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119274774 Bus203discussion Chapter 14 C
bus203discussion - Chapter 14 Case 1

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Case Study 14.1 – Hilton’s TransformaƟon
Q1. Contrast Hilton’s earlier corporate culture with the emerging set of cultural values.
a.Earlier Corporate Culture
-Inward Focused
-Employees treated as family
-Autonomy
-Job security
-EnƟtlement/Comfort
-Few Cost Controls
-“Outside” or “Hard” municipal service focus – road building, uƟlity construcƟon and maintenance, fire and police protecƟon, recreaƟonal faciliƟes, and land use control
-Expansion
-“Inside Workers” (taxaƟon, community service, ect) given less priority
-Inside Hires
b.Emerging Corporate Culture
-Outward Focused
-Customer/CiƟzen friendly for ciƟzens/business owners
-“SoŌ” municipal service focus – libraries, social acƟviƟes, community services
-Save money
-Employees treated as employees
-Hire the best people for the job regardless of background or whether they are in the company or not

Q2. Considering the difficulty in changing organizaƟonal culture, why does Hilton’s management seem to be successful at this transformaƟon?
By replacing the top management with people whose backgrounds are congruent with the new corporate culture they are pracƟcing “drasƟc unlearning” a form of cultural change known as coercion (OB page 362). By cuƫng out the driving force behind the old values the management team has new room to expand and change the old culture to fit their desired outcome. In essence the managers are pracƟcing “deculturaƟon” (OB pg 347) oŌen seen in mergers to change the culture of a
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