Characterize the culture of the Leader’s organization.Based on your research use the tools in Chapter 16 to Characterize the culture of the Leader’s organization.

Characterize the culture of the Leader’s organization.Based on your research use the tools in Chapter 16 to Characterize the culture of the Leader’s organization.

Based on your research use the tools in Chapter 16 to Characterize the culture of the Leader’s organization. How is your teams guess on what kind of Organizational Culture Inventory (OCI) result this Leaders organization would see?

Chapter 16

What Is Organizational Culture?

Describe the common characteristics of organizational culture.
An executive once was asked what he thought organizational culture meant. He gave essentially the same answer U.S. Supreme Court Justice Potter Stewart gave in defining pornography: I cant define it, but I know it when I see it. In this section, we propose one definition and review several related ideas to better understand the phenomenon of organizational culture.

A Definition of Organizational Culture

Organizational culture refers to a system of shared meaning held by members that distinguishes the organization from other organizations.1 Seven primary characteristics seem to capture the essence of an organizations culture:2

organizational culture
A system of shared meaning held by members that distinguishes the organization from other organizations.
Innovation and risk taking. The degree to which employees are encouraged to be innovative and take risks.
Attention to detail. The degree to which employees are expected to exhibit precision, analysis, and attention to detail.
Outcome orientation. The degree to which management focuses on results or outcomes rather than on the techniques and processes used to achieve them.
People orientation. The degree to which management decisions take into consideration the effect of outcomes on people within the organization.
Team orientation. The degree to which work activities are organized around teams rather than individuals.
Aggressiveness. The degree to which people are aggressive and competitive rather than easygoing.
Stability. The degree to which organizational activities emphasize maintaining the status quo in contrast to growth.
Each of these characteristics exists on a continuum from low to high. Appraising the organization on them, then, gives a composite picture of its culture and a basis for the shared understanding members have about the organization, how things are done in it, and the way they are supposed to behave. Lets identify where Mars Inc. may fall on each of these characteristics from the chapter opener. The Mars culture is likely to be high in innovation and risk-taking, high in attention to detail, and high in team orientation. The companys outcome orientation may be moderate because it is already a top industry performer, but it is consensus driven and promotes worklife balance. Its people orientation seems to be high, judging by the open culture, and, as Victoria Mars (great-granddaughter of founder Frank Mars) tells associates, You are valued for you. The aggressiveness of Mars culture may be moderate to low because there are few employee complaints of competitiveness, though weve noted it is also secretive, so perhaps employees dont discuss this element. Finally, it appears stable in terms of sustainability and seems moderately committed to growth. Exhibit 16-1 contrasts how companies may be very different along these dimensions.

Some research has conceptualized culture into four different types based on competing values:3 the collaborative and cohesive clan, the innovative and adaptable adhocracy, the controlled and consistent hierarchy, and the competitive and customer focused market. A review of 94 studies found that job attitudes were especially positive in clan-based cultures, innovation was especially strong in market cultures, and financial performance was especially good in market cultures.4 Although the competing values framework received some support, the review authors noted that further theoretical work is needed to ensure it is consistent with the actual cultural values found in organizations.

Explanation & Answer

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