1. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 1 ©20 01 by Prentice Hall, Inc. Chapter 14

2. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 2 ©20 01 by Prentice Hall, Inc. Organizational Culture Pattern of shared values and beliefs that produce certain norms of behavior

3. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 3 ©20 01 by Prentice Hall, Inc. Sources of Culture Values of founder or strong leaders Learned solutions to problems over time

4. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 4 ©20 01 by Prentice Hall, Inc. Functions of Organizational Culture Provides a sense of identity Generates commitment Serves as a control mechanism Enhances implementation of strategy

5. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 5 ©20 01 by Prentice Hall, Inc. Strong Cultures Have more values and beliefs of high -- consensus = degree of agreement about the norms -- intensity = degree of commitment to the norms (evoking approval/disapproval)

6. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 6 ©20 01 by Prentice Hall, Inc. Strong Cultures Advantages Clear sense of purpose More value-driven decision making Employee commitment Disadvantages Pressure for conformity Resistance to change

7. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 7 ©20 01 by Prentice Hall, Inc. Characteristics of Strong Cultures Easily identified dominant values Selection process targets people who fit the culture Socialization and training teach newcomers “the ropes” Employees who don’t fit are fired Rewards for acting in accordance with the culture Leaders and managers send clear signals about desired values and norms

8. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 8 ©20 01 by Prentice Hall, Inc. Identifying Culture Stories Symbols Jargon Rituals and Ceremonies Statements of Principles

9. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 9 ©20 01 by Prentice Hall, Inc. HOW LEADERS CREATE AND MODIFY CULTURE What they pay attention to, measure, and control regularly Their reaction to critical events and crises Deliberate role modeling, teaching, and coaching

10. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 10 ©20 01 by Prentice Hall, Inc....HOW LEADERS CREATE AND MODIFY CULTURE Criteria for recruitment, selection, promotion, retirement, and termination Criteria used to allocate scarce resources Criteria for allocating rewards and status

11. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 11 ©20 01 by Prentice Hall, Inc. Top Management’s: *Beliefs *Values *Actions “Perceived” Values, Philosophy *Consistent *Intensity *Consensus Communication *Credible *Consistent *Salient Rewards *Money *Promotion *Approval