? 2003 Prentice Hall Inc. All rights reserved. 18–1 Institutionalization: A Forerunner of Culture ? 2003 Prentice Hall Inc. All rights reserved. 18–2 What Is Organizational Culture? Characteristics: 1. Innovation and risk taking 2. Attention to detail 3. Outcome orientation 4. People orientation 5. Team orientation 6. Aggressiveness 7. Stability ? 2003 Prentice Hall Inc. All rights reserved. 18–3 What Is Organizational Culture? (cont'd) ? 2003 Prentice Hall Inc. All rights reserved. 18–4 What Is Organizational Culture? (cont'd) ? 2003 Prentice Hall Inc. All rights reserved. 18–5 What Is Organizational Culture? (cont'd) ? Culture Versus Formalization – A strong culture increases behavioral consistency and can act as a substitute for formalization. ? Organizational Culture Versus National Culture – National culture has a greater impact on employees than does their organization's culture. – Nationals selected to work for foreign companies may be atypical of the local/native population. ? 2003 Prentice Hall Inc. All rights reserved. 18–6 What Do Cultures Do? Culture's Functions: 1. Defines the boundary between one organization and others. 2. Conveys a sense of identity for its members. 3. Facilitates the generation of commitment to something larger than self-interest. 4. Enhances the stability of the social system. ? 2003 Prentice Hall Inc. All rights reserved. 18–7 What Do Cultures Do? Culture as a Liability: 1. Barrier to change 2. Barrier to diversity 3. Barrier to acquisitions and mergers ? 2003 Prentice Hall Inc. All rights reserved. 18–8 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. ? 2003 Prentice Hall Inc. All rights reserved. 18–9 How Employees Learn Culture ? Stories ? Rituals ? Material Symbols ? Language ? 2003 Prentice Hall Inc. All rights reserved. 18–10 How Organizational Cultures Have an Impact on Performance and Satisfaction E X H I B I T 18-7
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? 2003 Prentice Hall Inc. All rights reserved. 18–1 Institutionalization: A Forerunner of Culture ? 2003 Prentice Hall Inc. All rights reserved. 18–2 What Is Organizational Culture? Characteristics: 1. Innovation and risk taking 2. Attention to detail 3. Outcome orientation 4. People orientation 5. Team orientation 6. Aggressiveness 7. Stability ? 2003 Prentice Hall Inc. All rights reserved. 18–3 What Is Organizational Culture? (cont'd) ? 2003 Prentice Hall Inc. All rights reserved. 18–4 What Is Organizational Culture? (cont'd) ? 2003 Prentice Hall Inc. All rights reserved. 18–5 What Is Organizational Culture? (cont'd) ? Culture Versus Formalization – A strong culture increases behavioral consistency and can act as a substitute for formalization. ? Organizational Culture Versus National Culture – National culture has a greater impact on employees than does their organization's culture. – Nationals selected to work for foreign companies may be atypical of the local/native population. ? 2003 Prentice Hall Inc. All rights reserved. 18–6 What Do Cultures Do? Culture's Functions: 1. Defines the boundary between one organization and others. 2. Conveys a sense of identity for its members. 3. Facilitates the generation of commitment to something larger than self-interest. 4. Enhances the stability of the social system. ? 2003 Prentice Hall Inc. All rights reserved. 18–7 What Do Cultures Do? Culture as a Liability: 1. Barrier to change 2. Barrier to diversity 3. Barrier to acquisitions and mergers ? 2003 Prentice Hall Inc. All rights reserved. 18–8 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. ? 2003 Prentice Hall Inc. All rights reserved. 18–9 How Employees Learn Culture ? Stories ? Rituals ? Material Symbols ? Language ? 2003 Prentice Hall Inc. All rights reserved. 18–10 How Organizational Cultures Have an Impact on Performance and Satisfaction E X H I B I T 18-7