ORGANIZATIONAL CULTURE

BY: PALLAB MAHANTASUDEEP KUMAR

WHAT IS ORGANIZATIONAL CULTURE ?

INTRODUCTION

Culture is a unique dominant pattern of shared beliefs, assumptions, values and norms that shape the socialization, symbols, language and practices of a group of people.

The attitudes and approaches that typify the way staff carry out their tasks.

Culture is developed and transmitted by people, consciously and unconsciously, to subsequent generations.

DEFINITION

It must be shared by the vast majority of members of a group or society.

It must be passed on from generation to generation.

It must shape behavior and perceptions.

What must be for culture to exist ?

Shared assumptions are the thoughts and feelings that members of a culture take granted and believe to be true.

Shared assumptions

Values are the basic beliefs people hold that specify general preferences and behaviors, and define what is right and wrong.

Cultural values are reflected in a society’s morals, customs and established practices.

Norms are rules that govern behaviours of group of people.

Values and Norms

A symbol is a very visible objects, act, or events that conveys meaning to others. Examples:

ArtifactsDressOffice layoutSlogansceremonies

Symbols

Language is a shared system of vocal sounds, written signs, and/or gestures used to convey meaning among members of a culture.

Language

Practices are observable cultural customs such as taboos( culturally forbidden behavior) and ceremonies.

Practices

Socialization is the process by which people learn values, norms, behaviours and social skills.

It is the mean by which new members are brought into a culture.

Socialization

The basic types of organizational culture are:

Bureaucratic Clan Market Entrepreneurial

Types of organizational culture

In this type of culture the behaviour of employees is governed by formal rules and standard operating procedures.

Such a culture perpetuates stability. Organizations with bureaucratic culture

tends to produce standardized goods and services, example:

Government ministries Fast food establishment

Bureaucratic culture

In a clan culture the behaviour individuals are shaped by tradition, loyalty, personal commitment, extensive socialization and self-management.

A clan culture achieve unity through socialization. Long term employees serve as mentors. Members are aware of the organization's history

and have an understanding of the expected manner of conduct and organizational style.

Members share feelings of pride in membership. Peer pressure to adhere to important norms is

strong.

Clan culture

In a market culture, the values and norms reflects the significance of achieving measurable and demanding goals mainly concerning those that are financial and market based.

Companies with a market culture tend to focus on :Sales growthProfitabilityMarket share

Individuals are responsible for their performance; whereas the organization promises specific rewards for level of performance.

Managers are not judge on their effectiveness as role models or models; but on monthly, quarterly, and annual performance goals based on profit.

Market culture

Organizations existing in the context of an entrepreneurial culture are characterized by high levels of risk taking and creativity.

There is a commitment to experimentation, innovation, and being on the leading edge.

Entrepreneurial culture

Organizational culture has the potential to enhance organizational performance, individual satisfaction, the sense of certainty about how problems are to be handled.

Culture serves as a control mechanism to channel behaviour towards desired behaviors and to prevent undesired behaviors.

Relationship between culture and organizational performance

A common behavioral style must be shared by managers and employees.

Have the same basic approaches to solving problems, meeting goals, and dealing with stakeholders.Have share common norms that guide rule governing rewards and punishment.

A strong organizational culture assists in the creation of a stable organization, the consequence of which lead to the achievement of the company’s strategic goals.

Building a strong organizational culture

Outcomes of socialization process