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Transcript of Organizational Culture
2. Functions of Organizational Culture
3. Company Abercrombie & Fitch/Hollister
4. Key Elements
5. Creating Organizational Culture
6. Changing Organizational Culture
Personality of the company
System of shared norms, values, assumptions, habits and believes
Shared values have a strong influence on the member’s way of thinking
Functions of Organizational Culture
Sense of identity
Definition of boundaries
Rules and standards
Sense of identity
Providing group members
Increases their commitment
'Define who you are'
Motivation is enhanced
"You don’t have to fear your own company being perceived as human. You want it. People don’t trust companies, they trust people."
Interpret the meaning of events
Symbols remain of constant things
Symbols reflect the new culture
'What makes us different'
Sense of belonging to the group
Rules AND STANdards
Culture acts as a social glue
Function as a control mechanism
Rewards and punishes
Abercrombie & Fitch/Hollister
Ceremonies and rites
Relationship to environment
Nature of reality, time, and space
Nature of human nature
Nature of human activity
Nature of human relationships
Testable in the physical environment
Testable only by social consensus
Visible but often
Greater level of awareness
Taken for granted
People get fired if they don't integrate in the company culture
People get fired if they don't accept the changes
People have to change to fit in an existing culture
People don´t get hired if they don't fit
How does the perfect Hollister shop assistant look like?
"In the past they had to be tall and trained guys. At work you have to wear thongs, Hollister products and roll up your jeans."
How do you find your employees?
"The recruiting process happens through managers who are looking for good-looking people in malls, clubs or in the stores, in general everywhere you can find young people."
How was the job interview?
"They have group interviews with five to six people, where they are asking different questions. They were asking me how I handle failures. In the end they take a picture."
How would you describe the working conditions at Hollister?
"Because of the German law the music isn´t that loud anymore. But nevertheless it gets stressful when it is crowded but you get used to it."
"You can build a much more wonderful company on love than on fear."
"Candidly, we go after the cool kids. We go after the attractive all-American kid with a great attitude and a lot of friends. A lot of people don´t beloin (in our clothes), and they can´t belong"
Diversity & Inclusion
“Diversity and inclusion are key to our organization’s success. We are determined to have a diverse culture, throughout our organization, that benefits from the perspectives of each individual.”
-Mike Jeffries, CEO
David Abercrombie founded A&F in 1892
Forming a partnership with Ezra Fitch
"The Greatest Sporting Goods Store in the World".
Fitch became sole owner
ushered in the "Fitch Years" of continued success.
financial fall and closing in 1977
Mike Jeffries, who revolutionized the image of Abercrombie & Fitch to become an upscale youthful fashion retailer
concept of Hollister Co. was originally designed to attract consumers aged 14–18
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Schein, E.: Organizational Culture and Leadership, Wiley, 2010
Yukl, Gary A.: Leadership in organizations, Pearson Education Limited, 8th Edition, 2013