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NOTES ODC

Q1. What defines an organization’s subcultures?


ANSWER:
Organizational subculture forms when people of common situations, identities, or job
functions gather around their own interpretations of the dominant company culture. These
subcultures most commonly form when employees find they need to develop idiosyncratic
behaviors, values, and goals to fulfill specific functions of their disciplines. But
organizational subculture is an inevitability. It is frankly impossible to try and manage a one-
size-fits-all culture narrative with a tight grip.

Q2. Can an employee survive in an organization if he or she rejects its core values? Explain.
ANSWER:
Core values are principles or standards of behavior that represent an organization’s
highest priorities, deeply held beliefs, and fundamental driving forces. They’re at the
heart of what organizations and employees stand for from an ethical perspective. Core
values are intrinsic to the organizational vision that defines what businesses believe
and present to the external world—as well as how they’re perceived—and are
fundamental to attracting and retaining the best, most capable employees who
contribute the most to organizations. They should be integrated with management’s and
employees’ belief systems and actions so that clients, customers, and vendors see those
organizational values in action, with ethics put into practice, not just talked about. Core
values are guiding principles that form a solid foundation of what organizations are,
what they believe, and what they want to be going forward.
Some common core corporate values include accountability, commitment, innovation, trust
and respect. Each should aid the structure of a company and be demonstrated in daily
operations and communications both internally and externally.
A concrete set of core values can help to keep staff engaged and motivated, therefore raising
performance and productivity levels. When employees respect and believe in your values,
they often obtain a greater understanding of their job role and how they can help achieve
business goals. Having a staff-base that’s aligned with your core values also creates a
pleasant working environment, which is very important for employee performance and
productivity. Respect is an important core value at where we promote an open work
environment, listening, empathising and responding to one another.
To retain staff, you must make the workplace an enjoyable place to be. Ensuring staff feel
appreciated, listened to and trusted are all factors that contribute to staff retention.
Incorporating these factors into your company's core values will create an environment staff
will want to work, learn and grow within.
Q.3 What benefits can socialization provide for the organization? For the new employee?
ANSWER:
Socialization increases motivation among employees. Generally, when employees
socialize in an organization, it allows them to shape the way they view work habits,
teamwork, and sharing of information, which are all significant factors for a growing
business.
The employee's perception of the socialization process encourages them to adapt quicker to
an environment once they feel their socialization needs have been met.
An employee's attitudes, feelings and overall temperaments have a robust impression on job
performance, decision-making, turnover, and teamwork. It provides employees with the skills
and customs necessary for participating within the corporate culture and increases
motivation. 
Good socialisation adds continuity and stability to an organisation. Communication is
facilitated, as members share visions and values. Goals are easier to set with a shared sense of
purpose for the organisation and are easier to attain when workers agree that the business in
which that are engaged is worth doing.
Organisational entry is eased, so that new employee does not make as many mistakes. When
new employee knows what is expected of them, they have better organisational performance
and less frustration and uncertainty. Turnover rates are lower for organisations that conduct a
god orientation program for new employees.

Through socialising, employees get to know each other and with the people they will work
which makes the job enjoyable. It stimulates a healthy work culture and cultivates trust
within the group. People enjoy working with those who are familiar or comfortable to work
with. The productivity and performance level increases in a friendly workplace.

It generates better networking opportunities for employees and accelerates the understanding
of work dynamics within different divisions of the company.

Q.4 How can culture be a liability to an organization?


ANSWER:
Culture can enhance organizational commitment and increase the consistency of
employee behavior, clearly benefits to an organization. But there are potentially defective
aspects of culture, like Barrier to change, Barrier to diversity, then it is said to be Culture as
Liability.
Institutionalization

When an organization undergoes institutionalization and becomes institutionalized —that is,


it is valued for itself and not for the goods or services it produces—it takes on a life of its
own, apart from its founders or members.

Example:- Sony is known to us for it’s up to date technology, not for name members or
founder, it is been an institutionalized organization
Acceptable modes of behavior become largely self-evident to members, and although this
isn’t entirely negative. It does mean that behaviours and practises that should be questioned
and studied are taken for granted, which can inhibit innovation and turn the organization's
culture into a goal in and of itself.
Barriers to Change

When shared ideals conflict with those that advance the organization's effectiveness, culture
becomes a liability.
This is most likely to occur when an organization's environment is rapidly changing and its
established culture is no longer relevant. Behavior consistency, which is beneficial in a stable
environment, can become a burden for the organisation and make it difficult to adjust to
changes.
Barriers to Diversity

Hiring new employees who differ from the majority in race, age, gender, disability, or other
characteristics create a paradox.
Management wants new employees to accept the organization’s core cultural values. But at
the same time, they want to support the differences that these employees bring to the
workplace.
Strong cultures put considerable pressure on employees to conform. They limit the range of
values and styles that are acceptable.
Barriers to Acquisitions and Mergers

The key factors that management looked at in making acquisition/merger decisions:

A.Financial advantages.

B.Product synergy.

Cultural compatibility has become the primary concern. Whether the acquisition actually
works seems to have more to do with how well the two organizations’ cultures match up.

Q. Strategies For Merging Cultures


Assimilation Assimilation occurs when employees at the acquired company willingly
embrace the cultural values of the acquiring organization. Corporate cultural clashes are less
likely to occur with this strategy because the acquired company often has a weak,
dysfunctional culture, whereas the acquiring company’s culture is strong and aligned with the
external environment.
Research in Motion (RIM), the company that makes Blackberry wireless devices, applies the
assimilation strategy by deliberately acquiring only small start-up firms
Integration A third strategy is to combine the cultures into a new composite culture that
preserves the best features of the previous cultures. Integration is slow and potentially risky
because many forces preserve the existing cultures. Still, this strategy should be considered
when acquired companies have relatively weak cultures or when their cultures include several
overlapping values. Integration also works best when people realize that their existing
cultures are ineffective and are therefore motivated to adopt a new set of dominant values.
Lockheed Martin provides a good example of the cultural integration strategy. 
Separation A separation strategy occurs when the merging companies agree to remain
distinct entities with minimal exchange of culture or organizational practices. This strategy is
most appropriate when merging companies are in unrelated industries or operate in different
countries:
The most appropriate cultural values tend to differ by industry and national culture. However,
this separation strategy doesn’t usually last long because executives in the acquiring firm
have difficulty keeping their hands off the acquired firm.
One recent situation in which the separation strategy was applied is Cisco Systems’
acquisition of Linksys.

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