•Procedures for roles (job descriptions)
•Procedures for communication
•Procedures for disputes
•Coordinated at top by narrow band of senior
management
•More…
High Behavioral Control
Low Employee Turnover
6
Organizational Culture
Functions
Defining boundaries Conveying identity Promoting commitment Controlling behavior
14
Power Culture
•Based upon trust, empathy and personal conversation •May be abrasive and competitive and result in turnover •Few policies, procedures •Control exercised by selection of key people •Proud, strong, flexible •Lots of faith placed in individuals, little in committees •Trade unions, property, trading and finance companies
15
Role Culture
•Strength in pillars (functions or specialties)
•Work and interaction in pillars controlled by:
•Procedures for roles (job descriptions)
•Procedures for communication
Liabilities
Impeding change Inhibiting diversity Blocking mergers Blocking acquisitions
7
How A Culture Begins
Hiring and Retention
Indoctrination & Socialization
Strength
High
Performance
Low
Satisfaction
Perceived as Organizational Culture
22
•Procedures for disputes
•Coordinated at top by narrow band of senior
management
16
Role Culture
•Strength in pillars (functions or specialties)
•Work and interaction in pillars controlled by:
Behavior and Role Modeling
8
Selection
Sustaining a Culture
Top Management
Socialization
9
How Organizational Cultures Form
Philosophy of the
Organization’s Founders
Organizational Culture
1
What Is Institutionalization?
Permanence
Value
Immortality
Behavior
2
What Is Organizational Culture?
A system of shared meaning held by members that distinguishes the organization from other organizations.
Networked
Communal
Sociability
Low
Fragmented
Mercenary
Low
Cohesiveness
High
12
Institutional Theory
Power
Roles
Task
Person
13
Power Culture
•Central power source •Traditionally small, entrepreneurial organizations •Power rings are centers for activity and influence •Strings are functions and specialties •Usually spawns other organizations •Must concentrate on a few activities to work well •More…
20
Person Culture
•Influence is shared •Power base is expert (if needed) •People do what they are good at •If organization achieves its own identity it becomes a task culture at best – more often Role or Power •Architects, lawyers, doctors, professors
18
Task Culture
•Adaptable culture •TMT mainly responsible for resource allocation to projects teams (not day to day/hands on) •Good for short product life cycle, flexible, changing environments •Custtomer always right – product really important •When resources dwindle, stage ripe for politics •Ad agencies, consultants, defense contractors
17
Task Culture
•Job/project oriented •Bring together appropriate resources (right people at right level) •Influence based more on expert power than position or personal power •Groups/project teams – mutual objective of accomplishing task •More…
19
Person Culture
•Self oriented •People work for themselves and only band together for their own betterment •Psychological contract – organization is subordinate to individual and depends on the individual for existence •More…
Top Management Selection
Socialization
Organizational Culture
10
Stories
Rituals
How Employees Learn Culture
Language
Material Symbols
11
High
Four-Culture Typology
4
Do Organizations Have Uniform Cultures?
Dominant Culture
Subcultures
Core Values
5
Intensity of Core Values
Commitment to Core Values
Strong Versus Weak Cultures
3
What Is Organizational Culture?
• Innovation and risk taking • Attention to detail • Outcome orientation • People orientation • Team orientation • Aggressiveness • Stability
21
How Organizaormance and Satisfaction
Objective Factors • Innovation/risk taking • Attention to detail • Outcome orientation • People orientation • Team orientation • Aggressiveness • Stability