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Organizational culture is best defined as:

A. The building architecture of the office
B. Shared values, beliefs, and norms that shape behaviour
C. The number of employees in a firm
D. The salary structure of the company
Correct Answer: B. Shared values, beliefs, and norms that shape behaviour

Organizational culture is the unique 'personality' of an organization, deeply influencing its operations and employee behavior. It is best defined as the shared values, beliefs, and norms that shape behaviour within an organization. This collective understanding dictates how employees think, feel, and act, creating an unwritten code that guides interactions, decision-making, and the overall work environment. It's a powerful force that can drive or hinder an organization's success.

  • A: The building architecture of the office is a physical aspect, not the culture itself, though it can reflect cultural elements.
  • C: The number of employees in a firm is a demographic metric, unrelated to the organization's shared values or norms.
  • D: The salary structure of the company is part of compensation policy, which can be influenced by culture but does not define the culture itself.

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