Topic 14:

Organizational Culture

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Organizational Culture Defined

The basic pattern of shared values and assumptions

governing the way employees within an organization
think about and act on problems and opportunities.

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Organizational Culture Profile
Org Culture
Dimensions Dimension Characteristics
Experimenting, opportunity seeking, risk taking, few
Innovation
rules, low cautiousness
Stability Predictability, security, rule-oriented
Respect for people Fairness, tolerance
Outcome
orientation Action oriented, high expectations, results oriented

Attention to detail Precise, analytic

Team orientation Collaboration, people-oriented

Aggressiveness Competitive, low emphasis on social responsibility

Source: O’Reilly et al (1991)

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 Artifacts of
organizational
culture

Elements of
Organizational
Culture

Organizational
culture

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Artifacts in Organizational Culture

 Observable symbols and signs of culture

 Physical structures, ceremonies, language, stories
 Maintain and transmit organization’s culture

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1. Artifacts: Physical
Structures/Symbols
 Building structure -- may shape and reflect
culture
 Office design conveys cultural meaning
• Furniture, office size, wall hangings

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2. Artifacts: Organizational
Language

 Words used to address people

(group vs team) (subordinate vs affiliate)
 Leaders use phrases and special vocabulary
as cultural symbols

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3. Artifacts: Stories and Legends

 Social prescriptions of desired (undesired)

behavior
 Provides a realistic human side to
expectations
 Most effective stories and legends:
• Describe real people
• Assumed to be true
• Known throughout the organization
• Are prescriptive

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4. Artifacts: Rituals and Ceremonies

 Rituals
• programmed routines
• (eg., regular morning meetings, group exercise)

 Ceremonies
• planned activities for an audience
• (eg., award ceremonies)

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Changing/Strengthening
Organizational Culture

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Changing/Strengthening
Organizational Culture
1. Actions of Founders/Leaders
• Org culture sometimes reflects the
founder’s personality
• Transformational Leaders can reshape
culture -- organizational change practices

2. Aligning Artifacts
• Artifacts keep culture in place
• e.g., building structure, communicating
stories, transferring culture carriers

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Changing/Strengthening
Organizational Culture
3. Introducing Culturally Consistent
Rewards
• Rewards are powerful artifacts – reinforce
culturally-consistent behavior

4. Attracting, Selecting, Socializing

Employees
• Attraction-selection-attrition theory
• Socialization practices

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