Chapter 3 Organisational culture. Learning objectives Define the term organisational culture...
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Transcript of Chapter 3 Organisational culture. Learning objectives Define the term organisational culture...
Chapter 3
Organisational culture
Learning objectives
• Define the term organisational culture• Identify the components of organisational
culture• What factors influence the company culture• Describe Schein’s approach to
organisational culture• Describe Handy’s four cultural types• Describe how organisational culture is
influenced by national cultures using the Hofstede approach
ORGANISATIONAL CULTURE
COMPONENTS INFLUENCES WRITERS
Definition of organisational culture
• ‘the way we do things around here.’ (Handy)
• Sum total of the belief, knowledge, attitudes, norms and customs that prevail in an organisation
Definition of organisational culture
• Organisations have distinctive cultures
• Behaviour acceptable in one organisational culture may be inappropriate in another
• Cultures develop over time or can change instantly as a result of a single major event (e.g. death of company founder, threatened takeover)
Components of culture
Factors that shape the culture
• Organisation’s founder• Organisation’s history• Leadership and management style• Organisation’s environment• Size• Technology• Diversity• Age• Ownership
More subtle influences
• Degree of individual initiative• Degree of risk tolerance• Clarity of direction• Degree of integration between groups• Reward system• Conflict tolerance• Communication patterns • Formalisation of clothing and office
layout• Kind of people employed
Writers of culture
• Schein
• Handy
• Hofstede
Schein
• First leaders of the company create the culture of the organisation, attributes for later leaders are determined by the culture
• Strong link between leadership and culture
• 3 levels:1. Artefacts – aspects of culture that can
easily be seen, e.g. the way people dress2. Espoused values – these refer to the
strategies and goals of the organisation, including company slogans
3. Basic assumptions – difficult to identify as they are unseen, and exist mainly at the unconscious level
Schein – 3 levels of culture
Handy
1. Power culture (Zeus)
2. Role culture (Apollo)
3. Task culture (Athena)
4. Person or existential culture (Dionysus)
Handy’s cultural Types
Hofstede
• Study of more than 100,000 employees in IBM in more than 40 countries
• How does national culture influence business behaviour?
Hofstede
1. Individualism vs. collectivism
2. Uncertainty avoidance
3. Power distance
4. Masculinity vs. femininity
5. Confucianism vs. dynamism (Time orientation)
Individualism-CollectivismPeru
Chile
Italy
Nigeria
India
US/Canada
Japan
Egypt
South Korea
France
PR China
Portugal
IndonesiaHong Kong
Taiwan
Col
lect
ivis
mHigh
Low
Individualism HighLow
Australia
Hungary
NewZealand
Power Distance
The degree that people accept an unequal distribution of power in society.
JapanJapan
IsraelIsraelN.Z.N.Z.
VenezuelaVenezuela
High Power DistanceMalaysiaMalaysia
Low Power Distance
U.S.U.S.
Uncertainty AvoidanceHigh U.A.
Low U.A.
JapanJapanGreeceGreece
AustraliaAustralia
The degree that people tolerate ambiguity (low) or feel threatened by ambiguity and uncertainty (high uncertainty avoidance).
ItalyItaly
SingaporeSingapore
Achievement-NurturingAchievement
Nurturing
JapanJapan
AustraliaAustralia
SwedenSweden
The degree that people value assertiveness, competitiveness and materialism (achievement) versus relationships and well-being of others (nurturing).
ChinaChina
ChileChile
FranceFrance
Hofstede’s Framework (cont’d)
Chapter Summary
ORGANISATIONAL CULTURE
COMPONENTS INFLUENCES WRITERS
•Norms•Symbols•Shared values
•Size•Technology•Age•History•Ownership
•Schein•Handy•Hofstede
Chapter 5
Individual and group behaviour in business organisations
Learning objectives
• Define the term behaviour• Explain what factors influence the way
individuals act• Describe the characteristics of passive,
aggressive and assertive behaviour• Give reasons why working in teams is more
effective than working as an individual• Outline the contribution teams make to the
organisational success• What factors are required in order to make a
cohesive group?• Distinguish between different approaches
necessary to organise work around and individual and around the work group
BEHAVIOUR
PASSIVE
AGGRESSIVE
INDIVIDUAL
ASSERTIVE
GROUP
Main characteristics of individual and group behaviour
CAUSE (STIMULUS)
PERSON’S NEED, WANT, TENSION, DISCOMFORT
GOAL
BEHAVIOUR
Factors affecting behaviour and performance at work
• Motivation level
• Perception
• Attitudes
• Personality
• Intelligence
Motivation
• Physical and working conditions• Safety• Monetary rewards• Recognition• Many of the factors that motivate
individuals to perform are social in nature; groups can bring out the best in people and can be essential for the delivery of social needs.
Perception
• Developing a group means identifying distinct roles for each of its members.
• Any individual can have several roles.
• A role is the expected pattern of behaviours associated with members occupying a particular position within the structure of the organisation.
Role theory
• Role ambiguity
• Role conflict
• Role incompatibility
• Role signs
• Role set
• Role behaviour
Different types of behaviour
• Assertive behaviour
• Aggressive behaviour
• Passive behaviour
Chapter 6
Team formation, development and management
Learning objectives
• Explain what is meant by a group• Explain what is meant by a team• Distinguish between a group and a team• What is the purpose of the team• Explain the different roles people play in a
team with reference to Belbin’s theory• Explain the stages of team development as
per Tuckman’s theory• What factors make a team ineffective• Identify the criteria necessary for a
successful team as per Peters and Waterman
• What criteria is used to evaluate team’s success
BEHAVIOUR
BELBIN
TUCKMAN
GROUP
PETERS & WATERMAN
TEAM
Differences between a group and a team
• Group is any collection of people who perceive themselves to be a group.
• Groups have the following attributes:• A sense of identity (there are
acknowledged boundaries of the group, who is in and who is out)
• Loyalty to the group (acceptance within the group that bind the group together)
• Purpose and leadership (express purpose, choose individuals to lead them towards their goals)
Differences between a group and a team
• Practically all individual effort takes place in association with other people in groups
• Formal vs. informal groups
Teams
• Any group of people who must significantly relate with each other in order to accomplish shared objectives
• Team is a formal group• It has a leader and a distinctive culture
and is geared towards a final result.• Teams must have a reason for working
together. They must need each other’s skills, talent and experience in order to achieve their mutual goals.
• Purpose of a team is to solve complex problems (diverse team of specialists & synergy)
Teams
• Share a common goal• Enjoy working together• Commitment to achieve goals• Diverse individuals• Loyalty to the project• Attain a team spirit
Characteristics of effective teams
Teams vs. groups
Teams Groups
More openness & trust
Feelings are expressed more feely
Common objectives
Conflict is worked out
Decisions are by consensus
Commitment can be very high
People accommodate each other
People negotiate
Objectives may be modified
Commitment can be high
Effective teamwork (Woodcock)
• Rights balance of skills, ability and aspiration
• Mistakes are faced openly and there is no ‘scape-goating’
• There is pride in success, support and trust in personal relationships
• There is a high level of task achievement
• Openness and honesty is present• There is healthy competition• There is a happy feel to the place and
good relationships with other departments
Who should belong to the team?
• Team members should be selected for their potential to contribute to getting things done (task performance) and establishing good working relationships (group maintenance):• Specialist skills• Power in the wider organisation• Access to resources• Personalities and goals of the
individual members of the team
Belbin: Theory of group rolesLeader
Shaper
Plant
Monitor-evaluator
Resource-investigator
Company worker
Team worker
Finisher
Expert
Coordinator
Promotes activity – dominant, extrovert
Thoughtful and thought provoking, ideas person
Criticises others’ ideas, brings the team down to earth
Extrovert, networker, looks for alternative solutions
Administrator, organiser
Concerned with relationships
Progress chaser
As required by the project
Tuckman: Stages of group development
1. Forming Awareness
2. Storming Conflict
3. Norming Co-operation
4. Performing Productivity
5. Dorming Adjournment
Forming: Members join and begin the process of defining the group’s purpose, structure, and leadership
Storming: Intragroup conflict occurs as individuals resist control by the group and disagree over leadership.
Norming: Close relationships develop as the group becomes cohesive and establishes its norms for acceptable behaviour
Performing: A fully functional group structure allows the group to focus on performing the task at hand
Adjourning: The group prepares to disband and is no longer concerned with high levels of performance
Blockages to an effective team
• Inappropriate leadership• Unqualified membership• Unconstructive climate• Unclear objectives• Poor achievement• Ineffective work methods• Insufficient openness and confrontation• Undeveloped individuals• Low creative capacity• Unconstructive relationships between
team members
Peters & Waterman: 5 key aspects of successful task-force teams
1. Small number of members
2. Limited duration of the team
3. Voluntary membership
4. Informal communication
5. Action-oriented
How to make a cohesive group
• Leadership• Right mix of skills• Clear objectives and commitment to
shared goals• Team identity• Team solidarity
Contribution of individuals and teams to organisational success
• One person cannot do everything, but a team can combine all the main areas of skill and knowledge that are needed for a particular job.
• SynergyDescribes the phenomenon in which the combined activity of separate entities has a greater effect than the sum of the activities of each entity working alone
2 + 2 = 5
Advantages of cohesive groups
• Improved teamwork and problem solving
• Greater creativity• Provide support for individuals within
the group improved communication through participation
• Satisfaction of social needs• Provides a forum for conflict resolution
Cohesive groups
• Atmosphere• Participation• Commitment• Communication• Leadership• Progress
Improving team effectiveness – Evaluation
• Effectiveness – degree to which objectives are achieved
• Efficiency – use of resources in achieving the objectives
• Team member satisfaction – motivational climate
• Use of • Observation• Interviews• Questionnaires
Rewarding effective teams
• Make use of team-based reward to encourage co-operation and mutual accountability.
• Recognise the team, rather than individual success.
• Profit sharing schemes• Gain sharing schemes• Employee share options
Chapter summary
BEHAVIOUR
BELBIN
TUCKMAN
GROUP
PETERS & WATERMAN
TEAM
Group roles: Leader, shaper, plant, monitor/evaluator, resource investigator, company worker, team worker, finisher, expert
Stages of development: forming, storming, norming, performing, dorming
Stages of development: forming, storming, norming, performing, dorming
Key aspects of successful teams: small, limited duration, membership voluntary, informal unstructured, action-oriented