How Culture is Created - 10.4.1 | 10. Organizational Culture and Climate | Management 1 (Organizational Behaviour/Finance & Accounting)
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How Culture is Created

10.4.1 - How Culture is Created

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Interactive Audio Lesson

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Founder’s Vision

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Teacher
Teacher Instructor

Today, we're going to look at the founder's vision in shaping organizational culture. Founders set the tone for what values will be prioritized. Can anyone think of an example of a founder whose vision significantly influenced their company's culture?

Student 1
Student 1

I think of Steve Jobs at Apple. His focus on innovation and design really shaped the culture there.

Teacher
Teacher Instructor

Exactly! Steve Jobs’s vision for creativity and excellence embedded those values into Apple’s culture. This reflects the concept that founders act as cultural architects.

Student 2
Student 2

So, does that mean if a organization starts with a weak vision, it might struggle with its culture?

Teacher
Teacher Instructor

Yes, that’s correct! A clear, strong vision can act as a compass for decision-making and behavior in the organization.

Teacher
Teacher Instructor

To help remember, think V for Vision, which leads to C for Culture.

Teacher
Teacher Instructor

To summarize, the founder's vision is central in initiating the cultural dynamics of an organization.

Leadership Style

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Teacher
Teacher Instructor

Next, let's delve into leadership style. Leadership is crucial in reinforcing cultural norms. Can someone explain how a leadership style can impact culture?

Student 3
Student 3

If a leader is very authoritarian, the culture might be more rigid and hierarchical.

Teacher
Teacher Instructor

Good point! An authoritarian style may limit innovation. Conversely, a participative leader tends to foster collaboration and creativity. How do you think this influences employee engagement?

Student 4
Student 4

I guess employees would feel more valued in a participative culture?

Teacher
Teacher Instructor

Absolutely! Employees in participative cultures are likely to be more motivated and committed. To remember: L for Leadership, impacts C for Culture.

Teacher
Teacher Instructor

In summary, the leadership style is instrumental in shaping the prevailing culture within an organization.

Recruitment and Socialization

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Teacher
Teacher Instructor

Let’s discuss recruitment and socialization. How do you think these processes affect organizational culture?

Student 1
Student 1

If the recruitment focuses on cultural fit, it could strengthen the existing culture.

Teacher
Teacher Instructor

Exactly! Hiring for cultural fit ensures that new employees are aligned with the organization's values. What about socialization?

Student 2
Student 2

Socialization helps new hires learn the norms, right? Like how to behave in the workplace.

Teacher
Teacher Instructor

Correct! Through orientation and mentorship programs, socialization immerses newcomers in the culture. Remember: R for Recruitment leads to C for Cohesion.

Teacher
Teacher Instructor

In recap, effective recruitment and socialization are essential for sustaining the culture and values of the organization.

Stories and Symbols

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Teacher
Teacher Instructor

Let’s wrap up with stories and symbols. How do these contribute to culture?

Student 3
Student 3

They help convey the organization’s values and teachings, I believe. Like the stories of past achievements.

Teacher
Teacher Instructor

Good insight! These narratives inspire and guide employees in understanding what is valued. Can anyone give an example of a symbol in organizations?

Student 4
Student 4

Logos? Or maybe specific event rituals?

Teacher
Teacher Instructor

Absolutely! Logos and rituals embody collective values and experiences. To summarize: S for Stories + S for Symbols = C for Cultural Identity.

Teacher
Teacher Instructor

To conclude, stories and symbols are vital tools in transmitting organizational culture and values.

Introduction & Overview

Read summaries of the section's main ideas at different levels of detail.

Quick Overview

This section explains the foundational elements that contribute to the creation of organizational culture within an organization.

Standard

The section outlines the key factors that shape organizational culture including the founder's vision, leadership styles, recruitment processes, and the use of stories and symbols. It emphasizes how these elements work together to establish the shared values and norms that define the culture in an organization.

Detailed

How Culture is Created

Organizational culture is formed through several critical components that interplay to cultivate shared beliefs and practices among members of an organization:

  1. Founder’s Vision: Founders often instill their values and beliefs during the early phases of an organization, establishing a foundation for culture.
  2. Leadership Style: The approach leaders take influences the behaviors and expectations within the organization, reinforcing cultural norms.
  3. Recruitment and Socialization: New employees are indoctrinated into the organization’s culture through training and socialization practices, getting acclimated to expected behaviors and values.
  4. Stories and Symbols: Organizations use narratives and symbols to communicate their values and history, playing a pivotal role in transmitting cultural identity.

These elements are significant in developing a cohesive culture that drives employee engagement and aligns efforts towards shared goals, establishing a distinct organizational identity.

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Audio Book

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Founder's Vision

Chapter 1 of 4

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Chapter Content

• Founder’s Vision: Founders shape early values.

Detailed Explanation

The founder's vision plays a crucial role in the initial formation of an organization's culture. When a company is created, the beliefs and goals of the founder serve as the foundation for what the organization stands for. This vision influences the values that are prioritized and can dictate everything from work ethic to commitments to innovation. Essentially, the founder's ideas become the cultural blueprint for the organization.

Examples & Analogies

Consider a startup like Apple, founded by Steve Jobs. His vision of creating innovative and user-friendly technology set the tone for Apple's culture, prioritizing creativity, quality, and a deep connection with consumers. This strong founding vision continues to influence its organizational culture even decades later.

Leadership Style

Chapter 2 of 4

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Chapter Content

• Leadership Style: Reinforces norms and expectations.

Detailed Explanation

The style of leadership adopted in an organization significantly impacts its culture. For instance, a leader who encourages open communication and collaboration fosters a culture where team members feel valued and empowered. Conversely, authoritarian leadership may promote a more rigid and hierarchical culture. Leadership styles act as a living example of the organization's values and expectations, shaping daily interactions and overall employee behavior.

Examples & Analogies

Think of Google, where the leadership embraces a participatory style. Leaders often encourage employees to contribute ideas, resulting in a culture of innovation and teamwork. In contrast, a company with a strict top-down management approach may struggle to instill creativity among its employees.

Recruitment and Socialization

Chapter 3 of 4

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Chapter Content

• Recruitment and Socialization: New employees are trained to fit cultural norms.

Detailed Explanation

Recruitment and employee onboarding processes are critical for shaping and maintaining an organization's culture. When hiring new employees, organizations look for individuals who align with their values and norms. Following hiring, the socialization process helps new employees learn the accepted behaviors and expectations within the organization, ensuring that they adapt to and embody the cultural traits established by the organization.

Examples & Analogies

For instance, Zappos is well-known for its exceptional customer service culture. During recruitment, Zappos emphasizes finding candidates who fit this cultural ideal and immerses new hires in extensive training centered on customer service values, making sure they understand and embody the company culture right from the start.

Stories and Symbols

Chapter 4 of 4

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Chapter Content

• Stories and Symbols: Help transmit cultural values.

Detailed Explanation

Stories and symbols in an organization are powerful tools for communicating culture. They encapsulate the organization's history, celebrate successes, and frame experiences that shape employee identities and shared values. Symbols might include logos, branding, or even office decor, while stories could recount the company's journey or notable achievements. Together, they serve to reinforce cultural values and ensure that employees connect with the organization's heritage and mission.

Examples & Analogies

Consider Nike and its iconic ‘swoosh’ logo. This simple symbol, along with stories of resilience and athletic achievement shared by the company, conveys themes of perseverance and competition. Employees and customers alike are inspired by these narratives, tying them emotionally to the brand's cultural values.

Key Concepts

  • Founder’s Vision: Founders set cultural foundation.

  • Leadership Style: Influences norms and behaviors.

  • Recruitment: Shapes cultural cohesion.

  • Socialization: Integrates new employees into culture.

  • Stories and Symbols: Communicate values and identity.

Examples & Applications

Steve Jobs and Apple exemplify founder’s vision shaping culture.

Google uses an open management style to foster innovation and collaboration.

A company might showcase success stories during onboarding to integrate new hires.

Memory Aids

Interactive tools to help you remember key concepts

🎵

Rhymes

Vision sets the tone, culture’s seeds are sown.

📖

Stories

Think of a castle built by a king. The king's vision paints the walls with colors of a story, creating an identity that carries on through the halls.

🧠

Memory Tools

Remember 'VLRS' for how culture is created: Vision, Leadership, Recruitment, Symbols.

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Acronyms

Use 'VCLR' to remember the key elements

Vision

Culture

Leadership

Recruitment.

Flash Cards

Glossary

Founder’s Vision

The foundational beliefs and values set by the organization’s founders that influence its culture.

Leadership Style

The approach adopted by leaders that shapes the behavior, culture, and environment of the organization.

Recruitment

The process of attracting, selecting, and appointing suitable candidates for employment.

Socialization

The process through which new employees are integrated into the organizational culture.

Stories and Symbols

Narratives and visual representations that convey and reinforce organizational values and identity.

Reference links

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