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Management Challenges
Identify the four different types of organizational cultures and the characteristics of people who fit best with each. Direct and counsel employees who resist organizational change. Apply the tactics of change agents while taking into consideration potential sources of resistance. Use tools that enhance our understanding of the change process, such as Lewins three-step model of change and force field analysis.
Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved. 5-3
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Organizational Culture
A system of shared values, assumptions, beliefs, and norms that unite the members of an organization. Reflects employees views about the way things are done around here. The culture specific to each firm affects how employees feel and act and the type of employee hired and retained by the company.
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Visible Culture
Expressed Values
Core Values
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Employee Self-Management
Sense
Stability
Sense
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Socialization
Internalizing
strategy and culture reinforce each other, employees find it natural to be committed to the strategy
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Metamorphosis
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Stories
Language Leadership
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Cultural Uniformity versus Heterogeneity Strong versus Weak Cultures Culture versus Formalization National versus Organizational Culture Organizational Fit
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Organization culture can facilitate or inhibit change in an organization. A firm attempts to change organizational culture because the current culture hinders the attainment of corporate goals. Environmental and internal forces can stimulate the need for organization change.
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Put pressure on how a firm conducts its business and its relationships with customers, suppliers, and employees. Environmental forces include:
Technology Market
Come from decisions made within the company. May originate with top executives and managers and travel in a top-down direction. May originate with front-line employees or labor unions and travel in a bottom-up direction.
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Resistance to Change
Self-Interest Cultures that Value Tradition Different Perspectives and Goals Lack of Trust and Understanding Uncertainty
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Bottom-up Change
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Change agents should take the following steps to obtain a successful change outcome:
1. Establish a sense of 5. Empower others to
urgency. 2. Form a powerful coalition of supporters of change. 3. Create a vision of change. 4. Communicate the vision of change.
act on the vision. 6. Plan and create shortterm wins. 7. Consolidate improvements and produce still more change. 8. Institutionalize new approaches.
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Employee Involvement
Negotiation
Coercion
Top-Management Support
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that affect skill requirements. Changes that represent economic or status loss. Changes that involve disruption of social relationships.
By being aware of the sources of resistance, managers can better apply tactics to make the changes more palatable for employees.
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Teams can help test the waters for a proposed change. Various employee teams can serve as focus groups in order to find ways to make a change in policy more acceptable to employees.
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Learning the specifics about the company culture can help you determine your fit with the organization and the possibility of succeeding. Ask questions and gather information during the recruiting process to get a handle on the company culture and assess whether you will function comfortably in it.
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