ORGANIZATIONAL CULTURE
Organizational culture can be defined as the group norms, values, beliefs and
assumptions practiced in an organization. It brings stability and control within the firm.
The organization is more stable and its objective can be understood more clearly.
Organizational culture helps the group members to resolve their differences, overcome
the barriers and also helps them in tackling risks.
Organizational culture is the collection of traditions, values, policies, beliefs and attitudes
that constitute a pervasive context for everything we do and think in an organization. A
popular and simple way of defining culture is ‘how we do things around here’.
Organizational culture reflects the underlying assumptions about the way work is
performed, what is accepted and not accepted, and what behaviour and actions are
encouraged or discouraged. Organizational socialization is the process by which new
comers learn an organization’s values and norms and acquire he work behaviours
necessary to peform jobs effectively
Importance of Organizational Culture
1. Culture Influences the behaviour of all individuals and groups within the
organization
2. It helps employees identify themselves with their organization and accept its rules,
when ‘it is the right thing to do’
3. It helps employees internalize the organization’s values when they believe they
are right
4. It motivates employees to achieve the organization’s objectives
5. It provides a consistency in outlook and values and makes possible the process of
decision-making, structure, job satisfaction and management control.
Anthropologists have defined culture as everything that people have, think and do as
members of society. Culture is viewed as the collective programming of the mind that
distinguishes the members of a one group or category of people from another.
Thus at the basic level culture is:
Something that is shared by all or almost all members of some social group (such
as a nation, region, an organization, a profession, an age group, a religious group).
A system of values and beliefs, symbols, heroes, rituals and practices
Something that is transmitted from one generation to another
Something that human beings get socialized (initiated) into from “day one”
Organizational culture is therefore the collection of traditions, values, policies, beliefs and
attitudes that constitute a pervasive context for everything we do and think in an
organization. A popular and simple way of defining culture is ‘how we do things around
here’. Organizational culture reflects the underlying assumptions about the way work is
performed, what is accepted and not accepted, and what behaviour and actions are
encouraged or discouraged. Organizational socialization is the process by which new
comers learn an organization’s values and norms and acquire the work behaviors
necessary to perform jobs effectively.
Functions of Organizational culture
1. Give members an organizational identity. It helps employees identify themselves
with their organization and accept its rules, when ‘it is the right thing to do’
2. They facilitate collective commitment. Culture influences the behaviour of all
individuals and groups within the organization. It helps employees internalize
the organization’s values when they believe they are right. It motivates employees
to achieve the organization’s objectives
3. Shape behavior by helping members make sense of their surrounding. This
functions helps employees understand why the organization does what it does
and how it intends to accomplish its long-term goals.
4. It provides a consistency in outlook and values and makes possible the process of
decision-making, structure, job satisfaction and management control
5. Culture impacts most aspects of organizational life such as how decisions are
made, who makes them, and how rewards are distributed, who is promoted etc
6. Culture is an important factor in social system stability. Social system stability is
the extent to which the work environment is perceived as positive and reinforcing
and the extent to which conflict and changes are effectively managed
Components of Culture
Organizational culture manifests itself in two major components: the material
components (observable artifacts) and non-material components
The material component refers to organizational attributes that can be seen, felt and
heard. Observable Artifacts consist of the physical manifestation of an organization’s
culture. Examples include; acronyms, manner of dress, awards, myths and stories about
the organization, published lists of values, observable rituals and ceremonies, special
parking spaces, decorations. It also includes the professed culture of an organization e.g.
slogans, logos, flags, emblems, mission statements etc
This level also includes visible behaviours exhibited by people and groups. Artifacts are
easier to change than the less visible aspects of organizational culture.
The non-material component refers to the organization’s tacit assumptions, procedures
and values. Basic underlying assumptions are unobservable and represent the core of
organization culture. These are the components of culture that are unseen and not
cognitively identified in everyday interactions between organizational members. In
addition, these are the elements of culture which are often taboos, customs, beliefs and
languages. Many of these spoken rules exist without the conscious knowledge of the
membership.
Components /Determinants of Organizational Culture
The two key elements seen in organizational culture are −
Visible elements − These elements are seen by the outer world. Example, dress
code, activities, setup, etc.
Invisible elements − These inner elements of the group cannot be seen by people
outside the group or firm. Example, values, norms, assumptions, etc. Now let us
discuss some other elements of organizational culture. They are −
Stories − Stories regarding the history of the firm, or founder.
Rituals − Precise practices an organization follows as a habit.
Symbol − The logo or signature or the style statement of a company.
Language − A common language that can be followed by all, like English.
Practice − Discipline, daily routine or say the tight schedule everyone follows
without any failure.
Values and Norms − The idea over which a company is based or the thought of
the firm is considered as its value and the condition to adopt them are called
norms.
Assumptions − It means we consider something to be true without any facts.
Assumptions can be used as the standard of working, means the employees
prepare themselves to remain above standard.
The components of organizational culture are those basic elements upon which culture
can be inferred. They include:
a) Shared experiences such as time of participation of common events such as rites,
ceremonies and rituals
b) Shared stories, myths and legends about key people and events
c) Shared beliefs that members assume govern them in reaching of organizational
goals
d) Shared norms which are generally accepted way of doing things.
e) Shared feelings which include the common visions and purposes that every
member strives for.
Types of Organizational Culture
There are a number of ways in which to classify different types of organizational culture.
For example, developing the ideas of Harrison, Handy describes four main types of
culture: power culture, role culture, task culture and person culture.
1. Power culture depends on a central power source with rays of influence from the
central figure throughout the organization. A power culture is frequently found
in small entrepreneurial organizations and relies on trust, empathy and personal
communications for its effectiveness. Control is exercised from the centre by the
selection of key individuals. There are few rules and procedures, and little
bureaucracy. It is a political organization with decisions taken largely on the
balance of influence.
2. Role culture is often stereotyped as bureaucracy and works by logic and
rationality. Role culture rests in the strength of strong organizational pillars – the
functions of specialists in, for example, finance, purchasing and production. The
work of, and interaction between, the pillars is controlled by procedures and rules,
co-ordinated by the pediment of a small band of senior managers. Role or job
description is often more important than the individual and position power is the
main source of power.
3. Task culture is job-oriented or project-oriented. The focus is on completing the
job. It seeks to bring together the right resources and people, Expertise and
contribution are highly valued. Expert power predominates, but both personal
and position power is important. The unifying force of the group is manifested in
high levels of collaboration in various tasks and activities especially in matrix
structures.
4. Person culture is where the individual is the central focus and any structure exists
to serve the individuals within it. When a group of people decide that it is in their
own interests to band together to do their own thing and share office space,
equipment or clerical assistance then the resulting organization would have a
person culture. Examples are groups of barristers, architects, doctors or
consultant. Although it is found in only a few organizations, many individuals
have a preference for person culture, for example university lecturers and
specialists.
Organizational Climate
Organisational climate is also referred to as the “situational determinants” or
“Environmental determinants” which affect the human behaviour.
Some persons have used organisational culture and organisational climate
interchangeably. But there are some basic differences between these two terms.
According to Bowditch and Buono, “Organisational culture is connected with the
nature of beliefs and expectations about organisational life, while climate is an
indicator of whether these beliefs and expectations are being fulfilled.”
Characteristics of Organizational Climate:
1. General Perception:
Organisational climate is a general expression of what the organisation is. It is the
summary perception which people have about the organisation. It conveys the
impressions people have of the organisational internal environment within which
they work.
2. Abstract and Intangible Concept:
Organisational climate is a qualitative concept. It is very difficult to explain the
components of organisational climate in quantitative or measurable units.
3. Unique and District Identity:
Organizational climate gives a distinct identity to the organization. It explains how
one organization is different from other organizations.
4. Enduring Quality
Organizational climate built up over a period of time. It represents a relatively
enduring quality of the internal environment that is experienced by the organizational
members.
5. Multi-Dimensional Concept:
Organizational climate is a multi- dimensional concept. The various dimensions
of the organizational climate are individual autonomy, authority structure,
leadership style, pattern of communication, degree of conflicts and cooperation
etc.
References
http://www.yourarticlelibrary.com/
http://www.tutorialpoint.com/
http://www.ebookskenya.com/
