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7/29/2019 Web Culture
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Understanding & ManagingCorporate Culture
BA 152
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Characteristics of Organizations
Environment
CulturesPeople
SystemsTechnologiesStructures
StrategiesGoals
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What is Corporate Culture?
An organizations and/or work units
Personality;
Set of shared assumptions about the waythings are done; and/or
Shared values, norms, and beliefs about
the ways things are done.
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Performance implications?
Organizational guidance systems?
Nature of cultures at Enron, Arthur Andersen,Tyco, HealthSouth,?
Impact of differences on mergers and/or
acquisitions?
Corporate Culture:Why should we be concerned?
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General Culture
Work Unit Cultures Work Unit Cultures
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Corporate Culture:What should we examine?
1. Visible events, actions, and/or
behaviors
2. Rules, language, symbols, and/orthings
3. Public norms/justification for the above
4. Hidden values/assumptions for theabove
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Corporate Culture:Where does it come from?
The organizations founder
A strong leader
Reactions to a crisis
Strategic decisions
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Corporate CultureWhat are the components?
Cultures Content1. Assumptions about what is important
2. The ordering of those assumptions
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Cultures Content: KFBS
Achievement
Responsibility
Family-like
Friendliness
Team work
Support
Family-like
Team work
Support
Friendliness
Friendliness
Achievement
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Corporate CultureWhat are the components?
Cultures Strength
1. Number of shared assumptions
2. How many employees share theseassumptions?
3. How many employees share theordering of these assumptions?
Cultures Content
1. Assumptions about what is important
2. The ordering of those assumptions
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Many
Many
Many
Some
Some
# of shared
assumptions
# of employeessharing orderingof assumptions
# of employeessharing theseassumptions
Few
Few
Cultures Strength
CharacteristicsWeak
CultureModerateCulture
StrongCulture
Few Some
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Corporate CultureWhy is it important?
Impact on behavior and control?
Greater predictability of behavior
Provides control in the absence of controls Impact on performance?
Is it better to have a strong culture or a
weak culture?
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Culture and Performance
STRATEGY
STRUCTURE
PERFORMANCE
ENVIRONMENT
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Environment, Strategy,
and Culture
Needs of the EnvironmentFlexibility Stability
Strate
gic
Focus
External
Internal
MissionCulture
Clan
CultureBureaucratic
Culture
Adaptability/Entrepreneurial
Culture
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Changing Your CultureHow should you start?
TOP DOWN?
BOTTOM UP?
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Leadership and Culture
. . . the only thing of real importancethat leaders do is to create and
manage culture, and the unique talentof leaders is their ability to work with
culture. (italics in the original)
(From Edgar Schein, OrganizationalCulture and Leadership, 1997)
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Maintaining/Changing
a Corporate Culture
1. Hiring/socializing new employees
2. (Re)moving current employees
3. Communicating cultural values
4. Modeling appropriate behavior
5. Rewarding appropriate behavior
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Managing a Corporate
Culture
1. Culture is not a simple concept.
2. Cultures influence is pervasive.
3. Manipulating culture is not any easy
task.
4. There is no one best (permanent)culture for an organization.
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Next Time
Implementing Change at National
Industrial Products