1
Chapter 16: Organizational Culture Theory
Chapter 16
Organizational Culture Theory
Chapter Outline
I. Introduction
• Organizational life is characterized as much by change as it is by anything else.
• Change is frequently marked by such feelings as excitement, anxiety, uncertainty,
frustration, and disbelief.
• To understand organizational life beyond pop culture—including an organization’s values,
stories, goals, practices (including technological), and philosophies—Michael Pacanowsky
and Nick O’Donnell-Trujillo (1982, 1983, 1990) conceptualized Organizational Culture
Theory (OCT).
o Pacanowsky and O’Donnell-Trujillo believe that organizations can best be
understood using a cultural lens, an idea originally proposed by anthropologist
Clifford Geert.
• Pacanowsky and O’Donnell-Trujillo (1982) argue that Organizational Culture Theory
invites all researchers “to observe, record, and make sense of the communicative behavior
of organizational members” (p. 129).
• The theorists paint a broad stroke in their understanding of organizations by stating that
“culture is not something an organization has; a culture is something an organization is”
(Pacanowsky & O’Donnell-Trujillo, 1982, p. 146).
• Culture is communicatively constructed by organizational practices, and culture is distinct
to each organization.
o For the theorists, understanding individual organizations is more important than
generalizing from a set of behaviors or values across organizations.
o It is important to accept the notion that organizational culture “is created over a
period of time,” although culture is rather resilient and long-lasting.
• The essence of organizational life is found in its culture.
o According to organizational culture theorists, culture is a way of living in an
organization.
o Organizational culture includes the emotional and psychological climate or
atmosphere. This may involve employee morale, attitudes, and levels of productivity,
competition, autonomy, and cooperation (Moon, Quigley, & Marr, 2012).
o Organizational culture also includes all the symbols (actions, routines, conversations,