Exam 14: Organizational Culture

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A bicultural audit diagnoses cultural relations between the companies and determines the extent to which cultural clashes will likely occur.The process begins with interviews,questionnaires,focus groups and observation of cultural artifacts to identify cultural differences between the merging companies.Next,the audit data are analyzed to determine which differences between the two firms will result in conflict and which cultural values provide common ground on which to build a cultural foundation in the merged organization.The final stage of the bicultural audit involves identifying strategies and preparing action plans to bridge the two organizations' cultures.
As mentioned,a bicultural audit includes carefully examining artifacts of each organization.In this question,students have been advised that the acquiring company's culture is known,so they should focus on what executives should look for in the acquiring company.The textbook describes four broad categories of corporate culture artifacts.Students can describe these in the context of the bicultural audit.
Organizational stories.Corporate culture can be deciphered from stories about past corporate incidents (good or bad ones).To apply this strategy,senior executives need to learn through interviews about critical events in the other firm's past,particularly heroic or bizarre events that capture attention and reflect effective (or ineffective - with negative consequences)events in the organization.
Rituals and ceremonies.Executives should pay attention to the programmed routines of daily organizational life (rituals)because they dramatize the organization's culture.For example,they should note how people (not just themselves)are greeted as visitors,how employees interact,how meetings begin,how decisions are made,and so on.The executives may not have the opportunity to observe ceremonies - planned activities conducted specifically for the benefit of an audience - but they can ask employees about them.For example,they might ask about events that celebrate a new product launch,employee awards and the like.
Organizational language.Language transmits and sustains shared values through metaphors and other special vocabularies that represent the employees' perspectives of reality.Senior executives should listen closely in their interviews with employees as well as when employees at the other firm talk with each other.For example,they might listen for language that reflects risk-taking and entrepreneurship rather than careful,bureaucratic decision making.
Physical structures and space.The size,shape,location and age of buildings may symbolize the organization's culture.For example,a tall building with closed offices and senior executive offices on the top floor often reflects a hierarchical,bureaucratic organization.Along with the physical structure,executives should look at artifacts inside the building,such as paintings,office space,cafeteria food,and so on.