Zappos + Culture correct answers -values
-What do you see in a company?
-what a company says
-What do you see/say about yourself?
*Observational and Core Culture*
Managers Must: correct answers 1. Develop culture
2. Encourage innovation
3. Manage change
*DEM*
Cultural Fit correct answers -#1 reason people leave jobs
-lack of cultural fit
-urban vs rural
Culture Definition correct answers -system of shared beliefs/values guiding behavior (internal)
-"the way we do things around here"
-set of signals of what is considered appropriate vs. inappropriate (external)
Culture is *Personal* correct answers -subculture
-people can be different but also be in the same subcultures
EX: Academic (type & level), Functional (marketing), Geographic, Club, Political, Ethnic,
Religious, Fitness, Style, Urban/Rural
Culture is *Organizational* correct answers -IBM + The Masters Golf
-Ginni Rometty (CEO of IBM-Jan. 2012)
-would not let her be a member b/c it's an all-men club. She respected it and would not
compromise organization
Culture is *Corporate* correct answers Corporations and Culture: (*SRDS*)
-Shape attitudes
-Reinforce beliefs
-Direct behavior
-Set expectations
EX: Disney Traditions with Mickey
-training employees, mickey symbols everywhere
KPMG Study
Mergers & Acquisitions correct answers -analysis of 700 deals over 2 years
-83% failed to produce any benefit
,-50%+ destroyed shareholder value
-only 17% added value-why???
1. Bankers
2. Lawyers
3. Consultants
4. Government Officials
-lack of cultural auditing
Culture is *Global* correct answers -worldmapper.org
Above & Below the Waterline correct answers -Observed (above) and Core (below) Culture
Iceberg Analogy (Edger Schein's Levels of Culture):
1. Visible (dress, office, symbols, slogans)
2. Invisible (expressed values - EX: HP way)
Penn State Exercise on Culture correct answers Observed:
-Campus, Dress, International, Sports/Fitness, Leaders Actions, Classes, Technology, Dating,
Orgs, THON, Speakers
Core:
-Academics, Grades, Code Conduct, Integrity, WeAre, Rules, Alma Mater
Heroes correct answers Cultural Benefits:
-shared knowledge of hero stories
-establish or represent core values
Heroes:
-employees, customers, leaders
Heroes Example correct answers -Sam Walton (Wal-mart)
-Ken Frazier (Merck)
-Walt Disney (Disney Co.)
-Ursula Burns (Xerox)
-Indra Nooyi (Pepsico)
-Sheryl Sandberg (Facebook)
Rites & Rituals correct answers Cultural Benefits:
-creates connection (people + org)
-builds morale + engagement
-shared hands on experience
EX: Pixar + Culture
-gives employees money to customize offices
Symbols correct answers Cultural Benefits:
, -common understanding of culture
-easy to recognize (you + others)
EX: Thurl Ravenscroft (voice of Tony the Tiger) and Kellogg's Frosted Flakes
EX: Football Game Rituals with the Nittany Lion and Jimmy the Drum Major
Stories correct answers Cultural Benefits:
-easily remembered + passed on
-instills deeper cultural understanding
EX: Harland Sanders (KFC) and Dave Thomas (Wendy's)
-employees, customers, leaders
Innovation Example correct answers 3-D printing
Innovation Definition correct answers -taking a new idea and putting it into practice
*-the process of translating an idea or invention into a good or service that creates value for
which customers will pay*
3 parts of Innovation correct answers -Process, Product, and Business Model (*PPB*) +
Sustainability
Process Innovation correct answers Lean Principle = Reduction of Waste (largest # of
innovations)
Six Sigma = Process of Improvement (Vending Machine with debit/credit cards Ex)
*Building Planes Ex:*
-reduction in cost
-increased turn around (cycle time)
-increase output
-better customer satisfaction
Product Innovation correct answers -add value and pay money
*Drones Ex:*
-military and recreational
-Frank Wang (DJI CEO)
-"Are there benefits and side effects?"
Business Model Definition correct answers -create, deliver, and capture value
Business Model Innovation Example correct answers Media - decline of print
Retail - online shopping
Education - online classes
Music - physical to digital owning to streaming service