Organizational climate is a measure of the feel of the internal environment of an organization which is perceived by an outsider and/or an employee according to their business with the organization. Organizational climate has a great impact on employees’ behavior. If the climate of an organization is open and friendly, employees feel comfortable and if it is very formal, then such a comfort level may not be felt. Organizational climate can be temporal too. Sometimes, when there is a pressure of targets to be achieved on demand from the business, one can say that the climate is hot. Climate includes stress level and moral at workplace. Organizational climate comprises of a system of shared action, values andbeliefs that develops within an organization and guides the behavior of employees. Organizational climate depends on the employee’s attitude how they interpret the climate of the organization. This study intends to discuss about the dynamics of organizational climate. How its constituents affect the atmosphere of an organization and what a manager should do to manage. T.V. Rao’s OCTOPACE culture is been discussed in the study and focuses about its importance to make a healthy atmosphere within the organization.