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refers to the unique structure of norms, values, beliefs and ways of behaving that characterize the manner in which groups and individuals combine to get things done. Eldridge and Crombie (1974) pattern of basic assumptions – invented, discovered or developed by a given group as it learns to cope with the problems of external adaptation and internal integration – that has worked well enough to be considered valid and, therefore, to be taught to new members as the correct way to perceive, think and feel in relation to these problems. Schein (1985 ) Culture is the commonly held beliefs, attitudes and values that exist in an organization. Put more simply, culture is ‘the way we do things around here’.  Furnham  and Gunter (1993)

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Characteristics of Organizational Culture

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 technique and process People  orientation The degree to which management decisions take into consideration the effect of outcomes on people within the organization.

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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.

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Authoritarian  Culture Power is centralized in the leader and all subordinates are expected to follow the  intructions  and orders strictly. Discipline is emphasized and disobedience has its corresponding punishments. Participative  Culture It is based on the assumption that when all the employees in the organization will work or participate in the decision making they will be likely to be more committed and dedicated to their work. Mechanistic  Culture People are restricted to their own specialization and organizational work is concerned as a system of narrow  specialism.

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Organic Culture No prescribe communication channels, departmental boundaries, hierarchies of authority or formal rules and regulations . Dominant Culture Set of core values shared by the majority of the members of the organization	 Sub-Culture Set of values shared by the minority of organization members

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Brings  all employees at a uniform  platform Decides the way employees interact at their  workplace Extracts the best out of each team  member Represents the predefined policies which guide the employees and give them a sense of direction at the workplace

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The factors that are most important in the creation of an organization’s culture include founders’ values, preferences, and industry demands. An organization’s culture is shaped as the organization faces external and internal challenges and learns how to deal with them. When the organization’s way of doing business provides a successful adaptation to environmental challenges and ensures success, those values are retained. These values and ways of doing business are taught to new members as  the  way to do business (Schein, 1992).

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Selection Practices Actions of Top Management Socialization Methods

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How Employees learn Organizational Culture

Stories/History Rituals  Material Symbols Language

Organizational Culture

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