3.4.2 Corporate Culutre Flashcards
Corporate culture
The values, beliefs and standards shares by people and groups within an organisation
Ways the culture of a business is reflected
How employees are recruited, the way guests are looked after, how long new employees stay in business - retention, communication - impacts staff motivation, number of layers in management heirachy
Strong culture
A culture that is deeply embedded into the ways a business or organisation does things - employees will act in accordance to key values
Weak culture
Arises when core values aren’t clearly defined, communicated or widely accepted
Features of strong culture
Staff respond positively to core values, shared sense of responsibility, motivated and loyal workforce, low staff turnover
Features of a weak culture
Little alignment with culture values, high staff turnover, weak communication, mistakes are about blame and not learning
Role culture
Power depends on the persons role or status within the business. Tall structure with long chains of command
Benefits of role culture
Offering employees security and the opportunity to acquire specialist skills. Good performance yields appropriate pay and bonuses
Drawbacks of role culture
Frustration of ambitious employees, overly bureaucratic which leads to slow decision making
Power culture
Strong culture within a business that comes from the centre and concentrates on power among a small number of people
Benefits of power culture
Quick decision making, few rules, high levels of satisfaction and commitment to corporate objectives
Drawbacks of power culture
Employee disastisfaction
Task culture
When a business creates teams to resolve specific issues and power then shifts to team members. No single course of power
Benefits of task culture
Everyone feels included, flexibility in market environment, rapid reactions hint competitive markets
Drawbacks to task culture
Problems in achieving economies of scale, managers feel less important
