Title: 8.5 Creating and Maintaining Organizational Culture – Principles of Management
Headings: 8.5 Creating and Maintaining Organizational Culture
8.5 Creating and Maintaining Organizational Culture
Learning Objectives
How Are Cultures Created?
Founder Values
Industry Demands
How Are Cultures Maintained?
Attraction-Selection-Attrition
New Employee Onboarding
What Can Employees Do During Onboarding?
What Can Organizations Do During Onboarding?
What Can Organizational Insiders Do During Onboarding?
Leadership
Reward Systems
Signs of Organizational Culture
Mission Statement
Rituals
Rules and Policies
Impact of HR Practices on Organizational Culture
Physical Layout
Stories and Language
Key Takeaway
Exercises
References

Content: Smalley, 2007). Founder values become part of the corporate culture to the degree to which they help the company be successful. For example, the social activism of Ben and Jerry’s was instilled in the company because the founders strongly believed in these issues. However, these values probably would not be surviving 3 decades later if they had not helped the company in its initial stages. In the case of Ben and Jerry’s, these values helped distinguish their brand from larger corporate brands and attracted a loyal customer base. Thus, by providing a competitive advantage, these values were retained as part of the corporate culture and were taught to new members as the right way to do business. Figure 8.12
Ben & Jerry’s has locations around the world, including this store in Singapore. Waycool27 – BenJerry-UnitedSquare – public domain. Industry Demands
While founders undoubtedly exert a powerful influence over corporate cultures, the industry characteristics also play a role. Companies within the same industry can sometimes have widely differing cultures.