Organizational Culture Theory

● Exists in an organization and is related to societal culture.

● Composed of many intangible phenomena.
● Organizational culture differs for several reasons.
● It invests in the organization's culture to motivate the employee from working. (ex. AT&T—
failed to solve its monumental problems because it only focused on structure and the system in
addressing the problem)
● Organizational culture principally relied on qualitative research methods such as ethnography and
participant observation.
● A strong organizational culture can control organizational behavior.

Organizational Symbolism by Bolman and Deal (1997)

● Aka “the symbolic frame”.
● In order for an organization to actually function, it must have 4 Frames. Political, Structural,
Human Resource, and Symbolic.
● The Symbolic Frame in particular refers to people’s need to have a sense of purpose and meaning
in their work. “What does it mean to be part of this company.” Therefore, inspiring people to
work towards a motivating vision.

The Symbolic Frame in the Context of Organizational Culture.

● The meaning or the interpretation of what is happening in organizations is more important than
what is actually happening.
● Vagueness and lack of information in most organizations prevent rational problem-solving and
decision-making processes.
● People resort to using symbols/symbolic meanings to understand what is happening.
● Meaning is created and established by the people of the organization—by the culture itself.
Therefore, organizational symbolism is an integral part of an organization’s culture.

Defining Organizational Culture

● The culture and procedures that organizations adopt for dealing with people, or to an
organization's declared beliefs and principles
● Developing the right “kind of culture” or a “culture of quality”

TOWARDS A FORMAL DEFINITION OF CULTURE

● Culture has many meanings and connotations.
● Related words about culture such as group norms, espoused values, formal philosophy, rules of
the game, climate, Embedded skills, habits of thinking, shared meaning, and root metaphors.
● Culture requires structural stability and patterning or integration.
● Culture is striving forward patterning and integration no matter what.
● Organizational culture problems (1) survival, growth, and adaptation in their environment (2)
internal integration that permits daily functioning and the ability to adapt
● Common system of communication makes sharing and learning easier and possible.
● Taking a leadership role in proposing courses of action
● Culture is an accumulated shared learning of a given group.
 ● SHARED —> CULTURAL STABILITY —> PATTERN —>CULTURE

Culture Formally Defined

The culture of a group can now be defined as a pattern of shared basic assumptions that the group learned
as it solved its problems of external adaptation and internal integration, that has worked well enough to be
considered valid and therefore to be taught to members.
● The culture survives through teaching them to newcomers
● To get a deeper understanding, one must understand the feelings and perceptions that arise in
critical situations.
● There can be problems in socialization
● There can be problems in behavior
● Can a large organization have one culture?
● Culture and leadership are two sides of the same coin
The concept of culture is most useful if it helps to explain some of the more seemingly incomprehensible
and irrational aspects of groups and organizations.

Organizational Learning: Can Organizations Learn?

Organizational Learning: What is it?

● The process in which an organization improves itself over time through experience, and
application of said experience to create knowledge.
● This knowledge is then transferred across the organization through dissemination.

Knowledge: Key to Progress

● An organization must develop a culture of learning where knowledge is prized.
● An organization must never avert its eyes from failure. Rather, they must learn from their
experiences.
● Encourage a culture of curiosity and lifelong learning amongst employees.
● Reject stagnation and encourage debate.

To Learn is to Live: Benefits of a Successful Implementation of Organizational Learning.

● Developing a culture of learning and curiosity leads to higher employee satisfaction.
● Increases efficiency, effectiveness, and productivity.
● Promotes meritocracy in leadership.
● Increases overall adaptability.