Buss 4 revision

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  • Created by: Libby
  • Created on: 16-06-13 10:30
What factors influence culture?
Leader, CEO, Founder, Staff, Size of company, organisational structure, market/industry, competition, type of product, management style
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Why might sub-cultures occur?
Occupations, teams, functions, geographical locations, globalisation. (BARCLAYS - LIBOR SCANDAL)
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How will mergers/takeovers effect culture?
Two cultures may operate differently and have different cultures, attitudes to risk taking may be different, resistance to change, one culture will win but followers of the other culture may be demotivated, annoyed etc. (CADBURY'S AND SCHWEPPES)
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What are the 4 key concepts about culture? (continued onto next card)
Person (people believe themselves to be superior, people have similar training), Role (people have clearly delegated authorities within a highly defined structure, power comes from persons position, bureaucracy),
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What are the 4 key concepts about culture?
Power (control radiates from the centre, concentrates power on a few rules and little bureaucracy), Task (teams are formed to solve particular problems, no single power source, power comes from expertise, matrix)
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Culture depends on ....
Strength and clarity or organisations founder, amount of shared experiences between employees, success the organisations had, history/heritage of the business, there's no 'criteria' for culture.
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What are the features of a successful culture?
Clear set of values, missions and goals, competitive advantage, easy to see, encourages suitable risk taking and innovation, engaged employees, strong internal communication
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What are the features of a negative culture?
Toxic - questionable morals and unethical behaviour, little alignment with business values, inconsistent behaviour, a need for a lot of bureaucracy.
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Evaluation opportunities
More established firms have a more complex culture, including sub-cultures, need to be well communicated, a flawed business model is unlikely to result in business success, leadership plays a large part in culture
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Schien on leadership and culture
"The only thing of real importance that leaders do is to create and manage culture."
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Reasons for change in organisational culture....
improve business performance, due to inadequate returns on investments, declining sales, low quality or standards of customer service, responding to change, market changes, political/legal changes, change of ownership/leadership, economy, market
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... (cont.)
staff may not be happy with culture, shareholder conflict, mergers/takeovers, changes in aims/objectives, bad press (toxic culture)
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What are the signs of a dysfunctional culture?
internal fighting, hard to retain talent, greater absenteeism, declining customer service, communication becomes closed/restricted, revolves around rewards (Barclays PPI)
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Static Culture and Dynamic culture
Static - one that doesn't change (Nokia, M&S). Dynamic - one that responds to changes quickly (Apple)
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Ways to measure culture and the effect of change.
External surveys, % of repeat customers, employee surveys, staff turnover, how employees feel about the organisation, communication, training, their future, their colleagues
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Lewins force field analysis
driving forces and restraining forces create equilibrium, driving forces need to be stronger to implement change
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reasons of changing culture
mergers/takeovers, generational differences, national/geographical issues, departmental, strategic/leadership change, failure to accept the need for change, insecurity, fear for loss of power, skills, income, fear of the unknown, break up of groups
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Problems of changing organisational culture
staff may be used to the old culture, long term employees, retraining, traditions, leadership skills, differences in values and beliefs
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Reasons for culture clashes
Language barriers, organisational structure, leadership/management styles, religion/beliefs, behaviours, different artefacts, national/geographical boundaries
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Other cards in this set

Card 2


Why might sub-cultures occur?


Occupations, teams, functions, geographical locations, globalisation. (BARCLAYS - LIBOR SCANDAL)

Card 3


How will mergers/takeovers effect culture?


Preview of the front of card 3

Card 4


What are the 4 key concepts about culture? (continued onto next card)


Preview of the front of card 4

Card 5


What are the 4 key concepts about culture?


Preview of the front of card 5
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This is a set of 19 flash cards which fully covers the main revision points on the importance of business culture. Can be used to revise and assess current knowledge.


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