Robbins OB15GE Inppt16

Organizational
Behavior
Chapter 16 15th Global Edition

Robbins and Judge
Organizational Culture
Copyright © 2013 Pearson Education 16-1

Chapter 16 Learning Objectives
After studying this chapter you should be able to:

1. Define organizational culture and describe its common characteristics.
2. Compare the functional and dysfunctional effects of organizational culture on people

and the organization.
3. Identify the factors that create and sustain an organization’s culture.
4. Show how culture is transmitted to employees.
5. Demonstrate how an ethical culture can be created.
6. Describe a positive organizational culture.
7. Identify characteristics of a spiritual culture.
8. Show how national culture may affect the way organizational culture is transported to a
different country.

Define organizational culture and
LO 1 describe its common characteristics
 Organizational culture refers to a system of

shared meaning held by members that
distinguishes the organization from other
organizations.
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Copyright © 2013 Pearson Education
 Research identifies seven primary characteristics that

capture the essence of an organization’s culture:
 Innovation and risk taking.
 Attention to detail.
 Outcome orientation.
 People orientation.
 Team orientation.
 Aggressiveness.
 Stability.
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 Other research has conceptualized culture into four

different types based on competing values.
 One is the collaborative and cohesive clan.
 Two is the innovative and adaptable adhocracy.
 Three is the controlled and consistent hierarchy.
 Four is the competitive and customer focused
market.
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 Organizational culture is concerned with employees’

perception culture.
 Research asks questions
 Does it encourage teamwork?
 Does it reward innovation?
 Does it stifle initiative?
 It differs from job satisfaction

 Job satisfaction is evaluative.
 Organizational culture is descriptive.
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 Most organizations have a dominant culture and

numerous sets of subcultures.
 Subcultures tend to develop in large organizations
to reflect common problems, situations, or
experiences that members face.
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 High formalization creates predictability, orderliness, and

consistency.
 Formalization and culture are two different roads to a
common destination.
 The stronger an organization’s culture, the less
management needs to develop formal rules and regulations.
 Employees internalize guides when they accept the
organization’s culture.
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Compare the functional and
LO 2 dysfunctional effects of organizational
culture on people and the organization
Culture’s Functions
 Boundary-defining role
 Conveys a sense of identity for members
 Facilitates the generation of commitment
 Enhances the stability of the social system
 Serves as a sense-making and control mechanism
 Guides and shapes attitudes and behavior of
employees
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 Today’s trend toward decentralized organizations
makes culture more important than ever, but ironically
it also makes establishing a strong culture more
difficult.
 Individual-organization “fit”—that is, whether the
applicant’s or employee’s attitudes and behavior are
compatible with the culture—strongly influences who
gets a job offer, a favorable performance review, or a
promotion.
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 Organizational climate is shared perceptions about the
organization and work environment.
 The same appears true for organizations.
 Factors of climate has been studied, including safety,

justice, diversity, and customer service.
 Climates can interact with one another to produce
behavior.
 Climate also influences the habits people adopt.
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 Institutionalization
 Barriers to Change
 Barriers to Diversity
 Barriers to Acquisitions and Mergers
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Identify the factors that create
LO 3 and sustain an organization’s culture
 How a Culture Begins

 Ultimate source of an organization’s culture is its
founders.
 Founders have vision of what the organization should
be.
 Unconstrained by previous ideologies or customs.
 New organizations are typically small; facilitates the
founders’ imparting of their vision on all organizational
members.
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 Culture creation occurs in three ways:

 Founders hire employees who feel the way
they do.
 Employees are indoctrinated and socialized into
the founders’ way of thinking.
 Founders’ behaviors act as role models.
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 Sustain Through Selection

 The explicit goal of the selection process is to
identify and hire individuals with the knowledge,
skills, and abilities to perform successfully.
 Top Management
 The actions of top management also have a
major impact on the organization’s culture.
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Show how culture is
LO 4 transmitted to employees
 Culture is transmitted to employees through

 Stories,
 Rituals,
 Material symbols, and
 Language.
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Demonstrate how an
LO 5 ethical culture can be created
 Characteristics shaping high ethical standards:

 High in risk tolerance
 Low to moderate in aggressiveness
 Focuses on means as well as outcomes
 Managers are
 Supported for taking risks and innovating,
 Discouraged from unbridled competition, and
 Guided to not just what is achieved but also how.
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Demonstrate how an
 If the culture is strong and supports high ethical

standards, it should have a very powerful and
positive influence on employee behavior.
 The negative consequences of a systematic culture
of unethical behavior can be severe and include
customer boycotts, fines, lawsuits, and government
regulation of an organization’s practices.
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Demonstrate how an
 How can management create a more ethical

culture?
 Be a visible role model.
 Communicate ethical expectations.
 Provide ethical training.
 Reward ethical acts and punish unethical ones.
 Provide protective mechanisms.
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Describe a positive
LO 6 organizational culture
 There is a trend today for organizations to attempt

to create a positive organizational culture.
 A positive organizational cultureemphasizes
building on employee strengths, rewards more than
it punishes, and emphasizes individual vitality
growth.
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Identify characteristics
LO 7 of a spiritual culture
 What Is Spirituality?
 Workplace spirituality is not about organized
religious practices. It is not about God or
theology.
 Workplace spirituality recognizes that people
have an inner life that nourishes and is nourished
by meaningful work that takes place in the
context of community.
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 The concept of workplace spirituality draws on our

previous discussions of values, ethics, motivation,
and leadership.
 Spiritual organizations include:
 Benevolence.
 Strong sense of purpose.
 Trust and respect.
 Open-mindedness.
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Show how national culture may
LO 8 affect the way organizational
culture is transported to a different country
 Organizational cultures often reflect national culture.
 One of the primary things U.S. managers can do is to

be culturally sensitive.
 The management of ethical behavior is one area where
national culture can rub up against corporate culture.
 U.S. employees are not the only ones who need to be
culturally sensitive.
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Summary and Implications for Managers
16-30
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means, electronic, mechanical, photocopying, recording, or otherwise,
without the prior written permission of the publisher. Printed in the
United States of America.

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Organizational

Chapter 16 15th Global Edition

Copyright © 2013 Pearson Education 16-1

After studying this chapter you should be able to:

2. Compare the functional and dysfunctional effects of organizational culture on people

3. Identify the factors that create and sustain an organization’s culture.

4. Show how culture is transmitted to employees.

5. Demonstrate how an ethical culture can be created.

6. Describe a positive organizational culture.

7. Identify characteristics of a spiritual culture.

Copyright © 2013 Pearson Education 16-2

 Organizational culture refers to a system of

 Research identifies seven primary characteristics that

 Other research has conceptualized culture into four

 Organizational culture is concerned with employees’

 It differs from job satisfaction

 Most organizations have a dominant culture and

 High formalization creates predictability, orderliness, and

 Factors of climate has been studied, including safety,

 Barriers to Acquisitions and Mergers

 How a Culture Begins

 Culture creation occurs in three ways:

 Sustain Through Selection

 Culture is transmitted to employees through

 Characteristics shaping high ethical standards:

 If the culture is strong and supports high ethical

 How can management create a more ethical

 There is a trend today for organizations to attempt

 The concept of workplace spirituality draws on our

 One of the primary things U.S. managers can do is to

Copyright © 2013 Pearson Education

Copyright © 2013 Pearson Education 16-31

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