PRESENTEDBYSLIDESHOP Factors That Affect ORGANIZATIONAL
CULTURE

CULTURE IS A GROUP OF
PEOPLE’S WAY OF LIFE. “We are what we repeatedly do.” ARISTOTLE

ORGANIZATIONAL CULTURE IS A GROUP
OF EMPLOYEES’ WAY OF LIFE. “We are what we repeatedly do atwork.” (ARISTOTLE)

WHAT
FACTORS
organizational
culture?
affect

TOP MANAGEMENT PRINCIPLES How the
management runs the business affects the policies, procedures and rules set for employees. 1

Result: Starbucksistreasuredforits exceptionalcustomer service. Source:
Forbes Howard Schultz is passionate about building a company that treats people with DIGNITY AND RESPECT Image courtesy: Joe Pugliese

2 Thepurpose,marketandoperations ofacompanyhaveanimpacton employees’behavior. NATURE
OF THE BUSINESS

Source: Quartz Why do McKinsey
consultants join and leave the firm young? Over 80% of the staff are under 40 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 0% Thenatureofthebusinessrequiresemployeestoworklonghours andtravelalot,whichleadtoburnoutandhighstaffturnover.

COMPANY VALUES, POLICIES AND WORK
AMBIENCE Employeesdevelopthevaluesemphasizedinthe policies,proceduresandworkenvironment. 3

Source: Disney HOW DOES PIXAR
stir the creativity of their animators? Toys

4 The clients that the
company serves somehow shape organizational culture. CLIENTS AND EXTERNAL PARTIES

Many call center agents in
India have to work on a graveyard shift due to time zone differences betweenthe BPO employees and their western clients. As a result, agents tend to experience high levels of stress and its related disorders. Source: NCBI

RECRUITMENT AND SELECTION hired by
an organization has an effect on its culture The type of employees 5

RECENTLY THE TREND IS TO
RECRUIT AND KEEP A DIVERSIFIED WORKFORCE Inthetechindustry,themostdiverse companiesintermsofgenderare: Source: Fortune 51% 55% 58% 60% 61% 49% 45% 42% 40% 39% PANDORA INDIEGOGO EBAY PINTEREST LINKEDIN GENDER DIVERSITY (OVERALL) MEN WOMEN

6 COMPENSATION PRACTICES Ifemployeesarefairlycompensated, positive
culture can exist in an organization.

A study conducted in 2013
showed that 60% of employees said compensation was the biggest contributor to job satisfaction. Source: BNA

"It is behavior of your
company and its people that form your reputation, and your reputation is your brand.“ -Dave Allen-

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