Organizational culture refers to shared meanings and beliefs within an organization that act as social glue. It includes visible elements like stories and rituals as well as invisible elements below the surface like values and assumptions. Organizational climate describes the degree to which an organization supports employee individuality and creativity through incentives, trust, and opportunities for growth. Both influence employee motivation, performance, and satisfaction, but culture consists of deeper elements that are long-term and difficult to change.
2. What is Organizational Culture?
• A system of meaning shared by the
organization’s members
• Cultural values are collective beliefs,
assumptions, and feelings about what
things are good, normal, rational, valuable,
etc.
3. Culture’s Overall Function
• Culture is the social glue that
helps hold an organization
by providing
together
appropriate standards for
what employees should say
or do.
4. Elements of Organizational Culture
Visible
• Unconscious, taken-for-granted
perceptions or beliefs
• Mental models of ideals
Shared assumptions
• Conscious beliefs
• Evaluate what is good or bad, right or
wrong
Shared values
Artifacts
• Stories/legends
• Rituals/ceremonies
• Organizational language
• Physical structures/décor
Invisible
(below the surface)
5. The Culture Iceberg: 90% hidden
Values, beliefs,
norms, customs,
nonverbal behavior,
etc.
Level of
conscious
awareness
Observable
symbols, ceremonies
, slogans, stories, dr
ess, physical
settings, decoration,
etc.
Shorter,
easier to
change
Long term,
difficult to
change
6. WHAT IS ORGANIZATIONAL
CLIMATE?
• Organizational climate is the degree to which an organization
supports its employees in demonstrating their individuality and creativity
in their jobs.
• Organizational climate is affected by a number of factors:
1. Incentives, such as annual bonuses, special events, and gifts may have a positive
may have a positive impact on the organizational climate.
2. Another marker of a healthy organizational climate is if employees feel trusted, valued,
employees feel trusted, valued, heard, and involved.
7. Organizational climate is also improved when
organizations support employee growth through
professional development and career advancement.
9. Climate Debate
Organizational Climate is a relatively enduring quality of the
internal environment of an organization that
a. is experienced by its members
b. influences their behavior
c. can be described in terms of the values of a particular set
of characteristics of the organization
10. Elements of Climate
• Quality of Leadership
• Amount of Trust
• Communication, upward and downward
• Feeling of useful work
• Responsibility
• Fair rewards
• Reasonable job pressure
• Opportunity
• Reasonable controls, structure, and bureaucracy
• Employee involvement, participation.