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Chapter 3 Organizational Culture, Socialization & Mentoring Organizational Culture: Definition and Context Organizational Culture: Definition and Context

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  • 3Organizational Culture, Socialization & MentoringOrganizational Culture: Definition and ContextDeveloping High Performance CulturesThe Organizational Socialization ProcessEmbedding Organizational Culture Through Mentoring

  • Organizational CultureOrganizational 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.


  • Understanding Organizational Culture3-3Figure 3-1

  • Layers of Organizational CultureObservable Artifacts physical manifestations of an organizations cultureValues enduring belief in a mode of conduct or end-stateEspoused Values stated values and norms that are preferred by an organizationEnacted Values values and norms exhibited by employeesBasic Assumptions unobservablerepresent the core of organizational culture3-4

  • Four Functions of Organizational CultureOrganizationalcultureSense-makingdeviceOrganizationalidentitySocial systemstabilityCollectivecommitment3-4Figure 3-2

  • Constructive CultureConstructive Culture employees are encouraged to interact with others and to work on tasks and projects that will assist in satisfying their needs to grow and develop 3-5Table 3-1

  • Passive Defensive CulturePassive Defensive Culture overriding belief that employees must interact with others in ways that do not threaten their job security3-6Table 3-1 cont.

  • Aggressive-Defensive CultureAggressive-Defensive Culture encourage employees to approach tasks in forceful ways in order to protect their status and job security3-7Table 3-1 cont.

  • Evidence from Organizational Culture ResearchOrganizational culture was significantly correlated with employee attitudes and behaviorCongruence between an individuals values and the organizations values was associated with organizational commitment, job satisfaction, intentions to quit, and turnoverOrganizational culture did not predict a companys financial performanceMergers frequently failed due to incompatible cultures 3-8

  • Early business leaders create an implement a business visionand strategy that fits the business environment well.Developing an Adaptive Culture3-9Figure 3-3

  • Embedding Culture in OrganizationsFormal statements of organizational philosophy, mission, vision, values, and materials used for recruiting, selection and socializationThe design of physical space, work environments and buildingsSlogans, acronyms, and sayingsDeliberate role modeling, training programs, teaching and coaching by managers and supervisorsExplicit rewards, status symbols (e.g. titles), and promotion criteriaStories, legends, or myths about key people and events3-10

  • Embedding Culture in Organizations Cont.The organizational activities, processes, or outcomes that leaders pay attention to, measure, and controlLeader reactions to critical incidents and organization crisesThe workflow and organizational structureOrganizational systems and proceduresOrganizational goals and the associated criteria for recruitment, selection, development, promotion, layoffs, and retirement of people3-11

  • Organizational SocializationPhasesPerceptual and Social Processes3-12Figure 3-4

  • Organizational SocializationPhasesPerceptual and Social ProcessesEncounter values, skills, and attitudes start to shift as new recruit discovers what the organization is truly likeManaging lifestyle-versus-work conflictsManaging intergroup role conflictsSeeking role definition and clarityBecoming familiar with task and group dynamics3-13Figure 3-4 cont.

  • Organizational SocializationPhasesPerceptual and Social ProcessesChange and acquisition recruit masters skills and roles and adjusts to work groups values and normsCompeting role demands are resolvedCritical tasks are masteredGroup norms and values are internalized3-14Figure 3-4 cont.

  • Organizational SocializationOutsiderBehavioral Outcomes Performs role assignments Remains with organization Spontaneously innovates and cooperatesSocialized InsiderAffective Outcomes Generally satisfied Internally motivated to work High job involvement3-15Figure 3-4 cont.

  • Socialization TacticsDescriptionTactic3-16Table 3-2

  • Socialization TacticsDescriptionTactic3-17Table 3-2 cont.

  • Socialization TacticsDescriptionTactic3-18Table 3-2 cont.

  • MentoringMentoring is the process of forming and maintaining intensive and lasting developmental relationships between a variety of developers and a junior person3-19

  • Functions of MentoringCareer FunctionsSponsorshipExposure-and-VisibilityCoachingProtectionChallenging AssignmentsPsychological FunctionsRole ModelingAcceptance-and-ConfirmationCounselingFriendship


  • Developmental Networks Associated with Mentoring D2D1 PReceptive D2D1 PTraditionalEntrepreneurial POpportunisticDevelopmental Relationship StrengthWeak TiesStrong TiesD1 D2D3 D4Low RangeHigh RangeDevelopmental Relationship DiversityKey:D = developerP = protege PD1 D2D3 D43-21Figure 3-5

  • Enrons Organizational Culture Contributed to Its Financial and Legal ProblemsUsing Figure 3-1, explain how Enrons culture influenced organizational structure and practices, group and social processes, collective attitudes and behavior, and ultimately organizational outcomes.How would you describe the type of organizational culture that existed at Enron?What are the shared things, sayings, doings, and feelings at Enron? Explain.Which of the techniques for embedding organizational culture were used at Enron? Explain.

    Questions for Discussion:3-22OB in Action Case Study

  • Enrons Organizational Culture Contributed to Its Financial and Legal ProblemsHow were employees socialized to act entrepreneurial? Provide examples.How would you change the culture at Enron if you were its new CEO? Provide specific recommendations.Questions for Discussion Cont.:3-23OB in Action Case Study

  • Arthur Andersens Pursuit of Consulting Income Created Ethical Challenges in its Auditing OperationsVigorously challenge Waste Management employees to correct their accounting practices.Go to your manager when you first realize Waste Management was not following generally accepted accounting principles and tell him/her that you will not work on this account until Waste Management changes its ways.Complete the work as best you can because your efforts contribute to Andersons financial goals.Invent other options. DiscussWhat would you have done if you were auditing Waste Managements financial statements?3-24Ethical Dilemma