Represent the core values of the organizations

represent the core values of the organization’s culture
 those taken for granted and highly resistant to change
How Employees Learn Culture
 Symbol
 an object, act, quality, or event that conveys meaning to others
 covey most important values
 In terms of organizational culture, a symbol is an artifact, act, quality, or
event that conveys meaning to others
 Story
 narrative based on true events, which is repeated – and sometimes
embellished upon – to emphasize a particular value
 Hero
 person whose accomplishments embody the values of the organization
 Rites and rituals
 activities and ceremonies, planned and unplanned, that celebrate
important occasions and accomplishments in the organization’s life
In the Mary Kay Cosmetics Co., the best salespeople receive pink Cadillacs in
special awards ceremonies. This is an example of a:
A. Symbol
B. Value
C. Rite or ritual
D. Both A and C
What organizational benefits are associated with what organizational cultures?

The Importance of Culture
 An organization’s culture matters
 Employees are happier with clan cultures
 Elements of these cultures can be used to boost innovation and quality
 Changing the organizational culture won’t necessarily boost financial
performance (but it might)
 Market cultures tend to produce better results
Ways to Change
Organizational Culture
1. Formal statements
2. Slogans & sayings
3. Rites & Rituals
4. Stories, legends, & myths
5. Leader reaction to crises
6. Role modeling, training, & coaching
7. Physical design
8. Rewards, titles, promotions, & bonuses
9. Organizational goals & performance criteria
10.Measurable & controllable activities
11.Organizational structure
12.Organizational systems & procedures
Organizational Structure
 Organization

 a system of consciously coordinated activities or forces of two or more
people – Chester Barnard’s definition
 For-profit, nonprofit,
mutual-benefit
The Organization: Three Types
 For-profit organizations
 formed to make money, or profits, by offering products or services
 Nonprofit organizations
 formed to offer services to some clients, not to make a profit
 Mutual-benefit organizations
 voluntary collectives whose purpose is to advance members’ interests
The United Way, a charitable organization, is considered a ______ organization.
The Organization Chart
 Organization Chart – who specializes in what, who reports to whom
 box-and-lines illustration showing the formal lines of authority and the
organization’s official positions or work specializations
 Horizontal specialization- VP marketing, sales, accounting

Common Elements of Organizations
1. Common purpose - unifies employees or members and gives everyone an
understanding of the organization’s reason for being
2. Coordinated effort – the coordination of individual effort into group wide effort
3. Division of labor – arrangement of having discrete parts of a task done by
different people
4. Hierarchy of authority - control mechanism for making sure the right people do