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Culture concept in Management
Culture dimensions Corporate culture
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1. Culture dimensions Culture –intellectual collective phenomena
Characteristics learned collective symbolic structured persistent dynamic
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Culture – a integrated system
symbols, behavior norms, rituals Cultural values, beliefs, attitudes Culture components: language ethnicity religion political institutions economic standards
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Culture spheres national cultures industrial cultures functional cultures professional cultures corporate cultures personal cultures
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Cultural dimensions – Geert Hofstede:
Power Distance Individualism vs. collectivism Masculinity vs. Feminity Uncertainty Avoidance Time Orientation Indulgence vs. Restraint
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Cultural dimensions– Fons Trompenaars:
Universalism vs. Particularism Individualism vs. Collectivism Equality vs. Hierarchy Sequential vs. Synchronic Inner –directed vs. Outer-directed Specific vs. Diffuse Neutral vs. Affective Achievement vs. Ascription
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2. Corporate culture Corporate culture elements: Behavior Norms
Dominant values Company “philosophy” Rules Organizational climate Corporate culture types (Trompenaars): - power oriented culture (FAMILY) - role oriented culture (EIFFEL TOWER) - project oriented culture (GUIDED MISSILE) - fulfillment oriented culture (INCUBATOR)
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HOFSTEDE’S DIMENSIONS ON CORPORATE CULTURE (HOFSTEDE MULTIFOCUS MODEL)
D1 Means-oriented vs. goal-oriented D2 Internally driven vs. externally driven D3 Easy-going work discipline vs. strict work discipline D4 Local vs. professional D5 Open system vs. closed system D6 Employee-oriented vs. work-oriented D7 Degree of acceptance of leadership style D8 Degree of identification with your organisation
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Corporate culture approach:
- ethnocentric mentality - policentric mentality - centrocentric mentality - geocentric mentality Cultural Tipologies Monolitic companies Pluricultural companies Multicultural companies
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Factors which influence the cultural typology of companies:
Acculturation type Integration degree Discrimination degree Identification degree
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Culture influences on management
Centralized vs. decentralized decision making Safety vs. risk Individual vs. group rewards Informal vs. formal procedures High vs. low organizational loyalty Cooperation vs. competition Short term vs. long term horizons Stability vs. innovation
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