Organizational Culture

1
Chapter 2

• Organizational Culture

2
Culture

• Is the values, beliefs, norms, artifacts, and
  heroes that characterize a society
• Is learned (Why is this significant?)
• How is it learned?
• Defines the boundaries of different groups, not
  necessarily national borders
• Is this a problem?

3
Culture

• Managers must understand national and
  organizational cultures
• Both affect how transactions are conducted
• Keys to leadership motivation of employees
• Does an international organization want a COMPANY
  CULTURE worldwide?
• Adaptation to new environments involves
• Learning new values and working within
  established norms, customs, and rituals !!!!
• Which gender does research indicate adapts to
  organizational cultures more quickly Men or
  Women?

4
Culture and Societal Value Systems

• Organizations operate efficiently only when
• Shared values exist among the employees (i.e.,
  strong culture)
• Culture that supports organizational goalsworker
  commitment
• What does a weak culture look like?
• Values (or ethics) are a societys ideas about
  what is right or wrong
• Passed along through education systems, religion,
  families, communities, organizations
• Do value systems vary across societies?

5
Hofstedes Cultural Dimensions
Time
6
Hofstedes Five Value Dimensions(1 of 2)
7
Hofstedes Five Value Dimensions(2 of 2)
8
Cultural Differences
9
Cultural Differences

• How would we determine the society that is most
  different from ours?
• Whats the implication?
• Using Hofstedes dimensions, suggest management
  problems that might occur when a US manager or
  representative deals with individuals with the
  opposite values.

10
Organizational Culture Defined

• Organizational Culture is defined by
• Values, Beliefs, Norms, Rituals, Attitudes, and
  Heroes
• Organizational Climate is the employees
  perceptions and can only be measured by surveys

11
Organizational Culture and Its Effects

• Because organizational culture involves shared
  expectations, values, and attitudes, it exerts
  influence on
• Individuals
• Groups
• Organizational processes
• This influence can be positive or negative, weak
  or strong
• Encourages stability (which is both good and bad)
• People resist cultural change

12
Creating a organizational culture

• VP for HR Policies
• Recruitment
• Selection
• Promotion
• Training
• Pay Benefits
• Evaluations
• Socialization
• Awards
• Surveys

Presidents Vision
Companys mission, objectives strategy
Employees
13
How do we change a culture?

• Why is it so difficult to change a culture?
• List actions to initiate a cultural change

14
Influencing Cultural Change

• Intervention Points
• Changing employee behavior
• Justifying the need for behavioral change
• Communicating to motivate new behaviors
• Socializing new employees
• Removing employees consistently deviating from
  the culture

15
Sustaining the Culture

• Socialization (more than a simple orientation
  program)
• The process by which organizations bring new
  employees into the culture
• A transmittal of values, assumptions, and
  attitudes
• Heroes and Goats

16
Cultural Diversity

• Workforce diversity issues
• Employees unfamiliarity with the English
  language
• Increased training for jobs that require verbal
  skills
• Cultural awareness training for the current
  workforce
• Learning which rewards are valued by different
  ethnic groups

17
Cultural Diversity

• Workforce diversity issues (continued)
• Developing career development programs that fit
  the skills, needs, values of the ethnic group
• Rewarding managers for effectively recruiting,
  hiring, and integrating a diverse workforce
• Focusing not only on ethnic diversity, but
  learning more about the diversities of age,
  gender, and disabilities