Organization Culture
By Daniel Damaris Novarianto S.
LOGO
Organization Culture
 A system of shared meaning held by
members that distinguishes the organization
from other organizations.
 The seven primary characteristics seem to
capture the essence of an organization’s
culture:
 Innovation and Risk Tasking
 Attention to Detail
 Outcome Orientations
Organization Culture
 The seven primary characteristics seem to
capture the essence of an organization’s
culture: (cont.)
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People Orientation
Team Orientation
Aggressiveness
Stability
Organization Culture
 The other research has conceptualized
culture into four different types based
on competing values:
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The collaborative and cohesive clan
The innovative and adaptable adhocracy
The controlled and consistent hierarchy
The competitive and customer focused market
Culture is a Descriptive Term
 Organizational culture shows how employees
perceive the characteristics of an
organization’s culture, not whether they like
them
 The organizational culture is descriptive,
whereas job satisfaction is evaluative
The Uniform Culture
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Dominant culture
Subculture
Strong culture
Weak culture
Culture Vs Formalization
 The high formalization creates predictability,
orderliness, and consistency
 A strong culture achieves the same end
without the need for written documentation.
Culture’s Functions
 A boundary-defining role: it creates distinctions
between one organization and others.
 It conveys a sense of identity for organization
members.
 Culture facilitates commitment to something
larger than individual self-interest
 It enhances the stability of the social system.
 It is a sense-making and control mechanism that
guides and shapes employees’ attitudes and
behavior
Culture Creates Climate
 Organizational
climate refers to the
shared perceptions
organizational
members have about
their organization and
work environment.
 This is like team spirit
at the organizational
level
Polling News
Culture as Liability
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Institutionalization
Barriers to Change
Barriers to Diversity
Barriers to Acquisition
and Mergers
How a Culture Begins
 The founders hire and keep only employees who
think and feel the same way they do
 They indoctrinate and socialize these employees
to their way of thinking and feeling
 The founders’ own behavior encourages
employees to identify with them and internalize
their beliefs, values, and assumptions
 E.g: in Hyundai
How a Culture Begins (cont.)
How to Sustaining the Culture
 Selection practices
 The action of the top
management
 Socialization methods
A Socialization Model
Socialization Process
 Pre-arrival Stage:
 The period of learning in the socialization
process that occurs before a new employee
joins the organization.
 Encounter Stage:
 The stage in the socialization process in which
a new employee sees what the organization is
really like and confronts the possibility that
expectations and reality may diverge.
Socialization Process (cont.)
 Metamorphosis Stage:
 The stage in the socialization process in which
a new employee changes and adjusts to the
job, work group, and organization.
Entry Socialization Option
 Formal Vs Informal
 Individual Vs
Collective
 Fixed Vs Variables
 Serial Vs Random
 Investiture Vs
Divestiture
How Employees Learn Culture
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Stories
Rituals
Material Symbols
Language (Acronyms
or Jargons)
Creating an Ethical Organization Culture
 What can managers do to create a more
ethical culture?
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Be a visible role model
Communicate ethical expectations
Provide ethical training
Visibly reward ethical acts and punish
unethical acts
 Provide protective mechanism
Creating a Positive Organization Culture
 Building on Employees
Strength
 Rewarding More Than
Punishing
 Emphasizing Growth
and Vitality
 Limits of Positive
Culture
Spirituality and Organization Culture
 Workplace spirituality is not about organized
religious practices
 It’s not about God or theology
 Workplace spirituality recognizes that people
have an inner life that nourishes and is nourished
by meaningful work in the context of community.
 People seek to find meaning and purpose in their
work and desire to connect with other human
beings as part of a community.
Characteristics of Spiritual Organization
 Benevolence
 Strong sense of
purpose
 Trust and respect
 Open-mindedness
Growing Interest in Spirituality
 Reason for the growing interest in
spirituality:
 Spirituality can counterbalance the pressures
and stress of a turbulent pace of life
 Formalized religion hasn’t worked for many
people, and they continue to look for anchors
to replace lack of faith and to fill a growing
feeling of emptiness
Growing Interest in Spirituality (cont.)
 Reason for the growing interest in
spirituality: (cont.)
 Job demands have made the workplace
dominant in many people’s lives, yet they
continue to question the meaning of work.
 People want to integrate personal life values
with their professional life
 An increasing number of people are finding
that the pursuit of more material acquisitions
leaves them unfulfilled
Summary and Implications for Managers
LOGO