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Organisational culture

Organisational culture concerns shared assumptions, values and norms influencing how people behave and interpret decisions. Formal targets and procedures can be undermined if unwritten expectations reward different actions. Culture can support learning, quality and ethical challenge or encourage concealment and short-term gaming. Assess observed behaviour and incentives rather than infer culture from a published values statement alone.

Worked example

A company claims to value safety but rewards managers solely for speed and dismisses concerns; the practical culture may discourage reporting incidents.

Common mistake

A slogan or training session does not by itself demonstrate that behaviour and incentives have changed.

Where it appears in your exams

QualificationExamRelationshipPeriod
ACCA APM Supporting September 2026–June 2027
ACCA BT Direct September 2026–June 2027
ACCA SBL Direct September 2026–June 2027
FIA FBT Direct September 2026–June 2027