CH 16: Organizational Culture

What are the components of organizational culture? (onion model)

Observable artifacts
Stated values and beliefs
Underlying assumptions

What are some examples of
observable artifacts?

stories, rituals (aggie calls), symbols (rings), language

mini cultures within an organization, typically defined by department designations or geographical separation

subcultures

What is a strong culture?

In a strong culture, the organizations core values are both intensely held and widely shared

What are the benefits of having strong
cultures? Strong cultures will: (3)

Have a greater influence on the behavior of members
Increase cohesiveness
Result in lower employee turnover

What is the difference between culture and structure?

Structure is about who watches whom through supervision
Culture is how people behave when they are not being watched

How does a culture begin?

Founders

What are the mechanisms that keep a culture alive?

Selection
Socialization
Top Management

What is the socialization process like?

Pre- arrival
Encounter
Metamorphosis

What are some different socialization methods?

formal v informal
collective vs individual
fixed vs variable
serial vs random
divestiture vs investiture

How does culture influence organizational performance?

competitive advantage
climate

a firm gains a competitive advantage when it possesses resources that are:   

Valuable
Rare
Hard to imitate
No substitutes

competitive advantage

the shared perceptions organizational members have about their organization’s policies, procedures, and practices

climate

How does culture influence individual employees?

Person organization fit
Job satisfaction, well being
Job performance: task behaviors, helping behaviors
Career advancement

What are the potential constraints and problems created by cultures?

Institutionalization
Barriers to change
Barriers to acquisitions and mergers