Understanding Organizational Culture: Values, Norms, and Core Principles
This overview discusses the essence of organizational culture, focusing on values and norms. Values represent what individuals perceive as right, forming a value system that guides predictable behaviors. Norms, or behavioral standards, shape interactions, like answering a call by the third ring. Additionally, we explore three levels of organizational culture—visible aspects, unspoken values, and core assumptions. The text also emphasizes core values such as honesty, reliability, fairness, and environmental awareness, highlighting their importance for ethical business practices and fostering loyalty.
Understanding Organizational Culture: Values, Norms, and Core Principles
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Presentation Transcript
Pg 216 TOPIC 4 • ORGANIZATIONAL CULTURE
1.1 VALUES ANMD NORMS • 1. VALUE is what a person considers to be right and proper e.g. honesty. • Values are not easily changed. • 2.VALUE SYSTEM a number of values add up to form a value system. • 4.Value systems make people’s behaviour predictable.
NORMS • Norms are behavioural standards. • E.g. answer the phone by the third ring.
THREE LEVELS OF ORGANIZATIONAL CULTURE • First level- These are anything that is visible e.g. No smoking zone; welcome; thank you etc. • Second level- important unspoken elements of culture – values and norms e.g. honesty; reliability, knowledge of product. • Third Level- Basic assumptions – 5 core values e.g. we all value life.
Which Approach in Business? • Solution of moral issues is not easy. • Most times business uses consequentialist method.
CORE VALUES • 1. Honesty • 2. RELIABILTY • 3. FAIRNESS • 4. RIGHTS • 5.ENVIRONMENTAL AWARENESS • (social responsibility and environmental conservation)
HONESTY • 1. Enterprises have a moral duty to be truthful to their clients. • 2. Enterprises should be consistent in dealing with their suppliers. • 3. Employees should be treated as internal clients/customers. • 4. Employees should be informed.
RELIABILITY • Reliability is the principle that people can rely on enterprises to deliver what has been promised. • Reliability in the old days was called ones word of honour.
LOYALTY • Loyalty is a reciprocal relationship- • Participatory style of management that considers employee welfare will ensure loyalty.
FAIRNESS • Fairness is application of norms without being biased. • Treat people alike. • What about affirmative action???
RIGHTS • A right is a generally accepted norm that cannot be taken away from a person or a right cannot be changed. • E.g. right to education to a certain level.
ENVIRONMENTAL AWARENESS • Comprises of two parts:- • 1.Social responsibility • Care for own staff and the rest of the community. • 2.Environmental Conservation. • Avoid pollution; use resources wisely.
