Presented By: Nitin Sharma (M-09-22) (M-09-22) Saurabh Sharma (M-09-29) (M-09-29) Upasana Upasana Chouras Chourasia ia (M-09(M-09-35) 35) Vijay Thilak Thilak (M-09-27) (M-09-27)
Organizational Culture Special Focus on IT Industry
4/7/2010
Definition y
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The amalgam of shared values, behavior patterns, symbols, attitudes, and normative ways of conducting business that, more than its products or services, differentiate it from all other companies. ³The sum total of values, virtues, accepted behaviors (both good and not so good), µthe way we do things around here,¶ and the political political environment of a company.´ company.´ 2
Organizational Culture
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Composition Innovation and risk taking. Attention to detail. Outcome Orientation. People Orientation. Team Orientation. Orientation. Aggressiveness. Stability.
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Characteristics of Healthy Org. y
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Acceptance Acceptan ce and appreciation app reciation for diversity. diversity. Concern for each employee and fair treatment in managing organizational change. Employee pride and enthusiasm for the company. Equal opportunity for each employee em ployee to achieve their full potential. Open communication with with employees em ployees regarding policies and corporate issues. Respect for employees em ployees and their contributions to the company compa ny.. Organizational 4 Culture
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Influencing Factors y
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External environment. Industry. Size and nature of the organization¶s workforce. Technologies Technologies the organization organi zation uses. us es. The organization¶s history and ownership.
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Purpose y
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Experts agree that the purpose of corporate culture is to develop an internal environment that is conducive for individuals to perform effectively. However, a organizational culture will only be relevant and useful if it is aligned with the organization¶s organization¶s vision, mission, strategies, goals, and the external environment. A Harvard Business School study of 207 large firms over eleven years revealed that corporate culture has a significant impact on a firm¶s longOrganizational 6 term economic performance. Culture
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Benefits y
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Better aligning the company com pany towards achieving its vision, mission, and goals. High employee empl oyee motivation motivati on and loyalty. loyalty. Increased team cohesiveness among the company¶s various departments and divisions. Promoting consistency and encouraging coordination and control within the company. Shaping employee behavior at work, 7
Organizational Culture
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Implementation y
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Identifying Need for Change
To influence employee behavior.
Improve the company internally. internally.
Culture Change Process
Needs Assessment
Executive Direction
Infrastructure
Collateral Organization
Training
Evaluation 8
Organizational Culture
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Implementation contd. y
Cultural Integration
Distribute
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Small-group discussions discussions and meetings.
Executives model behaviors aligned with company values.
Management states values publicly.
Training Training sessions.
wallet sized cards stating values.
of professional videos highlighting values.
Managers conduct corporate value orientation meetings within their business units.
Restructuring reward system, training, appraisal system.
Top management visits plant sites to communicate values. 9
Organizational Culture
Few questions that would help describe culture of an organization y
Achievement Culture: How goal-oriented is your workplace?
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Flexibility: How flexible is your work environment?
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Fun: Is your office as fun as you claim it is?
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Employee Value: Do you value their input?
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Individualism vs. Collectivism: Do you value teamwork, or promote individuality? Implementation: Does your company practice what it preaches?
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Case study on Google Inc. A company¶s company¶s culture attracts and retains the best talent available in the industry.
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This case focuses on the work culture cul ture and recruitment process at Google. This case also provides an insight into how Google fostered innovation among employees 11
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Issues y
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The role of Organizational Culture in attracting the best talent in the industry. The role played by recruitment in the success of an organization. How organizational culture can be source of competitive advantage. 12
Organizational Culture
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'So
Far So Good'
Technologi echnological cal Advantage. Advantage . Attract and retain Best talent. Zero turnover when companies compani es were experiencing turnover of 20-25%.
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Organizational Culture
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Background Note
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Founders, Larry Page and Sergey Brin. Founded in 1996, called BackRub. In 1998, Registered as Google Inc.
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Organizational Culture
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Google's Organizational Culture Informal Work Culture. No unnecessary managerial hierarchies. A fun place to work. Googler Googlers s were were allowed allowed to bring bring their their pets. Provided free snacks, lunch and dinner.
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Organizational Culture
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Recruitment
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Recruit people with right frame of mind. Recruited people with diverse skills and qualities. Lot of focus on academic excellence.
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Organizational Culture
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Innovations at Google y
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Focus on innovation and creativity. creativity. To overcome the problem of materializing ideas, Google set up an internal web page for tracking new ideas. Engineers were given free hand to work.
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A Critique of Google's Culture y
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Outgrown its informal culture. Lack of unity at command level. Too narrow in its recruitment process. No importance to experience.
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THANK YOU
4/7/2010
Organi zational Culture
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