ORGCULTURE&JUSTICE-TOPDOWN

Whatisit? Whystrongculturematters? Examples

OrgCulture Basicassumptionsabouttheprocess&priorities
usedtomakedecisions&problemsolve.
Commonlearningexperience
Rulesforgettingalongwithpeopleinorg
Observedbehavioralregularitiesthatoccurwhen
peopleinteract
Oneofmostpowertoolsamangercan
wield.B/camangercantbeinvolvedin
everydecisionandtheywantthepeople
involvedtobeconsistentwithgoalsofco.
Essentialtoconsistentdecision-makingas
theorgssizeandscopeexpand
Culturearisesoutof
ourresponseto
recurringtasksat
work(decision
making/problem
solving)

Whatisit? HowTheyRelatetoDecisionMaking GeneralExample: SpecificExamples:
Assumptionsthat
defineOrgCulture

HumanNature&
Motivation
Peoplearegoodandcan
betrustedtoworkhardif
rewarded.
Peoplearebadandmust
betrainedtoworkhardthru
punishment
Theygiveguidanceabout
choosingb/talternatives

Helpusmakejudgmentsabout
thedesirabilityofanaction

Thejustifypastandfuture
decisionsascorrect.
Useastocksharing
planforallemployees
oruseacompetitive
meritrewardsystemto
payemployeesbased
onperformance

HumanInteraction&
Relationships
Peoplesshould:
Workcollaboratively
Workcompetitively
Powershouldbe
distributedevenly
Powershouldbe
distributedbasedonrank
Whencompleting
performanceappraisals,
doweconsiderface
timeasanindicatorof
performance..
Ordoweconsider
accomplishmentsas
performanceregardless
offacetime.
Techpoint
culture
considered
facetime
tobeakey
factorin
determining
promotion.
Intelrewards
onmeritand
accomplish
ments
NatureofTime&
Space
Aweekisashortamount
oftimeorlongamountof
time
Largeofficeisrelatedto
highrankorneedforspace
Longhoursmeansyoure
workingvs.longhours
meansyourinefficient
Wedonthavewomen
mangersbecauseweve
neverhadtheminthe
past.thereforewedont
believeinthem
Willtheall-
malecountry
club,
Augusta
National
inviteIBM
CEO,Ginni
Romettyto
becomea
member?
(IBMisone
ofmain
sponsors)

WhatMakesaWell-DefinedCorporateCulture?
1. Highdegreeofagreementaboutbasicassumptions
2. Reinforcementofbasicassumptionsthroughsmallandlargeeventsandactions
3. Rewardsforculture-consistentaction,andlackofrewardsforculture-inconsistentaction

WhenUnderstandinganOrgsCultureisParticularlyImportant?
1. Whenheorshefirstjoinsaneworgasamanager
2. Whenonecompanyacquiresanothercompany
3. Whenthemanageriscoordinatingtheeffortsofdifferentfunctionalgroupswithinhisorherorg
4. Whenamanagerisconfrontingtheneedtofundamentallychangethecosstrategicdirection,andbyimplication,itsculture
IdentifyingOrgCultureLookatArtifacts&behaviorstherevealunderlyingassumptions:
Dcor,style,furniturearrangement,dress
Language,slogans,acronyms
Stories,myths,jokes,
Technology,knowledgecreation
Traditions,ceremonies,celebrations,
Workhoursandpatterns,meetingschedules,formalorinformalgroupcollaborationanddecisionmakingprocess

Underlying
Assumptions
Example HowtoImplement Benefits
Common
TypesofOrg
Culture

Structural
(TheFactory)
Hierarchy&
rules
Formalsources
ofpower
Beliefin
rationality
Canbecome
autocratic
Likeafactory,anofficefunctioningonthestructural
levelreliesuponahierarchyandrules.

Insteadofpullingrank,
youcouldcallyour
employeesintoyouroffice
Therightformal
arrangements
minimize
problemsand
increasequality
andperformance.
Human
Resource
(TheFamily))
Orgexiststo
servehuman
needs
Mostimportant
goalistomeet
humanneeds
Canleadto
focuson
makingpeople
happyvs.
productive
TheHR-orientedpersontriestounderstandwhere
peoplearecomingfrom.

Managershaveto
balancetheneeds
ofemployeesand
theorg.
Youcantbeover-
committedtothe
modelofpleasing
everyone

Whenthe
individualandorg
areinsync,
peoplegivetheir
maximumtalent
andenergyand
theorgthrives
Political
(TheJungle)
Learningto
makedealsis
importantto
succeed
Collaboratingwithanothercolleagueinsteadof
goingheadtoheadwiththemcouldworkoutbetter
Sophisticated
politicalleaders
prefertoavoid
head-on
Understandingthe
politicswithinthe
officeculture,may
helpyoutoget
Usingpersonal
influence&
powercanlead
tosuccess
Overuseof
powercanlead
toineffective
leadership
demonstrationsof
power,lookingfor
waystoappealto
theself-interests
ofpotential
adversaries.
yourjobdone
moreeffectively.
Symbolic
(TheTemple)
Honorfor
tradition,ideals,
andvalues
Inspiring
employeesthru
traditionisa
keymotivator
Canbe
ineffective,if
notbackupby
realaction
Symbolscanbeparticularlyimportantinanageof
mergersandacquisitions
Duringamerger
oracquisition,
changecanbe
demoralizing;
leadersneedto
findwaystoallow
employeesto
mourn&celebrate
whattheyre
leavingbehind
andformanew
kinshipwiththe
neworg
Caninspire
employeeand
createabond
amongitspeople

Perceptions
ofJustice:
ProceduralJustice DistributiveJustice
Definition Perceptions
thattheprocess
bywhich
decisionsare
madeisfairand
equitable
Perceptionsthattheoutcomesofdecisionsarefair
andequitable

Affect

Peopleaffectedbydecisionscareaboutboth.Buttheyaremorelikelytoacceptinequitableoutcomesifproceduraljusticeisperceived.
Andproceduraljusticeislessimportantifdistributivejusticeisevident
Whatleadsto
Perceptions
ofFair
Process?
Engagement:
o inputfromthoseeffectedbydecisionandallowingthemtorefutethemeritsofanothersideaorassumptions
Sharpenseveryonesthinkingandbuildscollectivewisdom
o signalsrespectforthoseaffected
o improvesdecisionqualityduetomoreinput
Explanation:
o Involvesclearanddetaileddiscussionofreasonsfordecision
o Signalsconsiderationoftheneedsandconcernsofthoseaffected
o Signalsproblemunderstandingandincreasestrust
ExpectationClarity
o Clarifiestherulesofplay,rulesbywhichdecisionsweremade
o Reducesuncertaintyaboutfutureactionsanddecisions
o Whenpeopleclearlyunderstandwhatisexpectedofthem,politicaljockeyingandfavoritismareminimized
HowJustice
Perceptions
Relatingto
compensation
affect
Performance
ProceduralJustice DistributiveJustice

Process Distribute
rewardsbased
onoutcomeof
fairand
participative
process
Distributerewardsinamountsperceivedtobefair

Attitude Iunderstand
thedecision
process&my
inputcounts
IgotwhatIdeserved

Behavior Illdomore
thanIm
required
IlldowhatImtold.

Performance Exceeds
expectation
Meetsexpectations

Example Southwestenforcement
ofpolicyregarding
charginglarge
passengers2seats
Peopleareokwithgettingared-lightticketwhentheyknow
thecamerasareinplainsight,butiftheygetaticketina
speedingtrap,theyviewitasunfair.

AFewmorewordsonFairprocess:
Fairprocesscanbeapowerfulmgmttoolforcompaniesstrugglingtomakethetransitionfromproduction-basedtoknowledgebased-basedeconomy.
Fairprocessprofoundlyinfluencesattitudesandbehaviorscriticaltohighperformance.Itbuildstrustandunlocksideas.
Whenmanagersfeltfairprocesswasabsent,theyhoardedideasanddraggedtheirfeet.

Readings:
What is an Orgs Culture?
Fair Process: Managing in the Knowledge Economy

Whats Your Corporate Culture?