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Chapter Nine
Organizational Culture
and Ethical Values
©2000
©2001
South-Western College Publishing
Cincinnati, Ohio
Daft, Organizational Theory and Design, 7/e
9-1
Levels of Corporate
Culture
Observable Symbols
Ceremonies, Stories, Slogans,
Behaviors, Dress,
Physical Settings
Underlying
Values,
Assumptions,
Beliefs, Attitudes,
Feelings
©2001
South-Western College Publishing
Cincinnati, Ohio
Daft, Organizational Theory and Design, 7/e
9-2
Relationship of Environment and
Strategy to Corporate Culture
Needs of the Environment
Strategic Focus
External
Internal
Flexibility
Stability
Adaptability/
Entrepreneurial
Culture
Mission
Culture
Clan
Culture
Bureaucratic
Culture
Sources: Based on Daniel R. Denison and Aneil K. Mishra,
“Toward a Theory of Organizational Culture and Effectiveness,”
Organization Science 6, no. 2 (March-April 1995): 204-23; R.
Hooijberg and F. Petrock, “On Culture Change: Using the Company
Values Framework to Help Leaders Execute a Transformational
Study,” Human Resource Management 32 (1993): 29-50; and
R. E. Quinn, Beyond Rational Management: Mastering the Paradoxes
And Competing Demands of High Performance (San Francisco:
Jossey-Bass, 1988).
©2001
South-Western College Publishing
Cincinnati, Ohio
Daft, Organizational Theory and Design, 7/e
9-3
Ethical Values in
Organizations
• Ethics
–
–
–
–
Rule of Law
Managerial Ethics
Social Responsibility
Ethical Dilemma
©2001
South-Western College Publishing
Cincinnati, Ohio
Daft, Organizational Theory and Design, 7/e
9-4
Forces That Shape
Managerial Ethics
Personal Ethics
Beliefs and Values
Moral Development
Ethical Framework
Organizational Culture
Is
Decision
or Behavior
Ethical and
Socially
Responsible?
Rituals, Ceremonies
Stories, Heroes
Language, Slogans
Symbols
Founder, History
Organizational Systems
External Stakeholders
Structure
Policies, Rules
Code of Ethics
Reward System
Selection, Training
Government Regulations
Customers
Special Interest Groups
Global Market Forces
©2001
South-Western College Publishing
Cincinnati, Ohio
Daft, Organizational Theory and Design, 7/e
9-5
Formal Structure and
Systems of the Organization
•
•
•
•
•
Ethics committee
Ethics ombudsperson
Whistle-blowing
Code of ethics
Training programs
©2001
South-Western College Publishing
Cincinnati, Ohio
Daft, Organizational Theory and Design, 7/e
9-6
Workbook
Activity
Shop ‘Til You Drop
Culture Item
Discount
Store
Department
Store
1. Mission of store:
2. Individual initiative:
3. Reward system:
4. Teamwork:
5. Company loyalty:
6. Dress:
7. Diversity of
employees:
8. Service orientation:
9. Human resource
development:
©2001
South-Western College Publishing
Cincinnati, Ohio
Daft, Organizational Theory and Design, 7/e
9-7
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