1. Beginning, Growth and everything in between
Culture
Beginning, Growth and everything in between

2. Group Formation What are we here for? What is the goal?
What is my role?
Learning environment
Business starts, organization development, leadership workshops have some type of group formation and formation exercises. Our class is one example of a group.

4. Individual Intentions to Group Consequences
The act that happens after an initial act is a group response.
The group has acted and aware of having acted as a group.
Even though individual members bring prior cultural learning to the new situation, by definition, the group starts out with no culture of it’s own.
Initial sharing launches the group
Discuss experiences of group development. Ask for examples.

5. Perceptions/Feelings/ Interventions
Some of the deepest and most shared experiences occur within the first few hours of group life, who we are, what our mission is, and how we will work.
Everyone’s perceptions/feelings has equal value
Create group neutrality
Collectively not acting is a powerful group decision. “Plop”
Not willing to grant a level of authority to a given member to tell the group what to do.

6. Stages of Evolution Group Formation Group Building
Unconscious assumption leader knows
Lead to frustration
Dependence
Process development, common language
Group Building
Norms Around Intimacy
Fusion Assumption
Need to feel merged/deny internal differences
Norms in Learning and Experience
Positive problem solving
Anxiety avoidance
Group formation:
unconscious assumption that the leader knows what to do-similar to dependent assumption-asking that “leader” informal questions, observing them, looking for some direction.
This can lead to frustration, but it also starts the building of group calibration, process development starts, common language exchanged, groupness.
Dependence assumption can still be at play and still work out influence relationships with each other. Leadership is seen as shared set of activites, sense of ownership of group outcomes arise. Some groups never get here.
Group Build: Fusion Assumption-strong emotional need to feel merged and deny internal differences. Become one of the regulars. Potentials for revealing the fusion assumption: Disagreements/conflicts, avoidance/confrontation, overt denial-that a person doesn’t like another person, eruptions of negative feelings-CAN BLOW UP THE FUSION ASSUMPTION.
Which norms survive? LEARNING AND EXPERIENCE 1) positive problem solving to cope with external survival issues. 2) anxiety avoidance to cope with internal integration issues. The groups experience will reflect stability of assumptions that evolved.
-Many variables. Norms that produce the greatest effect will survive.

7. Stages of Evolution Group Work Group Maturity
Evolution of mutual acceptance
Work assumption
Group Maturity
Strong group share = Strong group culture
Group Work: had enough experience to know to expect of each other, learn to coexist, even if they do not like each other. Many groups never get to this stage of growth because they think the group has to have a high degree of solidarity/conformity.
Leaders shouldn’t force task pressures prematurely, because it’s best for the group to work out their authority and intimacy issues-takes lots of e
Energy to control anxiety.
Group Maturity: If group is successful it will reinforce assumptions about itself, it’s environment.

8. Culture Beginnings 3 Sources
Founders – beliefs, values, and assumptions
Learning experiences from new members of evolving organizations
New beliefs, values and assumptions from new members and leaders
Cultural beginnings through founders and leader actions comes from 3 sources. The most important is from the founder, because they create the culture and pick the initial group to function in their envisioned environment. Therefore the founder has major impact on the actions and adaptation of the group.

9. Sam Steinberg Founder New Leadership Impact on the culture
Embedded conflicts
New Leadership
New direction
Mixed messages
Sam Steinberg was a successful business man with a strong vision of the type of culture he wanted for his organization. Steinberg believed in micromanagement, all though he did encourage new practices and improved technology from his managers. When Steinberg died, and his top man retired, the organization became unstable. New leadership was brought in but due to Steinberg’s conflict being embedded into the culture, and mixed messages from leadership the stability of the organization began to crumble with the growth process.

10. Fred Smithfield Founder New leadership Serial Entrepreneur
No corporate culture
Did not embed his beliefs or values or any conflicts
New leadership
Created culture
Each business different culture
Fred Smithfield was opposite of Sam Steinberg. Steinberg had a strong presents in his organization, which created his culture. Fred Smithfield did not apply his values and beliefs to his endeavors, he put together groups to manage his business. In doing this each business had a different culture, there was no unified corporate culture. Smithfield would put together a business idea get some investors involved hire some people to manage the business and move to the next project.

11. Ken Olsen Founder Clear assumptions Small Growth Organized
Disorganized
Ken Olsen was clear and open with the way he thought the culture of his organization. He believed that ideas came from everyone, and the idea was to be discussed and completely planed out before it could be sold to others. Olsen failed to have his culture grow with the organization. When the organization was small the freedoms that was given to the people were well welcomed, but as the organization grew people began to think of the organization as disorganizted.

12. Similar Organizations different cultures
Wonzniak/Jobs
Watson
Packard/Hewlett
Founders
Technical
individualistic
Founder
Clear image
Sales / marketing
Founders
Two types
Technical
Business
These four founders of the technical industry had different vision for their culture. Wonzniak and Jobs had a technical outlook since they were both engineers, and thought of the culture as do your own thing. Watson on the other hand was a sales and marketing manager and did not build his business on a technical aspect as did Wonzniak and jobs. Watson built a clear image with the public right off the bat with his sales man look. Packard and Hewiett split their workforce, and ideally created a technical and business culture between the two groups. Both Packard and Hewiett were two different types of leaders but were able to communicate and work together.

13. How Leaders Embed Beliefs, Values, and Assumptions
“Charisma”
Ability to capture attention and communicate in a vivid clear manner
Leaders who have it are rare
Not a reliable mechanism of embedding
Those without charisma still have hope

14. Embedding Mechanisms Primary Embedding Mechanisms
What leaders pay attention to, measure, and control on a regular basis
How leaders react to critical incidents and organizational crisis
How leaders allocate resources
Deliberate role modeling, teaching, and coaching
How leaders allocate rewards and status
Secondary Articulation and Reinforcement Mechanisms
Organizational design and structure
Organizational systems and procedures
Rites and rituals of the organization
Design of physical space, facades, and buildings
Stories about important events and people
Formal statements of organizational philosophy, creeds and charters

15. What Leaders Pay Attention to, Measure and Control
Inconsistency wastes time and energy
Consistency signals what is really important

16. Leader Reactions to Critical Incidents and Organizational Crisis
Dealing with a crisis reveals underlying assumptions
Emotional involvement increases learning intensity and motivates new learning
What is a crisis?

17. Deliberate Role Modeling, Teaching and Coaching
How Leaders Allocate Resources
How budgets are created reveals leaders assumptions and beliefs
Leaders own behavior has great value for communicating assumptions and values
Informal messages tend to be powerful

18. How Leaders Allocate Rewards and Status
How Leaders Select, Promote and Excommunicate
Consistent rewards and punishments carry message
Consistent reward, promotion and status system ensures values and assumptions
Process of selecting new members of the organization embeds assumptions
Tend to find candidates who resemble present members

19. Secondary Articulation and Reinforcement Mechanisms
Organizational Design and Structure
Organizational Systems and Procedures
Rites and Rituals of the Organization
Design of Physical Space, Facades, and Buildings
Stories About Important Events and People
Formal Statements of Philosophy, Creeds, and Charters

20. Differentiation and the Growth of Subcultures
Functional / Occupational Differentiation
Geographical decentralization
Differentiation by product, market, or technology
Divisionalization
Differentiation by hierarchical level
These are the major bases to which different subcultures are created. With significant for growing organizations to have smaller units that build their own

21. Functional / Occupational differentiation
Personalities
Education
Socialization
Functional subcultures are diverse in a way that each department of the organization has different personalities, education and training, socialization in their particular occupation. Each person in the subculture had different assumption weather it be from experiences with other organizations and their culture. Ultimately bringing the subcultures together as a team, so that there can be a mutual understanding of their culture to open communication and gain mutual respect for the different subcultures.

22. Geographical Differentiation
Customers
Needs and wants
Different
Local labor
Costs
Ethics
Location
Raw materials
Source of energy
suppliers
It is necessary for growing organizations to combined local culture and the organizations culture to create local units. The subculture is influenced by the areas culture such as different needs and wants, for the customers and the work force, different cost for labor and materials. Ethics of the local community is important to take into consideration. The subculture from other areas will be different from the main organization, but can be very successful if combine the local cultural belief.

23. Differentiation by Product, Market, or Technology
Culture
Customers
Technologies
Products
Organizations grow over time and change use of technologies, products, and customers. When organizations go through these changes their culture changes also. There can be some problems, but the organization needs to be able to identify these issues.

24. Divisionalization Functions Products Market Geographical units
Organizations that move into different markets tend to divide up their functions. There are advantages and disadvantages to this process. Subcultures are brought together, which allows them to work more as a team. When a organization wants to implement common practices and policies, subcultures are not as open to that situation.

25. Differentiation by Hierarchical level
Levels / Subculture
Executives
Middle Management
Supervisors
The larger the organization becomes the hard it is to coordinate activities. When this begins to happen layers or level are formed. Within the levels subcultures are created such as executive level, middle management and so on. Each level recognizes the issues and task that need to be addressed, assumptions will then be formed.

26. Natural Process and Steering

27. Culture Change Mechanisms
The Organizational Concept
Organizational Stage
Founding and Early Growth
Midlife
Maturity and Decline

28. Founding and Early Growth
Incremental change through general and specific evolution
Insight
Promotion of hybrids within the culture

29. Implications At This Stage
The primary culture creators are still present
The culture helps the organization define itself and make its way into potentially hostile environments
Many elements of the culture have been learned as defenses against anxiety as the organization struggles to build and maintain itself
Founder’s Assumptions

30. Incremental Change Through Evolution
Specific Evolution
General Evolution
Diversification
Growing Complexity
Creative Syntheses
Higher Levels
Differentiation
Integration
Adaptation of Specific Parts to Particular Environments
The Impact of Cultural Diversity on the Core Culture

31. Insight Options Give up the mechanism Design compensatory mechanisms
Give up the mechanism
Design compensatory mechanisms
Break the company down

32. Managed Evolution Through Hybrids
Systematic Promotion of Insiders
Cultural Deviant

33. Midlife Systematic Promotion, Technological Seduction, and Outsiders
Conservatives
Radicals
Founding principles working?
Enhance power position?
The Problems of Succession

34. Missing
What is it doing for the organization?
Philosophy and ideology

35. Outsiders and Their Influence
Success or Failure?

36. Organizational Maturity and Potential Decline
Organizations Develop Espoused Values and Ideas
Basic Assumptions Become Strongly Held
Out of Line With the Actual Assumptions
These make cultural change difficult

37. Culture Change Triggers
Myth
Scandal
Turnarounds
Mergers and acquisitions
Destruction and rebirth

38. Leaders armed with the knowledge can have success with culture change
Conclusion
Leaders armed with the knowledge can have success with culture change