Professional Documents
Culture Documents
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
The McGrawHill
Companies, 2002
3. Organizational Culture
Learning Objectives
Chapter
Three
Organizational
Culture
BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
The McGrawHill
Companies, 2002
3. Organizational Culture
For discussion
What are, to you, the possible benets and
dangers of such a culture?
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BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
3. Organizational Culture
The McGrawHill
Companies, 2002
This opening case highlights how companies increasingly try to influence and make
explicit the values, norms and beliefs they strive for. The core principles of St Lukes
provide a sort of ideological background that directs all processes in the company,
determining how employees greet each other; how work is organized; new employees
recruited; meetings held; people dress; communication takes place and how the
organization is structured. It is often said that corporate culture is to an organization
what personality is to an individual, that is: a guideline that predicts its behaviour and
the way others perceive it. And according to Andy Law, the specific way things are
done there enhances morale, productivity, commitment and creates a certain image,
all of which is responsible for the companys success.
Much has been written and said about organizational culture, values and ethics in
recent years. The results of this activity can be arranged on a continuum of academic
rigour. At the low end of the continuum are simplistic typologies and exaggerated
claims about the benefits of imitating successful corporate cultures and values. Here
the term corporate culture is little more than a pop psychology buzzword. At the other
end of the continuum is a growing body of theory and research with valuable insights,
but one plagued by definitional and measurement inconsistencies.2 By systematically
sifting this diverse collection of material, we find that an understanding of
organizational culture is central to learning how to manage people at work in both
domestic and international operations.
This chapter will help you to understand better how managers can use organizational
culture as a competitive advantage. We discuss: the foundation of organizational
culture; the development of a high-performance culture; the organization socialization
process; and the role of mentoring in socialization.
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BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
The McGrawHill
Companies, 2002
3. Organizational Culture
Imagineers. With these titles, I knowingly try to express our vision of innovativeness
and our culture, he adds. Further, the London law firm Mishcon de Reya appointed a
Manager of Mischief to emphasize their customer-oriented culture. Although this
trend is becoming more common in Europe, the strangest job titles are nevertheless
still found in the USA: for example, the boss of AC-Television is called The Keeper of
the Magic, the Internet company, Encoding, has a Minister of Order and Reason in its
rungs and even Bill Gates, formerly known as the chairman of Microsoft changed his
name to Chief Software Architect.5
At DHL, the international courier service company, a number of activities are
organized to create a feeling of togetherness among its employees. Although mostly
organized on a regional basis, this also happens on a national and international basis:
for instance, every year Eurosoccer is held, where the different parts of DHL worldwide
play against each other. In total, 48 DHL teams from over the world gather together for
a two-day period during soccer tournament. It is said that these matches really bring
out the spirit of DHL.6
Artefacts are easier to change than the less visible aspects of organizational culture. At
the less visible level, culture reflects the values and beliefs shared by organizational
members. These values tend to persist over time and are more resistant to change.
Each level of culture influences the other. For example, if a company truly values
providing high-quality service, employees are more likely to adopt the behaviour of
responding faster to customer complaints. Similarly, causality can flow in the other
direction. Employees can come to value high-quality service based on their experiences
as they interact with customers.
To gain a better understanding of how organizational culture is formed and used by
employees, this section begins by discussing organizational valuesthe foundation of
organizational culture. It then reviews the manifestations of organizational culture, a
model for interpreting organizational culture, the four functions of organizational
culture and research on the subject.
Values
enduring belief in a
mode of conduct or
end-state
It is important to distinguish between values that are espoused versus those that are
enacted.8
Espoused values represent the explicitly stated values and norms that are preferred by
an organization. Often they are referred to as corporate glue. They are generally
established by the founder of a new or small company or by the top management team in
a larger organization. For example, Nokia, the Finnish telecom giant states four worldwide
core values, named customer satisfaction, respect for the individual, achievement and
continuous learning. Folke Rosengard, the Nokia Networks director explains.
Espoused values
the stated values and
norms preferred by
an organization
Respect for the individual is about openness and honesty and goes against the rigid
structures and the slavish yes sir mentality that often kills contemporary companies: it
destroys innovativeness and development. We need creative, almost-anarchists as,
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BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
3. Organizational Culture
The McGrawHill
Companies, 2002
without them, we would be back where we started producing toilet paper. Openness is
necessary when, for instance, we set up new offices elsewhere in the world: if there are
problems, they have to be communicated to headquarters. If not, we in Helsinki
become isolated from the rest of the world. Here in Helsinki, the creative heart of the
company beats and people from all over the world come together here. It often takes me
more than half an hour just to walk through the canteen, simply because you know
everybody. But Id like to emphasize that its not our philosophy to print our values on
every wall, coffee mug or mousepad in the company. Of course they are useful in
interviews and recruitment conversations, but the most important thing is that our
people develop a feeling of what its all about. We walk the talk.9
Enacted values
the values and norms
that are exhibited by
employees
Enacted values, on the other hand, represent the values and norms that actually are
exhibited or converted into employee behaviour. Let us consider the difference
between these two types of values. A company might espouse that it values integrity.
If employees display integrity by following through on their commitments, then the
espoused value is enacted and individual behaviour is being influenced by the value
of integrity. In contrast, if employees do not follow through on their commitments,
then the value of integrity is simply a stated aspiration that does not influence
behaviour. Gareth Jones, a professor of organization development at Britains Henley
Management College, warns that many companies exert lots of efforts to make explicit
their values in all kinds of ways, but very often they remain dead letter.
In most cases, some analysis and plenty of workshops follow as the company goes in
search of its soul. It draws up a document specifying the right values, and the chief
executive delivers an exciting speech to rally the troops, ending with the exhortation,
Now we know what we stand for, lets go for it. And very often, thats the end of it.
The values wallchart gathers dust along with the other culture-change literature.
Managers may pay lots of lip service to new values, without ever really practising them
or demonstrating how they can benefit the organization. You know, theres an
established technical term for values that look good on the wall but dont add value
to the business. That term is bullshit.10
The gap between espoused and enacted values is important because it can significantly
influence an organizations culture and employee attitudes. A study of 312 British Rail
train drivers, supervisors and senior managers, revealed that the creation of a safety
culture was negatively affected by large gaps between senior managements espoused
and enacted values. Employees were more cynical about safety when they believed that
senior managers behaviours were inconsistent with the stated values regarding safety.11
If we look back at the Nokia example, there this enactment seems to work out pretty well.
For example, the British Lynn Rutten, who has been working at the Nokia headquarters
in Helsinki (called Nokia House) for about three years, states: They do exert a lot of effort
to make sure everybody walks the line. Me, personally, I have become a Nokiasaurus.12
Value system
pattern of values
within an
organization
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BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
The McGrawHill
Companies, 2002
3. Organizational Culture
Equitable
Egalitarian
Unequal or
Equal or
Centralized Power
Decentralized Power
Organization Power Structure
Elite
Discouraged
Endorsed
Values
Values
Teamwork
Authority
Participation
Performance
Commitment
rewards
Affiliation
Meritocratic
Endorsed
Discouraged
Values
Values
Authority
Performance
rewards
Teamwork
Participation
Commitment
Affiliation
Leadership
Discouraged
Endorsed
Values
Values
Participation
Authority
Performance
rewards
Teamwork
Commitment
Affiliation
Collegial
Discouraged
Endorsed
Values
Values
Teamwork
Authority
Participation
Performance
Commitment rewards
Affiliation
Figure 31
A Typology of
Organizational
Values
SOURCE: Adapted from B Kabanoff and J Holt, Changes in the Espoused Values of Australian
Organizations 19861990, Journal of Organizational Behavior, May 1996, pp 20119.
BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
3. Organizational Culture
The McGrawHill
Companies, 2002
1 Organizational values were quite stable over four years. This result supports the
contention that values are relatively stable and resistant to change.
2 There was not a universal movement to one type of value system. The 85
organizations represented all four value systems. This finding reinforces the
earlier conclusion that there is no one best organizational culture or value
system.
3 Organizations with elite value systems experienced the greatest amount of change
over the four-year period. Elite organizations tended to become more collegial.
4 There was an overall increase in the number of organizations that endorsed the
individual value of employee commitment. This trend is consistent with the
notion that organizational success is partly dependent on the extent to which
employees are committed to their organizations.
Figure 32
A model for Observing and Interpreting General Manifestations of
Organizational Culture
Content of Culture
Manifestations of Culture
Culture
Important shared
understandings
Interpretations of Culture
Interpret
Infer meanings
Objects
Shared things
Talk
Shared sayings
Generate
Behaviour
Shared doings
Receive
Ask
Observe
Read
Feel
Emotion
Shared feelings
SOURCE: V Sathe, Implications of Corporate Culture: A Managers Guide to Action. Reprinted, by
permission of publisher, from Organizational Dynamics, Autumn 1983. 1983 American
Management Association. Reprinted by permission of the American Management Association
International, New York, NY. All rights reserved. http://www.amanet.org
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BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
3. Organizational Culture
The McGrawHill
Companies, 2002
OB Exercise
Manifestations of Organizational Culture
at the Ritz-Carlton and McDonalds
Instructions
Read the following descriptions and answer the discussion questions. Answers can be found
following the Notes at the end of this chapter.
Ritz-Carlton
The Ritz-Carlton has created a climate and culture that allows them to succeed as an everexpanding, upscale hotel chain in a very competitive market. At Ritz-Carlton, each hotel employee is
part of a team whose members are empowered to do whatever it takes to satisfy a customer. These
employees are guided by a credo, called the Gold Standards, that species desired behaviours.
More importantly, there are policies, practices, procedures and routines designed to support and
reward employees engaging in these desired behaviours. Ritz-Carlton makes every employee feel like
a valued person. The employee motto is We are ladies and gentlemen serving ladies and gentlemen.
Guests and employees alike are treated the right way; there are no mixed messages in Ritz-Carltons
climate and culture.
McDonalds
McDonalds vision is to provide customers with quality, service, convenience and value (QSCV). Ray
Kroc, the founder, wanted a restaurant system known for its consistently high quality and uniform
methods of preparation. He created Hamburger University, which offers a degree in Hamburgerology,
to help create this culture. Franchisees, managers and assistant managers are indoctrinated into
McDonalds culture and associated policies and procedures at the University. McDonalds policies
and procedures meticulously spell out desired employee behaviours and job responsibilities. For
example, they specify how often the bathroom should be cleaned and what colour of nail polish to
wear. McDonalds culture is reinforced by using contests and ceremonies to reward those franchisees
who best meet their goals. McDonalds recently implemented a set of business practices known as
Franchising 2000. Two key components are as follows: franchisees must submit annual nancial
goals for approval; and a single pricing strategy is established for all products. Franchisees who fail to
adhere to the policies and procedures risk losing their franchises when they expire. McDonalds likes
to hire executives who have strong traditional values such as loyalty, dedication and service.
Discussion Questions
1 Identify the shared things, sayings, doings and feelings at both the Ritz-Carlton and McDonalds.
2 Which organization is based more on control and/or competition?
The Ritz-Carlton description was excerpted from B Schneider, A P Brief and R A Guzzo, Creating a Climate and Culture for
Sustainable Organizational Change, Organizational Dynamics, Spring 1996, p 16. Material about McDonalds was obtained
from R Gibson, A Bit of Heartburn: Some Franchisees Say Moves by McDonalds Hurt Their Operations, The Wall Street
Journal, April 17, 1996, pp A1, A8; and M A Salva-Ramirez, McDonalds: A Prime Example of Corporate Culture, Public
Relations Quarterly, Winter 1995/96, pp 3031.
63
BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
3. Organizational Culture
The McGrawHill
Companies, 2002
64
BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
The McGrawHill
Companies, 2002
3. Organizational Culture
Figure 33
Four Functions of
Organizational
Culture
Organizational
identity
Sense-making
device
Organizational
culture
Collective
commitment
Social system
stability
SOURCE: Adapted from discussion in L Smircich, Concepts of Culture and Organizational Analysis,
Administrative Science Quarterly, September 1983, pp 33958. Reproduced by permission of John
Wiley & Sons, Limited.
Normative
Beliefs
Constructive
Achievement
Constructive
Self-actualizing
Constructive
Humanistic-encouraging
Constructive
Afliative
Passivedefensive
Approval
Organizational Characteristics
65
BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
3. Organizational Culture
The McGrawHill
Companies, 2002
General Types
of Culture
Normative
Beliefs
Passivedefensive
Conventional
Passivedefensive
Dependent
Passivedefensive
Avoidance
Aggressivedefensive
Oppositional
Aggressivedefensive
Power
Aggressivedefensive
Competitive
Aggressivedefensive
Perfectionistic
Organizational Characteristics
SOURCE: Reproduced with permission of authors and publisher from R A Cooke and J L Szumal,
Measuring Normative Beliefs and Shared Behavioral Expectations in Organizations: The Reliability
and Validity of the Organizational Culture Inventory, Psychological Reports, 1993, 72, 12991330.
Psychological Reports, 1993.
Researchers have attempted to identify and measure various types of organizational culture
in order to study the relationship between types of culture and organizational effectiveness.
This pursuit was motivated by the possibility that certain cultures were more effective than
others. Unfortunately, research has not uncovered a universal typology of cultural styles
that everyone accepts.23 Just the same, there is value in providing an example of various
types of organizational culture. Table 31 is thus presented as an illustration rather than
a definitive conclusion about the types of organizational culture that exist. Awareness of
these types provides you with greater understanding about the manifestations of culture.
Normative beliefs
thoughts and beliefs
about expected
behaviour and modes
of conduct
66
Table 31 shows that there are three general types of organizational culture:
constructive; passivedefensive; and aggressivedefensive, and also that each type is
associated with a different set of normative beliefs.24 Normative beliefs represent an
individuals thoughts and beliefs about how members of a particular group or
organization are expected to approach their work and interact with others.
A constructive culture is one in which employees are encouraged to interact with others
and to work on tasks and projects in ways that will assist them in satisfying their needs
to grow and develop. This type of culture endorses normative beliefs associated with
achievement, self-actualizing, humanistic-encouraging and affiliative. St Lukes, the
BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
3. Organizational Culture
The McGrawHill
Companies, 2002
company discussed in the opening case, could well be classified in this category.
Another example is Ericsson, the Swedish manufacturer of cellular phones.
We have a very sexy image, says Petra Remans, a regional human resource manager
for the company. According to her, this is due to various factors: Of course the
telecom-sector itself has a sexy image. Its a rapidly changing industry that brings you
very close to the people. Our employees find it very important that they dont spend
too much time on the same thing. They have a continuous need for new challenges.
Besides being innovative, the company gives the humane aspect an important role. We
attach great importance to open and genuine people. Everybody at Ericsson gets the
chance to develop himself and evolve in the direction he or she chooses, but they have
to be team players. Development means more than just gathering knowledge for
yourself. You also have to learn how to co-operate with other people and work
constructively. Thats also why our recruitment is very selective: we first see if the
person fits into our company and only then will we look at technical abilities.25
In contrast, a passive-defensive culture is characterized by an overriding belief that
employees must interact with others in ways that do not threaten their own job
security. This culture reinforces the normative beliefs associated with approval,
conventionalism, dependence and avoidance (see Table 31).
Finally, companies with an aggressivedefensive culture encourage employees to
approach tasks in forceful ways in order to protect their status and job security. This
type of culture is more characteristic of normative beliefs reflecting opposition, power,
competition and perfectionism.
Although an organization may predominately represent one cultural type, it can still
manifest normative beliefs and characteristics from the others. Research demonstrates that
organizations can have functional subcultures, hierarchical subcultures based on ones level
in the organization, geographical subcultures, occupational subcultures based on ones title
or position, social subcultures derived from social activities like a tennis or a reading club.
Further analysis of the various existing types and structures of organizations will be
presented in chapter 18: Organizational Design and Effectiveness.
Jones and Goffee suggest that we can use two dimensions of social relationship to
analyse culture. The first is sociability: affective, non-instrumental relations between
individuals who may see one another as friends. A relationship is valued for its own
sake and is frequently sustained through continuing face-to-face contact in which
people help each other. The second dimension is solidarity. This describes task-centred
co-operation between unlike individuals and groups. It does not depend upon close
friendships or even personal acquaintance, nor is it necessarily sustained by
continuous face-to-face interaction. The relationship is instrumental, arising when
individuals or groups perceive a shared interest and it occurs when the need arises.
According to these professors, the combination of the above dimensions leads to four
different types of organizations.
67
BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
3. Organizational Culture
The McGrawHill
Companies, 2002
BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
The McGrawHill
Companies, 2002
3. Organizational Culture
a culture is often the recruitment and retention of the best in the relevant field.
Examples of this type of organization include some academic institutions, law firms,
consultancies and some newspapers.
The communal organization: high sociability, high solidarity. According to Jones
and Goffee, communal organizations are sociable, like networked organizations, but far
more cohesive and focused on a single goal. Yet, unlike those in mercenary
organizations, people dont ask Whats in it for me? The communal organization is
obsessed with shared values, which are sometimes written down in powerful
statements but, more often, are deeply embedded in the organizational process. At the
top theres mostly a strong, charismatic leader who actively promotes the vision and
values throughout the company. Moreover, such firms have proved themselves to be
excellent training grounds for future corporate leaders. On the negative side,
communal organizations require more maintenance than other forms. For example,
considerable effort and time must be taken to indoctrinate each new employee into the
organizations culture. Also, the cohesiveness of such organizations can become a
weakness if it makes them inattentive and thus vulnerable to changes outside their
boundaries. Typical examples include Hewlett-Packard, IBM and Johnson & Johnson.26
International OB
The Merger between Deutsche Bank and
Bankers Trust Requires Cultural and Structural Change
Deutsche Bank is now run by a managing board,
or Vorstand, in which a handful of executives
make all the decisions by consensus.
Responsibility is shared, and assigning blame is
difcult. Deutsche Bank Chairman Rolf Breuler
says that wont work following the merger with
Bankers Trust. Instead, he is implementing what
he calls a virtual holding company approach,
meaning a structure where different divisions are
run almost like separate entities, with their own
bottom lines and management boards.
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BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
3. Organizational Culture
The McGrawHill
Companies, 2002
Three perspectives have been proposed to explain the type of cultures that enhance an
organizations economic performance. They are referred to as the strength, fit and
adaptive perspectives.
1 The strength perspective predicts a significant relationship between strength of
corporate culture and long-term financial performance. The idea is that strong
cultures create goal alignment, employee motivation and the necessary structure
BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
The McGrawHill
Companies, 2002
3. Organizational Culture
Fit perspective
assumes that culture
must align with its
business or strategic
context
Adaptive
perspective
assumes that
adaptive cultures
enhance a firms
financial
performance
Vision
long-term goal
describing what an
organization wants to
become
A vision held only by its leadership is not enough to create any real change, indicated
Jenkins. To ensure success, management must continuouslyand creativelyarticulate
the companys vision and goals. This is achieved through open communication systems
that encourage employee feedback and facilitate a two-way flow of information.
Because the companys ultimate goal must be to satisfy the customer, it is imperative
that employees understand what is expected of them as well as their responsibility for
achieving results. 39
As noted by Jenkins, adaptability is promoted over time by a combination of
organizational success and a specific leadership focus. Leaders must get employees to
buy into a timeless philosophy or set of values that emphasizes service to the
organizations key constituentscustomers, stockholders and employeesand also
emphasizes the improvement of leadership. An infrastructure must then be created to
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BuelensKreitnerKinicki:
Organizational Behaviour,
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I. The World of
Organizational Behaviour
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Companies, 2002
3. Organizational Culture
Figure 34
Developing and
Preserving an
Adaptive Culture
Firm succeeds
Business leaders
emphasize the importance
of constituencies and
leadership in creating
the success
SOURCE: Adapted with permission of The Free Press, a division of Simon and Schuster, from
Corporate Culture and Performance by J P Kotter and J L Heskett. Copyright 1992 by Kotter
Associates, Inc and James L Heskett.
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3. Organizational Culture
4
5
8
9
10
11
cabinets or lockers for personal storage; and a computer system routes phone calls
and email as necessary. But hotel work spaces are reserved by the hour, by the day
or by the week instead of being permanently assigned. In addition, a concierge
may provide employees with travel and logistic support. At its most advanced, hotel
work space is customized with the individuals personal photos and memorabilia,
which are stored electronically, retrieved and placed on the occupants desktops
just before they arrive and then removed as soon as they leave.43
Slogans, language, acronyms and sayings. Philips, or example, emphasizes its
concern for delivering top quality products through the slogan Lets make things
better. Employees are encouraged to continuously innovate to design products
that are among the best and that can improve the quality of our lives. Philipss
invention of the CD-player is a good illustration of this mentality. Also slogans
used in job advertisements reflect the corporate culture. For instance, the
Disney Corporation offers you dreams and imagination and IKEA promises you
innovation and simplicity.44
Deliberate role modelling, training programmes, teaching and coaching by managers
and supervisors.
Explicit rewards, status symbols (such as titles) and promotion criteria. Consider the
following reward system: over a period of 31 years, Heiko Hberle, a bodywork
painter at Opel in Wanne-Eickel, Germany, was granted DM 50,000 as a result of
150 recommendations for innovations he introduced.45
Stories, legends and myths about key people and events. The stories in the following
International OB box, for instance, are used within Tesco PLC, a leading food
retailer in England, Scotland and Wales, to embed the value of providing
outstanding customer service.
The organizational activities, processes or outcomes that leaders pay attention to,
measure and control. Employees are much more likely to pay attention to the
amount of on-time deliveries when senior management uses on-time deliveries
as a measure of quality or customer service.
Leader reactions to critical incidents and organizational crises.
The workflow and organizational structure. Hierarchical structures are more likely
to embed an orientation toward control and authority than a flatter organization.
Organizational systems and procedures. An organization can promote achievement
and competition through the use of sales contests.
Organizational goals and the associated criteria used for employee recruitment,
selection, development, promotion, layoffs and retirement of people.
International OB
Stories of Outstanding Customer Service
at Tesco PLC
There was somebody who got hold of one of our
assistant managers in one of our stores on a
Sunday, and said Youve got the Sunday Times
but you havent got the Customer Service
supplement. They went through all the Sunday
Times and there was no Customer Service
supplement. So they said, No problem, well
get hold of one and get it to you. She said Well
I dont live that nearby and I am going out.
They took her name and address and promised
to sort it out.
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BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
3. Organizational Culture
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Companies, 2002
Each phase has its associated perceptual and social processes. Feldmans model also
specifies behavioural and affective outcomes that can be used to judge how well an
individual has been socialized. The entire three-phase sequence may take from a few
weeks to a year to complete, depending on individual differences and the complexity
of the situation.
BuelensKreitnerKinicki:
Organizational Behaviour,
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I. The World of
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3. Organizational Culture
1. Anticipatory socialization
Learning that occurs prior to
joining the organization
2. Encounter
Behavioural Outcomes
Performs role assignments
Remains with organization
Spontaneously innovates
and cooperates
Socialized
insider
Affective Outcomes
Generally satisfied
Internally motivated to work
High job involvement
Realistic job
preview
presents both positive
and negative aspects
of a job
A modern trend used in many large organizations to seduce young, recently graduated
people is to organize all kinds of flashy events. At these events, the company displays
its mastery in its field, but at the same time, potential job applicants get a glimpse of
the corporate culture. Consider the example of Barco Displays, a member of the Barco
Group, manufacturing television and cinema screens.
To attract new engineers, Barco invited 500 final-year students to their own in-house
movie halls. The students were shown a live show, where a famous national television
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BuelensKreitnerKinicki:
Organizational Behaviour,
Second Edition
I. The World of
Organizational Behaviour
3. Organizational Culture
The McGrawHill
Companies, 2002
presenter, complete with a microphone and a camera team, jogged through the various
departments and offices of the company, shooting pictures of people at work and
giving short interviews with unsuspecting employees. To convince the students that
everything was live, some were given a cellular phone by which they could directly ask
questions to the interviewed employees. This way, Barco could show off its technical
expertise and products, but the students also got a glimpse of the companys culture.
With this initiative, Barco has proven that its innovativeness goes way beyond the
technological aspect, says the companys HR-manager. Also, I often hear from students
that they dont really know what were doing here. With this event, we tried to fill that
gap and at the same time show them what being a Barco-employee is all about. 51
Phase 2: Encounter
Reality shock
a newcomers feeling
of surprise after
experiencing
unexpected situations
or events
This second phase begins once the employment contract has been signed. It is a time
of surprises as the newcomer tries to make sense of unfamiliar territory. Behavioural
scientists warn that reality shock can occur during the encounter phase.
Becoming a member of an organization will upset the everyday order of even the most
well-informed newcomer. Matters concerning such aspects as friendships, time,
purpose, demeanor, competence and the expectations the person holds of the
immediate and distant future are suddenly made problematic. The newcomers most
pressing task is to build a set of guidelines and interpretations to explain and make
meaningful the myriad of activities observed in the organization.52
During the encounter phase, the individual is challenged to resolve any conflicts
between the job and outside interests. If the hours prove too long, for example, family
duties may require the individual to quit and find a more suitable work schedule. Also,
as indicated in Figure 35, role conflict stemming from competing demands of
different groups needs to be confronted and resolved.
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3. Organizational Culture
Mentoring
process of forming
and maintaining
developmental
relationships between
a mentor and a
junior person
Functions of Mentoring
Kathy Kram, a Boston University researcher, conducted in-depth interviews with both
members of 18 pairs of senior and junior managers. As a by-product of this study, Kram
identified two general functionscareer and psychosocialof the mentoring process
(see Figure 36). Five career functions that enhanced career development were
sponsorship, exposure-and-visibility, coaching, protection, and challenging
assignments. Four psychosocial functions were role modelling, acceptance-andconfirmation, counselling and friendship. The psychosocial functions clarified the
participants identities and enhanced their feelings of competence.60 An article in
The Guardian described the process of socialization through mentoring as follows.
The first day of a new job is always the most memorable and usually the most
terrifying. The best you can hope for is that someone recognizes this, takes you under
his wing and patiently provides answers to your endless questions. If youre really
lucky, you might even get the odd bit of sound advice as well: be more confident.
Dont bother that guy unless you have to. 61
Darryl Hartley-Leonards experience at Hyatt Hotels exemplifies how important the
career and psychosocial functions of mentoring can be to your career. Darryl started
as a desk clerk at Hyatt in 1964 and rose to the position of CEO. In an interview with
The Wall Street Journal, Hartley-Leonard indicated that his relationship with Pat Foley,
the general manager who originally hired him, changed his life.
77
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The shy Englishman, Darryl, copied his gregarious bosss style and mannerisms. He
learnt from Mr Foley how to treat employees. People would walk through walls for
him, he says.
As Mr Foleys career prospered, so did Mr Hartley-Leonards. When Mr Foley became
the resident manager at Hyatts first big hotel in Atlanta, he hired Mr Hartley-Leonard
as a front-office supervisor. Mr Foley eventually became president and installed his
protg as executive vice president. Not surprisingly, Mr Hartley-Leonard considers
mentoring a critical element in his ascent. If you get five people of equal ability, the
one who gets mentoring will have the edge, he says.62
This example also highlights the fact that both members of the mentoring relationship
can benefit from these career and psychosocial functions. Mentoring is not strictly a
top-down proposition, as many mistakenly believe.
Exposure and Visibility Pairing a junior manager with key executives who can provide
opportunities
Coaching Providing practical tips on how to accomplish objectives and achieve recognition
Protection Shielding a junior manager from potentially harmful situations or senior managers
Challenging Assignments Helping a junior manager develop necessary competencies
through favorable job assignments and feedback
Role Modeling Giving a junior manager a pattern of values and behaviour to emulate. (This
is the most frequently observed psychosocial function)
Psychosocial
Functions
Phases of Mentoring
In addition to identifying the functions of mentoring, Krams research revealed four
phases of the mentoring process:
initiation
cultivation
separation
redenition.
As indicated in Table 32, the phases involve variable rather than fixed time periods.
Tell-tale turning points signal the evolution from one phase to the next. For example,
when a junior manager begins to resist guidance and strives to work more
autonomously, the separation phase begins. The mentoring relationships in Krams
sample lasted an average of five years.
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Denition
Turning Points*
Initiation
Cultivation
Separation
Redenition
*Examples of the most frequently observed psychological and organizational factors that cause
movement into the current relationship phase.
SOURCE: K E Kram, Phases of the Mentor Relationship, Academy of Management Journal,
December 1983, p 622. Used with permission.
demographic characteristics.64 The same trend was found for people of colour.
A sample of 170 male and female African-Americans, who graduated with either an
undergraduate or MBA degree, revealed that graduates who subsequently established
mentoring relationships with white males earned US$9,794 more than those without
mentoring relationships. On a positive note, there were no gender-based pay
differences found in this sample.65 Mentoring inconsistently affected performance.
Research revealed that ability and past experience impacted performance more than
career and psychosocial mentoring.66
Research also supports the organizational benefits of mentoring. In addition to the
obvious benefit of employee development, mentoring enhances the effectiveness of
organizational communication. Specifically, mentoring increases the amount of
vertical communication both up and down an organization and it provides a
mechanism for modifying or reinforcing organizational culture.67
79
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Discussion Questions
1
BuelensKreitnerKinicki:
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I. The World of
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Companies, 2002
3. Organizational Culture
Internet Exercise
This chapter focused on the role of values and beliefs in
forming an organizations culture. We also discussed how
cultures are embedded and reinforced through
socialization and mentoring. The topic of organizational
culture is big business on the Internet. Many companies use
their Web pages to describe their mission, vision and
corporate values and beliefs. There also are many
consulting companies that advertise how they help
organizations to change their cultures. The purpose of this
exercise is for you to obtain information pertaining to the
organizational culture of two different companies. You can
go about this task by simply searching on the key words
organizational culture or corporate vision and values.
This search will identify numerous companies for you to
Introduction
Employees are socialized in many different ways in todays
organizations. Some organizations, such as IBM, have made
an exact science out of organizational socialization. Others
leave things to chance in the hope that collective goals will
somehow be achieved. The questionnaire in this exercise is
designed to help you gauge how widespread and systematic
the socialization process is in a particular organization.
Instructions
If you are presently employed and have a good working
knowledge of your organization, you can complete this
questionnaire yourself. If not, identify a manager or
professional (such as a corporate lawyer, engineer or nurse)
and have that individual complete the questionnaire for his
or her organization.
Respond to the items below as they apply to the handling
of professional employees (including managers). Upon
completion, compute the total score by adding up your
responses. For comparison, scores for a number of strong,
intermediate and weak culture rms are provided.
82
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6580
5564
4554
3544
2534
Weakly
socialized
rms
Below 25 Atari
Questions for discussion
Total score =
83