Organizational Behavior

Thirteen

Developing Organizational Culture and Structures

Now that we've introduced the ideas of organizational culture and the four fundamental elements of organizing, such as standardization/experimentation and specialization/sensitization (see chapter 12), we are ready to see how culture is created; how priorities shape the four basic forms of culture; how culture aligns with organizational artifacts like an organization's structure, technology and strategy; and how these pieces all combine together to form one of four basic “types” of organizations. Understanding these four organizational types helps us understand much of what happens inside organizations.

Managers at Disney theme parks have a big challenge: to design an organization that makes its parks the “Happiest Place on Earth.” Which approach to organizing do they choose? How do they design a culture and shape the four fundamental elements of organizing to accomplish their goal? According to people who have worked there, Disney managers place a great deal of emphasis on standardization, specialization, centralization, and rigid departmentalization.

Company founder Walt Disney is said to have “ruled by fear”

In terms ...