Organizational culture
Organizational culture is the system of shared values, beliefs, assumptions, and norms that shapes how members of an organization think, behave, and interact, defining "how things are done around here" (Schein E.H. 2010, p.18)[1]. Walk into a startup's open office with ping-pong tables and informal dress. Walk into a law firm with wood-paneled conference rooms and formal attire. The differences you observe—in physical environment, interaction style, and priorities—reflect different organizational cultures. Culture is the invisible force that shapes behavior even when no one is watching.
Edgar Schein, whose work defined the field, observed that culture develops as organizations solve problems of external adaptation and internal integration. Solutions that work become shared assumptions, passed to new members as "the correct way to perceive, think, and feel." Culture provides stability and meaning but can also blind organizations to changes requiring new approaches.
Levels of culture
Schein identified three levels:
Artifacts
Visible elements. What you can see, hear, and observe: physical space, dress code, ceremonies, stories, stated values, organizational charts[2].
Interpretable. Artifacts are visible but their meaning isn't self-evident. An open floor plan might reflect egalitarian values—or just cost savings.
Espoused values
Stated beliefs. What the organization says it values: mission statements, strategic priorities, publicly declared principles.
Aspirational gap. Espoused values may not match actual behavior. Companies proclaim innovation while punishing failure[3].
Basic assumptions
Deep beliefs. Unconscious, taken-for-granted beliefs that truly guide behavior. These develop from repeated successful problem-solving and become invisible.
Hard to change. Basic assumptions resist change because members don't recognize them as choices.
Elements
Culture manifests through various components:
Values
Core principles. What the organization considers important—innovation, customer service, integrity, teamwork. Values guide decisions when rules don't specify answers[4].
Norms
Behavioral expectations. Unwritten rules about appropriate behavior: how people dress, communicate, treat each other, handle conflict.
Symbols
Meaning carriers. Objects, language, and rituals that carry cultural meaning. The founder's parking space, the annual awards ceremony, the company jargon.
Stories
Cultural transmission. Narratives about key events, heroes, and turning points that communicate what matters[5].
Functions
Culture serves organizational purposes:
Identity. Culture defines what makes the organization distinctive and creates a sense of belonging.
Coordination. Shared values and assumptions enable coordination without constant formal direction.
Meaning. Culture provides meaning and purpose that motivates members[6].
Control. Culture shapes behavior more powerfully than rules and supervision.
Culture types
Researchers have identified cultural archetypes:
Clan culture. Family-like, collaborative, mentoring focus.
Adhocracy culture. Dynamic, entrepreneurial, innovation-focused.
Market culture. Results-oriented, competitive, achievement-driven.
Hierarchy culture. Structured, controlled, efficiency-focused[7].
Culture change
Changing culture is difficult but possible:
Leadership modeling. Leaders must exemplify desired values.
Systems alignment. Rewards, promotions, and processes must reinforce desired culture.
Time. Deep cultural change takes years, not months[8].
Symbolic actions. Visible changes signal that things are different.
Strategic importance
Culture affects performance:
Competitive advantage. Strong cultures can be sources of sustainable advantage—difficult to imitate.
Strategy execution. Culture must support strategy. Innovative strategy fails in risk-averse culture.
Mergers and acquisitions. Culture clashes often undermine expected synergies.
| Organizational culture — recommended articles |
| Organizational behavior — Management — Leadership — Organizational change management |
References
- Schein E.H. (2010), Organizational Culture and Leadership, 4th Edition, Jossey-Bass.
- Cameron K.S., Quinn R.E. (2011), Diagnosing and Changing Organizational Culture, 3rd Edition, Jossey-Bass.
- Deal T.E., Kennedy A.A. (1982), Corporate Cultures, Perseus Publishing.
- Hofstede G. (2001), Culture's Consequences, 2nd Edition, Sage.
Footnotes
- ↑ Schein E.H. (2010), Organizational Culture and Leadership, p.18
- ↑ Cameron K.S., Quinn R.E. (2011), Diagnosing and Changing, pp.34-48
- ↑ Deal T.E., Kennedy A.A. (1982), Corporate Cultures, pp.67-82
- ↑ Hofstede G. (2001), Culture's Consequences, pp.89-104
- ↑ Schein E.H. (2010), Organizational Culture and Leadership, pp.156-172
- ↑ Cameron K.S., Quinn R.E. (2011), Diagnosing and Changing, pp.89-104
- ↑ Deal T.E., Kennedy A.A. (1982), Corporate Cultures, pp.134-148
- ↑ Hofstede G. (2001), Culture's Consequences, pp.178-192
Author: Sławomir Wawak