1. Cultivating Organizational Culture and Ethical Behavior Chapter Two

2. Foundation of Organizational CultureFoundation of Organizational Culture Layers of Organizational Culture Four Functions of Organizational Culture Types of Organizational Culture Outcomes Associated with Organizational Culture How Cultures are Embedded in Organizations Embedding Organizational Culture Through Socialization Processes and Mentoring.Embedding Organizational Culture Through Socialization Processes and Mentoring. A Three-Phase Model of Organizational Socialization Practical Application of Socialization Research Attitudes Using Mentoring to Your Advantage 2-1a Chapter Two Outline

3. Fostering Ethical Organizational Behavior A model of Ethical Behavior Do Moral Principles Vary by Gender? How to Improve the Organization’s Ethical Climate 2-1b McGraw-Hill/Irwin ©2002, The McGraw-Hill Companies, Inc. All Rights Reserved Chapter Two Outline (continued)

4. Organizational Culture Is “The 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.” - Edgar Schein 2-2

5. The Layers of Organizational Culture Source: Adapted from E H Schein, Organizational Culture and Leadership, 2 nd ed (San Francisco: Jossey-Bass, 1992), p 17. 2-3 Figure 2-1 Observable Artifacts Espoused Values Basic Underlying Assumptions

6. 2-4 Figure 2-2 Organizational culture Sense-making device Organizational identity Social system stability Collective commitment Four Functions of Organizational Culture

7. 2-5 Table 2-1a Constructive Constructive Self-actualizing Value self-development and creativity Type of Normative Culture Belief Characteristics Type of Normative Culture Belief Characteristics Constructive Constructive Achievement Goal and achievement oriented Constructive Constructive Humanistic- Participative, employee encouraging centered, and supportive Constructive Constructive Affiliative High priority on constructive interpersonal relationships, and focus on work group satisfaction Types of Organizational Culture

8. 2-6 Table 2-1b Passive- Defensive Passive- Conventional Conservative, bureaucratic, and Defensive people follow the rules Type of Normative Culture Belief Characteristics Type of Normative Culture Belief Characteristics Passive- Defensive Passive- Approval Avoid conflict, strive to be liked Defensive by others, and approval oriented Passive- Defensive Passive- Dependent Nonparticipative, centralized Defensive decision making, and employees do what they are told Passive- Defensive Passive- Avoidance Negative reward system and Defensive avoid accountability Types of Organizational Culture (cont)

9. 2-7 Table 2-1c Aggressive- Defensive Aggressive- Power Nonparticipative, take charge of Defensive subordinates and responsive to superiors Type of Normative Culture BeliefCharacteristics Type of Normative Culture Belief Characteristics Aggressive- Defensive Aggressive- Oppositional Confrontation and negativism Defensive rewarded Aggressive- Defensive Aggressive- Competitive Winning is values and a win- Defensive lose approach is used. Aggressive- Defensive Aggressive- Perfectionistic Perfectionistic, persistent, and Defensive hard-working Types of Organizational Culture (cont)

10. 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 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 2-7a Embedding Organizational Culture

11. 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 Organizational systems and procedures Organizational goals and the associated criteria used for recruitment, selection, development, promotion, layoffs, and retirement of people 2-7b Embedding Organizational Culture (cont)

12. A Model of Organizational Socialization 2-8 Figure 2-3a 1. Anticipatory socialization Learning that occurs prior to joining the organization Phases Anticipating realities about the organization and the new job Anticipating organization’s need for one’s skills and abilities Anticipating organization’s sensitivity to one’s needs and values Perceptual and Social Processes

13. A Model of Organizational Socialization (cont.) 2-8b Figure 2-3b 2. Encounter Values, skills and attitudes start to shift as new recruit discovers what the organization is truly like Phases Managing lifestyle- versus-work conflicts Managing intergroup role conflicts Seeking role definition and clarity Becoming familiar with task and group dynamics Perceptual and Social Processes

14. A Model of Organizational Socialization (cont.) 2-8c Figure 2-3c 3. Change and acquisition Recruit masters skills and roles and adjusts to work group’s values and norms Phases Competing role demands are resolved Critical tasks are mastered Group norms and values are internalized Perceptual and Social Processes

15. A Model of Organizational Socialization (continued) 2-8d Figure 2-3dPhases 1. Anticipatory socialization 2. Encounter 3. Change and acquisitionOutsider Socialized Insider Behavioral Outcomes Behavioral Outcomes Performs role assignments Remains with organization Spontaneously innovates and cooperates Affective Outcomes Affective Outcomes Generally satisfied Internally motivated to work High job involvement

16. Have you Been Adequately Socialized? 2-9 Hands on Exercise What is a new employee’s role in the socialization process? Does your employer adequately socialize employees? How do high levels of socialization impact a new employee’s job satisfaction? Explain. Have you been adequately socialized?

17. Functions of Mentoring Career Functions - Sponsorship - Exposure and visibility - Coaching - Protection - Challenging assignments Psychosocial Functions - Role modeling - Acceptance and confirmation - Counseling - Friendship 2-10 The process of forming and maintaining intensive and lasting developmental relationships between a variety of developers (i.e., people who provide career and psychosocial support) and a junior person (the protégé, if male; or protégée if female). Mentoring

18. Developmental Networks Associated with Mentoring 2-11 Figure 2-4 Source: M Higgins and K Kram, “Reconceptualizing Mentoring at Work: A Developmental Network Perspective,” Academy of Management Review, April 2001, p. 270 Developmental relationship diversity Low range High range Weak ties Strong ties Developmental relationship strength D2 D1 P D2 D1 P ReceptiveTraditional D1 D3 D2 D4 Opportunistic P D1 D3 D2 D4 Entrepreneurial P Key: D, developer; P, protégé.

19. 2-12 Figure 2-5 Cultural Influences - Family - Education -Religion - Media/entertainment Organizational Influences - Ethical codes - Organizational culture - Role models - Perceived pressure for results - Rewards/punishment system Individual - Personality - Values - Moral principles - History of reinforcement - Gender Political/legal/ economic influences Ethical behavior Role Expectations A Model of Ethical Behavior in the Workplace

20. Ethical Behavior – Additional Thoughts Hiring right people, firing undesirables, modeling behavior, etc. not sufficient. Example: Women in SUNAT and police women in Peru Reduce opportunities for unethical behavior (through design of control systems and processes)