Workshop 2 Flashcards
Organisational culture
System of shared assumptions, values and beliefs that show employees what is appropriate and inappropriate behaviour
Organisational culture - three interrelated levels
- Artefacts (visible/tangible aspects of organisational aspects of organisational cultures)
- Values (shared principles, standards and goals)
- Assumptions (they are taken for granted, and they reflect beliefs about human nature and reality)
Service culture
What differentiates companies with service cultures from those without such a culture may be the desire to solve customer-related problems proactively
How are cultures created
An organisations culture is shaped as the organisation faces external and internal challenges and learns how to deal with them. When the Organization’s way of doing business provides a successful adaptation to environmental challenges and ensure succes those values are retained
Creation of organisational culture include…
- Founder’s values
- Preferences
- Industry demands
- banking industries are stable and rule orientated
- high tech companies have innovative cultures
- non-profit companies tend to be people oriented
Mechanistic structure
- highly formalised
- highly centralised
- employees have specific job descriptions
- often resist change
- discourages the use of individual initiative from employees
- very efficient
Organic structures
- flexible
- decentralised
- low levels of formalisation
- communication lines are more fluid and flexible
- job descriptions are broader
- higher levels of job satisfaction
- structure is good for innovativeness
6 components of high performing cultures
- Define the culture
- Set direction
- Communicate the culture
- Organise your team
- Manage performance
- Live the culture