The Power of Organizational Culture: A Symbolic Perspective - Prof. 20494, Apuntes de Finanzas Empresariales

¡Descarga The Power of Organizational Culture: A Symbolic Perspective - Prof. 20494 y más Apuntes en PDF de Finanzas Empresariales solo en Docsity! PART 5: THE SYMBOLIC PERSPECTIVE • 5.1. ORGANIZATIONAL SYMBOLS AND CULTURE • 5.2. CULTURE IN ACTION • 5.3. ORGANIZATION AS THEATER The power of groups • When they work well, groups can achieve more than their individual members • Although they can also lead to very bad consequences! • Apart from structural and human resource considerations, good groups also share significant symbolic elements • Examples:  Football teams  Music bands  Political groups  Terrorist groups  Religious groups  Groups in organizations? Becoming a member • In the interviews the job was presented as hard and with little resources • People would have little time for family, friends, etc. • If people were interested, they were tested • One of the heads: “It was kind of like recruiting for a suicide mission. You’re gonna die, but you’re gonna die in glory” • Ritual Diversity • Almost all engineers, but diverse skills and personal style • For example:  Very technical debugger; cold, aloof, unapproachable (“Prince of Darkness”)  Very creative computer architect; maverick, love of literature and stories  Head of software was warm and approachable  Head of hardware was hyperactive, risk taking, detail- oriented • Different types had different informal functions (having crazy ideas, repairing things, protecting from upper management) • Myths, heroes, stories Specialized language • Groups can develop unique language elements • It reflects and also shapes group culture • Examples:  Kludge: Poor, inelegant solution  Canard: Something false  “Give me a core dump”: Tell me your thoughts  Microkids: The people working on software  Hardy Boys: The people working on hardware • Shared language can be a strong symbol of membership • It reinforces shared views and values The Eagle Group’s success • The culture (set of symbols and meanings) was the main source of the group’s success • They created a particular way of life (spirit, soul) that pushed members far beyond what the job demanded • Research shows that most successful groups share this aspect • Many organizations are realizing and trying to apply this (e.g., BMW, Continental Airlines, Nordstrom) • May seem difficult in times where turnover is high, resources are tight, etc. • But culture and spirit are always important The secrets of great groups • Reading (Bennis, 1997) • About group work and group leadership • Stresses symbolic elements • Identifies 10 principles common to great groups:  They have a shared dream  They manage conflict by abandoning individual egos to pursuit the dream  They are protected from the “suits”  They have a real or invented enemy  They view themselves as winning underdogs The secrets of great groups  Members pay a personal price  Great groups make strong leaders  They are the product of meticulous recruiting  They are usually young  Real artists ship (produce) • 4 traits shared by leaders of great groups:  Provide direction and meaning  Generate and sustain trust  Display a bias toward action, risk-taking, and curiosity  Are purveyors of hope • Author says that leadership is more like art than science Organizations as theaters  A later study revealed a symbolic explanation for the project’s success  The management innovations were made highly visible, but they were not very connected to the actual work  They were used to build an external image of respectability • From the study about Polaris: “An alchemist’s combination of whirling computers, bright- colored charts, and fast-talking public relations officers gave the Special Projects Office a truly effective management system. It mattered not whether the parts of the system functioned, or even existed. It mattered only that certain people, for a certain period of time, believed that they did.” Dramaturgical and institutional theory • These two fields tend to view organizational life as a set of dramaturgical representations • Examples:  Plans can be seen as ends; they can be dramaturgical elements that convey direction and control  The adoption of innovations can infuse activities with value and legitimacy (beyond technical efficiency) • In institutional theory, “isomorphism” is a central idea • Introduced by DiMaggio and Powell (1983) • Reflects myths, expectations, etc. and helps to make things believable and legitimate • Other examples? Organizational isomorphism • Organizations that do similar activities tend to look similar (beyond structural reasons) • Types:  Coercive (for example, universities)  Mimetic (fast food chains)  Normative (car-production chains) • The concept of isomorphism can lead to scepticism and cynicism • But isomorphism is actually an important part of business culture Organizational process as theater • Many organizational processes have also important theatrical roles • Some cases:  Meetings  Planning  Performance evaluation  Collective bargaining  Power  Starting a new business Meetings • Meetings do not always address important issues, have clear goals, or provide clear answers • But they can symbolize crucial things like concern with personal relations, participative practices, freedom of speech • They can reassure people that they have social support Planning • An organization without an established plan would project a negative image inside and outside • Planning can be seen as a theatrical ritual of symbolic meaning to gain legitimacy • Research shows executives have difficulties identifying decisions they wouldn’t have made without corporate plans • But most of them still support strategic planning • From Mintzberg (1994): “A good deal of corporate planning I have observed is like a ritual rain dance; it has no effect on the weather, but those who engage in it think it does. Moreover, it seems to me that much of the advice and instruction related to corporate planning is directed at improving the dancing, not the weather.” Power • Power is a crucial element in organizational conflicts • It can be a very vague and ambiguous notion • It is often linked to symbolic performances that create the image of power (for example, Milgram experiment) • People who talk a lot, are part of committees, etc. can be perceived as more powerful • Power is also attributed because of position (for example, presidents) • Successful leadership has been defined as “having followers who believe in the power of the leader” • Managing myths, values, stories, etc. is a central aspect of leadership Starting a new business • Symbolic performances can be particularly relevant when trying to get funding and start a new business • Research suggests that symbols, cultural references and impression management are more powerful than numbers • Giving is a matter of heart more than head