Organisational culture is the wide pattern of, shared values, norms and ways of managing, assumptions about the organisation’s mission, perceptions of how best to adapt to the environment etc.
And interesting aspect about organisational culture is that some or most of its characteristics may be largely unstated and in some instances individual organisational members may even be unaware of these.
The organisational culture is therefore not an overnight thing – it is cultivated over a period of time by management, learnt by employees and subsequently passed over to new employees. It also tends to changes over time.
Whenever there exists a well-coordinated culture, there tends to be less distinction between formal and informal rules and regulations, activities and interactions.
Culture is indeed not entirely positive phenomenon. For instance, the establishment of sub-cultures within organisations may in fact create politics which may cause organisational instabilities and ineffectiveness.