ORGANISATIONAL CULTURE & CLIMATE

CONCEPT

Culture is the totality of beliefs,customs ,traditions & values

shared by the members of the organisation.

Culture is the set of important understanding that members of a community share in common

CHARECTERISTICS

Every culture have its own identity Culture defines the internal environment It differentiates one co from another Culture is relatively stable It is perceived by members It controls attitude,behavior & performance of

the employees

PERSPECTIVE

Culture creates the boundary beyond which no employees are permitted to go

Social recognition of the culture makes the co to grow & develop

Acts as motivator that guides employees Culture provides stability It gives rise to positive attitude & behavior It make people development oriented

ELEMENTS

Individual autonomy:The degree of responsibility,freedom that individuals have in the organisation

Structure:The degree to which organisation creates clear objectives,performance expectations & authority relationship

Management support:The degree that employees are provided support,assistance

Identity:Members identify themselves as a part of the organisation

Reward system:Reward system is based on performance rather than seniority

Risk tolerance: Employees are encouraged to be innovative,aggressive & risk taking

Conflict tolerance:The degree to which employees are encouraged to share conflict & criticisms only

Communication:Employees are restricted to formal hierarchy or authority

Outcome orientation:Management focuses on results rather than the techniques

People orientation:Management tend to focus on employee needs & demands

IMPLICATIONS OR PROCESS/MAINTAINING CULTURE

Selection of employees Actions of top management Socialization

Selection of employees

Careful selection-right person at the right job Interviewer should be trained enough to value

for company culture Selecting only those who match with the culture

Actions of top management

Culture is depending on them Their ideas are to be expressed through

culture It make them understand how mucha) Risk can be taken forb) Freedom should be given to subordinatesc) Wages or promotions or rewards should be

raised

Socialization

The adaptation of culture by the new entrants is called socialization

Important to make people aware about culture The process refersa) Pre-arrival Stage :b) Encounter Stage :c) Metamorphosis or Transformation Stage:

Pre-arrival Stage Some learning is done before a new entrants

join the enterprise They may have set of values,beliefs &

expectations Candidates should be made aware about

company norms & values

Encounter Stage: After joining,he may face ‘Reality shock’,may

be satisfied or not He may find gap between his expectations

with organisational expectation He requires orientation to overcome the

problem

Metamorphosis or Transformation Stage: Real change in the employee takes place He adjusts to his work group values,norms He starts to enjoy new company culture If he is not able to adapt new culture,it results

lack of commitment & low productivity & even turnover also

SOCIALISATION PROCESS

Pre-arrival Encounter Transformation

Productivity Commitment Turnover

ORGANISATIONAL CLIMATE

Set of charecteristics that describe an organisation & distinguishes one

from another & influences the behaviour of people in organisation

“Climate may be thought of as the perception of the characteristics of an organisation” -Joe Kelly

NATURE

Abstract & intangible concept Perceived aspect of internal culture Offers a distinct identity Total expression of what the organisation is It remains stable over time It’s a multi-dimensional concept

NEED OF A CULTURE

Influences satisfaction & performance through change in behaviour

Influences attitude through evaluation of self & others

Places constraints upon individual freedom of choice & decision making

ELEMENTS OF ORGANISATIONAL CLIMATE

Individual autonomy:The degree of responsibility,freedom that individuals have in the organisation

Structure:The degree to which organisation creates clear objectives,performance expectations & authority relationship

Reward system:Reward system is based on performance rather than seniority

Job satisfaction:Degree of happiness if jobs are designed that allow to implement workers creativity

Morale:High morale lead to atmosphere of cooperation whereas low morale leads to low productivity

Control:Control system may be either rigid or flexible that create formal or informal structure

FACTORS INFLUENCING ORGANISATIONAL CULTURE

• Organisational context:Mission,goals,objectives,functions etc• Organisational structure:Size,degree of

centralisation,operating procedure• Leadership process:Style,communication

decision making & related process• Physical environment::Employee safety,stress

etc• Values & norms:Conformity,loyalty,impersonality etc

ORIGIN OF CLIMATE

Managerial

Policies

Organisational

structure

Technology

External

Environment

Employee

charecteristics

Employee

performance

ORGANISATIONAL

CLIMATE