It's an invisible yet powerful force that shapes how work gets done, influences employee behavior, and drives business outcomes. Let's dive in to understand this concept better.
There are several theories that attempt to explain the concept of organisational culture. Here are a few:
Schein proposed that culture exists at three levels: artifacts (visible organizational structures and processes), espoused values (strategies, goals, philosophies), and basic underlying assumptions (unconscious, taken-for-granted beliefs).
A company's dress code is an artifact, its commitment to customer service is an espoused value, and its belief in open communication is a basic underlying assumption.
Deal and Kennedy identified four types of cultures based on risk and feedback speed: the tough-guy macho culture, the work-hard play-hard culture, the bet-your company culture, and the process culture.
A sales organization with high risk and quick feedback might have a tough-guy macho culture.
Organisational cultures can be broadly categorized into four types:
In a power culture, decision-making is centralized and power is held by a few individuals.
In a role culture, everyone has a designated role and responsibilities are defined by job descriptions.
In a task culture, teams are formed to accomplish specific tasks.
In a person culture, individuals are given importance and the focus is on individual talent and creativity.
Culture is manifested in an organisation through various elements such as:
These reflect the organisation's values and beliefs.
The way leaders behave and make decisions can indicate the type of culture in place.
The layout of the office, dress code, and even the level of noise can give clues about the organisational culture.
These can reveal what the organisation values and celebrates.
A company that celebrates innovation might have an annual award for the most innovative project.