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ORGANIZATIONAL BEHAVIOR
W W W . P R E N H A L L . C O M / R O B B I N S
T E N T H E D I T I O N
Besides your textbook concepts, you
will also learn to:
1. Understand the role of organizational culture
2. Vision, mission ,values
3. Dominant, culture/sub-cultures
4. Merging cultures
5. Creativity and innovation in workplace
6. Organizational socialization
7. Keeping culture alive
L
E
A
R
N
I
N
G
O
B
J
E
C
T
I
V
E
S
The Basic Functions of Organizational Culture
Organizational
Culture/basic functions
Provides a
sense of
identity for
members
Enhances
commitment
to the
organization’s
mission
Clairifies
and
reinforces
standards
of behavior
Core Organizational Values
Reflected in Culture
•Sensitivity to needs of customers and employees
•Freedom to initiate new ideas
•Willingness to tolerate taking risks
•Openness to communication options
Organizational Culture
Today’s Mergers and Acquisitions: Will They be Tomorrow’s Culture Clashes?
This bank…
Citicorp
Bank America
Bank One
First Union
Merged with…
Travelers
Nations Bank
First Chicago NBD
Corestates
To become…
Citigroup
Bankamerica
Bank One
First Union
Components of Creativity
Skills in
the Task
Domain
Skills in
Creative
Thinking
Intrinsic
Motivation
Greatest
creativity
Skills in Innovation Management: A Careful Balancing Act
Goals
Linked to
corporate
mission
…but not
overly
specific
Reward Systems
Generously
and fairly
reward one’s
contributors
…but not so
specific as
to connect
everything to
money
Time Pressure
Sense
of
urgency
…but not
too urgent
The Process of Innovation
Stage 1
Setting
the
Agenda
Stage 2
Setting
the
Stage
Stage 3
Producing
the
Ideas
Stage 4
Testing and
Implementing
the Ideas
Stage 5
Outcome
Assessment
End
End
Success
Failure
Progress
Motivation
Individual
or Team
Productivity
Resources
Skills
Creating a Customer-Responsive Culture
 Key Variables Shaping Customer-Responsive
Cultures
1. The types of employees hired by the organization.
2. Low formalization: the freedom to meet customer
service requirements.
3. Empowering employees with decision-making
discretion to please the customer.
4. Good listening skills to understand customer
messages.
5. Role clarity that allows service employees to act as
“boundary spanners.”
6. Employees who engage in organizational citizenship
behaviors.
Creating An Ethical Organizational Culture
 Characteristics of Organizations that Develop
High Ethical Standards
– High tolerance for risk
– Low to moderate in aggressiveness
– Focus on means as well as outcomes
 Managerial Practices Promoting an Ethical
Culture
– Being a visible role model.
– Communicating ethical expectations.
– Providing ethical training.
– Visibly rewarding ethical acts and punishing unethical
ones.
What Is Organizational Culture?
Characteristics:
1. Innovation and risk
taking
2. Attention to detail
3. Outcome orientation
4. People orientation
5. Team orientation
6. Aggressiveness
7. Stability
Institutionalization: A Forerunner of Culture
What Is Organizational Culture? (cont’d)
What Is Organizational Culture? (cont’d)
 Culture Versus Formalization
– A strong culture increases behavioral consistency and
can act as a substitute for formalization.
 Organizational Culture Versus National Culture
– National culture has a greater impact on employees
than does their organization’s culture.
– Nationals selected to work for foreign companies may
be atypical of the local/native population.
What Do Cultures Do?
Culture’s Functions:
1. Defines the boundary between one
organization and others.
2. Conveys a sense of identity for its members.
3. Facilitates the generation of commitment to
something larger than self-interest.
4. Enhances the stability of the social system.
What Do Cultures Do?
Culture as a Liability:
1. Barrier to change
2. Barrier to diversity
3. Barrier to acquisitions and
mergers
Creating a Customer-Responsive Culture
Managerial Actions:
• Select new employees with personality and
attitudes consistent with high service
orientation.
• Train and socialize current employees to be
more customer focused.
• Change organizational structure to give
employees more control.
• Empower employees to make decision about
their jobs.
Keeping Culture Alive
 Selection
– Concerned with how well the candidates will fit into the
organization.
– Provides information to candidates about the
organization.
 Top Management
– Senior executives help establish behavioral norms that
are adopted by the organization.
 Socialization
– The process that helps new employees adapt to the
organization’s culture.
Stages in the Socialization Process
A Socialization Model
E X H I B I T 18-2
Entry Socialization Options
• Formal versus Informal
• Individual versus Collective
• Fixed versus Variable
• Serial versus Random
• Investiture versus Divestiture
E X H I B I T 18-3
How Organization Cultures Form
E X H I B I T 18-4
How Employees Learn Culture
• Stories
• Rituals
• Material Symbols
• Language
Creating a Customer-Responsive Culture
Managerial Actions (cont’d) :
• Lead by conveying a customer-focused vision
and demonstrating commitment to customers.
• Conduct performance appraisals based on
customer-focused employee behaviors.
• Provide ongoing recognition for employees who
make special efforts to please customers.
Spirituality and Organizational Culture
Characteristics:
• Strong sense of
purpose
• Focus on individual
development
• Trust and openness
• Employee
empowerment
• Toleration of employee
expression
How Organizational Cultures Have an Impact
on Performance and Satisfaction
E X H I B I T 18-7

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OB-culture-robbins-12.ppt

  • 1. ORGANIZATIONAL BEHAVIOR W W W . P R E N H A L L . C O M / R O B B I N S T E N T H E D I T I O N
  • 2. Besides your textbook concepts, you will also learn to: 1. Understand the role of organizational culture 2. Vision, mission ,values 3. Dominant, culture/sub-cultures 4. Merging cultures 5. Creativity and innovation in workplace 6. Organizational socialization 7. Keeping culture alive L E A R N I N G O B J E C T I V E S
  • 3. The Basic Functions of Organizational Culture Organizational Culture/basic functions Provides a sense of identity for members Enhances commitment to the organization’s mission Clairifies and reinforces standards of behavior
  • 4. Core Organizational Values Reflected in Culture •Sensitivity to needs of customers and employees •Freedom to initiate new ideas •Willingness to tolerate taking risks •Openness to communication options
  • 6. Today’s Mergers and Acquisitions: Will They be Tomorrow’s Culture Clashes? This bank… Citicorp Bank America Bank One First Union Merged with… Travelers Nations Bank First Chicago NBD Corestates To become… Citigroup Bankamerica Bank One First Union
  • 7. Components of Creativity Skills in the Task Domain Skills in Creative Thinking Intrinsic Motivation Greatest creativity
  • 8. Skills in Innovation Management: A Careful Balancing Act Goals Linked to corporate mission …but not overly specific Reward Systems Generously and fairly reward one’s contributors …but not so specific as to connect everything to money Time Pressure Sense of urgency …but not too urgent
  • 9. The Process of Innovation Stage 1 Setting the Agenda Stage 2 Setting the Stage Stage 3 Producing the Ideas Stage 4 Testing and Implementing the Ideas Stage 5 Outcome Assessment End End Success Failure Progress Motivation Individual or Team Productivity Resources Skills
  • 10. Creating a Customer-Responsive Culture  Key Variables Shaping Customer-Responsive Cultures 1. The types of employees hired by the organization. 2. Low formalization: the freedom to meet customer service requirements. 3. Empowering employees with decision-making discretion to please the customer. 4. Good listening skills to understand customer messages. 5. Role clarity that allows service employees to act as “boundary spanners.” 6. Employees who engage in organizational citizenship behaviors.
  • 11. Creating An Ethical Organizational Culture  Characteristics of Organizations that Develop High Ethical Standards – High tolerance for risk – Low to moderate in aggressiveness – Focus on means as well as outcomes  Managerial Practices Promoting an Ethical Culture – Being a visible role model. – Communicating ethical expectations. – Providing ethical training. – Visibly rewarding ethical acts and punishing unethical ones.
  • 12. What Is Organizational Culture? Characteristics: 1. Innovation and risk taking 2. Attention to detail 3. Outcome orientation 4. People orientation 5. Team orientation 6. Aggressiveness 7. Stability
  • 14. What Is Organizational Culture? (cont’d)
  • 15. What Is Organizational Culture? (cont’d)  Culture Versus Formalization – A strong culture increases behavioral consistency and can act as a substitute for formalization.  Organizational Culture Versus National Culture – National culture has a greater impact on employees than does their organization’s culture. – Nationals selected to work for foreign companies may be atypical of the local/native population.
  • 16. What Do Cultures Do? Culture’s Functions: 1. Defines the boundary between one organization and others. 2. Conveys a sense of identity for its members. 3. Facilitates the generation of commitment to something larger than self-interest. 4. Enhances the stability of the social system.
  • 17. What Do Cultures Do? Culture as a Liability: 1. Barrier to change 2. Barrier to diversity 3. Barrier to acquisitions and mergers
  • 18. Creating a Customer-Responsive Culture Managerial Actions: • Select new employees with personality and attitudes consistent with high service orientation. • Train and socialize current employees to be more customer focused. • Change organizational structure to give employees more control. • Empower employees to make decision about their jobs.
  • 19. Keeping Culture Alive  Selection – Concerned with how well the candidates will fit into the organization. – Provides information to candidates about the organization.  Top Management – Senior executives help establish behavioral norms that are adopted by the organization.  Socialization – The process that helps new employees adapt to the organization’s culture.
  • 20. Stages in the Socialization Process
  • 21. A Socialization Model E X H I B I T 18-2
  • 22. Entry Socialization Options • Formal versus Informal • Individual versus Collective • Fixed versus Variable • Serial versus Random • Investiture versus Divestiture E X H I B I T 18-3
  • 23. How Organization Cultures Form E X H I B I T 18-4
  • 24. How Employees Learn Culture • Stories • Rituals • Material Symbols • Language
  • 25. Creating a Customer-Responsive Culture Managerial Actions (cont’d) : • Lead by conveying a customer-focused vision and demonstrating commitment to customers. • Conduct performance appraisals based on customer-focused employee behaviors. • Provide ongoing recognition for employees who make special efforts to please customers.
  • 26. Spirituality and Organizational Culture Characteristics: • Strong sense of purpose • Focus on individual development • Trust and openness • Employee empowerment • Toleration of employee expression
  • 27. How Organizational Cultures Have an Impact on Performance and Satisfaction E X H I B I T 18-7