and Answers Already Graded A+
Culture creation occurs in three ways: - ✔✔Founders hire employees who
think and feel the way they do.
Employees are indoctrinated and socialized into the founders' way of
thinking.
Founders' own behavior encourages employees to identify with them and
internalize their beliefs, values, and assumptions.
Culture Maintenance (4) - ✔✔attraction-selection-attrition
new employee onboarding
leadership
reward systems
These lead to organizational Culture
Creation of Culture - ✔✔Founder's values and preferences
Industry Demands
1
©JOSHCLAY 2024/2025. YEAR PUBLISHED 2024.
,Social Activism - ✔✔_______ of Ben and Jerry's was instilled in the
company because founders strongly believed in these issues
Social Activism - ✔✔_______ helped distinguish Ben and Jerry's from
larger corporate brands
Why do firms in the same industry tend to have similar cultures? -
✔✔Because the industry influences the culture
Why do orgs in the banking industry have many internal procedures and
policies as they face many regulations? - ✔✔Because of the laws and
governing of the banking system
Although we may admire the cultures of companies like Google and Yahoo
which focus on innovation... - ✔✔Those cultures are not easily transferred
to companies in other industries
Maintaining Culture: Attraction-Selection-Attrition - ✔✔•________-people
tend to be attracted to firms where they feel they will fit in. Personality and
values may influence companies we feel will be a good match to us.
•________-firms are looking for people who have the required knowledge,
skills and abilities and will fit the firm's culture.
2
©JOSHCLAY 2024/2025. YEAR PUBLISHED 2024.
, •__________-occurs when there is a misfit and the person doesn't fit the
culture. Misfits end up leaving the firm either due to their own choice
(functional turnover) or being fired or laid-off.
Centralization - ✔✔The degree to which decision making is concentrated at
higher levels in an organization
Decentralized Companies - ✔✔_______ give more authority to lower level
employees, resulting in a sense of empowerment
The more decentralized a company is.... - ✔✔The better equipped the
company is to compete at the global level
Centralized - ✔✔Can lead to inefficiencies in decision making in an
uncertain or highly competitive market
In a stable environment, can lead to more efficient operations
Decentralized - ✔✔Decisions can be made more quickly
Can provide greater levels of procedural fairness to employees
Formalization - ✔✔The extent to which policies, procedures, job
descriptions, and rules are written and explicitly articulated.
Organizational Structure - ✔✔Centralization
Formalization
Hierarchical Levels
3
©JOSHCLAY 2024/2025. YEAR PUBLISHED 2024.