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    36 views21 pages

    MG201 Ch14

    Uploaded by

    zuba zee
    mg201

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as ppt, pdf, or txt
    of 21

    Chapter 14

    Organisational
    Culture
    Organisational Culture Defined
    • The basic pattern of shared values and
    assumptions shared within the
    organisation
    • Defines what is important and
    unimportant
    • Company’s DNA—invisible, yet
    powerful template that shapes
    employee behaviour

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-2
    Elements of Organisational
    Culture
    Artifacts of
    organisational
    culture

    Organisational
    culture

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-3
    Content of Organisational
    Culture
    • The relative ordering of values
    – A few dominant values
    – Example: integrity, respect for all, attention to detail
    and accountability.
    • Problems measuring organisational culture
    – Oversimplifies diversity of possible values
    – Ignores shared assumptions
    – Adopts an ‘integration’ perspective
    • An organisation’s culture is fuzzy:
    – Diverse subcultures (‘fragmentation’)
    – Values exist within individuals, not work units

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-4
    Organisational Subcultures
    • Dominant culture—most widely shared
    values and assumptions
    • Subcultures
    – Located throughout the organisation
    – Can enhance or oppose (countercultures) firm’s
    dominant culture
    • Two functions of countercultures:
    – Provide surveillance and critique, ethics
    – Source of emerging values

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-5
    Artefacts of Organisational
    Culture

    • Observable symbols
    and signs of culture
    • Physical structures,
    ceremonies, language,
    stories
    • Maintain and transmit
    organisation’s culture

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-6
    Artefacts: Stories and Legends
    • Social prescriptions of desired (or
    dysfunctional) behaviour
    • Provides a realistic human side to
    expectations
    • Most effective stories and legends:
    – Describe real people
    – Assumed to be true
    – Known throughout the organisation
    – Are prescriptive

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-7
    Artefacts: Rituals and
    Ceremonies
    • Rituals
    – Programmed routines (e.g. how visitors are
    greeted)
    • Ceremonies
    – Planned activities for an audience (e.g. award
    ceremonies)

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-8
    Artefacts: Organisational
    Language

    • Words/phrases used to address people,


    describe customers, etc.
    • Also found in subcultures

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-9
    Artefacts: Physical Structures
    and Symbols
    • Building structure—may shape and reflect
    culture
    • Office design conveys cultural meaning
    – Furniture, office size, wall hangings

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-10
    Organisational Culture
    Strength
    • How widely and deeply employees hold the
    company’s dominant values and
    assumptions
    • Strong cultures exist when:
    – Most employees understand/embrace the
    dominant values
    – Values and assumptions are institutionalised
    through well-established artefacts
    – Culture is long lasting—often traced back to
    founder

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-11
    Functions of Strong Corporate
    Cultures

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-12
    Organisational Culture and
    Ethics
    • Ethical values become
    embedded in an
    organisation’s
    dominant culture
    • To create a more
    ethical organisation,
    leaders need to work
    on the embedded
    culture that steers
    employee behaviour

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-13
    Merging Cultures: Bicultural
    Audit
    • Part of due diligence in merger and
    minimises cultural collision by diagnosing
    companies
    • Three steps in bicultural audit:
    – Identify cultural artefacts
    – Analyse data for cultural conflict or compatibility
    – Identify strategies and action plans to bridge
    cultures

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-14
    Merging Organisational Cultures

    Acquired company embraces acquiring


    Assimilation firm’s cultural values

    Acquiring firm imposes its culture on


    Deculturation unwilling acquired firm

    Cultures combined into a new composite


    Integration culture

    Merging companies remain separate with


    Separation their own culture

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-15
    Changing/Strengthening
    Organisational Culture
    • Actions of founders/leaders
    – Organisational culture sometimes reflects the
    founder’s personality
    – Transformational leaders can reshape culture—
    organisational change practices
    • Aligning artefacts
    – Artefacts keep culture in place
    – e.g. create memorable events,
    communicating stories

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-16
    Changing/Strengthening
    Organisational Culture
    continued
    • Introducing culturally consistent rewards
    – Rewards are powerful artefacts—reinforce
    culturally-consistent behaviour

    • Attracting, selecting, socialising employees


    – Attraction-selection-attrition theory
    – Socialisation practices

    • Support workforce stability and communication

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-17
    Organisational Socialisation
    Defined

    The process by which individuals learn the


    values, expected behaviours and social
    knowledge necessary to assume their roles in
    the organisation

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-18
    Socialisation: Learning and
    Adjustment
    • Learning process
    – Newcomers make sense of the organisation’s
    physical, social and strategic/cultural dynamics
    • Adjustment process
    – Newcomers need to adapt to their new work
    environment
     New work roles
     New team norms
     Newcomers with diverse experience adjust
    better

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-19
    Stages of Socialisation

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-20
    Improving Organisational
    Socialisation
    • Realistic job preview (RJP)
    – A balance of positive and negative information
    about the job and work context
    • Socialisation agents
    – Supervisors: technical information, performance
    feedback, job duties
    – Co-workers: ideal when accessible, role models,
    tolerant and supportive

    Copyright © 2013 McGraw-Hill Australia Pty Ltd


    McShane, Olekalns, Travaglione, Organisational Behaviour, 4e 14-21

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