1. CORPORATE CULTURE
AND VALUES
Understanding the Theory and Design Design
of Organizations

2. Organization Culture
 What is culture?
 Theset of values, norms, guiding beliefs, and
understanding that is shared by members of
organization

4. Organization Culture
 Emergence and Purpose of Culture
 Provide people with a sense of organizational
identity and generates in them a commitment to
beliefs and values that are larger than themselves
 Internal Integration
 Members develop a collective identity
 Know how to work effectively
 External Integration
 How the organization meet goals and deals with
outsiders

5. Organization Culture
 Interpreting Culture
 Rites and ceremonies
 Stories and myths
 Symbols
 Organization structures
 Power relationship
 Control Systems

6. Organization Design and
Culture
 Managers want a corporate culture that
reinforces the strategy & structural design
 The organizational needs to be effective within
environment

7. Organization Design and
Culture
 The Adaptability Culture
 Characterized by strategic focus on the external
environment through flexibility and change to meet
customer needs
 The Mission Culture
 Characterized by emphasis on a clear vision of the
organization’s purpose and achievement goals
 The Clan Culture
 An important value is taking care of the employees
and making sure they have whatever they need to
help them satisfied as well as productive
 The Bureaucratic Culture
 Has an internal focus and consistency orientation for a
stable environment

8. Organization Design and
Culture
 Culture Strength and Organizational
Subcultures
 Culture strength refers to the degree of
agreement among member of an organization
about the importance of specific values
 Subulture develop to reflect the commong
problems, goals, and experiences that members
of a team share

9. Organizational
Culture, Learning, and
Performance
 Strong adaptive culture often incorporate :
 The whole is more important that the parts
 Equality and trust are primary values
 The culture encourages risk taking, change, and
improvement

10. Ethical Values and Social
Responsibility
 Sources of Individual Ethical Principles
 Ethicsrefers to the code of moral principles and
values that governs the behaviors of a person of
group with respect to what is right and wrong
 Managerial Ethics
 Principles
that guide the decisions and behaviors
of managers with regard to whether they are right
or wrong

12. Ethical Values and Social
Responsibility
 Corporate Social Responsibility ( CSR )
 An extension of the idea of managerial ethics and
refers to management’s obligation to make
choices and take action so that the organization
contributes to the welfare and interest of all
organizational stakeholders

13. How Leaders Shape Culture and
Ethics
 Value-Based Leadership
 A relationship beteween a leader and followers
that is based on shared, strongly internalized
values that are advocated and acted upon by
the leader.