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Constructing Entrepreneurial Culture - Coggle Diagram
Constructing Entrepreneurial Culture
Hofstede Dimensions
of culture
Individualism v collectivism
– the degree to which people prefer to act as individuals rather than as groups
Power distance
– the degree of inequality accepted by the community
Uncertainty avoidance
– the degree to which people avoid ambiguity/uncertainty & prefer structure
Masculine vs feminine
– quality of life issues like individual achievement & assertiveness vs relationships & concern for others
Entrepreneurial culture
Change welcomed & seen as the norm
Creativity & innovation valued
Strong personal & group relationships valued & generate an ‘in-group’ identity
built around vision, values, norms & beliefs & consistent with leadership style
A wide partnership network
Staff empowered & motivation to make decisions ‘for the good of the organization’, balancing between two elements from Hofstede’s culture:
Individual initiative & achievement is valued (high ‘individual’ & ‘masculine’ culture)
Cooperative relationships are valued (high ‘feminine’ & ‘collectivism’ culture)
Measured risk-taking & experimentation encouraged. Mistakes tolerated but learned from (low ‘uncertainty avoidance’). Decision-making delegated & information shared
Egalitarian & slightly anti-authoritarian (low power distance) with flat organizational structures, open & informal relationships & open, unrestricted information flows
Measuring an individual’s culture
Communicating
– Preference for low (simple) vs high (nuanced) context communication
Evaluating
– Preference for direct vs indirect criticism
Persuading
– Preference for theory vs practice
Leading
– Respect & deference for authority
Deciding
– Preference for consensual vs directed decision-making
Trusting
– Task-based (head) vs relationship-based (heart)trust
Disagreeing
– Whether confrontation is seen to improve or harm relationships
Scheduling
– Importance of time-keeping
Entrepreneurial intensity
& innovation
Number of failures high, number of success low, in failure zone
Number of failures low, number of success high, in success zone
Organization Cultural
Assessment Tool
Dominant characteristics
– personal & sharing; dynamic & entrepreneurial; aggressive; controlling
Leadership style
– nurturing; entrepreneurial & innovative; aggressive; organized & efficient
Management
– participative & team-working; innovative & risk-taking; competitive; conformity & predictability
Organization glue
– loyalty & mutual trust; innovation; achievement; formal rules & policies
Strategic emphasis
– trust & openness; acquiring new resources; achievement; stability & efficiency
Criteria for success
– concern for people; having most unique products; winning in the market; efficiency
Organizational culture
Organizational processes
Leadership styles
Structures
Controls & rewards
Empowerment
Routines, rituals, rites & taboos
Stories, symbols & myths
Cognitive processes
Ethics, beliefs, assumptions & attitudes
Norms & rules of conduct
Behaviours
How things actually get done - rational vs politicking, rule following vs bending
Vocabulary – job titles, slogans, metaphors, signals, gossip
