Chapter 8 - Social influence Flashcards
Organizational culture
shared beliefs, values and assumptions which determine the norm and pattern of behaviour; what defines the organization and it is what the company stands for
characteristics of organizational culture
true way of life, fairly stable over time and provide social continuity, strong influence on organizational performance and member satisfaction
Subcultures
smaller cultures developed within a larger organizational culture based on differences in training, occupation or departmental goals; effective organizations will have an overarching culture to manage different subcultures
“strong culture” concept
intense and pervasive beliefs, values and assumptions
great consensus about what the org is about
in weak cultures, beliefs, values and assumptions
big company does not equal strong culture
strong culture do not equal blind conformity
strong culture associated with greater success and effectiveness
Assets of strong culture
coordination, conflict resolution, financial success
coordination
overarching values and assumptions that facilitate coordination. Different parts of the organization can cooperate with each other
conflict resolution
sharing core values facilitates conflict resolution
financial success
when culture supports mission, strategy and goals of the company it leads to financial success
liabilities of strong culture
resistance to change can lead to lack of innovation
culture clash/conflict (M&A)
pathology: some cultures can preach friction, secrecy and paranoia
How culture is built and maintained
The founder’s role and socialization
The founder’s role
strong culture reflects the values of the founder’s + top management has strong influence (if top mgmt and founder dont match = conflict)
Socialization
learning by being around the people
socialization process
- selecting employees
- debasement (undoing) and hazing
- training in the trenches
- reward and promotion
- exposure to core culture
- reinforcing folklore
- role models
How to diagnose a culture organizational
examine symbols, rituals and stories
symbols
corporate motto or mascot that provides common meaning and reinforce cultural values