Week 2_The Nature of Organizations.pptx

The Nature of Organizations Richmond Acquah-Coleman, PhD  Review of previous week Introduction to the nature of organizations Types of organizations and their goals Agenda Organizational culture Organizational climate...

The Nature of Organizations Richmond Acquah-Coleman, PhD  Review of previous week Introduction to the nature of organizations Types of organizations and their goals Agenda Organizational culture Organizational climate The relationship between organizational culture and climate Discussion and Q&A  Review of Previous Week Organizational psychology: the scientific study of human behavior in the workplace and organizations Historical development of the field Importance in the modern workplace The scientist-practitioner approach  Organizations are Complex Systems Dynamic and constantly changing Importance of Understanding Introduction to Organizations the Nature of Crucial for organizational Organizations psychologists Key Aspects to Consider Types of organizations, goals, culture, and climate  Types of Organizations 1. For-profit organizations 2. Non-profit organizations 3. Government organizations 4. Educational organizations 5. Healthcare organizations  For-Profit Organizations Primary goal: generate financial profits for owners or shareholders Corporations and small businesses are examples Focus on producing goods or providing services that satisfy customer needs Maximize returns on investment  Non-Profit Organizations Primary Goal: Serve a Particular Cause or Community Charities and foundations are examples Focus on Creating Social Value Promote public welfare Advance specific ideals  Government Organizations Primary goal: serve the public interest and provide essential services to citizens Examples: federal agencies, local municipalities Focus on maintaining social order, ensuring public safety, and promoting the general welfare of the population  Educational Organizations Primary goal: pursue and disseminate knowledge Examples: schools, universities Focus on educating students, conducting research, and fostering intellectual growth and development  Healthcare Organizations Primary goal: provide medical care and promote health and well-being Examples: hospitals, clinics Focus on delivering high- quality, accessible, and affordable healthcare services  Discussion What type of organization do you aspire to work in and why? Organizational Goals All organizations have goals. These goals can be classified into three main categories: Official goal Operative goals Unofficial goals  Formally stated objectives of an organization Official Outlined in mission statements, vision statements, or strategic plans Goals Communicate the organization's purpose, values, and desired outcomes to stakeholders Operative Goals Actual, day-to-day objectives pursued by organizations May differ from official goals due to practical realities and constraints Shaped by various factors Resource limitations, market pressures, or Unofficial Goals Implicit objectives arise from individual members or subgroups Interests, values, and actions influence these objectives May not align with official goals of the organization Can lead to conflicts or dysfunctional behaviors Organizational Culture Shared values, beliefs, assumptions, and norms Shapes the way members of an organization think, feel, and behave Described as the 'personality' of the organization Influences decision-making processes, communication styles, and overall behavior Levels of Organizational Culture (Schein, 2010) 1. Artifacts 2. Espoused values 3. Basic underlying assumptions  Artifacts Visible, tangible manifestations of culture Examples: physical environment, technology, language, observable rituals and ceremonies Easy to observe but difficult to interpret without understanding underlying values and assumptions  Espoused Values Explicitly stated beliefs, principles, and philosophies that an organization claims to follow Often communicated through mission statements, codes of conduct, or other formal documents May not always align with the actual behaviors and practices of the organization  Basic Underlying Assumptions Taken-for-granted beliefs and assumptions guide behavior and decision-making Difficult to articulate or question May only become apparent when challenged or confronted with a different cultural perspective Quiz Which level of organizational culture is the most difficult to change? A. Artifacts B. Espoused values C. Basic underlying assumptions  Dimensions of Organizational Culture (Hofstede (19760,1970) Power Distance Uncertainty Avoidance Individualism vs. Collectivism Masculinity vs. Femininity Long-term vs. Short-term Orientation (initially called "Confucian dynamism") Indulgence vs. Restraint  Power Distance Acceptance and expectation of unequal distribution of power and authority Power High Power Distance Distance Hierarchical structure Centralized decision-making Low Power Distance Flatter structure Decentralized decision-making  Uncertainty Avoidance Uncertainty avoidance refers to discomfort with ambiguity and change High uncertainty avoidance: formal rules and procedures Low uncertainty avoidance: flexibility and risk-taking  The extent to which individuals prioritize their own interests and goals over those of the group or organization Individualis Individualistic cultures m vs. emphasize personal Collectivis achievement, autonomy, and competition m Collectivistic cultures emphasize group harmony, loyalty, and cooperation  Masculinity vs. Femininity The degree to which an organization values traditionally masculine traits (e.g., assertiveness, competitiveness) versus traditionally feminine traits (e.g., cooperation, nurturing) Masculine cultures focus on achievement, success, and material rewards Feminine cultures focus on quality of life, relationships, and work-life balance  Long-term vs. Short-term Orientation The extent to which an organization prioritizes long- term planning and delayed gratification versus short-term results and immediate rewards Long-term Orientation Emphasis on perseverance, thrift, and adaptability Short-term Orientation Emphasis on quick results, tradition, and social obligations  Indulgence vs. Restraint The degree to which an organization allows or encourages the gratification of individual desires and impulses versus emphasizing self-control and strict social norms Indulgent cultures: emphasis on leisure, personal happiness, and freedom of expression Restrained cultures: emphasis on discipline, regulation, and  Discussion How might different dimensions of organizational culture influence employee behavior and organizational effectiveness? Organizational Climate Shared perceptions and experiences of employees Reflects feelings about work environment, relationships, and growth opportunities Often described as the 'mood' or 'atmosphere' of the organization  Characteristics of Organizational Climate Perceptual Nature Climate is based on individual perceptions and interpretations of the work environment Multidimensional Climate encompasses a wide range of factors, such as leadership styles, communication patterns, reward systems, and work-life balance  Characteristics of Organizational Climate Temporal Climate can change relatively quickly in response to events, interventions, or changes in leadership or strategy Measurable Climate can be assessed through employee surveys, interviews, or other feedback mechanisms  The Relationship Between Organizational Culture and Climate Culture Shapes Climate Values, beliefs, and assumptions give rise to observable patterns of behavior and interaction Climate Can Shift Culture Reinforcing or challenging the prevailing culture can lead to gradual shifts in  Activity Assessing Organizational Culture and Climate Form small groups (5 - 10 students) Choose a well-known organization and research its culture and climate Discuss how the organization's culture and climate might influence employee behavior and organizational effectiveness Share your insights with the class  Organizations have unique characteristics and objectives Goals can be classified as official, Recap, operative, or unofficial Key Organizational culture shapes behavior through shared values and Takeaways beliefs and Climate reflects shared Questions perceptions and experiences of employees Culture and climate are interrelated and mutually influencing factors THANK YOU