1. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Chapter 16 Organizational Behavior: Foundations, Realities, & Challenges Nelson & Quick, 5 th edition Organizational Culture

2. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Organizational (Corporate) Culture Definition:

3. Levels of Organizational Culture Artifacts – Values Espoused: Enacted: Assumptions – Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved

4. Organizational Culture Levels Visible, often not decipherable Greater level of awareness Taken for granted Invisible Preconscious Reprinted with permission from Edgar H. Schein, Organizational Culture and Leadership: A Dynamic View. Copyright © 1985 Jossey-Bass Inc, a subsidiary of John Wiley & Sons, Inc. Artifacts. Values. Basic Assumptions. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved

5. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Functions of Organizational Culture Culture provides... Culture is... Culture reinforces... Culture serves as...

6. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved ___________ Theories about the relationship between organizational culture and performance _______ ________ _________ __________

7. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved An organizational culture with a consensus on the values that drive the company and with an intensity that is recognizable even to outsiders Strong cultures facilitate performance because. Strong Culture Perspective

8. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Argument that a culture is good only if it fits the industry’s or the firm’s strategy. Organizational characteristics that may affect culture. Fit Perspective

9. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved An organizational culture that encourages confidence and risk taking among employees, has leadership that produces change, and focuses on the changing needs of customers AdaptiveNonadaptive Core Values Common Behavior Reprinted with the permission of The Free Press, a Division of Simon & Schuster, Inc. from Corporate Culture and Performance by John P. Kotter and James L Heskett. Copyright © 1992 by Kotter Associates, Inc. and James L. Heskett. Adaptive Perspective

10. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Five Most Important Elements in Managing Culture 1. 2. 3. 4. 5.

11. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Organizational Socialization Definition:

12. Stages of Socialization Realism Congruence 1. 2. Job demands. 3. Mastery 1. 2. 3. 4. 5. From “An Ethical Weather Repart: Assessing the Organization's Ethical Climate” by John B. Cullen, et al. In Organizational Dynamics, Autumn 1989. Copyright © 1989 American Management Association International. Reprinted by permission of American Management Association International, New York, N.Y. All rights reserved. Http://www.amanet. Org. Outcomes of Socialization Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved

13. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved 2. Encounter – 3. Change and Acquisition – 1. Anticipatory Socialization –

14. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Socialization as Cultural Communication Core values are transmitted to new organization members through –.

15. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Assessing Organizational Culture. Triangulation –

16. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Situations That May Require Cultural Changes Reasons That Change Is Difficult. ....

17. Hiring and socializing members who fit in with the new culture Removing members who reject the new culture Culture Cultural communication Changing behavior Examining justifications for changed behavior 2 1 5 3 4 Interventions for Changing Organizational Culture Reprinted with permission from Vijay Sathe “How to Decipher & Change Corporate Culture,” Copyright © 1985 Jossey-Bass Inc, Reprinted by permission Of Jossey-Bass, Inc., a subsidiary of John Wiley & Sons, Inc.. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved

18. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Cultural Modifications in the Current Business Environment Support for... Reinforcement of... Empowerment of...

19. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Support for a global view of business Create... Develop... Use... Implement...

20. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved. Reinforcement of ethical behavior

21. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Empowerment unleashes... Empowerment requires... –. Empowerment of employees to excel in product and service quality