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Chapter

2
Organizational Culture

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Introduction
National culture: the sum total of the beliefs, rituals, rules, customs, artifacts, and institutions that characterize the population

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A nations culture and sub-cultures effect how organizational transactions are conducted Learning to operate in a world influenced by national culture is becoming a requirement for effective management
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Organizational Culture and Societys Values

(1 of 2)

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Values the conscious, affective desires or wants of people that guide their behavior Organizations are able to operate efficiently only when shared values exist among the employees
An individuals personal values guide behavior on and off the job
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Organizational Culture and Societys Values

(2 of 2)

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Values are a societys ideas about what is right or wrong Values are passed from one generation to the next

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Hofstedes Four Value Dimensions

(1 of 2)

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Dimension
Power Distance

Description
The level of acceptance by a society of the unequal distribution of power in organizations In higher power distance cultures, employees acknowledge the bosss authority and follow the chain of command The result is a more centralized authority and structure

Uncertainty Avoidance

The extent to which people in a society feel threatened by ambiguous situations Countries with a high level of uncertainty avoidance tend to have specific rules, laws, and procedures
Managers in these countries tend towards low-risk decision-making Employees exhibit little aggressiveness

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Hofstedes Four Value Dimensions

(2 of 2)

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Dimension
Individualism

Description
The tendency of people to fend for themselves and their family In countries that value individualism, individual initiative and achievement are highly valued and the relationship of the individual with organizations is one of independence The extent to which assertiveness and materialism is valued In highly masculine societies, there is considerable job stress and conflict between job and family roles

Masculinity

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Cultural Values (1 of 4)
Region / Country North America (USA) Japan Individualism- Power Uncertainty Collectivism Distance Avoidance Individualism Low Medium Masculinity- Other Femininity Dimensions Masculine

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Collectivism

High and Low

High

Masculine and Feminine

Amae (mutual dependence)

China

Collectivism

Low

Low

Masculine and Feminine

Emphasis on tradition, Marxism, Leninism, and Mao Zedong thought

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Cultural Values (2 of 4)
Region / Country Europe: Anglo Germanic West Slavic West Urgic Near Eastern Balkanic Nordic Individualism- Power Uncertainty Collectivism Distance Avoidance Individualism Medium individualism Collectivism High Medium/high individualism Low Low/ medium Low MasculinityFemininity Low/medium Masculine Medium/high Medium/high masculine High Medium masculine

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Other Dimensions

Low/medium Feminine

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Cultural Values (3 of 4)
Region / Country Europe: (contd) Latin Europe East Slavic Individualism- Power Collectivism Distance Individualism

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Uncertainty Masculinity- Other Avoidance Femininity Dimensions

Low/medium Low/medium Masculine

Medium/high individualism Collectivism

High
Low

High
Medium

Medium masculine Masculine

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Cultural Values (4 of 4)
Region / Country Africa Individualism- Power Uncertaint Collectivism Distance y Avoidance Collectivism High High Masculinity- Other Femininity Dimensions Feminine

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Colonial traditions; tribal customs Extroverted; prefer orderly customs and procedures

Latin America Collectivism

High

High

Masculine

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2-12

A societys values have an impact on organizational values because of the interactive nature of work, leisure, family, and community.

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2-13

Organizational culture what the employees perceive and how this perception creates a pattern of beliefs, values, and expectations.
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Edgar Scheins Definition of Culture:

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A pattern of basic assumptions invented, discovered, or developed by a given group as it learns to cope with the problems of external adaptation and internal integration that has worked well enough to be considered valid and, therefore, to be taught new members as the correct way to perceive, think, and feel in relation to those problems.
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2-15 Examples of cultural attributes Documents Physical layouts Furnishings Language Jargon Work ethic and practice Fair days work for a fair days pay Loyalty Commitment Helping others Performance leads to rewards Management equity Competency counts Layer I: Artifacts & Creations Technology
Art Visible and audible behavior

Visible but often not decipherable

patterns

Layer II: Values Testable in the physical environment

Testable only by social

Greater level of awareness

consensus

Scheins Three-Layer Organizational Culture Model

Layer III: Basic Assumptions Relationship to environment Nature of reality, time, & space Nature of human nature Nature of human activity Nature of human relations

Taken for granted, invisible, preconscious

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Organizational Culture and Its Effects

2-16

Strong Culture

Weak Culture

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The Evolution of a Positive Culture

Methods
Elaborate on history Communications about and by heroes and others

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Intervening Conditions H
Develop a sense of history

Outcome

Leadership and role modeling

Communicating norms and values

Create a sense of oneness

Reward systems Career management and job security Recruiting and staffing Socialization of new staff members Training and development

Promote a sense of membership

Cohesive organizational culture

Member contact Participative decision making Inter-group coordination Personal exchange

Increase exchange among members

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Three Views on Influencing Cultural Change: (1 of 2)

1. Cultures are so elusive and hidden that they cannot be adequately diagnosed, managed, or changed

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2. Because it takes difficult techniques, rare skills, and considerable time to understand a culture and then additional time to change it, deliberate attempts at culture change are not really practical
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Three Views on Influencing Cultural Change: (2 of 2)

new culture
Cultures sustain people through periods of difficulty and serve to ward off anxiety Cultures provide continuity and stability

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3. People will naturally resist change to a

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Changing Culture Intervention Points

Hiring and socialization of members who fit in with the 4 culture Culture Removal of members who deviate from the culture

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Cultural communications
Justifications of behavior

Behavior

Managers seeking to create culture change must intervene at these points.

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Socialization and Culture

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Socialization the process by which organizations bring new employees into the culture.

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The Process of Organizational Socialization

Start
Consistent role models Reward and recognize individuals who have done the job well Reinforcing folklore Keeping alive stories that validate the organizations culture Adherence to values enables the reconciliation of personal sacrifices 5 6 7 Careful selection of entry-level candidates 1 Deselect

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2 Humility-inducing experiences promote openness toward accepting organizational norms and values

Teaches the new entrant that he/she doesnt know everything about the job or company
3 In-the-trenches training leads to mastery of a core discipline

Rewards and control systems are meticulously refined to reinforce behavior that is deemed pivotal to success in the marketplace

Extensive and reinforced on-thejob experience

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Socialization Stages
Anticipatory Socialization Accommodation

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Role Management

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A Checklist of Effective Socialization Practices

(1 of 2)

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Anticipatory socialization
Recruitment using realistic job previews Selection and placement using realistic career paths

Role management socialization

Provision of professional counseling Adaptive and flexible work assignments Sincere person-oriented managers
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A Checklist of Effective Socialization Practices

(2 of 2)

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Accommodation socialization
Tailor-made and individualized orientation programs Social as well as technical skills training Supportive and accurate feedback Challenging work assignments Demanding but fair supervisors

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2-26

Mentor a friend, coach, advisor or sponsor who supports, encourages, and helps a less experienced protg.

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Mentoring Guidelines (1 of 2)

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1. Do not dictate mentoring relationships, but encourage leaders/managers to serve a mentors 2. Train mentors in how to be effective in mentoring others 3. Include in the firms newsletter or in other forms of mass communication (print and electronic) an occasional story of mentoring as reported by a current top-level executive
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Mentoring Guidelines (2 of 2)
4. Inform employees about the benefits and difficulties of mentor relationships with individuals of different race and gender

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5. Make sure there is diversity among the mentors

6. All mentors should be trained in dealing with diversity

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Phases of the Mentor Relationship

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Initiation

Cultivation

Redefinition

Separation

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Cultural Diversity

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Diversity the vast array of physical and cultural differences that constitute the spectrum of human differences. The managerial challenge will be to identify ways to integrate the increasing number and mix of people from diverse national cultures into the workplace.

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Workforce diversity issues for managers2-31 to consider: (1 of 2)

Coping with employees unfamiliarity with the English language Increased training for service jobs that require verbal skills Cultural (national) awareness training for the current workforce Learning which rewards are valued by different ethnic groups
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Workforce diversity issues for managers2-32 to consider: (2 of 2)

Developing career development programs that fit the skills, needs, and values of the ethnic group Rewarding managers for effectively recruiting, hiring, and integrating a diverse workforce Focusing not only on ethnic diversity, but also learning more about the diversities of age, gender, and workers with disabilities
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Spirituality and Culture

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Spirituality employees have a personal or inner life that nourishes and is nourished by performing relevant, meaningful, and challenging work
Workplace spirituality is not the same as religion Spirituality is a path, is personal and private, contains elements of many religions, and points to a persons selfinquiry
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Research on spirituality and work dimensions indicates:

Employees who are more spiritually involved achieve better results Spirituality encourages:
trust work/life balance empathy and compassion about others the value of human assets the full development and self-actualization of people ethical behavior

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