Unit IV Organisational Culture

Dr.

Nutan Samdani
Organizational Culture
 refers to a system of shared meaning held by members that
distinguishes the organization from other organizations.
 shows how employees perceive the characteristics of an
organization’s culture, not whether they like them – it’s a
descriptive term.
 a system of shared assumptions, values, and beliefs, which
govern how people behave in organizations.
 includes an organization’s expectations, experiences,
philosophy, and values that hold it together and is
expressed in its self-image, inner workings, interactions
with the outside world, and future expectations.
 “Organizational culture defines a jointly shared
description of an organization from within.” -
Bruce Perron
 “Organizational culture is the sum of values and
rituals that serve as a glue to integrate the
organization’s members.” - Richard Perrin
 “Organizational culture is civilization in the
workplace.” - Alan Adler
 “Organizational Culture is how organizations do
things.” - Robbie Katanga
Courtesy: Google Images
1.Innovative (Risk Orientation)– degree to which employees are
encouraged to be innovative & take risks.
2.Attention to detail (Precision Orientation) – degree to which
employees are expected to exhibit precision, analysis and
attention to detail.
3.Team work (Collaboration Orientation) - degree to which work
activities are organized around teams rather than individuals.
4.People-oriented (Fairness Orientation) - degree to which
management decisions take into consideration the effect of
outcomes on people.
5.Stability (Rule Orientation) - degree to which organizational
activities emphasize maintaining the status quo in contrast to
growth.
6.Outcome-oriented (Achievement Orientation) – degree to which
management focuses on results /outcomes rather than on
techniques & processes used to achieve them.
7.Aggressive (Competitive Orientation) - degree to which people
are aggressive & competitive rather than easygoing.
1.Culture decides the way employees interact at their

workplace.

2.Organizational Culture brings all the employees on a
common platform.
3.It extracts the best out of each team member of the
organization.
4.Promotes healthy competition at workplace.
5.Represents certain predefined policies which guide the
employees and give them a sense of direction at

workplace. 6
1.Boundary-defining role – it creates distinctions between one
organization and others.
2.Conveys a sense of identity for organization members.
3.Facilitates commitment to something larger than individual
self-interest.
4.Enhances stability of social system.
5.Social glue – helps hold the organization together by
providing standards for what employees should say and do.
6.Sense-making and control mechanism that guides and
shapes employees’ attitudes and behaviour.
Courtesy: Google Images
Strong vs weak culture : Organisational culture can
be labelled as strong or weak based on –
• sharedness of the core values among
organisational members and the degree of
commitment the members have to these core
values.
• the higher the sharedness and commitment, the
stronger the culture increases the possibility of
behaviour consistency amongst its members
• a weak culture opens avenues for each one of the
members showing concerns unique to themselves
Soft vs hard culture : Soft work culture can emerge in
an organisation where the organisation pursues
multiple and conflicting goals.
• In a soft culture the employees choose to pursue a
few objectives which serve personal or sectional
interests.
• The culture is welfare oriented; people are held
accountable for their mistakes but are not
rewarded for good performance.
• Consequently, the employees consider work to be
less important than personal and social obligations.
Formal vs informal culture : The work culture of an
organisation, to a large extent, is influenced by the
formal components of organisational culture.
• Roles, responsibilities, accountability, rules and
regulations are components of formal culture.
• They set the expectations that the organisation has
from every member and indicates the
consequences if these expectations are not fulfilled.
• Informal culture has tangible and intangible,
specific and non – specific indicators of shared
values, beliefs, and assumptions.
• This part of organisational culture comprises of
objects, symbols, ceremonies, rites, and stories.
Top Management
Philosophy of Organization’s
Selection
Organization’s Culture
Criteria
Founders
Socialization
Selection -
 goal of the selection process is to identify and hire individuals
with the knowledge, skills, and abilities to perform
successfully.
 decision maker’s judgment of how well the candidates will fit
into the organization, identifies people whose values are
essentially consistent with at least a good portion of the
organization.
 also provides information to applicants, who perceive a
conflict between their values and those of the organization can
remove themselves from the applicant pool.
 becomes a two-way street, allowing employer or applicant to
avoid a mismatch and sustaining an organization’s culture by
selecting out those who might attack or undermine its core
values.
Top Management –
 The actions of top management also have a major
impact on the organization’s culture.
 Through words and behavior, senior executives
establish norms that filter through the organization,
for instance –
 whether risk taking is desirable,
 how much freedom managers give employees,
 what is appropriate dress, and
 what actions earn pay raises, promotions, and other
rewards.
Socialization –
 No matter how good a job the organization does in recruiting
and selection, new employees need help adapting to the
prevailing culture.
 That help is socialization.
Socialization Process –
 Prearrival stage –
 recognizes that each individual arrives with a set of values, attitudes,
and expectations about both the work and the organization.
 One way to capitalize on prehire characteristics in socialization is to
use the selection process to inform prospective employees about the
organization as a whole.
 Encounter stage –
 confronts the possibility that expectations—about the job, co-workers,
the boss, and the organization in general—may differ from reality.
 If expectations were fairly accurate, the encounter stage merely
cements earlier perceptions.
 At the extreme, a new member may become disillusioned enough to
resign.
 Metamorphosis stage –
 new member changes.
Summary –
 The original culture derives from the founder’s
philosophy and strongly influences hiring criteria
as the firm grows.
 Top managers’ actions set the general climate,
including what is acceptable behavior and what is
not.
 The way employees are socialized will depend both
on -
 the degree of success achieved in matching new
employees’ values to those of the organization in the
selection process, and
 top management’s preference for socialization methods.
Positive Organizational Culture emphasizes on –
• Building on Employee strengths
• Rewarding more than punishing
• Emphasizing individual strength and growth

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Dr.

2.Organizational Culture brings all the employees on a

3.It extracts the best out of each team member of the

4.Promotes healthy competition at workplace.

5.Represents certain predefined policies which guide the

employees and give them a sense of direction at

• Building on Employee strengths

• Rewarding more than punishing

• Emphasizing individual strength and growth

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