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Organizational Culture
and Change
Chapter10,NancyLangtonandStephenP.Robbins,
Chapter Outline
Chapter10,NancyLangtonandStephenP.Robbins,
Organizational Culture
1. What is the purpose of organizational culture?
2. How do you create and maintain organizational
culture?
3. What kind of organizational culture might suit you?
4. Can organizational culture have a downside?
5. How do organizations manage change?
6. Why do people and organizations resist change?
Chapter10,NancyLangtonandStephenP.Robbins,
Organizational Culture
The pattern of shared values, beliefs, and
assumptions considered to be the appropriate
way to think and act within an organization.
Culture is shared.
Culture helps members solve problems.
Culture is taught to newcomers.
Culture strongly influences behaviour.
Chapter10,NancyLangtonandStephenP.Robbins,
Chapter10,NancyLangtonandStephenP.Robbins,
Levels of Culture
Artifacts
Aspects of an organizations culture that you see, hear, and feel
Beliefs
The understandings of how objects and ideas relate to each
other
Values
The stable, long-lasting beliefs about what is important
Assumptions
The taken-for-granted notions of how something should be in
an organization
Chapter10,NancyLangtonandStephenP.Robbins,
Characteristics of
Organizational Culture
Innovation and risk-taking
The degree to which employees are encouraged to be innovative and take
risks.
Attention to detail
The degree to which employees are expected to exhibit precision,
analysis, and attention to detail.
Outcome orientation
The degree to which management focuses on results or outcomes rather
than on technique and process.
People orientation
The degree to which management decisions take into consideration the
effect of outcomes on people within the organization.
Chapter10,NancyLangtonandStephenP.Robbins,
Characteristics of Organizational
Culture
Team orientation
The degree to which work activities are organized around teams
rather than individuals.
Aggressiveness
The degree to which people are aggressive and competitive rather
than easygoing.
Stability
The degree to which organizational activities emphasize
maintaining the status quo in contrast to growth.
Chapter10,NancyLangtonandStephenP.Robbins,
Organization B
Management encourages and
rewards risk-taking and change.
Employees are encouraged to
run with ideas, and failures are
treated as learning experiences.
Employees have few rules and
regulations to follow.
Productivity is balanced with treating
its people right.
Team members are encouraged to interact
with people at all levels and functions.
Many rewards are team based.
Chapter10,NancyLangtonandStephenP.Robbins,
Cultures Functions
Boundary-defining
Conveys a sense of identity for organization
members
Facilitates commitment to something larger
than ones individual self-interest
Social glue that helps hold an organization
together
Provides appropriate standards for what
employees should say or do
Chapter10,NancyLangtonandStephenP.Robbins,
Cultures Functions
Serves as a sense-making and control
mechanism
Guides and shapes the attitudes and behaviour of
employees
Chapter10,NancyLangtonandStephenP.Robbins,
Subcultures
Tend to develop in large organizations to reflect common
problems, situations, or experiences.
Chapter10,NancyLangtonandStephenP.Robbins,
Top
management
Organization's
culture
Selection
criteria
Socialization
Chapter10,NancyLangtonandStephenP.Robbins,
Top Management
Senior executives establish and communicate the norms
of the organization.
Socialization
Organizations need to teach the culture to new employees.
Chapter10,NancyLangtonandStephenP.Robbins,
A Socialization Model
Socialization Process
Outcomes
Productivity
Prearrival
Encounter
Metamorphosis
Commitment
Turnover
Chapter10,NancyLangtonandStephenP.Robbins,
Sociability
Exhibit 10-5
Four-Culture Typology
High
Networked
Communal
Low
Fragmented
Mercenary
Low
High
Solidarity
Source:AdaptedfromR.GoffeeandG.Jones,TheCharacterofaCorporation:HowYourCompanysCultureCanMakeorBreakYourBusiness(NewYork:HarperBusiness,1998),p.21.
Chapter10,NancyLangtonandStephenP.Robbins,
Chapter10,NancyLangtonandStephenP.Robbins,
Chapter10,NancyLangtonandStephenP.Robbins,
Chapter10,NancyLangtonandStephenP.Robbins,
Change Agents
People who act as catalysts and assume the
responsibility for managing change activities.
Chapter10,NancyLangtonandStephenP.Robbins,
Outside agents
Chapter10,NancyLangtonandStephenP.Robbins,
Internal agents
Have to live with the consequences of their
actions.
May be more thoughtful.
May be more cautious.
Chapter10,NancyLangtonandStephenP.Robbins,
Chapter10,NancyLangtonandStephenP.Robbins,
Unfreezing
Moving
Refreezing
Chapter10,NancyLangtonandStephenP.Robbins,
Moving
Efforts to get employees involved in the change process.
Refreezing
Stabilizing a change intervention by balancing driving and
restraining forces.
Chapter10,NancyLangtonandStephenP.Robbins,
Exhibit 10-7
Unfreezing the Status Quo
Desired
state
Restraining
forces
Status
quo
Driving
forces
Time
Chapter10,NancyLangtonandStephenP.Robbins,
Unfreezing
Chapter10,NancyLangtonandStephenP.Robbins,
Moving
Establish goals.
Institute smaller, acceptable changes that
reinforce and support change.
Develop management structures for change.
Maintain open, two-way communication.
Chapter10,NancyLangtonandStephenP.Robbins,
Refreezing
Chapter10,NancyLangtonandStephenP.Robbins,
1.
2.
3.
4.
5.
6.
7.
8.
Source:BasedonJ.P.Kotter,LeadingChange(Boston:HarvardBusinessSchoolPress,1996).
Chapter10,NancyLangtonandStephenP.Robbins,
Action Research
A change process based on the systematic
collection of data and then selection of a
change action based on what the analyzed data
indicate.
Chapter10,NancyLangtonandStephenP.Robbins,
Diagnosis
Analysis
Feedback
Action
Evaluation
Chapter10,NancyLangtonandStephenP.Robbins,
Appreciative Inquiry
An approach to change that seeks to identify
the unique qualities and special strengths of an
organization, which can then be built on to
improve performance.
Chapter10,NancyLangtonandStephenP.Robbins,
Discovery
Dreaming
Design
Destiny
Chapter10,NancyLangtonandStephenP.Robbins,
Habit
Individual
Resistance
Fear of
the unknown
Security
Economic
factors
Chapter10,NancyLangtonandStephenP.Robbins,
Threat to established
power relationships
Threat to
expertise
Organizational
Resistance
Structural
inertia
Limited focus
of change
Group
inertia
Chapter10,NancyLangtonandStephenP.Robbins,
Chapter10,NancyLangtonandStephenP.Robbins,
Chapter10,NancyLangtonandStephenP.Robbins,
Chapter10,NancyLangtonandStephenP.Robbins,
Chapter10,NancyLangtonandStephenP.Robbins,
OB at Work
Chapter10,NancyLangtonandStephenP.Robbins,
For Review
1. How can an outsider assess an organizations culture?
2. What defines an organizations subcultures?
3. Can an employee survive in an organization if he or she
rejects its core values? Explain.
4. What benefits can socialization provide for the
organization? For the new employee?
5. Describe four cultural types and the characteristics of
employees who fit best with each.
Chapter10,NancyLangtonandStephenP.Robbins,
For Review
6. How can culture be a liability to an organization?
7. How does Lewins three-step model of change deal with
resistance to change?
8. How does Kotters eight-step plan for implementing
change deal with resistance to change?
9. What are the factors that lead individuals to resist
change?
10.What are the factors that lead organizations to resist
change?
Chapter10,NancyLangtonandStephenP.Robbins,
Point-CounterPoint
Why Culture Doesnt
Change
Culture develops over many
years, and becomes part of
how the organization thinks
and feels.
Selection and promotion
policies guarantee survival of
culture.
Top management chooses
managers who are likely to
maintain culture.
Chapter10,NancyLangtonandStephenP.Robbins,
Chapter10,NancyLangtonandStephenP.Robbins,