Nokia: Shaping The Organizational Culture
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Case Details:
Case Code : HROA006
Case Length : 10 pages
Period : 1968 - 2004
Pub Date : 2004
Teaching Note :Not Available
Organization : Intel Corporation
Industry : Semi conductors
Countries : Global
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Excerpts
Leadership
Ollila's (Ollila) leadership had played an important role in shaping Nokia's culture. Ollila had led Nokia's reinvention as a mobile communications company. He had joined Nokia in 1985 and held a variety of key management positions before moving to the helm of affairs in 1992...
The Nokia Way
Values
Nokia's annual meetings, referred to as the 'Nokia way', were used to exchange notes and set priorities. After a brainstorming exercise, top managers defined the company's vision, which was communicated to the lower layers of management through formal presentations...
Key Aspects of Nokia's Culture
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Nokia's culture was rooted in the Finnish national character-frugal, honest, very direct, serious, with little tolerance for "fooling around"-mixed with a good dose of engineering culture-"can do," pragmatic, and hands-on. The difficulties that Nokia had faced before Ollila became CEO also played their part in shaping the culture...
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Fluid Structure
The most distinctive characteristics of Nokia's organization did not show up on any organization chart. When asked to describe the company's organization structure, Nokia's managers talked about its flexibility, freedom, and the importance of networks, rather than its formal architecture...
Building Talent
While Nokia was not known to pay high compensation, it had been successful in attracting, motivating and retaining quality people... |
Conclusion
Nokia had introduced various innovations in its people processes to achieve a positive employer image. Nokia believed in providing individuals with a platform for personal growth in a challenging environment...
Exhibits
Exhibit I: Nokia - Key Financials
Exhibit II: Employee Development-The "Nokia Way"
Exhibit III: Nokia - Total Payroll and Benefits
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