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Organizational culture is the personality of the organization.

The culture of an organization is a driving


force in the behavior of the organization’s employees. It shapes behavior and influences performance.
Not all organizational cultures are alike. The observable culture is what you see and hear as an employee
or customer. The core culture is found in the underlying values of the organization. Value-based
management supports a strong organizational culture.

Culture is the personality of the organization that shares beliefs and values that guide behavior of
organization members. Strong cultures are clear, well defined, and widely shared among members.
Strong and positive cultures don’t happen by chance. They are created by leaders who set the tone and
they are reinforced through socialization. Alternative organizational cultures includes team, hierarchical,
entrepreneurial and regional culture. The observable culture is what you see in people’s behaviors and
hear in their conversations. It is reflected in how people dress at work, arrange their offices, speak to
and behave toward one another, and talk about and treat their customers.

Organizational culture is core values need to be demonstrated in actions as well as stated in documents.
A second and deeper level of organizational culture is called the core culture. It consists of the core
values, or underlying assumptions and beliefs, that shape and guide people’s behaviors. Values-based
management works hard to make sure the core values show.

Workplace spirituality involves creating meaning and community for employees. Common elements are
meaningful work, respect for diversity, work/life balance, and ethical behavior and symbolic leaders
model and teach the culture and values.

Innovative organizations are often very connected with the external environment. Innovation in and by
organizations is often discussed in three forms. Process innovations result in better ways of doing things.
Product innovations result in the creation of new or improved goods and services. Business model
innovations result in new ways of making money for the firm. We can add green innovation, or
sustainable innovation, to the list of innovation types. Green innovations support sustainability by
reducing the carbon footprint of an organization or its products. These innovations are emerging quite
frequently now as businesses strive to create new products and production methods that have minimal
impact on the natural environment. Social innovation can be described as innovation driven by a social
conscience. It stems from creativity in social entrepreneurship that pursues innovative ways to solve
pressing social problems. Social entrepreneurs really try to make the world a better place.

Commercializing innovation turn ideas into products, services, or processes. One of the newer
developments in commercializing innovation is called reverse innovation. It takes products created for
small or emerging markets and moves them into larger distribution. Highly innovative organizations
value innovation on all levels.

Organizational change includes change leaders (leaders who take responsibility for change),
transformational change (results in major and comprehensive redirection of the organization), and
incremental change (smaller change that aligns systems and practices with strategy). Change process
includes unfreezing, changing and refreezing. Unfreezing is the stage in which managers help others to
develop, experience, and feel a real need for change. The changing phase is where actual change takes
place. The final stage in the planned change process is refreezing. Here, the focus is on stabilizing the
change to make it as long lasting as needed.
Improvising can be critical to the planned changed process. It includes to make continual adjustments as
changes are being implemented. It includes the force-coercion strategy that uses the power bases of
legitimacy, rewards, and punishments as the primary inducements to change. An alternative to force-
coercion is the rational persuasion strategy, attempting to bring about change through persuasion
backed by special knowledge, information, facts, and rational argument. A shared power strategy
engages people in a collaborative process of identifying values, assumptions, and goals from which
support for change will naturally emerge.

We all know that how we feel when forced to make changes. Our employees are no different. Fears can
be fear of the unknown, disrupted habits, loss of confidence, loss of control, poor timing, and work
overload loss of face.

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