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Apathetic Organizational Culture Defined

Chapter 8 discusses the significance of corporate culture in ethical decision-making, highlighting how it can influence organizational success and reduce misconduct. It categorizes organizational cultures into apathetic, caring, exacting, and integrative, and distinguishes between compliance and values-based ethical cultures. The chapter also covers the concepts of whistle-blowing and organizational structure, contrasting centralized and decentralized decision-making approaches.

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23 views6 pages

Apathetic Organizational Culture Defined

Chapter 8 discusses the significance of corporate culture in ethical decision-making, highlighting how it can influence organizational success and reduce misconduct. It categorizes organizational cultures into apathetic, caring, exacting, and integrative, and distinguishes between compliance and values-based ethical cultures. The chapter also covers the concepts of whistle-blowing and organizational structure, contrasting centralized and decentralized decision-making approaches.

Uploaded by

tahirfatima009
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd

Chapter 8

Organizational Factors: The Role of Ethical


Culture and Relationships

8-1 Defining Corporate Culture


A set of values, norms, and artifacts,
including ways of solving problems that
members (employees) of an organization
share.
8-2 The Role of Corporate Culture in
Ethical Decision Making

Corporate culture has been associated with a


company’s success or failure. Some cultures are
so strong that to outsiders they come to represent the
character of the entire organization A culture that
emphasizes the importance of ethics and social
responsibility can reduce misconduct such as earnings
manipulation in the finance area.( Aisi culture jo ethics
aur social responsibility ki ahmiyat ko zor deti hai, woh
ghalat kaam kam kar sakti hai, jaise ke finance ke field
mein numbers ka ghalat dikhana (earnings
manipulation).“)
8-2a Ethical Frameworks and Evaluations of Corporate
Culture

(1)Concern for people—the organization’s


efforts to care for its employees’ well-being
and
(2)Concern for performance—the organization’s
efforts to focus on output and employee
productivity.
Types of Organizational Culture
The four organizational cultures can be classified as
apathetic, caring, exacting, and integrative.
Apathetic culture Shows minimal concern for either
people or performance.
Caring culture Exhibits high concern for people but
minimal concern for performance issues.
Exacting culture Shows little concern for people but a high
concern for performance.
Integrative culture Combines a high concern for
people and performance . Opposite to apathetic culture.
Cultural audit An assessment of an organization’s values.
8-2c Compliance Versus Values-Based
Ethical Cultures
• Compliance culture: A legalistic approach to ethics.
• Values-based ethics Culture: Relies on an explicit
mission statement that defines the core values of
the firm and how customers and employees should
be treated.
8-2d Whistle-Blowing
• Whistle-blowing :Exposing an employer’s
wrongdoing to outsiders such as the media or
government regulatory agencies.
8-3 Organizational Structure
In a centralized organization, decision-making
authority is concentrated in the hands of top-level
managers, and little authority is delegated to lower
levels. Responsibility, both internal and external,
rests with top-level managers.
Decentralized Organization Decision-making
authority is delegated as far down the chain of
command as possible.

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