Batch 22 B ITM, Kharghar.

Group # 06

Vibhavari Pawar
Jaswant Singh
Jigyasa Soni
Kadir Shaikh
•Define Culture?
Define Organization culture?
 Seven Primary characteristic that capture OC.
Strong V/s Weak Cultures.
What do Cultures do in Organization?
Culture’s function in Organization.
Culture as a Liability.
Creating and Sustaining a Culture.
 How culture Begins.
 Keeping Culture Alive.
 How employees learn Culture?
 Number of elements that can be used to describe or
influence Organizational Culture.
 Creating an Ethical Organizational Culture.
 An integrated pattern of human knowledge, belief, and
behavior that depends upon the capacity for symbolic thought
and social learning.

 The set of shared attitudes, values, goals, and practices that

characterizes an institution, organization or group
It is a system of shared meaning held by members that
distinguishes the organization from other Organization.
 Innovation and Risk taking:- The degree to which
employees are encouraged to be innovative and take risks.

 Attention to detail:- The degree to which employees are

expected to exhibit precision, analysis, and attention to
detail.

 Outcome orientation:- The degree to which management

focuses on the results or outcomes rather than on the
techniques and process used to achieve those outcomes.

• People Orientation:- The degree to which management

 People Orientation:- The degree to which management
decisions take into consideration the effect of outcomes on
people within the organization.
 Team Orientation:- The degree to which work activities are
organized around teams rather then individuals.
 Aggressiveness:- The degree to which people are aggressive
and competitive rather than easy going.
 Stability:- The degree to which organization activities
emphasize maintaining the status quo in contrast to growth.
 It has become increasingly popular to differentiate between
strong and week cultures. The argument here is that strong
cultures have a greater impact on employee behavior and are
more directly related to reduced turnover. In a strong culture,
the organization score values are both intensely held and
widely shared.
 A strong culture demonstrates high agreement amount
members about what to the organization stand for. Such
unanimity of purpose builds cohesiveness, loyalty and
organizational commitment. These quality in turns, lessen
employees propensity to leave the organization.
In this section we will carefully review the functions
that culture performs and assess whether culture can be a
liability for an organization?
Culture’s perform a number of functions within an
organization.
 It has a boundary defining role; that is, it creates distinction
between one organization members.
 It conveys a sense of identity for organization members.
 Culture facilitates the generation of commitment to
something larger one’s individual self-interest.
 It enhances the stability of the social system. Culture is the
social glue that helps hold the organization together by
providing appropriate standards for what employees should
say and do.
 Culture serves as a sense-making and control mechanism
that guides and shapes the attitude and behavior of
employee.
 Culture by definition is elusive , intangible, implicit and
taken for granted. But every Organization develops a core
set of assumptions, understandings and implicit rules that
govern day-to-day behavior in the workplace. Until new
comers learn the rules they are not accepted as a full-fledged
members of the organization.
 Culture enhances organizational commitment and increases
the consistency of employee behavior. These are clearly
benefits to an organization.

 From an employee’s standpoint, culture is valuable because

it reduces ambiguity. It tells employees how things are done
and what’s important. But we shouldn’t ignore the
potentially dysfunctional aspects of culture, especially a
strong one, on an organization’s effectiveness.
An Organization’s culture doesn't pop’s up out of the air. Once
established, it rarely fades away.

What forces influence the creation of a culture?

What reinforces and sustains these forces once they’re in

place?

We will answer both these questions in following

session…………..
An Organization’s current customs, traditions, and general way
of doing things are largely due to what it has done before
and the degree of success it has had with those endeavors.
This leads us to the ultimate source of an organization’s
culture:- “It’s Founders”.

The founder’s of an organization traditionally have a major

impact on that organization's early culture. They have a
vision of what the organization should be.
Firstly, founders hire and keep only employees who think and
feel the same way they do.
Secondly, they indoctrinate and socialize these employees to
their way of thinking and feeling.
Finally, the founders own behavior acts as a role model that
encourages employees to identify with them and thereby
internalize their beliefs and assumptions.

When the organization succeeds, the founders vision

becomes seen as a primary determinant of that success. At
this point, the founders entire personality becomes
embedded in the culture of the organization.
Once a culture is in place, there are practices within the
organization that act to maintain it by giving employees a set
of similar experiences.
For example :- Many of human resources practices such as:-
The selection process, performances evaluation criteria,
training and development activities, and promotion
procedures ensures that those hired fit in with the culture,
reward those who support it and penalize (ad even expel)
those who challenge it.
These three forces play a particular important part in sustaining
a culture:-

1. Selection Practices.
2. The Action of Top Management.
3. Socialization methods.
Selection:- The explicit goal of the selection procedure is to
identify and hire individuals who have the knowledge, skills
and abilities to perform the jobs within the organizational
success.
The selection process thus provides information to the
applicants about the organization, Job nature, Job profile &
relevant information regarding organization. Candidates
learn about the organization, and if they perceive a conflict
between their values and those of the organization, they can
self select themselves out if applicant pool.
Hence selection becomes a two-way street, allowing
employer or applicant to abrogate a marriage if there appears
to be a mismatch.
In this way the selection process sustains an
organization’s culture by selecting out those individuals who
might attack or undermine its core value.
Top Management:- The action of top Management also have a
major impact on the Organization’s culture, through what
they say n how they behave, senior executives establish
norms that filter down through the organization as to
whether risk taking is desirable; how much freedom
Managers should give
to their employees; what is appropriate dress; what actions will
pay off in terms of pay raises, promotions, and other
rewards; and the like.
Socialization:- No matter how good a job the organization does
in recruiting and selection, new employees are not fully
indoctrinated in the organization’s employees are potentially
likely to disturb the beliefs and customs adapt to its culture.
This adaptation process is called socialization.
In short we can say introducing a new employee
to organization by the means of Induction, short
introductory training, Job training, introduction to SOP’s n
so on.
Culture is transmitted to employees in a number
of forms, the most potent being:-

1. Stories.
2. Rituals.
3. Material
Symbols.
4. Language.
Stories:- Stories such as these circulate through many
organizations. They are typically contain a narrative of
events of the organization founders, rule breaking, rag-to-
riches, reductions in the workforce, relation of employees,
reaction to past mistakes, and organizational coping. These
stories anchor the present in the past and provides
explanations and legitimacy for current practices.
Rituals:- These are repetitive sequences of activities that
express and reinforces the key values of the organization –
what goals are most important, which people are important
& which people are expendable.
Material Symbols:- The type of facilities perks and the level of
facilities perks to be given to the employee is called material
symbol.

Language:- Making aware of the language / terminology used

in the organization in all aspects like (computer software's
and applications, names of different locations, terminology
used for different equipments and so on…)
 The Paradigm: What the organization is about; what it does;
its mission; its values.
 Control Systems: The processes in place to monitor what is
going on. Role cultures would have vast rulebooks. There
would be more reliance on individualism in a power culture.
 Organizational Structures: Reporting lines, hierarchies, and
the way that work flows through the business.
 Power Structures: Who makes the decisions, how widely
spread is power, and on what is power based?
 Symbols: These include organizational logos and designs, but also
extend to symbols of power such as parking spaces and executive
washrooms.
 Rituals and Routines: Management meetings, board reports and so
on may become more habitual than necessary.
 Stories and Myths: build up about people and events, and convey a
message about what is valued within the organization.
 These elements may overlap. Power structures may depend on
control systems, which may exploit the very rituals that generate
stories which may not be true.
An Organization culture most likely to shape a high
ethical standards is one that’s high in risk tolerance, low to
moderate in aggressiveness, and focuses on means as well as
outcomes. Managers in such a culture are supported for
taking risks, and innovating are discouraged from engaging
in unbridled competition and will pay attention to how goals
are achieved as well as to what goal are achieved.
A strong organizational culture will exert more
influence on employees than a weak one. If the culture is
strong and supports high ethical standards, it should have a
very powerful and positive influence on employee behavior.
What can a management do to create a more ethical culture?
These are the following practices:-
 Be a visible role model:- Employees will look to the
behavior of top management as a benchmark for defining
appropriate behavior. When senior management is seen as
taking the ethical high road, it provides a positive message
for all employees.
 Communicate ethical expectations:- Ethical ambiguities can
be minimized by a disseminating an organizational code of
ethics rules that employees are expected to follow
 Providing Ethical training:- Set up seminars, workshops, and
similar ethical training programs. Use these training sessions
to reinforce the organization’s standards of conduct, to
clarify what practices are and are not permissible, and to
address possible ethical dilemmas.
 Visibly reward ethical act and punish unethical ones:-
Performance appraisals of managers should include a point-
by-point evaluation of how his or her decisions measure up
against the organization’s code of ethics. Appraisals must
include the means taken to achieve goals as well as the ends
themselves. People who act ethically should be visibly
rewarded for their behavior. Just as importantly unethical
acts should be conspicuously punished.
 Provide proactive mechanisms:- The organization needs to
provide formal mechanisms so that employees can discuss
ethical dilemmas and report unethical behavior without fear
of reprimand. This might include creation of ethical
counselors of ethical officers.