Chapter 14: Chapter 14: Organizational Organizational CultureCulture

Creating Effective Creating Effective OrganizationsOrganizations

Definition of Definition of Organizational CultureOrganizational Culture Socially acquired and shared Socially acquired and shared

rules of conduct that are rules of conduct that are manifested in the organization’s manifested in the organization’s artifacts, perspectives, values, artifacts, perspectives, values, and assumptions.and assumptions.

Levels of Levels of Organizational CultureOrganizational Culture

NormsNorms

Situation specific rules of Situation specific rules of conductconduct

ValuesValues

Generalizable goals, Generalizable goals, ideals, standardsideals, standards

AssumptionsAssumptions

Taken for granted beliefs Taken for granted beliefs concerning: Human concerning: Human

Nature, Relationships, Nature, Relationships, Truth, etc.Truth, etc.

ArtifactsArtifactsVerbalVerbalPhysicalPhysicalBehavioralBehavioral

LowLow

HighHighL

eve

l of

Aw

are

ness

Leve

l of

Aw

are

ness

Categories of Cultural Categories of Cultural AssumptionsAssumptions1.1. The Nature of RelationshipsThe Nature of Relationships: Are relationships : Are relationships

between members of the organization assumed between members of the organization assumed to be primarily lineal (i.e. hierarchical), to be primarily lineal (i.e. hierarchical), collateral (i.e. group oriented), or collateral (i.e. group oriented), or individualistic in nature?individualistic in nature?

2.2. Human NatureHuman Nature: Are humans considered to be : Are humans considered to be basically good, basically evil, or neither good basically good, basically evil, or neither good nor evil?nor evil?

3.3. The Nature of TruthThe Nature of Truth: Is “truth” (i.e. correct : Is “truth” (i.e. correct decisions) discovered from external authority decisions) discovered from external authority figures, or is it determined by a process of figures, or is it determined by a process of personal investigation and testing?personal investigation and testing?

4.4. The EnvironmentThe Environment: Is there a basic belief that : Is there a basic belief that humans can master the environment; or must humans can master the environment; or must be subjugated by the environment; or should be subjugated by the environment; or should attempt to harmonize with the environment?attempt to harmonize with the environment?

Managing Culture Managing Culture ChangeChange1.1. Conduct a culture auditConduct a culture audit2.2. Cultural assessment and need Cultural assessment and need

for changefor change3.3. Unfreeze the cultural patternUnfreeze the cultural pattern4.4. Elicit support from cultural eliteElicit support from cultural elite

– In most cases, senior managementIn most cases, senior management

5.5. Choose an intervention strategyChoose an intervention strategy6.6. Monitor and evaluateMonitor and evaluate

Maintaining Cultural Maintaining Cultural Values Values 1)Identify the Core Values of the Organization1)Identify the Core Values of the Organization

2)Describe the behaviors that reflect those 2)Describe the behaviors that reflect those valuesvalues

3)Teach the values and behaviors to members 3)Teach the values and behaviors to members of the organizationof the organization

4)Reward those who behave consistently with 4)Reward those who behave consistently with the valuesthe values

5)Identify and Discipline those who violate core 5)Identify and Discipline those who violate core values—Hot Stove Rulevalues—Hot Stove Rule

6) Hire those with similar values6) Hire those with similar values