CHAPTER 2

CORPORATE CULTURE
 LEARNING OBJECTIVE
• Understand the elements of corporate culture
and the role of management.
• Understand the impact of organizational culture
of behaviour;
• Understand the role played by ethics in the
workplace.
• Evaluate the effect of corrupt behaviour by
organizations;
• Understand the role of policies and procedures
in implementing ethical behaviour.
CORPORATE CULTURE
• Shared meanings, values, attitudes, and
beliefs that are created and communicated
with in an organization.

COMPONENTS OF CORPORATE CULTURE

• Espoused Values
• Artefaccts
• Unwritten Rules
SOCIABILITY VERSUS SOLIDARITY
• Sociability
• Solidarity

SUB-CULTURE AND COUNTER CULTURES

ORGANIZATION CLIMATE
-is a group of internal values and behaviours in an
organization .
-it includes experiences, ways of thinking , future
expectation.
ORGANIZATION CULTURE
-refers to the philosophies, attitudes, beliefs,
behaviour, and practices that define an organization.
CORPORATE MORALITY
DYSFUNCTIONAL ACTS
• Disloyalty
• Inertia
• Betrayal
• Corruption
• Theft
• Flaud
 TONE AT THE TOP
• It refers to how organization’s leadership
creates an ethical ( or unethical) atmosphere
in the workplace.
• It is about creating a culture where everyone
has ownership and responsibility for doing the
right thing, because it is the right thing to do.
 ETHICS IN THE WORKPLACE
Certainly ethical policies would feature strongly as
part of these, so one would expect to see.
• A renewed emphasis on existing ethics policies
being brought to the attention of staff.
• New policies being written particularly relevant
to bribery issues .
• An increase in staff training and dissemination of
advice about what to do.
• Introduction or emphasis on whistleblowing
arrangements.
 FOUR (4) UNPLEASANT PERSONAL
CONSEQUENCES
• Social ostracism
• Disfavour from more senior colleagues
• Reduced promotion prospect
• Gentle (or indeed not gentle presume to leave
both from colleagues and superiors
 THE PUBLIC SECTOR
It is important to understand that organization
in the public sector are conceptually different
from those in the private sector.
• Effective risk management approaches
• Oversight and supervision of functions
• Internal audit
Such organizations tend therefore to be:
• hierarchical with many levels of management
• Committee-driven with accountability vested in various committees
staffed by a mixture of executives and non-executives

ETHICS IN THE PUBLIC SECTOR

• Many public sector bodies have no clear goals
• Many public sector employees are decision-makers eg social
workers, benefit claims assessors, police officers, so the effect of
their processes has an impact on the daily lives of other people,
often in a most direct way.
• In many cases employees function under more than one form of
control
• Employees in the public sector display high levels of intrinsic
motivation, known by researches in this as public sector motivation.