Which term best describes the shared values and beliefs of an organization?

The term that best describes the shared values and beliefs of an organization is organizational culture. This concept encompasses the underlying assumptions, values, norms, and practices that shape the behavior and mindset of individuals within the organization. It influences how members interact, make decisions, and approach their work.

Organizational culture is essential because it acts as the social glue that binds people together within the workplace. A strong culture can foster employee engagement and loyalty, while a weak or negative culture can lead to disengagement and high turnover rates. It also plays a crucial role in defining the identity of the organization and can impact its overall success by influencing how the organization responds to challenges and opportunities in the market.

In contrast, organizational structure relates to how tasks are divided and coordinated within an organization, while organizational hierarchy refers specifically to the levels of authority and responsibility. Organizational strategy focuses on the long-term plan to achieve goals and objectives. Each of these concepts plays a role in the functioning of an organization but does not directly encapsulate the values and beliefs that characterize its culture.