Date post: | 06-May-2015 |
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ORGANIZATIONAL CULTURE AND CLIMATE
By:M. Chakrapani (22017)
M. Vennela (22018)Venkatesh (22020)
Niranjan Nahak (22021)P. Sai Anusha (22022)V. Aishwarya (22023)
P. Nithin Reddy (22024)
What is Organizational Culture?
• A system of meaning shared by the organization’s members
• Cultural values are collective beliefs, assumptions, and feelings about what things are good, normal, rational, valuable, etc.
Culture’s Overall Function
• Culture is the social glue that helps hold an organization together by providing appropriate standards for what employees should say or do.
Elements of Organizational Culture
Visible
• Unconscious, taken-for-granted perceptions or beliefs
• Mental models of ideals
Shared assumptions
• Conscious beliefs• Evaluate what is good or bad, right or
wrong
Shared values
ArtifactsArtifacts
• Stories/legends• Rituals/ceremonies• Organizational language• Physical structures/décor
• Stories/legends• Rituals/ceremonies• Organizational language• Physical structures/décor
Invisible(below the surface)
How EmployeesLearn Culture/
How it is “reinforced”
How EmployeesLearn Culture/
How it is “reinforced”
MaterialSymbolsMaterialSymbols
LanguageLanguage
StoriesStories RitualsRituals
How OrganizationalCultures Form
Philosophyof the
Organization’sFounders
Philosophyof the
Organization’sFounders
OrganizationalCulture
OrganizationalCultureSelectionSelection
TopManagement
TopManagement
SocializationSocialization
The Culture Iceberg: 90% hidden
Values, beliefs, norms, customs, nonverbal behavior, etc.
Level of conscious awareness
Observable symbols, ceremonies, slogans, stories, dress, physical settings, decoration, etc.
Shorter, easier to change
Long term, difficult to
change
Do Organizations Have Uniform Cultures
Do Organizations Have Uniform Cultures
CoreValues
SubculturesDominantCulture
Benefits of Strong Corporate Cultures
StrongOrganizational
Culture
SocialControl
ImprovesSense-Making
SocialGlue
Contingencies of Org Culture & Performance
Strong organizational cultures do not always result in higher organizational performance because:
1. Culture content might be misaligned with the organization’s environment.
2. Strong cultures may focus on mental models that could be limiting
3. Strong cultures suppress dissenting values from subcultures.
Adaptive Organizational Cultures
• External focus -- firm’s success depends on continuous change
• Focus on processes more than goals
• Employees assume responsibility for org performance– They seek out opportunities
• Proactive and responsive
Strengthening Organizational Culture
Bicultural Audit
• Part of due diligence in merger
• Minimizes risk of cultural collision by diagnosing companies before merger
• Three steps in bicultural audit:1. Examine artifacts2. Analyze data for cultural conflict/compatibility3. Identify strategies and action plans to bridge cultures
Merging Organizational Cultures
Assimilation
Deculturation
Acquired company embraces acquiring firm’s cultural values
Acquiring firm imposes its culture on unwilling acquired firm
IntegrationCultures combined into a new composite culture
SeparationMerging companies remain separate with their own culture
Org. Culture Vs Org. Climate
• Culture refers to ideologies, values and norms as reflected in stories and symbols. We would look for clues to the culture, for example, in accounts of the organizations founding.
• Climate, on the other hand, refers to the psychological environment as reflected in attitudes and perceptions.
Climate Debate
Organizational Climate is a relatively enduring quality of the
internal environment of an organization that
a- is experienced by its members
b- influences their behavior
c- can be described in terms of the values of a particular set
of characteristics of the organization
Elements of Climate• Quality of Leadership• Amount of Trust• Communication, upward and downward• Feeling of useful work• Responsibility• Fair rewards• Reasonable job pressure• Opportunity• Reasonable controls, structure, and bureaucracy• Employee involvement, participation.
Climate Influences
Motivation Performance Satisfaction
Thank You