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Organisational Culture

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Charlotte Eriksen

on 17 May 2014

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Transcript of Organisational Culture

How does Organisational Culture affect behaviour?
We will examine the effects of the following determinants on employee behaviour:

Effect of
on employee behaviour;
Effect of
Economic Conditions
on employee behaviour;
Effect of
on employee behaviour;
Positive and Negative Effects
of Culture on employee behaviour.

Many ways in which organisational culture can affect employee behaviour negatively or positively:
- Management
- Economic conditions
- Selection

Several ways the effect is limited. Two examples are:
- Subgroups
- Personality & Traits (McCrae & Costa, and Schein)

Overall effect may depend on factors such as strength of culture, size & history, etc.
Limitations of organisational culture's effect on employee behaviour
Effect of Economic Conditions
Effect of Management
The positive effects of organisational culture on employee behaviour
Effect of Selection on behaviour
Negative Effects of Organisational
Culture on Behaviour
Personality & Traits
Schneider 1987 asserted ‘The people make the place’. Organizational culture, climate and practices are determined by the people in the organization.

ASA Cycle which creates homogeneity within an organisation includes:

Limitations of the ASA theory
Too 'vague'
Unspecified terms (Schneider et al, 1995)

Determinants of
Organisational Behaviour
1. History and ownership



4.Goals and objectives


6. People
Alvesson, M. 2002. Understanding organisational culture. 1st ed. London: Sage Publications. p.14.

Collinson, D. L. 1988. 'Engineering Humour': Masculinity, Joking and Conflict in Shop-floor Relations. [Online]. [Accessed 2 May 2014]. Available from: https://fhi.duke.edu/sites/default/files/CMS-Engineering%20Humour.pdf

Gibertson, T., Resick, C. and Dickson, M. 2005. Embedding Leadership Characteristics: An Examination of Homogeneity of Personality and Values in Organizations.
Journal of Applied Psychology
(5), pp.1002-1010

Hofstede, G. 2001.
Culture’s Consequences: Comparing values, behaviours, institutions and organisations
. California: Sage Publications Ltd., pp. 1-3, 213, 279.

Huczynski, A.A. & Buchanan, D. A. (2013).
Organizational Behaviou
r. 8th ed. Harlow (UK): Pearson Education Limited, pp. 111-140.

King, D. & Lawley, S. 2013.
Organizational Behaviour
. Oxford (UK): Oxford University Press, chapter 7.

Martin, J. 2001.
Organizational Culture: Mapping the Terrain
. Thousand Oaks (CA): Sage Publications Ltd., pp. 87-90

Robbins, S.P. et al. 2010.
Organizational Behaviour
. 10th ed. Harlow (UK): Pearson Education Limited, pp. 456-477.

Schein, E.H. 2004.
Organizational Culture and Leadership
. 3rd ed. San Francisco: Jossey-Bass, pp. 8, 172.

Schneider, B. et al. 1995. The ASA Framework: An update. Personnel Psychology. [Online]. 48, p. 2. [Accessed 2 May 2014]. Available from: http://www.tamu.edu/faculty/bergman/schneider1995.pdf

Sherdian, J. 1992. Organizational Culture and Employee Retention.
Academy of Management Journal
(5), pp.1036-1056

Smollan, R. and Sayers, J. 2009. Organizational Culture, Organizational Change and Emotions: A Qualitative Study.
Journal of Change Management.

(4), pp.435-457.

Willmott, H. 1993. Strength is ignorance; slavery is freedom: Managing culture in modern organisations. Journal of Management Studies
It is debatable how widely culture is shared in an organization (Martin, 2002).

Sub-cultures within an organisation;

Based on hierarchy, department, identity, and ethnicity and gender (Allen, 2003; Ryan, 2005);

Different value systems than those of the ‘organisational culture’;

Counter-cultures or Anti-cultures (Elsmore, 2001)

There may be differences in the personalities of employees and this could effect their susceptibility to change in behaviour:

McCrae and Costa's big five personality scale; an employees 'openness to experience - the degree to which people are open to new ideas'

'Professionals, in particular, often believe they have a calling and are thus less likely to tolerate management constraints' (King and Lawley, 2013).

Effect of Management
Hugh Willmott claims organisational culture can be used as a way of controlling employees:

• ‘Governance of the employee’s soul’ (Willmott, 1993) mimics bureaucratic styles of management

• Unified culture ‘systematically suppresses ideas and practices that might problematize the authority of core corporate values’. (Willmott, 1993)

David Collinson also agrees that organisational culture can be used as a method of control.

• 'The pressure to conform to routine shop-floor values and practices was thereby transformed into workers strategies of mutual control and discipline.' (Collinson, 1988)
Edgar Schein
Source: Schein, 2010
employee satisfaction
better performance
diminished bureaucracy
great commitment
strong organisation
Effect of
organisational cultures with
multiple nationalities
Effect of high graduate unemployment rates;
- More graduates willing to lie & pretend;
- Is there a link to subgroups?
Although there are several ways organisational culture can affect employee behaviour, there are also limitations which can prevent it from affecting behaviour.

We will discuss the following ways that the effect of organisational culture can be limited:
Depending on the personality of employees;
Through the creation of subcultures.
At its simplest, organisational culture is the way things are done within an organisation and the values held in the organisation. It describes the common practices, attitudes, behaviours, beliefs and values that are shared between organisational members (Schein, 1985).
Schein's 10-step approach to changing culture

Obtaining leadership and commitment
Selecting groups for interviews
Selecting an appropriate setting for group interviews
Explaining the purpose of the meeting
A short lecture on how to think about culture
Eliciting descriptions of the artifacts
Identifying espoused values
Identifying shared tacit assumptions
Identifying cultural aids and hindrances
Reporting assumptions and joint analysis

The economic condition of an organisation can impact the decisions made by the organisation's leaders, and the type of behaviour they expect from their employees.
An economic crisis, such as a recession, can force organisation's to change their culture.
Risk-taking, progressiveness and development are directly influenced by economic conditions.
Managers' role in the organisational culture is essential.

Culture should provide the members of an organisation with the basic human needs: stability, consistency and meaning (Schein, 2004).

Schein (2004) argues that it is the leaders’ responsibility to work with the culture and if it is seen as dysfunctional, it is also their responsibility to destroy it and implement a new one.
Traits are stable
'Culture is the collective programming of the mind'
(Hofstede, 1980).

Determinants of organisational culture
Methods organisational culture affects behaviour
Methods organisation culture cannot affect behaviour
Conclusion and recommendations
Schein's cultural iceberg model, 2010
Presentation Structure
Thank you!
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