Everything you need to know about organisational development. Organization Development (OD) is a planned process of change in an organization’s culture through the utilization of behavioral science technology, research, and theory.
OD refers to a long-range effort to improve an organization’s problem-solving capabilities and its ability to cope with changes in its external environment with the help of external or internal behavioral-scientist consultants.
Organization Development is a system wise application and transfer of behavioral science knowledge to the planned development, improvement, and reinforcement of the strategies, structures, and processes that lead to organization effectiveness.
1. Definitions of Organisational Development 2. Objectives of Organisational Development 3. Features 4. Importance 5. Process 6. Techniques
7. Roles of Different Parties 8. Interventions 9. Intervention Categories 10. Values of Organisational Development Movement 11. Goals.
Organisational Development: Definitions, Objectives, Features, Importance, Process, Techniques, Roles and Goals
- Definitions of Organisational Development
- Objectives of Organisational Development
- Features of Organisational Development
- Importance of Organisational Development
- Process of Organisational Development
- Techniques Of Organisational Development
- Roles of Different Parties in Organisational Development
- Organisational Development Interventions
- Organisational Development Intervention Categories
- Values of Organisational Development Movement
- Goals of Organisational Development Programme
Organisational Development – As Defined by Beckhard, Bennis, Bruke and Hornstein, Vaill, Poras and Roberston
Organization Development (OD) is a planned process of change in an organization’s culture through the utilization of behavioral science technology, research, and theory. OD refers to a long-range effort to improve an organization’s problem-solving capabilities and its ability to cope with changes in its external environment with the help of external or internal behavioral-scientist consultants.
OD is an effort- Planned, organization-wide, and managed from the top, to increase organization effectiveness and health through planned interventions in the organization’s “processes,” using behavioral science knowledge.
Organization Development is a system wise application and transfer of behavioral science knowledge to the planned development, improvement, and reinforcement of the strategies, structures, and processes that lead to organization effectiveness.
During the early 1960 organisational development (O.D.) emerged out of insights from group dynamics and theory and practice of planned change. If this change could be brought, the employees of the organisation would be in a better position to solve problems, confront conflict, formulate policies and handle operational matters more effectively.
The Organisational Development field is based on knowledge from behavioural science discipline such as psychology, sociology, social psychology, anthropology, politics, system and organisation theory and organisational behavioural. In a simple way, Organisational Development is a systematic process for applying behavioural science, principles and practices in organisation to increase individual and organisational effectiveness.
No single acceptable definition of Organisational Development exists. Therefore the definitions part of Organisational Development is divided into two parts viz., early definition and more recent definition.
Organisational development is planned, organisation wide, managed from top to increase organisational effectiveness and health through planned interventions is the organisation processes using knowledge of the behavioural science. – Beckhard, 1969
Organisational development is a response to change a complex educational strategy intended to change the beliefs, attitudes values, and structure of organisations so that they can better adopt to new technologies, markets, and- challenges, and the dizzying rate of change itself. – Bennis, 1969
Organisation development is a process of planned change of an organisation’s culture from one which avoids an examination of social processes (especially decision making, planning, and communication) to one which institutionalizes and legitimizes this examination. – Burke and Hornstein, 1972
The more recent definition of Organisational Development is as:
Organisational development is an organisational process for understanding and improving any and all substantive processes of organisation, may develop for performing any tasks and perusing any objectives. A process for improving processes” that is what Organisational Development has basically sought to be for approximately 25 years – Vaill, 1989.
Organisational development is a set of behavioral science based theories, values, strategies, and technique aimed at the planned change of the organisational work setting for the purpose of enhancing individual development and improving organisational performance, through the alteration of organisational members on the job behaviours. – Porras and Roberston, 1992
Organisational development is planned process of change in an organisation’s culture through the utilization of behavioural science technologies, research, and theory. -Burke, 1994
On the basis of above definitions, we can conclude that the, “organisational development is a long term effort of systematic development of planned change in an organisation through the utilization of various discipline of behavioural science, technologies, research and practice.”
Organisational Development – 9 Important Objectives
Organisation development efforts broadly aim at improving the organisational effectiveness and job satisfaction of the employees. These aims can be attained by humanising the organisations and encouraging the personal growth of individual employees.
Specifically the OD Objectives are:
(1) To increase openness of communication among people.
(2) To increase commitment, self-direction and self-control.
(3) To encourage the people who are at the helm of affairs or close to the point of actual action to make the decisions regarding their issues through collaborative effort.
(4) To involve the members in the process of analysis and implementation.
(5) To encourage confrontation regarding organisational problems with a view to arriving at effective decisions.
(6) To enhance personal enthusiasm and satisfaction levels.
(7) To increase the level of trust and support among employees.
(8) To develop strategic solutions to problems with higher frequency.
(9) To increase the level of individual and group responsibility in planning and execution.
Organisational Development – Features: Attention on the Entire Organisation, System Oriented, Action Research, Problem Solving, Group Process, Feedback and a Few Others
The definitions of organisational development convey the following characteristic features:
Feature # 1. Attention on the Entire Organisation:
Organisational development gives attention to the entire organisation to enable the environment in the organisation to reinforce the employees to learn whatever the programme specifies it. This learning is different from the traditional training programme that emphasises a small group or a particular job.
Feature # 2. System Oriented:
Development of organisation is based on system approaches. The various parts of an organisation interact in such a way to give momentum for interpersonal and intergroup cooperation. The system mainly aims at proper coordination of all parts of the organisation for a better performance.
Feature # 3. Action Research:
This process in organisational development is to do research study of various work situations. This method of study is conducted on actual work situations to understand the problematic areas and remedying it accordingly, to improve the performance of an organisation.
Feature # 4. Problem Solving:
Action research provides the data on problems faced while executing the jobs and solving them through the practical experience gained over the years. This develops an attitude of solving the problems which ultimately leads to self- sufficiency.
Feature # 5. Group Process:
More importance is given to group activities rather than individuals. Thus, it focuses on the improvement of group performance. Organisations have developed various ways to improve the interpersonal relations, discussion between the groups, intergroup functional conflicts, formation of team, etc., so as to help develop the capabilities of an individual to have long-lasting personal relations and intergroup communication.
Feature # 6. Feedback:
This is the process by which one understands other’s views on a certain subject. The feedback by an individual helps to provide information, on the basis of which a decision can be taken. This, in a way, contributes to organisational development. For example, the participants are divided into separate groups.
A certain group takes a decision on a given subject, which is passed on to other groups to obtain different opinions. Lastly, the members of different groups come together for a live discussion; as a sequel to which a consensus and final decision are arrived at on the given subject. Needless to mention that the total process is entirely based on the feedback, received earlier.
Feature # 7. Learning through Experience:
Organisational behaviour enables an individual to learn through experience. One can adopt new behavioural pattern through experience. It is a self-motivated process, as it is said,” Experience without learning is more than learning without experience.”
Feature # 8. Contingency Oriented:
Organisational development is basically determined on situation. People develop their behavioural concept according to their experience. They are, therefore, able to suggest various solutions to a problem and select a suitable one according to contingencies. Organisational research has the viability to select the correct solution to a problem, since it is flexible to solutions and contingencies, compared to any traditional approach for solving the problem.
Feature # 9. Use of Change Agent:
The organisational development is that, it utilises a change agent (Catalyst) to guide the change. The change agents are normally process agents or consultants to guide the groups to an effective group process. These process agents cannot be termed as the experts to tell the group what to do.
The role of an agent is to assist the group in solving the problem and the group has to solve the same by itself. The change agent integrates four main parts of the organisation, viz., people, structure, technology and social system for effectiveness of the organisation.
Organisational Development – Importance
With the changing and turbulent environment the risks and uncertainly prevails. It has become very risky for the organisation to carry-out its business and achieve the objectives effectively and efficiently. In business a huge capital is involved. There is no certainly that the organisation would stay in competition and business in future. With the changing time the requirements and existing competencies are different.
A gap is created between these two. It has become necessary to bridge this gap by bringing suitable changes at individual, group and organisational level in processes, systems, management, products, services and competencies of manpower. The organisation where management has paid proper attention to the changing requirements could bring suitable changes in time.
The performance of the organisation as a whole has improved. They are doing the things better and before others and maintaining their position in the markets.
The importance of OD can be judged from the following advantages:
(a) It is need to bridge the gap between the existing and required abilities.
(b) It improves the processes, systems, people and management capabilities.
(c) Performance of the organisation as a whole improves.
(d) The quality and quantity of products improves as per demand of the customers.
(e) The sales and revenue of its products and services go high.
(f) The profitability of the company goes high.
(g) The financial position of the company improves.
(h) The market share of the company improves.
(i) The company gets competitive advantage over their arch rivals in markets.
(j) The reputation of the company as a whole improves.
Due to these advantages it can be said that the OD very necessary with the present uncertain environment. It cannot be ignore and if done so there are chances the company may lose its business in the markets. It is a matter of survival, growth, stabilize and excel in performance.
These requirements can be fulfilled through OD efforts. It is concluded that in the present time the need for OD is strongly felt. It is very important for every organisation in fighting tough completion.
Organisational Development – Process: Initial Diagnosis, Data Collection, Data Feedback and Confrontation, Implementation of Intervention, Team Building and a Few Others
The OD process is complicated and it takes long time to complete the process. It takes minimum of one year and sometimes continues indefinitely. There are different approaches to OD process but the typical process consists of seven steps, viz., initial diagnosis, data collection, data feedback and confrontation, action planning and problem solving, team building, intergroup development and evaluation and follow-up.
(1) Initial Diagnosis:
If executives recognise that there are inadequacies within organisation which can be corrected by OD activities, it is necessary to find out the professional and competent people within the organisation to plan and execute OD activities. If competent people are not available within the organisation the services of the outside consultants to help in diagnosing the problem and developing OD activities are to be taken. The consultants adopt various methods including interviews, questionnaires, direct observation, analysis of documents and reports for diagnosing the problem.
(2) Data Collection:
Survey method is used to collect the data and information for determining organisational climate and identifying the behavioural problems.
(3) Data Feedback and Confrontation:
Data collected are analysed and reviewed by various work groups formed from this purpose in order to mediate in the areas of disagreement or confrontation of ideas or opinions and to establish priorities.
(4) Selection and Design of Interventions:
The interventions are the planned activities that are introduced into the system to accomplish desired changes and improvements. At this stage the suitable interventions are to be selected and designed.
(5) Implementation of Intervention:
The selected intervention should be implemented. Intervention may take the form of workshops, feedback of data to the participants, group discussions, written exercises, on-the-job activities, redesign of control system etc. Interventions are to be implemented steadily as the process is not a “one-short, quick cure” for organisational malady. But it achieves real and lasting change in the attitudes and behaviour of employees.
(6) Action Planning and Problem Solving:
Groups prepare recommendations and specific action planning to solve the specific and identified problems by using data collected.
(7) Team Building:
The consultants encourage the employees throughout the process to form into groups and teams by explaining the advantages of the teams in the OD process, by arranging joint meetings with the managers, subordinates etc.
(8) Inter-Group Development:
The consultants encourage the intergroup meetings, interaction etc., after the formation of groups/teams.
(9) Evaluation and Follow-Up:
The organisation evaluates the OD programmes, find out their utility, and develop the programmes further for correcting the deviations and/or improved results. The consultants help the organisation in this respect.
All the steps in the OD processes should be followed by the organisation in order to derive full range of OD benefits.
Organisational Development – Techniques: Sensitivity or T-Group Training, Management by Objectives, Grid Development, Organisational Redesign and a Few Others
Technique # 1. Sensitivity or T-Group Training:
A manager’s behaviour is not how he thinks he behaves, but how others view his behaviour. The sensitivity training has the objective of increasing a person’s understanding of how his behaviour affects others and his reaction to the behaviour of others. In this approach, the participants are encouraged to undertake considerable self-examination. Sensitivity training represents a valuable psychological experience and a highly effective approach for the study of interpersonal relationships.
The T-Group training is a major category of sensitivity training and consists of an unstructured group of about 8-10 people with no leader, no agenda and no stated goal. The group is expected to develop interactions in whatever ways its members like. The emphasis is on “here and now” and “face-to-face” interaction.
Some of the benefits of T-Group training are:
(i) The participants learn more about themselves, specially their own weaknesses and emotions.
(ii) It develops insights into how the participants react to others and how others react to them.
(iii) It helps to understand group processes, inter-member interactions, inter-personal relations and how to manage people through means other than power.
(iv) It helps to assess one’s values and goals as a result of analysis of direct experiences.
Technique # 2. Management by Objectives:
Managing by objectives is a dynamic system which integrates the company’s need to achieve its goal for profit and growth with the manager’s need to contribution and develop himself.
According to George S. Ordiorne, the system of Management by Objectives can be described as a process whereby the superior and subordinate managers of an organisation jointly identify its common goals, define each individual’s major areas of responsibility in terms of results expected of him, and use these measures as guided for operating the unit and assessing the contribution of each of its members. Ordiorne also stressed that MBO is not merely a set of rules, series of procedures or even a set method of managing, but it is a way of thinking about management.
Management by objectives is a comprehensive tool of management. It calls for regulating the entire process of managing in terms of meaningful, specific and variable objectives at different levels of management hierarchy. Management by objectives moulds planning, organising, directing and controlling in a number of ways.
It stimulates meaningful action for better performance and higher accomplishment. It is closely associated with the concept of decentralisation because decentralisation cannot work without the support of management by objectives.
Technique # 3. Grid Development:
Grid organisational development is based on Blake and Mouton’s model of leadership called the Managerial Grid. Their model depicts two prevailing concerns found in all organisations-concern for productivity and concern for people. Some managers are high in concern for productivity but low in concern for people or vice-versa.
Some managers may have either high or low concern for both productivity and people. Besides helping managers evaluate their concern for people and productivity, the Managerial Grid stresses the importance of developing a team-management leadership style.
In grid OD, change agents use a questionnaire to determine the existing styles of managers, help them to re-examine their own styles and work towards maximum effectiveness.
A grid OD programme has five phases:
(i) Training – Key managers learn about grid concepts and how they are applied in a week-long seminar. They assess their own managerial styles and work on improving such skills as team development, group problem solving, and communication. After appropriate instruction, these key managers will work to implement the grid programme throughout the organisation.
(ii) Team Development – The trained managers bring their new understanding of Managerial Grid concepts to the work situation. Emphasis is placed on improving both manager-subordinate relationships and team effectiveness, so that team operates on the 9, 9 grid level.
(iii) Intergroup Development – This phase focuses on the relationship between the organisation’s work groups to improve coordination and cooperation. They set goals to be tested, evaluated, and refined by managers and subordinates working together throughout the organisation.
(iv) Goal Attainment – Organisation members seek to make the ideal model a reality. Each subunit examines how their activities should be carried out in order to achieve excellence and they proceed to take whatever corrective actions are necessary.
(v) Stabilisation – Eventually, the results of all the phases are evaluated to determine which areas of the organisation still need improvement or alternation. Efforts are made to stabilize positive changes and to identify new areas or opportunities for the organisation.
Technique # 4. Organisational Redesign:
The organisation’s structure may be changed to make it more efficient by redefining the flow of authority. There can also be changes in functional responsibility such as a move from product to matrix organisational structure.
Organisational structure often reflects the personal desires, needs, and values of the chief executives. Changing structure, therefore, may create resistance and concern because people are worried about their power or status, or how the change will affect their work groups.
Technique # 5. Work Design:
Work design is a broad term meaning the process of defining tasks and jobs to achieve both organisational and employee goals. It must, therefore, take into account the nature of the business (organisational interest), the organisational structure, the information flow and decision processes, the differences among employees, and the reward systems. Within the broad scope of work design is the design of individual jobs that is job design.
Job analysis is the process of obtaining information about jobs. Job redesign makes use of job analysis to redefine a job in terms of tasks, behaviours, education, skills relationships and responsibilities required.
Technique # 6. Job Enrichment:
Job enrichment implies increasing the contents of a job or the deliberate upgrading of responsibility, scope and challenge in work.
“Job enrichment is a motivational technique which emphasis the need for challenging and interesting work. It suggests that jobs be redesigned so that intrinsic satisfaction is derived from doing the job. In its best applications, it leads to a vertically enhanced job adding functions from other organisational levels, making it contain more variety and challenge and offer autonomy and pride to the employee.” The job holder is given a measure of discretion in making operational decisions concerning his job. In this sense, he gains a feeling of higher status, influence and power.
The term ‘job enrichment’ should be distinguished from the term ‘job enlargement’. Job enlargement attempts to make a job more varied by removing the dullness associated with performing repetitive operations. It involves a horizontal loading or expansion, i.e., the addition of more tasks of the same nature. But in job enrichment, the attempt is to build into job a higher sense of challenge and importance of achievement. Job enrichment involves vertical loading of functions and responsibilities which require higher levels of skills and competence.
Technique # 7. Team Building:
Team building is an attempt to assist the work-group in learning how to identify, diagnose, and solve its own problems. It directly focuses on the identification of problems relating to task performance and lays down concrete plans for their elimination. A team building programme deals with new problems on an ongoing basis. It is an effective technique by which members of an organisational group diagnose how they work together and plan changes that will improve their effectiveness.
The workgroup problems may be related to task or personality conflicts. The task related issues can be streamlined by changing the ways things are done, by redirecting the resources to be utilized and by reexamining the work processes.
The interpersonal relationships within the team can be improved by creating an environment which is open and trustworthy, where members can openly and freely communicate their feelings and thoughts, where leadership evolves on the basis of respect and functional excellence and where conflicts are resolved on the basis of mutual understanding.
Team-building requires the help of a skilled observer or consultant to increase the effectiveness of the group’s tasks and maintenance roles. Feedback is an important component of team-building which is provided by the consultant during or after the meeting to increase the effectiveness of both the group and the members.
Organisational Development – Roles of Different Parties: Role of Change Manager, Role of Change Agent, Role of HRD Manager, Role of Trade Union and a Few Others
Organisational development process is very comprehensive and it involves jobs, work design, structure, individuals, groups, strategy, processes, procedures, technology and culture of the organisation. It takes a long time to get the desired results. For improving the effectiveness of the organisation through OD the involvement of all concerned persons is needed.
Right from top level to bottom levels all are attached with organisational development. Change manager, change agent, managers, workers and unions play their role in their own capacity. It is expected that everyone must give the desired contribution for organisational development.
The roles of different parties are explained below:
1. Role of Change Manager:
Change manager is the person responsible for bringing development in various areas of the organisation. He starts his role from identification of needs for change, situation analysis, deciding intervention for development, implementation and review of the intervention. In some of the organisation the organisational development responsibility is assigned to one person independently, whereas in other organisations the role is played by the manager along with routine functions.
The change manager may find difficulty in planning and implementation of strategy because of resistance from functional managers. When additional job of OD is given to the functional manager then he may not give proper attention to the development activities. The task of OD should be given to the person at higher level so that he can create the situation suitable for organisational development.
The change manager should be an expert of his field and must have knowledge regarding manpower, processes, procedures, technology, structure and strategy for effective working. The training should be given to the executives to play role of change manager. The role of change manager is very important in organisational development because he provides proper planning and guidance for bringing desired changes in the organisation.
2. Role of Change Agent:
Change agent is a person outside of organisation and be may called as consultant. When the company is not involved in much development activities, it may take service of the experts from the markets. In case of regular development jobs the company employs a full-time change manager or jobs may be-assigned to one internal manager who is expert in that job.
The change agent is having knowledge of the particular field. Right from study of internal and external environment, industry and company analysis, designing, developing, selection and implementation of intervention he is involved and provides support to the managers. He works for his consultation fees or commission as per the requirements he provides his services.
For selection of the change agent the management should take proper care. On the basis of his proven track record the consultant should be finalized. The feedback should be taken from the companies where he has already worked as a change agent successfully or from markets. The available information should be verified properly otherwise the decision may be wrong.
The change agent explains the changes, their types of changes and benefits expected from such changes to the employees. He convinces all concerned persons to get them into confidence and get their support. If it is done so successfully, the resistance from employees would not be there.
The role of above mentioned activities is very important. The expertise and involvement of change agent in OD activities would affect the success of OD. He may leads to the OD programme successfully if level of commitment on his part is high definitely.
3. Role of HRD Manager:
Organisational development and human resource development are having the common objectives of development. Human resource is one the areas of OD. For achieving objectives an HRD manager plays an important role. Designing, planning and implementation of intervention for OD and HRD are the main functions of HRD manager. Through development of human resource the organisational development is possible.
The main purpose of concerned department is to create the favourable climate for learning and development. In the favourable environment the employees learn from the learning facilities provided in an organisation and from their own experience also. The employees should be motivated by the department to utilize their potential.
Due to continuous learning the employees will acquire new competencies (skills, knowledge, capability and attitude). The main objective of HRD department is to develop the competencies of the employees to meet the changing needs of the organisation.
To achieve this objective the concerned department should perform the following major functions in HRM intervention for OD:
(i) Formulate the human resource policy in the organisation and open support of top management.
(ii) Create a constant desire to learn and develop by inspiring employees by line managers.
(iii) Canalize all HRD efforts in one direction to achieve the goals of the organisation.
(iv) For creating and developing suitable climate, planning and designing of new systems and methods.
(v) Monitoring of implementation and performance of various human resource development mechanisms.
(vi) Close contact with associations and unions and their inspiration.
(vii) Conducting research periodically relating to various human aspects.
(viii) Supply relevant information to the top management.
(ix) Influencing formulation of personnel policies due to staff expertise.
To perform the above-mentioned functions, it is required that HRD manager staff of the concerned department, must be well qualified and experienced. Otherwise these activities cannot be performed effectively. Keeping in view the functions performed by HRD manager for development of human resource and organisation, it is concluded that the role played is very important and essential for successful effort for achieving high level of effectiveness of organisation as a whole.
4. Role of Trade Union:
Management are not having positive attitude towards trade unions. Trade unions are considered opponent to the management. These are mainly confined to issues like wages, bonus and working conditions. But they had paid no attention towards the development of workers in past. In the recent past initiatives have been taken by the management for development of human resource and organisation.
Trade unions have not supported the initiative taken by the management due to various reasons. Now it is time for management to deal with the fears and doubts of trade union. Management should have continuous interaction with the trade unions regarding OD activities. Trade unions must be taken into confidence and they must be involved.
Working climate of trust and understanding must be developed. These efforts will develop involvement of unions in developmental programmes. Trade unions should play the positive roles in development of employees.
The role of trade union for development of organisation is important.
The trade union can play the following roles:
(i) When the initiative for development of organisation comes from management trade unions must cooperate. If no initiative from management side then trade unions must initiate for development of workers. The improved communication between management union and employees can strengthen the role of trade unions.
(ii) Trade unions should provide counselling service to workers regarding excessive drinking, smoking, drug addiction, gambling, etc. In absence of counselling the employees get involved in evils.
(iii) Trade union must help the employees to acquire knowledge and skills regarding work and human processes like team-spirit empathy, helping attitude.
(iv) Trade union must put continuous efforts to improve employees’ welfare programme for overall development.
(v) Trade unions should sponsor appropriate research projects to collect relevant data regarding various dimensions of worker’s needs, aspirations, development needs, etc. They can seek involvement of experts, academicians by participating in research problems relevant to the trade unions.
For better and effective role in HRD and OD, trade union should be professional. This means HRD within union. Trade unions had ignored development of union leadership. Trade unions must develop union leadership. The new developmental role will acquire new skills in the union leadership and the unions will play their roles more effectively.
Organisational Development – Interventions: Survey Feedback, Process Consultation, Goal Setting and Planning, Managerial Grid, Team Building and a Few Others
Organization Development (OD) interventions techniques are the methods created by OD professionals and others. Single organization or consultant cannot use all the interventions. They use these interventions depending upon the need or requirement.
The most important interventions are:
1. Survey Feedback:
The intervention provides data and information to the managers. Information on Attitudes of employees about wage level, and structure, hours of work, working conditions and relations are collected and the results are supplied to the top executive teams.
They analyze the data, find out the problem, evaluate the results and develop the means to correct the problems identified. The teams are formed with the employees at all levels in the organization hierarchy i.e. from the rank and file to the top level.
2. Process Consultation:
The process consultant meets the members of the department and work teams observes their interaction, problem identification skills, solving procedures etc. He feeds back the team either the information collected through observations, coaches and counsels individuals & groups in molding their behavior.
3. Goal Setting and Planning:
Each division in an organization sets the goals or formulates the plans for profitability. These goals are sent to the top management which in turn sends them back to the divisions after modification. A set of organization goals thus emerge thereafter.
4. Managerial Grid:
This identifies a range of management behavior based on the different ways that how production/service oriented and employee oriented states interact with each other. Managerial grid is also called as instrumental laboratory training as it is a structured version of laboratory training. It consists of individual and group exercises with a view to developing awareness of individual managerial style interpersonal competence and group effectiveness.
Thus grid training is related to the leadership styles. The managerial grid focuses on the observations of behaviour in exercises specifically related to work. Participants in this training are encouraged and helped to appraise their own managerial style.
(i) First phase is concerned with studying the grid as a theoretical knowledge to understand the human behavior in the Organization.
(ii) Second phase is concerned with team work development. A seminar helps the members in developing each member’s perception and the insight into the problems faced by various members on the job.
(iii) Third phase is inter group development. This phase aims at developing the relationships between different departments
(iv) Fourth phase is concerned with the creation of a strategic model for the organization where Chief Executives and their immediate subordinates participate in this activity.
(v) Fifth phase is concerned with implementation of strategic model. Planning teams are formed for each department to know the available resources, required resources, procuring them if required and implementing the model
(vi) Sixth Phase is concerned with the critical evaluation of the model and making necessary adjustment for successful implementation.
5. Management by Objectives (MBO):
MBO is a successful philosophy of management. It replaces the traditional philosophy of “Management by Domination”. MBO led to a systematic Goal setting and planning. Peter Drucker the eminent management Guru in 1959 has first propagated the philosophy since then it has become a movement. MBO is a process by which managers at different levels and their subordinates work together in identifying goals and establishing objectives consistent with Organizational goals and attaining them.
6. Team Building:
It is an application of various techniques of Sensitivity training to the actual work groups in various departments. These work groups consist of peers and a supervisor.
7. Sensitivity Training:
It is called a laboratory as it is conducted by creating an experimental laboratory situation in which employees are brought together. The Team building technique and training is designed to improve the ability of the employees to work together as teams.
8. Job Enrichment:
It is currently practiced all over the world. It is based on the assumption in order to motivate workers; job itself must provide opportunities for achievement, recognition, responsibility, advancement and growth. The basic idea is to restore to jobs the elements of interest that were taken away. In a job enrichment program the worker decides how the job is performed, planned and controlled and makes more decisions concerning the entire process.
Organisational Development – Intervention Categories: Human Process Intervention, Techno – Structural Intervention, Strategic Intervention and a Few Others
1. Human Process Interventions:
The following interventions deal with interpersonal relationships and group dynamics-
(i) T Groups- The basic T Group brings ten to fifteen strangers together with a professional trainer to examine the social dynamics that emerge from their interactions.
(ii) Process Consultation- This intervention focuses on interpersonal relations and social dynamics occurring in work groups.
(iii) Third Party Interventions- This change method is a form of process consultation aimed at dysfunctional interpersonal relations in organizations.
(iv) Team Building- This intervention helps work groups become more effective in accomplishing tasks.
The following Interventions deal with human processes that are more system wide than individualistic or small-group oriented-
(i) Organization Confrontation Meeting- This change method mobilize organization members to identify problems, set action targets, and begin working on problems.
(ii) Intergroup Relations- These interventions are designed to improve interactions among different groups or departments in organizations.
(iii) Large-group Interventions- These interventions involve getting abroad variety of stakeholders into a large meeting to clarify important values, to develop new ways of working, to articulate a new vision for the organization, or to solve pressing organizational problems.
(iv) Grid Organization Development- This normative intervention specifies a particular way to manage an organization.
2. Techno-Structural Interventions:
These interventions deal with an organization’s technology (for examples its task methods and job design) and structure (for example, division of labor and hierarchy). These interventions are rooted in the disciplines of engineering, sociology, and psychology and in the applied fields of socio-technical systems and organization design. Practitioners place emphasis both on productivity and human fulfillment.
(i) Structural Design- This change process concerns the organization’s division of labour – how to specialize task performances. Diagnostic guidelines exist to determine which structure is appropriate for particular organizational environments, technologies, and conditions.
(ii) Downsizing- This intervention reduces costs and bureaucracy by decreasing the size of the organization through personnel layoffs, organization redesign, and outsourcing.
(iii) Re-engineering- This recent intervention radically redesigns the organization’s core work processes to create tighter linkage and coordination among the different tasks
(v) High-involvement Organizations (HIO’s)
(vii) Work design- This refers to OD interventions aimed at creating jobs, and work groups that generate high levels of employee fulfilment and productivity.
3. Human Resource Management Interventions:
(i) Goal Setting- This change program involves setting clear and challenging goals. It attempts to improve organization effectiveness by establishing a better fit between personal and organizational objectives.
(ii) Performance Appraisal- This intervention is a systematic process of jointly assessing work- related achievements, strengths and weaknesses.
(iii) Reward Systems- This intervention involves the design of organizational rewards to improve employee satisfaction and performance.
(iv) Career Planning and development- It generally focuses on managers and professional staff and is seen as a way of improving the quality of their work life.
(v) Managing workforce diversity- Important trends, such as the increasing number of women, ethnic minorities, and physically and mentally challenged people in the workforce, require a more flexible set of policies and practices.
(vi) Employee Wellness- These interventions include employee assistance programs (EAPs) and stress management.
4. Strategic Interventions:
These interventions link the internal functioning of the organization to the larger environment and transform the organization to keep pace with changing conditions.
(i) Integrated Strategic Change:
It argues that business strategies and organizational systems must be changed together in response to external and internal disruptions. A strategic change plan helps members manage the transition between a current strategy and organization design and the desired future strategic orientation.
(ii) Trans Organization Development:
This intervention helps organizations to enter into alliances, partnerships and joint ventures to perform tasks or solve problems that are too complex for single organizations to resolve
(iii) Merger and Acquisition Integration:
This intervention describes how OD practitioners can assist two or more organizations to form a new entity.
(iv) Culture Change:
This intervention helps organizations to develop cultures (behaviours, values, beliefs and norms) appropriate to their strategies and environments.
(v) Self-Designing Organizations:
This change program helps organizations gain the capacity to alter themselves fundamentally. It is a highly participative process, involving multiple stakeholders in setting strategic directions and designing and implementing appropriate structures and processes.
(vi) Organization learning and knowledge management.
5. Action Research:
Action research is a research initiated to solve an immediate problem or a reflective process of progressive problem solving led by individuals working with others in teams or as part of a “community of practice” to improve the way they address issues and solve problems. It sometimes called participatory action research. Action research involves the process of actively participating in an organization change situation whilst conducting research.
It can also be undertaken by larger organizations or institutions, assisted or guided by professional researchers, with the aim of improving their strategies, practices and knowledge of the environments within which they practice. As designers and stakeholders, researchers work with others to propose a new course of action to help their community improve its work practices.
Kurt Lewin, first coined the term “action research” in 1944. In his 1946 paper “Action Research and Minority Problems” he described action research as “a comparative research on the conditions and effects of various forms of social action and research leading to social action” that uses “a spiral of steps, each of which is composed of a circle of planning, action and fact-finding about the result of the action”.
Organisational Development – Values: People are Basically Good, Need for Confirmation and Support, Fostering Co-Operation, Giving Attention and a Few Others
OD movement is composed of various professionals like of behavioural researchers, consultants, business executives etc. There are a number of values of this profession.
The important among them are:
(1) People are Basically Good:
OD movement believes the assumptions of Theory of Y of McGregor. As such it emphasises supportive and relative opportunities for growth. Self-control and personal responsibility are to be provided to the employees in an organisation rather than using controls and punishments.
(2) Need for Confirmation and Support:
Every new employee needs confirmation and support of others. He is conditioned to believe that no ‘news is good news’ as he may be afraid of the negative aspects of support and security. Hence, when the new employee is appointed he is to be taken into confidence, invited to work place for discussion on his personal and work related issues in private meetings.
(3) Accepting Differences among People:
People have different backgrounds, experiences, opinions and ideas, viewpoints and personality. Organisation is benefited by the differences in backgrounds, personality and viewpoints of employees.
(4) Expressing Feelings and Emotions:
Allowing the people to be rational, to express their feelings, sentiments, emotion, anger or tenderness. Expression of feelings freely results in high motivation, commitment, and creative ability. The people may be allowed to exhibit their anger, emotion and exhilaration.
(5) Authenticity, Openness and Directness:
Most of the people exhibit duplicity tell half- truths and mask their true motives. Such behaviour inhibits the growth of the individuals and productivity as the resources are misused in this process. Honesty and directness enable people to put their energies into the real problems and improve effectiveness.
(6) Fostering Co-Operation:
Some executives adopt the rule of divide and manage. Thus, they believe in win-lose competition for various employee benefits. This style results in wastage of human and other resources. Hence, executives should create and develop cooperation among employees for effectiveness.
(7) Giving Attention:
Giving attention to process activities not only at the time of assigning activities and bringing relations among employees but also at the later stages.
(8) Confronting Conflict:
Some executives suppress the conflict. But it has its long-run effect on employee morale. Hence, identifying the root causes of the problem and working out a satisfactory solution rather than suppressing the conflict are needed.
Organisational Development – Goals
The two major goals of OD programme are:
1. To improve the functioning of individuals, teams and the total organisation; and
2. To teach organisation members how to continuously improve their own functioning.
Besides these, the other goals of OD are:
1. To take decision on the basis of competency rather than on authority;
2. To increase the level of trust, confidence and support among an organisation’s members;
3. To reduce by technical competition and maximise collaboration among employees of the organisation;
4. To create conditions in which conflict is effectively manager;
5. To establish effective communication system;
6. To create an environment in which self-development and renewal system become a natural part of the organisation;
7. To increase the level of self and group responsibility in planning and implementation;
8. To help management in setting challenges of the realistic goals;
9. To increase commitment and a sense of ownership of organisation objective throughout the workforce; and
10. To enhance the identification of members and groups with the organisation as a whole.