The benefit is that they hire people that want to win. They define success by having high return on assets and corporate competitiveness. General Electric is an example of Market organizational culture. However, this often creates a bureaucratic behavior that can make the flow of information and the decision-making process a slow one. As the communication flows from top to bottom, everyone should be clear on what is expected. An advantage of this type of culture is that the authority and responsibility of each employee is clearly defined for success. Each level oversees those levels below and reports to the level above. The military is an organization that clearly articulates the power and responsibilities of its employees based on rank. Organizational Culture ExamplesĪn example of Hierarchy organizational culture is the military. The values that are important for these types of companies are consistency, stability, uniformity, bureaucracy, and timeliness. Efficiencies and predictability are important in this setting. The structure provided via rules and policies keep the organization running and leaders encourage this. The principles and procedures are well defined and everything the employees do have to follow these procedures. In this culture, the common themes are control and structure. Often the goals are related to sales, profits, market penetration, stock value, as they reflect the performance of the company. Leaders in this setting must be both hard producers and rivals as they have to be tough and have high expectations from the employees. Employees are encouraged to compete both internally and externally, to achieve results, to focus on the goals, and to get things done. In this culture, results are the most important thing. The leaders must create an entrepreneurial and visionary setting for this to work as this company wants to be the first to go to market. The values to success in this culture are change, agility, transformation, and innovative outputs. They promote freedom and initiative from the employees as having new products or services defines the success of this company. The way the organization bonds is by doing experiments and trying new things. The have a culture that accepts risk taking and that encourages innovation. In this culture, employees are dynamic and creative. They focus on mentoring, nurturing, but more importantly, everything is done together. The main values are teamwork, communication, consensus, and development. The leaders are seen as mentors and/or as a father figure and this drives loyalty and high engagement from the employees. In this culture, people have a lot in common and it feels like you are part of a big family.

A summary of these four types of culture is shown in this picture:

They also range from an environment of stability and control to one of flexibility and discretion. They range from internal to external when it comes to integrations and focus. There are four well known types of organizational culture: Clan, Adhocracy, Hierarchy, and Market. The company’s productivity and results are directly related to the culture. It is also referred to as corporate culture and it is shown in circumstances like how business is conducted, how the company treats the employees and customers, how the decisions are taken, how information flows through the hierarchy, how the employees perform towards goals, and many others. Many companies spend a lot of time defining what they want their culture to be so that eventually they don’t even need to call it culture, as it would be part of everyone’s habits. Many companies have said that they prioritize their culture because they truly believe it has an impact on their bottom line. Some quotes that stress the importance of organizational culture are: It defines how you feel about working for the organization.

Organizational culture defines what every employee’s behavior should be and how they should interact with the rest of the organization. Things like an organization’s expectations, vision, philosophy, image, interactions within the office and outside of the office also define what the organization’s culture is all about. It defines and creates a unique environment to work in. Organizational culture is the set of underlying beliefs, values, principles, and ways of interacting within an organization.

Cultural notion definition