Factors Determining Organization Culture

The following factors determine determine the organization culture:

1.    Organization’s founder:

To begin with, organization culture develops through its founders. Whatever impression founders create about the organization continues and develops for a long period of time. If the founders believe in treating employees at par with managers, this value system permeates all over the organization for all times to come. It employees are called associates in a company to develop a feeling of partnership amongst them (at J.C. Penney), they will always be called associated by all for all times to come.

2.    Corporate success and shared experiences:

Corporate success for a long period develops a strong culture about its name and way of working. Its members share common experiences about its success which remain embedded in their minds for long times to come.

3.    Innovation and risk taking:

Organization’s culture is determined by the degree to which its employees culture about its e,[;payees are innovative and have the capability of taking risks. Innovative and risk-taking employees develop strong cultures.

4.    Outcomes rather than techniques:

Organizations whose managers focus on outcomes or results rather than ways or techniques of achieving the outcomes develop a strong culture.

5.    People and team orientation:

Organization where managers take into account the effect of their decisions or outcomes on people as individuals and teams develop a strong culture.

6.    Competitiveness:

Organizations whose employees are competitive are culturally stronger than those whose employees are easygoing or non-competitive.

7.    Shared interpretations:

Organization whose members have common perceptions and thinking about organization’s values, norms and ways of functioning have a strong culture.

8.    Market standing:

Organization culture is determined by the way it develops its market standing.
Some companies are known for quality whiles other for their price. People don’t mind paying high price for quality or compromising with quality for a suitable price. Tupper ware, for example, is known for its quality. Customers are ready to pay a high price for its quality. The company’s culture develops through the way it has developed its market standing (quality).

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