How organizational culture affect ethical behavior and diversity?

Organizational culture reflects the shared and learned values, beliefs, and attitudes of its members. Organizational culture is considered the personality of the organization; most employees in the organization sense it and know it because it guides their day-to-day behaviors and decisions.

Organizational culture appears to affect ethical behavior and diversity in several ways. An organizational culture that emphasizes ethical norms provides support for ethical behavior. Top leadership plays a key role in fostering ethical behavior by exhibiting the correct behavior. 

 

Top leaders can nurture a culture that rewards ethical priorities and influences how employees behave. If lower level managers observe top-level leaders engaging in unethical behaviors, (i.e. sexually harassing others, falsifying expense reports, diverting shipments to preferred customers, misrepresenting the organization’s financial position, etc.) they assume that these behaviors will be acceptable, ignored, or possibly rewarded. 

 

Thus, the presence or absence of ethical behavior in leaders’ actions both influences and reflects the culture. The organizational culture may promote taking responsibility for the consequences of actions, thereby increasing the probability that employees will behave ethically. Alternatively, the culture may diffuse responsibility for the consequences of unethical behavior, thereby making such behavior more likely.