What are Culture Types? Description

Terrence Deal and Allan Kennedy were among the first to write about corporate culture. In their 1982 book Corporate Cultures: The Rites and Rituals of Corporate Life, they define organizational culture as the way things get done around here.

The concept of organizational culture was first noted as early as the Hawthorne studies (Mayo, 1933; Roethlisberger & Dickson, 1939), which described work group culture. It was not until the early 1980s, however, that the topic came into its own. Several books on organizational culture were published, including Terrence Deal and Allan Kennedy. Towards a model of safety culture M.D. Cooper Ph.D. Applied Behavioural Sciences Ltd., Chartered Psychologists, 1060 Holderness Road, Hull, East Yorkshire. Deal And Kennedy Corporate Culture Pdf File. Corporate Cultures: The Rites And Rituals Of Corporate Life By Terrence E. Deal DIV Business experts everywhere have been finding that corporations run not only on numbers, but on culture Organization consultants Terrence Deal and Allan Kennedy probe the conference rooms and corridors of corporate America to discover the key to business excellence They find that the health of the bottom line.


Organizational culture is a slippery concept to concretely define. This paper deals with the historical development and foundational understandings of both the term culture, from anthropology, and its appropriation by industrial organization researchers to organizational culture. A foundational definition by Edgar Schein of MIT’s Sloan. According to Deal and Kennedy (2000), a strong Correspondence Christine Kane-Urrabazo 1404 Plaza Verde Dr El Paso TX 79912 USA E-mail: christine@elp.rr.com KANE-URRABAZO C. (2006) Journal of Nursing Management 14, 188–194 Management's role in shaping organizational culture Aim The present study addresses the importance of the manager.

Deal and Kennedy argue corporate culture is based on an interlocking of six elements: history, values and beliefs, rituals and ceremonies, stories, heroic figures and the informal cultural network of storytellers, gossipers, whisperers, spies and priests. Their Culture Types model distinguishes four corporate culture types, based on two elements:

  • Feedback Speed: How quickly are feedback and rewards provided (through which the people are told they are doing a good or a bad job).
  • Degree of Risk: The level of risk taking (degree of uncertainty).

The combination of these two elements results in four types of corporate cultures:

  1. Tough-Guy Macho Culture (Fast feedback and reward, high risk):
    • Stress results from the high risk and the high potential decrease or increase of the reward.
    • Focus on now, individualism prevails over teamwork.
    • Typical examples: advertising, brokerage, sports.
  2. Work-Hard, Play-Hard Culture (Fast feedback and reward, low risk):
    • Stress results from quantity of work rather than uncertainty.
    • Focus on high-speed action, high levels of energy.
    • Typical examples: sales, restaurants, software companies.
  3. Process Culture (Slow feedback and reward, low risk):
    • Stress is generally low, but may come from internal politics and stupidity of the system.
    • Focus on details and process excellence.
    • Typical examples: bureaucracies, banks, insurance companies, public services.
  4. Bet-Your-Company Culture (Slow feedback and reward, high risk):
    • Stress results from high risk and delay before knowing if actions have paid off.
    • Focus on long-term, preparation and planning.
    • Typical examples: pharmaceutical companies, aircraft manufacturers, oil prospecting companies.

Book: Terrence E. Deal, Allan A. Kennedy - Corporate Cultures: The Rites and Rituals of Corporate Life (1982) -

Book: Terrence E. Deal, Allan A. Kennedy - The New Corporate Cultures (2000) -


Special Interest Group

Corporate Culture Special Interest Group.



Special Interest Group (90 members)

Forum

Forum about Corporate Culture.


🔥 NEWBuilding Blocks of Organizational Culture: The Six Components of Corporate Culture (Coleman)
Culture, unlike its short and easy definition – the way we do things here – isn't as easy a concept to get the h (..)
8 reactions
Perfect Definition of Corporate Culture (Uttal, 1983)
In an article in Fortune magazine (Oct. 17, 1983 - pp. 66-72), writer Bro Uttal defined 'corporate culture' as follows: (..)
13 reactions
Creating an Innovative Organizational Culture
Innovative cultures are greatly valued because they are not only good for a company's bottom line, but also largely depi (..)
7 reactions
12 Culture Factors of Drennan?
Has anyone heard of Drennan and his 12 factors in which you can recognize a corporate culture? He is the one who said cu (..)
3 reactions
Culture of Accountability
Any experience with a Culture of Accountability? There are different books and suppliers of the concept, workshops and (..)
9 reactions
Best Practices

The top-rated topics about Corporate Culture. Here you will find the most valuable ideas and practical suggestions.


Eight Types of Organizational Culture (Groysberg)
Culture is the social order of an organisation. It forms people's attitudes and behaviours in a wide range of ways. Cult (..)
5 reactions

How to Deal with a Culture of Gossip and Backbiting?
Hi all, I am in the following situation: - I am the deputy of a Team Manager (TM). - The team consists of people with (..)
2 reactions

Innovation in a Target / Performance Culture
Many organizations today have a 'target culture', which is characterized by strong , performance monitoring, individual (..)
0 reactions

Another Culture Type: the Yes Culture
Schmidt and Rosenberg recommend to establish a 'Yes Culture' in order to establish an innovative firm. It is a culture i (..)
0 reactions

Do Competitive Work Cultures Lead to Better Performance?
I am searching for information and sources (books or articles) to give me information about differences between competit (..)
2 reactions

The Effects of Leadership on Organizational Culture
Hi, I am currently researching on 'The effects of leadership on organizational culture' for my thesis. I am enrolled for (..)
1 reactions

Culture Types Useful Model
This model on culture types makes it easy to understand why certain results can be attained, particularly when efforts a (..)
1 reactions

High Performance Work Culture
Of what does a high performance work culture consists..? (..)
0 reactions

Connecting Culture and the Dominant Strategy
The flaw in the Deal and Kennedy model is that it does not connect culture to the strategies being implemented by the or (..)
2 reactions

International Culture Types
I think that the four culture types model has now become too limited. Not many of the types work well for third-world co (..)
3 reactions

Expert Tips

Advanced insights about Corporate Culture. Here you will find professional advices by experts.


Establishing an Organizational Culture of Perpetual Crisis

Corporate Culture Best Practice
An interesting article in the issue of Fortune (Sept. 5, 2005, no. 15) explains how Jong-Yong Yun, CEO of Samsung, is re (..)

Strategies to Change Employee Habits, Hearts and Heads

Changing Organization Cultures
According to J.E. Kee and K.E. Newcomer ('Why Do Change Efforts Fail? What Can Leaders Do About It?', The Public Manager (..)

Pitfalls and Best Practices in Culture Change

Changing Organizational Cultures, What to DO and what NOT
According to Jon Katzenbach and Ashley Harshak ('Stop Blaming Your Culture', strategy+business, Spring 2011, Issue 62), (..)

Why is Changing an Organization Culture So Hard? The ASA Model (Schneider)

Organization Culture, Culture Change, Corporate Culture, Change Management, Recruitment
Why is changing an organization culture so difficult? Because, once it is established, a culture has the tendency to str (..)

How Culture Levels Explain Failures in Organizational Learning and Innovation

Improving Organizational Learning, Organizational Innovation, Changing Organization Cultures
Schein (as cited by Bertagni et al., 2010) tries to elaborate on the question why organizational innovations often fail (..)

Top-5 Reasons for Burnouts are All Management-related!

Burnout Causes, Burnout Reasons, Causes of Burnouts
A 2018 Gallup study of nearly 7,500 full-time employees found that no less than 23% replied they feel burned out at work (..)

The Importance of Culture in Organizational Performance

Organizational Culture, Corporate Culture, Employee Behavior, Organizational Performance
John Connolly, former CEO of Deloitte UK, argues that one of the most critical determinants of organizational performanc (..)

7 Mechanisms to Change Corporate Cultures

Change Management, Organizational Change, Culture Change
Management can choose from this menu of actions to change a problematic corporate culture: 1. Making a compelling case (..)

PROs and CONs of a Strong Corporate Culture

Corporate Culture Change, Change Management, Organizational Change
Implementing a significant change is generally easier when the corporate culture is not strong. By strong Corporate Cult (..)
Information Sources

Various sources of information regarding Corporate Culture. Here you will find powerpoints, videos, news, etc. to use in your own lectures and workshops.


Management Across Cultures: Managing in a Global Context

Cross-Cultural Management, Cultural Dimensions, Cultural Intelligence, Multicultural Teams, Global Leadership, Global HR
This presentation consist of six sections that together form an extensive description of management across cultures. The (..)

Role of Corporate Culture

Culture Change, OD
Good presentation about the role of corporate culture. Topics: What is Organisational Culture? What is the link between (..)

What is Corporate Culture

Short Intro
What is corporate culture, how can you determine what is the CC, What is driving a CC? (..)

Introduction to Organizational Culture and Climate

Organizational Culture, Organizational Climate
Presentation about organizational culture and climate, including the following sections: 1. Learning objectives 2. Bas (..)

5 Strategies to Successfully Manage Cultural Differences

Cultural Differences, Cultural Intelligence, Cross-Cultural Teams, Company Culture, Hofstede
Cultural differences can be an asset rather than a liability to a team if carefully managed and other people are approac (..)

Innovation Culture: Reducing Fear in Organizations

Innovation Management, Change Management
This presentation elaborate son the issue of fear in organizations, particularly on the process of reducing fear so as t (..)

What is Corporate Culture? Learn from 4 CEOs

Corporate Culture, Organization Culture, Organizational Culture, Starter for Training / Workshop
Corporate cultures are at the core of organizations and '..every company has a culture, either by design or by default. (..)

Organizational Culture and Critical Theory Internet explorer 32 bit windows 7.

Organizational Culture
A detailed presentation, explaining Organizational Culture and Critical Culture. A description of Organizational Cultu (..)

Meeting Culture

Funny Picture
Funny picture about meeting culture. (..)

Macho Culture

Funny Picture
Funny picture showing people buttering up. (..)

Culture, Cultural Competence, Cultural Intelligence and the CQ

Cultural Intelligence
This presentation is a good introduction to culture and contains three large sections: Culture, Cultural Competenence an (..)

Introduction to Organizational Culture

Initial Understanding of Organizational Culture and Why it Matters to an Organization
Daniel Denison explains what an organizational culture is and why this own unique identity matters to an organization. H (..)

Funny Org Chart Picture

Org. Charts / Culture
Funny picture to explain organization charts and/or organizational culture. (..)

Culture Types Diagram

Corporate Culture
Download and edit this 12manage PowerPoint graphic for limited personal, educational and business use. Republishing in (..)

Compare with Culture Types: Levels of Culture Changing Organization Cultures Cultural Dimensions Groupthink Core Group Theory Contingency Theory Change Management Iceberg Change Phases Force Field Analysis Planned Behavior Leadership Continuum Cultural Intelligence


Return to Management Hub: Change & Organization Communication & Skills Decision-making & Valuation Human Resources


More Management Methods, Models and Theory

Table of Contents

Executive Summary

List of Abbreviations

List of Figures

1 Introduction

Deal And Kennedy Organizational Culture

2 Problem Definition

3 Objectives

4 Methodology

5 Main Part
5.1 Theoretical Models of Corporate Culture
5.1.1 Deal & Kennedys Four Cultures Model
5.1.2 Edgar H. Scheins Three Levels of Culture
5.2 The Need for Culture Change
5.3 Ways to Change Culture
5.3.1 Cycle of Cultural Evolution in Organizations, Dyer
5.3.2 Culture-Management-Process
5.4 Problems and Limitations of Changing
5.5 Business Case “Credit Mutuel Group”

6 Results and Conclusion

Bibliography

Executive Summary

Corporate culture is an important phenomenon of organizations. Values, visions, norms, language, beliefs and habits of the organization are fixed in the cultures contents. A good working culture is important for the company’s success and profit situation. The globalization leads to a dramatic process in the economic markets. Takeovers, cooperation and mergers are typical consequences of the new economic era. This market process is also responsible for the collision of corporate cultures. Different needs justify that willful intervention in the culture system after a takeover. Dissatisfaction, isolation and inefficiency are only a few reasons why a cultural change is recommendable. For a successful change it is decisive to know everything about the old culture and to know what to do for changing it. Several theoretical models and strategies have been developed for this issue. The most reason why a change fails is that problems and limitations have not been taken into consideration or have not been handled the right way. Culture-guides should lead the employees thru the changing process and should help orientating. The change of a culture is a long way and many do are not patient enough to wait. The success of a change is based on many task but the important task is to recognize that problems occurring during the changing process are usual and the solving of these problems lead to the new culture. Problems are indicators for mistakes or wrong planning which have to be solved. Changing operators have to recognize problems as chance for succeeding.

List of Abbreviations

illustration not visible in this excerpt

List of Figures

Figure 1: Deal & Kennedy “Four Cultures Model”

Figure 2: Edgar H. Scheins Three Levels of Culture

Figure 3: Cycle of Cultural Evolution in Organizations, Dyer

Figure 4: Culture-Management-Process

Figure 5: Comparison Citigroup Inc. vs. Credit Mutuel Group

1 Introduction

In the age of globalization, markets become more and more dynamic. For reasons of synergetic potentials, improvements in productivity and possible savings many companies are looking for investments to make themselves more efficient[1]. Today, takeovers or mergers and acquisitions are usual part of economic life and make a high demand on the work of the Human Resource Department. In the first half year 2012 over 20.000 transactions were counted in this sector in spite of the Financial Crisis we are facing these years[2]. Beside the legal and bureaucratic complexity, the HR department has to manage the whole personnel consequences resulting from the merger. Integration of employees, cancellation and change of employment agreements, renegotiation of collective agreements and restructuring of work time schedules are only a short enumeration of the multiplicity of demanding duties and responsibilities, which have to be handled. One important challenge for the HR department is the right exposure with different corporate cultures. The integration of companies in organizations can fail, if cultural differences are not considered[3]. On these grounds identification and influence of organizational culture are critical factors which decide over success or failure of an acquisition. Comparable to domestic political problems within the integration of foreigners with different cultures and religious faith, the establishment or change of an existing organizational culture is a sophisticated and sensitive issue, especially when the responsible people do not even know about their own cultural structure.

2 Problem Definition

The reason why the integration of a company after a takeover fails is not only the ignorance of organizational culture; it is also the lack of knowledge about how to change an existing culture. The changing process is also a complicated and often nontransparent case with many possible problems and limitations which have to be considered. That means that there is no general roadmap of changing or establishing a culture, rather every single cultural change needs its own new roadmap developed. This new roadmap evolves from solving different kind of problems during the changing process. And sometimes there are limitations of change which have to be accepted.[4]

3 Objectives

The objective of this assignment is to discover what problems and limitations could occur during the changing process of an organizational culture after a takeover. It will be also seek to identify how to handle typical problems and to recognize insuperable limitations. Theoretical models for recognizing a culture type and models for changing an organizational culture should help identifying this problems and limitations.

4 Methodology

Deal And Kennedy Corporate Culture Pdf

The main part of this assignment will start with a theoretical overview of different models, developed to describe different indicators of corporate culture. It will begin with the model of Deal and Kennedy which is based on four different types of organizations. These types vary in how quickly the organization receives feedback, the way members get a return on their investment, and the level of accepted risks[5]. Afterwards, the Three Levels of Culture Theory by Edgar Schein will be explained. This model defines the organizational culture as something observable, but also as a result of values and basic assumptions[6]. After the specification of the named models, needed for identifying cultural structures within the community, possible methods aiming for a cultural change will be defined. At the same time problems and limitations will be discussed in this part. A short example of a failed changing try and the appeared problems and limitations will be given to establish a practical relevance. This example will be based on the takeover of the Citigroup retail banking subsidiary company in Germany. In a following chapter the results will be discussed and afterwards a conclusion of this issue will be set.

5 Main Part

5.1 Theoretical models of Corporate Culture

In the past many theoretical models have been established to explain organizational cultures. They all try to explain the different types and groups of the settled culture and the behavior aspects of their members. As a definition can be said, that corporate culture is something common, that counts for every member of the organization. Through values, standards and believes it leaves its marks on their behavior. For the member of the culture community the culture itself is something which is simply there. The members do not reflect the situation and everything happens unconsciously. An important fact is that corporate culture growths from the past. It is established from the unit of the members and it can be changed by them. Another important detail is that corporate culture is influenced by other culture types. The culture of a country, of an industry-sector and organizational sub-cultures affects the acting of the culture members.[7] As mentioned, many theories were established to explain this phenomenon. For reasons of clearness only the models of Schein and Deal and Kennedy will be explained in the following text. These models are well-known an important explanations for this issue.

5.1.1 Deal & Kennedys Four Cultures Model

Deal & Kennedy established in 1982 a model, which tries to describe corporate culture with the aim of two dimensions. The first dimension focuses on the level of risks taken and the second on how quickly the organization receives feedback. With this framework and the examination of hundreds of organizations Deal & Kennedy could distil four generic cultures.[8] Figure 1 shows the identified cultures. The Process Culture takes low risks and receives slow feedback. This type is usually to find in banks, insurance companies, in government agencies or in strong regulated industries. The strong work regulation leads to an inflexible work flow system. There is a given work flow for nearly every issue, so that there is no decision making risk for the employees. But problems or new challenges cannot be handled in time; usually it will take time until a new work flow is settled to manage the new task. An advantage is that the employees have no big responsibility for their decisions if they follow the given map and as a result no regular decision will endanger the company.

Culture

Abbildung in dieser Leseprobe nicht enthalten

Figure 1: Deal & Kennedy “Four Cultures Model”

Source: Deal & Kennedy (2000), pp. 107 – 108

On the other hand the workers do not know how effective they work, because they are not getting a fast feedback. They are forced to concentrate on how to do something and not on what they are doing. Efficiency and innovations are hard to establish in this culture type. Typical rites and rituals are long and structured meetings, ceremonies like for retirement and a strong hierarchy structure.[9]

The Work Hard / Play Hard Culture takes low risks and gives fast feedback. This type is hardly to find in typical sales organizations. Activity and strong leaders are the way to success. Reports and action plans minimize the risks and drive the success of the employees. Quick feedback helps the workers to check their efficiency and to set corrective plans to succeed. Typical rites are after work parties, contests meetings and promotions. The motivation of the employees is one of the biggest tasks which have to be handled by the management. A big advantage of this culture type is the fast and strong activity of the culture members. Through a high self-motivation, employees work fast and hard to reach their goals and to get one of the top performer. Within this culture the members want to succeed and to be one of the best, this attitudes lead to an economic growth without any effort of resources. Disadvantages of this culture type should also be named. Product and service quality can decrease if everything is going too fast. People have a fast success, but they do not ask themselves if the work had the right quality. Fast decisions can also deliver bad results and lead into a crisis, which means that activity is not a guarantee for success.[10]

The next culture type describes companies which have a high risk in decision making but the return on their investment (feedback) comes very slow. The Bet-Your-Company Culture usually appears in the industry sector. Companies spend millions of dollars for a project, they even do not know if it works. Big oil companies are a good example. They build off shore oil rigs to explore a new source, but they do not know if it is efficient or if they will find enough oil to make a profit out of the investment. This example shows the risk of a project and the time of regarding feedback. Making right decisions is very important for the organization. Typical rites are project meetings and a high qualification of the staff. Solving problems or making decisions can take a long time. It has to be sure that everything has been calculated before a decision will be made.

Last but not least the Tough-Guy / Macho Culture can be described by a fast feedback and a high level of risk. This culture type is typical for the entertainment industry, police departments or consulting companies. The financial investments are high and the feedback comes quick. The high level of risk for the investments is a reason why the pressure in this sector is so high. A made decision decides over success or failure and consequently over the future of the decision maker. As a result it can be noticed, that this culture consists of individualists and tough guys who can impose their will. The advantage of this culture type is the high motivated individualists. Their self confidence can change results and turn developments around. A disadvantage is that decisions are made by those who can get their own way best. No clear arguments and calculations decide over decisions, but those who can sell them best.[11]

These culture types describe the relationship between market conditions within the company moves and the corporate culture. It can be noticed that some market sectors depending on the level of risk and the time of feedback, have independently developed the same culture type.[12]

[..]

Corporate Culture Pdf File

[1] Deal & Kennedy (1999), pp. 111 – 117.

[2] Borell & Jager (2012), n.p.

[3] Cameron & Quinn (2011), pp. 1 – 2.

[4] Deeg & Weibler (2008), pp. 127 – 133.

[5] Deal & Kennedy (2000), pp. 107 – 108.

[6] Schein (2010), pp. 23 – 32.

[7] Deeg & Weibler (2008), pp. 103 – 104.

[8] Deal & Kennedy (2000), p. 107.

[9] Deal & Kennedy (2000), pp. 119 – 123.

Corporate Culture

[10] Deal & Kennedy (2000), pp. 113 – 116.

Deal And Kennedy Corporate Culture Pdf Free

[11] Ibid., pp. 108 – 113.

[12] Deeg & Weibler (2008), p. 109.