The Essence of Organizational Culture: Unpacking Its True Meaning

We get asked a lot about the meaning of culture, and as culture experts, we wish we could give you a straight and easy answer. The truth is that organizational systems are complex, with many constantly changing elements. Here are some helpful terms to remember when trying to get on the same page with your colleagues when having juicy culture conversations.

What is Organizational Culture?

The first roadblock to being clear about organizational culture is defining what it is! If only the vast field of Industrial Organizational (I/O) Psychology could land the plane, but alas, the very nature of it being a nuanced concept makes it tricky to nail down. Here are a few organizational culture definitions that we find are helpful for our clients, and interestingly, the context in which we’re helping our clients dictates which ones we use as our anchor definition.

• “Culture is how organizations ‘do things’.”? Robbie Katanga
• “Culture is what you reward, punish and tolerate.”? Oswald Yeo
• “Organizational culture is shaped by the main culture of the society we live in, albeit with greater emphasis on particular parts of it.”? Elizabeth Skringar
• “Organizational culture is the sum of values and rituals which serve as ‘glue’ to integrate the members of the organization.” – Richard Perron
• “Culture is the organization’s immune system.”? Dr. Michael Watkins

You will notice specific words that might require their own definition within these definitions. That’s where we’ll focus next. After all, we might all “get” what we mean by culture, even if we don’t have the same definition. Understanding key elements, particularly those that are more subtle in nature, can help us uncover, discover, and reinforce elements of culture that might be invisible otherwise.

Defining Organizational Culture Terms

1. Tradition

The established practices and ceremonies shape how an organization interacts and operates, whether universal or unique. Example: An annual holiday party where employees celebrate milestones and recognize achievements.

2. Customs

Routine behaviours that, when combined, contribute to the organization’s identity and unique approach. Example: Holding a weekly ‘shout-out’ meeting to recognize peer contributions.

3. Heritage

The accumulated history and foundational principles influence the organization’s present culture; legacy members may be ‘heritage keepers.’ Example: A bakery continuing to use the original recipes created by its founder 50 years ago, symbolizing the legacy of quality and tradition.

4. Values

Core beliefs that drive decisions, behavioir, and the overall mission within an organization; they are explicitly stated but problematic if not practiced. Example: An organic food producer upholding quality by sourcing only certified, environmentally responsible ingredients, aligned with their core value of sustainability.

5. Beliefs

Shared convictions that influence attitudes about one’s roles, actions, and the organization’s purpose; beliefs are often nuanced within divisions. Example: Team members believing that collaboration is essential to success and adopting open-door policies.

6. Ethos

The distinct spirit or character that defines the organization’s work philosophy and identity; not all organizations have a commonly held ethos. Example: A startup fostering an ethos of experimentation and calculated risk-taking.

7. Practices

Processes and procedures that reinforce the organization’s values and operational consistency; practices can evolve and tend to adapt to context. Example: A hospital implementing strict patient safety protocols.

8. Background

The historical and experiential factors shaping the organization’s current practices and outlook?may be a reflection of the sector and region. Example: A nonprofit rooted in social justice advocacy using storytelling to inspire donors.

9. Legacy

The lasting achievements and contributions that continue to influence the organization’s direction, character, and ethos. Example: A technology company maintaining its pioneering reputation through ongoing innovation.

10. Habits

Consistent actions that become part of the organization’s everyday culture over time may be informally built by norms or formally by practices. Example: Employees routinely use sustainability practices, like recycling and carpooling.

11. Norms

The unwritten rules and expectations governing behavior within the organization (although they can be nuanced within divisions and roles). Example: Teams hold a quick morning huddle to discuss goals and ensure alignment and readiness for the day ahead.

12. Mores

Deep-rooted standards of conduct that reflect the organization’s ethical principles; psychological trust is broken when mores aren’t honoured. Example: A zero-tolerance policy for workplace harassment.

13. Character

The distinctive qualities that make the organization unique; can be described, studied, and understood by those inside and outside the organization. Example: A media company renowned for elevating diverse voices, emphasizing a character of inclusivity and representation.

14. Identity

The collective sense of self that the organization and its members embody; this is the ‘we’ connected to purpose and is revealed in daily operations. Example: A healthcare company identifying as ‘the community’s trusted partner in health.’

15. Community

The sense of belonging and mutual purpose shared among organizational members, as well as social practices and habits, reinforce it. Example: Employees participating in company-led volunteer events to strengthen local ties.

16. Philosophy

The guiding principles and beliefs underlying the organization’s approach to delivering on its promise and mandate. Example: A company adhering to “customer-first” principles in every decision.

17. Framework

The foundational structure guiding culture, relationships, and interactions within the organization; some aspects are mapped (e.g., org chart). Example: An organization’s framework including a clear hierarchy, communication channels, and decision-making processes.

18. Company Spirit

The shared enthusiasm and unity employees feel towards the organization’s mission. Example: A startup team hosting celebrations after each new product launch.

19. Collective Memory

The shared experiences and history continually shape the organization’s identity and influence culture. Example: Stories of past successes retold during onboarding to inspire new hires.

20. Organizational Climate

The visible indicators of prevailing attitudes and the current atmosphere that characterizes the workplace environment. Example: A friendly climate where open communication and collaboration are evident in day-to-day interactions.

Want a downloadable version to keep on hand? Download the full list of terms here.?

The concept of organizational climate versus culture (and how they overlap) is so important that we’ll share an article that dives deeper into this specifically. Now is the perfect opportunity if you’ve not signed up to receive our articles either on our website or on LinkedIn.?

Why is Organizational Culture so Complex?

Defining culture isn’t simple, but that’s because culture is a living, breathing entity shaped by countless factors. By understanding these key terms, organizations can better identify, align, and nurture the elements that make their culture unique.

The next time you engage in an organizational culture conversation, use these definitions to dig deeper and uncover the layers of meaning within your organizational dynamics. After all:

Culture isn’t just what we do—it’s who we are.

Did you know we do culture transformation work as well as being recognition experts? Reach out to us at [email protected] if you would like to explore how we might be able to assist!?

If you want to improve your organizational culture, take a peek at the buffet of posts that we have listed below:

• Kind People Finish First: Building Stronger Cultures Through Connection
• What Exactly Would Having a Great Workplace Culture Mean to You?
• Building a Culture of STAY: Responding to Workplace Trends in 2024

?

Disclaimer: This content is 80% human-generated. We’re all about maintaining authorship integrity, and we’ll always let you know what percentage, if any, gets a little AI assistance. This article was helped by AI creating a list to get us started, and then we took over sharing our brilliance!