MBA OB Organization-Culture 2

MBA Entrepreneurship
of 12
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  ORGANIZATIONAL BEHAVIOR ORGANIZATION CULTURE Organizational culture, sometimes also referred to as corporate culture, is a general term that outlines the collective attitudes, beliefs, common experiences, procedures, and values that are  prevalent in an organization and others similar to it. Organizational culture is the phrase much more likely to be used within the corporate world itself, as it also affects shareholders, who may or may not be directly involved beyond ownership of x number of shares of company stock. Definition- According to Schein's, Organization Culture is defined as,  A pattern of shared basic assumptions that the group learned as it solved its problems that has worked well enough to be considered valid and is passed on to new members as the correct way to perceive, think, and feel in relation to those problems.     Primary Characteristics of Organizational Culture - There are 7 primary characteristics of organizational culture. They are listed below. 1.   Innovation and Risk Taking: Risk and returns go hand in hand. Places where you take a risk (calculated risk of course!), the chances of returns are higher. Same goes for innovation. You could either be a follower or a  pioneer. Pioneering has its share of risks, but at times it can also have a breakthrough outcome for the organization. Thus, innovation and risk taking is one of the main characteristics of organizational culture defining how much room the business allows for innovation. 2.   Attention to Detail:  Attention to detail defines how much importance a company allots to precision and detail in the workplace. This is also a universal value as the degree of attention the employees are expected to  ORGANIZATIONAL BEHAVIOR give is crucial to the success of any business. The management defines the degree of attention to be given to details.   3.   Outcome Orientation: Some organizations pay more attention to results rather than processes. It is really the  business model of each business that defines whether the focus should be on the outcome or the  processes. This defines the outcome orientation of the business.   4.   People Orientation: This is still one of the most contentious issues in organizational culture today. How much should be the management focus on the people? Some organizations are famous for being employee oriented as they focus more on creating a better work environment for its 'associates' to work in. Others still are feudal in nature, treating employees no better than work-machines. 5.   Team Orientation: It is a well established fact today that synergistic teams help give better results as compared to individual efforts. Each organization makes its efforts to create teams that will have complementary skills and will effectively work together. 6.   Aggressiveness:  Every organization also lays down the level of aggressiveness with which their employees work. Some businesses like Microsoft are known for their aggression and market dominating strategies. 7.   Stability: While some organizations believe that constant change and innovation is the key to their growth, others are more focused on making themselves and their operations stable. The managements of these organizations are looking at ensuring stability of the company rather than looking at indiscriminate growth.    ORGANIZATIONAL BEHAVIOR ORGANIZATIONAL CULTURE MODEL : PAEI  –   Balance/Contingency Models and the Competing Values Model  : After decades of experimentation, management thinkers were beginning to notice that all of the various styles of management seemed to produce their share of successes and failures. It seemed that managers sometimes needed to use one approach, and sometimes another. Getting the right  balance was key. Importantly, it was also clear that the priorities within a certain situation shifted and changed quite often. Balance always had to be adjusted to track the changing context. Quinn, Faerman, Thompson and McGrath position their own competing values model as a balance model. Their model explicitly affirms the usefulness of all four approaches to management. The four competing values are arranged along two continua, flexibility-control and internal-external focus. For example, the rational goal model reflects a control motive and an external focus. Within each resulting quadrant, they define two management roles or “orientations”. The rational goal quadrant contains two management roles: director and producer. These have a circumplex relationship with the axes, so if a circle was drawn around the crossed axes and sliced into eight pie- sections, the producer role would be on the “external focus” side of the rational goal quadrant, and the director role on the “control” side. One could say that the rational goal value set has a control slant and an external focus slant, and varying emphasis can be placed on each one. The four competing values from Quinn et al are summarized below.  P  –   Rational Goal Model (Control, External Focus)   Values : Success measured by profits, attained through goal/task clarification and taking action.  Role (External slant)    –   Producer: Full task focus, high interest, motivation, energy, drive. Great  personal productivity and intense goal focus. Can foster a productive work environment and manage time energy/stress levels of team.  –   Negatives: Overachieving, individualistic (destroys cohesion).  Role (Control slant)    –   Director: Maps out the way through problem clarification, option evaluation,  planning, goal setting, role/task definition and designing rules and instructions. Directly supervises work and keeps team on task.  –   Negatives: Unreceptive, unfeeling (offends individuals). It assumes that planning and goal setting results into productivity and efficiency. Tasks are clarified; objectives are set and action is taken.  ORGANIZATIONAL BEHAVIOR  A  –   Internal Process Model (Control, Internal Focus)   Values : Stability, hierarchy, continuity, routinization, attainted through defining responsibilities, measurement and documentation.  Role (Internal slant)    –   Monitor: Tracking individual job performance, tracking team or project  performance, ensuring standardization of processes, analyzing information and critical thinking.  –    Negatives: Unimaginative, tedious (neglects possibilities).  Role (Control slant)    –   Coordinator: Managing project dependencies, breaking down and designing work assignments, managing dependencies across functions.  –   Negatives: Skeptical, cynical (stifles  progress). These processes bring stability and control. Hierarchies seem to function best when the task to be done is well understood and when time is not an important factor.  E  –   Open Systems Model (Flexibility, External Focus)   Values : Innovation, adaptation and growth through external bargaining, brokering and negotiation, creative problem solving, innovation and change management.  Role (External slant)    –   Broker: builds and maintains a resource network and power base, presents concepts and new ideas, negotiates agreements and commitment.  –   Negatives: Opportunistic, overly aspiring (disrupts continuity).  Role (Flexibility slant)    –   Innovator: Living with, adapting to and managing change, creative thinking.  –   Negatives: Unrealistic, impractical (wastes energy). These processes bring innovation and creativity. People are not controlled but inspired.  I  –   Human Relations Model (Flexibility, Internal Focus)   Values : Commitment, cohesion and morale through involvement, participation, conflict resolution, teamwork and consensus building.  Role (Internal Slant)    –   Facilitator: Team building, managing conflict and participatory decision making processes.  –   Negatives: Overly democratic, too participative (slows production).


Jul 22, 2017


Jul 22, 2017
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