getting it to change.

4. Define creativity and describe the basic components of individual and team creativity.

5. Describe various approaches to promoting creativity in organizations.

6. Identify the basic components of innovation and the various stages of the innovation process.

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Organizational CultureOrganizational Culture

A cognitive framework consisting of attitudes, values, behavioral norms, and expectations shared by organization members.

SubculturesSubcultures: Cultures existing within parts of organizations rather than entirely throughout them.

Dominant CultureDominant Culture: The distinctive, overarching “personality” of an organization.

Toxic Organizational CulturesToxic Organizational Cultures: Organizational cultures in which people feel that they are not valued.

Healthy Organizational CulturesHealthy Organizational Cultures: Organizational cultures in which people feel they are valued.

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Core Organizational Core Organizational ValuesValues

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Culture in OrganizationsCulture in Organizations

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The Double S CubeThe Double S Cube

A system of categorizing four types of organizational culture by combining two dimensions – sociability and solidarity. Each of the four resulting cultural types can be both positive and negative in nature.

SociabilitySociability: A dimension of the double S cube characterized by the degree of friendliness typically found among members of an organization.

SolidaritySolidarity: A dimension of the double S cube characterized by the degree to which people in an organization share a common understanding of the tasks and goals about which they are working.

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Four Organizational Four Organizational CulturesCultures

Networked CultureNetworked Culture: In the double S cube, this type of organizational culture is characterized by high levels of sociability and low levels of solidarity.

Mercenary CultureMercenary Culture: In the double S cube, this type of organizational culture is characterized by a low degree of sociability and a high degree of solidarity.

Fragmented CultureFragmented Culture: In the double S cube, this type of organizational culture is characterized by a low degree of sociability and a low degree of solidarity.

Communal CultureCommunal Culture: In the double S cube, this type of organizational culture is characterized by both a high degree of sociability and a high degree of solidarity.

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The Double S CubeThe Double S Cube

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Assessing Organizational Assessing Organizational CultureCulture

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Interpreting Organizational Interpreting Organizational CultureCulture

Companies contain not one, but several cultures.

Organizational cultures tend to change over time.

No one culture is necessarily better or worse than any other.

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Creating Organizational Creating Organizational CultureCulture

Company founders

Experience with the environment

Contact with others

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Transmitting CultureTransmitting Culture

SymbolsSymbols: Objects that say more than meets the eyeSlogansSlogans: Phrases that capture organizational cultureStoriesStories: “In the old days, we used to . . .”JargonJargon: The special language that defines a cultureCeremoniesCeremonies: Special events that commemorate corporate valuesStatements of PrincipleStatements of Principle: Defining culture in writing

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Famous SlogansFamous Slogans

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The Nike StoryThe Nike Story

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Culture and PerformanceCulture and Performance

During the 1990s, attempts to improve corporate culture led to sizable gains in Alberto-Culver’s pretax profitability. The various milestones in this effort are identified here.

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How Culture ChangesHow Culture Changes

Composition of the workforce

Mergers and acquisitions

Planned organizational change

Responding to the internet

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CreativityCreativity

The process by which individuals or teams produce novel and useful ideas.

Components of Creativity

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Creativity-Relevant SkillsCreativity-Relevant Skills

Break mental sets and take new perspectivesBreak mental sets and take new perspectives– Divergent thinkingDivergent thinking: The process of reframing familiar

problems in unique ways.

Understand complexitiesUnderstand complexitiesKeep options open and avoid premature Keep options open and avoid premature judgmentsjudgmentsFollow creativity heuristicsFollow creativity heuristics– Creativity heuristicsCreativity heuristics: Rules that people follow to help

them approach tasks in novel ways.

Use productive forgettingUse productive forgetting– Productive forgettingProductive forgetting: The ability to abandon

unproductive ideas and temporarily put aside stubborn problems until new approaches can be considered.

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A Model of the Creative A Model of the Creative ProcessProcess

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Promoting CreativityPromoting Creativity

Training People to be Creative– Encourage openness to new ideas– Take the time to understand the problem– Develop divergent thinking

MorphologyMorphology: An approach to analyzing problems in which basic elements are combined in systematically different ways.

Developing Creative Work Environments

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Developing Creative Developing Creative EnvironmentsEnvironments

Provide autonomyAllow ideas to cross-pollinateMake jobs intrinsically interestingSet your own creative goalsSupport creativity at high organizational levelsHave fun!Promote diversity

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InnovationInnovation

The successful implementation of creative ideas within an organization.

Building blocks:–Motivation to innovate– Resources to innovate– Innovation management

Goals Rewards Time Pressure

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The Process of InnovationThe Process of Innovation