S. Amir Kohan

Define Organizational Culture

Organizational Culture Regardless of the other factors, a compensation system must
fit the organization’s culture. By “organizational culture,” we mean a system of shared
assumptions, values, and beliefs that governs how people behave in organizations. Every
organization has a distinct value for each of these characteristics, which, when combined,
defines the organization’s unique culture. Typically, organizations take one of two basic
approaches toward their employees.

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