What is Institutionalization? What is Organizational Culture?
Institutionalization = when an organization takes on a life of its own, apart from any of its members, and acquires immortality. The org is valued for itself, not just for what it produces or sells. (Ex: Disney, McDonalds, Sony) Organizational culture = A system of shared meaning held by members that distinguishes the organization from other organizations. Key Characteristics of an Organizational Culture: Innovation and risk taking. The degree to which employees are encouraged to be innovative and take risks. Attention to detail. The degree to which employees are expected to exhibit precision, analysis, and attention to detail. Outcome orientation. The degree to which management focuses on results or outcomes rather than on technique and process. People orientation. The degree to which management decisions take into consideration the effect of outcomes on people within the organization. Team orientation. The degree to which work activities are organized around teams rather than individ
