I.

The Nature of Organizational Culture

1. Organizaional culture
- Shared values and beliefs that enable members to understand their roles in and
the norms of the organization
2. Characteristics of an organization's culture.
 Observed behavioral regularities.
 Norms.
 Dominant values are shared.
 The focusand customers.
 Rules dictate dos and don'ts.
 Organizational climate is important.
- The major problem is if an MNC's organizational culture in one country's
facility differs sharply from organizational cultures in other country's facilities
- In some cases, companies have deliberately maintained two different business
cultures because they do not want one culture influencing the other.
II. Interaction between National and Organizational Culture
- National cultural values of employees may significantly impact their
organizational performance
- Cultural values employees bring to workplace are not easily changed by
organization.
- Hofstede provided the early database of a set of proprietary cultural
analysis techniques and programs known as DOCSA. ( Dimension of
culture)
1. Dimension of corporate culture
 2. Culture Interaction

II. Organizational culture in MNC

- Shaped by numerous factors including cultural preferences of leaders and employees
- Some MNCs have subidiaries that ( aside from logo and reporting procedures) wouldn’s
be easily recognizable as belonging to same MNC
4 steps in intergration of organizational cultures resulting from international expansion via
mergers / acquisitions:
 The two must establish the purpose, goal, and focus of the merger.
 Then develop mechanisms to identify important structures and roles.
 Then determine who has authority over necessary resources.
 Also identify all parties’ expectations and facilitate communication.