BUSI 2101 Lecture Notes - Lecture 11: Organizational Culture

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In simple terms, organizational culture is the pattern of shared assumptions, values and beliefs that lead to certain norms of behaviour. In a large organization, there is usually a dominant culture accompanied by various subcultures. The dominant culture manifests the values shared by a majority of the organization"s members. Subcultures usually share the dominant culture"s core values as well as other values that characterize their own department, geographical unit and so on. Some organizations also have countercultures, whose values are in opposition of those of the dominant culture. Serves as the glue that holds the organization together. Provides members with a sense of identity, generates commitment to something larger than self-interest, and helps people makes of what occurs in the organization and the environment. When groups share the same behavioural norms, there is less need for external controls and close supervision.

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