Ch 3 Changing the Culture

Report
Chapter 3
Changing the Culture
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 1
Learning Objectives
• Recognize importance of corporate
culture.
• Identify key factors assessing culture.
• Describe culture leading to effective
organizations.
• Describe ethical, value, and goal
considerations.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 2
Creating Climate for Change
• Challenge of managers is:
– Create renewing system.
– Develop long-term efforts.
• Culture often key to success.
• Cultural change result of complex
strategy.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 3
Understanding Corporate
Culture
• Environment of rapid change.
• Static organizational culture no longer
effective.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 4
What Is Corporate Culture?
• Culture is system of:
– Shared values.
– Beliefs.
– Behavioral norms.
• Observed behavioral norms.
• Dominant values.
• Learning ropes for newcomers.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 5
Culture Comes from 2
Subsystems
• Managerial.
• Organizational.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 6
Managerial Subsystem
Creates Culture
• How employees are treated.
• Through actions and words.
• Vision articulated by top management.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 7
Organizational Subsystem
Creates Culture
• Outside factors (market, etc.) define
culture.
• Technology.
• Job descriptions.
• Type of structure (tall vrs. flat).
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 8
Figure 3.1
Culture Formation
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 9
Corporate Culture and
Success
• High-performing companies have strong
cultures.
• Many cultures fail to adapt to change.
• Following corporate mergers, cultures
often clash.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 10
Key Factors to Improve
Culture
• Create vision for the future.
• Develop model for change.
• Reward changes.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 11
Cultural Resistance to Change
• Changing culture not easy.
• Time required.
• Culture can prevent company from
adapting.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 12
Pressure Points to Bring
About Change
• Recession.
• Deregulation.
• Technological
upheavals.
• Social factors.
• Global
competition.
• Outsourcing.
• Markets.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 13
Tools for Change (part 1 of 4)
• Information.
• Support.
• Resources.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 14
Information (part 2 of 4)
• Provide information to people.
• Provide ability to gather information.
• One method is open-book
management.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 15
Support (part 3 of 4)
• Support and collaboration from other
departments.
• Management support to provide climate
of risk taking.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 16
Resources (part 4 of 4)
• Funds.
• Staff.
• Equipment.
• Materials.
• Innovative programs for providing
resources include:
– Venture capital.
– Innovation banks.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 17
Organizational Dimensions
Affecting Performance
• Managerial effectiveness.
– Accomplishing goals and objectives.
• Managerial efficiency.
– Ratio of results to resources.
• Motivational climate.
– Employee attitudes that influence
performance.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 18
Other Criteria for
Organizational Effectiveness
• Adaptability.
• Sense of identity.
• Capacity to test reality.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 19
OD Professional Values and
Ethics
•
•
•
•
Expertise.
Autonomy.
Commitment.
Code of ethics.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 20
OD Implementation Issues
(part 1 of 4)
• Success depends on:
– Congruence between OD values and
organization’s values.
• Key issue is fit between between
practitioner and client:
– Compatibility of values.
– Imposed change.
– Priority of goals.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 21
Compatibility of Values
(part 2 of 4)
• Practitioners differ on degree of
congruency with client values.
– Some believe personal values are
compatible with client.
– Others will help client as long as
operations legal.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 22
Imposed Change
(part 3 of 4)
• OD ideally implemented voluntarily.
• Top management may impose program.
• OD practitioners cognizant of power
and politics.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 23
Priority of Goals
(part 4 of 4)
• Determine goals given precedence.
• Challenge to develop balanced
intervention:
– One that improves productivity and
– Quality of work for members.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 24
OD Values About Nature
of Organization Members
•
•
•
•
•
Respect for people.
Trust and support.
Power equalization.
Confrontation and open communication.
Participation.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 25
Table 3.1
OD Values
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 26
OD Application
Culture and Setpoint Systems
• Setpoint builds unique automation
equipment.
• Required are self-motivated employees.
– Who can solve problems and
– Look for ways to improve processes.
• Uses project management and openbook accounting.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 27
• Production employees use these
techniques to:
– Understand the business and
– Know where to focus attention.
• Culture is one where employees:
– Understand the business and
– Provide thorough attention to financials.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 28
OD Application
How Trilogy’s University Helps
Build Its Culture
• Trilogy is small but competes with large
software companies.
• Key goal is to attract talented people.
• Fosters new methods in relationships
with clients and employees.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 29
• It operates a three-month long “boot
camp.”
– New employees integrated into company.
– Employees learn values and culture.
– Receive comprehensive evaluation and
feedback.
• Program provides source for renewal.
– Provides new services and products.
• Relationships formed, new leaders
created.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 30
Key Words and Concepts
• Corporate culture.
– System of shared values and beliefs.
– Interact with people, structure, systems.
• Managerial effectiveness.
– Ability to accomplish specific organizational
goals.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 31
• Managerial efficiency.
– Ratio of output (results) to input
(resources).
• Motivational climate.
– Employee attitudes that influence
performance.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 32
• Open-book management.
– Employees understand accounting
statements.
– Use knowledge in work.
• Professionalism.
– Value system that is part of profession.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 33
OD Skills Simulation 3.1
The Dim Lighting Co.
• Purpose:
– Compare decisions made by individuals
with those made by group.
– Practice effective consensus-seeking techniques.
– Gain insights into concept of cultural values.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 34
Preparations for Next Chapter
• Read Chapter 4.
• Complete Steps 1 through 4 of OD
Skills Simulation 4.1.
• Read and prepare Case: The Grayson
Chemical Company
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 35
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 3
Slide 36

similar documents