3. •
•
•
Organizational culture is the set of values
that helps the organization’s employees
understand which actions are considered
acceptable and which are unacceptable.
It refers to some set of values held by
individuals in a firm.
Values help members of an organization
to understand how they should act.
4. Characteristics of Organizational
Culture
•
–
–
1.
2.
3.
4.
5.
6.
7.
Organizational Culture
A common perception held by the
organization’s members; a system of
shared meaning
Seven primary characteristics
Innovation and risk taking
Attention to detail
Outcome orientation
People orientation
Team orientation
Aggressiveness
Stability
E X H I B I T 17-1
16-4
7. •
•
•
If most employees have the same opinion
about the organization’s mission & values, the
culture is strong; if opinion vary widely the
culture is weak.
A strong culture should reduce employees
turnover, because it demonstrates high
agreement about what the organization
represents.
Such unanimity of purpose builds cohesiveness,
loyalty, & organizational commitment.
8. Strong Culture
•
•
•
•
A company with a strongculture provides clear
expectations for employees about their jobs,
behavior and dress.
There should also be a clear cut chain of command.
This type of atmosphere fosters a sense of wellbeing
in employees and helps them to work towards the
greater good of the company.
The only danger of a strong organizational culture is
concept called “group think” (group thinks so
similarly that they lose the ability to become
innovative and make poor decisions).
9. Weak Culture
•
•
•
•
•
A weak organizational culture is one in which employees
are not clear with what their goals are.
A weak culture is evident when most employees have
varied opinions about the organization’s mission and
values.
The company is disorganized and this requires extra
efforts and time to attain maximal unity of purpose.
Employees waste time spinning their wheels, because of
inability to focus on what’s important. Weak
organizational culture allows for increase in turnover of
employees because of a lack of corporate cohesiveness
and mission.
This spirals into low employee morale and employee
disengagement.
10. Models of Organisational Culture
- Handy
•
•
•
•
Charles Handy, a leading authority on
organisational culture, defined four different
kinds of culture
Power culture
– Role culture
– Task culture
– Person culture
22. Stages in the Socialization
Process
•
–
•
–
•
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Prearrival
The period of learning prior to a new employee joining
the organization
Encounter
When the new employee sees what the organization is
really like and confronts the possibility that expectations
and reality may diverge
Metamorphosis
When the new employee changes and adjusts to the
work, work group, and organization
16-22