37 Organizational Development

Structure

1.       Objectives

2.       Introduction

3.       Concept of Organisational Development

4.       Need for OD

5.       Importance of OD

6.       Process of OD

1.      Objectives

At the end of the session learners will be able to:

• Define OD
• Explain the concept of OD
• Suggest the need for OD
• Explain the importance of OD
• Explain the process of OD

2. Introduction

Organizations are open systems that operate in a dynamic and ever-changing society. In order to keep pace and cope with these changes, to re-invent oneself and prevent from becoming obsolete organizations need to upgrade themselves. In order to survive competition, organizations are compelled to examine oneself and find better and improved ways of accomplishing goals, improve efficiency and effectiveness. For this, organizations need to incorporate better plans, practices, and policies in their administration and governance. This process of re-inventing through a systematic, conscious and deliberate attempt is known as Organizational Development (OD).For example, in the field of education, there are changes that constantly take place like, the coming up of an International school in the vicinity of an established ICSE school which would prompt it to take affiliation of an international board, or the introduction of Smart board in schools would compel the school to train all in the use of the new technology whereas a neighboring school will also need to introduce technology in teaching. The three examples point out to the fact that institutions have to adapt to the changes to keep pace with the changes in society as well as to survive competition in the market.

3. Concept of Organizational Development

Let us examine some definitions of Organizational Development:

Beckhard, “Organization Development is an effort (1) planned (2) organization –wide and (3) managed from top to (4) increase organization effectiveness and health through (5) planned interventions in ‘organizational processes’ using behavioral science knowledge.

Dale S. Beach, “Organization development (OD) is a complex educational strategy designed to increase Organizational effectiveness and wealth through planned intervention by a consultant using theory and techniques of applied behavioral science.”

French and Bell, OD is a long range effort to improve an organization’s problem solving and renewal processes, particularly through a more effective and collaborative management of organization’s culture with special emphasis on the culture of formal work teams with the assistance of a change agent or catalyst

Porras and P J Robertson, “Organizational Development, is a term used to encompass a collection of planned change interventions, built on humanistic democratic values, that seek to improve organizational effectiveness and employee well being.”

George R. Terry, “Organizational Development includes efforts to improve results by getting the best from employees, individually and as members of working groups.”

Werren G. Bennis, “Organization Development is a complex educational strategy intended to change the beliefs, attitudes, values and structure of organizations so that they can better adapt to new technologies, markets and challenges and the dizzying rate of change itself.”

Cummings and Worley, “Organizational Development is a systematic application of behavioral science knowledge to the planned development and reinforcement of organizational strategies, structures and processes for increasing an organization’s effectiveness.

What emerges from all the definitions is that Organizational Development is

• A planned change
• It is an intervention by an external agent
• It is based on democratic values
• The purpose is to increase effectiveness of organization, to improve.
• The purpose is to improve well-being, health of employees
• It applies the knowledge of behavioral sciences.

Human Resource is the backbone of any organization; their motivational levels and well-being are extremely important for effectiveness and optimum development of any organization. Keeping this in mind, Organizational Development borrows from Social Sciences such as Psychology, Sociology and Anthropology.

4.      Need for OD

Every organization has a strong motive to be effective to survive the competition and remain viable in the field and industry. In order to remain viable and visible, it needs to be able to cope with changes, to continuously motivate the human resource to improve and to maintain its excellence as well upgrade its standards.

a) To Help in Making the Organizational Culture More Responsive:

In a dynamic environment, changes take place very rapidly. This requires a highly receptive and effective organization so that changes are implemented and absorbed to make organizations survive and grow. For this the personnel need to have the readiness to change, be receptive, and respond by changing for the better.

b) Training for Change:

Employees need training to adjust with the changes. Training for change does not work properly only through reward structure on the job. There should be a proper change in the environment of the organization in which people work, to make the training work proper. Thus, the basic objective of OD is to bring about change in the organizational structure so that it supports training.

c) OD provides opportunities for people to function as human beings rather than mere resources in the production process. It gives members of the organization opportunity to develop to their full potential. It also gives people in the organization the chance to influence how they relate to work, the organization and the work environment.

d)OD makes the organization more effective in meeting all its goals.

5. Importance of OD

• OD helps identify areas where change is required that will help organizations function more efficiently, be culturally more sensitive, improve quality of services and facilitate wellbeing of the health of the employees.
• OD is significant as it results in growth, improvement and uplift of organizations.
• OD analyses work processes, structure of the system, abilities of people and how this can be utilized for maximum benefits to the organization.
• OD improves the climate of the organization by addressing the problem, finding solutions for it instead of ignoring it.
• OD of an organization motivates, increases the enthusiasm of the employees and helps them function to the best of their abilities.
• OD increases the ability of the employees and hence empowers them.
• OD improves the physical and emotional well-being of the employees which in turn increases job satisfaction.
• OD encourages Research and Development which further helps in upgrading of the organizations as well as adding to the literature on Organisational Management.

6.      Process of Organizational Development

The OD process is very similar to the Action Research Model which begins with acknowledging that there is a problem or a need for change in the organization to improve its effectiveness. Efforts are made then to identify the problem, the snag, or obstacles to effectiveness by gathering data from all the resources, planning the intervention strategies that are required to improve the situation, implementing the action plan and then evaluating and following up the action plan. Thus, the procedure can be divided into six major steps

1) Identification of Problem

(2) Data Collection

(3) Diagnosis

(4) Planning and Intervention

(5) Implementation

(6) Evaluation and Follow up

Let us see each step in detail

a) Identification of Problem

The process begins when the organization acknowledges that there is a problem with respect to performance of the institution as a whole, its reputation and prestige, student and staff satisfaction with the institution, stagnation or underutilization of the human resource, impediments in achieving the mission of the organization and its general well –being. Sometimes there is not a problem but just a need is felt by the organization to upgrade and raise its standards and performance.

b) Data Collection

Once the problem has been identified the next step is to gather data using a variety of tools from all possible resources to thoroughly assess the intensity of the problem. Tools such as questionnaires, attitude scales, rating scales, interviews, and observations to gather data from all stakeholders are constructed. The nature of the tools and techniques would depend upon the type of data required.

c) Diagnosis

This step is very crucial, all the data gathered is analyzed, and action or intervention plans have to be chalked out. The assessment can be carried out by individuals from the organization or by experts from outside the field. Problems are identified by examining the institution’s mission, goals, policies, structures and technologies, climate and culture, environmental factors, desired outcomes, and readiness to take action. Decisions are taken about strengths and weaknesses of the organization, attitudes, and assumptions, availability of resources, motivation, and ability levels of the employees. At this stage, specific plan of changes are required in the system, its structure or human resource is identified.

d) Planning and Intervention

Action plans and intervention plans to implement a change are drawn out. The type of change desired will determine the nature of intervention required. Appropriate intervention programmes such as training and development in specific skills of the staff, team building training for principals and management, sensitivity training for change in attitude or Transactional Analysis, Process Consultation, Survey Feedback; whatever maybe applicable. These intervention plans can be applied for changing individuals, groups, structural aspects or the total institution.

e) Implementation

At this step, the action plans are implemented. People are put in charge in various capacities of the intervention programmes that have been adapted. This then becomes participative and responsible for change, improvement, and development.

f) Evaluation and Follow up

The success of the intervention plans have to be assessed by obtaining a feedback from the employees as well as the stakeholders. Feedback is thus sought from the teachers, students, parents, management as the case maybe. For example, if the intervention was for training and development of the team of teachers of a college, data that indicates a change in knowledge and competencies of the teachers has to be collected.

In OD programme, an attempt is made to change various organizational factors which may stand in the way of meeting organizational objectives and withholding people to put their best after they have received training. Such changes maybe in organization structure, rules, procedures, incentive system, control systems, performance appraisal systems, objective setting process etc. The idea that all the things necessary for achieving organizational objectives should be changed in an integrated way.

Reference:

• (n.d.). Retrieved from http://hrpeople.monster.com/training/articles/142-the-organization-development-process