Module-IOrganization Development (OD) :

An Introduction

Mr. Yogesh Kumar PatterLecturer (HR) ykumar@ggn.amity.edu

Amity Business School,Amity University Haryana

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Contents of Module I

1. Nature and basic assumptions of OD2. Characteristics and techniques of OD3. Historical framework4. Various stems of OD5. Steps involved in OD6. Roles of managers in OD7. Factors affecting OD

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1. Nature and Basic Assumptions of OD

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What is an Organization?

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An organisation is the social entity that is goal-directed, is designed as deliberately structured and coordinated activity systems, and is linked to external environment

Sub-systems of organization

Organization is a system consisting of four interacting sub-systems :

1. Structure2. Technology3. People 4. Task

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Goals of organization

Organization as system can be changed and developed to achieve its goal in the best possible ways.

The goals of an organization:SurvivalStabilityProfitabilityGrowthService to the society

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Two schools of thought in OD

Program Procedure School

System Process School

InternalPersonnel orientedIndividualSectionalPrescriptive

Internal and externalDepartment orientedGroupHolisticOpenInterdisciplinary

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What is OD ?

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It is a response to change: a complexeducational strategy intended to change the beliefs, attitudes, values, and structure of organisations so that they better adapt to new technologies, market and challenges and the dizzying rate of change itself[ Warren Bennis]

What is OD ?

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OD may be defined as a systematic,integrated and planned approach toimprove the effectiveness of the enterprise.It is designed to solve problems thatadversely affect the operational efficiencyat all levels.[Knootz]

What is OD ?

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It is an effort [1] planned [2] organisation-wideand [3] managed from the top,[4] to increaseorganizational effectiveness and health through[5] planned interventions in the organisation’sprocesses using behavioral science knowledge.

[Richard Beckhard]

What is OD ?

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OD is a planned effort initiated by process specialist(s) to help an organization developits diagnostic capabilities, linkage strategies(in form of temporary and semi-permanent systems,) and a culture of mutuality - Udai Pareek

What is OD ?

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OD is long-term effort, led and supported by top managementto improve an organization’s visioning, empowerment, learning,and problem-solving processes through an ongoing, collaborativemanagement of organizational culture-with special emphasis on theculture of intact work teams and other team configurations- using the consultant-facilitator role and theory And technology of applied behavioral science including, action research -French and Bell

Nature of OD

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Is a planned change Involves the total system Managed with total acceptance and commitment of the top management Makes use of behaviural science knowledge Is in terms of intervention at the task or structure or technology or people level.(some of them or all of them) Is a ongoing process and a long term process Is primarily on experiential learningUses an action research intervention mode

Assumptions and Values in OD

• Individuals have drive towards personal growth

• Individuals are capable• Importance of work groups• Formal leadership has limitations• Importance of interactive and

transactional solutions• Putting people first

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Objectives of OD

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• Improved effectiveness at the level of individual, teams, organization and the total organization• Better adaptability of the organisation• Willingness of the members to face problem and contribute creative solutions• Improvement in internal behavioural pattern

Essential Components of OD

• Long-term effort• Led and supported by top management• Visioning processes• Empowerment processes• Learning processes• Problem-solving processes

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Essential Components of OD (Contd.)

• Ongoing collaborative management of organization’s culture

• Intact work teams and other configuration of teams

• Consultant-facilitator role• Organization’s improvement through

participant action

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2. Characteristics and Techniques of OD

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Characteristics of OD

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1. Totality of the organisation2. Theoretical base is eclectic

- Psychology, sociology,anthropology,political science etc

3. Change in any sub-systems- Structure- Task- Climate- Methods of decision making and of problem solving- Technology

Characteristics of OD (Contd)

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-Communication- Residential Analysis: live-in observer- Participant Analysis: Interviews, questionnaires to get information about the place of communication in network- Duty Study: Positioning himself at any point of network- Cross-Section Analysis: A time sampling of the communication process- Ecco [Episodic communication channels in Organisation Analysis]-a piece of comm.left 4. Management Practices and Employee reactions to these practices are analysed 5. OD is an ongoing process6. Change agent may be internal or external

Techniques of OD

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o Planned changeo Distinctive nature of consultingo Total system perspectiveo Action research

Three Types of Change

1. Changing Design and Structure

2. Changing Process3. Changing boundaries

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I. Planned Change

II. Distinctive Consulting Method

• Collaborative• Learning• Solving own problem

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III. Total System Perspective

• System: interdependencies, interrelatedness, multiple causes and multiple efforts

• Culture, processes and structures -Norms, values and assumptions -Task vs. Process -Designing and integration of the task• Complex social system

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IV. Action Research

• Changes based on action research• Client group learns new knowledge

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What is Action Research ?

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It is a process of systematically collectingresearch data about an ongoing system,feeding those data back to the system,taking actions by altering selected variableswith in the system and evaluating the results

What is a Process in OD

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A methodology that links activitiestogether so as to add value

What is a fair process in OD ?

• Engagement– People want their view to be heard– There is right to refute– Communication is sincere and genuine

• Exploration– Different options are explored

• Explanation– People are informed of the decision– Decisions are based on sound facts and

reasoning

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• Expectations– Decisions are translated into clear

goals,action plan and behaviours– The meaning of a commitment is clear– There is appropriate coaching and support

• Evaluation– Decisions are applied with consistency– Desired behaviours and results are

rewarded

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3. Historical Framework of OD

• In USA in 1946 with ‘T’ Group by Kert Lewin

• In India in 1957 by Rolf Lynton who established a ‘T’ Group, name “Aloka” in Mysore to develop the capacity of youth

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4.Various Stems of OD• The laboratory training• The survey research and feed-back• The action research• The sociotechnical and socioclinical

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I. The Laboratory Training

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Unstructured small- group situations in whichparticipants learn from their own action

Experience of ‘ T ‘ Group

• Self in sight……..• Conditions facilitating or inhibiting group

behavior• Understanding interpersonal operations in

groups• Developing the skills of diagnosis

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II. The Survey Research and Feedback

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A specialized form of survey researchusing scales and measurement

III. Action Research

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The collection of data and analysis for feeding back to the client organization for initiating certain changes. The evaluation of these efforts add to the knowledge to the client organization

IV. The Sociotechnical and Sociochemical

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Understanding group behavior throughexperiments using knowledge of SocialPsychology

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Implications of OD • Improvement in interpersonal competence.

• Human factors and feelings are to be considered as legitimate.

• Increased understanding to reduce tension.

• More effective “Team Management”.

• Better methods of conflict resolution.

• Development of organic rather than mechanistic designs.

• Making available more choice to people.

5. Steps in OD• Diagnosis• Action• Program management

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I. DIAGNOSISDiagnosis as Foundation for

Intervening

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It is an exercise attempted to make an analysisof the organization its structure,sub-systemsand processes in order to identify the strengthsand weaknesses of its structural components andprocesses and use it as a base for developing plans to improve and for maximize the dynamismand effectiveness of an organization.

Steps in Diagnosis• Define the target• Finalize tools for data collection• Assess organizational processes -Communication -Goal setting -Decision making and problem solving -Conflict resolution -Managing interface

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Steps in Diagnosis (Contd.) -Superior-subordinate relations -Technological and engineering systems• Information to be sought for the processes• Diagnostic targets -Formulation of vision-mission -Strategic management -Long-range planning -Organizational learning -Change in structure and design -Improving Human processes

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Tools and Techniques of Organisational Diagnosis

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Questionnaire Interview Observation Analysis of Secondary Data Analysis of Primary Data Taskforce and Task group Workshops Seminar,Symposium and Training Programmes Recording and examining critical incidents/events Force Field Analysis The Six-Box Model

II. ActionThe Action Component

Use of Action Research as a generic process:“The key aspects of the model are diagnosis, data

gathering, feedback to the client group, action planning, and action.The sequence tend to be cyclical, with the focus on new or advanced problems as the client group learns to work effectively together”

French & Bell

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The Action Component (Contd.)

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“ Action research is the application of the scientific method of fact finding and experimentation to practical problems requiring action solutions and involving the collaboration and cooperation of scientist, practitioners, and laypersons” - Shepard

The Program Management Component

• Motivating change• Creating a vision• Developing political support• Managing the transition• Sustaining momentum• Withdrawing

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6. Role of Manager in OD

• Change agent• Creating a learning organization• T & D• Coach and mentor

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7. Factors Affecting OD

• Need for change• Involving key people• Establishing relationship• Diagnosing • Choice of intervention• Stabilizing change

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