MGT 291 Lecture Notes - Lecture 15: Organization Development, Learning Organization, Trait Theory
Chapter 15: Organizational Culture and Organizational Change
- Organizational culture: a system of shared values, norms, and assumptions that guide
member’s attitudes and behaviors
Where does organizational culture come from?
- Artifacts: the physical manifestation of the culture including open offices, awards,
ceremonies, and formal lists of values
- Espoused values: diagram of the chain of command and reporting relationships in a
company; explicitly stated organizational values
- Enacted values: values and norms that employees exhibit based on their observations of
what actually goes on in the organization
- Assumptions: organizational values that have become so taken for granted over time that
they become the core of the company’s culture
Does culture matter?
- Culture boosts organizational performance when it
o Is strategically relevant
o Is strong
o Emphasizes innovation and change to adapt to a changing environment
How leaders create and maintain culture
- An organization’s culture is influenced in part by its industry
- Different industries develop different cultures
- Organizational culture is also influenced by the national culture in which the organization
is embedded
- Company founders and leaders also influence a firms culture
Cultures of conflict and cultures of inclusion
- Conflict culture: shared norms for managing conflict
- Active conflict: management norms that resolve conflict openly
- Passive conflict: management norms that avoid addressing conflict
- Agreeable conflict: management norms that resolve conflict in a cooperative manner
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- Disagreeable conflict: management norms that resolve conflict competitively
Cultures of inclusion: the extent to which majority members value efforts to increase minority
representation, and whether the qualifications and abilities of minority members are questioned
Conflict culture
- Dominating conflict culture: conflict culture that is active and disagreeable; open
confrontations are accepted, as well as heated arguments and threats
- Collaborative conflict culture: conflict culture that is active and agreeable
- Avoidant conflict culture: conflict culture that is passive and agreeable
- Passive-aggressive conflict culture: conflict culture that is both passive and disagreeable
Effects of technology on culture
- Using intranets to build and maintain culture
o By building and fostering a sense of community among employees, intranets can
help reinforce an organization’s culture
- building and maintaining culture with remote employees
o being virtual challenges an organization’s identity and culture, particularly when
the company relies on free agents or alliances with other firms that have their own
cultures
organizational change
- incremental change: linear, continuous change conducted to fix problems or change
procedures
- transformative change: radical change that tends to be both multidimensional and
multilevel, involving discontinuous shifts in thinking or perceiving things
forces creating a need for change
- increased competition
- globalization
- changes in consumer demands
find more resources at oneclass.com
find more resources at oneclass.com
Document Summary
Organizational culture: a system of shared values, norms, and assumptions that guide member"s attitudes and behaviors. Artifacts: the physical manifestation of the culture including open offices, awards, ceremonies, and formal lists of values. Espoused values: diagram of the chain of command and reporting relationships in a company; explicitly stated organizational values. Enacted values: values and norms that employees exhibit based on their observations of what actually goes on in the organization. Assumptions: organizational values that have become so taken for granted over time that they become the core of the company"s culture. Culture boosts organizational performance when it: is strategically relevant, is strong, emphasizes innovation and change to adapt to a changing environment. An organization"s culture is influenced in part by its industry. Organizational culture is also influenced by the national culture in which the organization is embedded. Company founders and leaders also influence a firms culture. Conflict culture: shared norms for managing conflict.
