1. 1 Organizational Culture February 16, 2010 MGMT-4000 Linda Miklas, Christina Finegold Harvard University

2. 2 In Your Group  Discuss the question you have been given Make sure everyone is heard Make sure everyone is heard Agree on a response ~ perhaps you all agree or perhaps you can agree on at least a few salient points. Agree on a response ~ perhaps you all agree or perhaps you can agree on at least a few salient points.  Select a volunteer to report your response.

3. 3 What is Culture?  A pattern of basic assumptions – invented, discovered, or developed by a given group as it learns to cope with its problems of external adaptation and internal integration – that has worked well enough to be considered valid and, therefore to be taught to new members as the correct way to perceive, think, and feel in relation to those problems.  A pattern of basic assumptions – invented, discovered, or developed by a given group as it learns to cope with its problems of external adaptation and internal integration – that has worked well enough to be considered valid and, therefore to be taught to new members as the correct way to perceive, think, and feel in relation to those problems. Edgar Schein  The sum of its shared valued, beliefs, and norms of behavior. Bossidy and Charan

4. 4 A strong culture reflects a broadly and deeply shared value system.  Why are shared values important? How do you see them?  How do you see shared actions?  How do you see shared beliefs?

5. 5 From the work of Edgar Schein Organizational culture Common experiences Shared views and problem solving Assumptions and beliefs

6. 6 Organizational Symbols  Heroes & heroines  Stories & fairytales  Rituals  Ceremonies  Metaphor, humor, play

7. 7 Culture  Rules The types of actions that are appropriate The types of actions that are appropriate  Roles Where individual members stand in the social system Where individual members stand in the social system

8. 8 How does organizational culture affect performance and employee satisfaction in your experience?

9. 9 How does cultural change occur in an organization? What works? What doesn’t?

10. 10 What role does the leader play in creating, reinforcing and changing the organizational culture?

11. 11 Diversity is a competitive advantage. Do you agree with this statement? Why or why not?

12. 12 Understanding an Organization’s Culture  Understanding the de facto rules for inclusion  Study the power structure  Examine the reward and punishment system  Understand problems the organization has successfully addressed Source: What is an Organization’s Culture? Clayton M. Christensen, Harvard Business Review, 2006

13. 13 Continuous Cultural Development Organization development is the application of behavioral science knowledge in a long- range effort to improve an organization’s ability to cope with change in its external environment to increase its internal problem-solving capabilities

14. 14 References   What’s an Organization’s Culture?, Christensen, Clayton M., Harvard Business Review 2006  Schermerhorn, John R., Hunt, James G., Osborn, Richard N., 2008, Wiley.  Organizational Behavior. Schermerhorn, John R., Hunt, James G., Osborn, Richard N., 2008, Wiley.  Execution: The Discipline of Getting Things Done. Bossidy, Larry and Charan, Ram, 2002, Crown Business.  Reframing Organizations: Artistry, Choice, and Leadership. Bolman, Lee G. and Deal, Terrence E., 2008, Jossey-Bass.