Question

What are the five components in organizational climate? Pick three components and discuss why they are important.

Answer 1

The concept of organisational climate was formally introduced by the human relationists in the late 1940s. Now it has become a very useful metaphor for thinking about and describing the social system. Organisational climate is also referred to as the “situational determinants” or “Environmental determinants” which affect the human behaviour.

Some persons have used organisational culture and organisational climate interchangeably. But there are some basic differences between these two terms. According to Bowditch and Buono, “Organisational culture is connected with the nature of beliefs and expectations about organisational life, while climate is an indicator of whether these beliefs and expectations are being fulfilled.”

The components of organisational culture are:

1. Dominant Orientation:

Dominant orientation of the organisation is an important determinant of climate and it is the major concern of its members. If the dominant orientation is to adhere to established rules and regulations, the climate is characterised by control. If the orientation is to produce excellence the climate will be characterised by achievement.

2. Inter-Personal Relationships:

The interpersonal relationships in the organisations are reflected in the way informal groups are formed and operated. The informal groups may benefit the organisation also, but in some cases it may displace the goals of the organisation.

3. Conflict Management:

In the organisation, there can always be inter-group as well as intra group conflicts. The organisational climate will depend upon how effectively these conflicts are managed. If they are managed effectively, there will be an atmosphere of cooperation in the organisation. If they are not managed properly there will be an atmosphere of distrust and non-cooperation.

4. Individual Autonomy:

If the individual employees are given sufficient freedom to work and exercises authority, it will result in efficiency in operations. The autonomy will lighten the burden of higher level executives.

5. Organisational Control System:

The control system of the organisation can be either rigid or flexible. Rigid control will lead to impersonal or bureaucratic atmosphere in the organisation. There will be minimum scope for self regulation.