Culture concept in Management 1 2 Culture dimensions

Culture concept in Management 1. 2. Culture dimensions Corporate culture 1

1. Culture dimensions Culture –intellectual collective phenomena Characteristics l learned l collective l symbolic l structured l persistent l dynamic 2

Culture – a integrated system l symbols, behavior norms, rituals l Cultural values, beliefs, attitudes Culture components: l language l ethnicity l religion l political institutions l economic standards 3

Culture spheres l l l national cultures industrial cultures functional cultures professional cultures corporate cultures personal cultures 4

Cultural dimensions – Geert Hofstede: l l l Power Distance Individualism vs. collectivism Masculinity vs. Feminity Uncertainty Avoidance Time Orientation Indulgence vs. Restraint 5

Cultural dimensions– Fons Trompenaars: l l l l Universalism vs. Particularism Individualism vs. Collectivism Equality vs. Hierarchy Sequential vs. Synchronic Inner –directed vs. Outer-directed Specific vs. Diffuse Neutral vs. Affective Achievement vs. Ascription 6

2. Corporate culture elements: - Behavior - Norms - Dominant values - Company “philosophy” - Rules - Organizational climate Corporate culture types (Trompenaars): - power oriented culture (FAMILY) - role oriented culture (EIFFEL TOWER) - project oriented culture (GUIDED MISSILE) - fulfillment oriented culture (INCUBATOR) 7

HOFSTEDE’S DIMENSIONS ON CORPORATE CULTURE (HOFSTEDE MULTIFOCUS MODEL) D 1 Means-oriented vs. goal-oriented D 2 Internally driven vs. externally driven D 3 Easy-going work discipline vs. strict work discipline D 4 Local vs. professional D 5 Open system vs. closed system D 6 Employee-oriented vs. work-oriented D 7 Degree of acceptance of leadership style D 8 Degree of identification with your organisation 8

Corporate culture approach: - ethnocentric mentality - policentric mentality - centrocentric mentality - geocentric mentality Cultural Tipologies - Monolitic companies Pluricultural companies Multicultural companies 9

Factors which influence the cultural typology of companies: - Acculturation type - Integration degree - Discrimination degree - Identification degree 10

Culture influences on management l l l l Centralized vs. decentralized decision making Safety vs. risk Individual vs. group rewards Informal vs. formal procedures High vs. low organizational loyalty Cooperation vs. competition Short term vs. long term horizons Stability vs. innovation 11