organizational culture essay

• SUGGESTED TOPICS
• The Magazine
• Newsletters
• Managing Yourself
• Managing Teams
• Work-life Balance
• The Big Idea
• Data & Visuals
• Reading Lists
• Case Selections
• HBR Learning
• Topic Feeds
• Account Settings
• Email Preferences

What Is Organizational Culture? And Why Should We Care?

• Michael D. Watkins

What leaders need to know to change orgs for the better.

If you want to provoke a vigorous debate, start a conversation on organizational culture. While there is universal agreement that (1) it exists, and (2) that it plays a crucial role in shaping behavior in organizations, there is little consensus on what organizational culture actually is, never mind how it influences behavior and whether it is something leaders can change.

• Michael D. Watkins is a professor of leadership and organizational change at IMD , a cofounder of Genesis Advisers , and the author of The Six Disciplines of Strategic Thinking .

Partner Center

About Stanford GSB

• The Leadership
• Dean’s Updates
• School News & History
• Commencement
• Business, Government & Society
• Centers & Institutes
• Center for Entrepreneurial Studies
• Center for Social Innovation
• Stanford Seed

About the Experience

• Learning at Stanford GSB
• Experiential Learning
• Guest Speakers
• Entrepreneurship
• Social Innovation
• Communication
• Life at Stanford GSB
• Collaborative Environment
• Activities & Organizations
• Student Services
• Housing Options
• International Students

Full-Time Degree Programs

• Why Stanford MBA
• Academic Experience
• Financial Aid
• Why Stanford MSx
• Research Fellows Program
• See All Programs

Non-Degree & Certificate Programs

• Executive Education
• Stanford Executive Program
• Programs for Organizations
• The Difference
• Online Programs
• Stanford LEAD
• Seed Transformation Program
• Aspire Program
• Seed Spark Program
• Faculty Profiles
• Academic Areas
• Awards & Honors
• Conferences

Faculty Research

• Publications
• Working Papers
• Case Studies

Research Hub

• Research Labs & Initiatives
• Business Library
• Data, Analytics & Research Computing
• Behavioral Lab

Research Labs

• Cities, Housing & Society Lab
• Golub Capital Social Impact Lab

Research Initiatives

• Corporate Governance Research Initiative
• Corporations and Society Initiative
• Policy and Innovation Initiative
• Rapid Decarbonization Initiative
• Stanford Latino Entrepreneurship Initiative
• Value Chain Innovation Initiative
• Venture Capital Initiative
• Career & Success
• Climate & Sustainability
• Corporate Governance
• Culture & Society
• Finance & Investing
• Government & Politics
• Leadership & Management
• Markets and Trade
• Operations & Logistics
• Opportunity & Access
• Technology & AI
• Opinion & Analysis
• Email Newsletter

Welcome, Alumni

• Communities
• Digital Communities & Tools
• Regional Chapters
• Women’s Programs
• Identity Chapters
• Find Your Reunion
• Career Resources
• Job Search Resources
• Career & Life Transitions
• Programs & Webinars
• Career Video Library
• Alumni Education
• Research Resources
• Volunteering
• Alumni News
• Class Notes
• Alumni Voices
• Contact Alumni Relations
• Upcoming Events

Admission Events & Information Sessions

• MBA Program
• MSx Program
• PhD Program
• Alumni Events
• All Other Events
• Operations, Information & Technology
• Organizational Behavior
• Political Economy
• Classical Liberalism
• The Eddie Lunch
• Accounting Summer Camp
• California Econometrics Conference
• California Quantitative Marketing PhD Conference
• California School Conference
• China India Insights Conference
• Homo economicus, Evolving
• Political Economics (2023–24)
• Scaling Geologic Storage of CO2 (2023–24)
• A Resilient Pacific: Building Connections, Envisioning Solutions
• Adaptation and Innovation
• Changing Climate
• Civil Society
• Climate Impact Summit
• Climate Science
• Corporate Carbon Disclosures
• Earth’s Seafloor
• Environmental Justice
• Operations and Information Technology
• Organizations
• Sustainability Reporting and Control
• Taking the Pulse of the Planet
• Urban Infrastructure
• Watershed Restoration
• Junior Faculty Workshop on Financial Regulation and Banking
• Ken Singleton Celebration
• Marketing Camp
• Quantitative Marketing PhD Alumni Conference
• Presentations
• Theory and Inference in Accounting Research
• Stanford Closer Look Series
• Quick Guides
• Core Concepts
• Journal Articles
• Glossary of Terms
• Faculty & Staff
• Researchers & Students
• Research Approach
• Charitable Giving
• Financial Health
• Government Services
• Workers & Careers
• Short Course
• Adaptive & Iterative Experimentation
• Incentive Design
• Social Sciences & Behavioral Nudges
• Bandit Experiment Application
• Conferences & Events
• Get Involved
• Reading Materials
• Teaching & Curriculum
• Energy Entrepreneurship
• Faculty & Affiliates
• SOLE Report
• Responsible Supply Chains
• Current Study Usage
• Pre-Registration Information
• Participate in a Study

Organizational Culture

Organizational culture Organizational culture is embedded in the everyday working lives of all cultural members. Manifestations of cultures in organizations include formal practices (such as pay levels, structure of the HIERARCHY,JOB DESCRIPTIONS, and other written policies); informal practices (such as behavioral norms); the organizational stories employees tell to explain “how things are done around here;” RITUALS (such as Christmas parties and retirement dinners); humor (jokes about work and fellow employees); jargon (the special language of organizational initiates); and physical arrangements (including interior decor, dress norms, and architecture). Cultural manifestations also include values, sometimes referred to more abstractly as content themes. It is essential to distinguish values/content themes that are espoused by employees from values/content themes that are seen to be enacted in behavior. All of these cultural manifestations are interpreted, evaluated, and enacted in varying ways because cultural members have differing interests, experiences, responsibilities and values.

• See the Current DEI Report
• Supporting Data
• Research & Insights
• Share Your Thoughts
• Search Fund Primer
• Affiliated Faculty
• Faculty Advisors
• Louis W. Foster Resource Center
• Defining Social Innovation
• Impact Compass
• Global Health Innovation Insights
• Faculty Affiliates
• Student Awards & Certificates
• Changemakers
• Dean Jonathan Levin
• Dean Garth Saloner
• Dean Robert Joss
• Dean Michael Spence
• Dean Robert Jaedicke
• Dean Rene McPherson
• Dean Arjay Miller
• Dean Ernest Arbuckle
• Dean Jacob Hugh Jackson
• Dean Willard Hotchkiss
• Faculty in Memoriam
• Stanford GSB Firsts
• Class of 2024 Candidates
• Certificate & Award Recipients
• Dean’s Remarks
• Keynote Address
• Teaching Approach
• Analysis and Measurement of Impact
• The Corporate Entrepreneur: Startup in a Grown-Up Enterprise
• Data-Driven Impact
• Designing Experiments for Impact
• Digital Marketing
• The Founder’s Right Hand
• Marketing for Measurable Change
• Product Management
• Public Policy Lab: Financial Challenges Facing US Cities
• Public Policy Lab: Homelessness in California
• Lab Features
• Curricular Integration
• View From The Top
• Formation of New Ventures
• Managing Growing Enterprises
• Startup Garage
• Explore Beyond the Classroom
• Stanford Venture Studio
• Summer Program
• Workshops & Events
• The Five Lenses of Entrepreneurship
• Leadership Labs
• Executive Challenge
• Arbuckle Leadership Fellows Program
• Selection Process
• Training Schedule
• Time Commitment
• Learning Expectations
• Post-Training Opportunities
• Who Should Apply
• Introductory T-Groups
• Leadership for Society Program
• Certificate
• 2024 Awardees
• 2023 Awardees
• 2022 Awardees
• 2021 Awardees
• 2020 Awardees
• 2019 Awardees
• 2018 Awardees
• Social Management Immersion Fund
• Stanford Impact Founder Fellowships
• Stanford Impact Leader Prizes
• Social Entrepreneurship
• Stanford GSB Impact Fund
• Economic Development
• Energy & Environment
• Stanford GSB Residences
• Environmental Leadership
• Stanford GSB Artwork
• A Closer Look
• California & the Bay Area
• Voices of Stanford GSB
• Business & Beneficial Technology
• Business & Sustainability
• Business & Free Markets
• Business, Government, and Society Forum
• Second Year
• Global Experiences
• JD/MBA Joint Degree
• MA Education/MBA Joint Degree
• MD/MBA Dual Degree
• MPP/MBA Joint Degree
• MS Computer Science/MBA Joint Degree
• MS Electrical Engineering/MBA Joint Degree
• MS Environment and Resources (E-IPER)/MBA Joint Degree
• Academic Calendar
• Clubs & Activities
• LGBTQ+ Students
• Military Veterans
• Minorities & People of Color
• Partners & Families
• Students with Disabilities
• Student Support
• Residential Life
• Student Voices
• MBA Alumni Voices
• A Week in the Life
• Career Support
• Employment Outcomes
• Cost of Attendance
• Knight-Hennessy Scholars Program
• Yellow Ribbon Program
• BOLD Fellows Fund
• Application Process
• Loan Forgiveness
• Contact the Financial Aid Office
• Evaluation Criteria
• GMAT & GRE
• English Language Proficiency
• Personal Information, Activities & Awards
• Professional Experience
• Letters of Recommendation
• Optional Short Answer Questions
• Application Fee
• Reapplication
• Deferred Enrollment
• Joint & Dual Degrees
• Entering Class Profile
• Event Schedule
• Ambassadors
• New & Noteworthy
• Ask a Question
• See Why Stanford MSx
• Is MSx Right for You?
• MSx Stories
• Leadership Development
• How You Will Learn
• Admission Events
• Personal Information
• GMAT, GRE & EA
• English Proficiency Tests
• Career Change
• Career Advancement
• Daycare, Schools & Camps
• U.S. Citizens and Permanent Residents
• Requirements
• Requirements: Behavioral
• Requirements: Quantitative
• Requirements: Macro
• Requirements: Micro
• Annual Evaluations
• Field Examination
• Research Activities
• Research Papers
• Dissertation
• Oral Examination
• Current Students
• Education & CV
• International Applicants
• Statement of Purpose
• Reapplicants
• Application Fee Waiver
• Deadline & Decisions
• Job Market Candidates
• Academic Placements
• Stay in Touch
• Faculty Mentors
• Current Fellows
• Standard Track
• Fellowship & Benefits
• Group Enrollment
• Program Formats
• Developing a Program
• Diversity & Inclusion
• Strategic Transformation
• Program Experience
• Contact Client Services
• Campus Experience
• Live Online Experience
• Silicon Valley & Bay Area
• Digital Credentials
• Faculty Spotlights
• Participant Spotlights
• Eligibility
• International Participants
• Stanford Ignite
• Frequently Asked Questions
• Founding Donors
• Location Information
• Participant Profile
• Network Membership
• Program Impact
• Collaborators
• Entrepreneur Profiles
• Company Spotlights
• Seed Transformation Network
• Responsibilities
• Current Coaches
• How to Apply
• Meet the Consultants
• Meet the Interns
• Intern Profiles
• Collaborate
• Research Library
• News & Insights
• Program Contacts
• Databases & Datasets
• Research Guides
• Consultations
• Research Workshops
• Career Research
• Research Data Services
• Course Reserves
• Course Research Guides
• Material Loan Periods
• Fines & Other Charges
• Document Delivery
• Interlibrary Loan
• Equipment Checkout
• Print & Scan
• MBA & MSx Students
• PhD Students
• Other Stanford Students
• Faculty Assistants
• Research Assistants
• Stanford GSB Alumni
• Telling Our Story
• Staff Directory
• Site Registration
• Alumni Directory
• Alumni Email
• Privacy Settings & My Profile
• Success Stories
• The Story of Circles
• Support Women’s Circles
• Stanford Women on Boards Initiative
• Alumnae Spotlights
• Insights & Research
• Industry & Professional
• Entrepreneurial Commitment Group
• Recent Alumni
• Half-Century Club
• Fall Reunions
• Spring Reunions
• MBA 25th Reunion
• Half-Century Club Reunion
• Faculty Lectures
• Ernest C. Arbuckle Award
• Alison Elliott Exceptional Achievement Award
• ENCORE Award
• Excellence in Leadership Award
• John W. Gardner Volunteer Leadership Award
• Robert K. Jaedicke Faculty Award
• Jack McDonald Military Service Appreciation Award
• Jerry I. Porras Latino Leadership Award
• Tapestry Award
• Student & Alumni Events
• Executive Recruiters
• Interviewing
• Land the Perfect Job with LinkedIn
• Negotiating
• Elevator Pitch
• Email Best Practices
• Resumes & Cover Letters
• Self-Assessment
• Whitney Birdwell Ball
• Margaret Brooks
• Bryn Panee Burkhart
• Margaret Chan
• Ricki Frankel
• Peter Gandolfo
• Cindy W. Greig
• Natalie Guillen
• Carly Janson
• Sloan Klein
• Sherri Appel Lassila
• Stuart Meyer
• Tanisha Parrish
• Virginia Roberson
• Philippe Taieb
• Michael Takagawa
• Terra Winston
• Johanna Wise
• Debbie Wolter
• Rebecca Zucker
• Complimentary Coaching
• Changing Careers
• Work-Life Integration
• Career Breaks
• Flexible Work
• Encore Careers
• Join a Board
• D&B Hoovers
• Data Axle (ReferenceUSA)
• EBSCO Business Source
• Global Newsstream
• Market Share Reporter
• ProQuest One Business
• RKMA Market Research Handbook Series
• Student Clubs
• Entrepreneurial Students
• Stanford GSB Trust
• Alumni Community
• How to Volunteer
• Springboard Sessions
• Consulting Projects
• 2020 – 2029
• 2010 – 2019
• 2000 – 2009
• 1990 – 1999
• 1980 – 1989
• 1970 – 1979
• 1960 – 1969
• 1950 – 1959
• 1940 – 1949
• Service Areas
• ACT History
• ACT Awards Celebration
• ACT Governance Structure
• Building Leadership for ACT
• Individual Leadership Positions
• Leadership Role Overview
• Purpose of the ACT Management Board
• Contact ACT
• Business & Nonprofit Communities
• Reunion Volunteers
• Ways to Give
• Fiscal Year Report
• Business School Fund Leadership Council
• Planned Giving Options
• Planned Giving Benefits
• Planned Gifts and Reunions
• Legacy Partners
• Giving News & Stories
• Giving Deadlines
• Development Staff
• Submit Class Notes
• Class Secretaries
• Board of Directors
• Health Care
• Sustainability
• Class Takeaways
• All Else Equal: Making Better Decisions
• If/Then: Business, Leadership, Society
• Grit & Growth
• Think Fast, Talk Smart
• Spring 2022
• Spring 2021
• Autumn 2020
• Summer 2020
• Winter 2020
• In the Media
• For Journalists
• DCI Fellows
• Other Auditors
• Academic Calendar & Deadlines
• Course Materials
• Entrepreneurial Resources
• Campus Drive Grove
• Campus Drive Lawn
• CEMEX Auditorium
• King Community Court
• Seawell Family Boardroom
• Stanford GSB Bowl
• Stanford Investors Common
• Town Square
• Vidalakis Courtyard
• Vidalakis Dining Hall
• Catering Services
• Policies & Guidelines
• Reservations
• Contact Faculty Recruiting
• Lecturer Positions
• Postdoctoral Positions
• Accommodations
• CMC-Managed Interviews
• Recruiter-Managed Interviews
• Virtual Interviews
• Campus & Virtual
• Search for Candidates
• Think Globally
• Recruiting Calendar
• Recruiting Policies
• Full-Time Employment
• Summer Employment
• Entrepreneurial Summer Program
• Global Management Immersion Experience
• Social-Purpose Summer Internships
• Process Overview
• Project Types
• Client Eligibility Criteria
• Client Screening
• ACT Leadership
• Social Innovation & Nonprofit Management Resources
• Develop Your Organization’s Talent
• Centers & Initiatives
• Student Fellowships

Workplace Dynamics

What is organizational culture and why is it important, here's how to transform your workplace culture to skyrocket performance..

Posted December 9, 2023 | Reviewed by Ray Parker

• Organizational culture is the collective mindsets and behaviors of a company.
• A positive workplace culture increases employee engagement, motivation, and retention.
• The seven strategies for creating a positive culture include celebrating achievements to boost morale.

Organizational culture is like the personality of an organization. It's about how everyone, from leaders to the newest hires, thinks and acts. It shapes how work gets done and how people treat each other.

Organizational culture includes the unwritten rules and shared beliefs that guide people's behavior. For instance, a company that values open communication might have meetings where everyone is encouraged to speak their mind, leading to better ideas and stronger performance.

Alternatively, if an organization has a culture where only the most senior employees' ideas are welcomed in meetings, it might lead to frustration and apathy for everyone else because others may feel their voice doesn't matter.

Culture: The Unique DNA of Every Organization

Culture is the underlying DNA of every organization—it's what makes employees feel connected and invested in their jobs. When a company has a strong, positive culture, it can foster greater engagement, which means people care more about their work and go the extra mile. Positive cultures boost motivation , leading people to do their best and be happier in their jobs. Such feelings of connection and satisfaction can lead them to stay longer with the company, reducing turnover and building a strong, experienced team.

When a culture encourages new ideas and open-mindedness, employees are more likely to come up with the kind of breakthroughs that can change the game for a business. In such an environment, teams work better together, share more ideas, and push each other to be the best they can be, which often leads to greater success for the whole organization.

Seven Strategies for Creating Positive Organizational Cultures

There are many ways to foster a positive business culture. Managers and leaders can focus on the following:

Vision and Mission Clarity : A compelling vision and mission statement act as the psychological contract with employees, offering a clear narrative about what the company stands for and its aspirations. When a company like Google pledges to "organize the world's information," it sends a powerful message about its purpose, aligning the workforce towards a common goal. Leaders can facilitate workshops and discussions to ensure these statements resonate deeply with every team member, thereby internalizing these guiding principles.

Values in Action: Core values are the psychological pillars of an organization's culture. When the online retailer Zappos emphasizes "delivering WOW through service," it's not just a statement but a call to action that employees live by so they deliver exceptional service. Leaders can make these values tangible by embedding them into performance reviews, hiring criteria, and daily operations, ensuring they're not just words on a wall but principles that drive decision-making and behavior. It's also important that leaders themselves act in a way that's consistent with the values they want to see enacted more broadly.

Habitual Practices: The power of culture is often expressed in the small, repeated actions that become habitual. For example, Pixar's practice of holding candid "braintrust" meetings where creative ideas are dissected and debated creates an environment where innovation is routine. Leaders can create rituals or regular meetings that reinforce openness and collaboration , turning them into powerful symbols that reinforce the organization's culture.

Learning and Development: Cultures that prioritize learning communicate to employees that growth is both expected and supported. Amazon's " Career Choice" program is a testament to its investment in employee development, covering tuition for in-demand fields. Leaders can foster a culture of learning by actively investing in employee development and creating clear pathways for career advancement.

Psychological Safety: At the heart of a thriving culture is the sense of psychological safety, a term coined by Harvard University professor Amy Edmondson, which describes an environment where individuals feel comfortable expressing themselves without fear of retribution. Google, for example, found that its teams with high psychological safety were more successful than those with lower psychological safety. Leaders can cultivate this by modeling vulnerability, encouraging open dialogue, and celebrating learning from failures.

Recognition and Rewards: A culture that celebrates achievements—both big and small—can significantly boost morale and productivity . Salesforce, through its "Ohana Culture," has created a sense of community and belonging where recognition is part of the everyday experience. Leaders can implement recognition programs that allow peers to acknowledge each other's contributions, making recognition a regular part of the organizational rhythm.

Agility and Resilience : The most adaptable cultures are those that embrace change. Leaders can promote agility by encouraging a mindset of continuous learning and by designing systems that are flexible and responsive to feedback, ensuring the organization can navigate and thrive amidst disruptive change.

Creating a High-Performance Culture

Creating a culture that promotes high performance requires a deep psychological understanding of human behavior within a business context. By carefully crafting and nurturing the elements that constitute culture, leaders can foster an environment that not only drives innovation and high performance but also leads to a sense of purpose and belonging among its members. Building a cohesive community focused on achieving purposeful goals is a critical imperative for making organizations and the world a better place.

https://www.nytimes.com/2016/02/28/magazine/what-google-learned-from-it…

Edmondson, Amy and Lei, Zhike (2014). Psychological Safety: The History, Renaissance, and Future of an Interpersonal Construct, Annual Review of Organizational Psychology and Organizational Behavior, Vol. 1:23-43.

Kaplan, S. (2017). The invisible advantage: How to create a culture of innovation . Greenleaf Book Group Press.

Soren Kaplan, Ph.D. , is an author, keynote speaker, leadership development consultant, and affiliate at the Center for Effective Organizations at the University of Southern California.

• Find a Therapist
• Find a Treatment Center
• Find a Psychiatrist
• Find a Support Group
• Find Online Therapy
• United States
• Brooklyn, NY
• Chicago, IL
• Houston, TX
• Los Angeles, CA
• New York, NY
• Portland, OR
• San Diego, CA
• San Francisco, CA
• Seattle, WA
• Washington, DC
• Asperger's
• Bipolar Disorder
• Chronic Pain
• Eating Disorders
• Passive Aggression
• Personality
• Goal Setting
• Positive Psychology
• Stopping Smoking
• Low Sexual Desire
• Relationships
• Child Development
• Self Tests NEW
• Therapy Center
• Diagnosis Dictionary
• Types of Therapy

Sticking up for yourself is no easy task. But there are concrete skills you can use to hone your assertiveness and advocate for yourself.

• Emotional Intelligence
• Gaslighting
• Affective Forecasting
• Neuroscience

• Business Essentials
• Leadership & Management
• Credential of Leadership, Impact, and Management in Business (CLIMB)
• Entrepreneurship & Innovation
• Digital Transformation
• Finance & Accounting
• Business in Society
• For Organizations
• Support Portal
• Media Coverage
• Founding Donors
• Leadership Team

• Harvard Business School →
• HBS Online →
• Business Insights →

Business Insights

Harvard Business School Online's Business Insights Blog provides the career insights you need to achieve your goals and gain confidence in your business skills.

• Career Development
• Communication
• Decision-Making
• Earning Your MBA
• Negotiation
• News & Events
• Productivity
• Staff Spotlight
• Student Profiles
• Work-Life Balance
• AI Essentials for Business
• Alternative Investments
• Business Analytics
• Business Strategy
• Business and Climate Change
• Creating Brand Value
• Design Thinking and Innovation
• Digital Marketing Strategy
• Disruptive Strategy
• Economics for Managers
• Entrepreneurship Essentials
• Financial Accounting
• Global Business
• Launching Tech Ventures
• Leadership Principles
• Leadership, Ethics, and Corporate Accountability
• Leading Change and Organizational Renewal
• Leading with Finance
• Management Essentials
• Negotiation Mastery
• Organizational Leadership
• Power and Influence for Positive Impact
• Strategy Execution
• Sustainable Business Strategy
• Sustainable Investing
• Winning with Digital Platforms

How Does Leadership Influence Organizational Culture?

• 02 Mar 2023

Organizational culture is a powerful driver of success. Yet it’s difficult to quantify and track, making it an intimidating but necessary challenge leaders must face.

How can you, as an organizational leader, shape a strong culture? Before exploring how, here’s a primer on organizational culture and why it matters.

What Is Organizational Culture, and Why Is It Important?

Organizational culture is the collection of values, beliefs, assumptions, and norms that guide activity and mindset in an organization.

Culture impacts every facet of a business, including:

• The way employees speak to each other
• The norms surrounding work-life balance
• The implied expectations when challenges arise
• How each employee feels about their work
• The permissibility of making mistakes
• How each team and department collaborate

Having a strong culture pays off financially: It can impact employees’ motivation, which, in turn, influences their work’s quality and efficiency, ability to reach goals, and retention rates. Having a culture that fosters innovation can also pay off in the form of new product ideas and creative solutions to problems .

It’s not possible to opt out of having an organizational culture—if you don’t put effort into crafting it, a negative one can emerge. If you’re an organizational leader —especially at a large company—you can’t directly speak to every employee, so you must influence culture from a high level.

Here are three ways you can influence organizational culture, the importance of effective communication, and how to build your skills.

Access your free e-book today.

How Do Leaders Influence Organizational Culture?

1. ensuring alignment on mission, purpose, and vision.

One way you can influence your organization’s culture is by ensuring everyone’s aligned on its mission, purpose, and vision.

Think of this communication as laying the foundation for culture. What customer need does your company fulfill? How does it make a positive impact? What’s its vision for the future, and what strategies are in place for getting there?

Additionally, ensure every employee understands how their daily work contributes to your organization’s success. According to a Salesforce report , more than 70 percent of U.S. employees say connecting to their company's culture and values motivates them to do their best work.

“Leading at scale and scope requires you to treat communication as a tool to reach out to people, captivate heads, and move hearts, so those you’re leading understand your actions and goals,” says Harvard Business School Professor Joshua Margolis in the online course Organizational Leadership . “And, perhaps more importantly, so they understand where they fit and why their work matters.”

2. Inspiring Confidence in the Face of Challenges

The way you react in times of tumult can powerfully impact culture. How do you pivot your company’s goals? Do you visibly panic, keep everything under wraps, or communicate with thoughtful transparency? Your reaction sets the tone for your team.

One example of a strong leader who crafted culture during crisis is explorer Ernest Shackleton. Shackleton’s original mission was to traverse Antarctica. But when his ship, the Endurance, was trapped and crushed by icebergs, it suddenly became irrelevant. The new mission was to get his team of 28 men home alive. One important part of doing so was managing the team’s culture.

“Critical to accomplishing his mission, he had to convince the crew that, individually and collectively, they can do it,” says HBS Professor Nancy Koehn in a sample business lesson on resilient leadership . “That they, under his leadership, are going to do that.”

Shackleton not only focused on increasing morale but on containing any doubts in the group. He asked the few men uncertain of success to sleep in his tent to influence their morale and keep them from spreading skepticism to the rest of the crew. His efforts paid off, and he led his team to safety.

Although not every challenge is a life-or-death situation like Shackleton’s, you can influence culture by letting your employees know their safety and well-being are a priority and that you’re confident in their ability to endure crises .

Related: How to Become a More Resilient Leader

3. Leveraging Mistakes as a Source of Learning

If you want to foster an innovative organizational culture, embracing and learning from mistakes is crucial.

“You can’t wave a wand, dictate to people that they need to be more creative, and wake up the next day to find people taking risks and trying new things,” says HBS Professor Anthony Mayo in Organizational Leadership .

If you chastise or punish employees for making mistakes, they’re far less likely to try new ideas. To unlock innovation’s potential, make it clear that experimentation is something to celebrate—regardless of its outcome. If an experiment fails, frame it as a chance to learn what worked and what didn’t.

If encouraging experimentation and failure feels too risky for your core business, designate a space or team specifically for testing innovative ideas.

The Importance of Communication in Shaping Organizational Culture

While each organization’s culture is unique, the common thread between strong ones is effective leadership communication .

When seeking alignment, inspiring confidence, and fostering innovation, how you choose to communicate determines whether your messages have their intended impacts.

In Organizational Leadership, Margolis and Mayo present five dimensions of communicating organizational direction , which you can use to shape culture, too:

• Know your audience: Have a firm understanding of your audience’s perspective. What information do they already know? What questions or concerns do they have? What factors matter most to them?
• Cater the content: Based on your audience, craft your message’s content to align with what they want and need to learn.
• Align on purpose: Determine your communication’s purpose. Is it to inform, meant to solicit input, gain approval, or motivate your audience?
• Design the process: Logistically, decide how you’ll deliver your message. Consider timing, frequency, channel, and who’s responsible.
• Compassion: Do you show your audience you care about their perspectives?
• Clarity: Do you communicate clearly to those unfamiliar with the message?
• Conciseness: Is the message short enough to internalize?
• Connection: Do you emotionally connect with your audience?
• Conviction: Do you demonstrate your commitment to the good of your organization?
• Courage: Do you demonstrate confidence in your ability to lead through uncertainty?

For example, consider how you might communicate mass layoffs to affected employees. How would your organizational culture be impacted if you sent a generic email to them rather than delivering the news face-to-face?

What about messaging the employees who aren’t being laid off? If you communicate the reasons for the decision and show empathy toward those impacted, you can build a culture of trust—which will be crucial to maintain with your remaining employees.

Every communication you deliver can shape organizational culture; it’s up to you to decide how to use it.

Building Your Leadership Skills

While shaping organizational culture can be challenging, all leaders face it. If you aim to build your leadership skills in this area, search for courses that include real-world examples.

In Organizational Leadership , you’re presented with real-world business cases —featuring leaders from companies including General Mills, McAfee, Medtronic, and Levi Strauss & Company—and prompted to consider how to handle each situation. Afterward, you discover how each leader approached challenges, gaining insights and perspectives you can apply to your organization.

By learning from others, communicating effectively, and making purposeful choices, you can leverage your leadership skills to shape organizational culture.

Are you interested in elevating your leadership skills? Explore Organizational Leadership —one of our online leadership and management courses —and learn how to communicate direction and lead at scale.

About the Author

Essay Service Examples Business Organizational Culture

Organizational Culture Essay

A Critical Approach towards an Integrative Dynamic Framework for Understanding and Managing Organizational Culture Change

• Proper editing and formatting
• Free revision, title page, and bibliography
• Flexible prices and money-back guarantee

• Intentionally develop a transparent, clear, friendly, genuine, effective, and consistent communication strategy at all levels of the organization about performance enhancement and the role of culture. For example, scheduling regular sessions during which two-way communication is encouraged, plans are clarified, rumors are exposed and resolved, and answer questions are dealt with.
• Introduce policies that will build and enhance motivation and participation throughout the organizational culture change process. Participatory approach centered on flexibility and adaptability would trigger unwavering buy-in at all levels of the organization.
• Recognizing the importance of a defined culture on employees’ sociability and solidarity, and how it affects their performance bearing in mind that employees are the core asset of any organization. As such care, sensitivity and diplomacy should be practiced in good faith and beyond a reasonable doubt.
• The importance of considering the fit or match between strategic initiatives and organizational culture when it comes to determining how to embed a culture that produces a competitive advantage.
• That any organizational culture requires continuous monitoring and assessment to ensure effective management. This should be consistent with the design and implementation tools of the intended organizational culture change and management.
• A Framework for Achieving Organizational Culture Change ... (n.d.). Retrieved from https://journals.tdl.org/llm/index.php/llm/article/viewFile/7216/6408
• A Process Model of Organizational Change in Cultural Context. (n.d.). Retrieved from https://www.scribd.com/document/209972652/A-Process-Model-of-Organizational-Change-in-Cultural-ContextHartnell,
• C. A., Ou, A. Y., & Kinicki, A. J. (1970, January 01). Organizational culture and organizational effectiveness: A meta-analytic investigation of the competing values framework's theoretical suppositions. - Semantic Scholar. Retrieved from https://www.semanticscholar.org/paper/Organizational-culture-and-organizational-Hartnell-Ou/0d6f960dd2dd653aaaeab9ade231795832519587Kz5016b.
• (n.d.). Hatch1993.pdf - The Dynamics of Organizational Culture... Retrieved from https://www.coursehero.com/file/29816418/Hatch1993pdf/
• Managing Cultural Change in a Corporation - Nano Tools for Leaders. (n.d.). Retrieved from https://executiveeducation.wharton.upenn.edu/thought-leadership/wharton-at-work/2014/09/managing-culture-change/
• Organizational culture and change management practice in ... (n.d.). Retrieved from http://erepository.uonbi.ac.ke/bitstream/handle/11295/75848/Wanjohi_Organisational culture and change management practice in the Kenyan media industry.pdf?sequence=4&isAllowed=y
• Organizational culture: The case Turkish construction of ... (n.d.). Retrieved from https://www.researchgate.net/profile/Heyecan_Giritli/publication/235298321_Organizational_culture_The_case_of_Turkish_construction_industry/links/0deec52273369335da000000.pdf
• ReadingLists. (n.d.). Retrieved from https://anglia.rl.talis.com/items/93DE3759-29C1-43A2-34AF-04B13E116A34.html
• The role of transformational leadership in enhancing organizational innovation: Hypotheses and some preliminary findings. (2003, October 13). Retrieved from https://www.sciencedirect.com/science/article/pii/S104898430300050X
• Umuteme, O. (n.d.). EXPLORING THE IMPORTANCE OF AN INTEGRATIVE APPROACH IN ANTICIPATING AND MANAGING ORGANISATIONAL CULTURE. Retrieved from http://www.academia.edu/36273387/EXPLORING_THE_IMPORTANCE_OF_AN_INTEGRATIVE_APPROACH_IN_ANTICIPATING_AND_MANAGING_ORGANISATIONAL_CULTURE

Our writers will provide you with an essay sample written from scratch: any topic, any deadline, any instructions.

Cite this paper

Related essay topics.

Get your paper done in as fast as 3 hours, 24/7.

Related articles

Most popular essays

• Organizational Culture

“IF YOU GET THE CULTURE RIGHT, MOST OF THE OTHER STUFF WILL JUST TAKE CARE OF ITSELF” is a much...

• Corporate Culture

Google, LLC is an American global innovation organization that spends significant time in...

• Ethical Dilemma

A Toxic leadership triangle includes the three aspects of the management which are the leaders who...

• Discrimination

Since the beginning of civilized society, Humans have dealt with built-in prejudice and racism...

In todays society it is difficult to find a business you truly want to work with. There are so...

• Hospitality

The term organization has always been tied-up with three analogies that are anthropomorphic,...

A culture emphasizes significant role in the organizations. In Schein’s culture triangle, there...

According to Jeff Bezos, he said that every meeting should be small enough that attenders can fed...

It all began in Seattle as apart of a hippie culture in 1971. A decade later Howard Schultz was...

Join our 150k of happy users

• Get original paper written according to your instructions
• Save time for what matters most

Fair Use Policy

EduBirdie considers academic integrity to be the essential part of the learning process and does not support any violation of the academic standards. Should you have any questions regarding our Fair Use Policy or become aware of any violations, please do not hesitate to contact us via [email protected].

We are here 24/7 to write your paper in as fast as 3 hours.

Provide your email, and we'll send you this sample!

By providing your email, you agree to our Terms & Conditions and Privacy Policy .

Say goodbye to copy-pasting!

Get custom-crafted papers for you.

Enter your email, and we'll promptly send you the full essay. No need to copy piece by piece. It's in your inbox!

• Undergraduate
• High School
• Architecture
• American History
• Asian History
• Antique Literature
• American Literature
• Asian Literature
• Classic English Literature
• World Literature
• Creative Writing
• Linguistics
• Criminal Justice
• Legal Issues
• Anthropology
• Archaeology
• Political Science
• World Affairs
• African-American Studies
• East European Studies
• Latin-American Studies
• Native-American Studies
• West European Studies
• Family and Consumer Science
• Social Issues
• Women and Gender Studies
• Social Work
• Natural Sciences
• Pharmacology
• Earth science
• Agriculture
• Agricultural Studies
• Computer Science
• IT Management
• Mathematics
• Investments
• Engineering and Technology
• Engineering
• Aeronautics
• Medicine and Health
• Alternative Medicine
• Communications and Media
• Advertising
• Communication Strategies
• Public Relations
• Educational Theories
• Teacher's Career
• Chicago/Turabian
• Company Analysis
• Education Theories
• Shakespeare
• Canadian Studies
• Food Safety
• Relation of Global Warming and Extreme Weather Condition
• Movie Review
• Admission Essay
• Annotated Bibliography
• Application Essay

Article Critique

• Article Review
• Article Writing
• Book Review
• Business Plan
• Business Proposal
• Capstone Project
• Cover Letter
• Creative Essay
• Dissertation
• Dissertation - Abstract
• Dissertation - Conclusion
• Dissertation - Discussion
• Dissertation - Hypothesis
• Dissertation - Introduction
• Dissertation - Literature
• Dissertation - Methodology
• Dissertation - Results
• GCSE Coursework
• Grant Proposal
• Marketing Plan
• Multiple Choice Quiz
• Personal Statement
• Power Point Presentation
• Power Point Presentation With Speaker Notes
• Questionnaire
• Reaction Paper

Research Paper

• Research Proposal
• SWOT analysis
• Thesis Paper
• Online Quiz
• Literature Review
• Movie Analysis
• Statistics problem
• Math Problem
• All papers examples
• How It Works
• Money Back Policy
• Terms of Use
• Privacy Policy
• We Are Hiring

Organizational Culture, Essay Example

Pages: 1

Words: 269

Hire a Writer for Custom Essay

Use 10% Off Discount: "custom10" in 1 Click 👇

You are free to use it as an inspiration or a source for your own work.

Organizational culture is a crucial aspect in any organization and helps in guiding and explaining the behavior of top management and employees of the organization. Good quality culture helps the company to run its operations smoothly by facilitating appropriate communications and interactions within the organization.

It is essential to have consistency in the quality culture developed and adapted by the company. Consistency helps to reduce the possibility of having double standards, which undermines the values of the organization. Consistency also assists as the reference point for the regular, organizational operations and sets a required standard.  The organizational culture must have a relationship with the vision and the mission of the company.  The quality culture should not manipulate the employees, but act to develop a proper attitude towards productivity.

Quality organizational culture must empower the employees towards exploration of their creativity and; therefore, must give them an opportunity to be autonomous as long as they stay within the stipulated guileless. Empowerment leads t organizational success through the use of positive changes within the organization. A quality organizational culture must also incorporate the aspect of respect between all the players in the organization. Respect is essential in the communication between the organizations employees and management. Understanding of one another in the organization assists in the alignment of the values of the organization.

Another element necessary in the development of a strong quality culture is the development and learning. The people involved in the operations of the organization should be developed by the culture adopted by the company. The process should not chastise mistakes unnecessarily but strive to provide a learning environment to facilitate productivity.

Stuck with your Essay?

Get in touch with one of our experts for instant help!

How to Assess a Student, Research Paper Example

Affiliated-Individuation in Caregivers of Adults With Dementia, Article Critique Example

Time is precious

don’t waste it!

Plagiarism-free guarantee

Privacy guarantee

Secure checkout

Money back guarantee

Related Essay Samples & Examples

Voting as a civic responsibility, essay example.

Words: 287

Utilitarianism and Its Applications, Essay Example

Words: 356

The Age-Related Changes of the Older Person, Essay Example

Pages: 2

Words: 448

The Problems ESOL Teachers Face, Essay Example

Pages: 8

Words: 2293

Should English Be the Primary Language? Essay Example

Pages: 4

Words: 999

The Term “Social Construction of Reality”, Essay Example

Words: 371

ORGANIZATIONAL CULTURE

• January 2022
• In book: Industrial Sociology, Industrial Relations and Human Resource Management (pp.284-292)
• Publisher: Fab Educational Books

• Landmark University

Discover the world's research

• 25+ million members
• 160+ million publication pages
• 2.3+ billion citations
• Gazmend Abrashi

• Teguh Widodo
• Sufarddin Bin Hasaruddin

• Ayesha Rashid Khan
• Lalarukh Shabbir

• Lisa M. Bradley

• E. H. Schein
• LONG RANGE PLANN

• Terrence E. Deal

• Charles Handy
• Recruit researchers
• Join for free
• Login Email Tip: Most researchers use their institutional email address as their ResearchGate login Password Forgot password? Keep me logged in Log in or Continue with Google Welcome back! Please log in. Email · Hint Tip: Most researchers use their institutional email address as their ResearchGate login Password Forgot password? Keep me logged in Log in or Continue with Google No account? Sign up

Organizational Culture Essays

Distinct leadership approaches, lifestyle modifications among teenagers with obesity, global hr acquisition plan, a comprehensive guide to digital transformation for bluebretts company, transformational leadership in aviation, analyzing and addressing performance gaps at greentech energy, project portfolio final summation, the importance of identifying and managing workplace stressors, exploring samsung’s organizational structure: challenges, benefits, and adaptations, empowering every team member to lead, organizational culture at apple inc, organization display rules, how management and organization theory enables us to examine, critique and interrogate the structures and practices of a real-life organization, the impact of organizational culture and leadership on workplace dynamics, diversity training and its impact on human resources, popular essay topics.

• American Dream
• Artificial Intelligence
• Black Lives Matter
• Bullying Essay
• Career Goals Essay
• Causes of the Civil War
• Child Abusing
• Civil Rights Movement
• Community Service
• Cultural Identity
• Cyber Bullying
• Death Penalty
• Depression Essay
• Domestic Violence
• Freedom of Speech
• Global Warming
• Gun Control
• Human Trafficking
• I Believe Essay
• Immigration
• Importance of Education
• Israel and Palestine Conflict
• Leadership Essay
• Legalizing Marijuanas
• Mental Health
• National Honor Society
• Police Brutality
• Pollution Essay
• Racism Essay
• Romeo and Juliet
• Same Sex Marriages
• Social Media
• The Great Gatsby
• The Yellow Wallpaper
• Time Management
• To Kill a Mockingbird
• Violent Video Games
• What Makes You Unique
• Why I Want to Be a Nurse
• Send us an e-mail

• Book a Speaker

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Vivamus convallis sem tellus, vitae egestas felis vestibule ut.

Error message details.

Reuse Permissions

Request permission to republish or redistribute SHRM content and materials.

How to Build a Strong Organizational Culture

Learn practical approaches to developing a strong organizational culture that enhances collaboration, employee satisfaction, and business performance.

The key to a successful organization is to have a culture based on a strongly held and widely shared set of beliefs that are supported by strategy and structure. When an organization has a strong culture, three things happen: Employees know how top management wants them to respond to any situation, employees believe that the expected response is the proper one, and employees know that they will be rewarded for demonstrating the organization's values.

Overview Background Business Case What Is Organizational Culture? Factors That Shape an Organization's Culture Creating and Managing Organizational Culture Practices to Develop Culture Communications Metrics Legal Issues Global Issues

Employers have a vital role in perpetuating a strong culture, starting with recruiting and selecting applicants who will share the organization's beliefs and thrive in that culture, developing orientation, training and performance management programs that outline and reinforce the organization's core values and ensuring that appropriate rewards and recognition go to employees who truly embody the values.

This toolkit covers the following topics:

• The importance of having a strong organizational culture.
• The employer's role in fostering a high-performance culture.
• Definitions of organizational culture.
• Factors that shape an organization's culture.
• Considerations in creating and managing organizational culture.
• Practices to ensure the continuity and success of an organization's culture.
• Communications, metrics, legal, technology and global issues pertaining to organizational culture.

An organization's culture defines the proper way to behave within the organization. This culture consists of shared beliefs and values established by leaders and then communicated and reinforced through various methods, ultimately shaping employee perceptions, behaviors and understanding. Organizational culture sets the context for everything an enterprise does. Because industries and situations vary significantly, there is not a one-size-fits-all culture template that meets the needs of all organizations.

A strong culture is a common denominator among the most successful companies. All have consensus at the top regarding cultural priorities, and those values focus not on individuals but on the organization and its goals. Leaders in successful companies live their cultures every day and go out of their way to communicate their cultural identities to employees as well as prospective new hires. They are clear about their values and how those values define their organizations and determine how the organizations run. See  What does it mean to be a values-based organization?

Conversely, an ineffective culture can bring down the organization and its leadership. Disengaged employees, high turnover, poor customer relations and lower profits are examples of how the wrong culture can negatively impact the bottom line. See  Toxic Culture Top Reason People Quit .

Mergers and acquisitions are fraught with culture issues. Even organizational cultures that have worked well may develop into a dysfunctional culture after a merger. Research has shown that two out of three mergers fail because of cultural problems. Blending and redefining the cultures, and reconciling the differences between them, build a common platform for the future. In recent years, the fast pace of mergers and acquisitions has changed the way businesses now meld. The focus in mergers has shifted away from blending cultures and has moved toward meeting specific business objectives. Some experts believe that if the right business plan and agenda are in place during a merger, a strong corporate culture will develop naturally. See  Managing Organizational Change and Managing Human Resources in Mergers and Acquisitions.

Business Case

If an organization's culture is going to improve the organization's overall performance, the culture must provide a strategic competitive advantage, and beliefs and values must be widely shared and firmly upheld. A strong culture can bring benefits such as enhanced trust and cooperation, fewer disagreements and more-efficient decision-making.

Culture also provides an informal control mechanism, a strong sense of identification with the organization and shared understanding among employees about what is important. Employees whose organizations have strongly defined cultures can also justify their behaviors at work because those behaviors fit the culture. See  Toxic Workplace Cultures Hurt Workers and Company Profits .

Company leaders play an instrumental role in shaping and sustaining organizational culture. If the executives themselves do not fit into an organization's culture, they often fail in their jobs or quit due to poor fit. Consequently, when organizations hire C-suite executives, these individuals should have both the requisite skills and the ability to fit into the company culture.

See  SHRM Inclusive Workplace Culture Specialty Credential

What Is Organizational Culture?

An employer must begin with a thorough understanding of what culture is in a general sense and what their organization's specific culture is. At the deepest level, an organization's culture is based on values derived from basic assumptions about the following:

• Human nature. Are people inherently good or bad, mutable or immutable, proactive or reactive? These basic assumptions lead to beliefs about how employees, customers and suppliers should interact and how they should be managed.
• The organization's relationship to its environment. How does the organization define its business and its constituencies?
• Appropriate emotions. Which emotions should people be encouraged to express, and which ones should be suppressed?
• Effectiveness. What metrics show whether the organization and its individual components are doing well? An organization will be effective only when the culture is supported by an appropriate business strategy and a structure that is appropriate for both the business and the desired culture.

Culture is a nebulous concept and is often an undefined aspect of an organization. Although extensive academic literature exists relating to the topic of organizational culture, there is no generally accepted definition of culture. Instead, the literature expresses many different views as to what organizational culture is.

Organizational culture can manifest itself in a variety of ways, including leadership behaviors, communication styles, internally distributed messages and corporate celebrations. Given that culture comprises so many elements, it is not surprising that terms for describing specific cultures vary widely. Some commonly used terms for describing cultures include aggressive, customer-focused, innovative, fun, ethical, research-driven, technology-driven, process-oriented, hierarchical, family-friendly and risk-taking. See  6 Ways to Become a More Empathetic Organization .

Because culture is difficult to define, organizations may have trouble maintaining consistency in their messages about culture. Employees may also find it difficult to identify and communicate about perceived cultural inconsistencies. See  Defining Organizational Culture and Culture Conversation Starters .

Factors That Shape an Organization's Culture

Organizational leaders often speak about the unusual natures of their company cultures, seeing their domains as special places to work. But organizations such as Disney and Nordstrom, which are well-known for their unique cultures, are rare.

Most company cultures are not that different from one another. Even organizations in disparate industries such as manufacturing and health care tend to share a common core of cultural values. For example, most private-sector companies want to grow and increase revenues. Most strive to be team-oriented and to demonstrate concern for others. Most are driven, rather than relaxed, because they are competing for dollars and market share. Some of the cultural characteristics that distinguish most organizations include the following.

At the heart of organizations' cultures are commonly shared values. None is right or wrong, but organizations need to decide which values they will emphasize. These common values include:

• Outcome orientation. Emphasizing achievements and results.
• People orientation. Insisting on fairness, tolerance and respect for the individual.
• Team orientation. Emphasizing and rewarding collaboration.
• Attention to detail. Valuing precision and approaching situations and problems analytically.
• Stability. Providing security and following a predictable course.
• Innovation. Encouraging experimentation and risk-taking.
• Aggressiveness. Stimulating a fiercely competitive spirit.

Degree of hierarchy

The degree of hierarchy is the extent to which the organization values traditional channels of authority. The three distinct levels of hierarchy are "high"—having a well-defined organizational structure and an expectation that people will work through official channels; "moderate"—having a defined structure but an acceptance that people often work outside formal channels; and "low" —having loosely defined job descriptions and accepting that people challenge authority.

An organization with a high level of hierarchy tends to be more formal and moves more slowly than an organization with a low level of hierarchy.

Degree of urgency

The degree of urgency defines how quickly the organization wants or needs to drive decision-making and innovation. Some organizations choose their degree of urgency, but others have it thrust on them by the marketplace.

A culture with high levels of urgency has a need to push projects through quickly and a high need to respond to a changing marketplace. A moderate level of urgency moves projects at a reasonable pace. A low level of urgency means people work slowly and consistently, valuing quality over efficiency. An organization with high urgency tends to be fast-paced and supports a decisive management style. An organization with low urgency tends to be more methodical and supports a more considered management style.

People orientation or task orientation

Organizations usually have a dominant way of valuing people and tasks. An organization with a strong people orientation tends to put people first when making decisions and believes that people drive the organization's performance and productivity. An organization with a strong task orientation tends to put tasks and processes first when making decisions and believes that efficiency and quality drive organization performance and productivity.

Some organizations may get to choose their people and task orientations. But others may have to fit their orientation to the nature of their industry, historical issues or operational processes.

Functional orientation

Every organization puts an emphasis on certain functional areas. Examples of functional orientations may include marketing, operations, research and development, engineering or service. For example, an innovative organization known for its research and development may have at its core a functional orientation toward R&D. A hospitality company may focus on operations or service, depending on its historical choices and its definition in the marketplace.

Employees from different functions in the company may think that their functional areas are the ones that drive the organization. Organizational leaders must understand what most employees perceive to be the company's functional orientation. 

Organizational subcultures

Any organization can have a mix of subcultures in addition to the dominant culture. Subcultures exist among groups or individuals who may have their own rituals and traditions that, although not shared by the rest of the organization, can deepen and underscore the organization's core values. Subcultures can also cause serious problems.

For example, regional cultures often differ from the overall culture that top leadership tries to instill. Perhaps aggressiveness that is common in one area may not mesh with a culture emphasizing team building. Or an organization with a culture built around equality may have trouble if the national culture emphasizes hierarchy and expects people to bow to authority. Employers must recognize those differences and address them directly.

Creating and Managing Organizational Culture

An organizational culture tends to emerge over time, shaped by the organization's leadership and by actions and values perceived to have contributed to earlier successes. A company culture can be managed through the cultural awareness of organizational leaders and management. Managing a culture takes focused efforts to sustain elements of the culture that support organizational effectiveness. See  Addressing the Six Sources of Workplace Cultural Conflicts .

How culture develops

An organization's customs, traditions, rituals, behavioral norms, symbols and general way of doing things are the visible manifestation of its culture; they are what one sees when walking into the organization. The current organizational culture is usually due to factors that have worked well for the organization in the past. See  How to Create a Culture of Civility .

Founders typically have a significant impact on an organization's early culture. Over time, behavioral norms develop that are consistent with the organization's values. For example, in some organizations, resolution of conflicts is hashed out openly and noisily to create widespread consensus, whereas in other places disputes are settled hierarchically and quietly behind closed doors.

Though culture emerges naturally in most organizations, strong cultures often begin with a process called "values blueprinting," which involves a candid conversation with leaders from across the organization. Once the culture is framed, an organization may establish a values committee that has a direct link to leadership. This group makes sure the desired culture is alive and well. For values blueprinting to work, organizations must first hire people who live the values and have the competency needed to perform the job.

Sustaining a culture

The management of organizational culture starts with identifying a company's organizational culture traits or "artifacts." Artifacts are the core business activities, processes and philosophies that characterize how an organization does business day-to-day.

Identifying these traits—and assessing their importance in light of current business objectives—is a way to start managing culture. Three broad concepts help identify the traits specific to a culture:

• Social culture. This refers to group members' roles and responsibilities. It is the study of class distinctions and the distribution of power that exists in any group.
• Material culture. This involves examining everything that people in a group make or achieve and the ways people work with and support one another in exchanging required goods and services.
• Ideological culture. This is tied to a group's values, beliefs and ideals—the things people view as fundamental. It includes the emotional and intellectual guidelines that govern people's daily existence and interactions.

Leaders and managers within an organization should approach culture management by initially gaining an understanding of the common traits found in all businesses. Then, they should take the following steps to manage their organization's culture:

• Identify common artifacts or traits, including those from the standpoint of an organization's social, material and ideological culture.
• Convene groups of employees—representatives from all levels, functions and locations of the organization—to assess the validity, significance and currency of key artifacts.
• Subject those traits to a rigorous assessment of their underlying shared assumptions, values and beliefs.
• Summarize findings and share them with all participants to solicit additional insights.
• Create a culture management action plan. The plan should enhance traits that support corporate growth or organizational effectiveness and correct traits that might hinder a company's advancement.

Typically, shared assumptions and beliefs originate with an organization's founders and leaders. Because those beliefs proved successful (otherwise the company would not exist and the leaders would not be in their positions), often they go unchallenged; however, those assumptions and beliefs might be outdated and may hinder future success. See 6 Steps for Building an Inclusive Workplace and The Relationship Between Culture and DE&I .

Practices to Develop Culture

When an organization does a good job assessing its culture, it can then go on to establish policies, programs and strategies that support and strengthen its core purpose and values. In aligned organizations, the same core characteristics or beliefs motivate and unite everyone, cascading down from the C-suite to individual contributors.

There are many tools for developing and sustaining a high-performance organizational culture, including hiring practices, onboarding efforts, recognition programs and performance management programs. The biggest challenge is deciding how to use these tools and how to allocate resources appropriately.

Hiring practices

Effective hiring practices can help an organization capitalize on its culture. Traditionally, hiring focuses primarily on an applicant's skills, but when a hire's personality also fits with the organization's culture, the employee will be more likely to deliver superior performance.

On the other hand, ill-fitting hires and subsequent rapid departures cost approximately 50 percent to 150 percent of the position's annual salary. Unfortunately, nearly one in three newly hired employees' leaves voluntarily or involuntarily within a year of hiring, and this number has been increasing steadily in recent years.

Some hiring practices to ensure cultural fit include:

• Looking at each piece of the organization's vision, mission and values statements.  Interview questions  should hone in on behaviors that complement these areas. For example, if the organization works with a lot of intensity, then job applicants should display that natural intensity to be considered for hire.
• Conducting a cultural fit interview. Ask questions that elicit comments about organizational values such as honesty or integrity. If a candidate's description of the worst place he or she ever worked sounds just like the organization where he or she is interviewing, the candidate probably will not be successful.
• Leaving discussion of company culture for later. Do not tell candidates about culture up front. First, listen to what they have to say about their experiences and beliefs. This tactic will reveal more candid responses to help determine whether they are a fit for the organization.
• Making sure at least three people are involved in the hiring process. Different people will see and hear different things. These varied perspectives give a clearer understanding of the person being considered for hire.

Searching for employees who will fit in seamlessly can have drawbacks. The biggest mistake an organization can make is to paint an inaccurate picture of itself as it tries to attract candidates. If new hires discover they have been sold a bill of goods, they will not be happy; they will probably not stick around, and, while they are around, morale will decline.

Another possible drawback is that people are more reluctant to take negative actions against people like themselves. As a result, mediocre workers are more likely to stay employed if they share the cultural values. Similarly, although an organization's comfort level is palpable when the culture is aligned, experts say, too much comfort can result in groupthink and complacency.

Onboarding programs

The best  employee onboarding  process teaches newcomers the employer's value system, norms and desired organizational behaviors. Employers must help newcomers become part of social networks in the organization and make sure that they have early job experiences that reinforce the culture.

Reward and recognition programs

These programs are key mechanisms employers can use to motivate employees to act in accordance with the organization's culture and values. For example, if teamwork is a core value, bonuses should value teamwork and not be based on individual performance. Employers should also put the spotlight on those who personify the company's values. See  Employee Recognition Tech Must Align with Company Culture .

Performance management programs

Employees who share values and aspirations tend to outperform those in environments that lack cohesiveness and common purposes. Performance management programs can greatly affect corporate culture by clearly outlining what is expected from employees as well as by providing a feedback tool that informs employees about proper behavior. See  Performance Management That Makes a Difference: An Evidence-Based Approach .

Communications

Conflicting messages regarding corporate culture may create distrust and cynicism, which can prompt, or help employees justify, actions as deleterious as embezzlement. Experts say that cultural inconsistencies may also cause workers to grow discouraged, to believe management is disingenuous, to doubt statements from higher-ups and to be less inclined to give their best effort.

Organizations may be investing significant time and money in creating a culture but may not be reaping the commensurate rewards—especially if executives, supervisors and rank-and-file employees have differing perceptions of the company's culture. Employers must therefore ensure that the organization clearly and consistently communicates its culture to all employees. See  HR's Role in Creating a Culture of High Trust: Q&A with Richard Fagerlin.

Assessing organizational culture is a crucial step in developing sound strategies that support enterprise objectives and goals. But how do you measure something as potentially tough to describe as culture? After identifying the key dimensions of culture such as values, degree of hierarchy, and people and task orientations, performing these next steps will help organizations assess culture:

• Develop a cultural assessment instrument. This instrument should enable members of the organization to rate the organization on the key cultural dimensions, as well as on aspects of the organization not covered on the assessment.
• Administer the assessment. Survey respondents should include individuals at all levels, functions, divisions and geographical units of the organization.
• Analyze and communicate about assessment results. Leaders and managers should discuss areas of agreement and disagreement about the organization's culture.
• Conduct employee focus groups. Just because top management leaders agree on organizational culture does not mean that all employees see things that way.
• Discuss culture until consensus forms around key issues. Focus on "Who are we?" and "What makes us who we are?" Organizations that decide that where they are now is not where they want to be may need to look at moving the organization to embrace a different culture.

Cultural assessments, and other activities such as cultural audits and 360-degree feedback, may also help uncover cultural inconsistencies. Then leaders can eliminate the inconsistencies. For example, if customer service is a focus of the company's culture, evaluate how much time employees spend visiting customer sites, how much interaction they have with customers, what customer service training they receive and other indicators of a customer service focus. See  The New Analytics of Workplace Culture and Building a Data-Driven Culture Health Index .

Legal Issues

Employers that emphasize cultural fit in their recruitment and selection process can be vulnerable to discrimination claims if they are not careful. Employers should ensure that hiring practices and selection decisions based on a cultural fit rationale do not result in discriminating against any applicants who may not be "just like" the selectors.

Employers should also be aware that certain types of organizational cultures (for example, cultures that are highly paternalistic or male-dominated) may tend to perpetuate disparities in promotions, compensation and other terms of employment. Those disparities may violate anti-discrimination laws. 

Global Issues

Research suggests that national culture has a greater effect on employees than the culture of their organization. Organizational leaders should understand the national cultural values in the countries in which the organization operates to ensure that management and company practices are appropriate and will be effective in operations in those countries. National cultural differences should be considered when implementing organizational culture management initiatives in global businesses.

Managers must be able to respond to nuances in communication styles, as well as deal with different expectations that employees have of their leaders across national cultures. Not meeting those expectations may doom the global organization's chance for success in particular countries.

These issues become even more complex in global business mergers. Success in international mergers depends on the merged organization's willingness to enable people with different cultural perspectives to engage in meaningful and valuable discussions about the new business.

Helping Expatriate Employees Deal with Culture Shock

3 Steps in Aligning Culture Across the Globe

Related Articles

Why AI+HI Is Essential to Compliance

HR must always include human intelligence and oversight of AI in decision-making in hiring and firing, a legal expert said at SHRM24. She added that HR can ensure compliance by meeting the strictest AI standards, which will be in Colorado’s upcoming AI law.

A 4-Day Workweek? AI-Fueled Efficiencies Could Make It Happen

The proliferation of artificial intelligence in the workplace, and the ensuing expected increase in productivity and efficiency, could help usher in the four-day workweek, some experts predict.

How One Company Uses Digital Tools to Boost Employee Well-Being

Learn how Marsh McLennan successfully boosts staff well-being with digital tools, improving productivity and work satisfaction for more than 20,000 employees.

HR Daily Newsletter

News, trends, analysis and breaking news alerts to help HR professionals do their jobs better each business day.

Success title

Success caption

Organizational Change Management: Culture, Development and Innovation Research Paper

• To find inspiration for your paper and overcome writer’s block
• As a source of information (ensure proper referencing)
• As a template for you assignment

Executive summary

Introduction and thesis, organizational development and teams, organizational change management, organizational redesign and restructuring, culture change, strategic innovation and cross-functional teams.

Team building is very critical in organizations, because it greatly facilitates the realization of set goals and objectives. In the modern world, many organizations have restructured their human resource departments in a way that promotes team work and cooperation.

This is what has made team building activities to become synonymous with organizations that want to leverage their employees’ output for mutual success. This paper extensively covers the role of cross-functional teams, in facilitating strategic innovation of an organization.

The importance of effective teams within an organization is a well known fact, especially in current day progressive organizations, that value the critical role played by their employees in the realization of set goals and objectives. It is with this knowledge that team building activities have become synonymous with organizations, that want to leverage their employees’ output for mutual success.

In line with this, the current environment, both internal and external to the organization, calls for constant preparation for imminent changes which are essential. Cross-functional teams and their role in aiding the strategic innovation of an organization are extensively discussed in this paper.

Team building can broadly be defined as the activities that are carried out within a group of people either in a corporate set-up, in a school or institution, in sports, or any other setting that is aimed at developing the cohesiveness, unity, and most of all, the performance of the group.

The activities comprising of team building could be simulation games, simple bonding activities like games, and even retreats coordinated by team-building professionals that last for a number of days. Team building has a bigger aim of bringing together people, to improve positive communication, leadership building, self development of members of the team, and even improve the ability to solve problems as a team (Beitler, 2005).

In efforts to develop the organization and its people to better meet its objectives and goals, there is need to have deliberate and effective teams in place. Effectiveness of teams can be measured by carrying out self-assessments of teams with the aim of identifying current strengths and weaknesses. It could also be a process that allows the team members to identify training and development options to take so as to strengthen the team, and also how to harness the already existing strengths for better results.

In effective organizational development, there is need for focus to be directed at the following factors; the organization leadership has to make clear the expectations in relation to results, the teams are supposed to be working on. Team members need to understand why the team was created and what its mandate is (Bert, 2010).

There is nothing as constant as change, and organizations have to be prepared to deal with inevitable changes in their environment both internally and externally. Needless to say, change brings with it a lot of shake-up and impact in the way things are done; this is mostly for the better even though in the initial periods, this may not appear to be so. Organizations need to be well prepared for any eventuality and for change that is always around the corner (Boot, 2001).

Communicating Change to Employees

Organizations need to understand that new innovations and technologies, which affect the way things are done, and the way people behave, are always in the offing. It is therefore imperative that any one organization needs to find ways of communicating to their teams on changes that will come as a result of certain shifts in the environment.

This is where well structured team building activities are bound to work wonders, so that the people are prepared psychologically for things to come, and to be well aware of their role and importance in moving to the next level. In order for change to be effectively carried out, the change communication has to be carried out in a timely and precise manner.

There is need to identify the business unit or department that owns the particular change or process, identify the interlinked departments that will assist with the change communication and implementation, and choose management levels that will be involved, not forgetting to include Information Technology and Finance departments.

At the lower end of the chain and most important are the front office staff who will be dealing directly at first contact with clients and who will be required to communicate and do things in a manner to reflect the changes.

Resistance to Change

The above processes are especially important because there is bound to be some resistance to change which may drag implementation further, and cause more problems for the organization in the long run. This is the reason management needs to anticipate the challenges likely to be faced, well in advance, and put in place measures to mitigate this.

Depending on the target groups for the change, the effects this will have on a personal level and whether or not there is room for negotiations, depends on the various styles of change that managements may employ including collaborative, consultative, directive or even coercive.

Collaborative and consultative styles are lengthy and involve the feedback by recipients of the change, while directive and coercive are mostly communications by management to the staff maybe through memo or notices, informing them that certain changes will be taking place on a certain date, and why such changes are necessary, and urging them to comply and cooperate.

Communication

Communication is vital in all change management processes, the reason why collaborative and consultative styles would be favoured over directive or coercive, though, it also depends on the nature of the work being done and the people involved. Change management is a process that should be well thought through and planned in good advance, so that all parties involved come out unscathed and well prepared for the next phase of their jobs, careers and life in general.

The people likely to be affected by the change due to redundancies, relocations, acquiring new skill sets, training and many other situations, all need to get the necessary support mechanism for success to be realized. Preparing the people through thoughtful advance communication is just one step of supporting their adoption to the change(s).

After the change management process, comes the organizational redesigning and restructuring. This basically means that, the organization now becomes a new brand with new ways of doing things. It now has in place people who understand this new brand and the direction of the organization, as they have been trained and prepared for the changes. It therefore becomes imperative that a new strategy that is aimed at more innovations and development of the organization as a whole is launched.

Restructuring within an organization shapes processes, ways of thinking, and even behaviors of the people. What is important to note here is that organizations should desist from copying what other successful organizations in the industry have done when redesigning and restructuring.

Perhaps, it is important to point out that organizational culture change is the most difficult kind of change to implement. This is because normally, culture is deeply rooted, and it provides consistency, stability and meaning to those within the organization. Attempting to change what people believe and have worked with for ages can be very frustrating and difficult (Beitler, 2005).

Organizational culture is historically rooted, implicit (unquestionable and complet), woven in every day activities, guides all decision making, leads to uniform thinking and behavior, and is used to socialize new staff members. It has not been reviewed or questioned for ages, and most people prefer to remain with what they know (status quo) as opposed to moving towards the unknown, making it difficult to change.

Change does not necessarily mean an innovation though innovations bring about change and improvements in the way things are done. Innovation is defined as going first where no one else has been, leaving the comfort zone and being a leader in a purely new concept and new way of doing things.

Innovation is not part of the business as usual annual plans of an organization; rather, research shows that successful innovation depends on the level of strategic alignment; that is alignment of corporate strategy, corporate culture and innovation strategy (Boot, 2011).

For innovation to be successful, it requires a specific innovation strategy and culture; it is all about how organizations deal with competencies and qualities to create innovation, how they deal with trial and error, how they deal with failure, how they use available resources, how teams are managed and many other factors.

In organizations, strategic innovation calls for cross-functional teams to work together in identifying new revenue streams, create breakthrough growth strategies, define innovative new products, services, processes and business models (Strategic Innovation Group, 2002). These cross-functional teams aim at taking the road less travelled in the normal business of the organization. They look beyond what they know to see how else business can be carried out in an open-minded and creative scenario.

The essence of building teams and the connection between teams and organizational change management, culture change management and even strategic innovation within an organization cannot be overemphasized. The stronger the teams in an organization are, the stronger its growth, development and innovation will be. The stronger the teams are, the easier it will be to go through change management and culture change management, as cohesiveness and unity already exists.

As much as culture change is a giant initiative, it is imperative that it is achieved, for realization of change management and innovation. Management in organizations should make it their priority to put in place strong functional teams and where necessary cross-functional teams, which will be instrumental in carrying out change initiatives required.

Strong and effective teams are pertinent within an organization, if it is to realize its objectives and strategy, be it in cultural change initiatives or when harnessing skills and competencies for innovation.

It is only when the people who make up teams are empowered and their potential utilized, that the organization will make strides towards realization of goals. Resistance to change is bound to take place at some levels, which may be contained through effective communication, restructuring and training.

Beitler, M. (2005). Organizational Culture Change: Is it Really Worth the Effort . Web.

Bert, S. (2010). Implementing Organizational Change: Theory into Practice” 2. Web.

Boot, A. (2011). Leading Change: Three Major Misconceptions That Hinder Innovation . Web.

Strategic Innovation Group. (2002). A Framework for Strategic Innovation: From Breakthrough Inspiration to Business Impact . Web.

• Virgin Blue Holdings Change Management
• HR, Culture, and Business Results
• Four Elements of the Job Design
• Strategic Changes in Business Settings After COVID-19
• The Dimensions of Total Quality Management in Business Firms
• Acquisition Strategy in the Contemporary Business World
• Essentials of Operations Management in Hotel Industry
• Reluctant Information Sharers
• Customer Loyalty and Relationship Management
• External Factors and Organizational Strategy
• Chicago (A-D)
• Chicago (N-B)

IvyPanda. (2019, April 1). Organizational Change Management: Culture, Development and Innovation. https://ivypanda.com/essays/organizational-change-management-culture-development-and-innovation/

"Organizational Change Management: Culture, Development and Innovation." IvyPanda , 1 Apr. 2019, ivypanda.com/essays/organizational-change-management-culture-development-and-innovation/.

IvyPanda . (2019) 'Organizational Change Management: Culture, Development and Innovation'. 1 April.

IvyPanda . 2019. "Organizational Change Management: Culture, Development and Innovation." April 1, 2019. https://ivypanda.com/essays/organizational-change-management-culture-development-and-innovation/.

1. IvyPanda . "Organizational Change Management: Culture, Development and Innovation." April 1, 2019. https://ivypanda.com/essays/organizational-change-management-culture-development-and-innovation/.

Bibliography

IvyPanda . "Organizational Change Management: Culture, Development and Innovation." April 1, 2019. https://ivypanda.com/essays/organizational-change-management-culture-development-and-innovation/.