Organizational culture is the intangible atmosphere of a company that affects human behavior. The study of it includes shared understandings, values, and assumptions. Historical clues are used to determine the evolution of culture, and it can uncover flaws. Intangible features include values, assumptions, and norms. The effects on human behavior are also studied.
Organizational culture is the atmosphere that pervades a company or association. Theories of organizational culture seek to explain the phenomena that occur in and around individuals. The conceptual study of organizational culture is often called a phenomenon of interest. Rather than a mathematical formula, the study of organizational culture includes shared understandings, intangible values and assumptions, and the effects culture has on human behavior. Understanding the phenomenon of organizational culture allows companies to strengthen their working environment.
The study of organizational culture theories is often difficult due to a lack of hard evidence on various cultures. Analysts often use historical clues to determine the evolution of organizational culture. For example, the industrial age had many manufacturing or production companies. The organizational culture present in those companies was certainly different from that present in the information age. Organizational culture studies can also uncover flaws in current cultural phenomena.
A shared understanding of organizational culture is one of several theories between public and private sector organizations. Individuals in a business often hire like-minded individuals to further a specific, well-defined purpose. This allows the company or organization to focus individually in terms of culture. Organizational culture theories typically have several general business mindsets, such as ethics, profits, or philanthropy. Shared characteristics only change over time as hiring managers replace older workers.
Intangible features in organizational culture include values, assumptions, and norms. Organizational culture theories define these characteristics differently depending on each organization’s mission. For example, every country often has a social norm in terms of culture. These norms influence the internal culture of many organizations and the people who work for companies. Attempting to change an organizational culture that runs counter to social norms can often be difficult or impossible.
Effects on human behavior are another aspect of understanding theories of organizational culture. Most individuals still retain specific internal values or beliefs; how these work in an organization with a contrary culture is often an interesting study. When few options exist for these individuals to find a similar corporate belief system, the effect on their behavior helps define changes in individuals and organizations. Human interaction between employees and customers with different beliefs outside the organizational culture is also a study in this theoretical method.
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