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Organizational climate, the totality of its culture, tradition and methods of action, is the human environment within which an organization´s employees perform work. Every organization has a corporate gestalt, i.e., general climate which is characterized by a particular distinct ambiance. As to how this ambiance is perceived and how this bundle of "vibes" is organized into gestalt is termed as organizational climate. A Nation´s development depends on the effectiveness of its organizations,and as such the organisation climate is gaining increasing importance in the contemporary times. Organisational climate, the outcome of industrial work culture and social health, molded by the industrial labour, trade union and human resource policies of the government and the organization, enables the employees to work more effectively within the organization. In this context, the study sets out to provide answers to questions such as: What sort of organizational climate exists in a public sector undertaking? What are the factors that influence the organizational climate or being influenced by the organizational climate? What are the implications of the organizational Climate?

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Dr. Puttapalli Arun Kumar is Associate Professor, Department of Human Resource Management, Andhra University, Visakhapatnam-530003, Andhra Pradesh, India.

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