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Business Culture
Descripción
Business Studies Mapa Mental sobre Business Culture, creado por laura-wilson134 el 11/04/2013.
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business studies
business studies
Mapa Mental por
laura-wilson134
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laura-wilson134
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Resumen del Recurso
Business Culture
Stories
negative stories affect culture.
such as in the case of an employee getting married and being made to work on that day.
This results in bad gossip and employees feeling unwanted
Positive stories or fixing a negative story will help culture.
when employee gets married they will now receive a week of paid leave to enjoy start of marriage
this results in employees moral being more positive and now rumours will spread about the positives of working at the company
Theories of culture
Charles Handy
Types of Culture
Power- Autocratic
Control radiates from center
Concentrates power among a few
Few rules and little bureaucracy
Swift decisions are possible
Role- Autocratic/ Paternalistic
Clearly delegated authorities in highly defined structure
Hierarchical bureaucracy
Power derives from person's position
Little scope exists for expert power
Task- Paternalistic/ Democratic
Teams are formed to solve particular problems
Power derives from expertise
No single power source
Matrix organisation
Team may develop own objectives
Person- Democratic
People believe themselves to be superior to the business
Business full of people with similar training, background and expertise
Common in firms of proffesionals e.g accountants and lawyers
Power lies in each group of individuals
Edgar Schein
Believed key role of CEO was to manage culture
Paradigm- Behaviours- Beliefs-Values
Reasons to Change Culture
To improve business performance
Declining profits and sales
Inadequate returns on investment
Low quality or standards of customer service
Dis-satisfaction of shareholders and other stakeholders (e.g low staff morale)
To improve productivity and efficiency
To respond to significant other change
Market changes (growth, competitors)
Political & legal environment
Change of ownership (e.g acquisition)
Change of management or leadership (e.g a new CEO)
Economic conditions (e.g downturn)
Common Barriers to Cultural Change
Tradition and Set Ways:
Loyalty to existing relationships
Failure to accept the need for change
Insecurity
Preference for the existing arangments
Different person ambitions
Fear of:
Loss of power
Loss of skills
Loss of income
The unknown
Inability to perform as well in the new situation
Break up of work groups
Different Ways of Identifying the Culture in a Business
How decisions are made
Methods & style of communication
How customers are treated
Examples of businesses with a distinct corporate culture
Apple (innovation)
Google (creativity, speed)
Tata Group (long-term decision-making)
Sony ( bureaucratic, consensual)
Goldman Sachs (aggressive selling)
John Lewis Partnership/ Waitrose (shared values and ownership)
Innocent Drinks (ethical, democratic)
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