Organizational Culture

http://globtrades.com

Organizational culture 2

Agenda• Concept of Organizational culture • 2• 3• 4• Competing values Framework and Organizational culture

• Introduction- Major culture types • CONTROL (HIERARCHY) Culture• COMPETE (MARKET) Culture• COLLABORATE (CLAN) Culture• CREATE (ADHOCRACY) Culture

• Harley Davidson vs. Honda divergence of culture in the organizations• Harley Davidson Culture • Honda Culture• Comparison

• Conclusion • Bibilography

Organizational culture 3

This is for sure not good Organizational culture

Organizational culture 4

Competing values Framework and Organizational culture

• Developed by professors Cameron & Quinn• Two major polarities of values that determine

organization’s effectiveness1. Internal versus external focus 2. Stability versus flexibility

• Key dimension's of culture 1. Dominant characteristics2. Organizational leadership3. Management of employees4. Organization glue5. Strategic emphases6. Criteria of success

Reference :

Organizational culture 5

Introduction to major Culture Types

Reference :

Organizational culture 6

Hierarchy(Control) culture

• Internal focus & stability• Formal attitude, structure, procedures• Leader type: coordinator, organizer• Efficiency, reliability, timeliness, consistency• Theory = Efficiency, timeliness and

consistency produce effectiveness

Reference :

Organizational culture 7

Market(Compete) culture

• External focus & stability• Result orientated, competitive• Leader type: hard-driver, demanding• Market share, goal achievement, profitability• Theory = Goal achievement, market share,

numbers produce effectiveness

Reference :

Organizational culture 8

Clan(Collaborate) culture

• Internal focus & flexibility• ‘Family’: friendly• Leader type: father, mentor• Communication, commitment, development• Theory = High commitment and solidarity

produce effectiveness

Reference :

Organizational culture 9

Adhocracy(Create) culture

• External focus & flexibility• Dynamic, entrepreneurial, creative• Leader type: innovator, entrepreneur

• Innovation, agility, transformation

• Theory = Innovativeness, growth and creativity produce effectiveness

Reference :

Organizational culture 10

Harley Davidson vs. Honda divergence of culture in the organizations

Harley Davidson Honda

Established : Milwaukee, US in 1903 Established : Tokyo, Japan in 1948

Reference :

Organizational culture 11

“Harley Davidson” Culture • Every detail is of the motorcycle construction is prioritized to innovation

• Harley and Davidson influenced the culture of their company. hey brought to the competitive spirit of the company by taking part in motorcycle racing

• organizational culture was being shaped by their passion and devotion to the bikes.

• They set up the habit of hard work, embedded into the organizational culture of the company

Reference :

Organizational culture 12

“Honda” Culture • Honda as organization is goal oriented, and doesn’t take the

“impossible” for granted.

• It is in the culture of the company is to achieve everything by themselves-a philosophy of a proud organization.

“There are some technologies that we didn't have...But when you buy technology it remains frozen, a foreign thing that is not part of yourself, and in the end you don't know where to go with it”.

• Honda as organization practices personal contact within the organization.

• Agressive and Competitive nature of Mr.Honda can be easily seen i nthe organization

Reference :

Organizational culture 13

Lets do a small Exercise !

1. It’s a Exercise about assessing the HFU culture from the student point of view

2. Now Please Choose A/B/C/D from each of the 6 cultural dimensions from the handout.

3. We will plot a simple chart which compares the managements expectation from the HFU’s culture and the opinion from the students .

Reference :