10.2 Managing Organiational Culture

Question 1

What is organisational culture?

Answer 1

System of shared assumptions, values and beliefs that govern how a business operates.

Question 2

Why is organisational culture important?

Answer 2

• Identity: culture defines an organisation’s identity and the way it is perceived
• Direction: culture often provides a set of guidelines, roles and responsibilities that keep employees on task
• Loyalty: if employees are more involved, they are likely to feel more engaged and loyal
• Competition: healthy competition among employees may exist to achieve targets and goals
• Attitude to change: culture can be important in determining an organisations change to change

Question 3

Cultural models