ORGANISATIONAL CULTURE & CLIMATE

CONCEPT

Culture is the totality of

beliefs,customs ,traditions & values
shared by the members of the
organisation.
Culture is the set of important understanding that
members of a community share in common
CHARECTERISTICS

Every culture have its own identity

Culture defines the internal environment
It differentiates one co from another
Culture is relatively stable
It is perceived by members
It controls attitude,behavior & performance of
the employees
PERSPECTIVE

Culture creates the boundary beyond which no

employees are permitted to go
Social recognition of the culture makes the co to
grow & develop
Acts as motivator that guides employees
Culture provides stability
It gives rise to positive attitude & behavior
It make people development oriented
ELEMENTS

Individual autonomy:The degree of

responsibility,freedom that individuals have in the
organisation
Structure:The degree to which organisation
creates clear objectives,performance expectations
& authority relationship
Management support:The degree that employees
are provided support,assistance
Identity:Members identify themselves as a part of
the organisation
 Reward system:Reward system is based on
performance rather than seniority
Risk tolerance: Employees are encouraged to
be innovative,aggressive & risk taking
Conflict tolerance:The degree to which
employees are encouraged to share conflict &
criticisms only
 Communication:Employees are restricted to
formal hierarchy or authority
Outcome orientation:Management focuses on
results rather than the techniques
People orientation:Management tend to focus on
employee needs & demands
IMPLICATIONS OR PROCESS/MAINTAINING
CULTURE

Selection of employees
Actions of top management
Socialization
Selection of employees

Careful selection-right person at the right job

Interviewer should be trained enough to value
for company culture
Selecting only those who match with the culture
Actions of top management

Culture is depending on them

Their ideas are to be expressed through
culture
It make them understand how much
a) Risk can be taken for
b) Freedom should be given to subordinates
c) Wages or promotions or rewards should be
raised
Socialization

The adaptation of culture by the new entrants

is called socialization
Important to make people aware about culture
The process refers
a) Pre-arrival Stage :
b) Encounter Stage :
c) Metamorphosis or Transformation Stage:
 Pre-arrival Stage
Some learning is done before a new entrants
join the enterprise
They may have set of values,beliefs &
expectations
Candidates should be made aware about
company norms & values
 Encounter Stage:
After joining,he may face Reality shock,may
be satisfied or not
He may find gap between his expectations with
organisational expectation
He requires orientation to overcome the
problem
 Metamorphosis or Transformation Stage:
Real change in the employee takes place
He adjusts to his work group values,norms
He starts to enjoy new company culture
If he is not able to adapt new culture,it results
lack of commitment & low productivity & even
turnover also
SOCIALISATION PROCESS

Pre-arrival Encounter Transformation

Productivity Commitment Turnover

 ORGANISATIONAL CLIMATE

Set of charecteristics that describe

an organisation & distinguishes one
from another & influences the
behaviour of people in organisation
Climate may be thought of as the perception of the
characteristics of an organisation -Joe Kelly
NATURE

Abstract & intangible concept

Perceived aspect of internal culture
Offers a distinct identity
Total expression of what the organisation is
It remains stable over time
Its a multi-dimensional concept
NEED OF A CULTURE

Influences satisfaction & performance through

change in behaviour
Influences attitude through evaluation of self &
others
Places constraints upon individual freedom of
choice & decision making
ELEMENTS OF ORGANISATIONAL CLIMATE

Individual autonomy:The degree of

responsibility,freedom that individuals have in
the organisation
Structure:The degree to which organisation
creates clear objectives,performance
expectations & authority relationship
Reward system:Reward system is based on
performance rather than seniority
 Job satisfaction:Degree of happiness if jobs are
designed that allow to implement workers
creativity
Morale:High morale lead to atmosphere of
cooperation whereas low morale leads to low
productivity
Control:Control system may be either rigid or
flexible that create formal or informal structure
FACTORS INFLUENCING
ORGANISATIONAL CULTURE

Organisational context:Mission,goals,objectives,
functions etc
Organisational structure:Size,degree of
centralisation,operating procedure
Leadership process:Style,communication
decision making & related process
Physical environment::Employee safety,stress etc
Values & norms:Conformity,loyalty,impersonality

etc
ORIGIN OF CLIMATE

Managerial Employee
Employee
Policies performance
charecteristics

Organisational
ORGANISATIONAL
structure
CLIMATE
Technology

External
Environment