REFLECTIVE GENERAL
MBA401
People, Culture and
Contemporary
Leadership
Workshop Week 2
Developing Culture and
Engagement
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2
• By the end of this workshop you will be able to:
– explain the nature of organisational culture
– detail how managing change can affect people within organisations
– explain the concept of employee engagement, how it is measured, and how it can impact performance.
• LO1 - Explain the key concepts in managing the human resources inherent in an organisational system.
• LO2 - Apply human resource considerations to business decision making and in meeting organisational strategic goals.
Workshop Objectives
Examples of Organisational
Culture
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What is Organisational Culture?
• “The shared values, beliefs, assumptions and patterns of behaviour within an organisation” (Riggio, 2015).
• “The ‘social glue’ that holds together the whole organisation” (Deal and Kennedy 1982).
• “Shared norms, values and goals for an organisations culture” (O’Reilly & Chatman, 1996).
• “Described as the way things are done in the organisation” (Schneider, 2000).
What is Organisational Culture?
Source: Organizational Culture and Leadership (Schein, 2010)
Activity – Atlassian espoused
values
• https://www.youtube.com/watch?v=tBPbWOo
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• Discuss the following questions with person
next to you:
– How important do you think organisational values
are to creating Atlassian's Corporate culture?
– What does this mean for the organisation, for
employees and for Atlassian customers?
Aspects of Culture – how is it
developed?
• Rites and ceremonies
• Stories
• Symbols
• Language
Source: Trice and Beyer (1984)
Types of Organisational Culture
• Power culture
– Concentrates power among a small group or a central figure and
its control is radiating from its centre like a web.
• Role culture
– Authorities are delegated as such within a highly defined
structure.
• Task culture
– Teams are formed to solve particular problems. Power is derived
from the team with the expertise to execute against a task.
• Person culture
– Formed where all individuals believe themselves superior to the
organisation.
Source: Harrison (1972), Handy (1976)
Types of Culture
Source: Adapted from KS Cameron, RE Quinn, AV Thakor, Competing Values Leadership, (2006)
Activity: Types of Culture
• In teams of 3 or 4, review each case study
and discuss what type of culture is
demonstrated. Use the Cameron and
Quinn model (Clan, Adhocracy, Market,
Hierarchical).
• Be prepared to share your response and
rationale with the broader group
• You have 10 mins!
Activity – Types of Culture
• Google’s organisational culture is:
– Open
– Innovative
– Smart with emphasis on excellence
– Hands-on
• Within Google’s organisational culture context, employees feel free to give their ideas and opinions. Innovation is at the heart of Google. Every employee is conditioned to contribute innovative ideas.
• The firm also favours smart employees who strive for excellence.
• The company supports employee involvement in projects and experiments.
Source: adapted from http://panmore.com/google-organizational-structure-organizational- culture
Activity – Types of Culture
• Southwest Airlines began flying with just four planes in 1971, and has grown to employ more than 52,000. Based on the U.S. Department of Transportation’s most recent data, Southwest Airlines is the nation’s largest carrier in terms of originating domestic passengers boarded. The company has been profitable for 43 consecutive years, and its legendary culture is one of its greatest assets. Founder Herb Kelleher is credited with instilling the idea that happy employees create happy customers, and profitability follows.
• With core values of a “Warrior Spirit,” “Servant’s Heart” and “Fun-LUVing Attitude,” Southwest asks employees to embody hard work, perseverance, proactive customer service and lighthearted fun in everything they do. Managers are encouraged to hire for attitude and train for skill.
• Southwest’s culture of service thrives on appreciation, recognition, and celebration. The company works to appreciate every employee through local and companywide culture committees. Southwest employees take time to recognize each other through formal and informal ways, including internal awards and programs, such as the Winning Spirit Award. The company has several prestigious corporate awards employees can be nominated to receive, like the President’s Award, and recognizes service through milestone anniversary celebrations.
• Because of this employee-focused culture, Southwest employees are often featured in the airline’s commercials.
Source: http://blog.indeed.com/2016/09/21/build-great-organizational-culture/
Activity – Types of Culture
• The work environment of McDonalds has
strict institutional procedures in place for
guidance. Leadership is based on
organised coordination and monitoring,
with a culture emphasising efficiency and
predictability. The values include
consistency and uniformity.
Activity – Types of Culture
• Oracle Corporation is an American multinational computer technology corporation headquartered in California.
• In 2018, Oracle was the fourth largest software maker by revenue, after IBM.
• The company specialises primarily in developing and marketing database software and technology, cloud engineered systems and enterprise software products.
• The company also develops and builds tools for database development and systems of middle-tier software, enterprise resource planning software, customer relationship management (CRM) software, and supply chain management (SCM) software.
• Oracle is known for a hard-driving sales and marketing culture, epitomised by its track record of ambitious and sometimes aggressive acquisitions.
Source: Forbes Global 2000
When Culture Goes Wrong
• To help set cultural strategy and values
• To define elements of a high performing culture
• To identify the right structure and leadership
• To integrate relevant culture and behavioural
characteristics into HR processes, for example:
– Recruitment
– Performance management
– Training and development
• To manage cultural change.
Culture - The Role of HR
Source: Nankervis et al (2014)
• https://www.youtube.com/watch?v=VE0lPTfsBoI
• Watch the video and in groups of 4 or 5 answer the following questions:
– What are the key drivers of change that will affect the organisation Deutsche Post?
– How would the culture need to adapt at end ‘change’ to ensure that Deutsche Post is successful?
• You have 10 mins to discuss in your groups
Activity – Deutsche Post
Forces for Change
Source: Nankervis et al (2014)
Types of Change
Planned Unplanned
• Brainstorm 5 examples of planned change.
• Brainstorm 5 examples of unplanned change.
• Let’s discuss
Activity – Change
Changing Culture
• So at each stage, what is the contribution that HR could make?
Source: Nankervis et al (2014)
Employee Engagement
• What is it? Is it just about being happy at
work?
• Engaged workers are those that are “fully
physically, cognitively and emotionally
connected to their work” (Kahn, 1990).
Employee Engagement
• “A passion for work” (Truss, Soane, Edwards, Wisdom, Croll &
Burnett, 2006).
• “Engagement is an employee’s level of involvement and
enthusiasm” (Seijts & Crim, 2006).
• “A state of mind and a clear identification with a given job role”
(Bakker, Schaufele, Leiter & Taris, 2008).
• “A heightened emotional connection that an employee feels
for his or her organisation that influences his or her to exert
greater discretionary effort to his or her work” (Soldati, 2007).
• Simplistically, all of these perspectives in one way or another
deem ‘work engagement’ as a situation in which workers are
self motivated to go ‘above and beyond’ in the course of their
work.
Employee Engagement
• “A positive, fulfilling, work related state of
mind that is characterised by vigour,
dedication and absorption” (Schaufeli,
Salanova, Gonzalez-Roma & Bakker,
2002).
Activity – Are You Engaged? Answer the following questions based on your current or last job:
1. Do you know what is expected of you at work?
2. Do you have the materials and equipment you need to do your work right?
3. At work, do you have the opportunity to do what you do best every day?
4. In the last seven days, have you received recognition or praise for doing good
work?
5. Does your supervisor, or someone at work, seem to care about you as a
person?
6. Is there someone at work who encourages your development?
7. At work, do your opinions seem to count?
8. Does the mission/purpose of your company make you feel your job is important?
9. Are your associates (fellow employees) committed to doing quality work?
10. Do you have a best friend at work?
11. In the last six months, has someone at work talked to you about your progress?
12. In the last year, have you had opportunities at work to learn and grow?
https://www.youtube.com
/watch?v=cX2f0LEGZn8
The Gallup Q12
What Drives Engagement?
• Employee perceptions of their job.
• Employee clarity of job expectations.
• Career development opportunities.
• Regular performance feedback.
• Quality of working relationships.
• Perceptions of organisation’s ethics and
values.
And What Does Engagement
Drive?
• Lower staff turnover.
• Higher staff retention.
• Greater career advancement.
• Higher earnings per share compared with
the competition.
Activity - Concepts
• What do you think the differences are
between the 3 concepts of:
– Employee Engagement
– Job Satisfaction
– Intrinsic Motivation
• Culture is the basic assumptions, values and
norms that are taken for granted and guide
perceptions, thoughts and actions.
• HR can contribute to organisational culture
change.
• Engagement is a complex concept yet widely
adopted on a practical basis within organisations.
• Engaged employees make a positive influence
on organisational outcomes.
Summary
Any Questions?