Essentials of Organizational Behavior,
Stephen P. Robbins
Chapter 14
Organizational Culture
14-1
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After reading this chapter, you should be able to:
1) Define the common characteristics
making up organizational culture
2) Contrast strong and weak cultures
3) Identify the functional and
dysfunctional effects of
organizational culture on people
4) List the factors that maintain an
organization’s culture
14-2
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After reading this chapter, you should be able to:
5) Clarify how culture is transmitted to
employees
6) Characterize a customerresponsive culture
7) Describe spirituality and
characteristics of a spiritual culture
8) Contrast organizational culture with
national culture
9) Explain the paradox of diversity
14-3
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Organizational culture
• Set of key characteristics that the
organization
values that
distinguishes
the organization
from other
organizations
14-4
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Stability
Innovation and
risk taking
Attention to
Detail
Characteristics
of
Organizational
Culture
Outcome
Orientation
Team
Orientation
People
Orientation
14-5
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• Organizational culture is concerned
with how employees perceive the
seven characteristics, not whether
they like them
14-6
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Do Organizations Have Uniform Cultures?
• A dominant
culture expresses
the core values
that are shared by
a majority of the
organization’s
members
14-7
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Do Organizations Have Uniform Cultures?
• Subcultures tend
to develop in large
organizations to
reflect common
problems,
situations, or
experiences that
members face
14-8
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• A strong culture
is characterized
by the
organization’s
core values being
both intensely
held and widely
shared
• A weak culture is
characterized by
vagueness,
ambiguity, and/or
inconsistencies
14-9
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Culture’s Functions
•Boundary-defining role
•Conveys a sense of identity
•Facilitates the generation of
commitment
•Enhances social system stability
•Sense-making and control
mechanism
14-10
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Culture as a Liability
• Shared values do not agree with
organization’s effectiveness
• Environment is dynamic
• Entrenched culture in rapid change
• Hinders ability to respond to
changes
14-11
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How a Culture Begins
• Ultimate source of an
organization’s culture is its
founders
14-12
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Keeping a Culture Alive
• Selection
• Top Management
• Socialization
14-13
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A Socialization Model
14-14
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How Cultures Form
14-15
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Stories
Language
How
Employees
Learn Culture
Rituals
Material
Symbols
14-16
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Managing Cultural Change
Cultural change is most likely to take
when the following conditions exist • Dramatic crisis exists or is created
• Turnover in leadership
• Young and small organization
• Weak culture
14-17
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Creating an Ethical
Organizational Culture
• Be a visible role model
• Communicate ethical expectations
• Provide ethical training
14-18
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Creating an Ethical
Organizational Culture
• Visibly reward ethical acts and
punish unethical ones
• Provide protective mechanisms
14-19
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Creating a Customer
Responsive Culture
• Companies recognize this is the
path to customer
loyalty and
long-term
profitability
14-20
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Key Variables Shaping CustomerResponsive Cultures
• Type of employees
• Low formalization
• Widespread use
of empowerment
14-21
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Key Variables Shaping CustomerResponsive Cultures
• Good listening skills
• Role clarity
• Employees who exhibit
organizational citizenship
behavior
14-22
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Managerial Action
• Selection
• Training and
socialization
• Structural design
• Empowerment
• Leadership
• Performance
evaluation
• Reward systems
14-23
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Workplace Spirituality
• Recognizes that people have an
inner life that nourishes and is
nourished by meaningful work that
takes place in the context of
community
14-24
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Characteristics of
Spiritual Organizations
• Strong sense of purpose
• Focus on individual
development
14-25
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Characteristics of
Spiritual Organizations
• Trust and openness
• Employee empowerment
• Toleration of employee
expression
14-26
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Paradox of Diversity
• Two Conflicting Goals
– Employees accept the organization’s
dominant values
– Encourage the acceptance of
differences
14-27
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Paradox of Diversity
• Too much investiture may create
misfits
• Too much divestiture may
eliminate unique strengths
14-28
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Summary
1) Defined the common characteristics
making up organizational culture
2) Contrasted strong and weak
cultures
3) Identified the functional and
dysfunctional effects of
organizational culture on people
4) Listed the factors that maintain an
organization’s culture
14-29
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Summary
5) Clarified how culture is transmitted
to employees
6) Characterized a customerresponsive culture
7) Described spirituality and
characteristics of a spiritual culture
8) Contrasted organizational culture
with national culture
9) Explained the paradox of diversity
14-30
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