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ORG CULTURE.ppt
1.
ORGANIZATIONAL BEHAVIOR
2.
© 2003 Prentice
Hall Inc. All rights reserved. 18–2 AFTER STUDYING THIS CHAPTER, YOU SHOULD BE ABLE TO: 1. Describe institutionalization and its relationship to organizational culture. 2. Define the common characteristics making up organizational culture. 3. Contrast strong and weak cultures. 4. Identify the functional and dysfunctional effects of organizational culture on people and the organization. 5. Explain the factors determining an organization’s culture. L E A R N I N G O B J E C T I V E S
3.
© 2003 Prentice
Hall Inc. All rights reserved. 18–3 AFTER STUDYING THIS CHAPTER, YOU SHOULD BE ABLE TO: 6. List the factors that maintain an organization’s culture. 7. Clarify how culture is transmitted to employees. 8. Outline the various socialization alternatives available to management. 9. Describe a customer-responsive culture. 10. Identify characteristics of a spiritual culture. L E A R N I N G O B J E C T I V E S (cont’d)
4.
© 2003 Prentice
Hall Inc. All rights reserved. 18–4 Institutionalization: A Forerunner of Culture
5.
© 2003 Prentice
Hall Inc. All rights reserved. 18–5 What Is Organizational Culture? An organization's culture defines the proper way to behave within the organization. This culture consists of shared beliefs and values established by leaders and then communicated and reinforced through various methods, ultimately shaping employee perceptions, behaviors and understanding. Organizational culture sets the context for everything an enterprise does. Because industries and situations vary significantly, there is not a one-size-fits-all culture template that meets the needs of all organizations.
6.
© 2003 Prentice
Hall Inc. All rights reserved. 18–6 What Is Organizational Culture? (cont’d)
7.
© 2003 Prentice
Hall Inc. All rights reserved. 18–7 What Is Organizational Culture? (cont’d)
8.
© 2003 Prentice
Hall Inc. All rights reserved. 18–8 What Is Organizational Culture? (cont’d) Culture Versus Formalization – A strong culture increases behavioral consistency and can act as a substitute for formalization. Organizational Culture Versus National Culture – National culture has a greater impact on employees than does their organization’s culture. – Nationals selected to work for foreign companies may be atypical of the local/native population.
9.
Why Culture? Culture
is the key to a successful organization. It should be based on a strong and widely shared set of beliefs that are supported by strategy and structure. When an organization has a strong culture, three things happen: 1. Employees know how top management wants them to respond to any situation, 2. employees believe that the expected response is the proper one, and 3. employees know that they will be rewarded for demonstrating the organization's values. © 2003 Prentice Hall Inc. All rights reserved. 18–9
10.
Role of HR
in maintaining culture. HR has a vital role in perpetuating a strong culture, starting with recruiting and selecting applicants who will share the organization's beliefs and thrive in that culture. HR also develops orientation, training and performance management programs that outline and reinforce the organization's core values and ensures that appropriate rewards and recognition go to employees who truly embody the values. © 2003 Prentice Hall Inc. All rights reserved. 18–10
11.
Role of HR
in maintaining culture continue… HR has been described as the "caretaker" of organizational culture. In carrying out this essential role, all members of the HR team should help build and manage a strong culture by: Being a role model for the organization's beliefs. Reinforcing organizational values. Ensuring that organizational ethics are defined, understood and practiced. Enabling two-way communications and feedback channels. Defining roles, responsibilities and accountabilities. Providing continuous learning and training. Sustaining reward and recognition systems. Encouraging empowerment and teams. Promoting a customer-supplier work environment. Recognizing and solving individual and organizational problems and issues. © 2003 Prentice Hall Inc. All rights reserved. 18–11
12.
Characteristics of cultural
presence. © 2003 Prentice Hall Inc. All rights reserved. 18–12 Characteristics: 1. Innovation and risk taking 2. Attention to detail 3. Outcome orientation 4. People orientation 5. Team orientation 6. Aggressiveness 7. Stability Example of great organizational culture: https://www.entrepreneur.com/article/2 49174 1. Zappos hires according to cultural fit first and foremost. This promotes the culture and happy employees, which ultimately leads to happy customers. 2. Warby Parker has made company culture deliberate by creating a dedicated team tasked with coming up with events and programs to promote community. Great company culture doesn’t happen on its own.
13.
Examples of Strong
cultures © 2003 Prentice Hall Inc. All rights reserved. 18–13 3. Southwest Airlines: has managed to communicate its goals and vision to employees in a way that makes them a part of a unified team. Southwest also gives employees “permission” to go that extra mile to make customers happy, empowering them to do what they need to do to meet that vision. 4. Twitter Employees of Twitter boast about the company’s culture. Rooftop meetings, friendly coworkers and a team-oriented environment in which each person is motivated by the company’s goals have inspired that praise. 5. Google has been synonymous with culture for years, and sets the tone for many of the perks and benefits startups are now known for. Free meals, employee trips and parties, financial bonuses, open presentations by high-level executives, gyms, a dog-friendly environment and so on. Googlers are known to be driven, talented and among the best of the best.
14.
© 2003 Prentice
Hall Inc. All rights reserved. 18–14 What Do Cultures Do? Culture’s Functions: 1. Defines the boundary between one organization and others. 2. Conveys a sense of identity for its members. 3. Facilitates the generation of commitment to something larger than self-interest. 4. Enhances the stability of the social system.
15.
© 2003 Prentice
Hall Inc. All rights reserved. 18–15 What Do Cultures Do? Culture as a Liability: 1. Barrier to change 2. Barrier to diversity 3. Barrier to acquisitions and mergers
16.
© 2003 Prentice
Hall Inc. All rights reserved. 18–16 Keeping Culture Alive Selection – Concerned with how well the candidates will fit into the organization. – Provides information to candidates about the organization. Top Management – Senior executives help establish behavioral norms that are adopted by the organization. Socialization – The process that helps new employees adapt to the organization’s culture.
17.
© 2003 Prentice
Hall Inc. All rights reserved. 18–17 Stages in the Socialization Process
18.
© 2003 Prentice
Hall Inc. All rights reserved. 18–18 A Socialization Model E X H I B I T 18-2
19.
© 2003 Prentice
Hall Inc. All rights reserved. 18–19 Entry Socialization Options • Formal versus Informal • Individual versus Collective • Fixed versus Variable • Serial versus Random • Investiture versus Divestiture Read more about it on: https://www.citeman.com/4543-entry-socialization- options.html E X H I B I T 18-3
20.
© 2003 Prentice
Hall Inc. All rights reserved. 18–20 How Organization Cultures Form E X H I B I T 18-4
21.
© 2003 Prentice
Hall Inc. All rights reserved. 18–21 How Employees Learn Culture • Stories • Rituals • Material Symbols • Language
22.
© 2003 Prentice
Hall Inc. All rights reserved. 18–22 Creating An Ethical Organizational Culture Characteristics of Organizations that Develop High Ethical Standards – High tolerance for risk – Low to moderate in aggressiveness – Focus on means as well as outcomes Managerial Practices Promoting an Ethical Culture – Being a visible role model. – Communicating ethical expectations. – Providing ethical training. – Visibly rewarding ethical acts and punishing unethical ones.
23.
© 2003 Prentice
Hall Inc. All rights reserved. 18–23 Creating a Customer-Responsive Culture Key Variables Shaping Customer-Responsive Cultures 1. The types of employees hired by the organization. 2. Low formalization: the freedom to meet customer service requirements. 3. Empowering employees with decision-making discretion to please the customer. 4. Good listening skills to understand customer messages. 5. Role clarity that allows service employees to act as “boundary spanners.” 6. Employees who engage in organizational citizenship behaviors.
24.
© 2003 Prentice
Hall Inc. All rights reserved. 18–24 Creating a Customer-Responsive Culture Managerial Actions: • Select new employees with personality and attitudes consistent with high service orientation. • Train and socialize current employees to be more customer focused. • Change organizational structure to give employees more control. • Empower employees to make decision about their jobs.
25.
© 2003 Prentice
Hall Inc. All rights reserved. 18–25 Creating a Customer-Responsive Culture Managerial Actions (cont’d) : • Lead by conveying a customer-focused vision and demonstrating commitment to customers. • Conduct performance appraisals based on customer-focused employee behaviors. • Provide ongoing recognition for employees who make special efforts to please customers.
26.
© 2003 Prentice
Hall Inc. All rights reserved. 18–26 Spirituality and Organizational Culture Characteristics: • Strong sense of purpose • Focus on individual development • Trust and openness • Employee empowerment • Toleration of employee expression
27.
© 2003 Prentice
Hall Inc. All rights reserved. 18–27 How Organizational Cultures Have an Impact on Performance and Satisfaction E X H I B I T 18-7
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