In: Operations Management
In Ch. 16, we explore the idea of strong and weak cultures. Do we want a strong culture in business? Why or why not?
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Strong culture comprises the attitudes, experiences, beliefs and values of an organization. it can be defined as the specific collection of values and norms that are shared by people and groups in an organization and that control the way they interact with each other and with stakeholders outside the organization. and important component of corporate culture is the ethical climate.
The ethical climate of an organization is the shared set of understanding about what is correct behavior and how ethical issues will be handled. this climate sets the character for decision making at all levels and in all circumstances. the ethical climate reflects whether the firm has an ethical conscience. the ethical climate is a function of many factors including corporate polocies on ethics, top management's leadership on ethical issues, industry culture etc.
The ethical climate of organization is set at the top. what top managers do, and the culture they establish and reinforce, makes a huge difference in the way lower -level employees act and in the way the organization as a whole acts when ethical dilemmas are faced,. when the ethical climate is not clear and positive, ehical climate dilemmas will often result in unethical behavior.
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