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Organizational Culture

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Raymond Jackson

on 5 September 2014

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Transcript of Organizational Culture

Organizational Culture
Toyota case study
recognizes that people have an inner life that nourishes and is nourished by meaningful work in the context of community.
Open- mindedness. Spiritual organizations value flexible thinking and creativity among employees.
Strong sense of purpose. Spiritual organizations build their cultures around a meaningful purpose.
September 4 2014
The French Connection

Ann Connolly
Ivan Ayala
Tom Sedlack
Dustan Brown
Raymond Jackson
Toyota case study
Blogger Peter Delorenzo wrote about Toyota after it rolled out the Lexus LS600h L at the 2006 New York Auto Show, He said;

“The tone, the language, and everything about the presentation confirmed to me that the ‘creeping’ arrogance that has been brewing at Toyota for years has finally blossomed into full bloom for everyone to see.”

Toyota’s culture is strong but is it truly arrogant?

Toyota case study
Positive Organizational Culture - It emphasizes, showing workers how they can capitalize on their strengths.

how is it created?

fousing on Employee strengths

Rewarding versus punishing

Emphasing vitality & growth

Organizational Culture – shared beliefs by members of an organization

Distinction between other organizations

Sense of identity

Commitment to something larger

Enhances stability of social system

Control mechanism for attitudes/behavior

Creating & Sustaining Culture

Founders initiate and impose a vision

Selection – hiring candidates with similar values

Socialization – Three stages:

Different types Of Culture:

Ethical, Positive and Spiritual
Toyota Case Study

2010 Toyota issued a series of recalls
Unintended acceleration – when car accelerates with no apparent input from driver

- Caused 37 deaths since 2000

- Denied allegations, then recalled 9 million cars

- Root Cause - Arrogant Culture at Toyota
Driver error - elderly drivers & mistaken pedals

Did Toyota’s culture cause its problems or did the press give them a bad rap?

BLUF – In hindsight, Toyota became another victim of America’s press and their false reporting causing significant damage financially and corporately
Recall of 8 million cars (Ref 1)
Took place 2002-2009 timeframe

ethical cultural contradiction– management failed to acknowledge the need to take action concerning an issue early on.

Toyota’s culture is deeply rooted in Japanese culture:
Engineering, make it

Continuous improvements
Averett University
BSA 532
Dr. French
Ethical culture - all those aspects and elements of an organization which influence the ethical conduct of its members

How is it created ?

- Visible role models

- Communicate ethical expectations

- Provide protective mechanisms
spritual culture
In 2006 Toyota looked like a company on it’s back foot.

-a series of manufacturing problems tarnished their reputation of producing quality vehicles

-Toyota’s factory sponsored Formula One team was 6th in constructor standings out of 9 manufactures and 51 points behind rival Honda

- Toyota was very concerned about having enough workers to expand their global operations

The importance of organizational culture

If left unchecked

Implementation and sustainment is key

In conclusion

Questions ?

A Profile of Toyota’s Culture for Innovation, p. 3, October 4, 2010, P.C. White President, White & Partners Ltd.
http://spectrum.ieee.org/riskfactor/transportation/safety/toyota-enters-into-settlement-talks-over-sudden-unintended-acceleration, © Copyright 2014 IEEE Spectrum,

Toyota Enters into Settlement Talks over Sudden Unintended Acceleration, By Robert N. Charette, Posted 16 Dec 2013, Accessed Aug 22, 2014
http://www.coloradoattorneygeneral.gov/departments/consumer_protection/consumer_protection_cases/toyota_motor_corporation, John W. Suthers Attorney General,

Colorado Department of Law website, Title: COLORADO ATTORNEY GENERAL REACHES $29 MILLION SETTLEMENT OVER UNINTENDED ACCELERATION IN TOYOTA AND LEXUS MODELS, Copyright © 2009, Colorado Department of Law, Accessed 22 Aug 2014

Robbins, S. P., & Judge, T. A. (2013). Organizational Behavior, Fifteenth Edition (15th ed.). [Adobe Ditgital editions version]. Retrieved on 8/20/2014 from http://www.coursesmart.com/9780132834919
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