Corporate Culture

Question 1

What is corporate culture?

Answer 1

Corporate culture is a set of values, beliefs and customs that is shared by all people in an organisation.

Question 2

What methods are used in corporate culture?

Answer 2

• Company values
• Office layout
• Corporate colours
• Uniformity of layout
• Language and jargon
• Symbols, slogans and mottos
• Rituals
• Stories
• Reward culture
• Flexible working arrangements

Question 3

What are advantages of corporate culture?

Answer 3

• Flexible working arrangements mean staff work when and where they are more productive.
• Employees feel part of the organisation through the use of uniforms, jargon, and so on.
• Customers gain a sense of quality product/service.
• Rituals create a relaxed ethos and can improve employee relations.
• Employee loyalty is increased as they are happy in their jobs and feel a sense of belonging to the business.
• High-quality new staff are attracted to the business as they like the idea of working in the culture.
• A relaxed working environment, empowerment and a flat hierarchy can motivate staff.

Question 4

What are disadvantages of corporate culture?

Answer 4

• Culture is hard to introduce unless it starts from the founders.
• Staff have to be made aware of changes to culture and if they aren’t they may resist change.
• Modern office cultures can leave some employees physically and socially distant from others, demotivating them.
• Some cultures can be seen as a ‘bribe’ to get staff on board.
• Management can lose focus and control if a culture is too ‘loose’.