LAHORE COLLEGE FOR WOMEN UNIVERSITY

SUBMITTED By:

Laiba Yousaf

SUBMITTED To

Ms.Tahzeeba

COURSE TITLE:

Organizational Behaviour

Assignment no:1

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  QUESTION :

Write about Organizational Culture in Organizational Behaviour.

 Organizational Culture:

A great organizational culture is the key to developing the traits necessary for business
success. And you’ll see its effects in your bottom line.Companies with healthy cultures are
1.5 times more likely to experience revenue growth of 15 percent or more over three years
and 2.5 times more likely to experience significant stock growth over the same period.
Despite this, only 31 percent of HR leaders believe their organizations have the culture they
need to drive future business, and getting there is no easy task — 85 percent of organizations
fail in transforming their cultures.

 Defination:

Organizational culture is generally understood as all of a company's beliefs, values and

attitudes, and how these influence the behaviour of its employees. Culture affects how
people experience an organization—that is, what it's like for a customer to buy from a
company or a supplier to work with it.

Organizational culture is the collection of values, expectations, and practices that guide and
inform the actions of all team members. Think of it as the collection of traits that make your
company what it is. A great culture exemplifies positive traits that lead to improved performance,
while a dysfunctional company culture brings out qualities that can hinder even the most
successful organizations.
Don’t confuse culture with organizational goals or a mission statement, although both can help
define it. Culture is created through consistent and authentic behaviors, not press releases or
policy documents. You can watch company culture in action when you see how a CEO responds
to a crisis, how a team adapts to new customer demands, or how a manager corrects an employee
who makes a mistake.

 Types of Organizational Culture:

Following are main four examples of Organizational Culture are as follows:

1. Clan Culture
2. Adhocracy Culture
3. Market Culture

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 4. Hierarchy Culture

 Clan culture:

Clan culture tends to focus on interpersonal connections, mentoring programs and

aims to create a feeling of family.

 Adhocracy culture:

Adhocracy culture is geared toward innovation and tends to eliminate traditional

structures of an organization.

 Market culture:

Market culture focuses on promoting competition and rewarding winners.

 Hierarchy culture:

Hierarchical culture focuses on top-down business decisions. This has been

fairly efficient in the past and is common in businesses today, but many people no
longer value working in this type of culture. Any company can be a mixture of
cultures and should adapt a unique approach that aligns with their strategy.

For example, the cultural values and environment of a daycare center will be
different than a surgical center where precision and standard practices are vital to
business success.

 Importance of Organizational Culture:

By building a strong culture, businesses can provide consistency and direction, guide

decisions and actions, fuel the workforce and help reach their potential. While
organizational culture is an integral part of a business, it's not always visible to long-term
employees.Therebare 7 reasons why organizational culture is important.

1. Improved Recruitment EffortsFinding qualified talent can be an uphill battle,

especially with so many up-and-coming businesses. This has caused many
individuals to refine their job search and hiring criteria. Over a third of
employees claim that they would pass on their dream job opportunity if the
corporate culture wasn’t a fit. By fostering a strong organizational culture, you’ll

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 improve recruitment efforts and gain the interest of top candidates. However,
what one person sees as ideal company culture, another may view as a culture
they don’t fit in with—everyone is different.Create a strong company culture that
aims to attract the type of individuals that you want working at your business and
over time, the right talent will follow. For example, some people prefer the fast
pace of an entrepreneurial culture, where others might prefer the steady pace of a
more established, traditional business and culture. It’s important to note, one size
does not fit all.
2. Smoother Onboarding Companies with strong organizational cultures tend to
have smoother onboarding experiences. This is because there are repeatable
systems in place to ensure new employees have access to the resources they need
to adapt and integrate with the culture of your office the transition period. Better
onboarding procedures often translate to increased employee loyalty and overall
longevity. During this process, communicating culture will help new employees
understand core values and day-to-day operations.
3. Decreased Turnover Organizational retention can be difficult for many
businesses in today’s competitive environment. A strong organizational culture
can help decrease turnover by creating a sense of inclusivity and community
while honoring diversity within your industry. Roughly 38% of employees report
wanting to leave their jobs due to negative company culture and 60% of
employees have left or would leave a job because of poor leadership, so taking the
time to create positive cultural values that coincide with your business’ objectives
is essential.In the U.S., 74% of respondents in a Glassdoor multi-country
survey said they would look elsewhere for work if their company culture were to
deteriorate. To continue benefiting from strong employee retention, organizational
culture needs to be a dynamic process that is nurtured over time.
4.  Enhanced Employee Engagement Employee engagement refers to how
committed, connected and passionate an individual is about their work at a
specific organization. It’s how individuals build a meaningful connection with a
business and has long-lasting positive effects.By creating an immersive
organizational culture, employee engagement increases exponentially. Obviously,
this engagement will depend on the type of culture that’s fostered and promoted,
but there is a huge potential for positive engagement with a strong organizational
culture. For example, companies who have a strong culture have up
to 72% higher employee engagement rate than those with weak cultures.
5.  Increased Productivity When employees are happy and satisfied with their job,
they work harder. Even though organizational culture can slowly become less
obvious to employees, it’s still ingrained in their daily work efforts. By creating a
strong company culture aligned with your organizational objectives, you can
increase employee productivity and therefore, increase overall work output. The
majority of workers in the U.S. believe that organizational culture is one of the
biggest influencers of their job performance. In fact, a 2019 survey found
that 76% of employees believe culture helps positively influence their culture and
efficiency, motivating them to do their best work.
6. Stronger Brand Identity How you communicate your brand is important for
both marketing efforts and organizational culture. Your brand represents how the

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 public sees you—it’s your business’ reputation. While some aspects of your brand
image can be controlled by external factors, most of it will come from your
company culture and any interactions that individuals have with employees and
leaders. The stronger your company culture, the more powerful your brand
identity becomes. Your employees may even become individual brand advocates
without any additional persuasion.
7. Stimulated Performance When your organizational culture is one that fosters
individual development, community and inclusivity, you’ll help stimulate
employee performance and achieve more goals. Employee satisfaction combined
with higher performance creates a strong talent pool of dedicated employees who
will continue to value being a part of your company. Over time, this creates a
positive cycle that can exponentially increase the success of your organization.

 Some Examples of Organizational Culture:

Following are some examples of organizational culture .These are some companies along
with goolge and facebook marking there names.
1. L.L. Bean
Ranked in Fortune’s 100 Best Companies to Work For, L.L. Bean’s dedication to
customers through offerings like lifetime warranties and free shipping is reflected
in its internal culture. The 103-year-old retail company with a focus on outdoor
apparel has a low turnover rate of just 3%, and employees enjoy perks like
discounted gym memberships, employee discounts, paid time off for volunteering
and even college tuition reimbursement.
2. Adobe
Also earning a spot in Fortune’s Top 100, Adobe offers perks like discounted gym
memberships and tuition reimbursement, plus paid sabbatical and subsidies for
commuters. Employees even receive patents for their ideas and are awarded
bonuses for those creations at an annual banquet. Product releases are celebrated
with events and recognition for the teammates responsible with rewards like
bonuses and swag

3. DogVacay
The “Airbnb for dogs,” DogVacay, is a startup with an office culture any animal
lover would covet. Every day is bring-your-dog-to-work day, and the team
regularly volunteers at a local animal shelter. Frequent happy hours, karaoke
nights and catered lunches are nice added bonuses, plus HQ is just a few minutes
from the beaches of Santa Monica. Employees even have access to free rental
bikes to take out for a spin when they need to take a break and move around.
4. Wrike 

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 Wrike is another company that puts a great deal of emphasis on hiring for culture,
which is likely why it has glowing reviews on Glassdoor and was named one of
the best places to work by the San Francisco Business Times. The project
management software company does cross-team interviews to ensure a good fit
and regularly blogs about culture. The entire team even got to take a trip to
Mexico for four days of team-building and learning.

5. Zappos
Amongst these six organizational culture examples, Zappos is probably the best-
known. Zappos hires for culture first, treats employees to a three-day culture
camp training event, and regularly features employee contributors in a culture
series for its blog.

6. Quora
Quora is all about learning, conversation, and discovery. So it only makes sense,
then, that the question-and-answer website’s employees are constantly learning
and improving. At Quora, new hires are paired with mentors, and by the end of
the first week, engineers and designers are reviewing one another’s code and
deploying their creations.

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