Organizational Climate – An Analogy Organizational climate is a measure of the feel of the internal environment of an organization which is perceived by an outsider and/or an employee according to their business with the organization. Organizational climate has a great effect on employees’ behavior. If the climate of an organization is open and friendly, employees feel relaxed and if it is very formal, then such a comfort level may not be felt. Climate for an organization is somewhat like personality for a person. “Just as every individual has a personality that makes him/her unique, an organization has a climate that clearly distinguishes its personality from other organizations. Human religionists introduced the concept of organizational climate in the late 1940’s. Now this has become a very useful metaphor for thinking about and describing the social aspects of a firm. Some definitions: “A set of characteristics that describe an organization and that i. Distinguish one organization from another ii. Are relatively enduring over a period of time and iii. Influence the behavior of people in the organization.” – Forehand and Gilmber “A mutually agreed internal (or molar) environmental description of an organization’s practices and procedures.” – Benjamin Schneider (1975) “A relatively ending quality of the internal environment that is experienced by the members, which influences their behavior and can describe in terms of values of a particular set of characteristics of the organization.” – Renato Tagiuri (1968) Features: It is an abstract and intangible concept. But it exercises a significant impact on the behavior and performance of organization members. It is the perceived aspect of organization’s internal environment. It refers to the relatively enduring characteristics which remain stable over a period of time. It gives a distinct identity to organization and differentiates it from others. It is a total expression of what the organization is. It is the summary perception which people have about organizations. It is a multi-dimensional concept. It consists of all organizational factors – authority pattern, leadership pattern, communication pattern, control etc.  Elements of Organizational Climate: Individual Autonomy: The extent to which employees are entrusted with to make decisions, the degree to which they are free to manage themselves and have the freedom to exercise their responsibility come under the purview of individual autonomy. Position Structure: It means the extent of direct supervision, formalization and centralization in an organization. Reward Orientation: The degree to which an organization rewards individuals for hard work or achievement. It will be high when an organization orients people to perform better and rewards them for doing so. Task Orientation: If the outlook of the top management is task oriented, the employees will have to speed up the pace of work to please their bosses. Relations Orientation or Consideration: Here the climate is conducive and supportive where the managers are relations-oriented while dealing with their sub-ordinates. The needs and aspirations of the workers will be given due importance resulting in enhanced team spirit. Job Satisfaction: The workers feel happy if the jobs are designed to allow the worker to use their innovative skills. Morale: Morale represents a composite of feelings, attitude and sentiments of organizational members towards the organization, superiors and fellow workers. If it is high, there will be an atmosphere of co-operation and if it is low, there will be conflicts and poor co-operation among the workers. They will also feel dis-oriented in their work. Control: The control systems may be either rigid or flexible. An impersonal or bureaucratic atmosphere is seen in the former situation where the scope of self-regulation will be minimum. DOWNLOAD THE PDF...

Corporate Philosophy of Management CORPORATE PHILOSOPHY OF MANAGEMENT calls for creating a framework of values, beliefs and ethical standards which are considered to be vital for an effective management. They must be embedded in formal and informal philosophical statements which are then communicated to the fraternity of that organization. From a broader perspective, the LEADER has to have a VISION as to where he is heading his company in the next three to four years. Corporate Objectives provide vision as well as direction and map for bold decisions to be taken regarding NEW MARKETS MARKET SHARE PRODUCTS SERVICES etc. , Now the organization is in a position to decide and prioritise the VALUES AND COMPETENCIES it expects from its managers. For example, if the situation favors the business expansion to new markets, say, European or Asian, then an organization has to develop competence in areas like LANGUAGE AND CULTURE, besides marketing and business skills. Different Philosophies of Management: Well, you might have been inspired with JAPANESE PHILOSOPHY OF MANAGEMENT, EASTERN OR WESTERN PHILOSOPHY OF MANAGEMENT t. But what is the fun? If you don’t have A SOUND MANAGEMENT PHILOSOPHY of your own, to simply put it, you don’t have a broad set of principles to back up your management development process which is a generic one. Ideally speaking, you should be able to develop a concrete SYSTEM that is made up of FOOL PROOF policies and procedures; try to develop a professional team of executives who can take up your vision to the next level; these measures will prove worthwhile in the long run. You are left without any choice but to develop “truly” INTERNATIONAL MANAGERS who could transcend nationally and the location of any specific job consideration. This is what Ideal management philosophy means to me, A holistic vision of the future A solid set of principles(values, beliefs) Sound policy definition Management development programmes Autonomy to my work force Always “yes “to new technology Development of women managers Flexible leadership Social responsibility Contribution to the growth of my Country’s economy Strategic Perspective: Major environmental shifts now demand a more strategic perspective from those who manage and lead in organizations; “GLOBALISING” in the quest for major market share brings in new opportunities for growth and prosperity. Organizations are now espousing values that regard people, not as costs to be minimized, but AS “ASSETS TO BE MAINTAINED AND DEVELOPED.” An open systems approach of management is likely to overcome many of the problems created by the piecemeal approach. Instead of looking at management development in isolation, see it as an integral part of a wider organizational system that takes care of the processes through which people working for the firm take care of themselves leading to self...