What do you understand by Organisational Culture ? Enumerate and explain the factors that determine the organisational culture.
Organizational culture refers to the set of shared values, beliefs, norms, and practices that shape the behavior and attitudes of individuals within an organization. It is the collective mindset and behavior of the people working in an organization, which influences how they interact with each other and with external stakeholders.
Factors that determine organizational culture can be categorized into internal and external factors:
Internal Factors:
1. Leadership Style: The leadership style of top-level management greatly influences the organizational culture. Leaders set the tone for the company's values, communication style, and overall work environment. For example, a transformational leader may foster an innovative and dynamic culture, while an autocratic leader may create a more hierarchical and rule-driven culture.
2. Mission and Vision: The mission and vision statements of an organization provide a sense of purpose and direction. They communicate the organization's core values and long-term goals, which in turn, shape the culture. A mission focused on
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