Week 10 Lec 1

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Questions and Answers

A multinational corporation, renowned for its stringent adherence to espoused values of environmental sustainability, launches a marketing campaign that prominently features its environmentally friendly practices. However, internal audits reveal that a significant proportion of its manufacturing processes still rely on unsustainable methods. Which of the following best characterizes this scenario within the context of organizational culture?

  • A culturally insulated system, where internal operations are shielded from external scrutiny.
  • Cultural dissonance, where enacted values contradict the publicly espoused values, potentially leading to stakeholder distrust and reputational damage. (correct)
  • High cultural congruence, as the espoused values are effectively communicated externally.
  • Cultural ambidexterity, reflecting the organization's ability to simultaneously pursue conflicting values.

An engineering firm widely promotes values of innovation and experimentation but consistently penalizes employees for failed projects, regardless of their potential for learning and future success. How would this discrepancy manifest within Schein's model of organizational culture?

  • Reinforcement of artifacts through consistent reward systems.
  • A cultural shift that prioritizes stability over innovation.
  • Misalignment between espoused values and enacted values, impacting the fundamental, unconscious beliefs (basic assumptions) driving employee behavior. (correct)
  • Alignment between espoused values and basic assumptions.

In an organization aiming to foster a culture of collaboration and open communication, management implements a hierarchical office layout with closed-off cubicles, restricts cross-departmental interactions, and discourages dissenting opinions in meetings. Which element of organizational culture, being incongruent with the espoused values, is most directly manifest in this scenario?

  • Basic assumptions, reflecting deeply ingrained beliefs about efficiency.
  • Enacted values, demonstrated through consistent alignment with stated principles.
  • Artifacts, as the physical environment and formal structures contradict the stated goals. (correct)
  • Espoused values, promoting transparency and collaborative efforts.

A highly successful tech company known for innovation decides to implement a new performance management system that heavily emphasizes individual performance metrics and competition among teams, while simultaneously promoting the ideal of teamwork in its mission statement. How would this shift likely affect the organization's culture?

<p>Create a subculture of aggressive competition that undermines collaboration. (C)</p> Signup and view all the answers

An organization that explicitly values ethical behavior and corporate social responsibility experiences frequent incidents of internal corruption and unethical practices. Which of the following frameworks would best describe this situation?

<p>Cultural misalignment, indicative of a discrepancy between espoused values and enacted behavior, leading to an unethical culture. (D)</p> Signup and view all the answers

Which of the following mechanisms is most likely to enforce and sustain an organizational culture characterized by relentless innovation, risk-taking, and minimal adherence to established protocols?

<p>A compensation system that rewards experimentation and tolerates failures. (D)</p> Signup and view all the answers

A hyper-competitive organization with a culture of relentless pursuit of outcomes implements a policy that mandates regular employee feedback sessions focused solely on identifying individual performance gaps and areas for immediate improvement, while neglecting positive reinforcement or developmental coaching. How would this policy likely influence the organizational culture?

<p>Undermine collaboration and trust by fostering a fear of failure and judgment. (B)</p> Signup and view all the answers

In an organization with a deeply ingrained culture of teamwork and collaboration, a recently appointed CEO, without consulting employees, decides to dismantle team-based structures in favor of individual performance contracts and competitive rankings. What is the most likely consequence of this abrupt change on organizational culture?

<p>A dramatic decline in employee morale and productivity, along with resistance to the new structure. (B)</p> Signup and view all the answers

A global corporation, celebrated for its cutting-edge innovation in sustainable technologies, actively promotes a culture of environmental stewardship and social responsibility. However, it outsources its manufacturing to developing countries with lax environmental regulations, resulting in significant pollution and exploitation of local communities. Which outcome would best describe this scenario?

<p>A breakdown of trust with stakeholders and a tarnished reputation due to blatant hypocrisy. (D)</p> Signup and view all the answers

Within the context of organizational culture, what critical role does the consistent and transparent communication of values by leadership play in shaping employee behavior and attitudes?

<p>It provides a cognitive framework that guides the interpretation of situations and choices, influencing behavior in alignment with the desired culture. (D)</p> Signup and view all the answers

A large retail organization explicitly states its commitment to customer satisfaction and employee empowerment. However, store managers are frequently penalized for empowering employees to resolve customer issues independently and are instead pressured to adhere strictly to standardized procedures, regardless of customer needs. Which of the following is the most likely outcome of this cultural incongruence?

<p>A cynicism and disengagement among employees, leading to decreased customer satisfaction and increased turnover. (B)</p> Signup and view all the answers

An organization with a long-standing tradition of open communication and collaborative decision-making acquires a smaller company known for its hierarchical structure and top-down management style. Which approach would best facilitate the integration of the two distinct organizational cultures?

<p>Carefully assessing the strengths and weaknesses of both cultures and developing a hybrid model that incorporates the most effective elements of each. (C)</p> Signup and view all the answers

Over a sustained period, an organization’s performance has steadily declined, characterized by low employee morale, resistance to change, and a lack of innovation. How can organizational culture contribute to reversing this decline?

<p>Conducting a thorough cultural audit to identify misalignments and fostering open communication to rebuild trust and shared purpose. (D)</p> Signup and view all the answers

A software development company operating in a rapidly evolving technological landscape explicitly aims to cultivate a culture of continuous learning and adaptation. Which of the following strategies would be most effective in reinforcing this culture?

<p>Establishing dedicated time for experimentation and providing resources for employees to pursue personal learning projects. (A)</p> Signup and view all the answers

Imagine a scenario where a merger occurs between two technologically advanced firms. Firm A prides itself on its decentralized decision-making processes and encourages experimentation, while Firm B operates on a centralized, hierarchical system. What integrated strategy will likely yield the most synergistic cultural blending?

<p>A gradual convergence allowing for the integration of decentralized innovation with structured management, assessed via key performance metrics and feedback. (A)</p> Signup and view all the answers

What strategy best enables an established, risk-averse organization to cultivate a subculture championing radical innovation without disrupting the stability of its core operations?

<p>Creating an autonomous 'skunkworks' team, insulated from the existing organizational structure and processes. (D)</p> Signup and view all the answers

What action would be MOST effective in creating a culture where speaking out against unethical practices is not only permitted but rewarded?

<p>A zero-tolerance policy must be implemented that ensures no retaliation against whistleblowers. (A)</p> Signup and view all the answers

In an environment marked by rapid technological change and shifting market conditions, which approach is most suitable for building a resilient organizational culture?

<p>A culture that can quickly adapt and innovate is essential. (A)</p> Signup and view all the answers

Which of the following approaches would MOST effectively alter fundamental basic assumptions within an organization?

<p>Gradual, consistent changes to organizational processes, reward systems, and leadership behaviors that challenge existing assumptions over time. (C)</p> Signup and view all the answers

How does an organization with consistently aligned values create an ethically centered environment?

<p>Employees see integrity being demonstrated on a daily basis. (B)</p> Signup and view all the answers

Flashcards

Organisational Culture

Shared values, beliefs, norms, and practices shaping behavior and attitudes.

Espoused Values

The company's stated values.

Enacted Values

Values that are demonstrated in practice.

Artifacts (Visible Culture)

Physical structures, rituals, language, and dress code

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Basic Assumptions

Deeply ingrained beliefs about work, relationships, and people.

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Diagnosing Culture

Office design, rituals, stories, and communication style.

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Aligned Values

When stated (espoused) and practiced (enacted) values match, creating trust.

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Ethical Culture

Cultures that ensure fairness, diversity, and inclusion.

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Values

Beliefs that guide preferences for outcomes.

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Innovation (Culture)

Experimenting, opportunity seeking, risk-taking, few rules.

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Stability (Culture)

Predictability, security, rule-oriented environment.

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Respect for People

Fairness and tolerance towards employees.

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Outcome Orientation

Action-oriented with high expectations and results.

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Attention to Detail

Precise and analytic environment.

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Team Orientation

Collaborative and people-oriented environment.

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Aggressiveness

Competitive with low emphasis on social responsibility

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Coercive power

The ability to punish for noncompliance

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Organizational Politics

Using influence tactics for personal gain.

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Changing Artifacts

Reward systems and workplace layout.

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Positive Outcomes

High satisfaction, low turnover, strong teamwork are examples

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Study Notes

  • Organisational culture is defined as the shared values, beliefs, norms, and practices shaping the behavior and attitudes of people within an organization.
  • Organisational culture provides identity and meaning to employees, influences decision-making and performance, and affects employee retention, motivation, and productivity.

Schein's Model

  • Schein's model explains the types of organisational culture

Artefacts (Visible Culture)

  • Physical structures, rituals, language, and dress code are examples of visible artifacts.
  • Google's open office layout is an example to encourage collaboration.

Espoused and Enacted Values

  • Espoused values are what a company states it values.
  • Enacted values are what actually occurs in practice.
  • A company claiming open communication but discouraging dissent is an example of mismatch between espoused and enacted values.

Basic Assumptions

  • Deeply ingrained beliefs about work, people, and relationships form basic assumptions.
  • Some organizations assume employees work best independently, while others promote teamwork.

Positive vs. Negative Organisational Culture

  • High employee satisfaction, lower turnover, and strong teamwork indicate a positive organizational culture.
  • Netflix's encouragement of autonomy and accountability is an example.
  • Resistance to change, toxic environments including bullying or fear, and groupthink signify a negative organizational culture.
  • Uber's toxic culture is an example, leading to high-profile resignations.

Diagnosing Organizational Culture

  • Office design and rituals are artefacts.
  • Stories and symbols show how the company celebrates success.
  • Dress code and communication style are examples of norms and behaviors.
  • Amazon: performance-driven, high-pressure
  • Ryanair: Cost-cutting, strict policies

Cultural Alignment & Ethics

  • Companies where espoused values align with enacted values foster trust.
  • An ethical culture ensures fairness, diversity, and inclusion.
  • Patagonia promotes environmental responsibility and follows through with sustainable practices.
  • When debate is not encouraged and groupthink prevails, this suggests a mismatch between espoused and enacted values.
  • A company that likes to experiment, take risks and has few rules, indicates innovation.

Reading Assignment - Week 10

  • Values are stable, evaluative beliefs that guide preferences for outcomes or actions.
  • Drawbacks of organizational culture models include the idea that they are clear and unified, not accounting for shared assumptions, and oversimplifying cultural values.
  • Corporate culture consists of values and assumptions and provides a template for how employees behave.
  • Values are enacted when they lead action.
  • Ethical practices often reflect the dominant values of the organization.
  • Changing artifacts like reward systems and workplace layout can alter or strengthen the corporate culture.

Tutorial MCQ on Noncompliance

  • The ability to punish is referred to as coercive power.

Organisational Politics definition

  • Defined as using influence tactics for personal gain at the perceived expense of others.

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