This presentation discusses about organization culture and environment in Principles of Management

1. ORGANIZATION CULTURE AND
ENVIRONMENT
R.ArunKumar,AP/Mech,RIT

2. MANAGER – OMNIPOTENT OR SYMBOLIC?
Omnipotent:
 Managers are directly responsible for an organization’s success
or failure.
 The quality of the organization is determined by the quality
of its managers.
R.ArunKumar,AP/Mech,RIT

3. MANAGER – OMNIPOTENT OR SYMBOLIC?
Symbolic:
 Managers are not directly responsible for an organization’s
success or failure. Much losses are due to external factors.
 The ability of managers to affect outcomes is influenced and
constrained by external factors.
R.ArunKumar,AP/Mech,RIT

4.  In reality, managers are neither all powerful nor helpless.
 Their decisions and actions are constrained.
 Internal constrains comes from the organization’s culture and the
external constrains comes from the organization’s environment.
R.ArunKumar,AP/Mech,RIT

5. ORGANIZATION CULTURE:
 Organizational culture is described as the shared values,
principles, traditions, and ways of doing things that
influence the way organizational members act.
 “The way we do things around here.”
R.ArunKumar,AP/Mech,RIT

6. Seven dimensions / characters:
R.ArunKumar,AP/Mech,RIT

7. Source of organization culture:
 Vision and mission of the founder/organization.
 Past practices of the organization.
 Behaviour of the top management.
 Socialization of new employees to adapt to the culture.
R.ArunKumar,AP/Mech,RIT

8. R.ArunKumar,AP/Mech,RIT

9. R.ArunKumar,AP/Mech,RIT

10. Sources to learn culture:
 Stories – Narratives of significant events
 Rituals – Repetitive sequence of activities (annual meet rewards)
 Material symbols – Facilities and freedom to the employees
 Language – Acronyms (PFA, ASAP, ROFL)
R.ArunKumar,AP/Mech,RIT

11. Functions of the culture:
 Distinguishes one organization from other.
 Conveys a sense of identity to all employees.
 Facilitates commitment towards organization interest.
 Enhances the stability of the system.
 Control mechanism that shapes and guide the attitudes and
behaviour of employees.
R.ArunKumar,AP/Mech,RIT

12. ORGANIZATION ENVIROMENT:
 The events that occur which affects the way a business
operates, in either positive or negative way.
 There are two different types of factors.
a) Internal environment b) External environment
R.ArunKumar,AP/Mech,RIT

13. Internal Environment factors:
 Management
 Organization structures
 Employees
 Organizational cultural change
 Financial changes
R.ArunKumar,AP/Mech,RIT

14. External Environment factors:
a) Macro / general environment b) Micro / task environment
R.ArunKumar,AP/Mech,RIT

15. Macro / general Environment:
 Technology
 Economic conditions
 Political factors
 Socio cultural factors
Micro / task Environment
 Suppliers
 Competitors
 Customers
R.ArunKumar,AP/Mech,RIT