organizational culture-dr. tanushree chakraborty

8/9/2019 Organizational Culture-DR. TANUSHREE CHAKRABORTY

http://slidepdf.com/reader/full/organizational-culture-dr-tanushree-chakraborty 1/58

DR. TANUSHREE CHAKRABORTY

ORGANIZATIONAL CULTURE



A SYSTEM OF SHARED

MEANING HELD BY

MEMBERS THAT

DISTINGUISHES THEORGANIZATION FROM

OTHER ORGANIZATION

Organizational Culture



Corporate cultureThe total sum of the values, customs, traditions and

meanings that make a company unique.

Corporate culture is often called "the character of anorganization" since it embodies the vision of the

company¶s founders.

The values of a corporate culture influence the ethicalstandards within a corporation, as well as managerial

behavior



Characteristics

y Innovation and risk taking

y Attention to detail

y Outcome orientation

y People orientation

y Team orientation

y Aggressivenessy Stability



Strong and Weak Culturey Strong culture demands that organization¶s core

values are intensely held and widely shared

y Conversely, there is weak culture where there is

little alignment with organizational values and

control must be exercised through extensive

procedures and bureaucracy.



Group discussion:

How the cultural environment

impacts an organization?



F

unctions of Culturey Boundary defining role

y Sense of identity

y

Social system stabilityy Sense making and control mechanism

y Conformity to rules

y Shared meaning- cooperation

y Consistent decision making

y Reduces communication differences



Culture¶s Overall Function

Culture is the social glue that helps holdan organization together by providing

appropriate standards for what

employees should say or do.



Prentice Hall, 2001Chapter 17 9

How EmployeesLearn Culture/How it is reinforced

MaterialMaterial

SymbolsSymbolsLanguageLanguage

StoriesStories RitualsRituals



Prentice Hall, 2001Chapter 17

10

Organizational Culture

Controlling behavior

Defining boundaries

Conveying identity

Promoting commitment

Blocking mergers

Inhibiting diversity

Inhibiting change

Blocking acquisitions

Functions Liabilities



11

How OrganizationalHow Organizational

Cultures FormCultures Form

PhilosophyPhilosophy

of theof the

Organization¶sOrganization¶s

Founders:Founders:

Ben & Jerry,Ben & Jerry,

Herb Kelleher,Herb Kelleher,

Bill GatesBill Gates

OrganizationalOrganizational

CultureCultureSelectionSelection

TopTop

ManagementManagement

SocializationSocialization



How Employees Learn Culture

y STORIES

It is a narrative of significant events or people including

such things as the organization¶s founders, rule breaking,

rags-to-riches successes, reductions in the workforce,

relocation of employees, reactions to past mistakes, and

organizational coping.



RITUALS

y Rituals are repetitive sequences of activities that

express and reinforce the key values of the

organization, what goals are most important, whichpeople are important, and which is expendable.



M

aterial Symbols

y Includes the layout of an organization¶s facilities,

dress attire, the types of automobiles top executives

are provided, the presence or absence of corporateaircraft, size of offices, the elegance of furnishings,

executive ³perks´, existence of employee lounges,

etc.



LANGUAGE

y To identify members of a culture EXAMPLES: big

iron ± mainframe computers

y hypo ± a high-potential employee

y ASAP ± as soon as possible

y PROFS ± Professional Office Systems,

y

IBM

¶s internal electronic mail system



The Organization and its Environment

y ENVIRONMENT Refers to outside institutions or

forces that potentially affect an organization¶s

performance.



Culture as Liability

y Barrier to change

y Barrier to diversity

y Barrier to acquisition and Mergers



A presentation to be made on either of the two-

y1.³CULTURE AT ISB&M´y2.A Strong Culture affects an

organizations efforts to improve

diversity



Creating a Customer-Responsive Culture

Managerial Actions:

Select new employees with personality and attitudes consistent

with high service orientation.

Train and socialize current employees to be more customer

focused.

Change organizational structure to give employees morecontrol.

Empower employees to make decision about their jobs.

Managerial Actions:

Select new employees with personality and attitudes consistent

with high service orientation.

Train and socialize current employees to be more customer

focused.

Change organizational structure to give employees morecontrol.

Empower employees to make decision about their jobs.



Creating a Customer-Responsive Culture

Managerial Actions (cont¶d) :

Lead by conveying a customer-focused vision and demonstrating

commitment to customers.

Conduct performance appraisals based on customer-focused

employee behaviors.

Provide ongoing recognition for employees who make special efforts

to please customers.

Managerial Actions (cont¶d) :

Lead by conveying a customer-focused vision and demonstrating

commitment to customers.

Conduct performance appraisals based on customer-focused

employee behaviors.

Provide ongoing recognition for employees who make special efforts

to please customers.



What Is Organizational Culture? (cont¶d)

y Culture Versus Formalization

A strong culture increases behavioral consistency and can

act as a substitute for formalization.

y Organizational Culture Versus National Culture

National culture has a greater impact on employees than does

their organization¶s culture.

Nationals selected to work for foreign companies may beatypical of the local/native population.



Institutionalization: A Forerunner of

Culture



Culture and SpiritualityBELIEVES THAT PEOP LE HAVE AN INNERLIFE

THE INNER SELF SEEKS A MEANINGFULWORK

WORK NEEDS TO BE PURPOSEFUL ANDHAVE A SHOULD RELATION WITH THECOMMUNITY

RESEARCH UNDERTAKEN IN THIS AREAIS LESSER



y Changed notion towards spirituality

Goal is helping employees find meaning in their work

lives

Rational model for organization has no place for

spirituality

y Spirituality helps in better understanding of OB



Why Spirituality? y Too much work stress and fast pace

y Temporary nature of jobs

y Formalized religion is less appealing

y Job demands are high, workplace dominance is high

y Desire to integrate personal life values with one¶s

professional life

y Pursuit of material acquisitions leave men unfulfilled



Spiritual Organization

y Strong sense of purpose

y Trust and respect

y Humanistic work practices

y Tolerance of employee expression



Understanding Culture y Try to be an impartial observer of your culture in action

y Watch for emotion

y Look at the objects and artifacts that sit on desks and hang on

walls. Observe common areas and furniture arrangements

y When you observe and interact with employees, watch for things

that are not there. If nobody mentions something that you think isimportant (like the customers), that is interesting information.



Culture is represented in a group¶s:

y language,

y decision making,y symbols,

y stories and legends,and

y daily work practices.



Forces for Change

y People

y Technology

y Competition

y Information Processing &

Communication

y Social trends

y World politics



Planned Changey Change activities that ate intentional and goal

oriented

Change Agentsy Persons who act as catalysts and assume the

responsibility for managing change activities



y Increasing diversity

y In age

y Education

y Ethnicityy Background

y Manufacturing in space, internet, artificial intelligenceIncreasing globalization of markets Computer,

satellite communications, video conferencing



Resistance to Change

y No matter how well designed and planned your change program is, not everyone will be singing itspraises

y Employees resist change for a wide variety of reasons, ranging from a straightforward intellectual

disagreement over facts to deep-seatedpsychological prejudices.



Reasons for Resistance y Ignorance: A failure to understand the situation or theproblem

y Mistrust: motives for change are considered suspicious

y Disbelief: a feeling that the way forward will not work

y ³Power-Cut´: a fear that sources of influence and controlwill be eroded.



Reasons contd««.

y Loss: change has unacceptable personal costs

y Inadequacy: the benefits from the change are notseen as sufficient

y

Anxiety: fear of being unable to cope with the newsituation.

y Comparison: the way forward is disliked because analternative is preferred

y Demolition: change threatens the destruction of existing social networks. Reasons of Resistance(cont.)



Types of Reactants to Change:

y Enthusiasts

y Followers

y Objectors

y Underground



(1) Enthusiasts

y Are intrinsically wedded to the change idea. They mayagree dispassionately that the change will be of benefitto the organization They may stand to receive somepersonal gain from the change Enthusiasts will use

opportunities to broadcast approval for the change Theywill try to convince others of its merits. They will alsomodel the new behavior early and will volunteer for membership of teams. These early adopters may alsomake good choices as trainers and coaches during the

implementation process.



(2) Followers

y Range from those that are generally compliant, wishing to take the path of least resistance, to thosethat are initially reserved to adapt. But eventually

they adapt once they accept the inevitability of thechange. These change recipients will do what isrequired, but no more. Types of Reactants to Change(cont.)



3) Objectorsy will display their resistance to change whenever the

opportunity arises.

y They may disrupt meetings, not attend training, takeunapproved leave and refuse to carry out instructions.

y Objectors will continue to use superseded systems andprocesses when others are taking up the new ways of doingthings.

y They are not averse to arguing with managers and fellow workers and will try to convince others to continue with the

old ways.y In a unionized environment, resistance can take the form of

strikes, lockouts, ³work to rule´, legal challenges and boycotts.



4) Underground

y Change recipients working for the underground havesolid motivations for not making their resistance public.

y They may fear direct punishment, such as termination orfines, or more personal costs, such as ridicule or loss of

status and authority.y Managers who are against the change but need to be seen

to be in support of it are prime candidates for promotingunderground resistance.

y This style of resistance is, by its nature, always covert andcan take many forms ; such as falsifying reports,inputting incorrect data, stealing, damaginginfrastructure and equipment, using sarcasm, spreadingrumors, excessive absences, shoddy work and ³go slow´.



y A=The individual, group or organisation level of dissatisfaction with the status quo

y B=A clear and shared picture of a better future - how

things could bey C= The capacity of individuals, groups and the

organisation to change (orientation, competence andskill)

y D= A cceptable and ³do-able´ first action stepsy E=The cost (financial, time, ³aggro´) of making the

change to individuals, groups and the organisation.



The Change Equation

y A + B + C + D must be greater than E



The Change Equation: When Elements Are

Missing:

y B + C +D means that the urgent will drive out theimportant and change will go to the ³bottom of the in-tray´.

y Missing A

y The individual, group or organisation level of dissatisfaction with the status quo




Missingy A + B + D means that with no investment to improve

change management capacity, anxiety and frustration willresult.

y Missing C

The capacity of individuals, groups and the organisation

to change (orientation, competence and skill)




Missing

y A + B + C means that the change effort will behaphazard and there will be a succession of false-starts.

y Missing D

y Acceptable and ³do-able´ first action steps



Managing Change

1. Analyze organization and its need for change

2. Create shared vision and common direction

3. Separate from past

4. Create sense of urgency

5. Support strong leader role

6. Line up political sponsorship

7. Craft an implementation plan

8. Develop enabling structure

9. Communicate, involve people, and be honest

10. Reinforce and institutionalize change



y Consider Different People

y Work With Values and Beliefs

y Understand and Relate to Needs and Problems

y Tailor Your Message to Your Audience.



H

ow Organizational CulturesH

ave anImpact on Performance and Satisfaction



y Change the reward system to encourage acceptance

of a new set of values.

y Replace unwritten norms with formal rules and

regulations that are tightly enforced.y Shake up current subcultures through transfers, job

rotation, and/or terminations.

y Work to get peer group consensus through utilization

of employee participation and creation of a climatewith a high level of trust.



Approaches to

Managing Change



UNFR EEZE CH A NGE R EFR EEZE

Lewin¶s Three Step Model



y Unfreezing overcomes resistance

y Refreezing reestablishes resistance

y Forces for and against change should beanalyzed first.



Kotter¶s 8 Step Plan

y Create Urgency

y Form a Powerful Coalition

y Create a Vision for Change

y Communicate the Vision

y Remove Obstacles

y Create Short-term Wins

y

Build on the Changey Anchor the Changes in Corporate Culture



Action Research Model

y Problem identification

y Consultation with a behavioral science expert

y Data gathering and preliminary diagnosis

y Feedback to a key client or Group

y Joint diagnosis of the problem

y Joint action planning

y Action

y Data gathering after action



Contemporary Change Issues for Today¶s

Managersy Technology in the workplace

y Stimulating innovation

y Creating learning organizations



ORGANIZATIONAL

DEVELOPMENT



Foundations of OD

y OD is a planned effort towards organised change best initiated by an expert who has basic knowledgeof the applied behavioral sciences and has the skill of

applying this knowledge in the organizationalsituation.



OCTAPACE OF OD

O OPENNESS

C CONFRONTATION

T TRUST

A AUTHENTICITY

P PROACTIVITY

A AUTONOMY

C COLLABORATION

E EXPERIMENTATION



The Development Process

organizational culture-dr. tanushree chakraborty

Documents