Week 6 - Organizational Culture and the Environment

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Week 6 - Organizational Culture and the
Environment
Principles of Management

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Organizational Culture

• Organizational Culture is a system of shared
  beliefs and values that develop within an
  organization and guide the behavior of its
  members
• The way we do things around here.
• Basic assumptions, values, norms
• Implications
• Culture is a perception.
• Culture is shared.
• Culture is descriptive.

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The OrganizationalCulture Context
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Dimensions of Org Culture
Exhibit 3.2
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Keeping Culture Alive

• Sources of Organizational Culture
• The organizations founder
• Vision and mission
• Past practices of the organization
• The way things have been done
• The behavior of top management
• Continuation of the Organizational Culture
• Recruitment of like-minded employees who fit
• Socialization of new employees to help them adapt
  to the culture

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Strong versus Weak Cultures

• Strong Cultures
• Are cultures in which key values are deeply held
  and widely held.
• Have a strong influence on organizational
  members.
• Factors Influencing the Strength of Culture
• Size of the organization
• Age of the organization
• Rate of employee turnover
• Strength of the original culture
• Clarity of cultural values and beliefs

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How Employees Learn Culture

• Stories - a narrative of significant events or
  people
• Rituals - repetitive sequences of activities
• Material symbols essential in creating an
• 
  organizations personality
• Language - unique terminology or jargon

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How Culture Affects Managers?

• Plan - degree of risk that plans should contain
• Organize - degree of autonomy given to
  employees
• Lead - degree of concern for employees, style
  of leadership
• Control - what criteria to use when evaluating
  performance

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Besides Organizational Culture
Managerial Discretion
Organizations Environment
Organizational Culture
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The External Environment
Global
Customers
Suppliers
Economic
Political
The Organization
Competitors
Public Pressure Groups
Demographic
Sociocultural
Technological
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Organizational Stakeholders
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The Current Issues

• Ethical culture
• Customer-responsive culture
• Workplace spirituality culture