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Nonprofit Organizational Assessment

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Research and Models

Several methods have been used to classify organizational culture. While there is no

single "type" of organizational culture and organizational cultures vary widely from one

organization to the next, commonalities do exist and some researchers have developed

models to describe different indicators of organizational cultures. Some are described

below:

Hofstede

Hofstede (1980) looked for differences between over 160 000 IBM employees in 50

different countries and three regions of the world, in an attempt to find aspects of culture

that might influence business behavior. He suggested things about cultural differences

existing in regions and nations, and the importance of international awareness and

multiculturalism for their own cultural introspection. Cultural differences reflect

differences in thinking and social action, and even in "mental programs", a term

Hofstede uses for predictable behavior. Hofstede relates culture to ethnic and regional

groups, but also organizations, professional, family, social and subcultural groups,

national political systems and legislation, etc.

Hofstede suggests the need for changing "mental programs" with changing behavior

first, which will lead to value change. Though certain groups like Jews and Gypsies

have maintained their identity through centuries, their values show adaptation to the

dominant cultural environment.

Hofstede demonstrated that there are national and regional cultural groupings that

affect the behavior of organizations and identified four dimensions of culture (later five)

in his study of national cultures:

Power distance (Mauk Mulder, 1977) – Different societies find different solutions

regarding social inequality. Although invisible, inside organizations power

inequality of the "boss-subordinate relationships" is functional and according to

Hofstede reflects the way inequality is addressed in the society. "According to

Mulder's Power Distance Reduction theory subordinates will try to reduce the

power distance between themselves and their bosses and bosses will try to

maintain or enlarge it", but there is also a degree to which a society expects there

to be differences in the levels of power. A high score suggests that there is an

expectation that some individuals wield larger amounts of power than others. A

low score reflects the view that all people should have equal rights.

Uncertainty avoidance is the way of coping with uncertainty about the future.

Society copes with it with technology, law and religion (though different societies

have different ways of addressing it), and according to Hofstede organizations

deal with it with technology, law and rituals, or in two ways – rational and nonrational,

with rituals being the non-rational. Hofstede listed some of the rituals as

Page 72 of 211

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