The Environment and Corporate Culture

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The

The Environment
Environment and
and
Corporate
Corporate Culture
Culture

Organizational
Organizational Environments
Environments

Em
p lo

ye
es

Labor Market
l

o
Ec

ic
m
o

al
tur

Suppliers

ul
io-C
Soc

Le
ga
l/P
ol
iti
ca

Management

Competitors

Customers
re
ltu
Cu

Inter
natio
nal

Technological

General
Environment

Task /operating
Environment

Internal
Environment

The
The OrganizationOrganization- Environment
Environment Relationship
Relationship
Environmental Uncertainty
Adapting to the Environment
Boundary Spanning Roles( roles assumed by
people or departments that link and coordinate
the organization with key elements in the external
environment).Competitive Intelligence(CI)
Mergers and Joint Ventures
Interorganizational Partnership(from adversarial
orientation to partnership orientation)

AAShift
Shift to
to aa Partnership
Partnership Paradigm
Paradigm
From adversarial orientation

To Partnership Orientation

Suspicion, competition, arms length

Trust, value added to both sides

Price , efficiency, own profits

Equity, fair dealing, everyone profits

Information and feedback limited

E-business links to share


information and conduct digital
transactions

Lawsuits to resolve conflicts

Close coordination ; virtual teams


and people on site

Minimal involvement and up-front


investment

Involvement in partners product


design and production

Short term contracts

Long term contracts

Contracts limit the relationship

Business assistance goes beyond


the contract

What
What Is
Is Organizational
Organizational Culture?
Culture?

Characteristics:
Characteristics:
1.1. Innovation
Innovationand
andrisk
risk
taking
taking
2.2. Attention
Attentionto
todetail
detail
3.3. Outcome
Outcomeorientation
orientation
4.4. People
Peopleorientation
orientation
5.5. Team
Teamorientation
orientation
6.6. Aggressiveness
Aggressiveness
7.7. Stability
Stability

What
What Is
Is Organizational
Organizational Culture?
Culture? (contd)
(contd)

Keeping
Keeping Culture
Culture Alive
Alive
Selection
Concerned with how well the candidates will fit
into the organization.
Provides information to candidates about the
organization.

Top Management
Senior executives help establish behavioral
norms that are adopted by the organization.

Socialization
The process that helps new employees adapt to
the organizations culture.

AASocialization
Socialization Model
Model

EXHIBIT

18-2

How
How Organization
Organization Cultures
Cultures Form
Form

EXHIBIT

18-4

How
How Employees
Employees Learn
Learn Culture
Culture
Stories
Stories
Rituals
Rituals
Material
MaterialSymbols
Symbols
Language
Language

How
How Organizational
Organizational Cultures
Cultures Have
Have an
an Impact
Impact
on
on Performance
Performance and
and Satisfaction
Satisfaction

EXHIBIT

18-7

Environment
Environment and
and culture
culture
Adaptive Culture

Shaping
Shaping Corporate
Corporate Culture
Culture
How people are treated increases the companys
values
Culture attracts, motivate and retains talent.
Corporate Culture enables learning and
innovation

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