1. Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: Organizational Culture

2. Copyright 1999 by Brent Smith, Ph.D. Organizational Culture Basic Definitions The informal set of values and norms that controls the way people and groups in an organization interact with each other and with people outside the organization—George and JonesThe informal set of values and norms that controls the way people and groups in an organization interact with each other and with people outside the organization—George and Jones A cognitive framework consisting of attitudes, values, behavioral norms, and expectations shared by an organization’s members—Greenberg and BaronA cognitive framework consisting of attitudes, values, behavioral norms, and expectations shared by an organization’s members—Greenberg and Baron A belief system shared by an organization’s members—Moorehead and GriffinA belief system shared by an organization’s members—Moorehead and Griffin

3. Copyright 1999 by Brent Smith, Ph.D. Characteristics of Culture CollectiveCollective Emotionally chargedEmotionally charged Historically basedHistorically based SymbolicSymbolic FuzzyFuzzy DynamicDynamic

4. Copyright 1999 by Brent Smith, Ph.D. What is the purpose of Organizational Culture? Maintains the social orderMaintains the social order Manages uncertaintyManages uncertainty Creates continuity/collective identityCreates continuity/collective identity Generates commitment to the missionGenerates commitment to the mission Enhances social system stabilityEnhances social system stability Sense-makingSense-making

5. Copyright 1999 by Brent Smith, Ph.D. Cultures within Organizations Dominant culture—the distinctive, overarching “personality” of the organizationDominant culture—the distinctive, overarching “personality” of the organization Subculture—cultures existing within parts of an organization rather than entirely throughout itSubculture—cultures existing within parts of an organization rather than entirely throughout it

6. Copyright 1999 by Brent Smith, Ph.D. The Origins of Culture “The people make the place”—Schneider (1987)“The people make the place”—Schneider (1987) –Role of the founder –Attraction-Selection-Attrition –Socialization/Enculturation Other influencesOther influences –Internal integration –External adaptation

7. Copyright 1999 by Brent Smith, Ph.D. Socialization Smoothes the rough edges (refines fit)Smoothes the rough edges (refines fit) Stages of socializationStages of socialization –Anticipatory –Accommodation –Role Management Socialization need not be formal!Socialization need not be formal!

8. Copyright 1999 by Brent Smith, Ph.D. Socialization (cont.) Stories (just like fables)Stories (just like fables) Rituals and CeremoniesRituals and Ceremonies –Rites of passage –Rites of integration –Rites of enhancement –Rites of degradation Symbols (including slogans)Symbols (including slogans) Language (specialized jargon)Language (specialized jargon) HeroesHeroes Reward/punishmentReward/punishment

9. Copyright 1999 by Brent Smith, Ph.D. Strength of Culture Cultural strength—the degree of “sharedness” of the organization’s valuesCultural strength—the degree of “sharedness” of the organization’s values Indexes the homogeneity of the cultureIndexes the homogeneity of the culture Cultures range from strong to weakCultures range from strong to weak Would you want a strong or weak culture?Would you want a strong or weak culture? –What are the trade-offs?

10. Copyright 1999 by Brent Smith, Ph.D. The Levels of Culture Artifacts—surface level characteristics; obvious to everyone (hard to decipher)Artifacts—surface level characteristics; obvious to everyone (hard to decipher) Values—not obvious but you can measure these by consensus (goals, philosophies, etc.)Values—not obvious but you can measure these by consensus (goals, philosophies, etc.) Basic Underlying Assumptions—can only infer what the basic assumptions are; these are taken-for-granted; pre-conscious.Basic Underlying Assumptions—can only infer what the basic assumptions are; these are taken-for-granted; pre-conscious.

11. Copyright 1999 by Brent Smith, Ph.D. How do we study culture? EthnographyEthnography –Become a participant observer Survey ResearchSurvey Research –Ask people about their values Which is better?Which is better?

12. Copyright 1999 by Brent Smith, Ph.D. What about Subcultures? What circumstances cause subcultures?What circumstances cause subcultures? –Structure/Size –Vocations –Geography Can you have subcultures at odds with the dominant culture?Can you have subcultures at odds with the dominant culture? Are subcultures functional?Are subcultures functional?

13. Copyright 1999 by Brent Smith, Ph.D. Culture and Inertia Over time culture tends to dominate organizations—structure, process, strategy, peopleOver time culture tends to dominate organizations—structure, process, strategy, people This creates immense inertiaThis creates immense inertia Culture can inhibit changeCulture can inhibit change Culture can lead to an organizations downfall (the Icarus paradox)Culture can lead to an organizations downfall (the Icarus paradox)

14. Copyright 1999 by Brent Smith, Ph.D. How do you change culture? You can’t just change the symbols!You can’t just change the symbols! You can’t just espouse different values!You can’t just espouse different values! How do you change the basic underlying assumptions of people—you change the people.How do you change the basic underlying assumptions of people—you change the people. –Cultures clashing: Mergers and Acquisitions You also must change structure and processYou also must change structure and process

15. Copyright 1999 by Brent Smith, Ph.D. Four Types of Cultures NetworkedCommunal FragmentedMercenary Solidarity Sociability

16. Copyright 1999 by Brent Smith, Ph.D. Organizational Culture: A final definition A pattern of shared basic assumptions that the group learned as it solved 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 (1990)A pattern of shared basic assumptions that the group learned as it solved 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 (1990)

17. Copyright 1999 by Brent Smith, Ph.D. Organizational Climate: A Related Construct Developed from Psychology not AnthropologyDeveloped from Psychology not Anthropology Climate represents people’s descriptions of the routines and rewards in their organizationClimate represents people’s descriptions of the routines and rewards in their organization People attach meaning to their perceptions of events in their organizationPeople attach meaning to their perceptions of events in their organization Climate primarily represents what gets rewarded in an organizationClimate primarily represents what gets rewarded in an organization Organizations can have multiple climatesOrganizations can have multiple climates