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Culture & change

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Culture & change

  1. 1. Personality of the organization. <br />Comprised of the assumptions, values, norms and tangible signs of organization members and their behaviors.<br />Difficult to express distinctly, but everyone knows it when they sense it<br />Particularly important when attempting to manage organization-wide change<br />Organizational Culture<br />
  2. 2. Importance:<br />Organizational change failure is credited to lack of understanding about the strong role of culture and the role it plays in organizations.<br /> That's one of the reasons that many strategic planners now place as much emphasis on identifying strategic values as they do mission and vision.<br />
  3. 3. Levels of Corporate Culture<br />Visible Culture<br />Expressed values<br />Core Values<br />
  4. 4. Functions performed by organizational culture:<br />Employee Self-Management<br />Sense of shared identity<br />Generation of commitment<br />Stability<br />Sense of continuity<br />Satisfies need for predictability, security, and comfort<br />
  5. 5. Functions performed by organizational culture: (continued)<br />Socialization<br />Internalizing or taking organizational values as one’s own<br />Implementation Support of the Organization’s Strategy<br />If strategy and culture reinforce each other, employees find it natural to be committed to the strategy<br />
  6. 6. Stages of the Socialization Process<br />Pre-arrival<br />Encounter<br />Metamorphosis<br />
  7. 7. Creating and Sustaining Organizational Culture<br />Company Rituals and Ceremonies<br />Cultural Symbols<br />Company Heroes<br />Stories<br />Language<br />Organizational Policies and Decision Making<br />Leadership<br />
  8. 8. Aspects of organizational culture<br />Cultural Uniformity versus Heterogeneity<br />Strong versus Weak Cultures<br />Culture versus Formalization<br />National versus Organizational Culture<br />Organizational Fit<br />Baseball team culture<br />Club culture<br />Academy culture<br />Fortress culture<br />
  9. 9. Types of Culture : -<br />There are different types of culture just like <br />there are different types of personality<br />Academy Culture (highly skilled and tend to stay in the organization) Eg :universities, hospitals, large corporations, etc<br />Baseball Team Culture (Employees are "free agents" who have highly prized skills,high demands)Eg : Investment banking, advertising, etc.<br />
  10. 10. Club Culture (Requirement for employees in this culture is to fit into the group)Eg : Military, some law firms, etc<br />Fortress Culture (Employees don't know if they'll be laid off or not. These organizations often undergo massive reorganization) Eg : savings and loans, large car companies, etc.<br />
  11. 11. Organizational Change<br />Organization culture can facilitate or inhibit change in an organization.<br />A firm attempts to change organizational culture because the current culture hinders the attainment of corporate goals.<br />Environmental and internal forces can stimulate the need for organization change.<br />
  12. 12. Forces for Change: Environmental Forces<br />Put pressure on how a firm conducts its business and its relationships with customers, suppliers, and employees.<br />Environmental forces include:<br />Technology<br />Market forces<br />Political and regulatory forces<br />Social trends<br />
  13. 13. Forces for Change: Internal Forces<br />Come from decisions made within the company.<br />May originate with top executives and managers and travel in a top-down direction.<br />May originate with front-line employees or labor unions and travel in a bottom-up direction.<br />
  14. 14. Resistance to Change<br />Self-Interest<br />Lack of Trust and Understanding<br />Cultures that Value Tradition<br />Different Perspectives and Goals<br />Uncertainty<br />
  15. 15. 6/28/2011<br />Murlidhar Puthran<br />15<br />Overcoming Resistance to Change<br />Education and communication<br />Participation and involvement<br />Facilitation and support<br />Negotiation and agreement<br />
  16. 16. Models of Organizational Change<br />Lewin’s three-step model<br />
  17. 17. Lewin’s Three-Step Model of Organizational Change<br />Unfreezing<br />Moving<br />Refreezing<br />
  18. 18. 18<br />Implementing Change<br />Unfreezing: getting ready for change<br />Moving: making the change<br />Refreezing: stabilizing the change<br />
  19. 19. Implementing Organizational Change<br />Top-down Change<br />Change Agents<br />Bottom-up Change<br />
  20. 20. Change agents should take the following steps to obtain a successful change outcome:<br />Establish a sense of urgency.<br />Form a powerful coalition of supporters of change.<br />Create a vision of change.<br />Communicate the vision of change.<br />Empower others to act on the vision.<br />Plan and create short-term wins.<br />Consolidate improvements and produce still more change.<br />Institutionalize new approaches.<br />
  21. 21. Tactics for Introducing Change<br />Communication and Education<br />Employee Involvement<br />Negotiation<br />Coercion<br />Top-Management Support<br />
  22. 22. Applications of Management Perspectives:For the Manager<br />Certain types of changes routinely provoke strong employee resistance:<br />Changes that affect skill requirements.<br />Changes that represent economic or status loss.<br />Changes that involve disruption of social relationships.<br />By being aware of the sources of resistance, managers can better apply tactics to make the changes more palatable for employees.<br />
  23. 23. Applications of Management Perspectives:For Managing Teams<br />Teams can help test the waters for a proposed change.<br />Various employee teams can serve as focus groups in order to find ways to make a change in policy more acceptable to employees.<br />
  24. 24. Applications of Management Perspectives:For Individuals<br />Learning the specifics about the company culture can help you determine your fit with the organization and the possibility of succeeding.<br />Ask questions and gather information during the recruiting process to get a handle on the company culture and assess whether you will function comfortably in it.<br />

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