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MS-10
Organizational Design, Development and Change

1) Briefly describe different approaches to organizations and explain the 7Ss Model and its
relevance.
The McKinsey 7S Framework

How do you go about analyzing how well your organization is positioned to achieve its intended objective?
This is a question that has been asked for many years, and there are many different answers. Some
approaches look
at internal factors, others look at external ones, some combine these perspectives, and others look for
congruence
between various aspects of the organization being studied. Ultimately, the issue comes down to which
factors to
study.
While some models of organizational effectiveness go in and out of fashion, one that has persisted is the
McKinsey 7S framework. Developed in the early 1980s by Tom Peters and Robert Waterman, two
consultants
working at the McKinsey & Company consulting firm, the basic premise of the model is that there are
seven internal
aspects of an organization that need to be aligned if it is to be successful.
The 7S model can be used in a wide variety of situations where an alignment perspective is useful, for
example to help you:
• Improve the performance of a company.
• Examine the likely effects of future changes within a company.
• Align departments and processes during a merger or acquisition.
• Determine how best to implement a proposed strategy.
The McKinsey 7S model can be applied to elements of a team or a project as well. The alignment issues
apply, regardless of how you decide to define the scope of the areas you study.
The Seven Elements
The McKinsey 7S model involves seven interdependent factors which are categorized as either "hard" or
"soft" elements:

Hard Elements
• Strategy
• Structure
• Systems
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Soft Elements
• Shared Values
• Skills
• Style
• Staff

"Hard" elements are easier to define or identify and management can directly influence them: These are
strategy
statements; organization charts and reporting lines; and formal processes and IT systems.
"Soft" elements, on the other hand, can be more difficult to describe, and are less tangible and more
influenced by culture. However, these soft elements are as important as the hard elements if the
organization is
going to be successful.
The way the model is presented in Figure 1 below depicts the interdependency of the elements and
indicates how a change in one affects all the others.

Let's look at each of the elements specifically:

• Strategy: the plan devised to maintain and build competitive advantage over the competition.
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• Structure: the way the organization is structured and who reports to whom.
• Systems: the daily activities and procedures that staff members engage in to get the job done.
• Shared Values: called "superordinate goals" when the model was first developed, these are the core
values of the company that are evidenced in the corporate culture and the general work ethic.
• Style: the style of leadership adopted.
• Staff: the employees and their general capabilities.
• Skills: the actual skills and competencies of the employees working for the company.
Placing Shared Values in the middle of the model emphasizes that these values are central to the
development
of all the other critical elements. The company's structure, strategy, systems, style, staff and skills all
stem from why
the organization was originally created, and what it stands for. The original vision of the company was
formed from
the values of the creators. As the values change, so do all the other elements.

How to Use the Model


Now you know what the model covers, how can you use it?
The model is based on the theory that, for an organization to perform well, these seven elements need to
be
aligned and mutually reinforcing. So, the model can be used to help identify what needs to be realigned to
improve
performance, or to maintain alignment (and performance) during other types of change.
Whatever the type of change – restructuring, new processes, organizational merger, new systems, change
of
leadership, and so on – the model can be used to understand how the organizational elements are
interrelated, and so
ensure that the wider impact of changes made in one area is taken into consideration.
You can use the 7S model to help analyze the current situation (Point A), a proposed future situation
(Point
B) and to identify gaps and inconsistencies between them. It's then a question of adjusting and tuning the
elements
of the 7S model to ensure that your organization works effectively and well once you reach the desired
endpoint.
Sounds simple? Well, of course not: Changing your organization probably will not be simple at all! Whole
books and methodologies are dedicated to analyzing organizational strategy, improving performance and
managing
change. The 7S model is a good framework to help you ask the right questions – but it won't give you all
the
answers. For that you'll need to bring together the right knowledge, skills and experience.
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When it comes to asking the right questions, we've developed a Mind Tools checklist and a matrix to keep
track of how the seven elements align with each other. Supplement these with your own questions, based
on your
organization's specific circumstances and accumulated wisdom.
7S Checklist Questions
Here are some of the questions that you'll need to explore to help you understand your situation in terms
of
the 7S framework. Use them to analyze your current (Point A) situation first, and then repeat the exercise
for your
proposed situation (Point B).
Strategy:
• What is our strategy?
• How do we intend to achieve our objectives?
• How do we deal with competitive pressure?
• How are changes in customer demands dealt with?
• How is strategy adjusted for environmental issues?
Structure:
• How is the company/team divided?
• What is the hierarchy?
• How do the various departments coordinate activities?
• How do the team members organize and align themselves?
• Is decision making and controlling centralized or decentralized? Is this as it should be, given what
we're doing?
• Where are the lines of communication? Explicit and implicit?
Systems:
• What are the main systems that run the organization? Consider financial and HR systems as well as
communications and document storage.
• Where are the controls and how are they monitored and evaluated?
• What internal rules and processes does the team use to keep on track?
Shared Values:
• What are the core values?
• What is the corporate/team culture?
• How strong are the values?
• What are the fundamental values that the company/team was built on?
Style:
• How participative is the management/leadership style?
• How effective is that leadership?
• Do employees/team members tend to be competitive or cooperative?
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• Are there real teams functioning within the organization or are they just nominal groups?
Staff:
• What positions or specializations are represented within the team?
• What positions need to be filled?
• Are there gaps in required competencies?
Skills:
• What are the strongest skills represented within the company/team?
• Are there any skills gaps?
• What is the company/team known for doing well?
• Do the current employees/team members have the ability to do the job?
• How are skills monitored and assessed?

2) Discuss any four organizational structures and how they contribute to fulfill the demands
of new
environment. Give examples.
Four Basic Elements of Organizational Structure:
Organizational structure depends on the company and/or the project. The structure helps define the roles
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and responsibilities of the members of the department, work group, or organization. It is generally a
system of tasks

and reporting policies in place to give members of the group a direction when completing projects. A good
organizational structure will allow people and groups to work effectively together while developing hard
work ethics
and attitudes.
The four general types of organizational structure are
• Functional
• Divisional
• Matrix and
• Project-based
Functional Structure
People, who do similar tasks, have similar skills and/or jobs in an organization are grouped into a
functional structure. The advantages of this kind of structure include quick decision making because the
group
members are able to communicate easily with each other. People in functional structures can learn from
each other
easier because they already possess similar skill sets and interests.
Divisional Structure
In a divisional structure, the company will coordinate inter-group relationships to create a work team that
can readily meet the needs of a certain customer or group of customers. The division of labor in this kind
of
structure will ensure greater output of varieties of similar products. An example of a divisional structure is
geographical, where divisions are set up in regions to work with each other to produce similar products
that meet the
needs of the individual regions.
Matrix Structure
Matrix structures are more complex in that they group people in two different ways: by the function they
perform and by the product team they are working with. In a matrix structure the team members are
given more
autonomy and expected to take more responsibility for their work. This increases the productivity of the
team,
fosters greater innovation and creativity, and allows managers to cooperatively solve decision-making
problems
through group interaction.
Project Organization Structure
In a project-organizational structure, the teams are put together based on the number of members
needed to
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produce the product or complete the project. The number of significantly different kinds of tasks is taken
into
account when structuring a project in this manner, assuring that the right members are chosen to
participate in the
project.
Thus by following these four organizational structures they can contribute to fulfill the demands of new
environment.

3) Describe various approaches to job design and their advantages and limitations. Briefly
explain how
relevant they are in today’s environment.

Early attempts to develop new approaches to job design


During and immediately after the second world war American writers, particularly, were questioning the
relationship between job and organization design and productivity.
It was being recognized that difficulties arise in the selection of personnel if only those able to tolerate
and
work well in simple, highly repetitive jobs are to be recruited.
Job Enlargement
As early as 1950 in the USA job rotation and job enlargement were being both advocated and tested as
means for overcoming boredom at work with all its associated problems. In an early case example IBM
introduced
changes to machine operators' jobs to include machine setting and inspection. In addition they introduced
other
wide-ranging changes in both the production system and the role of foremen and supervisors. It is less
than clear
just how successful changes of this type have been in practice. Undoubtedly management in certain
circumstances
can benefit from the increased flexibility of the labor.
However, workers often expect higher payment to compensate for learning these other jobs and for
agreeing to changes in working practices. The new jobs are often only a marginal improvement in terms
of the
degree of repetition, the skill demands and the level of responsibility; as a result workers have not always
responded
positively to such change. Job enlargement schemes may not be feasible, e.g. in motor vehicle assembly,
without a
major change in the production facilities.
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The concepts of both job rotation and enlargement do not have their basis in any psychological theory.
However, the next generation of attempts to redesign jobs emerging from the USA developed from the
researches of
Frederick Herzberg. During the 1950's and 1960's Herzberg developed his 'two factor' theory of
motivation.
Job Enrichment
In this theory he separated 'motivators' from 'hygiene' factors. The hygiene factors included salary,
company policies and administration as well as supervision. They were seen as potential sources of
dissatisfaction
but not of positive motivation. Another set of factors including achievement, recognition, responsibility,
advancement, growth and the work itself were postulated as the 'real' motivators.
From this theory Herzberg developed a set of principles for the enrichment of jobs as follows:
• removing some controls while retaining accountability;
• increasing personal accountability for work;
• assigning each worker a complete unit of work with a clear start and end point;
• granting additional authority and freedom to workers;
• making periodic reports directly available to workers rather than to supervisors only;
• the introduction of new and more difficult tasks into the job;
• encouraging the development of expertise by assigning individuals to specialized tasks.

Herzberg's Checklist
Herzberg's other major contribution to the development of ideas in the area of job design was his
checklist for
implementation. This is a prescription for those seeking success in the enrichment of jobs:
• select those jobs where technical changes are possible without major expense;
• job satisfaction is low;
• performance improvement is likely with increases in motivation;
• hygiene is expensive;
• examine the jobs selected with the conviction that changes can be introduced;
• 'green light' or 'brainstorm' a list of possible changes;
• screen the list (red lighting) for hygiene suggestions and retain only ideas classed as motivators;
• remove the generalities from the list retaining only specific motivators;
• avoid employee involvement in the design process;
• set up a controlled experiment to measure the effects of the changes;
• anticipate an early decline in performance as workers get used to their new jobs.
Job enrichment, then, aims to create greater opportunities for individual achievement and recognition by
expanding the task to increase not only variety but also responsibility and accountability. This can also
include
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greater worker autonomy, increased task identity and greater direct contact with workers performing
servicing tasks.
Findings
Whilst job enrichment is based on a theory resulting from research carried out by Herzberg and his
colleagues, the research is not itself without its critics. Later research has not always produced such neat
results.
Also the focus of the approach is the individual job and only limited consideration is given to the wider
context in
which the job is carried out, particularly social groupings.
Some examples of job enrichment have been considered by the various parties involved as highly
successful continuing over many years. Results reported include greater productivity as well as a more
satisfied and
better paid work force.
However, the approach has limitations, including its inapplicability in certain situations, the lack of
opportunities in others and the emphasis upon management decision at the design stage. Nevertheless
the principles
advocated in the design of jobs have obvious merit.
Job Design
As organisations strive to uncover more and more innovative ways to motivate their employees many
overlook the important and easily implemented area of job design.
This job design Learning package proposes that the way that jobs are designed directly affects employee
motivational levels within the organisation. More importantly it illustrates how job design can equally
assist in the
achievement of organisational objectives.

Program Description
Within this Learning package participants will develop competence in:
• Job Design and The Organisation
• What is Job Design?
• Five Key Advantages To The Organisation
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• Major Approaches to Job Design


• Key Principles of Job Design
• Scientific Management
• Job Enlargement
• Job Enrichment
• Job Characteristics Theory
• Critical Psychological States
• Alternative Work Schedules
• Compressed Working Week
• Job Sharing
• Flexible Working Hours
• Telecommuting
• Career Break

4) What is organizational diagnosis? Briefly explain why diagnosis is useful for an


organization?
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Discuss the role of work-shop and task force in diagnosis and their merits and demerits. Give
examples.
In the field of Organizational Development there are many activities and disciplines. One of those is the
area of organizational diagnosis and the use of structured organizational diagnostic tools.
The effective diagnosis of organizational culture, and structural and operational strengths and
weaknesses
are fundamental to any successful organizational development intervention. As Beckhard said in the
preface to his
seminal work ... in our rapidly changing environment, new organization forms must be developed; more
effective
goal-setting and planning processes must be learned, and practiced teams of independent people must
spend real
time improving their methods of working, decision-making and communicating. Competing or conflicting
groups
must move towards a collaborative way of work. In order for these changes to occur and be maintained, a
planned,
managed change effort is necessary - a program of organizational development.
This was written in 1969 and while much has been learnt it is just as true today.
Since the beginnings of organizational development as a profession, diagnosis has moved from the purely
behavioral towards a strategic and holistic business diagnostic approach. Moving away from looking at
human
interventions in isolation, to exploring the interactions of people in the context in which they operate.
Equally as
organizations are increasingly collaborative in nature, the traditional silo approach to diagnostics is
becoming
increasingly rare. Organizational development and in particular the diagnostic phase of activities is
spreading from
the occupational psychologists towards main stream business. This is important for OD practitioners as
the role is
increasingly holistic
The Consulting Process
The organizational Diagnostic phase is often integrated within an overal OD process, commonly called 'a
consulting process'.
An example of such a process is:

Entry --> Diagnosis --> Action Planning --> Implementation --> Termination
As the second phase in most change of consulting cycles it is also the first fully operational phase of the
consulting process or cycle. The purpose of the diagnosis is to examine the problem faced by the
organization in
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some detail, to identify factors and forces that are causing the problem and prepare all information
needed for
deciding how to orient any possible solutions to the problems identified.
The diagnosis of the problem is a separate phase or set of activities from the solutions themselves.
Introduction to Organizational Diagnosis and Diagnostics
Organizational Diagnosis is an effective ways of looking at an organization to determine gaps between
current and desired performance and how it can achieve its goals. In recent years organizational
diagnosis has
evolved from a technique used as part of the organizational development process to a major technique in
its own
right. Effective diagnosis should be an organic process in that as you start to look at an organization and
its
structures and what it does and does not do, change starts, as change progress so does the ‘now’
performance and
as such the diagnosis process also needs to re-start.
The BIR methodology looks at taking a ‘snapshot’ in time in a way which is quick and relatively
unobtrusive. This allows decisions to me made, plans developed and actions implemented rapidly… Then
using
the benchmarking facility another snapshot of the organzation can be made and new plans developed. A
bit like
the old story of “how do you eat an elephant? … one bite at a time. Developing an organization is no
different.
With each iteration of a diagnostic process so new changes are identified and prioritized. This not only
keeps the
development process alive – it makes it “the way we do business here”.
Remember the basics
All too often in organizational diagnostics and development we focus on the ‘new’ and ‘interesting’
aspects
of what we do. It is however vital that we periodically bring ourselves back to the basics…
The purpose of the organization is essentially a vehicle for producing profits for its owners. Or delivering
valued services to its clients in not for profits. To meet the goals and get the best return on investment
(ROI), the
owners of a company employ managers who are responsible for setting performance objectives and
reaching then
through the appropriate use of a number of resources such as people, equipment, machinery etc.
The Diagnostic Cycle
The purpose of a diagnosis is to identify problems facing the organization and to determine their causes
so
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that management can plan solutions. An organizational diagnosis process is a powerful consciousness
raising
activity in its own right, its main usefulness lies in the action that it induces.
The major steps of a diagnostic cycle include
 Orientation
 Goal setting
 Data gathering
 Analysis/ Interpretation
 Feedback
 Action Planning
 Implementation
 Monitoring/ Measure
 Evaluation

Forms of Diagnostic
The focus of organizational diagnostics will be different in a range of situations, for example diagnosis for
development or improvement will be different from diagnosis for remedial or problem solving, although
the
methodologies may be similar. While the diagnostic tools may well be similar, the application and outputs
can be
very different.
History of Organizational Development and the lead to Organizational Diagnostics
Kurt Lewin is said to have played a key role in the early development of organization development as we
understand it today. As early as the 1940s, Lewin experimented with a change process which was
collaborative in
nature and involved himself as consultant and a client group. The process was based on a three-step
approach
of planning,taking action, and measuring results.
This was the beginning of what has become known as action research. This is a fundamental part of
Organizational development. Later Lewin participated in the beginnings of laboratory training, or T-groups
when
after his death in 1947, his associates in the field continued to develop survey-research methods at the
University
of Michigan. These procedures became important parts of OD as developments in this field continued at
the
National Training Laboratories (US) and in growing numbers of universities and private consulting firms
across
the world.
The failure of off-site laboratory training to live up to its early promise was one of the important forces
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stimulating the development of OD. Laboratory training is learning from a person’s “here and now”
(Gestalt)
experience as a member of an ongoing training group (T Group). Such groups usually meet without a
specific
agenda. Their purpose is for the members to learn about themselves from their spontaneous “here and
now”
responses to an ambiguous hypothetical situation. Problems of leadership, structure, status,
communication, and
self-serving behavior typically arise in such a group. The members have an opportunity to learn
something about
themselves and to practice such skills as listening, observing others, and functioning as effective group
members.
Initially the approach was practiced in stranger groups, or groups composed of individuals from different
organizations, situations, and backgrounds. Over time a major difficulty developed, however, in
transferring
knowledge gained from these stranger labs to the actual situation back home. This required a transfer
between two
different organizational cultures, the relatively safe and protected environment of the T-group (or training
group)
and the give-and-take of the organizational environment with its traditional values. This led the early
pioneers in
this type of learning to begin to apply it to family groups, that is groups located within an organization.
From this
shift in the locale of the training site and the realization that culture was an important factor in influencing
group
members (along with some other developments in the behavioral sciences) emerged the concept of
organization
development.
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5) What is Organizational Development? Describe different stages of organizational


development.
Discuss any two interventions and their contribution to organizational development. Give
examples.

Organization development (OD) is a concept, organization-wide effort to increase an organization's


effectiveness and viability. Warren Bennis has referred to OD as a response to change, a complex
educational
strategy intended to change the beliefs, attitudes, values, and structure of organization so that they can
better adapt to
new technologies, marketing and challenges, and the dizzying rate of change itself. OD is neither
"anything done to
better an organization" nor is it "the training function of the organization"; it is a particular kind of change
process
designed to bring about a particular kind of end result. OD can involve interventions in the organization's
"processes," usingbehavioural science knowledge as well as organizational reflection, system
improvement,
planning, and self-analysis.
Kurt Lewin (1898–1947) is widely recognized as the founding father of OD, although he died before the
concept became current in the mid-1950s. From Lewin came the ideas of group dynamics and action
research which
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underpin the basic OD process as well as providing its collaborative consultant/client ethos. Institutionally,
Lewin
founded the "Research Center for Group Dynamics" (RCGD) at MIT, which moved to Michigan after his
death.
RCGD colleagues were among those who founded the National Training Laboratories (NTL), from which
the Tgroup
and group-based OD emerged. In the UK, the Tavistock Institute of Human Relations was important in
developing systems theories. The joint TIHR journal Human Relations was an early journal in the field. The
Journal
of Applied Behavioral Sciences is now the leading journal in the field.
Overview
At the core of OD is the rogram of organization, defined as two or more people working together toward
one or more shared goal(s). Development in this context is the notion that an organization may become
more
effective over time at achieving its goals.
OD is a long range effort to improve organization's problem solving and renewal processes, particularly
through
more effective and collaborative management of organizational culture, often with the assistance of a
change agent
or catalyst and the use of the theory and technology of applied behavioral science. Although behavioral
science has
provided the basic foundation for the study and practice of organizational development, new and
emerging fields of
study have made their presence known. Experts in systems thinking, leadership studies, organizational
leadership,
and organizational learning (to name a few) whose perspective is not steeped in just the behavioral
sciences, but a
much more multi-disciplinary and inter-disciplinary approach have emerged as OD catalysts. These
emergent expert
perspectives see the organization as the holistic interplay of a number of systems that impact the process
and outputs
of the entire organization. More importantly, the term change agent or catalyst is synonymous with the
notion of a
leader who is engaged in doing leadership, a transformative or effectiveness process as opposed to
management, a
more incremental or efficiency based change methodology.
Organization development is a "contractual relationship between a change agent and a sponsoring
organization entered into for the purpose ofusing applied behavioral science and or other organizational
change
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perspectives in a systems context to improve organizational performance and the capacity of the
organization to
improve itself".
Organization development is an ongoing, systematic process to implement effective change in an
organization. Organization development is known as both a field of applied behavioral science focused on
understanding and managing organizational change and as a field of scientific study and inquiry. It is
interdisciplinary in nature and draws on sociology, psychology, and theories of motivation, learning, and
personality. Organization development is a growing field that is responsive to many new approaches
including Positive Adult Development.
Contractual relationship
Although neither the sponsoring organization nor the change agent can be sure at the outset of the exact
nature of the problem or problems to be dealt with or how long the change agents' help will be needed, it
is essential
that some tentative agreement on these matters be reached. The sponsoring organization needs to know
generally
what the change agent's preliminary plan is, what its own commitments are in relation to personal
commitments and
responsibility for the program, and what the change agent's fee will be. The change agent must assure
himself that
the organization's, and particularly the top executives', commitment to change is strong enough to
support the kind
of self-analysis and personal involvement requisite to success of the program. Recognizing the
uncertainties lying
ahead on both sides, a termination agreement permitting either side to withdraw at any time is usually
included.
Change agent
A change agent in the sense used here is not a technical expert skilled in such functional areas as
accounting, production, or finance. He is a behavioral scientist who knows how to get people in an
organization
involved in solving their own problems. His main strength is a comprehensive knowledge of human
behavior,
supported by a number of intervention techniques (to be discussed later). The change agent can be either
external or
internal to the organization. An internal change agent is usually a staff person who has expertise in the
behavioral
sciences and in the intervention technology of OD. Beckhard reports several cases in which line people
have been
trained in OD and have returned to their organizations to engage in successful change assignments. In
the natural
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evolution of change mechanisms in organizations, this would seem to approach the ideal arrangement.
Qualified
change agents can be found on some university faculties, or they may be private consultants associated
with such
organizations as the National Training Laboratories Institute for Applied Behavioral Science (Washington,
D.C.)
University Associates (San Diego, California), the Human Systems Intervention graduate program in the
Department of Applied Human Sciences (Concordia University, Montreal, Canada), Navitus (Pvt) Ltd
(Pakistan),
and similar organizations.
The change agent may be a staff or line member of the organization who is schooled in OD theory and
technique. In such a case, the "contractual relationship" is an in-house agreement that should probably be
explicit
with respect to all of the conditions involved except the fee.
Sponsoring organization
The initiative for OD programs comes from an organization that has a problem. This means that top
management or someone authorized by top management is aware that a problem exists and has decided
to seek help
in solving it. There is a direct analogy here to the practice of psychotherapy: The client or patient must
actively seek
help in finding a solution to his problems. This indicates a willingness on the part of the client organization
to accept
help and assures the organization that management is actively concerned.
Applied behavioral science
One of the outstanding characteristics of OD that distinguishes it from most other improvement programs
is
that it is based on a "helping relationship." Some believe that the change agent is not a physician to the
organization's ills; that s/he does not examine the "patient," make a diagnosis, and write a prescription.
Nor does s/he
try to teach organizational members a new inventory of knowledge which they then transfer to the job
situation.
Using theory and methods drawn from such behavioral sciences as (industrial/organizational
psychology,industrial
sociology, communication, cultural anthropology, administrative theory, organizational behavior,
economics,
and political science, the change agent's main function is to help the organization define and solve its own
problems.
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The basic method used is known as action research. This approach, which is described in detail later,
consists of a
preliminary diagnosis, collecting data, feedback of the data to the client, data exploration by the client
group, action
planning based on the data, and taking action.
Systems context
OD deals with a total system — the organization as a whole, including its relevant environment — or with
a subsystem or systems — departments or work groups — in the context of the total system. Parts of
systems, for
example, individuals, cliques, structures, norms, values, and products are not considered in isolation; the
principle of
interdependency, that is, that change in one part of a system affects the other parts, is fully recognized.
Thus, OD
interventions focus on the total culture and cultural processes of organizations. The focus is also on
groups, since the
relevant behavior of individuals in organizations and groups is generally a product of group influences
rather than
personality.
Improved organizational performance
The objective of OD is to improve the organization's capacity to handle its internal and external
functioning
and relationships. This would include such things as improved interpersonal and group processes, more
effective
communication, enhanced ability to cope with organizational problems of all kinds, more effective
decision
processes, more appropriate leadership style, improved skill in dealing with destructive conflict, and
higher levels of
trust and cooperation among organizational members. These objectives stem from a value system based
on an
optimistic view of the nature of man — that man in a supportive environment is capable of achieving
higher levels
of development and accomplishment. Essential to organization development and effectiveness is the
scientific
method — inquiry, a rigorous search for causes, experimental testing of hypotheses, and review of
results.
Organizational self-renewal
The ultimate aim of OD practitioners is to "work themselves out of a job" by leaving the client
organization
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with a set of tools, behaviors, attitudes, and an action plan with which to monitor its own state of health
and to take
corrective steps toward its own renewal and development. This is consistent with the systems concept of
feedback as
a regulatory and corrective mechanism.
Early development
Kurt Lewin played a key role in the evolution of organization development as it is known today. As early
as World War II, Lewin experimented with a collaborative change process (involving himself as consultant
and a
client group) based on a three-step process of planning, taking action, and measuring results. This was
the
forerunner of action research, an important element of OD, which will be discussed later. Lewin then
participated in
the beginnings of laboratory training, or T-groups, and, after his death in 1947, his close associates
helped to
develop survey-research methods at the University of Michigan. These procedures became important
parts of OD as
developments in this field continued at the National Training Laboratories and in growing numbers of
universities
and private consulting firms across the country.
Douglas McGregor and Richard Beckhard while "consulting together at General Mills in the 1950's, the
two coined the term organizational development (OD) to describe an innovative bottoms-up change effort
that fit no
traditional consulting categories". The failure of off-site laboratory training to live up to its early promise
was one
of the important forces stimulating the development of OD. Laboratory training is learning from a person's
"here and
now" experience as a member of an ongoing training group. Such groups usually meet without a specific
agenda.
Their purpose is for the members to learn about themselves from their spontaneous "here and now"
responses to an
ambiguous hypothetical situation. Problems of leadership, structure, status, communication, and self-
serving
behavior typically arise in such a group. The members have an opportunity to learn something about
themselves and
to practice such skills as listening, observing others, and functioning as effective group members.
As formerly practiced (and occasionally still practiced for special purposes), laboratory training was
conducted in "stranger groups," or groups composed of individuals from different organizations,
situations, and
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backgrounds. A major difficulty developed, however, in transferring knowledge gained from these
"stranger labs" to
the actual situation "back home". This required a transfer between two different cultures, the relatively
safe and
protected environment of the T-group (or training group) and the give-and-take of the organizational
environment
with its traditional values. This led the early pioneers in this type of learning to begin to apply it to "family
groups"
— that is, groups located within an organization. From this shift in the locale of the training site and the
realization that culture was an important factor in influencing group members (along with some other
developments in the
behavioral sciences) emerged the concept of organization development.
Case history The Cambridge Clinic found itself having difficulty with its internal working relationships.
The medical director, concerned with the effect these problems could have on patient care, contacted an
organizational consultant at a local university and asked him for help. A preliminary discussion among the
director,
the clinic administrator, and the consultant seemed to point to problems in leadership, conflict resolution,
and
decision processes. The consultant suggested that data be gathered so that a working diagnosis could be
made. The
clinic officials agreed, and tentative working arrangements were concluded.
At the beginning of a workshop about a week later, the consultant fed back to the clinic staff the data
he had collected.
Modern development
In recent years, serious questioning has emerged about the relevance of OD to managing change in
modern
organizations. The need for "reinventing" the field has become a topic that even some of its "founding
fathers" are
discussing critically.
With this call for reinvention and change, scholars have begun to examine organizational development
from an emotion-based standpoint. For example, deKlerk (2007) writes about how emotional trauma can
negatively
affect performance. Due to downsizing, outsourcing, mergers, restructuring, continual changes, invasions
of privacy,
harassment, and abuses of power, many employees experience the emotions of aggression, anxiety,
apprehension,
cynicism, and fear, which can lead to performance decreases. deKlerk (2007) suggests that in order to
heal the
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trauma and increase performance, O.D. practitioners must acknowledge the existence of the trauma,
provide a safe
place for employees to discuss their feelings, symbolize the trauma and put it into perspective, and then
allow for
and deal with the emotional responses. One method of achieving this is by having employees draw
pictures of what
they feel about the situation, and then having them explain their drawings with each other. Drawing
pictures is
beneficial because it allows employees to express emotions they normally would not be able to put into
words. Also,
drawings often prompt active participation in the activity, as everyone is required to draw a picture and
then discuss
its meaning.
The use of new technologies combined with globalization has also shifted the field of organization
development. Roland Sullivan (2005) defined Organization Development with participants at the 1st
Organization
Development Conference for Asia in Dubai-2005 as "Organization Development is a transformative leap to
a
desired vision where strategies and systems align, in the light of local culture with an innovative and
authentic
leadership style using the support of high tech tools." Organisational development is the thing helping in
building
good culture in the orgaanisation.

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