Module 4. Business Development: From Strategies to Resources.

The Structure of Corporate Culture

As an academic discipline, corporate culture is interdisciplinary in nature. As part of organizational and management theory—specifically, human resource management theory—it is linked to cultural studies (it is an applied branch of cultural studies), ethics, psychology, sociology, design theory, wellness studies, and more.

Corporate culture is a holistic yet complex, multifaceted phenomenon that is represented as a multilevel structure. There are various approaches to defining the structure of corporate culture and its levels. We identify two levels of corporate culture: 1) internal, deep, ontological (essential), unconscious—the corporate spirit; and 2) external—the level of actualization (“external manifestations” [26], formal characteristics) of corporate culture.

Corporate spirit – the spiritual state (climate) of the corporate environment (corporate relationships) as a result of the actualization of employees’ spirituality (meaning of life, values, morality) in the process of their interaction.

The manifestation (“external expressions”) of corporate culture. These include: norms and models of behavior and communication (communication, behavior, etiquette, language of communication, etc.), symbols, corporate identity (trademark, emblem, corporate colors, distinctive product design features, the exterior appearance of buildings and interior design, corporate attire, elements of office administration, etc.), the flag, anthem, rituals and holidays, history, myths, heroes, physical culture, etc.

It is also important to examine the structure and levels of corporate culture from the perspective of the components and factors involved in its formation.

Let’s identify the following levels of corporate culture: 1) universal (national) culture; 2) corporate values; 3) manifestation (external forms of expression) of corporate culture.

An important condition, principle, and factor in the formation of corporate culture is ontological, deep-seated factors of general human (national) culture,in particular, worldview, the meaning of life, spirituality, morality, values, beliefs, perceptions, and attitudes, which are, by their very nature, extra-organizational, supra-corporate elements of corporate culture.

The second level is defined by corporate values, which are embodied in the organization’s mission and, formulated on that basis, are influenced, on the one hand, by universal (national) culture, and on the other, by the organization’s values and business principles.

The third level – the level of actualization (“external manifestations” [26], external forms of expression, formal characteristics) of corporate culture.

Let us briefly focus on the analysis of the second and third levels of corporate culture, which define the components and factors driving the development of the organizational foundations of corporate culture.