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ORGANIZATIONAL CULTURE AND CHANGE - Coggle Diagram
ORGANIZATIONAL CULTURE AND CHANGE
CHARACTERISTICS OF ORGANIZATIONAL CULTURE
Organizational culture: system of shared meaning held by members that distinguishes the organizational from other organizations
Values
Ex: A healthcare company might value "patient care above all," reflected in a culture that prioritizes patient well-being and empowers employees to make decisions in the best interest of the patient.
Beliefs
Ex: Employees at a company with a strong belief in work-life balance might be more likely to utilize flexible work arrangements and resist working long hours.
Assumptions
Ex: A tech startup might have an assumption that "innovation is key," leading to a culture that embraces risk-taking and experimentation.
Shared values, beliefs and assumptions
Filter what employees pay attention to
Are physically manifested as material symbols and stories: uniforms, statues,...
how to transfer that through sharing stories
Form the foundation for shared meaning among members of an organization
Culture as a Descriptive Term
Organizational culture is concerned with employees' perceptions of the characteristics of the culture, not whether they like them
Job satisfaction is evaluative><Organizational culture is descriptive
Do Organizations Have Uniform Cultures?
Dominant culture: expresses core values a majority of members share and that give the organization distinct personality
Ex: Innovation: Google have a dominant culture that emphasizes creativity, risk-taking, and coming up with new ideas. This would be reflected in things like their open office spaces, employee perks that encourage exploration and a focus on cutting-edge technology.
Subcultures: develop in large organizations to reflect common problems, situations or experiences that members face
Ex: The Night Owls: A subculture of employees who prefer to work late nights and thrive in a quieter environment.
Strong Versus Weak Cultures
Strong culture: core values are intensely held and widely shared
Ex: Innovation at Google: Google's core values include "focus on the user and all else will follow" and "fast is better than slow." This translates into a culture that encourages trying new ideas, even if they fail, and moving quickly to bring products to market.
The more members who accept the core values and the greater their commitment, the stronger the culture and the greater its influence on member behavior
Ex: Sports Team: A strong team culture often emphasizes values like teamwork and perseverance. Players who are committed to these values would prioritize supporting each other on the field, even during setbacks. This would be evident in their communication, encouragement, and willingness to put the team's success above individual glory.
HOW IS CULTURE TRANSMITTED TO EMPLOYEES?
Stories: the way you tell exactly about stories, message you want to tell -> employees remmember values
Ex: For example, Southwest Airlines tells the story of Herb Kelleher, its co-founder, who once famously ripped off his shirt in a meeting to demonstrate the company's commitment to low fares.
Rituals: repetitive sequences of acts that express and reinforce the key values of organization
Ex: Weekly Team Meetings: This seemingly routine practice can be a cultural ritual if it emphasizes collaboration, open communication, and celebrating team wins.
Symbols
Ex: Slogans: Company mottos can encapsulate the organization's mission and values. For example, "Think different" from Apple.
Language
CREATING AND SUSTAINING CULTURE
Culture creation occurs in 3 ways
Founders hire employees who think and feel the way they do
Employees are indoctrinated and socialized into the founders' way of thinking
Founders' own behavior encourages employees to identify with them and internalize their beliefs, values and assumptions
Keeping a culture alive
Selection
Identify and hire individuals with the knowledge, skills and abilities to perform successfully
2-way street
Top Management
Establish norms of behavior
Socialization: process which enables new employees to acquire the social knowledge and necessary skills to adapt to organization's culture
Ex: Formal training programs: Companies may have onboarding programs that introduce new hires to the company's mission, values, and policies. This can help employees understand what's expected of them and how their role fits into the bigger picture.
WHAT DO CULTURES DO?
The Functions of Culture
Boundary-defining role
Conveys a sense of identity for members
Facilitates the generation of commitment
Enhances the stability of the social system
Serves as a sense-making and control mechanism
Culture Creates Climate
Organizational climate: shared perceptions about the organization and work environment
Ex: Supportive and Trusting: A workplace with open-door policies, opportunities for growth, and recognition programs would likely have a supportive and trusting climate.
Climates can interact with one another to produce behavior
Climate also influences the habits people adopt
Culture as an asset
Culture can significantly contribute to an organization's bottom line in many ways
The Ethical Dimensions of Culture
Organizational cultures are not neutral in their ethical orientation, even when they are not openly pursuing ethical goals
Ethical culture; or the shared concept of right and wrong behavior in the workplace develops as part of the organizational climate
The ethical climate reflects the true values of the organization and shapes the ethical decision making of its members
Sustainability: practices that can be maintained over very long periods of time because the tools or structures that support the practices are not damaged by the processes
INFLUENCING AN ORGANIZATIONAL CULTURE
Positive organizational culture
Emphasizes building on employees strengths
Rewards more than it punishes
Emphasizes individual vitality growth
Toxic positivity
Ex: After a product launch flops, a leader announces, "Every setback is a learning opportunity! Let's move on!" (Ignores the need to analyze what went wrong and prevent future failures.)
Idea champion: individuals who take an innovation and actively and enthusiastically promote the idea, build support, overcome resistance and ensure that the idea is implemented
Ex: The Eco-Friendly Champion: A factory worker proposes a new recycling process that could save the company money and reduce its environmental footprint. They become an idea champion, presenting the plan to colleagues, gathering data on potential cost savings, and addressing concerns about workflow disruption.
HOW CHANGE OPERATES WITHIN AND OUTSIDE ORGANIZATIONS
Change: when things become different than the way they were
Planned change: change activities that are proactive, intentional and goal-oriented
Change agents: people who acts as catalysts and assume the responsibility for managing change activities
4 APPROACHES TO MANAGING CHANGE
Action research: a change process based on the systematic collection of data and selection of a change action based on what the analyzed data indicate
Organizational development: collection of change methods that try to improve organizational effectiveness and employee well-being
Process consultation
Team building
Intergroup development
Appreciative inquiry
Paradox Theory: key paradox in management is that there is no final optimal status for an organization
Ex: A fast-food chain might prioritize rapid service to boost efficiency. While this keeps customers happy in the short term, it could limit employee training time, impacting food quality and innovation in the long run.
Kotter's 8-step plan