hrm3125!10!11 week 5 culture and structure

8/6/2019 HRM3125!10!11 Week 5 Culture and Structure

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Organisational Culture

and

Structure Part 1

HRM3125


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Why study Organisational Culture

First Impressions

Culture and organisational performance

Culture and strategy

Culture and Globalisation

The culture perspective or the symbolic

approach


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Organisational or corporate culture

Organisational culture: the collection of relatively uniformand enduring values, beliefs, customs, traditions and practices that

are shared by an organisations members, learned by new recruits,

and transmitted from one generation of employees to the next.

Anthropology, sociology, psychology and earlymanagement thought.

The 1980s the art of Japanese management

(Pascale & Athos), In search of excellence (Peters &Waterman) and Corporate cultures (Deal & Kennedy)


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ORGANISATIONAL CULTURE

DEFINITIONSThe customary & traditional way of doing things, which is

shared by all members, and which new members must learn &

at least partially accept, in order to be accepted into the

organisation (Jacques)

The way we do things round here (Deal & Kennedy)

Shared values (Peters & Waterman)

That set of basic assumptions that has worked well enough to

be taught to new members (Schein)


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Organisational culture

An iceberg

the surface is based on a much deeper reality

An onion the core is shielded by many layers

To changechange an organisation in any significant or lastingsignificant or lasting

wayway, you need to change the:

VALUES and BELIEFS that lie at the CORE


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CoreValues

Expressed Values

VisibleCulture

LevelsofCorporateCulture

Levelsof

CorporateCulture


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Schein on CultureOrganisational Culture is seen in terms of three levels,

each distinguished by its visibility to and accessibility byindividuals.

Pattern of basic assumptions, which have been invented,discovered or developed in learning to cope with itsproblems of external adaptation and integration. Thesehave been effective enough to be considered as validand therefore taught to new members as the correct wayto perceive, think and feel in relation to problems

Culture is not overt behaviour or visible artefacts nor is it

the philosophy or value system of the organisationsfounder. Rather it is the assumptions which lie behindthe values and which determine the behaviour, patternsand the visible artefacts


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Three layers of culture Values

often written down

statements about purpose, mission, objectives

usually general/vague

(e.g. Service to the Community)

Beliefs

more specific

usually overt/talked about

(e.g. thecompany should not trade with Burma)

Taken-for-granted assumptions

this is the real core of culture

difficult to identify and explain

often linked to the raison detre of the organisation

(e.g.police forces are needed to catch criminals)


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Where does organisational culture

come from?

Philosophy of

Organisations

founderOrganisation

Culture

Socialisation

Selection criteria

Top

Management


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Organisational Socialisation

Organisational Socialisation the

process through which an individual's

pattern of behaviour and their values,

attitudes and motives are influenced to

conform with those seen as desirable in a

particular organisation.


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Organisational Culture

Ways of transmitting organisational culture

Hill & Jones 2002


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Seven Steps of Organisational Socialisation

Start

1.Careful

Selection of

Entry levelcandidates

Deselect

7.Consistent

Role models

6.Reinforcing

2.Humility-inducing

Experiences promote

Openness towardsAccepting

Organisations norms

And values

3.in-the-trenches

Training leads to

Mastery of a corediscipline

4.Rewards and

Control systems are

Meticulously refinedTo reinforce

Behaviour that is

Deemed pivotal in

The marketplace

5.Adherence to

Values enables theReconciliation

Of personal

sacrifices


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Stages of Organisational socialisation

The three most common responses;

1. Collude; whereby they submit entirely andenthusiastically to the cultural values

2. Capitulate; whereby they change their

outward behaviour but not their internal values

3. Defensive; whereby they resist the culture


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Culture types (Handy)

Power

Role

Task

Person


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Types of Culture (Handy 1993)

Power cultures

Dominated by influential individuals or groups;

the company relies on them to make most strategic

and many tactical decisions (centralised decision-making).

Role cultures

Layers of management with defined roles and setprocedures; usually decentralised with decisions

being made through well-established rules.


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Task culturesFocus on the job at hand; teams of (expert) people

are grouped together as needed with strategic

decisions being made by the team doing the task. Person cultures

Focused on benefits to the members of anorganisation (usually associations, trade unions,

co-operatives, professional trade bodies, etc).Decision-making is guided by what benefits it

provides its members.

Types of Culture (Handy 1993)


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.

WEB

GREEK

TEMPLE

NET

Power culture

Role culture

Task culture

Person culture

Organisational culture definitions

CLUSTER


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Types of Culture (Miles & Snow1978)

Defenders

Prospectors

Analysers Reactors


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Four Types of Strategic Positions(Miles & Snow)

Defender focus on niche market leadership and cost efficiencies

Prospector focus on innovation and creativity in a growing and

dynamic market Analyser

focus on following the market and competitor activity;usually cost-focus in stable environments, differentiation-focus in dynamic markets

Reactor focus on continually adjusting strategy to business

environment, usually because of an ongoing mismatchbetween resources and strategies


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Contrasting forms of organisational control

Bureaucratic control (F.W. Taylor)Manipulation of rewards loyalty increased productivity

Humanistic control (Elton Mayo)

Satisfying task or work group loyalty increased productivity

Culture (symbolic) control (Deal & Kennedy, Schein)

Manipulation of culture love firm and its goals

increased productivity including myth and ritual


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Adaptive cultures

Are innovative and encourage and reward

initiative by middle and lower-level managers.

Inert cultures

Are cautious and conservative; do not value

and may discourage initiative by middle andlower-level managers.

Adaptive and inert cultures


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Traits of strong adaptive cultures

A bias for action Have values that promote autonomy and

entrepreneurship

Focus on the organisations mission Sticks to its knitting

Use structure and operations consistently Create an organisational design that motivates

employees to do their best.


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A strong organisational culture

Good points

A clear corporate identity

Commitment to organisational goals

Social cohesiveness

Fewer rules and procedures


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A strong organisational culture

possible weak points

Resistance to change

Lack of new ideas

Arrogance towards outsiders Employees work to please the boss

Example: IBM in the 1970s


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Paradigm

Rituals

Stories

Structure

Power

Control

systems

Symbols

Adapted from Campbell 2000

The Cultural Web


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STORIESSTORIES

CuresCuresVillians (politicians)Villians (politicians)Heroes and heroismHeroes and heroismChange agents are foolsChange agents are foolsAbuse of managersAbuse of managersThe golden ageThe golden age

SYMBOLSSYMBOLS

TerminologyTerminologyWhite coats/uniformsWhite coats/uniformsRetinuesRetinuesMobile phonesMobile phonesDoctors dining roomDoctors dining roomBig institutionsBig institutionsRoyalRoyal

ROUTINES &ROUTINES &

RITUALSRITUALS

Clinical ritualsClinical ritualsConsultation ceremoniesConsultation ceremoniesPatient infantalisingPatient infantalising

- waiting rooms- waiting rooms

- putting to bed- putting to bed

- waking up- waking upWard roundsWard roundsBlaming next tierBlaming next tier

PARADIGMPARADIGM

NHS is a Good ThingNHS is a Good ThingPublic servicePublic serviceFree at point of deliveryFree at point of deliveryClinicians valuesClinicians valuesProviders know bestProviders know bestAcute sector superiorAcute sector superiorOursOurs

POWERPOWER

Fragmented:Fragmented:

- professional bodies- professional bodies

- doctors- doctors

- senior clinicians- senior cliniciansOld Boy networkOld Boy networkPoliticiansPoliticians

Financial reportingFinancial reportingWaiting listsWaiting listsConsultant episodesConsultant episodesProfessionalProfessional

responsibilityresponsibility

ORGANISATIONORGANISATION

HierarchicalHierarchicalMechanisticMechanisticPecking order of servicesPecking order of servicesTribal/FunctionalTribal/Functional

A Cultural Web of the UK National Health

Service

CONTROLSCONTROLS


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National Culture

A collective frame of reference which includes

Religion

Social patterns

Language Attitude to work

Role of women

Attitude to wealth

Respect for authority

Etc


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National Culture

Managers need to understand in order to

Communicate

(To Customers, local employees)

Negotiate

Be socially acceptable

Recognise ethical standards Market and advertise


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DANGERS

Ethnocentric

Comparisons - using ones own country as the

ideal

Polycentric

Regarding other nations as different but of equalvalue


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Hofstedes dimensions of national culture

High/Low Power Distance

Individualism/Collectivism

Masculinity/Femininity

High/Low Uncertainty Avoidance


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MASCULINITY versus FEMININITY

JAPAN MASCULINITY

ITALY

GERMANY

UK USA

FRANCE

HOLLAND

SWEDEN FEMININITY

UNCERTAINTY AVOIDANCE


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UNCERTAINTY AVOIDANCE Countries which avoid uncertainty have

Many laws

An inner urge to work hard

An intolerance of those

Who do not conform

Countries which accept uncertainty have

Few laws

A more leisurely attitude to workA confident, unplanned approach to

solving problems

Culture and Conflict


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Culture and Conflict

Tinsley (1998) noted different culture had different waysof dealing with conflict. Her studies of three nationalitiesnoted the following

Status model: in a situation of conflict, one should deferto status power within the group. This gives the personwith the highest status within the group power to create

and enforce solutions for the others, and these will beaccepted and respected. The Japanese preferred thismodel.

Apply regulations: This method emphasised referringback to pre-existing, independent regulations, rules and

policies to shape the resolution of conflict. the Germansfavoured this model.

Integrating interests: This style of conflict resolutioninvolves bringing together the concerns of all parties soas to create an outcome favoured by all members. TheAmericans preferred this model.


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Culture Must Be Integrated

STRATEGY STRUCTURE

CULTURE PROCESSES

hrm3125!10!11 week 5 culture and structure

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