ORGANIZATIONAL DEVELOPMENT

CHANGE! Negative Perceptions Positive perceptions

Types of Organizational Changes

Anticipatory planned changes based on expected situations

Reactive Changes made in response to un expected situations

Incremental Subsystem adjustments to keep the organization on track

Strategic Altering overall shape or direction of the organization

Individual Reactions to Change

Committed Accepting Resistance Emotional Denial

Nadler & Tushman, 1989

Managing Organizational Change

Tuning Reorientation

(Frame Bending)

Adaptation Re-creation

Frame Breaking

Incremental Strategic

Anticipatory

Reactive

Why do people resist change?

Surprise Inertia Lack of skills Poor timing Lack of trust Fear of failure Personality conflicts

Making the change Happen

Organizational development Process- Formal top down approach

Grass root level change process Unofficial informal bottom up approach

Organizational Development

• Planned change• Not management development• Improve the total system consisting the organization• Learning process• Goal – is to change the attitudes of people in the

organization to identify the change areas and implement the desired organizational changes.

Introduction to OD

• Organization development (OD) – Planned change programs intended to help people

and organizations function more effectively.

• Applying behavioral science principles, methods, and theories to create and cope with change.

• OD creates fundamental change in the organization, as opposed to fixing a problem or improving a procedure.

– OD programs generally are facilitated by hired consultants

Werner & DeSimone (2006)

10

Organization Development (OD)

Definition:

“A process used to enhance both the effectiveness of an organization and the well-being of its members through planned interventions.”

Characteristics of OD

Planned Organization Change Planned Intervention Top management Commitment Social Philosophy

Steps in OD – Blake and Mouton (1963)

Investigating each member of the organization about his / her managerial/interpersonal styles

Examination of boss- subordinate relationship Analysis of work team action Coordinating the teams Identifying the problem area Planning for executing agreed upon solutions

Goals of OD

• Emphasize the need for changing from closed system to open system

• Supplement authority and hierarchical role with knowledge and skills

• Build mutual trust and confidence in organization for man management and

reducing conflict

• To change the structure and roles to achieve goals

• To encourage sense of ownership and pride in employees

• To emphasize on feed back, self control and self direction

• To develop the spirit of co-operation, mutual trust and confidence

• To develop a reward system based on goal achievement

History of Organizational Development

History of Organizational Development

Organizational Development

OD Values:1. Respect for people

2. Trust and support

3. Power equalization

4. Confrontation

5. Participation

OD Values:1. Respect for people

2. Trust and support

3. Power equalization

4. Confrontation

5. Participation

A collection of planned interventions, built on humanistic-democratic values, that seeks to improve organizational effectiveness and employee well-being.

History of OD

Relatively new field of study – 50’s & 60’s No unifying theory – just models of practice Emerged from study of group dynamics & planned change.

Late 40’s T-groups – training groups, behavioral skills and individual

insight into problem solving Kurt Lewin at MIT – RCGD, Teachers College/Columbia

Four Trunk Stems of OD

LaboratoryTraining

Surveyresearch

and Feedback

ActionResearch

Socio-technical

Approaches

How does OD Work? Lewin’s 3 Phase OD Model

UNFREEZING

Resistance to change lessened, need for change created(Equilibrium disturbed)

MOVING

From old behaviourto the new(Changes)

REFREEZING

Change made permanent

Laboratory Training

NTL – Nat’l Training Laboratory

T-Group

L-Group

RCGD Other universities set up training labs Invention of flip chart

Next 10 years were tough – frustration at inability to transfer NTL to real world – began to train teams.

Major Contributors

Kurt Lewin (T-Group)

Kenneth Benne, Leland Bradford and Ronald Lippitt.(L-Group)

Chris Argyris 1957, Yale, First to conduct team building sessions with

CEO’s. Douglas McGregor

1957, MIT – Started program in org studies Union Carbide – transfer t-groups to complex organizations Theory X and Y The Human side of Enterprise.

Robert Blake WWII served in Psych unit of Army Airforce Looked at systems rather than individuals in system on one-

on-one basis Link of systems process to OD Managerial Grid – win/lose dynamics

Blake and Mouton – Managerial Grid Warren Bennis

Only T-grouper to actually try to reshape an organization from the top.

Led to his study of leadership The Term OD

Emerged from Baton Rouge T-groups called Development Groups “At that time we wanted to put a label on the program at

General Mills. We didn’t want to call it management development because it was total organization-wide, nor was it human relations training. We didn’t want to call it organization improvement because that is a static term, so we labeled the program “organization Development” meaning system-wide change efforts.” – Richard Beckhard

Rensis Likert and Lewin RCGD

Detroit Edison studies of feeding back data Attitude surveys Interlocking chain of conferences

Survey research/feedback and OD

Key executive perceptionof problems

Consultation with behaviouralscientist consultant

Data gathering anddiagnosis byconsultant

Further data gathering

Feedback to key clientor client group

Joint action planning(objectives of ODprogramme and meansof attaining goals, egteam building

Data gathering

Feedback toclient group

Discussion and work ondata feedback and databy client group

Action planning(determine objectivesand how to get there)

Action (newbehaviours) Data gathering

(reassessment ofstate of system)

Feedback

Discussion and workon feedback andemerging data

Action planning

Action

Etc

Action Research process

Travistock England Initial focus was group work with families Moved to organizations and communities Experiments with soldiers in group work Formed theories of group behavior

Eric Trist Coal mines – leaderless groups 1947 Industrial democracy, open systems

Sociotechnical & Socioclinical OD

Organizations are open sociotechnical systems Organize around process – not tasks Flatten the hierarchy Use teams to manage everything Let customers drive performance Reward team performance

Open to interact with its environment Five Components

Consider the context of the past in organizations – first generation OD

Consider the future Turbulent times – speed of change Globalization Mergers/acquisitions Private business in autocratic societies

Interest in Organizational Transformation Multi level, qualitative, radical, discontinuous change

involving a paradigmatic shift, Levy & Merry. Organizational Culture

Schein Norms – values – artifacts – assumptions

Learning organization Argyris, Schon, Senge Condition under which individuals, team and

organizations learn

2nd Generation OD

Learning Organization

Agyris – Defensive routines1. Bypass embarrassment and threat when possible

2. Act as though you are not bypassing them

3. Don’t discuss steps 1 and 2 while they are happening

4. Don’t discuss the undiscussability of the undiscussable.

Senge – Systems thinking Learning disabilities in organizations Different ways to think about complex problems. The origin of the vision is much less important than

how it is shared

TQM Deming, Juran, Feigenbaum

….a particular set of values about the individual and the individuals role in the organization. Total quality efforts in the companies encourage true employee involvement, demand teamwork, seek to push decision making power to lower levels in the company, and reduce barriers between people. . . These values are at the core of OD as well. - Ciampa

Humanism: respect for people; importance of the person/intrinsic worth; potential to grow

Optimism: people are good/progress is possible and desirable

Democracy: right to be free from misuse of power; justice, and equity

OD Values & Assumptions

Individuals: “Listen, support, challenge, encourage…, allow failure, remove barriers, autonomy, responsibility, high standards, reward”

Groups: “Let teams flourish,” “leaders should invest,” team leadership guides and develops; interactions toward a goal

Organizations: people make the workplace; encourage cooperation vs. competition

Implications for Dealing with…

Individual Level Job Redesign (JDS) Organizational Behavior Management (OBM)

Group Level Group process interventions Leadership training Team Development

  Organizational Level

Intergroup intervention Changing cultures Socio-technical system changes

Applications of OD

Effectiveness/Efficiency Open Communication/Confrontation Empowering/Power Equalization Enhance Productivity Promoting Organizational Participation Authenticity/trust

Practitioners’ Value…

Mr. Raman Roy the father of Indian BPO industry

“nobody knows the job better than the person responsible for doing the job. No manager or leader can know the job better than the individual responsible for the job. Also that same individual is the only one capable of improving things and making it better”.