Organisational culture differentiates organisations from others. Often described as “the way we do things”
Identify and explain Charles Handys 4 different cultures
Power culture is a dominant culture where a small group or individual determines the culture. It’s like a web with a ruling spider and power and influence are spread out from the central figure or group. A role culture is where organisations are controlled by procedures and role descriptions. This type of culture is where everyone does everything by the book, employees may find it hard to adjust to change as they are used to a high structure with precise job descriptions. Task culture is where the organisations values are related to a job or project. It is usually associated with a small team approach and there is emphasis on getting things done. Individuals in a task culture are empowered and given independence. Lastly a person culture occurs in universities and professions, where the organisation exists as a vehicle for people to develop their own expertise and careers.
Bureaucratic culture and Entrepreneurial culture
Organisational culture can either be classed as one of the two. The civil service is an example of a bureaucratic culture. Characteristics include an emphasis on following procedure, risk averse and are anxious to avoid mistakes, a hierarchal structure and more. This culture tends to be found in mature organisations and risk taking is discouraged. Entrepreneurial cultures are found in smaller organisations. The characteristics include risk taking, a flatter and more flexible structure and more. They are more focused on profit and this type of culture is usually around in the beginning years of a firm.
An organisations culture may influence attitude on risk taking depending on whether its bureaucratic or entrepreneurial. Risk taking may not be encouraged or would be rewarded depending on the way they did things. If it had a role culture employees would not consider risk...
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