Organizational Behavior Copyright © 2008 by the McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin Organizational Behavior, Core Concepts 12 Organizational Behavior core concepts Organizational Culture: How Organization’s Create and Transmit a Culture

Learning Objectives Discuss the layers and functions of organizational culture. Define the general types of organizational culture and identify their associated normative beliefs. Explain how organizations embed their cultures. Summarize the process of organizational socialization in terms of three phases. Describe methods for socializing employees. Discuss the role of mentors in organizations.

Organizational Culture set of shared, taken-for-granted implicit assumptions that a group holds and that determines how it perceives, thinks about, and reacts to its various environments

Organizational Culture Shaped by four components: Founder’s values Industry and business environment National culture Senior leaders vision

Layers of Organizational Culture Observable artifacts Consist of the physical manifestation of an organization’s culture Acronyms, manner of dress, awards, myths and stories, published lists of values, observable rituals and ceremonies, special parking spaces, and decorations

Layers of Organizational Culture Values concepts or beliefs that pertain to desirable end states, transcend situations, guide selection of behavior and are ordered by relative importance Espoused values represent the explicitly stated values and norms that are preferred by an organization

Question? What represents the values and norms that actually are exhibited or converted into employee behavior? A. Espoused values B. Valued behavior C. Enacted values D. Basic assumptions The correct answer is “C” – enacted values. See next slide.

Layers of Organizational Culture Enacted values represent the values and norms that actually are exhibited or converted into employee behavior Based on observable behavior

Layers of Organizational Culture Basic assumptions Constitute organizational values that have become so taken for granted over time that they become assumptions that guide organizational behavior

Functions of Organizational Culture Give members an organizational identity Facilitate collective commitment Promote social system stability Shape behavior by helping members make sense of their surroundings Figure 2-2

Types of Organizational Culture Constructive Passive-defensive Aggressive-defensive

Organizational Culture Normative beliefs thoughts and beliefs about expected behavior and modes of conduct

Types of Organizational Culture Constructive Employees are encouraged to interact with others and to work on tasks and projects in ways that will assist them in satisfying their need to grow and develop Associated with achievement, self-actualizing, humanistic-encouraging, and affiliative

Types of Organizational Culture Passive-defensive Overriding belief that employees must interact with others in ways that do not threaten their own job security Associated with approval, conventional, dependent, and avoidance

Types of Organizational Culture Aggressive-defensive Encourages employees to approach tasks in forceful ways in order to protect their status and job security Associated with oppositional power, competitive, and perfectionistic

Outcomes Associated with Organizational Culture Significantly correlated with employee behavior and attitudes Congruence between an individual’s values and the organization’s values was associated with organizational commitment, job satisfaction, intention to quit, and turnover Did not predict financial performance Mergers frequently failed due to incompatible cultures

Embedding Organizational Culture Organizational members teach each other about the organization’s preferred values, beliefs, expectations, and behaviors

Embedding Organizational Culture Formal statements of organizational philosophy, mission, vision, values, and materials used for recruiting, selection and socialization The design of physical space, work environments, and buildings Slogans, language, acronyms, and sayings

Embedding Organizational Culture Deliberate role modeling, training programs, teaching and coaching by managers and supervisors Explicit rewards, status symbols, (e.g., titles) and promotion criteria Stories, legends, and myths about key people and events

Embedding Organizational Culture The organizational activities, processes, or outcomes that leaders pay attention to, measure, and control Leader reactions to critical incidents and organizational crises The workflow and organizational structure

Embedding Organizational Culture Organizational systems and procedures Organizational goals and the associated criteria used for recruitment, selection, development, promotion, layoffs, and retirement of people

Organizational Socialization process by which a person learns the values, norms, and required behaviors which permit him to participate as a member of the organization

Phase 1: Anticipatory Socialization Occurs before an individual joins an organization Involves the information people learn about different careers, occupations, professions, and organizations

Phase 2: Encounter Employees learn what the organization is really like and reconcile unmet expectations Onboarding programs aimed at helping employees integrate, assimilate, and transition to new jobs

Phase 3: Change and Acquisition Requires employees to master important tasks and roles and to adjust to their work group’s values and norms

Practical Application of Socialization Research Managers should avoid a haphazard approach to organizational socialization Managers play a key role during the encounter phase Organization can benefit by training new employees to use proactive socialization behaviors Managers should pay attention to the socialization of diverse employees

Question? What is the process of forming and maintaining developmental relationships between a supervisor and a junior person? A. Senior leadership B. Mentoring C. Socialization D. Orientation The correct answer is “B” – mentoring. See next slide.

Mentoring Mentoring the process of forming and maintaining developmental relationships between a mentor and a junior person

Functions of Mentoring Psychosocial Functions - Role modeling - Acceptance-and-confirmation - Counseling - Friendship

Developmental Networks that Underlie Mentoring Diversity of developmental relationships reflects the variety of people within the network an individual uses for developmental assistance

Network Diversity Two sub-components Number of different people is networked with Various social systems from which the networked relationships stem

Developmental Networks Associated with Mentoring

Developmental Networks that Underlie Mentoring Developmental relationship strength reflects the quality of relationships among the individual and those involved in his developmental network

Personal and Organizational Implications Job and career satisfaction are likely to be influenced by the consistency between an individual’s career goals and the type of developmental network at his disposal

Personal and Organizational Implications A developer’s willingness to provide career and psycho-social assistance is a function of the protégé’s ability, potential, and the quality of the interpersonal relationship