3.10.2 Flashcards
What is the culture of an organization?
The culture of an organization refers to the values, attitudes, and beliefs of its employees, determining how they prioritize, react in various situations, and respond to change.
What are the four types of organizational culture outlined by Handy?
- Power culture
- Role culture
- Task culture
- Person culture
What is “power culture”?
Power culture is a centralized culture where key decision-makers hold the power, commonly seen in small businesses where the founder dominates. It may face challenges as the business grows.
What is “role culture”?
Role culture is a formalized culture with clear rules and procedures, where individuals know their roles within the organization. It is suitable for medium to large businesses but may lead to a “silo” mentality.
What defines “task culture”?
Task culture is a focus on specific tasks and projects, with individuals brought in to work on tasks as needed, encouraging collaboration across functions. It is common in organizations like design and advertising agencies.
What characterizes “person culture”?
Person culture provides individuals with considerable freedom to act independently, typically found in organizations like legal or medical practices, where individuals have specialist expertise.
Why is organizational culture important?
Organizational culture affects how employees prioritize tasks, react to situations, and adapt to change. It impacts business performance and can determine success in planning, managing, rewarding, and innovating.
What are the common influences on organizational culture?
- The history of the business
- Present leadership
- Society in general
- Experience and performance of the business
- Ownership
What are common reasons for changing organizational culture?
Reasons for change can include new leadership, changes in societal values, performance improvements, market changes, political or legal shifts, acquisition, or economic conditions.
What problems might arise when trying to change organizational culture?
Problems may include resistance from workers and managers, the need for time and investment in technology and training, external environmental factors, and deeply held values within the organization.
How can a change in organizational culture be difficult?
Changing culture can be challenging if the organization has a large workforce across many locations, especially when the values being challenged are deeply ingrained.
