Association of Chartered Certified Accountants (ACCA) Certification Practice Test

Who is credited with creating the culture within an organization according to Schein?

1. Middle management

2. The first leaders

3. All employees collectively

4. The board of directors

The correct answer is: The first leaders

The credit for creating the culture within an organization, according to Schein, is attributed to the first leaders. This is because the foundational values and norms that shape an organization's culture are usually established by its initial leadership. These early leaders set the tone for how employees interact, what values are prioritized, and what behaviors are rewarded or discouraged. Their vision and practices significantly influence the organization's environment, embedding their philosophies into the fabric of the workplace. Schein's model emphasizes that culture is often a reflection of the beliefs and behaviors of the organization’s founders or early leaders, who instill their values in the organizational structure. Over time, while culture can evolve, the initial influence of these first leaders remains significant in defining how the organization operates. Understanding this principle is crucial for anyone studying organizational behavior or pursuing leadership roles, as it highlights the long-lasting impact of leadership decisions on organizational culture.