MGT 330 Week 2 Tuesday Class Preso PDF

MGT 330 Principles of Management...

MGT 330 Principles of Management Chapter 3: Organizational Environments and Cultures Jonathan Canger, PhD Week 2 ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 1  Agenda Current events? Quick Recap Week 1 - Chs 1 and 2 Group Assignment Update Chapter 3 – Organization Environment and Culture New Class Assignment – At the end of each class, −Send me a “reflections” email (jcanger@ ut.edu) Answer the question: In today’s class or reading, what did you find most valuable or most interesting or most surprising? ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 2  Quick Recap Ch 1 and 2 1. Management is getting things done through others 2. Four functions – Plan, Organize, Lead Control 3. Different levels of Managers – team lead, first level, middle, upper 4. Different skills at different levels (Human skills important in all). 5. Managers’ mistakes can derail them (Not delegating, Aloof, Emotional) 6. Good people management can lead to good organization outcomes 7. Scientific Mgt and Time & motion studies (Tayor and Gilbreth) 8. Hawthorne Studies and Human Relations Movement ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 3  Learning Outcomes for Ch 3 By the end of this chapter you should be able to: 1. Discuss how changing environments affect organizations. 2. Describe the four components of the general environment. 3. Explain the five components of the specific environment. 4. Apply the process that companies use to make sense of their changing environments. 5. Explain how organizational cultures are created and how they can help companies be successful. 6. Understand how Country cultures can affect company cultures ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4 Internal Environment – McKinsey 7 S Model ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 5  Changing Environments Why study external environments? Bill Gross TED talk – study of why startups fail? What’s the most important factor in start-up success vs, failure? Studied 200 start-up companies − The idea − The team − The business model − Funding − Timing ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 6  Changing Environments Why study external environments? Bill Gross TED talk – study of why startups fail? What’s the most important to start-up success? Studied 200 start-ups companies − The idea – 28% − The team – 32% − The business model – 24% − Funding – 14% − Timing - 42% impact ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 7  Changing Environments LO 3-1: Discuss how changing environments affect organizations. External environments: All events outside a company that can influence or affect it Basic characteristics 1. Environmental change 2. Environmental complexity 3. Resource scarcity ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 8  Environmental Change Environmental change: Rate at which a company’s general and specific environments change − Stable environment: rate of change is slow − Dynamic environment: rate of change is fast − Punctuated equilibrium theory: companies go through long periods of stability during which incremental changes occur, followed by short periods of dynamic, fundamental change, and then a new equilibrium ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 9  Environmental Complexity The number and the intensity of external factors in the environment that affect organizations − Simple environment: has few environmental factors ▪ Example – recreational boating industry, beverages (KO) − Complex environment: has many environmental factors ▪ Example: less-than-truckload (LTL) distribution companies, Tech ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 10  Resource Scarcity and Uncertainty Resource scarcity: the abundance or shortage of critical organizational resources in an organization’s external environment (Including people) Uncertainty: extent to which managers can understand or predict which environmental changes and trends will affect their businesses ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 11  Exhibit 3.1 Environmental Change, Environmental Complexity, and Resource Scarcity ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 12 Exhibit 3.2 General and Specific Environments LO 3-2: Describe the four components of the general environment. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 13  I. General Environment General environment: the economic, technological, sociocultural, and political/legal trends that indirectly affect all organizations Components of the general environment: 1. Economy 2. Technological trends 3. Sociocultural trends 4. Political/legal trends that indirectly affect all organizations ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 14  1. Economy Growing economy provides a favorable environment for business growth − Consumers have more money to spend Influences basic business decisions − Managers scan the economic environment for changes Business confidence indices: show managers’ level of confidence about future business growth ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 15  Business Confidence Index ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 16  2. Technological Component Knowledge, tools, and techniques used to transform inputs into outputs Technological changes help companies: − Provide better products − Produce products more efficiently Must be used effectively to improve products or decrease costs ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 17  3. Sociocultural Component Demographic characteristics, general behavior, attitudes, and beliefs of people in society − Changes in demographic characteristics affect how companies staff their businesses − Sociocultural changes in behavior, attitudes, and beliefs affect demand for a business’s products and services ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 18  4. Political/Legal Components Includes the legislation, regulations, and court decisions that govern and regulate business behavior Managers must be aware of laws, regulations, and potential lawsuits that could affect their businesses ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 19  Polling Activity 1 If you are the manager of a service organization, rather than a manufacturing organization, which of the following components of the general environment would cause you the most concern? a. The economy b. Technological trends c. Sociocultural trends d. Political and legal trends ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 20  II. Specific Environment LO 3-3: Explain the five components of the specific environment. Specific environment: elements unique to an industry and directly that affect how a company does business Components of the specific environment: 1. Customers 2. Competitors 3. Suppliers 4. Industry regulations 5. Advocacy groups ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 21 Exhibit 3.2 General and Specific Environments LO 3-2: Describe the four components of the general environment. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 22  1. Customer Component Customers purchase products and services Companies cannot exist without customer support Basic strategies for monitoring customers − Reactive: identifying and addressing customer trends and problems after they occur − Proactive: identifying and addressing customer needs, trends, and issues before they occur ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 23  1. Customer Component ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 24  2. Competitor Component Companies in the same industry that sell similar products or services to customers Competitive analysis: process for monitoring the competition that involves identifying competitors, anticipating their moves, and determining their strengths and weaknesses ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 25  3. Supplier Component Suppliers: companies that provide material, human, financial, and informational resources to other companies Supplier dependence: degree to which a company relies on a supplier because of the importance of the supplier’s product to the company and the difficulty of finding other sources for that product Buyer dependence: the degree to which a supplier relies on a buyer because of the importance of that buyer to the supplier and the difficulty of finding other buyers for its products ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 26  3. Supplier Component Types of behaviors that occur when a high degree of buyer or seller dependence is present: − Opportunistic behavior: a transaction in which one party in the relationship benefits at the expense of the other − Relationship behavior: the establishment of mutually beneficial, long- term exchanges between buyers and suppliers ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 27  4. Industry Regulation Component Industry regulation: regulations and rules that govern business practices and procedures of specific industries, businesses, and professions Federal agencies and regulatory commissions administer regulations for consumer safety, environmental use, business relations, competitive practices, etc. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 28  Polling Activity “Businesses today have far too many regulations to deal with.” How do you respond to this statement? a. Strongly agree b. Somewhat agree c. Neither agree or disagree d. Somewhat disagree e. Strongly disagree ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 29  5. Advocacy Groups Advocacy groups: concerned citizens who band together to try to influence the business practices of specific industries, businesses, and professions Techniques used: − Public communications: an advocacy group tactic that relies on voluntary participation by the news media and the advertising industry to get the advocacy group’s message out − Media advocacy: an advocacy group tactic that involves framing issues as public issues; exposing questionable, exploitative, or unethical practices; and forcing media coverage by buying media time or creating controversy that is likely to receive extensive news coverage − Product boycott: an advocacy group tactic that involves protesting a company’s actions by persuading consumers not to purchase its product or service ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 30  5. Advocacy Groups ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 31 Exhibit 3.2 General and Specific Environments. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 32  Making Sense of Changing Environments LO 3-4: Apply the process that companies use to make sense of their changing environments. Process managers use to make sense of changes in their external environments: − Environmental scanning − Interpreting environmental factors − Acting on threats and opportunities ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 33  Environmental Scanning Environmental scanning: searching the environment for important events or issues that might affect an organization − Helps managers stay up-to-date on important factors in their industry − Affects the development of organizational strategies, and vice versa − Contributes to organizational performance ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 34 Interpreting and Acting on Environmental Factors Managers assess environmental information as either threats or opportunities Decide how to act on threats and opportunities in face of uncertainty Cognitive maps: graphic depictions of how managers believe environmental factors relate to possible organizational actions ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 35  Exhibit 3.3 Cognitive Maps ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 36  Another Tool: Scenario Planning Scenario A If Scenario A, what would we do? Research the Drivers Investigate Trends Scenario B If Scenario B, what would we do? Determine Possible Interactions Scenario C If Scenario C, what would we do? Develop Forecast Models Scenario D If Scenario D, what would we do? How might we know if one scenario was becoming more likely than the others? What would we start to see happen? ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 37  Knowledge Check 2 Which three categories of variables to you find on a cognitive map? a. Advocacy groups, public communications, and industry regulations b. Environmental complexity, organizational equilibrium, and level of uncertainty c. Company strengths and weaknesses, potential strategies, and environmental factors d. Suppliers, customers, and competitors ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 38  Knowledge Check 2: Answer Which three categories of variables to you find on a cognitive map? c. Company strengths and weaknesses, potential strategies, and environmental factors ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 39  Organizational Cultures: Creation, Success, and Change LO 3-5: Explain how organizational cultures are created and how they can help companies be successful. Internal environment: events and trends inside an organization that affect management, employees, and organizational culture Organizational culture: values, beliefs, and attitudes shared by organizational members ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 40  Creation and Maintenance of Organizational Cultures Company founders create organizations in their own images and imprint them with their beliefs, attitudes, and values Organizational stories: stories told by organizational members to make sense of organizational events and changes and to emphasize culturally consistent assumptions, decisions, and actions Organizational heroes: people celebrated for their qualities and achievements within an organization Organizational ceremonies: gatherings in which symbolic acts commemorate or celebrate notable achievements or changes ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 41 Changing Organizational Cultures is Difficult Very difficult, because of the A-S-A Processes (Edgar Schein) − Attraction: People are attracted to organizations whose attributes are congruent to their own (values, personality) − Selection: Organizations select applicants with characteristics they desire (early on it’s the founder) − Attrition: People will leave the organization if they don’t “fit” ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 42 Exhibit 3.4 Keys to an Organizational Culture That Fosters Success ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 43  Successful Organizational Cultures Company mission: a company’s purpose or reason for existing Consistent organizational culture: a company culture in which the company actively defines and teaches organizational values, beliefs, and attitudes ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 44 Exhibit 3.5 Three Levels of Organizational Culture ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 45  Changing Organizational Cultures Because changing assumptions and beliefs can be difficult, managers should focus on the parts of the organizational culture they can control: − Behavioral addition: the process of having managers and employees perform new behaviors that are central to and symbolic of the new organizational culture that a company wants to create − Behavioral substitution: the process of having managers and employees perform new behaviors central to the new organizational culture in place of behaviors that were central to the old organizational culture − Visible artifacts: visible signs of an organization’s culture, such as the office design and layout, company dress code, and company benefits and perks, such as stock options, personal parking spaces, or the private company dining room ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 46  Example: Marriott ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 47  Example: A Culture Measure ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 48  Example: A Culture Measure ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 49  Example: A Culture Measure ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 50  Country Cultures ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 51  Hofstede’s Six Dimensions of Culture 1. POWER DISTANCE INDEX (PDI) This dimension expresses the degree to which the less powerful members of a society accept and expect that power is distributed unequally. The fundamental issue here is how a society handles inequalities among people. People in societies exhibiting a large degree of Power Distance accept a hierarchical order in which everybody has a place and which needs no further justification. In societies with low Power Distance, people strive to equalize the distribution of power and demand justification for inequalities of power. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 52 52  Hofstede’s Six Dimensions of Culture 2. INDIVIDUALISM VERSUS COLLECTIVISM (IDV) The high side of this dimension, called Individualism, can be defined as a preference for a loosely-knit social framework in which individuals are expected to take care of only themselves and their immediate families. Its opposite, Collectivism, represents a preference for a tightly-knit framework in society in which individuals can expect their relatives or members of a particular ingroup to look after them in exchange for unquestioning loyalty. A society’s position on this dimension is reflected in whether people’s self-image is defined in terms of “I” or “we.” ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 53 53  Hofstede’s Six Dimensions of Culture 3. MASCULINITY VERSUS FEMININITY (MAS) The Masculinity side of this dimension represents a preference in society for achievement, heroism, assertiveness, and material rewards for success. Society at large is more competitive. Its opposite, Femininity, stands for a preference for cooperation, modesty, caring for the weak and quality of life. Society at large is more consensus-oriented. In the business context Masculinity versus Femininity is sometimes also related to as “tough versus tender” cultures. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 54 54  Hofstede’s Six Dimensions of Culture 4. UNCERTAINTY AVOIDANCE INDEX (UAI) The Uncertainty Avoidance dimension expresses the degree to which the members of a society feel uncomfortable with uncertainty and ambiguity. The fundamental issue here is how a society deals with the fact that the future can never be known: should we try to control the future or just let it happen? Countries exhibiting strong UAI maintain rigid codes of belief and behavior and are intolerant of unorthodox behavior and ideas. Weak UAI societies maintain a more relaxed attitude in which practice counts more than principles. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 55 55  Hofstede’s Six Dimensions of Culture 5. LONG TERM VERSUS SHORT TERM ORIENTATION (LTO) Every society has to maintain some links with its own past while dealing with the challenges of the present and the future. Societies prioritize these two existential goals differently. Societies who score low on this dimension, for example, prefer to maintain time-honored traditions and norms while viewing societal change with suspicion. Those with a culture which scores high, on the other hand, take a more pragmatic approach: they encourage thrift and efforts in modern education as a way to 56 prepare for the future. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 56  Hofstede’s Six Dimensions of Culture 6. INDULGENCE VERSUS RESTRAINT (IVR) Indulgence stands for a society that allows relatively free gratification of basic and natural human drives related to enjoying life and having fun. Restraint stands for a society that suppresses gratification of needs and regulates it by means of strict social norms. In the business context, this dimension is referred to as “(short-term) normative versus (long-term) pragmatic” (PRA). In the academic environment, the terminology Monumentalism versus Flexhumility is sometimes also used. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 57 57  Hofstede’s Six Dimensions of Culture 6. INDULGENCE VERSUS RESTRAINT (IVR) Indulgence stands for a society that allows relatively free gratification of basic and natural human drives related to enjoying life and having fun. Restraint stands for a society that suppresses gratification of needs and regulates it by means of strict social norms. In the business context, this dimension is referred to as “(short-term) normative versus (long-term) pragmatic” (PRA). In the academic environment, the terminology Monumentalism versus Flexhumility is sometimes also used. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 58 58  Hofstede’s Six Dimensions of Culture https://www.hofstede-insights.com/country-comparison/ 59 ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 59  Hofstede’s Six Dimensions of Culture – US vs. Europe https://www.hofstede-insights.com/country-comparison/ 60 ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 60  Hofstede’s Six Dimensions of Culture US vs. Latin America https://www.hofstede-insights.com/country-comparison/ 61 ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 61 Hofstede’s Six Dimensions of Culture - US vs. China, India, Russia https://www.hofstede-insights.com/country-comparison/ 62 ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 62  Hofstede’s Six Dimensions of Culture – Most like the US https://www.hofstede-insights.com/country-comparison/ 63 ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 63  Hofstede’s Six Dimensions of Culture -- Most like the US https://www.hofstede-insights.com/country-comparison/ 64 ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 64  Country Culture Clusters Country Clusters Confucian Germanic Latin Nordic Sub-Saharan Anglo Middle East Asia Europe America Europe Africa Australia China Austria Argentina Denmark Qatar Namibia Canada Hong Kong Switzerland Bolivia Finland Morocco Nigeria Ireland Japan Netherlands Brazil Sweden Turkey South Africa New Zealand Singapore Germany (East) Colombia Egypt Zambia South Africa South Korea Germany ( West) Costa Rica Kuwait Zimbabw United Taiwan El Salvador United States Guatemala Mexico Venezuela ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 65 65  Project GLOBE – Leadership Styles 1. Charismatic type (degree to which the leader can inspire and motivate others) 2. Team oriented (degree to which the leader can foster a high functioning team) 3. Participative type (degree to which leaders involve others in decision-making) 4. Humane-oriented type (degree to which the leader shows compassion and generosity) 5. Autonomous (degree to which the leader reflects individualistic leadership) 6. Self-protective (degree to which the leader is self-centered and uses a face-saving approach) R.J. House, P.J. Hanges, M. Javidan, P.W. Dorfman and V. Gupta (eds), 2004, Culture, Leadership and Organizations: The GLOBE Study of 62 Societies, Thousand Oaks, CA: Sage. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 66 66  Project GLOBE – Leadership Styles R.J. House, P.J. Hanges, M. Javidan, P.W. Dorfman and V. Gupta (eds), 2004, Culture, Leadership and Organizations: The GLOBE Study of 62 Societies, Thousand Oaks, CA: Sage. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 67 67  Summary Now that the lesson has ended, you should have learned how to: 1. Discuss how changing environments affect organizations. 2. Describe the four components of the general environment. 3. Explain the five components of the specific environment. 4. Apply the process that companies use to make sense of their changing environments. 5. Explain how organizational cultures are created and how they can help companies be successful. 6. Understand how Country cultures can affect company cultures ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 68  To Do’s 1. Send me your Reflections email: What did you find most valuable, interesting or surprising? ([email protected]) 2. Each group – send in your 3 Fortune 500 companies choices by Friday at 11:50 – First sent, first choice. ©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 69