Week 1: Martin & Cullen: ethical climate theory

Question 1

What is culture in organizations?

Answer 1

The pattern of artifacts, norms, values and basic assumptions which decsribes how the organization solves problems and teaches newcomers how to behave

Question 2

Describe the onion-model of Schein about culture (4)

Answer 2

(from outside to inside)
1. Artifacts –> visible cues of org culture
2. Norms –> unwritten rules about how to behave, not visible
3. Values –> are people expected to be and behave
4. Basic assumptions –> unspoken and require a deeper culture analysis

Question 3

Why study culture (5)?

Answer 3

1. it is highly predictive of financial performance
2. Highly predictive of employee well-being
3. Highly predictive of organizational effectiveness
4. Highly predictive of degree of innovation
5. It is more important than formal control systems, procedures, structure and strategy

Question 4

What are ethics?

Answer 4

Moral principles, norms and values governing behaviors of individuals or groups with respect to what is right or wrong

Question 5

What is unethical behavior at work?

Answer 5

Actions of organizational members that violate widely accepted social norms (but not the law)

Question 6

What is illegal behavior at work

Answer 6

Actions of organizational members that violate the law

Question 7

What is unethical and illegal behavior at work

Answer 7

Violating societal norms and the law

Question 8

What are the 5 types of ethical cultures?

Answer 8

1. Instrumental
2. Caring
3. Independence
4. Law and code
5. Rules

Question 9

describe an instrumental ethical culture

Answer 9

Ethical decisions based on individual concerns and self-interest

Question 10

Describe a caring ethical culture

Answer 10

Ethical decisions based on focus on well-being of others and caring rather than self-interest

Question 11

Describe an independence ethical culture

Answer 11

Ethical decisions based on personal moral convictions that decide for a lot of ethical decisions

Question 12

Describe a law and code ethical culture

Answer 12

Ethical decisions based on external codes and rules (Law, Bible, Koran)

Question 13

Describe a rules ethical culture

Answer 13

Ethical decisions made based on strong, pervasive set of local rules or standards such as internal code of conduct

Question 14

What is organizational commitment? (3)

Answer 14

1. Agreement with and support of mission and purpose
2. Willingness to sacrifice to support mission and purpose
3. overarching need to remain member of the organization

Question 15

What are the 2 consequences of ethical climate theory in the model?

Answer 15

1. Cognitive and affective states (org commitment and job satisfaction)
2. outcomes (psychological well-being and dysfunctional behavior)

Question 16

Why is an ethical culture important?

Answer 16

1. Happier and more productive workers
2. CSR improves financial performance