Organizational Culture

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Organizational Culture

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Organizational Culture :

Organizational Culture Dr. G C Mohanta , BE, MSc( Engg ), MBA, PhD(Mgt) Professor Al- Qurmoshi Institute of Business Management Hyderabad

Organizational Culture:

Organizational Culture The shared values, beliefs, and behavioral norms in an organization The shared values, principles, traditions and ways of doing things that influence the way organizational members act. The shared values, ways of thinking, attitudes and guiding beliefs relevant to and supportive of the organization and its goals. The social process by which members share their values, beliefs, and norms The characteristic set of values and ways of behaving that employees in an organization share. A common perception held by the organization’s members

Patterns of Behavior, Values and Beliefs:

Patterns of Behavior, Values and Beliefs Patterns of Behavior Ceremonial events, written and spoken comments, and actual behaviors of an organization’s members. Norms, Values and Beliefs Guiding standards of an organization that affirm what is valued and to be practiced, as distinct from what is practiced.

Components of Organizational Culture:

Components of Organizational Culture Visible • Unconscious, taken-for-granted perceptions or beliefs • Mental models of ideals Shared assumptions • Conscious beliefs • Evaluate what is good or bad, right or wrong Shared values Artifacts • Stories/legends • Rituals/ceremonies • Organizational language • Physical structures/d écor Invisible (below the surface)

Components of Organizational Culture:

Components of Organizational Culture Signs and Symbols Practices and actions that create and sustain a company’s culture. Stories The repeated tales and anecdotes that contribute to a company’s culture by illustrating and reinforcing important company values. Rites and Ceremonies Traditional culture-building events or activities that symbolize the firm’s values and help convert employees to these values.

Organisational Culture:

Organisational Culture Purpose of Culture: To help integrate organizational members so that they know how to relate and work together effectively. To help the organization to best adapt to its mission and to its environment. Effects of Culture: Determines how people communicate How people interact How people relate to one another What is appropriate behavior How power and status are allocated Guides day-to-day working relationships

How Leaders Shape Culture:

How Leaders Shape Culture By what they do The examples they set The types of people they hire By what they say Formal policies , codes of ethics, etc. By what the organization does Ethical training, ethics committees VALUE-BASED LEADERSHIP

What Do Cultures Do?:

What Do Cultures Do? Culture’s Functions Defines the boundary between one organization and others Conveys a sense of identity for its members Facilitates the generation of commitment to something larger than self-interest Enhances the stability of the social system Serves as a sense-making and control mechanism for fitting employees in the organization

How Culture Begins:

How Culture Begins Stems from the actions of the founders: Founders hire and keep only those employees who think and feel the same way they do. Founders indoctrinate and socialize these employees to their way of thinking and feeling. The founders’ own behavior acts as a role model that encourages employees to identify with them and thereby internalize their beliefs, values, and assumptions.

Keeping Culture Alive:

Keeping Culture Alive Selection Concerned with how well the candidates will fit into the organization Provides information to candidates about the organization Top Management Senior executives help establish behavioral norms that are adopted by the organization Socialization The process that helps new employees adapt to the organization’s culture

How Employees Learn Culture:

How Employees Learn Culture Stories Anchor the present into the past and provide explanations and legitimacy for current practices Rituals Repetitive sequences of activities that express and reinforce the key values of the organization Material Symbols Acceptable attire, office size, opulence of the office furnishings, and executive perks that convey to employees who is important in the organization Language Jargon and special ways of expressing one’s self to indicate membership in the organization

Creating a Positive Organizational Culture:

Creating a Positive Organizational Culture A positive organizational culture is one that emphasizes the following: Building on Employee Strengths Rewarding More Than Punishing Emphasizing Vitality and Growth of the Employee

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