2.5 Organizational culture

Question 1

Organisational culture

Answer 1

The unique personality or character of a particular organisation and includes such elements as core values, beliefs and ethics.

Question 2

Elements of organizational culture (NORMS)

Answer 2

• nature of the business
• organizational structures
• rewards
• management styles
• sanctions

Question 3

The importance of understanding
organizational culture

Answer 3

• Creating a sense of belonging and security for staff because they feel part of the organization. This helps to improve teamwork and to raise motivation in the organization.
• Promoting cohesiveness so people do things as they feel that it is the right thing to do.
• Reducing mistakes and misunderstandings as staff are familiar with the processes at work.
• Minimising problems associated with a culture gap so that conflict and misunderstandings between different groups are curtailed.

Question 4

Types of organizational culture:

Answer 4

• Power culture (Zeus)
• Role culture (Apollo)
• Task culture (Athena)
• Person culture (Dionysus)

Question 5

Power culture (Zeus)

Answer 5

Exist when there is one dominant individual or group that holds decision-making power. Hence, the organizational structure is likely to be flat with a relatively wide span of control.

Question 6

Role culture (Apollo)

Answer 6

Exist in highly structured firms with formal rules, policies and procedures. Job roles are clearly stated in job descriptions and power is devolved to middle managers.

Question 7

Task culture (Athena)

Answer 7

Exist in organizations where the focus is on getting results. Individuals and teams are empowered and have some discretion over their responsibilities.

Question 8

Person culture (Dionysus)

Answer 8

Exist in organizations when staff in similar positions, with similar expertise and training, establish groups to share their knowledge.

Question 9

Reasons for organizational cultural clashes:

Answer 9

• growth of an organization
• mergers and acquisitions
• change in leadership

Question 10

Consequences of organizational cultural clashes:

Answer 10

• misunderstandings and miscommunications
• unhappy staff
• compromises must be reached
• resistance to change
• high costs of training staff and implementing change

Question 11

How organisational culture influences individuals:

Answer 11

• Behavioural control
• Encourages stability
• Source of identity