Definition “refers to a system of shared meaning held by members that distinguishes the organization from other organizations” (Robbins et al., 2004). “an organization’s culture consists largely of what people believe about what works and what does not” (Wilkins & Patterson, 1985). “the traditions and beliefs of an organization that distinguish it from other organizations and infuse a certain life into the skeleton of its structure” (Mintzberg, 1989).
Dimensions (Robbins) Innovation and risk taking Attention to details Outcome orientation People orientation Team orientation Aggressiveness Stability
National culture andorganizational culture National culture and organizational culture are different phenomena; Although national culture may influence employee’s fundamental values and beliefs, organizational cultures may vary due to different practices and leadership styles. Dimensions used for organizational culture may differ from dimensions of national cultures.
Dominant culture andsubcultures A dominant culture expresses the core values that are shared by a majority of the organizations’ members. Subcultures are not dominant and are likely to be defined by department designations and geographical separation. According to Schein (1996), three subcultures may exist in companies, which may foster or hinder organizational learning.
Sub-cultures (Schein) Operational sub-culture: emphasis on human resources for improving services and products; Engineering sub-culture: emphasis on processes, systems, and technology in order to increase precision and efficiency; Top management sub-culture: emphasis on profit, political aspects of management, relationships with stakeholders.
Strength of organizational culture Organizational culture may be strong or weak. In a strong culture, the organization’s core values are both intensely held and widely shared.
Functions of organizational culture Conveys a sense of identity for organization members; Facilitate the generation of commitment to something larger than one’s individual self-interest; It enhances the stability of the social system; Provides employees with work values and standards and establishes norms; May foster or hinder organizational change; Facilitate communication; Influence innovation.
Antecedents of organizationalcultures Founders: vision, employee selection, role modeling; Performance evaluation criteria and processes; Training and development activities; Promotion procedures; Leadership style; Socialization; Codes of ethics.
How employees learn theirorganization’s culture Stories; Rituals; Material symbols; Language.
Reading Please read page 496 to 520 of the text book.