Organization Culture, Multiculturalism & Social Responsibility Prof Karen Hanen Mgt 360

Organizational Cultures Four common organizational cultures: Hierarchical cultures emphasize tradition and clear roles; Dependable cultures (Rational) emphasize process and slow change; Enterprising cultures (Entrepreneurial) emphasize creativity and competition; and, Social cultures (Team) emphasize collaboration and trust. Copyright ©2015 John Wiley & Sons, Inc.

Organizational Cultures How tight or loose is the structure? Do most decisions reflect change or the status quo? What outcomes or results are most highly valued? How widespread is empowerment, worker involvement? What is the competitive style, internal and external? What value is placed on people, as customers and employees? Is teamwork a way of life in this organization? Questions for reading an organization’s culture Copyright ©2015 John Wiley & Sons, Inc.

Figure 12.1 Levels of organizational culture—observable culture and core culture in the organizational “iceberg ” Stories Tales about events conveying core values Heroes People (past and present) who display core values Symbols Language and other symbols conveying core values Rites and Rituals Celebration of heroes and events displaying core values CORE CULTURE Core Values Beliefs about the right ways to behave Copyright ©2015 John Wiley & Sons, Inc.

Multicultural Organizations and Diversity Multiculturalism involves inclusiveness, pluralism, and respect for diversity Multicultural organizations have a culture with core values that respect diversity and support multiculturalism. Copyright ©2015 John Wiley & Sons, Inc.

Multicultural Organizations and Diversity Characteristics of multicultural organizations: Pluralism Structural integration Informal network integration Absence of prejudice and discrimination Minimum intergroup conflict Copyright ©2015 John Wiley & Sons, Inc.

Multicultural Organizations and Diversity Organizational subcultures Groups of people who share similar beliefs and values based on their work or personal characteristics. Ethnocentrism is the belief that one’s subculture is superior to all others Copyright ©2015 John Wiley & Sons, Inc.

Multicultural Organizations and Diversity Common subcultures include: Generational Gender Occupations and functions Ethnicity or national cultures Copyright ©2015 John Wiley & Sons, Inc.

Multicultural Organizations and Diversity Diversity: Diversity basically means the presence of differences. Diversity alone does not guarantee positive performance impact Diversity must be included in training and human resource practices Positive impact results when diversity is embedded in the organizational culture Copyright ©2015 John Wiley & Sons, Inc.

Figure 12.2 Glass ceilings as barriers to women and minority cultures in traditional organizations Copyright ©2015 John Wiley & Sons, Inc.

Multicultural Organizations and Diversity Diversity Leadership Copyright ©2015 John Wiley & Sons, Inc.

Cultures and Global Diversity Stages in adjusting to a new culture when working in another country: ConfusionSmall victoriesThe honeymoonIrritation and angerReality Copyright ©2015 John Wiley & Sons, Inc.

Cultures and Global Diversity Context Low context High context Time Monochronic Polychronic Space Proxemics Silent languages of culture Copyright ©2015 John Wiley & Sons, Inc.

Power distance Uncertainty avoidance Individualism- collectivism Masculinity- femininity Time orientation Cultures and Global Diversity Values and national cultures (Hofstede): Copyright ©2015 John Wiley & Sons, Inc.

Figure 5.3 How countries’ short-term thinking and long-term thinking compare on Hofstede’s dimensions of national culture. Copyright ©2015 John Wiley & Sons, Inc.

Global Management Learning Comparative management How management systematically differs among countries and/or cultures Intercultural competencies Skills and personal characteristics that help us be successful in cross-cultural situations. Global managers Need to successfully apply management functions across international boundaries Copyright ©2015 John Wiley & Sons, Inc.

Figure 3.4: The Many Stakeholders of Organizations Copyright ©2015 John Wiley & Sons, Inc.

Social Responsibility Corporate social responsibility and governance: Looks at ethical issues on the organization level. Obligates organizations to act in ways that serve both its own interests and the interests of society at large. Stewardship Taking personal responsibility to always respect and protect the interests of society at large Copyright ©2015 John Wiley & Sons, Inc.

Social Responsibility Sustainability: acting in ways that support a high quality of life for present and future generations Alternative energy Recycling Waste avoidance Triple bottom line evaluates organizational performance on economic, social, and environmental criteria 3 P’s of organizational performance – profit, people, and planet Copyright ©2015 John Wiley & Sons, Inc.

Social Responsibility Arguments against social responsibility: Reduced business profits Higher business costs Dilution of business purpose Too much social power for business Lack of public accountability Arguments in favor of social responsibility: Adds long-run profits Improved public image Avoids more government regulation Businesses have resources and ethical obligation Copyright ©2015 John Wiley & Sons, Inc.

Four strategies of corporate social responsibility— from obstructionist to proactive behavior. Copyright ©2015 John Wiley & Sons, Inc.

Figure 3.6: Ethics Self-governance in Leadership and the Managerial Role Copyright ©2015 John Wiley & Sons, Inc.

NEXT WEEK – May 2 Read CH 10 – Strategy Complete Last OA #10 – Due before next class 11:30am, as usual - LAST OA Complete Last OQ #10 – NOW DUE also before next class 11:30am, May 2, (you do not have to read CH 10 – this is an opinion based OQ, no right or wrong answers – easy 10 points, I promise) Mid-term #2, May 9