What Is Organizational Culture?


Organizational culture refers to the way that people perform their daily duties and interact with others in an organization. It is a result of shared beliefs and values and has an effect on how people behave and respond to opportunities. There are many aspects to organizational culture, including how the organization is structured, what the core values are, how the company treats its customers and more.

Organizational cultures are usually classified into two categories. A hierarchy culture involves strict role descriptions and predictable systems of authority. On the other hand, adhocracy (also known as create culture) encourages members to take risks, think creatively, and work with others to develop ideas.

These types of organizations are not necessarily the most efficient, but they also do not tend to foster innovation. In addition, hierarchical bureaucracies often lack transparency, which can cause confusion and make it hard for management to track the progress of the organization.

Another type of organizational culture is clan. Clan cultures are characterized by interpersonal connections and shared values. For example, a member of a clan would say things like, “You’re part of my family,” or “We are a team.” The implication is that there is a deeper, more important bond than material returns.

Other types of organization cultures include a market culture, a passive/defensive culture, and a power culture. Market culture organizations stress reaching targets, getting results, and meeting quotas. Passive/defensive cultures try to keep members from engaging in conflict with each other. They are characterized by low levels of motivation and the tendency to avoid conflicts by avoiding interpersonal confrontation.

Some of the best organizational culture examples are those that are flexible, innovative, and creative. In a successful organization, the people involved are proud of what they do and are satisfied with the way they are treated.

Organizational culture has been a hot topic in recent years. Several researchers have looked into its value and impact. Researchers have found that the right type of culture can help an organization thrive and that a bad culture can hurt it. As a result, modern leaders must select and enforce an organizational culture.

Many organizations have a specific mission, purpose, or philosophy, as well as a set of core values, which dictates how employees will conduct themselves. Shared values can be determined by questionnaires or by interviewing employees. While not all organizational culture is created equal, the more flexible an organization is, the more likely it is to succeed.

A good organization will use all of its resources to ensure that its members are happy. Companies with a strong and effective culture are much more likely to retain employees than those with less favorable cultures. Good company culture is similar to a healthy immune system. If the organization is healthy and robust, it will be able to combat negative effects of changing times. Similarly, a healthy organization will have a positive impact on the community as well.

However, while it is impossible to measure all of the relevant organizational metrics, it is possible to detect patterns in the way that the organization operates and the way that people within the organization interact. For example, if an employee is able to identify with the company and has a sense of belonging, he or she will likely be more willing to do what is asked of them, and a good company will reward its employees accordingly.