In [[Management Control]] ''//Cultural controls//'' or mutual-monitoring tap into social pressure and group norms and values. Cultural controls are effective because members of a group have emotional ties to one another. Cultures are built on shared traditions; * norms; * beliefs; * ideologies; * attitudes; * ways of behaving, etc. Five ways to shape culture: * ''Codes of conduct'' ** Codes of ethics; corporate credos, mission statements, etc.; ** Formal written documents with broad statements of corporatevalues, commitments to stakeholders, and the ways in whichtop management would like the firm to function. ** Fundamental guiding principles of the company. * ''Group-based rewards'' ** e.g., bonus, profit-sharing, employee ownership of company stock; ** Cultural controls rather than results controls because the link between individual performance and rewards is weak. * ''Intra-organizational transfers'' ** Improve the socialization of individuals in an organization andinhibit the formation of incompatible goals and perspectives; ** Improve identification with the organization as a whole asopposed to subunit identification. * ''Physical and social arrangements'' ** e.g., office plans, interior decor, dress codes and vocabulary, etc. * ''Tone at the top'' ** Top management statements must be consistent with the culturethey are trying to create, and importantly, their behaviors shouldbe consistent with their statements.