Understanding Understanding Organizational Organizational

Culture Culture Part IPart I

Edgar H. Schein (2004)

CULTURE AND ORGANIZATION LEARNING

COOK AND YANOW, 1993The Powell Flute Company - 2007

Misconceptions about Organizational Culture

“Culture” = Sophistication

Anthropological view: Culture = Rituals and Customs

Org research view– A “right” kind of culture– Some cultures are better than others (surveys)– Stronger culture = Better performance

Abstract Nature of Culture

Organizational culture describes phenomena that are often hidden and below the surface of observable behavior

Culture is within us as individuals (learned behavior in family, peer groups, occupation), yet constantly evolving as we join and create new groups

Culture and Leadership

“Culture and leadership are two sides of the same coin in that leaders first create cultures when they create groups and organizations.”

What do you think he means?

Attributes of Culture

Begins with leaders who impose their values and assumptions on a group

If the group is successful, assumptions come to be taken for granted as the “right” way to do things

Results in a culture that now defines what type of leadership is effective

Attributes of Culture If group runs into adaptive difficulties (the

environment changes internally or externally), some of these taken-for-granted assumptions may no longer be valid

Leadership now becomes the ability to step “outside” the culture and initiate change processes that are adaptive to the new reality

“The bottom line for leaders is that if they do not become

conscious of the cultures in which they are embedded, those cultures will manage

them.”

Edgar H. Schein, 2004

Shared Attributes of Organizational Culture

Observed behavioral regularities

Group norms Espoused values Formal philosophy “Rules of the game”

Climate Embedded skills Habits of thinking Shared meanings “Root metaphors” Formal rituals

and celebrations

Characteristics of Culture

Structural Stability– Stable, as well as “shared”– Culture survives when members of the org

do not

Depth– Deepest, often unconscious part of group

life; less tangible and less visible

Characteristics of Culture

Breadth – Pervasive; influences all aspects of the

organization

Patterning or Integration– Forms a “gestalt” or whole to create

orderliness in the organization– Reduces ambiguity – Permits sensemaking

Culture DefinedCulture Defined

A pattern of shared basic assumptions that was learned by a group as it solved its problems of external adaptation and internal integration, that has worked well enough to be considered valid and, therefore, to be taught to new members as the correct way to perceive, think, and feel in relation to those problems.

Three Levels of CultureThree Levels of Culture

ArtifactsArtifacts

Espoused ValuesEspoused Values

Underlying AssumptionsUnderlying Assumptions

Artifacts: visible organizational

structures and processes, such as ... Dress code Names and titles of people and how they

are used Formality or informality in speaking Degree of emphasis on automation Perks such as parking, other benefits Traditions upheld Working hours

Espoused Values: established group values and beliefs such as ...

Slogans, mottos

Mission statements or code of ethics

Statements about commitment to excellence (or customer service, etc)

Overt and professed beliefs about how employees and customers are treated

Basic Underlying Assumptions: beliefs and attitudes so taken for granted that they are not often

articulated Most difficult to change because rarely

re-examined Similar to what Argyris calls “theories

in use” Represent a shared “mental map” Represent the most powerful aspect of

organizational culture

How does a new group How does a new group create a culture? create a culture?

Each member of a new group will bring his or her own cultural learning from a prior group.

As the new group develops its own shared history, it will develop modified or brand-new assumptions based on what is successful in its own experience.

These new assumptions create the culture of the new group.

What do you see as the artifacts What do you see as the artifacts and espoused values at Enron and espoused values at Enron from the movie? from the movie?

What “appear” to be basic What “appear” to be basic underlying assumptions in underlying assumptions in operation? operation?

How would you go about How would you go about finding out more about these finding out more about these underlying assumptions to underlying assumptions to ascertain if what you have ascertain if what you have surmised is correct?surmised is correct?