L17-20101103

L17-20101103 - Organizational Culture MGMT121 Lecture 17 3...

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1 Organizational Culture MGMT121 Lecture 17 3 Nov., 2010
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Last lecture: key points Organizational culture tells employees how things are done around here 3 components in organizational culture: shared assumptions, shared values and observable artifacts Employees learn organizational culture through 6 types of observable artifacts 2
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Today’s class agenda Strong v.s. weak culture Dominant v.s. sub- cultures Creating and sustaining organizational culture 3
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My learning objectives are: 4 1. Explain cultural strengths and organizational subcultures 2. Explain how an organizational culture begins and how to keep a culture alive 3. Able to apply socialization in organizational context
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Culture strength (strong culture) A high level of culture strength exists when: 1. Employees definitely agree about the way things are supposed to happen with the organization ( high consensus ) and 2. When the employees’ behaviors are consistent with expectations ( high intensity ) When both conditions are met, it is known as a strong culture 5 An individual employee
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Culture strength (weak culture) Weak cultures exist when: 1. Employees disagree about the ways things are supposed to be, or what’s expected of them 2. It means there is nothing to unite or direct their attitudes and actions 6
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7 Strong culture Weak Culture Core values are both intensely held and widely shared Values limited to a few people, usually top management Most employees can tell stories about company history / heroes Employees have little knowledge of company history or heroes Strong identification with culture because of acceptance and commitment to core values Employees have little identification with culture Strong culture have great influence on the behavior of its members because the high degree of sharedness and intensity creates an internal climate of high behavior control Little connection between shared values and behaviors
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8 Video case illustration:
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9
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10 What is the lesson learnt? 2. What benefits do the Credo deliver to J&J?
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11 What is the J&J Credo?
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12 Credo is the corporate culture It is a glue to hold 230 operating units It is a common set of values to guide decision making It is like the Ten Commandments: the way we do business
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