ORGANIZATIONAL CULTURE

Chapter 7 Lecture 4

CULTURE REVIEWED
Organizations also have a learned, shared, interrelated set of symbols and patterns of basic assumptions The culture help the organizations cope with problems it faces external adaptation internal integration
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CULTURE HELPS ORGANIZATIONS INTEGRATE INTERNALLY (PPS) AND ADAPT/SHAPE , EXTERNALITIES (6 GLOBAL ENVIRONMENTS) TO SURVIVE

Culture permeates the organization Through knowledge acquisition Organizational symbols Organizational stories Organizational rites

ORGANIZATIONAL KNOWLEDGE
Explicitformalized and widely distributed Implicitnorms or how we do things around here

EXAMINE ORGANIZATIONAL SYMBOLS

What language is in use and where? Who is pictured on annual reports, web pages, or brochures? What colors represent the company; where are they used? What logos are in use?

ORGANIZATIONAL STORIES TELL US

what the employee is supposed to do when in doubt what to do when a high-status person breaks the rules how the little person advances within the organization

ORGANIZATIONAL RITES REINFORM NORMS

Rites of degradation dissolve a persons organizational identity Rites of enhancement recognize accomplishments or enhance power Rites of renewal lubricate social relations Rites of conflict reduction reduces conflict by partitioning it Rites of integration revive common feeling
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NATIONS TRADITIONALLY SHAPE ORGANIZATIONS

HOW DOES U TURE AFFECT FIRMS?
Traditionally: national culture shapes business
BUSINESS ACTIVITIES Business culture INDIVIDUA S FAMI IES NATIONA CU TURE

BUT INFLUENCES COME FROM MULTIPLE SOURCES

Professional training/groups Family Subgroups, e.g., R&D or accounting

INCREASINGLY WE ALSO SEE

business influences come not only from domestic influences but also from international and global business activities, e.g.,
subsidiaries joint ventures and other strategic alliances

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OFTEN CREATING CULTURE CLASH

between parent and subsidiary among managers

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THUS IN A GLOBAL WORLD, BUSINESSES BECOME CULTURAL CONDUITS

ee page 207 of Introduction to Globalization and Business by Barbara Parker

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BUSINESS INFLUENCES CULTURE THROUGH

Global entertainment and electronic media Global travel Global language Global demographic groups
Global elite Global teens

Business behaviors

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GLOBAL INFLUENCES OF BUSINESS ON CULTURE

Make global businesses more central to
Cultural change Cultural concerns And cause them to interact more with social actors such as NGOs and governments

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