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ACCA Applied Knowledge · Business and Technology · Organisational culture

Hartley plc acquires a smaller rival. Hartley has a formal, rule-driven culture, while the rival has an informal, entrepreneurial one. Eighteen months later, the rival's best staff have left and integration targets are missed. According to Schein's model, which level of culture most likely explains the failure to integrate, because it is hardest to see and change?

Basic underlying assumptions explain the failure. In Schein's model these are unconscious, taken-for-granted beliefs at the deepest level of culture. They are hardest to see and change, so a clash between two firms at this level causes lasting integration problems.

  1. AArtefacts, such as dress code and office layout
  2. BEspoused values, such as the published mission statement
  3. CBasic underlying assumptions, the taken-for-granted beliefsCorrect
  4. DSymbols, such as the company logo

Explanation

Schein's three levels are artefacts, espoused values and basic underlying assumptions. The assumptions are unconscious, deeply held and hardest to change, so clashes at this level cause lasting integration problems. Artefacts are visible and easily altered, and published values are stated, not necessarily lived.

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