Robbins & Judge Organizational Behavior 13th Edition Organizational Culture Bob Stretch Southwestern College © 2009 Prentice-Hall Inc. All rights reserved. 17-0 Organizational Culture • Organizational Culture – A common perception held by the organization’s members; a system of shared meaning © 2009 Prentice-Hall Inc. All rights reserved. 17-1 Seven primary characteristics: 1. Innovation and risk taking 2. Attention to detail 3. Outcome orientation 4. People orientation 5. Team orientation 6. Stability © 2009 Prentice-Hall Inc. All rights reserved. 17-2 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. Enhances the stability of the social system © 2009 Prentice-Hall Inc. All rights reserved. 17-3 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 © 2009 Prentice-Hall Inc. All rights reserved. 17-4 Socialization Program Options • Choose the appropriate alternatives: – – – – – Formal versus Informal Individual versus Collective Fixed versus Variable Serial versus Random Investiture versus Divestiture • Socialization Outcomes: – Higher productivity – Greater commitment – Lower turnover Exhibit 17-3 © 2009 Prentice-Hall Inc. All rights reserved. 17-5 Creating an Ethical Organizational Culture • Characteristics of Organizations that Develop High Ethical Standards – High tolerance for risk – Focus on means as well as outcomes • Managerial Practices Promoting an Ethical Culture – – – – Being a visible role model Providing ethical training Rewarding ethical acts and punishing unethical ones Providing protective mechanisms © 2009 Prentice-Hall Inc. All rights reserved. 17-6 Creating a Positive Organizational Culture • Positive Organizational Culture – A culture that: • Builds on employee strengths – Focus is on discovering, sharing, and building on the strengths of individual employees • Rewards more than it punishes • Emphasizes individual vitality and growth – Helping employees learn and grow in their jobs and careers © 2009 Prentice-Hall Inc. All rights reserved. 17-7 Spirituality and Organizational Culture • Workplace Spirituality – The recognition that people have an inner life that nourishes and is nourished by meaningful work that takes place in the context of the community • People seek to find meaning and purpose in their work. © 2009 Prentice-Hall Inc. All rights reserved. 17-8 Why Spirituality Now? – Job demands have made the workplace dominant in many people’s lives, yet they continue to question the meaning of work. – The desire to integrate personal life values with one’s professional life. © 2009 Prentice-Hall Inc. All rights reserved. 17-9 Characteristics of a Spiritual Organization • Concerned with helping people develop and reach their full potential • Directly addresses problems created by work/life conflicts • Four characteristics of spiritual organizations: 1. 2. 3. 4. Strong sense of purpose Trust and respect Humanistic work practices Toleration of employee expression © 2009 Prentice-Hall Inc. All rights reserved. 17-10 Criticisms of Spirituality • What is the scientific foundation? – It is still pending: needs more research © 2009 Prentice-Hall Inc. All rights reserved. 17-11 Global Implications • Organization cultures, while strong, can’t ignore local culture • Managers should be more culturally sensitive by: – Speaking slowly and in a low tone – Listening more – Avoiding discussions of religion or politics • All global firms need to be more culturally sensitive © 2009 Prentice-Hall Inc. All rights reserved. 17-12 Summary and Managerial Implications • Strong cultures are difficult for managers to change – In the short run, strong cultures should be considered fixed • Selecting new hires that fit well in the organizational culture is critical for motivation, job satisfaction, commitment, and turnover • Socialization into the corporate culture is important • As a manager, your actions as a role model help create the cultural values of ethics, spirituality, and a positive culture © 2009 Prentice-Hall Inc. All rights reserved. 17-13