Symbolic perspective - Business organisation and management I PDF

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THE SYMBOLIC FRAME CHAPTER 12: ORGANIZATIONAL SYMBOLS AND CULTURE The symbolic frame focuses on the tribal aspect of contemporary organizations. People need to make sense of the world around them. It centers on complexity and ambiguity and emphasizes the idea that symbols mediate the meaning of work and anchor culture. Meaning, belief, and faith are its central concerns. Meaning is not given to us; we have to create it. Meaning is largely constructed socially and shared with others. Meaning is often constructed around symbolic elements (objects, rituals, stories, myths, etc.) A symbol is something that stands for or suggests something else; socially constructed means beyond its obvious functional use. Symbols carry powerful intellectual and emotional messages. We create symbols to sustain hope and faith. These shape our thoughts, emotions, and actions. Symbols cut deeply into human psyche and collective unconscious. Exemples: American flag, Statue of Liberty, M of McDonald’s, extending an ope n hand, dressing in black, pink, etc.., a manager having lunch with his/her subordinates. Experiments related to meaning: - Minimal group experiment: Giving meaning to a small thing can create different groups, depending on the symbol, and the behavior could be changed. (Con una pequeña cosa que se le cambia el significado puede haber diferentes perspectivas y los del “mismo” grupo se unirán más, van en contra de los otros, empezando así una competición.) - Poetry experiment: two different conditions / groups: one have the possibility to pay to attend a poetry reading. The other have the possibility to get paid. Then both groups were offered to go to for free. The goal of this question was to test whether the initial hypothetical question affected whether respondents viewed the experience as positive (meaning that they would like to attend if it was free) or negative (meaning that they would prefer not to attend if it was free). The first response clearly influences whether individuals view the experience as positive or negative. In the second chance more people of the first group went to listen poetry. - Lego experiment: Two different conditions/groups: in both people had to work building Lego figures and were paid progressively less for it. In one of them the figures were accumulated in front of the people. In the other the figures were disassembled. The results showed that the 1st group built much more than the other. In second group there’s no correlation between interest and the number of model built, which suggests that the manipulation of breaking things in front of people’s eyes basically crushed any joy they could get out of the activity. - Other examples: • Framing in cooperation/competition games • People contribute more to charity if they have to suffer for it (ej. Una maratón) • When reminded about mortality, people embrace more strongly the beliefs, values and symbols of groups • Artistic works related to meaning (the film Life is Beautiful). (El pare li explica al seu fill el que el guarda està dient de les normes del camp de concentració amb un altre significat, com si tot fos un joc)

Suppositions about symbolic frame: 1. What is most important is not what happens but what it means. 2. Activity and meaning are loosely coupled; events and actions have multiple interpretations as people experience life differently. 3. Facing uncertainty and ambiguity, people create symbols to resolve confusion, find direction, and sustain hope and faith. 4. Events and processes are often more important for what is expressed than for what is produced. Their emblematic form weaves a tapestry of secular myths, heroes and heroines, rituals, ceremonies, and stories to help people find purpose and passion. 5. Culture forms the superglue that bonds an organization, unites people, and helps an enterprise accomplish desired ends. Companies with strong symbolic elements:  American flag. Many who revere the American flag and many others who burn it. The flag is symbolically powerful for both groups, but for different reasons. It represents patriotism for one group, oppression or imperialism for the other.  Harley – Davidson. To the HOGs (Harley Owner ’ s Groups), owning a Harley is a way of life, and many riders have the company logo tattooed on their skins. Harley riders have something in common: a fanatical dedication to their Harleys. It’s a feeling that many cannot articulate, and for them there ’ s a Harley T - shirt inscribed: “ Harley Davidson— If I Have To Explain You Wouldn ’ t Understand”. This incredible brand loyalty is emotional. It is based on a pattern of associations that includes the American flag and another American symbol, the eagle (which is also a Harley symbol), as well as camaraderie, individualism, the feeling of riding free, and the pride of owning a product that has become a legend.  McDonald’ s franchises are unified as much by golden arches, core values, and the legend of Ray Kroc as by sophisticated control systems.  Harvard professors are bound less by structural constraints than by rituals of teaching, values of scholarship, and the myths and mystique of Harvard.  Ferrari: The logo and type of car.  Google: Symbolic elements like the logo, the innovation and a very symbolic culture in the inside of the company with the way of working, their human resources perspective, all their innovations and creativity. Their relationships.  Nucor: They try to make the workers feel special. Everybody dress in the same way in order not to show the hierarchy. There are different symbols: in the outside (logo) and in the inside (the way of working).  Apple: Innovation, I-tech, logo, the way of working. ORGANIZATIONAL SYMBOLS An organization’s culture is revealed and communicated through its symbols. Types of symbols 1. Myths: operating at a mystical level, they explain, and maintain solidarity and cohesion. They communicate unconscious wishes and conflicts, mediate contradictions, and offer a narrative anchoring the present in the past. Myths transform a place of work into a revered

institution and a way of life. Traditional symbolic elements, often created at the start of a culture. Myths undergird an organization’s values  Herb Kelleher’s napkin story at Southwest Airlines. The original plan of Southwest airlines was sketched on a cocktail napkin in a bar. The persistence and zaniness of Southwest’s mythologized beginnings shape its unique culture. 2. Values: what an organization stands for. They are intangible (unlike goals). They convey a sense of identity and help people feel special about what they do. They often rest on history, tradition and myths. Tend to appear in mission statements and mottos.  FedEx: “People-service-profit, these three words are the very basis of FedEx”  Stanford University: “The wind of freedom blows”  Southwest Airlines: Symbol of Freedom billboards and banners express the company’s defining purpose: extending freedom to fly to everyone, not just the elite, and doing it with an abiding sense of fun.  USA Marine Corps: “Semper fidelis” it stands for the traditions, sentiments, and solidarity 3. Vision: Takes an organization’s values and myths and turns them into an image of the future, a sense of direction. To have a strategy to move the company to the future . Characterizes many successful visionary companies.  Southwest Airlines’ vision of its successful human resource strategy. 4. Heroes and heroines: whose words and deeds, serve as living logos. Successful organizations tend to have people that are seen as cultural heroes. They usually embody organizational myths and values and act as role models. They are often organizational leaders, but they don’t have to be. Human models influence our decisions and actions.  Southwest Airlines’ “Heroes of the Heart” ceremony for employees. The honor goes to the backstage group that contributes most to Southwest’s culture and successful performance. 5. Fairy tales and stories: They are part of organizational culture, and they relate to organizational myths and values. They can be a powerful way to convey myths and values and to foster collaboration. They help to perpetuate tradition and share knowledge. They are told and retold. They can also be powerful to get to consumers (Subway’s weight loss story). They communicate who the company is — branding. They are a fundamental part of human psychology. Recent management studies have linked stories and leadership.  Ritz-Carlton’s doorman story: One hurried guest jumped into a taxi to the airport but left his briefcase on the sidewalk. The doorman retrieved the briefcase, abandoned his post, sped to the airport, and delivered it to the guest. Instead of being fired, the doorman became part of the legends, a living example of the company’s commitment to service.  Herb Kelleher’s napkin story. 6. Rituals: Set of actions that has a symbolic component (meaning beyond the actions). They give structure and meaning (Humans create individual and collective rituals) to each day and to life. They are an essential part of culture and of organizations, also govern key relationships.

7. Ceremonies: ritual is more every day and ceremonies are more episodic and more elaborate at times of transition or special occasions. Four major roles: they socialize, stabilize, reassure, and convey messages to external constituencies.  Initiation ceremony, Opening ceremonies, Birthday or funeral, Investiture of new manager or executive 8. Metaphor, humor, and play: loosen things up (aliviar la tensión). Metaphors compress complicated issues into understandable images, influencing our attitudes and actions. Humor plays integrates, contributes to flexibility and also draws people together. Play relaxes rules to explore alternatives, encouraging experimentation, and creativity. ORGANIZATIONS AS CULTURES Set of symbols and meanings. An organization’s culture is built over time as members develop. Culture is both a product and a process. As a product, it embodies wisdom from experience. As a process, it is renewed and re-created as newcomers learn the old ways and eventually become teachers themselves. Potential negativity of symbolic elements An organization develops beliefs, values, and customs. Symbolic elements can block change and learning, and motivate negative behaviors: certain myths can create negative attitudes, people can become heroes for the wrong reasons, negative practices can become organizational rituals.  Examples: Enron, Arthur Andersen : All the accounts of the company were wrong. The employees were changing the numbers in order to do more benefits to the company, they were corrupt and some of them went to the jail. It was like the culture because almost everybody of the company were corrupt. Managers who understand the significance of symbols and know how to evoke the spirit can shape more cohesive and effective organizations — so long as the cultural patterns are aligned with the challenges of the marketplace. International cultural differences Important differences in organizational cultures and symbols between nations. Study by Hofstede. Four important international cultural differences in managerial practice: 1. Power distance: between bosses and subordinates. High power-distance countries (Philippines, Mexico, Venezuela) display more autocratic relationships between bosses and subordinates than low power-distance countries (including Denmark, Israel, and Austria) that show more democratic and decentralized patterns. 2. Uncertainty avoidance: level of comfort with uncertainty and ambiguity. Countries high on uncertainty avoidance (Greece, Portugal, Belgium, and Japan) tend to make heavy use of structure,rules, and specialists to maintain control. Those low on the index (Hong Kong, Denmark, Sweden, and Singapore) put less emphasis on structure and are more risk taking. 3. Individualism: the importance of the individual vs the collective. Countries highest on individualism (USA, Australia, UK) emphasize on autonomous and care for themselves. Countries lowest on individuality (Colombia, Venezuela) emphasize loyalty. 4. Masculinity-Femininity: the degree to which a culture emphasizes ambition and achievement versus caring and nurture. Countries highest in masculinity (Japan,

Austria, Venezuela, Italy), men tend to feel strong pressures for success, relatively few women hold high - level positions, and job stress is high. The opposite is true in countries low in masculinity (such as Denmark, Norway, the Netherlands, and Sweden). BMW Significant symbolic elements: Story and myth about BMW’s near-death experience: BMW almost went bankrupt and came close to being acquired by Mercedes. A wealthy shareholder stepped in and, with concessions from the unions, bailed the company out. BMW has been running scared for years and the story is continually retold and is one of the first things newcomers learn. Structure of BMW’s plants: The plant’s modern, artsy, open - air feeling reflects the company’s cultural values and demonstrates its commitment to breaking down barriers among workers, designers, engineers, and managers. Ritual of casual encounters that lead to discussion of ideas. Openness encourages a freewheeling exchange of ideas. Ideas bubble up freely, and there is never a penalty for proposing a new way of doing things. Initiation ritual of BMW’s interview process and first days. Those who pass initial screening have to survive intense interviews and a day of working in teams. The goal: to screen out those who don’t fi t. The lucky who are hired are forced to rely on colleagues to learn the ropes. But once part of the BMW workforce, workers have unparalleled job security. The company is loyal to its employees. From the firsts days, workers are indoctrinated into the BMW Way. They are steeped with a sense of place, history and mission. Story and myth of “off the books” effort to re-design the Z3 into the Z4. When management decided to drop the Z3, a designer persuaded some other designers and engineers to join him in an “off the books, skunk - works” effort. The outcome of their collective endeavor: the successful Z4 sports car. Possibility of consumers customizing every detail up to five hours before assembling the car. Ritual of customizing almost every car Continental Airlines Was considered the worst airline in the US (delays, lost luggage, costumer complaints, etc.) The CEO’s meetings were called “the last supper”. He decided to launch a number of symbolic actions: - Removed cameras and opened doors to executive suite - Open events in executive offices with food for employees - Sat in a different chair at each meeting - Burned old manuals full of rules with employees - Ordered new paint scheme for the fleet - Invited best costumers home for dinner - Employee’s bonuses for flights’ on-time performance Nordstrom’s Rooted Culture Department stores are renowned for customer service and employee satisfaction. Very strong symbolic elements: Story of founding father: John Nordstrom and Carl Wallin, a shoemaker, opened a shoe store. Nordstrom’s sons joined the business. Collectively, they anchored the firm in a

philosophical principle: the customer is always right. The following generations expanded the business while maintaining a close connection with historical roots. Newcomers begin in sales, learning traditions from the ground up. Only rule in Nordstrom Employee Handbook: Use your sound judgment in all situations. Monthly ceremonies where costumer letters are read and positive achievements cheered Hero employee buying a product somewhere else. A customer fell in love with pair on sale at Nordstrom’s downtown Seattle store, but the store was out of her size. The sales associate got cash from the department manager, bought the shoes at full price from a competitor, brought them back, and sold them to the customer at Nordstrom’ s reduced price. Hero employee going to the airport, when a customer inadvertently left her airline ticket. Hero employee refunding for tires. refunded a customer’s payment for a set of automobile tires, even though the company had never stocked tires.

CHAPTER 13: CULTURE IN ACTION The Secrets of Great Groups (Bennis, 1997). 10 principles common to great groups:  They have a shared dream/objective.  They manage conflict by abandoning individual egos to pursue the dream  They are protected from the “suits” (bosses, more freedom and flexibility)  They have a real or invented enemy 

They view themselves as winning underdogs(aunque no tengas suerte, supera las circusntancias)

 Members pay a personal price  Great groups make strong leaders  They are the product of meticulous recruiting  They are usually young  Real artists ship (manage to produce something) 4 traits shared by leaders of great groups:  Provide direction and meaning (vision)  Generate and sustain trust ((generen un ambient de confiança)  Display a bias toward action, risk-taking, and curiosity (actius, no passius)  Are purveyors of hope (they can achieve something, donen esperança al grup) Author says that leadership is more like art than science. Actually is a mixture of both, a good leader is someone who gave meaning to the way of working, not only is efficient  Football teams, Music bands, political groups, Religious groups. THE EAGLE GROUP A small group of engineers at Data General who created a new computer in record time in the 1970s. Despite scarce resources and limited support, the Eagle Group outperformed all other Data General divisions to produce a new state - of - the – art machine. Structural perspective: No clear plan - No clear formal roles - No structured information systems

Human resource perspective: Political perspective: - Not particularly talented - Direct and confrontational - Hard work and hard - Uncooperative with others conditions - Competitive with each - No particular recognition other - No special rewards The success was for a strong and cohesive culture, sprit and soul. Eagle group’s culture : - Becoming a member: One of the heads: “It was kind of like recruiting for a suicide mission. You’re gonna die, but you’re gonna die in glory” - Iconic styles and roles: A network of informal players deals with human issues outside formal channels. On the Eagle project, their efforts were encouraged, appreciated, and rewarded outside the formal chain of command. - Own language fosters cohesion and commitment.: Examples: Microkids, Hardy Boys

- Humor and play reduce tension and encourage creativity. They use to do jokes and this jokes creates stories and games. - Ceremonies lift spirits and reinforce values. They develop their own ceremonies.  Microcoder awards for software, PAL awards for hardware, All-nighter awards - Diversity supports a team’s competitive advantage. Diversity among the group’ s top engineers was institutionalized in specialized functions. - Stories Carry History, Values, and Group Identity: In high - performing organizations and groups, stories keep traditions alive and provide examples to guide everyday behavior. Many organizations know this and try to apply it, but may seem difficult in times with scarce resources, high turnover, etc.

CHAPTER 14: ORGANIZATIONS AS THEATERS From the symbolic perspective, organizations can be viewed as theaters. As in theater, performance and appearance matter more than data and logic. Organizations are judged as much on appearance as outcomes. The symbolic frame recasts organizational structures and processes as drama that expresses our fears, joys, and expectations. Theater arouses emotions and kindles our spirit or reveals our fears. It provides a shared basis for understanding the present and imagining a more promising tomorrow.  Navy’s Polaris missile system: In its time (1950s/1960s), praised as example of efficient government work. Created image of relying on advanced statistical management techniques (PERT, PPBS) in line with scientific management approaches. The methods were embodied in specialist roles, technical divisions, management meetings, and the Special Projects Office. In the wake of the project’s success — on time and under budget — analysts gave credit to the project’s innovative management approach. The admiral in charge was praised for intr...