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organizational culture


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The values, customs, rituals, and norms shared by all the members of an organization, which have to be learnt and accepted by new members of the organization. It is argued that there are at least three different types of organizational culture. In an integrative culture the objective is to obtain a consensus regarding the values and basic assumptions of the organization and to produce consistent actions. This integration brings unity, predictability, and clarity to work experiences. In a differentiated culture, subcultures develop that have internal consensus about values and basic assumptions but differ greatly between each subculture; this produces inconsistencies throughout the organization. In a fragmentation culture there are multiple interpretations of values and assumptions, which produce great ambiguity. This ambiguity can arise from fast changes within the organization, the growing diversity of the workforce, and the increasingly global environment with which organizations are faced.

In an integrative culture the objective is to obtain a consensus regarding the values and basic assumptions of the organization and to produce consistent actions. This integration brings unity, predictability, and clarity to work experiences.

In a differentiated culture, subcultures develop that have internal consensus about values and basic assumptions but differ greatly between each subculture; this produces inconsistencies throughout the organization.

In a fragmentation culture there are multiple interpretations of values and assumptions, which produce great ambiguity. This ambiguity can arise from fast changes within the organization, the growing diversity of the workforce, and the increasingly global environment with which organizations are faced.

Subjects: Human Resource Management — Financial Institutions and Services.


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