culture in Organisation

1. ORGANIZATIONAL
CULTURE
Prepared By
SHAMINI TV
ASSISTANT PROFESSOR
KERALA INSTITUTE OF COOPERATIVE MANAGEMENT
3/4/2022 KICMA OB 1

2. ORGANISATION :-
Asocial unit of people that is
structured and managed to meet a need or to
pursue collectivegoal.
In simple words, Different
individuals come together, form a group for a
collective purpose or objective.
3/4/2022 KICMA OB 2

3. CULTURE :-
Something made-up of the Beliefs,
Ideologies, Principles and Values of people
living in the society.
It determines the direction of the
‘Thinking and the Action’of the people…
3/4/2022 KICMA OB 3

4. ORGANISATIONAL CULTURE :-
It determines through the
organisation's Rituals, Beliefs, Values, Means,
Norms and Language.
As a result the culture of an
organisation is a sense of identify – ‘who we
are’, ‘what we stand for’and ‘what we do’.
In Short, Org. Culture is the way in
which ‘things are done in the organisation.’
3/4/2022 KICMA OB 4

5. Organizational culture
Organizational culture can be defined as the
norms, values, beliefs and assumptions practiced
in an organization.
It brings stability and control within the firm.
The organization is more stable and its objective
can be understood more clearly.
Organizational culture helps the group members
to resolve their differences, overcome the barriers
and also helps them in tackling risks.
3/4/2022 KICMA OB 5

6. Definition
 Culture is the unique dominant pattern of
shared beliefs, assumptions, values, and
norms that shape the socialization, symbols,
language and practices of a group of people.
 The attitudes and approaches that typify the
way staff carry out their tasks.
 Culture is developed and transmitted by
people, consciously and unconsciously, to
subsequent generations.
3/4/2022 KICMA OB 6

7. What must be for culture to
exist?
1. It must be shared by the vast majority of
members of a group or society;
2. It must be passed on from generation to
generation; and
3. It must shape behaviour and perceptions.
3/4/2022 KICMA OB 7

8. Innovation and Risk
Taking
Attention to Detail
Outcome Orientation
People Orientation
Team Orientation
Aggressiveness
Stability
3/4/2022 KICMA OB 8

9. Talent-attractor
Talent-retainer
Engages people
Creates energy and
m o m e n t u m
Changes the view of “work”
Creates greater synergy
Makes everyone m o r e
successful
3/4/2022 KICMA OB 9

10. Cultural iceberg
Observable
elements of
culture
Not observable
•Practices
•Language
•Symbols
•Norms
•Values
•Assumptions
3/4/2022 KICMA OB 10

11. Shared assumptions
 Shared assumptions are the thoughts and
feelings that members of a culture take for
granted and believe to be true.
3/4/2022 KICMA OB 11

12. Values and norms
 Values are the basic beliefs people hold that
specify general preferences and behaviours,
and define what is right and wrong.
 Cultural values are reflected in a society’s morals,
customs and established practices
 Norms are rules that govern behaviours of
groups of people.
3/4/2022 KICMA OB 12

13. Symbols
 A symbols is any visible object, act, or event
that conveys meaning to others. Examples:
 Artefacts
 Dress
 Office layout
 Slogans
 ceremonies
3/4/2022 KICMA OB 13

14. Language
 Language is a shared system of vocal sounds,
written signs, and/or gestures used to convey
meaning among members of a culture.
The Nike swoosh was inspired by the
Greek goddess Nike, the winged goddess
of victory. The swoosh symbolizes her
flight. It conveys the meaning of a brand of
sports shoes
3/4/2022 KICMA OB 14

15. Practices
 Practices are observable cultural customs
such as taboos (culturally forbidden
behaviours) and ceremonies
3/4/2022 KICMA OB 15

16. Socialization
 Socialization is the process by which people
lean valves, norms, behaviours and social
skills. It is the means by which new members
are brought into a culture.
3/4/2022 KICMA OB 16

17. Organisational culture
The culture of an organization represents certain
predefined policies which guide the employees and give
them a sense of direction at the workplace
The culture decides the way employees interact at their
workplace.
3/4/2022 KICMA OB 17

18. Culture Is a
Descriptive Term
Culture
• Organizational culture is
concerned with how
employees perceive an
organization’s culture, not
whether or not they like it
Job Satisfaction
• Measures affective
responses to the work
environment: concerned
with how employees feel
about the organization
3/4/2022 KICMA OB 18

19. Importance of Organisational
culture
The Culture decides the way
employees interact at their
workplace.
The organization culture brings
all the employees on a
common platform.
It is the culture of the
organization which extracts
the best out of each team
member
3/4/2022 KICMA OB 19

20. Importance(contd…)
The culture of the workplace also goes
a long way in promoting healthy
competition at the workplace.
The culture of an organization
represents certain predefined policies
which guide the employees and give
them a sense of direction at the
workplace
3/4/2022 KICMA OB 20

21. Culture and
perception
“One's own culture provides the "lens"
through which we view the world;
“In other words, culture iscentral to what we
see, how we make senseof what we see, and
howwe expressourselves.”
3/4/2022 KICMA OB 21

22. Types of organizational culture
 The basic types of organizational culture
are:
1. Bureaucratic
2. Clan
3. Market
4. Entrepreneurial
3/4/2022 KICMA OB 22

23. Bureaucratic Culture
 In this type of culture the behaviour of
employees is governed by formal rules and
standard operating procedures.
 Such a culture perpetuates stability.
 Organizations with bureaucratic culture tend to
produce standardized goods and services,
examples:
 Government ministries
 Fast food establishments
3/4/2022 KICMA OB 23

24. Clan Culture
 In a clan culture the behaviour of individuals are
shaped by tradition, loyalty, personal commitment,
extensive socialization and self-management.
 A clan culture achieve unity through socialization.
 Long-term employees serve as mentors
 Members are aware of the organization’s history
and have an understanding of the expected
manner of conduct and organizational style.
 Members share feelings of pride in membership.
 Peer pressure to adhere to important norms is
strong
3/4/2022 KICMA OB 24

25. Market Culture
 In a market culture, the values and norms reflect the
significance of achieving measurable and demanding goals
mainly concerning those that are financial and market based.
 Companies with a market culture tend to focus on:
 Sales growth
 Profitability
 Market share
 In a market culture the relationship between individuals and
the organization is contractual (previously agreed).
 Individuals are responsible for their performance; whereas
the organization promises specific rewards for levels of
performance.
 Managers are not judge on their effectiveness as role models
or mentors; but on monthly, quarterly, and annual
performance goals based on profit.
3/4/2022 KICMA OB 25

26. Entrepreneurial Culture
 Organizations
existing in the
context of an
entrepreneurial
culture are
characterized by high
levels of risk taking
and creativity.
 There is a
commitment to
experimentation,
innovation, and being
Steve Jobs – Apple
3/4/2022 KICMA OB 26

27. HANDY’s 4 Types of Organisational
Culture :-
1.A Power Culture – is one based on the
dominance of one or a small number of
individuals within an organisation. They
make the key decisions for the organisation.
2.A Role Culture– exists in large hierarchical
organisations in which individuals have clear
roles (jobs) to perform which are closely
specified.
3/4/2022 KICMA OB 27

28. A Task Culture – it exists when teams are
formed to complete particular tasks. A
different teams have distinct culture….
Which make it more creative.
3.A Person Culture – is the most
individualistic form of culture and exists
when individuals are fully allowed to express
themselves and make decisions for
themselves. It only exists in a very loose form
of organization.
3/4/2022 KICMA OB 28

29. New employees are not familiar with the
organizational culture and are potentially likely to
disturb the existing culture.
The process through which the employees
are proselytized about the customs and
traditions of the organization is known as
socialization.
It is the process of adaptation by which new
employees are to understand the basic values
and norms for b e c o m i n g „accepted‟
m e m b e r s of the organization.
3/4/2022 KICMA OB 29

30. Socialization is a process m a d e up of three
stages:
Pre-arrival - Allthe learning occurring before
a new m e m b e r joins.
Encounter - The new employee sees
what the organization is really like and
confronts the possibility that expectations
and reality may diverge.
Metamorphosis - The relatively long-lasting
changes take place. The new employee
masters the skills required for the job,
successfully performs the new roles, and
m a k e s the adjustments to the
work group‟s values and norms.
3/4/2022 KICMA OB 30

31. Relationship between culture and
organizational performance
 Organizational culture has the potential to
enhance organizational performance,
individual satisfaction, the sense of certainty
about how problems are to be handled.
 Culture serves as a control mechanism to
channel behaviour towards desired behaviours
and to prevent undesired behaviours.
3/4/2022 KICMA OB 31

32. Building a strong organizational
culture
1. A common behavioural style must be shared by
managers and employees.
2. Have the same basic approaches to solving
problems, meeting goals, and dealing with
stakeholders.
3. Have share common norms that guide rule
governing rewards and punishment.
4. A strong organizational culture assists in the
creation of a stable organization, the
consequence of which lead to the achievement
of the company’s strategic goals.
3/4/2022 KICMA OB 32

33. New employees are not familiar with the
organizational culture and are potentially likely to
disturb the existing culture.
The process through which the employees
are proselytized about the customs and
traditions of the organization is known as
socialization.
It is the process of adaptation by which new
employees are to understand the basic values
and norms for b e c o m i n g „accepted‟
m e m b e r s of the organization.
3/4/2022 KICMA OB 33

34. 3 Stages of Organizational
Socialization
3 stages /steps the socialization process in the
organization;
The Pre-Arrival Stage.
The Encounter Stage.
Metamorphosis.
3/4/2022 KICMA OB 34

35. The Pre-Arrival Stage
Part of the pre-arrival stage is the selection process, which is
used by the hiring company to hire people who can adequately
perform the job but also to select people who will fit well into the
culture of the company. The selection process provides the
organization with information about the candidate but also gives
the job-seeker information about the organization.
Candidates who find that their personal values do not match the
core values of the prospective company should disqualify
themselves from the selection process at this time.
3/4/2022 KICMA OB 35

36. The Encounter Stage
Once a candidate accepts a job offer, they enter
the encounter stage.
This stage is where the expectations of the new
employee meet the reality of the job. If the reality
of the new job is different than what the new
employee expected it to be, socialization methods
are used to orient the new employee to the
existing culture and to help them make sense of
the culture of their new organization
3/4/2022 KICMA OB 36

37. Metamorphosis
Finally, the new member must work out any
problems discovered during the encounter stage.
This may mean going through changes – hence,
we call this metamorphosis stage. The options
presented in the above figure are alternatives
designed to bring about the desired
metamorphosis.
Successful metamorphosis should have a positive
impact on the new employee’s productivity and
his commitment to the organization and reduce
his propensity to leave the organization.
3/4/2022 KICMA OB 37

38. 3/4/2022 KICMA OB 38

39. Outcomes of socialization
process
 Job satisfaction
 Role clarity
 High work
performance
 Understanding of
culture
 Commitment to
organization
 Internal values
 Job dissatisfaction
 Role ambiguity and
conflict
 Misunderstanding,
tension, and
perceived lack of
control
 Low job involvement
 Low performance
 Rejection of values
Successful socialization Unsuccessful socialization
3/4/2022 KICMA OB 39

40. Stories – Depicting the past events of the
organization. Som e organizations actually try to
m a n a g e this element of culture learning.
Rituals – Repetitive sequential activities
reinforcing the values of the organization.
Material Symbols – Conveying social
equality, desired organizational behavior, etc.
by the top m a n a g e m e n t .
Language – Acceptance and preservation of
culture.
3/4/2022 KICMA OB 40

41. Culture adapts to diverse circumstances.
Managers n e e d to understand the nature and
role of culture.
Managers must understand the
importance of culture for organizational
change.
Corporate culture also impacts the day-to-day
decision-making of the organization.
3/4/2022 KICMA OB 41

42. HCL INFOSYS
TCS WIPRO
Analysis of companies and their
unique corporate culture
3/4/2022 KICMA OB 42

43. HCL
FOUNDED
COMPRISES OF:
EMPLOYEES BASE
•IN 1976
•BY SHIV NADAR
•HCL TECHNOLOGY
•HCL INFOSYST
•83000 EMPLOYEES
•IN 31 COUNTRIES
3/4/2022 KICMA OB 43

44. HCL UNIQUE WORK
CULTURE
Innovative policy of "employees first and customer
second”.
Value centric work approach
Flexible timing, hence good work life balance
Good for fresher to start their career with
Low work pressure.
3/4/2022 KICMA OB 44

45. DRAWBACK OF COMPANY
CULTURE
Rigid departmentalization
Autocratic & task oriented management
Threat of job safety
Threat of job commitment
No acceptance of ideas from employees
Communication gap between departments
INFOSYS
FOUNDED
IN 1981
EMPLOYEES
1,33,560 EMPLOYEEES
IN 33 COUNTRIES
RECOGNISED AS
MOST ADMIRED INDIAN COMPANY: THE WALL STREET JOURNAL ASIA 200 survey every year since 2000
MOST INNOVATIVE COMPANIES IN FOBERS SURVEY
3/4/2022 KICMA OB 45

46. INFOSYS UNIQUE WORK CULTURE DRAWBACK OF COMPANY
CULTURE
Less hierarchicalstructure
Rigorous selection process
Transport
Maternity and paternity leave
Security and insurance
Dresscode
Communication
Events
Feedback
Reward system
Exam for employees
Socialresponsibility
3/4/2022 KICMA OB 46

47. TATA CONSULTANCY SERVICES
Global IT services ,business solution and outsourcing
Subsidiary of the Tata group conglomerate
Headquarter in Mumbai
2nd largest India-based provider of business process outsourcing services
142 offices in 47 countries
Generates around 20% of India it exports.
TCS UNIQUE WORK CULTURE DRAWBACK OF COMPANY WORK CULTURE
INDUCTION programme
Training and Development
Personal care
Job security
Periodic evaluation
Grievances cell
Employees satisfaction survey-DARPAN
Employees official site-ultimax.net
3/4/2022 KICMA OB 47

48. WIPRO
Founded in 1945 as western India vegetables product limited
Chairman Mr. Azim Hashan Premji
Employee base of 120000 in 70 countries
Worlds 1st PCMM Level softwarecompany
WIPRO CORE BUSINESS:
Wipro technologies
Wipro InfoTech
Wipro customer care & lighting
Wipro BPO
3/4/2022 KICMA OB 48

49. WIPRO’S UNIQUE WORK
CULTURE
Career personal growth
Feed back facility
Rewards
Personal care
DRAWBACK OF COMPANY WORK CULTURE
Low pay package
Strict adherence to rules & regulations
Existence of politics especially among middle management
Existence of bureaucracy in offshore projects.
3/4/2022 KICMA OB 49