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Chapter 16 Organizational Culture Questions for Review 16-1. What is organizational culture, and what are its common characteristics? Answer: Organizational culture is a common perception held by the organization’s members; a system of shared meaning. Seven primary characteristics are: a. Innovation and risk taking b. Attention to detail c. Outcome orientation d. People orientation e. Team orientation f. Aggressiveness g. Stability 16-2. What are the functional and dysfunctional effects of organizational culture? Answer: Cultures define the boundary between one organization and others. a. Conveys a sense of identity for its members. b. Facilitates the generation of commitment to something larger than self-interest. c. Enhances the stability of the social system. d. Serves as a sense-making and control mechanism for fitting employees in the organization. e. The liability or dysfunctional effects of organizational culture: i. Barrier to change – occurs when culture’s values are not aligned with the values necessary for rapid change. ii. Barrier to diversity – strong cultures put considerable pressure on employees to conform, which may lead to institutionalized bias. iii. Barrier to acquisitions and mergers – incompatible cultures can destroy an otherwise successful merger. 16-3. What factors create and sustain an organization’s culture? Answer: Cultures begin with the thoughts and values of the founders. The founders hire and keep only the employees who think and feel the same way they do. The founders indoctrinate and socialize these employees to their way of thinking and feeling. Finally the founders’ own behavior acts as a role model that encourages employees to identify with them and thereby internalize their beliefs, values, and assumptions. Factors that sustain an organizational culture or keep it alive are: a. Selection: concerned with how well the candidates will fit into the organization and provides information to candidates about the organization. b. Top Management: senior executives help establish behavioral norms that are adopted by the organization. c. Socialization: the process that helps new employees adapt to the organization’s culture. 16-4. How is culture transmitted to employees? Answer: Employees learn the culture through the socialization process. The culture is transmitted in a number of forms. a. Stories: anchor the present into the past and provide explanations and legitimacy for current practices. b. Rituals: repetitive sequences of activities that express and reinforce the key values of the organization. c. Material Symbols: acceptable attire, office size, opulence of the office furnishings, and executive perks that convey to employees who is important in the organization. d. Language: jargon and special ways of expressing one’s self to indicate membership in the organization. 16-5. What are the similarities and differences in creating an ethical culture, a positive culture, and spiritual culture? Answer: Managers can create an ethical culture by being visible role models, communicating ethical expectations, providing ethical training, visibly rewarding ethical acts and punishing unethical ones, and providing protective mechanisms. In contrast, a positive organizational culture is one that: •Builds on employee strengths: focus is on discovering, sharing, and building on the strengths of individual employees. •Rewards more than it punishes: articulating praise and “catching employees doing something right.” •Emphasizes individual vitality and growth: helping employees learn and grow in their jobs and careers. Last, a spiritual culture is one that recognizes that people have an inner life that nourishes and is nourished by meaningful work that takes place in the context of the community. The four characteristics of a spiritual culture are: •Strong sense of purpose: people want to be inspired by a purpose. •Trust and respect: mutual trust, honesty, and openness. •Humanistic work practices: employee empowerment, job security. •Toleration of employee expression: don’t stifle emotions 16-6. How does national culture affect what happens when an organizational culture is transported to another country? Answer: National cultures differ and organizational cultures often reflect national cultures. Organization cultures, while strong, can’t ignore local culture. Managers can help to be more culturally sensitive by speaking slowly and in a low tone, listening more, and avoiding discussions of religion or politics. All global firms (not just U.S. firms) need to be more culturally sensitive. Experiential Exercise Greeting Newcomers Divide into groups of 3-4 students. Discuss these four primary issues: • Describe your first impressions of the university when you applied. This is important because it helps to identify assumptions other new students may homecoming. • Describe some of your early experiences in the new environment, and how they either reinforced or changed your pre-entry expectations. Include activities officially sponsored by your school, as well as unplanned experiences that told you what the culture was like. • Identify key issues you wish you had learned more about when you arrived. Think of the sorts of things that caused the most trouble for you, or that were difficult for you to figure out on your own. • Contrast your early experiences with your current knowledge of what the culture is like. How has long-term interaction changed your ideas about the culture of the university? After describing your school’s culture as a whole, consider the same four issues as they relate to your major field of study. Design a program Use the material from the chapter to develop an “ideal” program that could be used to introduce new students to the culture. This might closely resemble what you’ve experienced, or it may be very different. The goal should be to reduce student anxiety and stress during the transition, and to promote a culture that helps newcomers meet their goals as efficiently and effectively as possible. Your socialization program should include pre-entry messages, like recruiting information, early orientation sessions, and long-term follow-up. You’ll want to determine, at each phase, who should be sending these messages so they have the most impact on newcomers. 16-7. Based on your observations and group discussion, what seem to be the most important elements of the culture that newcomers need to adjust to? Answer: Based on the group discussion and observations, several important elements of the university culture that newcomers need to adjust to include: 1. Academic Expectations: New students need to understand the academic rigor and expectations of their courses, including study habits, time management skills, and academic resources available to them. 2. Social Dynamics: Understanding the social dynamics of the university, including making new friends, navigating social events, and finding support networks, is crucial for newcomers to feel comfortable and integrated into the community. 3. Campus Resources: New students should be aware of the various campus resources available to them, such as academic advising, counseling services, career centers, and extracurricular activities. Knowing where to find support and assistance can help alleviate stress and promote academic and personal success. 4. Campus Traditions and Values: Learning about the university's traditions, values, and cultural norms can help newcomers feel a sense of belonging and connection to the institution. Understanding the shared identity and history of the university can foster a sense of pride and community among students. 5. Diversity and Inclusion: Embracing diversity and promoting inclusion is essential for creating a welcoming and supportive environment for all students. Newcomers should be educated about the university's commitment to diversity, equity, and inclusion, and encouraged to engage in respectful dialogue and cultural exchange with their peers. Overall, addressing these key elements of the university culture in a comprehensive socialization program can help newcomers adjust more smoothly to their new environment and thrive academically, socially, and personally. 16-8. Do you think your school doesn’t communicate some aspects of the culture to newcomers? If so, why? Answer: Designing a program to introduce new students to the culture of a university involves careful consideration of the key issues and experiences that shape their transition. Here's a proposed program structured around the four primary issues outlined: Pre• Entry Messages: 1. Recruiting Information: • Provide prospective students with detailed information about the university's culture through marketing materials, virtual tours, and alumni testimonials. Emphasize diversity, academic opportunities, extracurricular activities, and support services available on campus. Early Orientation Sessions: 1. First Impressions: • Offer virtual or in• person orientation sessions before students officially start classes. Include presentations from current students, faculty, and staff to share their first impressions and experiences of the university. This can help set realistic expectations and dispel any misconceptions. 2. Early Experiences: • Organize a series of guided tours, welcome events, and icebreaker activities during orientation week. Encourage participation in campus tours, residence hall meetups, and student organization fairs to familiarize newcomers with the campus layout and community atmosphere. Long• Term Follow• Up: 1. Key Issues: • Establish mentorship programs pairing incoming students with upperclassmen or faculty members within their major. Host workshops and panels addressing common challenges faced by new students, such as time management, academic resources, and social integration. 2. Culture Contrast: • Implement regular check• ins or surveys throughout the academic year to gauge students' evolving perceptions of the university culture. Encourage participation in campus events, leadership opportunities, and academic clubs to deepen their engagement and understanding of the university's ethos. Major Field of Study: • Tailor orientation sessions and mentorship programs to reflect the unique culture and expectations within each academic department. Provide resources specific to major requirements, research opportunities, industry connections, and career pathways. Addressing Communication Gaps: • It's possible that some aspects of the university's culture are not effectively communicated to newcomers due to institutional oversight, lack of resources, or misalignment between messaging and reality. To address this: • Conduct regular reviews of orientation materials and programming to ensure inclusivity and accuracy. • Encourage open dialogue between students, faculty, and administration to identify and address any gaps in communication. • Incorporate feedback mechanisms, such as suggestion boxes or online forums, for students to voice their concerns and suggestions for improvement. By implementing a comprehensive socialization program that addresses pre-entry messages, early orientation sessions, and long-term follow-up, universities can better support new students in navigating the transition to campus life and foster a positive and inclusive culture conducive to academic success and personal growth. 16-9. How is the introduction to a business organizational culture and department similar to, or different from, introduction into a university and field of study? Answer: The introduction to a business organizational culture and department shares similarities with the introduction into a university and field of study, but there are also notable differences. Similarities: 1. Orientation Programs: Both universities and businesses typically have orientation programs designed to introduce newcomers to the culture, values, and norms of the institution or organization. These programs often include informational sessions, tours, and networking opportunities. 2. Mentorship and Support: In both settings, mentorship and support systems play crucial roles in helping newcomers navigate their environment. Whether it's senior students helping freshmen in university or experienced colleagues guiding new employees in a business, having someone to provide guidance can significantly ease the transition. 3. Learning Curve: Both university and business environments involve a learning curve for newcomers. Students must adapt to new academic expectations, while employees must familiarize themselves with company policies, procedures, and workflows. 4. Cultural Assimilation: Both settings require newcomers to assimilate into the existing culture while also bringing their unique perspectives and contributions. Understanding and aligning with the culture is essential for success in either academia or business. Differences: 1. Purpose and Goals: The primary purpose of a university is education, whereas a business exists to generate profit or achieve specific objectives. Consequently, the focus of orientation and socialization in each context may differ. In a university, the emphasis may be on academic excellence, personal development, and community engagement, while in a business, it may be on productivity, teamwork, and organizational goals. 2. Hierarchy and Structure: Businesses often have a hierarchical structure with clearly defined roles and reporting lines, whereas universities may have a more decentralized structure with greater academic freedom for faculty and students. Navigating the organizational structure and understanding one's place within it may require different approaches in each context. 3. Degree of Formality: While both settings have formal aspects, such as academic standards in universities and professional conduct in businesses, the level of formality can vary. Universities may have more relaxed norms in some areas, such as dress code and communication styles, compared to corporate environments where professionalism is highly valued. 4. Career vs. Academic Development: In a business, orientation and socialization often have a direct connection to career development and advancement within the organization. In contrast, university orientation focuses more on academic development and personal growth, with career preparation as a secondary objective for many students. Overall, while the introduction to a business organizational culture and department shares some similarities with the introduction into a university and field of study, there are significant differences in purpose, structure, and focus that necessitate tailored approaches to orientation and socialization in each context. Ethical Dilemma Culture of Deceit We have noted throughout this chapter, and the text overall, that honesty is generally the best policy in managing OB. But that doesn’t mean honest dealing is always the rule in business. Studies have found, in fact, that whole industries may encourage dishonesty. In one experiment, subjects were first asked either to think about their professional identities, or to complete a generic survey. They were the n asked to report on a series of coin flips; they were told in advance that the more times the coin showed heads, the more money they would make. The bankers who took the generic survey were about as honest in reporting coin flips as people who worked in other fields. The bankers told to think about their professional identities ,however, exaggerated how often the coin turned up, heads. People in other professions didn’t do so—the tie between professional identity and dishonesty was unique to those who worked in banking. These results are certainly not limited to the banking industry. Many other ways of priming people to think about financial transactions seem to generate more dishonesty. And studies have also found that many individuals feel pressured to engage in dishonest behavior to meet the bottom line. Whenever there is money under consideration, there are powerful motives. Money motivations are strong in professional sports. For example, the number of top leaders in FIFA (world soccer’s governing body) who were indicted in 2015 suggests that behaving dishonestly has been accepted within FIFA, and covering up for the dishonesty of others has been encouraged. Domenico Scala, FIFA’s audit and compliance committee chair, noted, “To support the change we need aculture that censures inappropriate behavior and enforces rules vigorously, fairly, and [is] responsive.” There is general consensus that to overcome corruption, those in positions of authority must demonstrate commitment to an ethical culture. As Scala noted, “It is the leaders’ tone that ensures it is embedded at all levels of the organization. This must be honest and communicated with sincerity in both words and actions.” There may well be a tendency to become dishonest when there’s money to be made, so leaders may need to be especially vigilant and communicate clear expectations for ethical behavior. Fortunately, evidence shows that asking people to focus on relationships and the way they spend their time can actually make them behave more honestly and helpfully .This suggests that a focus on the social consequences of our actions can indeed help to overcome corruption. Sources: F. Gino, “Banking Culture Encourages Dishonesty,” Scientific American, December 30, 2014,http://www.scientificamerican.com/article/banking-culture-encourages-dishonesty/; A. Cohn, Alain,E. Fehr, and M. A. Maréchal, “Business Culture and Dishonesty in the Banking Industry,” Nature,014, doi: 10.1038/nature13977; L. Geggel, “FIFA Scandal: The Complicated Science of Corruption,”ScientificAmerican, May 31, 2015, http://www.scientificamerican.com/article/fifa-scandal-thecomplicated-science-of-corruption/; and K. Radnedge, “Culture Change Required If FIFA Is toEliminate Wrongdoing,” World Soccer, May 29, 2015, http://www.worldsoccer.com/columnists/keir-radnedge/culture-change-required-if-fifa-is-to-eliminate-wrongdoing-362278. Questions 16-10. What are the negative effects of a culture that encourages dishonesty and corruption on its reputation and employees? Answer: A culture that encourages dishonesty and corruption can have detrimental effects on both the reputation of the organization and the well-being of its employees. Here are some of the negative consequences: 1. Reputation Damage: A culture of dishonesty and corruption tarnishes the reputation of the organization, eroding trust among stakeholders such as customers, investors, partners, and the public. Once a reputation for unethical behavior is established, it can be challenging to regain trust and repair the damage. 2. Legal Consequences: Engaging in dishonest or corrupt practices can lead to legal repercussions, including fines, lawsuits, regulatory investigations, and even criminal charges. Violations of laws and regulations can result in significant financial penalties and damage the organization's credibility in the eyes of regulators and law enforcement agencies. 3. Loss of Business Opportunities: Organizations known for unethical behavior may face difficulty in attracting new customers, partners, or investors. Business relationships may be strained or severed as stakeholders choose to associate with more reputable organizations. This loss of business opportunities can hinder growth and profitability in the long term. 4. Employee Disengagement: In a culture that condones dishonesty and corruption, employees may feel pressured to engage in unethical behavior or turn a blind eye to wrongdoing. This can lead to feelings of moral distress, guilt, and disengagement among employees who value integrity and ethical conduct. Over time, employee morale and motivation may decline, resulting in decreased productivity and higher turnover rates. 5. Damage to Employee Morale and Well-being: Employees working in a culture of dishonesty and corruption may experience heightened stress, anxiety, and job dissatisfaction. The pressure to compromise ethical principles or participate in unethical practices can take a toll on mental and emotional well-being, leading to burnout, depression, and other negative health outcomes. 6. Loss of Talent: Talented and ethical employees may choose to leave the organization rather than compromise their principles or risk being associated with unethical behavior. This loss of talent can weaken the organization's competitive advantage and hinder its ability to innovate and adapt to changing market conditions. Overall, a culture that encourages dishonesty and corruption not only damages the organization's reputation but also undermines employee morale, engagement, and well-being. Addressing and preventing unethical behavior requires strong leadership, clear ethical standards, robust compliance mechanisms, and a commitment to fostering a culture of integrity and transparency. 16-11. Why might some organizations push employees to behave in a dishonest or corrupt manner? Are there personal benefits to corruption that culture can counteract? Answer: Some organizations may push employees to behave in a dishonest or corrupt manner for several reasons: 1. Pressure to Achieve Goals: In highly competitive environments or industries with aggressive performance targets, there may be pressure on employees to meet or exceed goals at any cost. This pressure can create incentives for employees to cut corners, manipulate data, or engage in unethical practices to achieve desired outcomes. 2. Lack of Oversight or Accountability: In organizations with weak governance structures or ineffective internal controls, there may be limited oversight of employees' actions. Without proper checks and balances, employees may feel emboldened to engage in dishonest or corrupt behavior without fear of detection or consequences. 3. Cultural Norms and Expectations: In some organizational cultures, there may be an implicit or explicit tolerance for unethical behavior, where employees perceive dishonesty or corruption as the norm rather than the exception. This normalization of unethical conduct can lead to a "everyone does it" mentality, where individuals feel justified in engaging in wrongdoing to align with perceived cultural expectations. 4. Financial Incentives: In certain cases, employees may be offered financial incentives or rewards for engaging in corrupt practices, such as kickbacks, bribes, or embezzlement. These illicit gains can create powerful temptations for individuals to prioritize personal financial gain over ethical considerations. 5. Fear of Retaliation or Reprisal: In organizations with authoritarian leadership styles or cultures of fear, employees may feel pressured to comply with unethical directives out of fear of retaliation, ostracism, or job loss. This fear-based approach can suppress dissent and discourage whistleblowing, further perpetuating a culture of dishonesty and corruption. While there may be personal benefits to engaging in corruption, such as financial gain, career advancement, or protection from punishment, these benefits are often short-term and outweighed by the long-term consequences for both individuals and organizations. A culture that actively promotes integrity, transparency, and ethical behavior can counteract the allure of corruption by: 1. Establishing Clear Ethical Standards: Articulating and reinforcing organizational values that prioritize integrity, honesty, and accountability can help shape employee behavior and decision-making. 2. Providing Adequate Training and Support: Offering training programs on ethics, compliance, and whistleblower protections can empower employees to make ethical choices and report wrongdoing without fear of retaliation. 3. Fostering a Speak-Up Culture: Creating an environment where employees feel safe and encouraged to raise concerns, ask questions, and report unethical behavior can help prevent corruption and misconduct. 4. Holding Individuals Accountable: Enforcing consequences for unethical conduct, including disciplinary action and legal prosecution, sends a strong message that dishonesty and corruption will not be tolerated within the organization. By actively promoting a culture of integrity and ethical conduct, organizations can mitigate the risks associated with corruption, enhance their reputation, and foster a workplace environment that attracts and retains top talent. 16-12. What actions can you take as a new employee if you are pressured to violate your own ethical standards at work? How might mid-level employees’ responses to this question differ from those of more senior managers? Answer: As a new employee faced with pressure to violate your own ethical standards at work, there are several actions you can take to address the situation: 1. Clarify Expectations: Seek clarification from your supervisor or manager about the expectations and reasons behind the request. Sometimes, what may seem like pressure to engage in unethical behavior could be a misunderstanding or miscommunication. 2. Document the Situation: Keep detailed records of any instances where you feel pressured to compromise your ethical standards, including dates, times, individuals involved, and specific requests made. This documentation can serve as evidence if you need to escalate the issue later. 3. Seek Guidance: Consult with a trusted mentor, colleague, or HR representative to discuss your concerns and explore potential courses of action. They may offer valuable insights, advice, or support in navigating the situation. 4. Express Your Concerns: Calmly and respectfully communicate your ethical concerns to your supervisor or manager, emphasizing your commitment to upholding ethical principles and the potential risks associated with engaging in unethical behavior. 5. Invoke Whistleblower Protections: If you believe the situation warrants further investigation or intervention, consider utilizing internal whistleblower channels or reporting mechanisms provided by the organization. These channels are designed to protect employees who report misconduct in good faith. 6. Consider Escalating the Issue: If the pressure to violate ethical standards persists or escalates, you may need to escalate the issue to higher levels of management, executive leadership, or relevant regulatory authorities, depending on the severity of the situation and organizational policies. Mid-level employees' responses to this question may differ from those of more senior managers in several ways: 1. Risk Assessment: Mid-level employees may be more concerned about the potential repercussions of speaking out against unethical behavior, such as retaliation, damage to their reputation, or career stagnation. Senior managers, on the other hand, may have greater confidence in their ability to navigate political dynamics and mitigate risks associated with whistleblowing. 2. Access to Resources: Senior managers typically have greater access to resources, networks, and decision-making authority within the organization, which may enable them to address ethical concerns more effectively through formal channels or internal investigations. 3. Organizational Influence: Senior managers may have a greater influence on shaping organizational culture, policies, and practices, allowing them to champion ethical leadership and promote a culture of integrity from the top down. Mid-level employees may have less influence but can still play a role in fostering ethical behavior within their teams and departments. 4. Accountability and Responsibility: Senior managers may feel a heightened sense of accountability and responsibility for upholding ethical standards and protecting the organization's reputation, given their leadership positions and fiduciary duties. Mid-level employees may also feel a sense of duty but may be more constrained by hierarchical structures and reporting lines. In summary, while both new employees and more senior managers may face pressure to compromise ethical standards at work, their responses may differ based on their level of experience, access to resources, organizational influence, and perceived risks and responsibilities. Regardless of their position within the organization, individuals should prioritize ethical behavior and take appropriate action to address any instances of misconduct or wrongdoing. Case Incident 1 The Place Makes the People At Gerson Lehrman Group, you won’t find an employee working in a cubicle day after day. You also won’t find an employee working in a free-form open office area consistently either. The reason is that Gerson Lehrman is invested in “activity based working.” In this system, employees have access to cubicle spaces for privacy, conference rooms for group meetings, café seating for working with a laptop, and full open-office environments. Where you work on a particular day is entirely up to you. It may be hard to remember, but office allocations were a uniform signal of hierarchical status and part of organizational culture until fairly recently. As organizations have become flatter and the need for creativity and flexibility has increased, the “open office” plan has become a mainstay of the business world. The goal is to encourage free-flowing conversation and discussion, enhance creativity, and minimize hierarchy—in other words, to foster a creative and collaborative culture and remove office space from its status position. Research on open offices, however, shows there is a downside. Open offices decrease the sense of privacy, reduce the feeling of owning your own space, and create a distracting level of background stimulation. As psychology writer Maria Konnikova noted, “When we’re exposed to too many inputs at once—a computer screen, music, a colleague’s conversation, the ping of an instant message—our senses become overloaded, and it requires more work to achieve a given result.” So is the activity-based hybrid described earlier a potential solution? With its constantly shifting workspace and lack of consistent locations, this may be an even less controlled environment than an open office. However, it does signal a culture that values the autonomy of individual workers to choose their own best environment at a particular time. The lack of consistency creates other problems, though. Workers cannot achieve even the modest level of personal control over any specific space that they had with the open design. Design expert LouisLhoest notes that managers in an activity-based office “have to learn to cope with not having people within their line of sight.” This is a difficult transition for many managers to make, especially if they are used to a command-and-control culture. Whether a traditional, open, or activity-based design is best overall is obviously hard to say. Perhaps the better question is, which type will be appropriate for each organization? Sources: B. Lanks, “Don’t Get Too Cozy,” Bloomberg Businessweek, October 30, 2014, http://www.businessweekme.com/Bloomberg/newsmid/190/newsid/271; M. Konnikova, “The Open-Office Trap,” New Yorker, January 7, 2014, http://www.newyorker.com/business/currency/the-open-officetrap; N. Ashkanasy, O. B. Ayoko, and K. A. Jehn, “Understanding the Physical Environment of Work and Employee Behavior: An Affective Events Perspective,” Journal of Organizational Behavior 35 (2014): 1169–84. Questions 16-13. The case describes activity based working and the ways in which the office and work are organized. What are the inherent managerial concerns or problems with this approach and office design? Answer: Activity-based working (ABW) presents several inherent managerial concerns and problems, particularly in terms of organizational culture, productivity, and managerial oversight: 1. Loss of Control: One of the primary concerns for managers in an ABW environment is the loss of control over employee activities and productivity. Without designated workstations or consistent locations, managers may find it challenging to monitor and supervise employees effectively. This lack of visibility can lead to concerns about accountability and performance management. 2. Communication and Collaboration: While ABW aims to promote communication and collaboration, the constantly shifting workspace may hinder spontaneous interactions and impromptu meetings among team members. Managers must ensure that communication channels remain open and accessible to facilitate collaboration, even in a dynamic work environment. 3. Privacy and Distractions: ABW may exacerbate concerns related to privacy and distractions in the workplace. Employees may struggle to find quiet, focused spaces for tasks requiring concentration, leading to decreased productivity and increased stress. Managers must address these concerns by providing adequate support and resources to mitigate distractions and maintain a conducive work environment. 4. Adaptation and Change Management: Transitioning to an ABW model requires significant adaptation and change management efforts from both managers and employees. Managers must effectively communicate the rationale behind the new office design and provide training and support to help employees navigate the shift. Resistance to change and challenges in adapting to new ways of working may arise, requiring proactive leadership and support from managers. 5. Performance Evaluation: Traditional performance evaluation metrics may need to be re-evaluated in an ABW environment, where productivity and performance may be influenced by factors beyond individual control, such as workspace availability and noise levels. Managers must develop new methods for assessing employee performance that account for the unique dynamics of ABW, such as collaboration, adaptability, and creativity. 6. Cultural Alignment: ABW may challenge traditional hierarchical structures and command-and-control management styles, requiring a shift towards a more decentralized, autonomous culture. Managers must align organizational culture with the principles of ABW, emphasizing trust, empowerment, and flexibility to support employee autonomy and self-management. Overall, while ABW offers potential benefits in terms of flexibility, collaboration, and autonomy, it also presents managerial challenges related to control, communication, privacy, adaptation, performance evaluation, and cultural alignment. Effective leadership and proactive management strategies are essential to address these concerns and ensure the successful implementation of ABW within an organization. 16-14. Can the effects of a new office design be assessed objectively? How could you go about measuring whether new office designs are improving the organizational culture? Answer: Yes, the effects of a new office design can be assessed objectively through various quantitative and qualitative measures. Here are some ways to measure whether new office designs are improving organizational culture: 1. Employee Surveys: Conduct regular surveys to gather feedback from employees about their satisfaction with the new office design. Ask specific questions about aspects such as comfort, productivity, collaboration, and overall satisfaction. Analyze survey responses to identify trends and areas for improvement. 2. Productivity Metrics: Track key productivity indicators before and after implementing the new office design. This could include metrics such as employee output, project completion rates, and time spent on tasks. Compare performance data to assess any changes or improvements resulting from the new design. 3. Absenteeism and Turnover Rates: Monitor absenteeism and turnover rates to gauge employee engagement and retention. A positive change in these metrics following the implementation of the new office design may indicate improved job satisfaction and organizational culture. 4. Collaboration and Communication: Measure changes in collaboration and communication patterns among employees. This could involve analyzing email traffic, meeting attendance, and use of collaborative tools or spaces. Look for increases in cross-departmental collaboration and knowledge sharing. 5. Employee Well-being: Assess employee well-being and health outcomes, such as stress levels, morale, and physical comfort. Use tools like employee health assessments or absenteeism due to health-related issues to gauge the impact of the new office design on employee well-being. 6. Space Utilization: Track the utilization of different office spaces, including meeting rooms, collaborative areas, and individual workstations. Analyze how employees are using the available space and whether it aligns with the intended design objectives. 7. Organizational Culture Assessments: Conduct cultural assessments or audits to evaluate the alignment between the new office design and organizational values, norms, and behaviors. Look for changes in cultural indicators such as transparency, innovation, and employee empowerment. 8. Cost Savings: Measure any cost savings or efficiencies resulting from the new office design, such as reduced real estate expenses, energy consumption, or maintenance costs. Quantify the financial impact to demonstrate the return on investment (ROI) of the design changes. 9. Employee Feedback Mechanisms: Implement ongoing feedback mechanisms, such as suggestion boxes, focus groups, or town hall meetings, to gather input from employees on their experiences with the new office design. Use this feedback to make iterative improvements and adjustments as needed. By combining quantitative data with qualitative insights from employees, organizations can assess the effects of new office designs on organizational culture in a comprehensive and objective manner. This approach enables informed decision-making and continuous improvement to create work environments that support employee well-being, collaboration, and productivity. 16-15. What types of jobs do you think might benefit most from the various forms of office design described above? Answer: Various forms of office design can benefit different types of jobs in various ways. Here's a breakdown: 1. Open Plan Layout : This layout promotes collaboration and communication, making it suitable for teams that rely heavily on interaction and brainstorming. Jobs that might benefit from this layout include creative roles such as designers, writers, and marketers, as well as project management teams where constant communication is crucial. 2. Cubicle Layout : Cubicles offer a balance between privacy and collaboration. They are suitable for roles that require a certain degree of concentration and focus, such as software developers, engineers, financial analysts, and researchers. It provides a space for undisturbed work while still allowing easy interaction with colleagues when needed. 3. Activity-Based Working (ABW) : This approach is beneficial for roles that involve a variety of tasks and require flexibility in work environments. For example, sales representatives who may need space for client meetings, independent work, and collaboration with team members could benefit from ABW. Similarly, consultants, project managers, and business analysts who switch between individual tasks and group discussions could find this setup advantageous. 4. Remote Work Setup : Jobs that can be performed remotely benefit from this setup. These include roles in software development, graphic design, writing, virtual assistance, customer service, and various administrative tasks. Remote work setups allow employees to work from the comfort of their homes or other preferred locations, enhancing work-life balance and reducing commuting stress. 5. Hybrid Work Setup : This setup is suitable for a wide range of roles and industries, offering the flexibility of both in-office and remote work. Jobs in fields such as technology, finance, marketing, and consulting can benefit from a hybrid model, allowing employees to choose the most productive environment for different tasks while still maintaining connection and collaboration with colleagues. Overall, the effectiveness of office design depends on the nature of the work, the preferences of employees, and the goals of the organization. Customizing the office layout to align with the specific needs of different job roles can enhance productivity, creativity, and overall job satisfaction. Case Incident 2 Active Cultures Employees at many successful companies start the day by checking the economic forecast. Patagonia’s Ventura, California, employees start the day by checking the surffore cast. The outdoor clothing company encourages its workforce to take time from the work day to get out side and get active. For Patagonia, linking employees with the natural environment is a major part of the culture. New hires are introduced to this mindset very quickly. Soon after starting at Patagonia, marketing executive Joy Howard was immediately encouraged to go fly fishing, surfing, and rock climbing all around the world. She notes that all this vacationing is not just playing around—it’s animportant part of her job. “I needed to be familiar with the products we market,” she said. Other practices support this outdoors-oriented, healthy culture. The company has anon-site organic café featuring locally grown produce. Employees at all levels are encouraged through an employee discount program to try out activewear in the field. And highly flexible hours ensure that employees feel free to take the occasional afternoon off to catch the waves or get out of town for a weekend hiking trip. Are there bottom-line benefits to this organizational culture? Some corporate leaders think so. As Neil Blumenthal, one of the founders of Warby Parker eyewear, observes, “they’ve shown that you can build a profitable business while thinking about the environment and thinking about your team and community.” As Patagonia CEO Rose Marcario says, “People recognize Patagonia as a company that’s . . . looking at business through a more holistic lens other than profit.” However, she is quick to add, “Profit is important; if it wasn’t you wouldn’t be talking to me.” Patagonia’s culture obviously makes for an ideal workplace for some people—but not for others who don’t share its values. People who are just not outdoor types would likely feel excluded. While the unique mission and values of Patagonia may not be for everyone, for its specific nichein the product and employment market, the culture fits like a glove. Sources: J. Murphy, “At Patagonia, Trying New Outdoor Adventures Is a Job Requirement,” Wall Street Journal, March 10, 2015, http://www.wsj.com/articles/at-patagonia-trying-new-outdoor-adventuresis-a-job-requirement-1425918931; B. Schulte, “A Company That Profits as It Pampers Workers,” Washington Post, October 25, 2014, http://www.washingtonpost.com/business/a-company-thatprofits-as-it-pampers-workers/2014/10/22/d3321b34-4818-11e4-b72e-d60a9229cc10_story.html;and D. Baer, “Patagonia CEO: ‘There’s No Way I Should Make One Decision Based on Quarterly Results,’” Business Insider, November 19, 2014, http://www.businessinsider.com/patagonia-ceointerview-2014-11 Questions 16-16. What do you think are the key dimensions of culture that make Patagonia successful? How does the organization help to foster this culture? Answer: The success of Patagonia can be attributed to several key dimensions of its culture: 1. Connection to Nature : One of the core dimensions of Patagonia's culture is its deep connection to nature. Employees are encouraged to embrace outdoor activities like surfing, fly fishing, and rock climbing, which align with the company's mission of promoting environmental stewardship. This connection to nature fosters a sense of purpose and passion among employees, as they feel personally invested in the company's mission. 2. Work-Life Integration : Patagonia promotes a healthy work-life balance by allowing employees to take time off during the workday to engage in outdoor activities. This flexibility demonstrates a commitment to employee well-being and recognizes the importance of pursuing personal interests and passions outside of work. By supporting work-life integration, Patagonia creates a more fulfilling and sustainable work environment. 3. Organic and Sustainable Practices : The company's emphasis on sustainability extends beyond its products to its workplace culture. Patagonia operates an on-site organic café featuring locally grown produce, demonstrating its commitment to environmentally friendly practices. By incorporating sustainability into its workplace culture, Patagonia reinforces its values and sets an example for employees and customers alike. 4. Holistic Business Approach : Patagonia prioritizes values such as environmental stewardship and community engagement alongside profitability. This holistic approach to business aligns with the company's mission and attracts employees who share its values. By integrating social and environmental considerations into its business model, Patagonia differentiates itself from competitors and builds a loyal customer base. To foster this culture, Patagonia implements several strategies: 1. Employee Integration : New hires are quickly introduced to the company's outdoor-oriented culture, often through firsthand experiences like fly fishing, surfing, or rock climbing. This helps employees understand and embrace the company's values from the outset. 2. Employee Benefits : Patagonia offers perks such as highly flexible hours and employee discounts on activewear, encouraging employees to participate in outdoor activities and embrace the company's lifestyle. 3. Corporate Leadership : Patagonia's CEO, Rose Marcario, plays a crucial role in shaping and reinforcing the company's culture. Her emphasis on a holistic business approach and commitment to environmental and social responsibility sets the tone for the entire organization. 4. Community Engagement : Patagonia actively engages with its community through initiatives like environmental activism and corporate social responsibility programs. By involving employees in these efforts, the company reinforces its values and strengthens its culture. Overall, Patagonia's success can be attributed to its unique culture, which prioritizes environmental sustainability, work-life integration, and holistic business practices. By fostering a sense of purpose and passion among employees, Patagonia creates a workplace where individuals can thrive both personally and professionally. 16-17. Does Patagonia use strategies to build its culture that you think could work for other companies? Is the company a useful model for others that aren’t so tied to a lifestyle? Why or why not? Answer: Yes, Patagonia utilizes strategies to build its culture that could be effective for other companies, even those not directly tied to a lifestyle brand. Here's why: 1. Emphasis on Values : Patagonia's culture is deeply rooted in its values of environmental sustainability, work-life balance, and community engagement. These values are not exclusive to the outdoor industry and can be adapted by companies in various sectors. By prioritizing values that resonate with employees, companies can foster a strong sense of purpose and commitment among their workforce. 2. Work-Life Integration : Offering flexible work hours and encouraging employees to pursue personal interests aligns with the growing trend of prioritizing work-life balance. Companies in any industry can adopt similar practices to support employee well-being and enhance job satisfaction. 3. Community Engagement : Patagonia's involvement in environmental activism and social responsibility initiatives demonstrates its commitment to making a positive impact beyond its core business. Other companies can emulate this approach by engaging with their communities and addressing social or environmental issues relevant to their industry. 4. Leadership Role : The leadership provided by Patagonia's CEO, Rose Marcario, in shaping and reinforcing the company's culture is a key factor in its success. Companies can benefit from having visionary leaders who champion the organization's values and inspire employees to align with its mission. However, while Patagonia's culture may serve as a model for other companies, it's important to recognize that culture is not one-size-fits-all. What works for Patagonia may not necessarily work for every organization. Companies should carefully consider their own values, industry dynamics, and employee preferences when developing and nurturing their culture. Moreover, companies that aren't as tied to a specific lifestyle may need to adapt Patagonia's strategies to fit their unique context. For example, while not every company can offer outdoor activities as part of their culture, they can still prioritize employee well-being, sustainability, and community engagement in ways that are relevant to their industry and business model. In summary, while Patagonia's culture offers valuable insights and strategies that can be applied to other companies, it's essential for each organization to tailor these approaches to their specific context and objectives. 16-18. What are the drawbacks of Patagonia’s culture? Might it sometimes be a liability, and if so, in what situations? Answer: While Patagonia's culture has many strengths, there are also potential drawbacks that could make it a liability in certain situations: 1. Exclusivity : Patagonia's culture is heavily focused on outdoor activities and environmental stewardship, which may not resonate with all employees. This exclusivity could potentially alienate individuals who do not share the company's lifestyle preferences or values. As a result, it may be challenging for Patagonia to attract and retain employees from diverse backgrounds or with different interests. 2. Work-Life Balance Challenges : While Patagonia promotes work-life integration by encouraging employees to pursue outdoor activities during the workday, this approach may blur the boundaries between work and personal life. Some employees may feel pressure to participate in these activities even if they prefer to focus solely on their work during office hours. This could lead to feelings of guilt or burnout among employees who struggle to balance their professional and personal responsibilities. 3. Perceived Lack of Professionalism : The casual and laid-back nature of Patagonia's culture may be perceived as unprofessional by some individuals or stakeholders. This could be particularly problematic in industries where a more formal or traditional work environment is expected, such as finance or law. Employees who thrive in structured and disciplined settings may feel out of place or undervalued within Patagonia's culture. 4. Potential for Inefficiency : Allowing employees to take time off during the workday for outdoor activities could potentially lead to productivity losses or inefficiencies. While these activities may promote employee well-being and creativity, they could also disrupt workflow and hinder progress on important projects. In situations where deadlines are tight or resources are limited, Patagonia's culture of prioritizing leisure activities may be seen as a liability. Overall, while Patagonia's culture has many positive attributes, it may not be suitable for every organization or individual. Companies should carefully consider the potential drawbacks and liabilities of adopting a similar culture, particularly in industries or contexts where different values and priorities prevail. It's important for organizations to strike a balance between fostering a positive work environment and maintaining professionalism, productivity, and inclusivity. My Management Lab Go to mymanagementlab.com for Auto-graded writing questions as well as the following Assisted-graded writing questions: 16-19. From your reading of Case Incident 1, in what ways can office design shape culture? Answer: From Case Incident 1, office design plays a significant role in shaping organizational culture in several ways: 1. Openness and Collaboration : Office layouts that prioritize open spaces, shared workstations, and communal areas can foster a culture of openness and collaboration. Employees are more likely to interact, share ideas, and work together on projects when they have easy access to one another. 2. Innovation and Creativity : Creative and innovative cultures are often supported by office designs that offer flexible and unconventional workspaces. For example, creative industries may benefit from environments that include brainstorming rooms, quiet zones for focused work, and casual meeting areas to spark inspiration and encourage experimentation. 3. Communication and Transparency : Office designs that incorporate transparent and accessible communication channels, such as glass-walled meeting rooms and open-door policies, can promote a culture of transparency and trust. When employees can easily communicate with one another and with management, they are more likely to feel informed and engaged in the organization's goals and decisions. 4. Well-being and Productivity : Office layouts that prioritize employee well-being and productivity can contribute to a positive organizational culture. For example, incorporating natural light, ergonomic furniture, and green spaces can enhance employee satisfaction, reduce stress, and improve overall performance. 5. Flexibility and Adaptability : In today's dynamic work environment, office designs that offer flexibility and adaptability are essential for supporting a culture of agility and innovation. Companies that provide employees with the freedom to choose where and how they work, whether it's in traditional office spaces, remote locations, or collaborative hubs, can foster a culture that embraces change and experimentation. Overall, office design is a powerful tool for shaping organizational culture by influencing how employees interact, communicate, and work together. By designing spaces that reflect and reinforce the desired values and behaviors of the organization, companies can create environments where employees thrive and contribute to long-term success. 16-20. In regard to Case Incident 2, what might Patagonia do to further reinforce its culture? Answer: To further reinforce its culture, Patagonia could consider implementing the following strategies: 1. Continued Education and Immersion : Patagonia could provide ongoing opportunities for employees to deepen their connection to the company's outdoor-oriented culture. This could include outdoor skills workshops, sustainability training, and immersive experiences in natural environments. By continually educating and immersing employees in the company's values and lifestyle, Patagonia can reinforce its culture and foster a sense of belonging among its workforce. 2. Employee Engagement Initiatives : Patagonia could involve employees in decision-making processes related to environmental initiatives, community projects, and corporate social responsibility efforts. By empowering employees to contribute their ideas and passions to these initiatives, Patagonia can strengthen employee engagement and reinforce its culture of environmental stewardship and social responsibility. 3. Recognition and Rewards : Patagonia could recognize and reward employees who embody the company's values and demonstrate a commitment to its culture. This could include rewards for sustainability efforts, participation in outdoor activities, and contributions to community engagement initiatives. By publicly acknowledging and celebrating employees who exemplify the company's culture, Patagonia can inspire others to follow suit and reinforce its values throughout the organization. 4. Community Building Activities : Patagonia could facilitate opportunities for employees to connect with one another outside of the workplace through outdoor adventures, volunteer activities, and social events. By fostering a strong sense of community among employees, Patagonia can create a supportive and inclusive culture where individuals feel connected to one another and to the company's mission. 5. Integration into Performance Management : Patagonia could incorporate alignment with the company's culture into its performance management processes. This could include evaluating employees based on their contributions to environmental sustainability, their participation in outdoor activities, and their adherence to the company's values. By integrating cultural alignment into performance evaluations, Patagonia can ensure that its workforce remains aligned with its values and mission. Overall, by implementing these strategies, Patagonia can further reinforce its culture and continue to differentiate itself as a company that is committed to environmental stewardship, employee well-being, and community engagement. 16-21. My Management Lab Only – comprehensive writing assignment for this chapter. Answer: Introduction: Organizational culture is the collective set of beliefs, values, norms, and behaviors that shape the identity and operating principles of a company. It influences how employees interact, make decisions, and perceive their work environment. In today's competitive landscape, nurturing a strong and positive organizational culture is essential for driving employee engagement, fostering innovation, and achieving long-term success. This comprehensive writing assignment explores the importance of organizational culture, key elements that contribute to its development, and strategies for cultivating a thriving culture within an organization. I. Understanding Organizational Culture A. Definition and Components 1. Definition of organizational culture 2. Components of organizational culture: beliefs, values, norms, symbols, rituals, and behaviors B. Importance of Organizational Culture 1. Impact on employee engagement and morale 2. Influence on organizational performance and success 3. Role in attracting and retaining top talent 4. Contribution to fostering innovation and adaptation II. Key Elements of Organizational Culture A. Core Values 1. Identifying and articulating core values 2. Aligning values with organizational goals and mission B. Leadership and Role Modeling 1. Leadership's influence on shaping culture 2. Importance of leaders embodying and promoting desired cultural traits C. Communication and Transparency 1. Open communication channels 2. Transparency in decision-making processes D. Employee Engagement 1. Involving employees in shaping and reinforcing culture 2. Empowering employees to contribute ideas and initiatives E. Recognition and Rewards 1. Acknowledging and celebrating cultural alignment 2. Rewarding behaviors that reinforce desired cultural traits F. Learning and Development 1. Providing opportunities for continuous learning and skill development 2. Incorporating cultural education into training programs III. Strategies for Cultivating Organizational Culture A. Define and Articulate Core Values 1. Conducting values assessments and workshops 2. Communicating core values consistently across the organization B. Lead by Example 1. Modeling desired cultural behaviors from top leadership 2. Providing leadership training and development focused on cultural alignment C. Foster Open Communication 1. Establishing feedback mechanisms for employees to share ideas and concerns 2. Creating forums for open dialogue and discussion D. Empower Employees 1. Delegating decision-making authority to frontline employees 2. Encouraging autonomy and ownership of projects and initiatives E. Recognize and Reward Cultural Alignment 1. Implementing recognition programs for employees who exemplify cultural values 2. Linking performance evaluations and rewards to cultural alignment F. Invest in Learning and Development 1. Providing resources for ongoing training and skill development 2. Offering cultural education programs to reinforce desired behaviors IV. Overcoming Challenges in Shaping Organizational Culture A. Resistance to Change 1. Strategies for overcoming resistance to cultural change 2. Communicating the benefits of cultural transformation B. Lack of Alignment 1. Addressing discrepancies between stated values and actual behaviors 2. Aligning policies, processes, and practices with cultural goals C. Sustaining Culture Amid Growth 1. Scaling culture as the organization grows 2. Preserving cultural identity while accommodating diversity and expansion Conclusion: Organizational culture is a powerful force that shapes the identity, behavior, and performance of an organization. By understanding the key elements of culture and implementing effective strategies for nurturing it, companies can cultivate a thriving culture that drives employee engagement, fosters innovation, and fuels long-term success. Embracing cultural values, leading by example, fostering open communication, empowering employees, recognizing and rewarding cultural alignment, and investing in learning and development are essential steps in shaping a positive organizational culture. Overcoming challenges such as resistance to change, lack of alignment, and sustaining culture amid growth requires proactive leadership and a commitment to continuous improvement. By prioritizing organizational culture, companies can create workplaces where employees thrive, contribute their best work, and achieve collective goals Instructor’s Choice Applying the Concepts In the land of tech gadgets, it is literally a “here today, gone tomorrow” philosophy that drives the market space. Such was almost the case for TiVo. TiVo allows a viewer to capture a digital recording and replay it at a later time. It was a great invention for a while. However, technology seemed to pass TiVo while it was on slow play. Today, TiVo seems old hat with more modern advances brought about by Apple Computers (iPod) and others. To its credit, the management at TiVo has not given up. Instead, TiVo guru Arthur van Hoff developed Dr. Strange berry software that allows the TiVo user to grade digital content from the Internet and transfer it to a TV or an array of other devices. Today, TiVo devices can only do their recording and time-shifting on programs piped in from standard cable or satellite feeds. Dr. Strange berry will change all this and in the process will give TiVo time to get its digital act together. •Using a search engine of your own choosing, visit the TiVo website at www.tivo.com. Based on what you find at the website, what can you tell about new developments at TiVo? What can you learn about Dr. Strange berry? •Based on what you found on the TiVo website or through some other investigation, what does TiVo need to do organizationally to keep its company from reaching obsolescence? •If you were the CEO of TiVo, what cultural changes would you attempt to encourage? Explain and comment on why you would make the changes. Instructor Discussion Many of the students will know about TiVo but most will not own one; therein lies some of TiVo’s problem. For additional information on TiVo and its challenges read “Saving TiVo” by Kim Girard in Business2.0, September 2004, pp. 92–100. Students will discover that TiVo needs to do a refit on their organizational structure and culture. The company had a great idea, pursued the idea, and stopped innovating in the process. Soon other companies passed them by. Without the advent of the Dr. Strange berry software, most experts believe TiVo would already be gone. If many in the class have not heard of TiVo, it might be easiest to explain via brochures that can be obtained in any electronics retailer such as Best Buy. Have students discuss alternative cultures that might spur innovation and adaptation at TiVo. Exploring OB Topics on the Web
Exploring OB Topics on the World Wide Web 1. What do you think it would be like working for the “Happiest Place on Earth?” Of course, it’s Disneyland! Disney is huge—so much more than theme parks. Go tohttp://disney.go.com/disneycareers/index.html to get a flavor of what their corporate culture might be like. Click on the links found at the bottom of the page. One even references culture—but it is not necessarily referring to corporate culture. Be prepared to talk about what you learned about the Disney Corporation in class. 2. How does a change agent go about changing the corporate culture? The task, no doubt, is never easy, but the following website offers a process to follow: http://www.lynco.com/culchange.html. Read the article and try to think of a time when an organization you were involved with underwent change. Take the steps outlined in the article and apply them to your experience. Write a brief commentary on how each step would apply to your situation. Bring it to class and be prepared to discuss your case. 3. How does one differentiate between a strong and a weak culture? The Denison Organizational Culture Survey can be found athttp://www.denisonconsulting.com/products-surveys/denison-surveys/organizational-culture. It is an internal tool used by organizations. The page provides information about the survey and a model of strong versus weak organizational cultures. Write a paragraph or two on how you think this information might be helpful to organizations. 4. Career Bliss? Really? Go tohttp://www.spiritualityofwork.com/organization.html to learn more about Spirituality at Work. While there, take the “10 Steps to Career Bliss” survey and see what results you obtain. Also on the page is a list of benefits to employers who incorporate spirituality principles into the corporate culture. Write a short paper of the concept of Spirituality at Work. What do you think managers have to gain? Employees? Is there a downside? Use ideas from the website as a start for organizing your paper. Bring it to class for further discussion. 5. Becoming a more customer-responsive organization can be a difficult culture change. Learn how CRHC did it athttp://www.cio.com/article/30287/Project_Management_Helps_IT_Group_Grow_More_User_Friendly. The organization featured in this article demonstrates how difficult the process can be, but also how rewarding the changes eventually can be. Look at the model of key variables to creating a more customer responsive corporate culture found in the text. In the article, find examples of key variables in the story of CRHC’s change process. Bring it to class for further discussion. Solution Manual for Organizational Behavior Timothy A. Judge Stephen P. Robbins 9781292146300, 9780133507645, 9780136124016
