2.2 Organizational culture

	Organization culture is the set of key values, beliefs, understandings, and norms that members of an organization share.
	Organization culture is a set of shared values that organization members have regarding the functioning and existence of their organization, organization culture is not established at once by a manager but evolves slowly over time, it is the personality of organization, a description of how the organization functions.
	Organization culture has dimensions such as organizational rituals, special language, norms and habits. Management that understands the significance of all such dimensions can use them to develop an organization culture that is beneficial to the firm.
	Cameron and Quinn putting the competing values framework appears in figure 2.2 according to the model, culture differ with respect to two sets of opposite values. The first set of opposite values is organizational flexibility and discretion versus organizational stability, order and control.
	The second set of opposite values is an internal organization focus versus an external organizational focus. Depending on how a culture contains various combinations of competing values represented by these two dimensions, culture is divided into four types.

2.2 Organizational culture

Figure 2.2: Four different kinds of organization culture

2.2 Organizational culture

Clan culture:

		Clan culture:
		In a clan culture leaders are seen more as mentors and perhaps even parent Figures. This culture includes activities that reflect shared values and goals, cohesion among organization members, teamwork and organization commitment to employees.
		Southwest airlines is often used as an example of clan culture. Culture on internal focus flexibility, shared values and goals, and a high commitment to employees.

Adhocracy culture:

		Adhocracy culture is an organization culture characterized by flexibility and discretion along with an external focus. It reflecting an organization with a simple structure or lack of structure.
		Adhocracy is the opposite of bureaucracy. Within the adhocracy culture one will find few rules or procedures. This culture is characterized by a creative workplace.
		Where people are entrepreneurial taking risks to achieve success. Google's organization culture has often been used as an example of an adhocracy culture. Google's emphasis on innovation and commitment to cost containment means each employee is a hand on contributor.

2.2 Organizational culture

Hierarchy culture:

		Hierarchy culture is a organization culture characterized by an internal focus along with emphasis on stability and control. The workplace within this type of culture is formal and structured.
		Leaders tend to focus on coordination and organization. Individuals within the workplace are concerned about efficiency and formal rules and policies govern how people operate.
		McDonald's restaurants are commonly given an example of a hierarchy culture McDonald's restaurant has younger employees with little experience and produces standardized products for customers Restaurant success is built efficient and fast food production.

Market culture:

		Market culture is an organization culture that reflects values that emphasize stability and control along with an external focus. An organization with a market culture is oriented toward all stakeholders in the market, not just customers.
		This culture emphasizes relationship with all constituencies including customers, suppliers, contractors, government regulators and unions. Leaders in this culture tend to be hard driven.
		The organization is focused on winning and emphasizes achieving stretch goals and outpacing the competition. General electric is often used as an example of a company with a market culture. The organization culture is highly competitive with a "results or else" mentality.