Organizational Culture and Climate: Elements, Types, Building and Managing Culture Questions

Question 1

Define organizational culture.

Accepted Answer

Organizational culture is the set of shared values, beliefs, assumptions and norms that guide how employees think and behave in an organization.

Question 2

Define organizational climate.

Accepted Answer

Organizational climate is employees’ overall perception of the work environment—how it feels to work in the organization.

Question 3

What are artifacts in Schein’s culture model?

Accepted Answer

Artifacts are visible cultural elements like dress code, symbols, office layout, rituals and ceremonies.

Question 4

What are espoused values?

Accepted Answer

Espoused values are stated values and strategies such as mission, slogans and official policies.

Question 5

What is person–organization fit?

Accepted Answer

Person–organization fit means the match between an employee’s values and the organization’s culture.

Question 6

State any one function of organizational culture.

Accepted Answer

Culture provides identity and guides employee behavior through shared norms.

Question 7

Differentiate between culture and climate (any three points).

Accepted Answer

Culture vs climate (any three points):

| Basis | Culture | Climate |
|---|---|---|
| Nature | deep values and assumptions | perceptions and feelings |
| Stability | long-term, slow change | relatively short-term |
| Focus | “why we do things” | “how it feels here” |

Question 8

Explain Schein’s levels of culture (any three points).

Accepted Answer

Schein’s culture levels:

1) Artifacts: visible signs like symbols, rituals, dress code.
2) Espoused values: stated values, mission and policies.
3) Basic assumptions: deep, unconscious beliefs that strongly guide behavior.

Question 9

List any three characteristics of organizational culture.

Accepted Answer

Characteristics (any three):

1) Culture is shared and learned by members.
2) It influences behavior and decision-making.
3) It provides identity and unity to employees.
(Also: stable and resistant to change.)

Question 10

Write any three types of organizational culture with brief meaning.

Accepted Answer

Types of culture (any three):

1) Clan: teamwork and family-like environment.
2) Market: results, targets and competition.
3) Hierarchy: rules, procedures and stability.
(Also: Adhocracy—innovation and flexibility.)

Question 11

Explain any three tools used to maintain organizational culture.

Accepted Answer

Culture maintenance tools (any three):

1) Selection and recruitment based on value fit.
2) Socialization and training (induction programs).
3) Reward systems aligned with desired values.
(Also: leadership role-modeling, rituals/stories.)

Question 12

Mention any three challenges in changing organizational culture.

Accepted Answer

Challenges (any three):

1) Resistance due to fear and uncertainty.
2) Deep basic assumptions are hard to change.
3) Old reward systems and habits support old behaviors.
(Also: lack of leadership consistency.)

Question 13

Explain organizational culture and climate and differentiate them using a neat table. Add suitable examples.

Accepted Answer

Organizational culture is the shared system of values, beliefs and norms that guides how employees behave. Organizational climate is the overall perception of the work environment—how employees feel about the organization at a given time.

| Basis | Culture | Climate |
|---|---|---|
| Meaning | deep shared values and assumptions | perceptions of the work environment |
| Time | long-term and stable | more short-term and changeable |
| Focus | “why we do things” | “how it feels here” |
| Example | integrity and customer-first as core values | employees feel communication is open and supportive |

For example, a company may have a culture of “quality first” (culture), while employees currently feel workload pressure and stress (climate).

Thus, culture shapes long-term behavior patterns, while climate shows current employee perceptions and feelings.

Question 14

Discuss Schein’s levels of culture and explain how managers can diagnose culture. Use a table and conclude.

Accepted Answer

Schein explained organizational culture at three levels. Understanding these levels helps managers diagnose the real culture beyond slogans.

| Level | Meaning | What managers can observe |
|---|---|---|
| Artifacts | visible and tangible signs | dress code, office layout, rituals, symbols |
| Espoused values | stated values and strategies | mission statements, policies, official goals |
| Basic assumptions | deep, unconscious beliefs | taken-for-granted ideas about people, risk, customers |

Diagnosis approach: Managers should first observe artifacts (what is visible), then compare them with espoused values (what the organization says), and finally infer basic assumptions by looking at repeated patterns of decisions and reactions to problems.

If there is a gap between espoused values and actual behavior, the real culture is reflected in the basic assumptions. Therefore, diagnosing culture requires careful observation, interviews and consistency checks.

Question 15

Explain how organizational culture is created, maintained and changed. Use a flow-style answer with a small table.

Accepted Answer

Organizational culture is created, maintained and sometimes changed through leadership and organizational systems.

**1) Creating culture:**
Culture often begins with the founder’s values, early success stories and the people hired in the initial stages.

**2) Maintaining culture:**

| Method | How it maintains culture |
|---|---|
| Selection | hires people who fit values |
| Socialization | induction and training teach “how we do things” |
| Rewards | reinforces desired behaviors |
| Leadership | leaders act as role models |

**3) Changing culture:**
Culture change needs a clear diagnosis and alignment of systems. Steps include defining desired values, communicating continuously, changing HR and reward systems, and reinforcing new behaviors until they become routine.

Culture change is challenging because basic assumptions are deep and employees may resist. Hence, leaders must be consistent and patient.

Thus, culture is managed through people practices, leadership behavior and reinforcement mechanisms.

Basis	Culture	Climate
Nature	deep values and assumptions	perceptions and feelings
Stability	long-term, slow change	relatively short-term
Focus	“why we do things”	“how it feels here”

Organizational Culture and Climate: Elements, Types, Building and Managing Culture

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