Understanding Understanding Organizational Organizational

Culture Culture Part IIPart II

Edgar H. Schein (2004)

Culture Defined: Culture is a pattern of shared basic assumptions ...

Schein writes this about culture:

“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?

“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

How is Culture Created?

How is Culture Embedded?

How Culture is Embedded, con’t

Three Levels of CultureThree Levels of Culture

ArtifactsArtifactsEspoused ValuesEspoused Values

Underlying AssumptionsUnderlying Assumptions

Artifacts: visible organizational

structures and processes, such as ...

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

Basic Underlying Assumptions: Beliefs and attitudes so taken for granted that

they are not often articulated

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

What do you see as the What do you see as the artifacts, espoused artifacts, espoused values, and basic values, and basic

underlying assumptions underlying assumptions of Enron, based on the of Enron, based on the

film, “The Smartest Guys film, “The Smartest Guys in the Room” ?in the Room” ?