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Unit-01-Introduction to Management Structure: 1.1 Introduction Objectives 1.2 Definitions of Management 1.3 Characteristics of Management 1.4 Scope and Levels of Management 1.5 Importance of Management 1.6 Role of Management 1.7 Administration and Management Self Assessment Questions 1.8 Summary 1.9 Terminal Questions 1.10 Answers to SAQs and TQs 1.1 Introduction Management is a global need. It is essential to every individual, a family, educational institution, hospital, religious organizations, team of players, a government, military systems, cultural body, urban centers and business enterprises. No individual can satisfy all his needs by himself. Men should join together and accomplish goals through co-operation. Whenever, there is an organized group of people working towards a common goal, some type of management is needed. A business enterprise must be directed and controlled by a group of people to achieve its goals. The resources of money, manpower, material and technology will be waste unless they are out to work in a co-ordinated manner. It is the ‘management’ which uses the available resources in such a manner that a business enterprise is able to earn ‘surplus’ to meet the needs of growth and expansion. Management is required to plan, organize, co-
ordinate and control the affairs of a business concern. It brings together all resources and motivates people to achieve the objectives of a business enterprise. Objectives: After studying this unit, you will be able to: · Define management. · Explain the characteristics of management. · Differentiate between management and administration. · State the principles of management. · Explain the roles of managers. · Explain managerial skills. 1.2 Definitions of Management Management may be defined in many different ways. Many eminent authors on the subject have defined the term “management”. Some of these definitions are reproduced below: According to Lawerence A. Appley – “Management is the development of people and not the direction of things.” In the words of George R. Terry – “Management is a distinct process consisting of planning, organizing, actuating and controlling performed to determine and accomplish the objectives by the use of people and resources.” According to James L. Lundy – “Management is principally the task of planning, co-ordinating, motivating and controlling the efforts of others towards a specific objective.” In the words of Henry Fayol – “To manage is to forecast and to plan, to organize, to command, to co-ordinate and to control.” According to Peter F. Drucker – “Management is a multi-purpose organ that manages a business and managers and manages worker and work”. In the words of Koontz and O’Donnel – “Management is defined as the creation and maintenance of an internal environment in an enterprise where individuals working together in groups can perform efficiently and effectively towards the attainment of group goals”.
According to Newman, Summer and Warren – “The job of management is to make co-operative endeavor to function properly. A Manager is one who gets things done by working with people and other resources.” From the definitions quoted above, it is clear that “management” is a technique of extracting work from others in an integrated and co-ordinated manner for realizing the specific objectives through productive use of material resources. Mobilizing the physical, human and financial resources and planning their utilization for business operations in such a manner as to reach the defined goals can be referred to as “management”. If the views of the various authorities are combined, management could be defined as a “distinct ongoing process of allocating inputs of an organization (human and economic resources) by typical managerial functions (planning, organizing, directing and controlling) for the purpose of achieving stated objectives, namelyoutput of goods and services desired by its customers (environment). In the process, work is performed with and through personnel of the organization in an ever-changing business environment.” From the above, it is clear that management refers to the process of getting activities completed efficiently and effectively with and through other people. The process represents the functions or primary activities engaged in by managers. These functions are typically labeled planning, organizing, leading, and controlling. Efficiency is a vital part of management. It refers to the relationship between inputs and outputs. If you can get more output from the given inputs, you have increased efficiency. Similarly, if you can get the same output from less input, you also have increased efficiency. Since managers deal with input resources that are scarce-mainly people, money and equipment-they are concerned with the efficient use of these resources. Management, therefore, is concerned with minimizing resource costs. Efficiency is often referred to as “doing things right”. However, it is not enough simply to be efficient. Management is also concerned with getting activities completed; i.e. it seeks effectiveness. When managers achieve their organization’s goals, we say they are effective. Effectiveness can be described as “doing the right things”. So efficiency is concerned with means and effectiveness with ends. Efficiency and effectiveness are interrelated. For instance, it is easier to be effective if one ignores efficiency. Timex could produce more accurate and attractive watches if it disregarded labour and material input costs. Some federal government agencies have been criticized regularly on the grounds that they are reasonably effective but extremely inefficient; that is, they get their jobs done but at a very high cost. Management is concerned, then, not only with getting activities completed (effectiveness), but also with doing so as efficiently as possible. Can organization be efficient and yet not effective? Yes, by doing the wrong things well. Many colleges have become highly efficient in processing students. By using computer-assisted learning, large lecture classes, and heavy reliance on part-time faculty, administrators have significantly cut the cost of educating each student. Yet students, alumni, and accrediting agencies have criticized some of these colleges for failing to educate their students properly. Of
They must motivate the subordinates for the accomplishment of the tasks assigned to them. All these resources are made available to those who manage. the process of management involves decision-making and putting of decisions into practice. In essence. Integrative Force: The essence of management is integration of human and other resources to achieve the desired objectives. buoyant spirit and adequate work output. Its presence is evidenced by the result of its efforts-orderliness. labour and capital.3 Characteristics of Management Management is a distinct activity having the following salient features or characteristics: 1. organizing. 3. informed employees. These factors do not by themselves ensure production. The success of management is measured by the extent to which the organizational goals are achieved. 6. high efficiency is associated more typically with high effectiveness. Thus. Economic Resource: Management is one of the factors of production together with land. directing and controlling. 1. staffing. Distinct Process: Management is a distinct process consisting of such functions as planning. feeling of management is result-oriented. It co-ordinates the efforts of workers to achieve the goals of the organization. Managers apply knowledge. It is the most critical input in the success of any organized group activity. These functions are so interwoven that it is not possible to lay down exactly the sequence of various functions or their relative significance. Thus. 2. 4. Managers also seek to harmonize the individuals’ goals with the organizational goals for the smooth working of the organization. They must have the necessary ability and skills to get work accomplished through the efforts of others.course. labour. People often remark of the effectiveness (or ineffectiveness) of management on the basis of the end results. capital and materials. they require the catalyst of management to produce goods and services required by the society. Goal-oriented: Management is a purposeful activity. 5. although they can’t observe it during operation. It is the force which assembles and integrates other resources. One may not see with the naked eyes the functioning of management but its results are apparently known. And poor management is most often due to both inefficiency and ineffectiveness or to effectiveness achieved through inefficiency. namely. It is imperative that the organizational goals must be well-defined and properly understood by the mangers at various levels. management is an essential ingredient of an organization. Results through Others: The managers cannot do everything themselves. . experience and management principles for getting the results from the workers by the use of non-human resources. Intangible Force: Management has been called an unseen force.
Similarly. In modern organizations. A Science and an Art: Management has an organized body of knowledge consisting of welldefined concepts.4 Scope of Management The scope of management is very wide. Sociology and Operations Research have also contributed to the development of management science. Anthropology. 1. and (iii) a class or elite. According to Herbision and Myers. · Management as an economic resource Management is one of the factors of production along with land. Generally. management is required to covert the disorganized resources of men. the effective use of the five M’s of management (money. Since the skills acquired by a manager are his personal possession. It is bound together by a web of relationships between superiors and subordinates. useful. management is the rule-making and rule-enforcing body. For instance. how effectively and economically the five M’s are combined together to produce desired results. as we move down in the managerial hierarchy. military. (ii) a system of authority. people . · Management as a system of authority According to Herbison and Myers. principles and techniques requires specialized knowledge and skills on the part of the manager. the degree of authority gets gradually reduced.e. Henri Fayol suggested that principles of management would apply more or less in every situation. Multi-disciplinary Subject: Management has grown as a field of study (i. Managers at different levels possess varying degrees of authority. it refers to three distinct ideas. on-going concern. machinery and methods or ways of doing things) depends to a great extent on the quality of management. manpower. materials.7. government and hospital. Universal Application: Management is universal in character. 9. 8. management may be understood as (i) an economic resource. According to Newman. management is viewed as an art. The principles and techniques of management are equally applicable in the fields of business. money and machines into a productive. In other words. Basically. The principles are working guidelines which are flexible and capable of adaptation to every organization where the efforts of human beings are to be co-ordinated. discipline) taking the help of so many other disciplines such as Engineering. productivity orientation drew its inspiration from Industrial Engineering and human relations orientation from Psychology. So it is treated as a science. labour and capital. education. materials. Sociology and Psychology. 10. System of Authority: Management as a team of managers represents a system of authority. a hierarchy of command and control. Much of the management literature is the result of association of these disciplines. that is. principles and techniques which have wide applications. The application of these concepts. Authority enables the managers to perform their functions effectively.
or the General Manager or Executive Committee having key officers. The managerial class has become very important in modern organizations owing to its contribution to business success.are bound by authority relationships. and the range of production. day-to-day matters.. All the managers form the chief executive to the first line supervisors are collectively addressed as ‘Management’ which refers to the group. Managing Director. planning and setting up of standards. Instructions and decisions downward and carry the problem and suggestions upward. The levels of management depend upon its size. wage and salary director of a company may assist in fixing wages and salary structure as a member of the Board of Directors. Levels of Management An enterprise may have different levels of management.e. its Chairman. For instance. Considering the hierarchy of authority and responsibility. · Management as a class or elite Sociologists view management as a distinct class in society having its own value system. personnel manager etc. But in actual practice. or the Chief Executive. . the lower level of management). Lower management (first line supervisors) is concerned with routine. technical facilities. the term management refers to the group of individuals occupying managerial positions.) interprets and explains the policies framed by the top management. finance manager. one can identify three levels of management namely: i) Top management of a company consists of owners/shareholders. (i) administrative management (i.. ranks. it is difficult of draw any clear-cut demarcation between thinking function and doing function as the basic/fundamental managerial functions are performed by all managers irrespective of their levels. Top management determines objectives and provides direction to enterprise activities. The real significance of levels is that they explain authority relationships in an organization. the upper level of management) and (ii) operating management (i. Board of Directors. his job is to see that the decisions are implemented.e. As a separate group. Middle management (departmental heads like work manage. Managers working at top levels enjoy more authority than people working at lower levels. We generally come across two broad levels of management. They transmit orders. Levels of management refer to a line of demarcation between various managerial positions in an enterprise. viz. but as head of wages and salary department. and directing the operations to attain the objectives of the enterprise. Administrative management is concerned with “thinking” functions such as laying down policy. or. Operative management is concerned with the “doing” function such as implementation of policies.
d) To assemble the resources of money. The important functions of top management include: a) To establish the objectives or goals of the enterprise. materials. Financial Controller. policies and plans for the enterprise. 2.. Marketing Manager. b) To make policies and frame plans to attain the objectives laid. e) To assign activities. etc. iii) Lower level or operative management of a company consists of Superintendents. machines and methods to put the plans into action. c) To prepare the organizational set up in their own departments for fulfilling the objectives implied in various business policies. Foremen. Purchase Manager. Supervisors. Middle management: The job of middle management is to implement the policies and plans framed by the top management. duties and responsibilities for timely implementation of the plans.ii) Middle management of a company consists of heads of functional departments namely. The following are the main functions of middle management: a) To establish the objective or goals of the enterprise. It serves as an essential link between the top management and the lower level or operative management. f) To provide overall leadership to the enterprise. 1. It devotes more time on planning and co-ordinating functions. d) To recruit and select suitable operative and supervisory staff. . Top management: Top management is the ultimate source of authority and it lays down goals. They are responsible to the top management for the functioning of their department. c) To set up an organizational framework to conduct the operations as per plans. e) To exercise effective control of the operations. Without them the top management’s plans and ambitious expectations will not be fruitfully realized. They devote more time on the organization and motivation functions of management. etc. It is also described as the policy-making group responsible for the overall direction and success of all company activities. It is accountable to the owners of the business of the overall management. men. Production Manager. and Divisional Sectional Officers working under these Functional Heads. They provide the guidance and the structure for a purposeful enterprise. b) To interpret the policies chalked out by top management.
In its absence. They devote more time in the supervision of the workers. j) To report to top management. i) To collect reports and information on performance in their departments. an organization is merely a collection of men. They have to get the work done through the workers. (ii) Effective leadership and motivation: In the absence of management. money and material. 3. It helps in putting the resources to the best advantage within the limitations set by the organization and its environment. They are concerned with direction and control functions of management. They are also involved in the process of decisions-making. (i) Optimum use of resources: Management ensures optimum utilization of resources by attempting to avoid wastage of all kinds. Their authority and responsibility is limited. k) To make suitable recommendations to the top management for the better execution of plans and policies. The importance of management can be understood from the following points. h) To co-operate with the other departments for ensuring a smooth functioning of the entire organization. It enables employees to move cooperatively and achieve goals in a coordinated manner. evaluate their performance and report to the middle level management. sales officers. management is the dynamic lift-giving element in every organization. They pass on the instructions of the middle management to workers. Management creates teamwork and . They allot various jobs to the workers.5 Importance of Management According to Drucker. the resources of production remain resources and never become production. A right climate is created for workers to put in their best and show superior performance. and actual operations are the responsibility of this level of management.f) To compile all the instructions and issue them to supervisors under their control. It consists of foreman. Lower or operative management: It is placed at the bottom of the hierarchy of management. It is the activating force that gets things done through people. g) To motivate personnel to attain higher productivity and to reward them properly. Management makes group effort more effective. 1. accounts officers and so on. They are in direct touch with the rank and file or workers. They interpret and divide the plans of the management into short-range operating plans. machines. Without management. Employees feel a sense of security when they find a body of individual’s working day and night for the continued growth of an organization. supervisors. the working of an enterprise will become random and haphazard in nature.
(c) Exploiting new ideas for the benefit of society as a whole and (d) developing employee talents and capabilities while at work and prompting them to show peak performance. a profession possesses the following characteristics: i) A body of principles. methods. etc. Organize the resources properly. government policy. (vi) Improves standard of living : Management improves the standard of living of people by (a) using scarce resources efficiently and turning out profits. hire competent people and provide necessary guidance. often threaten the survival of a firm. ii) Formalized methods of acquiring training and experience. (b) Ensuring the survival of the firm in the face of continued changes. They initiate prompt actions whenever workers express dissatisfaction over organizational rules. all these help in realizing goals with maximum efficiency. we generally mean a manager who undertakes management as a career and is not interested in acquiring ownership share in the enterprise which he manages.. iii) The establishment of a representative organization with professiona-lizing as its goal. (iv) Achievement of goals: Management plays an important role in the achievement of objectives of an organization. An enterprise has to take note of these changes and adapt itself quickly. According to McFarland. skills. Managers help an organization by anticipating these changes (carefull planning. Thus unnecessary deviations. counseling and effective leadership. and specialized knowledge. Management is goal-oriented. They try to put everything on the right tract.motivates employees to work harder and better by providing necessary guidance. Failure to take note of customer’s needs regarding full efficiently has spelt doom for ‘Ideal java’ in the two-wheeler market in India. techniques. manager tries to strike a happy balance between the demands of employees and organizational requirements. Management as a profession By a professional manager. Objective can be achieved only when the human and non-human resources are combined in a proper way. (iii) Establishers sound industrial relations: Management minimizes industrial disputes and contributes to sound industrial relations in an undertaking. In the final analysis. Overlapping efforts and waste motions are avoided. Successful managers are the ones who anticipate and adjust to changing circumstances rather than being passively swept along or caught unprepared. To this end. procedures and reward systems. With a view to realize the predetermined goals-managers plan carefully. forecasting combined with efficient use of resources) and taking appropriate steps. (v) Change and growth: Changes in technology. . Industrial peace is an essential requirement for increasing productivity. competition.
But unlike medicine or law. It has also developed a vast number of tools and techniques. managers in general. There are a number of representative organizations of management practitioners almost in all countries such as the All India Management Association in India. unpatterned. Henry Mintzberg did a careful study of five chief executives at work. Training facilities are provided in most companies by their training divisions. do not seem to adhere to the principle of “service above self”. However. and the university departments of management offer a variety of short-term management training programmes. none of them has the professionalizing of the management as its goal. and it is not as fully a profession as medicine and law. It is a profession in the sense that there is a systematized body of management. We have a number of institutes of management and university departments of management which provide formal education in this field. sabotaging trade unions. Some individual business organizations. the American Management Association in U. the Indian Institute of Management. It may be concluded from the above discussion that management is a science. and v) The charging of fees based on the nature of services. an art as well as a profession.A. etc. however. What he discovered challenged several long-held notions about the manager’s job. Furthermore. bribing public officials to gain favours.iv) The formation of ethical codes for the guidance of conduct. There is no ethical code of conduct for managers as for doctors and lawyers. little regard is paid to the elevation of service over the desire for monetary compensation is evident by switching of jobs by managers. However. Indeed such mobile managers are regarded as more progressive and modern than others. There was little time for reflective thinking because the managers encountered . Management is a profession to the extent it fulfils the above conditions. A number of organizations such as the Administrative Staff College of India. the All India Management Association. 1.S. and short-duration activities. try to develop a code of conduct for their own managers but there is no general and uniform code of conduct for all managers. identifiable discipline.6 Role of Management In the late 1960s. a management degree is not a pre-requisite to become a manager. and it is distinct. Management does not fulfill the last two requirements of a profession. in contrast to the predominant views at the time that managers were reflective thinkers who carefully and systematically processed information before making decisions.. For instance. management is not as exact as natural sciences. manipulating prices and markets are by no means uncommon management practices. As a social science. In fact. Management is also a profession in the sense that formalized methods of training is available to those who desire to be managers. Management partially fulfils the third characteristic of profession. Mintberz found that his managers engaged in a large number of varied. Management Development Institute.
and associated duties. The sales manager who obtains information from the human resources manager in his or her same company has an internal liaison relationship. the transfer of information. Mintzberg concluded that managers perform ten different but highly interrelated roles. The third role within the interpersonal grouping is the liaison role. Mintzberg described this activity as contacting external sources who provide the manager with information. These sources are individuals or groups outside the manager’s unit. Interpersonal Roles: All managers are required to perform duties that are ceremonial and symbolic in nature – interpersonal roles.1: Mintzberg’s Managerial Roles Role Interpersonal Figurehead Description Identifiable Activities Leader Symbolic head. Half of these managers’ activities lasted less than nine minutes each. and may be inside or outside the organization. manages also perform a spokesperson role. Table 1. All managers have a role as a leader. This is the disseminator role. training. duties of a legal or social nature. The term ‘management roles’ refers to specific categories of managerial behaviour. When they represent the organisation to outsiders. and the like. These ten roles can be grouped as those primarily concerned with interpersonal relationships. what competitors may be planning. When the president of a college hands out diplomas at commencement or a factory supervisor gives a group of high school students a tour of the plant. subordinates. Managers also act as a conduit to transmit information to organizational members. When that sales manager confers with other sales executives through a marketing trade association. . training. But in addition to these insights. Mintzberg called this the monitor role. motivating. he or she is acting in a figurehead role. to some degree. they do so by reading magazines and talking with others to learn of changes in the public’s tastes. fulfill informational roles-receiving and collecting information from organizations and institutions outside their own. Responsible for the motivation Performing virtually all and activation of subordinates. Typically. and decision-making. Informational Roles: All managers. activities that involve responsible for staffing. obliged to Greeting visitors. he or she has an outside liaison relationship. Mintzberg provided a categorization scheme for defining what managers do based on actual managers on the job. signing perform a number of routine legal documents.constant interruptions. and disciplining employees. This role includes hiring.
Transmits information received Holding informational from outsides or from other meetings. activities that involve outsiders. Transmits information to Holding board meetings. Responsible for corrective Organizing strategy and action when organization faces review sessions that important. results. performing other favors and information. making phone subordinates to members of calls to relay information. the making any activity that involves or approval of all significant budgeting and the Informational Monitor Disseminator Spokesperson Decisional Entrepreneur Disturbance handler Resource allocator . some involves interpretation and integration of diverse value positions of organizational influencers. understanding of organization and environment. etc. serves as expert on organization’s industry. requesting of organizational resources of authorization. Searches organization and its Organizing strategy and environment for opportunities review sessions to and initiates “improvement develop new programs. actions. policies. media. performing all kinds – in effect. supervises design of certain projects as well.Liaison Maintains self-developed Acknowledging mail. network of outside contacts doing external board and informers who provide work.. projects” to bring about change. Seeks and receives wide variety Reading periodicals and of special information (much of reports. emerges as nerve center of internal and external information about the organization. outsiders on organization’s giving information of the plans. the organization – some information is factual. maintaining it current) to develop thorough personal contacts. unexpected involve disturbances and disturbances crises Responsible for the allocation Scheduling.
a manager’s job is varied and complex. negotiations. Source: Henry Mintzberg. Technical Skills: First-line managers. and conceptual. such as engineering. An Evaluation: A number of follow-up studies have tested the validity of Mintzberg’s role categories across different types of organizations and at different levels within given organizations. are heavily involved in technical aspects of the organization’s operations. the leader role is more important for lowerlevel managers than it is for either middle-or-top-level managers. As resource allocators. Negotiator programming of subordinates work. Managerial Skills As you can see from the preceding discussion. managers take corrective action in response to previously unforeseen problems. For example. the emphasis that managers give to the various roles seems to change with hierarchical level. Publishers. As disturbance handlers. Last. Katz found that managers need three essential skills or competencies: technical. liaison. Reprinted by permission of Harper & Row. negotiator. managers are responsible for allocating human. research by Robert L. The evidence generally supports the idea that managers – regardless of the type of organization or level in the organization-perform similar roles. Technical skills include knowledge of and proficiency in a certain specialized field. Mintzberg identified four decisional roles which revolve around the making of choices. pp 93-94 Copyright Ó 1973 by Hency Mintzberg. managers initiate and oversee new projects that will improve their organization’s performance. Inc. an accounts payable manager must be proficient in accounting rules and standardized . During the early 1970. and spokesperson are more important at the higher levels of the organization than at the lower ones. Decisional Roles: Finally. physical and monetary resources. or manufacturing. The Nature of Managerial Work (New York: Harper & Row. the roles of disseminator. 1973). However. as well as many middle managers. Responsible for representing Participating in union the organization at major contract negotiations. computers. managers perform as negotiators when they discuss and bargain with other groups to gain advantages for their own units.organizational decisions. human. As entrepreneurs. Managers need certain skills to perform the duties and activities associated with being a manager. finance. He also found that the relative importance of these skills varied according to the manager’s level within the organization. Specifically. figurehead. Conversely.
Conceptual Skills: Managers also must have the ability to think and to conceptualize about abstract situations. Since managers deal directly with people. Those who held management and administration distinct include Oliver Sheldon. These abilities are essential to effective decision-making. motivate. Although technical skills become less important as manager moves into higher levels of management.7 Administration and Management The use of two terms ‘management’ and ‘administration’ has been a controversial issue in the management literature. Human Skills: The ability to work well with other people both individually and in a group is a human skill. while others maintain that administration and management are two different functions. and all managers are involved in making decisions. They know how to communicate. They must be able to see the organization as a whole and the relationships among its various subunits and to visualize how the organization fits into its broader environment. 1. administration is a higher level function. Managers with good human skills can get the best out of their people. lead. management is a lower-level function and is concerned primarily with the execution of policies laid down by administration. This controversy is discussed as under in three heads: i) Administration is concerned with the determination of policies and management with the implementation of policies. Administration is a higher level function: . even top managers need some proficiency in the organization’s speciality. it remains just as important at the top levels of management as it is at the lower levels.forms so that she can resolve problems and answer questions that her accounts payable clerks might encounter. Some writers do not see any difference between the two terms. But some English authors like Brech are of the opinion that management is a wider term including administration. Thus. iii) There is no distinction between the terms ‘management’ and ‘administration’ and they are used interchangeably. These types of conceptual skills are needed by all managers at all levels but become more important as they move up the organizational hierarchy. In fact. ii) Management is a generic term and includes administration. this skill is crucial. Spriegal and Lansburg. According to them. etc. Floerence and Tead. and inspire enthusiasm and trust.
Administration is the phase of business enterprise that concerns itself with the overall determination of institutional objectives and the policies necessary to be followed in achieving those objectives. Thus. 7. policies. Scope It is concerned with It is concerned with the determination of major implementation of objectives and policies. Administration is a determinative function. Table 1. is a doing function.. This view is held by Tead. Meaning Administration Management Administration is concerned Management means with the formulation of getting the work done objectives. 5. on the other hand. 4. environmental forces. 3. whereas management refers to execution of policies laid down by administration. management as an executive function which is primarily concerned with carrying out of the broad policies laid down by the administration. It is a execution of decisions. Environment Administration has direct Management is mainly interaction with external concerned with internal environment of business and forces. at lower levels of management. of human resources. Usage of Term The term ‘administration’ is The term ‘management’ is often associated with widely used in business . Status Administration refers to Management is relevant higher levels of management. Spriegel and Walter. It thinking function. of the organisation. operative workforce for the execution of plans. making strategic plans to deal plans and policies of the effectively with the organisation. 6. plans and policies through and with others. 8. Managers are Administrators are basically concerned mainly with concerned with planning and organisation and direction control. administrative decisions. i. administration involves broad policy-making and management involves the execution of policies laid down by the administration. Nature Administration relates to the Management relates to decision-making. 2. Decision.Administration determines Management decides who Making what is to be done and when shall implement the it is to be done. objectives.2: Distinction between Administration and Management: Basic 1.Administration refers to policy-making. Direction of It is concerned with leading It is concerned with Human Resources and motivation of middle leading and motivation of level executives.e.
manpower 3. Management 2. 2. materials. ___________. Self Assessment Questions in the 1. 3. Management is largely found at the middle and lower levels and administration is found at the higher levels. co-ordinating. 1. There are three levels of management-top. 1. Bring out the difference between Administration and Management. __________is principally the task of planning. motivating and controlling the efforts of others towards a specific objective. 3. _________. middle and lower. organisations. Define management. 1. Lower level managers require and use a greater degree of technical skill and managers at higher levels use a greater degree of conceptual skill. Managers perform different roles to discharge their responsibilities. Human skills are important at all managerial levels. machinery and methods or ways of doing things) depends to a great extent on the quality of management. Still management is not completely a profession. Five M’s of management (________.government offices. Explain its characteristics. Discuss the importance of management. counseling and effective leadership. Management creates ________ and motivates employees to work harder and better by providing necessary guidance. public organisations sector and non-business private sector.9 Terminal Questions 1.8 Summary Management is concerned with getting things done through other people. It is the management which transforms physical resources of an organization into productive resources. teamwork . 2.10 Answers to SAQs and TQs SAQs: 1. Money.
1.7 Motivating Self Assessment Questions 2.3 2. MU0004-Unit-02-Management Process Unit-02-Management Process Structure: 2.6 Directing 2.5 3.9 Terminal Questions 2. Refer section 1. Refer section 1.2 Process of Management 2.4 Organizing 2. Refer section 1.10 Answers to SAQs and TQs .5 Staffing 2.Answers to TQs: 1.1 Introduction Objectives 2.3 Planning 2.2.8 Summary 2.7 Copyright © 2009 SMU Powered by Sikkim Manipal University .
Management functions are as follows (Fayol. Planning 2. One can also think of management functionally. Commanding 4. since the managerial tasks have become highly challenging a fluid in nature making distinctions redundant to certain extent. leadership is doing the right things“. Motivating. in recent time. you will be able to: · Define Management process. Objectives: After this studying this unit. Directing. It is difficult to say where objectives end and policies begin. management functions have been regrouped into four categories. Through leadership and management often overlap. Coordinating 5. There is a degree of overlap between the two. leadership is about setting the desirable goals. as the action of measuring a quantity on a regular basis and of adjusting some initial plan. You might well ask what the need for a policy is when objectives are already defined.2. · Explain different functions of management Process.2 Management Process Peter Drucker said: “Management is doing things right.1 Introduction Follett (1933) defined management as "the art of getting things done through people”. Organizing. Staffing. Management is about accomplishing a goal efficiently. Controlling However. · Explain Planning. Policy Formulation We have noted earlier that all organizations have well-defined goals and objectives. Organizing 3. the two are not quite the same. Even . 2. 1949): 1.
The tasks of the strategic planning process include the following steps: Define the mission: A mission is the purpose of the organization. and then set out the method for achieving it.3 Planning It involves the process of defining goals. Every organization needs to plan for change in order to reach its set goal. and developing plans to integrate and coordinate activities. while a policy. fuel and machine efficiency. policies are the means to achieve those ends. Thus. Strategic Planning: Top level managers engage chiefly in strategic planning or long range planning Strategic planning is the process of developing and analyzing the organization’s mission. It provides the direction for the other functions of management and for effective teamwork. Objectives are the ends. kicking the ball with the left foot or right foot is a reflex action. However. Therefore. 2. should precede a good deal of research involving market surveys. thus. general strategies. All levels of management engage in planning in their own way for achieving their preset goals. say a passenger car. overall goals. The mission statement is broad. summarizing what the organization does. Effective planning enables an organization adapt to change by identifying opportunities and avoiding problems. driving comfort. and allocating resources. A mission statement should be short – and should be easily understood and every employee should ideally be able to narrate it from memory. establishing strategies for achieving these goals. it is not a decision in which any process is involved. An explicit mission guides employees to work independently and yet collectively toward the realization of the organization’s potential.so. cost structure and so on. Planning also enhances the decisionmaking process. Planning in order to be useful must be linked to the strategic intent of an organization. planning begins with clearly defining the mission of the organization. what distinguishers policies form objectives is that you first decide the objective. studies on passenger comfort. the decision to change the design of a product. is an enduring decision which holds good on a continuing basis to guide the members of the organization in doing what they are called upon to do. a process in which one chooses a course which one thinks is the best. Decision – Making Taking decisions is a process. it would be correct to assume that an objective is what you want to accomplish. In the football field. or where you want go to. The mission statement may be accompanied by an overarching . planning is often referred to as strategic in nature and also termed as strategic planning.
Conduct a situational or SWOT analysis A situation or SWOT (Strengths. Do we have a superior reputation? For assessing the weaknesses of the organization the following questions are important: 1. What are the possible new markets? . How efficient is our manufacturing? 3. The SWOT analysis begins with a scan of the external environment. customers (internal and external). Threats) analysis is vital for the creation of any strategic plan. SWOT analysis provides the assumptions and facts on which a plan will be based. What are the vulnerable areas of the organization that could be exploited? 2. What makes the organization distinctive? 2. What financing is available? 6. How skilled is our workforce? 4. journals and reports (scientific. Sources of information may include stakeholders like. professional. Is research and development adequate? 4. Weaknesses. federal.statement of philosophy or strategic purpose designed to convey a vision for the future as envisaged by top management. Opportunities. Organizations need to examine their business situation in order to map out the opportunities and threats present in their environments. professional or trade associations (conventions and exhibitions). What is our market share? 5. Are the facilities outdated? 3. In which areas is the competition not meeting customer needs? 2. and trade). governments (local. suppliers. For assessing the strengths of the organization the following questions are important: 1. state. Analyzing strengths and weaknesses comprises the internal assessment of the organization. international). Are the technologies obsolete? For identifying opportunities the following elements need to be looked at: 1.
What is the strength of the economy? 4. and operational planning . In turn. Objectives are also called performance goals. or outcomes of an organization against similar measures from other internal or external organizations. In which areas does the competition meet customer needs more effectively? 2. Are our rivals weak? 5. What substitute products exist? In general terms. effectiveness. Are market tastes changing? 5. Are there new competitors? 3. tactical.3. What are the emerging technologies? 6. etc. The SWOT analysis is used as a baseline for future improvement. What are the new regulations? 6. These are specific plans that are needed for each task or supportive activity comprising the whole. It also helps in setting minimum acceptable standards or common-sense minimums. as well as gap analysis. Set goals and objectives Strategic goals and objectives are developed to fill the gap between current capability and the mission. Generally. Is there a possibility of growth of existing market?) Identifying threats involves the following: 1. Strategic. Benchmarking systematically compares performance measures such as efficiency. Develop related strategies (tactical and operational) Tactical plans are based on the organization’s strategic plan. organizations have longterm objectives for factors such as. Comparing the organization to external benchmarks (the best practices) is used to assess current capabilities. They are aligned with the mission and form the basis for the action plans of an organization. operational plans are based on the organization’s tactical plans. the best strategy is one that fits the organization’s strengths to opportunities in the environment. return on investment. Is there a shortage of resources? 4. earnings per share.
with ideas and resources. Organizational structure is the formal decision-making framework by which job tasks are divided. Delegate authority to establish relationships between jobs and groups of jobs. grouped. lines of authority. Group related jobs together in a logical and efficient manner 5. Monitor the plan A systematic method of monitoring the environment must be adopted to continuously improve the strategic planning process. An organization chart displays the organizational structure and shows job titles. short-term standards for key variables that will tend to validate and support the long-range estimates must be established. necessary to maintain competitive advantage in the said market. It is the extent to which the units of the organization are explicitly defined and its policies.5 Staffing . Feedback is encouraged and incorporated to determine if goals and objectives are feasible. The purpose of the organizing function is to make the best use of the organization’s resources to achieve organizational goals. To develop an environmental monitoring procedure. Review plans 2. and coordinating the work components to achieve organizational goal. It is the process of determining what tasks are to be done. Divide tasks into groups one person can accomplish – a job 4. It is the official organizational structure conceived and built by top management.4 Organizing It involves designing. Assign work to individuals 6. List all tasks to be accomplished 3. and coordinated. working toward common goals. who reports to whom. Organizations are groups of people. The formal organization can be seen and represented in chart form. and relationships between departments. 2. who is to do. The steps in the organizing process include: 1. Formalization is an important aspect of structure. procedures. This review is used for the next planning cycle and review. how the tasks are to be grouped. A key issue in accomplishing the goals identified in the planning process is structuring the work of the organization.must be accompanied by controls to ensure proper implantation of the plans. and goals are clearly stated. and where decisions are to be made. structuring. 2.
appraisal. 2. inventorying the people available. O’Donnell & Weihrich have defined staffing as “filling positions in the organization structure through identifying work force requirements. development. performance appraisal etc. 3. Koontz. It involves many sub-functions such as manpower planning. Theo Haimann – “Concerned with the placement. recruitment. transport system and other physical resources that make the organization to achieve its goals but it is the competency and efficiency of the people who handle resources contributes for the accomplishment of objectives of the enterprise. This task has been referred to as staffing. It has many sub-functions: Staffing involves determination of the manpower requirement. 3. transfer and appraisal of personnel to fill the organizational positions. Managers of the concerned departments are responsible for the selection and development of qualified people for their department and maintain them in their department. growth and development of all those members of the organization whose function is to get things done through the efforts of other individuals”. selection. materials. . 4. 2. promotion. Therefore it is the responsibility of the management to secure and maintain competent and dedicated workforce including managers and operatives. Deals with people: Staffing is a separate managerial function which deals with people in the organization. Curther Geelick Cyndall Urwick – “Staffing is the whole personnel function of brining in and training the staff and marinating of favorable conditions of work” Features of Staffing The analysis of the above definitions highlights the following features: 1. Definition: 1. selection. placement. compensation and training of needed people”. Pervasiveness of Staffing: Effective execution of staffing function is the responsibility of all managers in the organization. training.It is not the machines. placement. Staffing refers to the managerial function of determining and improving the manpower requirements of an enterprise. recruitment. It aims at right man at right position: Staffing aims at selection of right person for right place at right time and retaining them in the organization. money.
identifying the manpower requirements. recruitment. induction. 2. Direction is continuous process and it continues throughout the life-time of the organization. 2. It is an important managerial function. Thus staffing is an ongoing process through – out the life of an organization. Personnel policies and programs must be formulated as guides to perform the staffing function effectively. It deals with future requirements: Staffing deals with current and future personnel requirements. It is instructing people as to what to do. It is a continuing function. Characteristics of Direction The characteristic features of direction are as follow: 1.5. Through direction. . overseeing and leading people. It is performed in the context of superior-subordinate relationship and every manager in the organization performs his duties both as a superior and subordinate. directing is the “interpersonal aspect of managing by which subordinates are led to understand and co-ordinate effectively and efficiently to the attainment of enterprises goals”. 6. Direction function is performed at every level of management. A manger needs to give orders to his subordinates. Definition According to Koontz and O’Donnel. how to do and telling them to do to the best of their ability. Present positions must be filled keeping in mind the future requirements. It is a process: it is a process having a logical sequence i. 7.6 Directing Direction is one of the functions of management. 8. 3. selection. promotion. Direction is an important managerial function. etc. training development and maintenance of personnel. It is a continuous function: With the growth and expansion of business additional manpower is needed. lead them and guide them on a continuous basis.e. resignation. management initiates actions in the organization. Thus staffing deals with the future requirements also. Direction is the managerial function of guiding. motivate them. vacancies arise out of retirement.
Direction imitates at the top level in the organization and follows to bottom through the hierarchy. Continuous function: Directing is a continuous process. The needs are arranged in order of importance. 5. thirst. it aims at getting things done by subordinates and. Direction has dual objectives. on the other. satisfied needs cannot. “without the issuance of directives. without guiding and overseeing subordinates. Nature of Directing The nature of directing can be discussed under the following: 1. nothing or at the best very little would be accomplished”. It is an important function of management: Directing is an important management function which provides a connecting link between planning. human beings have wants and desires which influence their behaviour. coach and supervise his subordinates. 3. and the Two-Factor theory. The amount of time and effort an executive spends in directing however. The five needs are: · Physiological: Includes hunger. The person advances to the next level of needs only after the lower level need is at least minimally satisfied. The manager never ceases to direct. humanness and psychological health a person will show. On the one hand. Pervasive function: Directing is a managerial function performed by all mangers at all levels of the organization. 2.7 Motivating Motivating In the 1950s three specific theories were formulated and are the best known: Hierarchy of Needs theory. will vary depending upon his level. proposed by Maslow (1943). only unsatisfied needs can influence behavior. shelter. the more individuality. The further they progress up the hierarchy. to provide superiors opportunities for some more important work which their subordinates cannot do. 4. from the basic to the complex. As Theo Haimann puts it. Directing is the process around which all performances revolve. teach. organizing and staffing on one hand and controlling on the other. the number of subordinate he has and the other duties he is expected to perform. sex. Theories X and Y. and other bodily needs .4. guide. It emphasizes that a subordinate is to be directed by his own superior only. Maslow’s Hierarchy of Needs Theory According to this theory. Essence of performance: Directing is the process around which all performances revolve. 2.
and exercise self-control. self-motivated. achieving one’s potential. Social. externally. From the above. Physiological and safety needs are described as lower-order. if given the chance employees have the desire to be creative and forward thinking in the workplace. autonomy and empowerment. esteem. Lower-order needs are predominantly satisfied. Theory Y – In this theory management assumes employees may be ambitious. and friendship · Esteem: Includes internal esteem factors. self-respect. and self-actualization are classified as higherorder needs. It is also assumed that workers generally place security above all other factors and will display little ambition. status. and external esteem factors. autonomy. includes growth. It is believed that employees enjoy their mental and physical work duties. belongingness. acceptance. whereas. such as. it is clear that Theory X assumes that lower-order needs dominate individuals. and attention · Self-actualization: The drive to become what one is capable of becoming.· Safety: Includes security and protection from physical and emotional harm · Social: Includes affection. anxious to accept greater responsibility. and self-fulfillment Maslow separated the five needs into higher and lower orders. Theory X and Theory Y Douglas McGregor argued that a manager’s view of the nature of human beings is based on a certain grouping of assumptions and he or she tends to mould his or her behavior toward employees according to these assumptions. There is a chance for greater productivity by giving employees the freedom to perform to the best of their abilities without being bogged down by rules. recognition. Theory Y assumes that higher-order needs dominate individuals. Theory X – In this theory management assumes employees are inherently lazy and will avoid work. Higher-order needs are satisfied internally. Herzberg’s Two Factor Theory . such as. It is also believed that. if they can. self-direction. and achievement. Workers need to be closely supervised and a comprehensive system of controls and a hierarchical structure is needed to supervise the workers closely.
Organization involves designing. ____defined management as the art of getting things done through people. Hygiene factors on the other hand. company policy. performance appraisal etc. neither will they be satisfied. interpersonal relations.8 Summary Management is the art of getting things done through people. 2. such as. establishing strategies for achieving these goals. emphasize factors intrinsically rewarding that are associated with the work itself or to outcomes directly derived from it. and salary are hygiene factors. but their presence does not motivate or create satisfaction. 3. who is to do. It is the process of determining what tasks are to be done. 2. Job satisfaction factors are separate and distinct from job dissatisfaction factors. Presence of these factors ensure job satisfaction. advancement. Self Assessment Questions 1. Motivators are intrinsic factors. Extrinsic factors. It involves many sub-functions such as manpower planning. how the tasks are to be grouped. The satisfiers relate to what a person does while the dissatisfiers relate to the situation in which the person does what he or she does. The _____analysis begins with a scan of the external environment. To motivate people. When hygiene factors are adequate. Planning involves the process of defining goals. Removing dissatisfying characteristics from a job does not necessarily make the job satisfying. In summary. and coordinating the work components to achieve organizational goal. have to do with a person’s relationship to the context or environment in which she or he performs the job. Staffing refers to the managerial function of determining and improving the manpower requirements of an enterprise. and achievement. and where decisions are to be made. . many related to the tasks being performed. people will not be dissatisfied. who reports to whom. structuring. recognition. such as. _______refers to the managerial function of determining and improving the manpower requirements of an enterprise. These two factors are motivators and hygiene factors and this theory is also called motivation-hygiene theory. working conditions. supervision.Herzberg (1959) constructed a two-dimensional paradigm of factors affecting people’s attitudes about work. The absence of hygiene factors can create job dissatisfaction. Every organization needs to plan for change in order to reach its set goal. motivators describe a person’s relationship with what she or he does. and developing plans to integrate and coordinate activities. recruitment. responsibility. Directing is the interpersonal aspect of managing by which subordinates are led to understand and co-ordinate effectively and efficiently to the attainment of enterprises goals.
MU0002-Unit-03-Organization Development: A Need Unit-03-Organization Development: A Need Structure: 3.2.6 Copyright © 2009 SMU Powered by Sikkim Manipal University .3 2. Explain Staffing in detail 3.9 Terminal Questions 1. Follett 2. Write a short not on directing. Staffing Answers to TQs: 1. 2. SWOT 3.10 Answers to SAQs and TQs SAQs: 1. Reference 2. Reference 2. What is planning? 2.1 Introduction Objectives . Reference 2.5 3.
3.2 Definitions 3.3 Characteristics of OD 3.4 Categories of OD 3.5 Goals of OD 3.6 OD and Management Development 3.7 Role of OD 3.8 Problems in OD Self Assessment Questions 3.9 Summary 3.10 Terminal Questions 3.11 Answers to SAQs and TQs 3.1 Introduction Organization development is the applied behavioural science discipline dedicated to improving organizations and the people in them through the use of the theory and practice of planned change. Organizations face multiple challenges and threats today – threats to effectiveness, efficiency, and profitability; challenges from turbulent environments, increased competition, and changing customer demands; and the constant challenge to maintain congruence among organizational dimensions such as technology, strategy, culture, and processes. Keeping organizations healthy and viable in today’s world is a daunting task. Individuals in organizations likewise face multiple challenges – finding satisfaction in and through work, fighting obsolescence of one’s knowledge and skills, maintaining dignity and purpose in pursuit of organizational goals, and achieving human connectedness and community in the workplace. Simple survival – continuing to have an adequate job – is a major challenge today in the light of constant layoffs and cutbacks. Although new jobs are being created at record rates, old jobs are being destroyed at an accelerating pace. “Knowledge” work is replacing “muscle” work. In summary, organizations and the individuals in them face an enormously demanding present and future. Are any strategies available to help people and organizations cope, adapt, survive, and even prosper in these vexing times? Fortunately, the answer is “yes”. A variety of solutions exists. And organization development (OD) is one of them. Basically, organization development is a
process of teaching people how to solve problems, take advantage of opportunities, and learn how to do that better and better over time. OD focuses on issues related to the “human side” of organizations by finding ways to increase the effectiveness of individuals, teams, and the organization’s human and social processes. Organization development is a relatively recent invention. It started in the late 1950s when behavioural scientists steeped in the lore and technology of group dynamics attempted to apply that knowledge to improve team functioning and inter-group relations in organizations. Early returns were encouraging, and attention was soon directed toward other human and social processes in organizations such as the design of work tasks, organization structure, conflict resolution, strategy formulation and implementation, and the like. The field of OD grew rapidly in the 1970s and the 1980s with thousands of organizations in the private and public sectors using the theory and methods of OD with great success. Today, organization development represents one of the best strategies for coping with the rampant changes occurring in the marketplace and society. We predict that organization development will be preferred improvement strategy in future. Objectives: After studying this unit, you will be able to: · Define organization development. · Explain the characteristics of OD. · Discuss the categories of OD programme. · State the goals of OD. · Distinguish between OD and Management Development · Explore the problems in OD. 3.2 Definitions Organization Development (OD) is 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, markets, and challenges, and the dizzying rate of change itself. (Bennis, 1969). OD can be defined as a planned and sustained effort to apply behavioural science for system improvement, using reflexive, self-analytic methods. (Schmuck and Miles, 1971)
Organizational development is a process of planned change- change of an organization’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 aims of OD are: 1) Enhancing congruence between organizational structure, processes, strategy, people, and culture; 2) Developing new and creative organizational solutions; and 3) Developing the organization’s self-renewing capacity (Beer, 1980). Organization development is an organizational process for understanding and improving any and all substantive processes an organization may develop for performing any task and pursuing any objectives…. A “process for improving processes” – that is what OD has basically sought to be for approximately 25 years (Vaill, 1989) “Organizational development is a set of behavioural science-based theories, values, strategies, and techniques aimed at the planned change of the organizational work setting for the purpose of enhancing individual development and improving organizational performance, through the alteration of organizational members’ on-the-job behaviours.” (Porras and Robertson, 1992) “OD is a systematic application of behavioral science knowledge to the planned development and reinforcement of organizational strategies, structure, and processes for improving an organization’s effectiveness.” (Cummings and Worley, 1993) “Organization development is a planned process of change in an organization’s culture through the utilization of behavioural science technologies, research, and theory.” (Burke, 1994) As you can see, these definitions overlap a great deal (that’s encouraging), and contain several unique insights (that’s enlightening). All authors agree that OD applies behavioural science to achieve planned change. Likewise, they agree that the target of change is the total organization or system and that the goals are increased organizational effectiveness and individual development. Collectively, these definitions convey a sense of what organization development is and does. They describe in broad outline the nature and methods of OD. There is no set definition of OD and no agreement on the boundaries of the field, that is, what practices should be included and excluded. But these are not serious constraints given that the field is still evolving, and that practitioners share a central core of understanding as shown in the preceding definitions.
it must be built into the very fabric of the organization-its strategy. developing the strategy for getting there. In fact. collaborative management of organization culture-with special emphasis on the culture of intact work teams and other team configurations-using the consultantfacilitator role and the theory and technology of applied behavioural science. led and supported by top management. and what the organization and its members can expect from each other. The phrase led and supported by top management states an imperative: Top management must lead and actively encourage the change effort. “Organization development is a long-term effort. For empowerment to become fact of life. Most OD programs that fail do so because top management was ambivalent. lost its commitment. we mean involving large numbers of people in building the vision of tomorrow. structure. Visioning means creating a picture of the desired future that includes salient features of the human side of the organization and then working together to make that picture a reality. Top management must initiate the improvement “journey” and be committed to seeing it through.Now let’s turn to our definition of organization development. we mean that organizational change and development takes time. and self-examining processes that facilitate individual. By visioning processes.several years in most cases. empowerment. and problem-solving processes. learning. Peter Senge describes learning organizations as “… organizations where people continually expand their capacity to create the results they truly desire. or became distracted with other duties. we mean those processes through which organization members develop a viable. serious business. where . There is no “quick fix” when it comes to lasting organizational improvement. By long-term effort. and culture. the ways those goods will be produced and delivered to customers. One program or initiative moves the organization to a higher plateau.” This definition is lengthy. it includes pain and setbacks as well as success. and shared picture of the nature of the products and services the organization offers. listening. By learning processes. Organizational change is hard. We do not propose it as the “right” definition. By empowerment. including action research. and making it happen. but as one that includes characteristics we think are important for the present and future of the field. team. but it includes a number of components that we consider essential. By empowerment processes. then another moves it to yet a higher plateau of effectiveness. to improve an organization’s visioning. through an ongoing. we mean those interacting. processes. where new and expansive patterns of thinking are nurtured. and organizational learning. coherent. We will explain this definition in some detail. it is more accurate to describe “improvement” as a never-ending journey of continuous change. we mean those leadership behaviours and human resource practices that enable organization members to develop and use their talents as fully as possible toward individual growth and organizational success.
(d) that has worked well enough to be considered valid and. or developed by a given group. structure.” Problem-solving processes refer to the ways organization members diagnose situations. Processes are relatively easy to change. discovered. therefore (e) is to be taught to new members as the (f) correct way to perceive. Michael Beer’s definition called for “developing new and creative organizational solutions”. Processes are how things get done. make decisions. in contrast to having only a select few involved. empowerment. not just a small group. . beliefs. Still. interactions. and processes makes each important. We believe solutions to problems are enhanced by tapping deeply into the creativity. first. values. opportunities. think. Just as visioning. we mean. By including culture so prominently in our definition. And second. think. managing the culture should be a collaborative business. we affirm our belief that culture is the bedrock of behaviour in organizations. and take actions on problems. strategy. and feel in relation to those problems. The reciprocal influence among culture. and continuous learning the organization is bound to succeed. norms. empowerment. solve problems. sentiments. Edgar Schein clarifies the nature and power of culture in his definition: “Culture can now be defined as (a) a pattern of basic assumptions. and problem-solving processes.collective aspiration is set free. empowerment. widely shared vision of a desired future creates the best climate for effective problem-solving by all the organization’s members. activities. so is managing the culture. and problem-solving processes are opportunities for collaboration in organization development. Our definition also places considerable weight on organizational processes. expectations. attitudes. vitality. and norms of behaviour that are viewed as the correct way to perceive. (c) as it learns to cope with its problems of external adaptation and internal integration. We believe that when the culture promotes collaboration. culture is of primary importance. assumptions. so they are the place OD programs often begin – getting people to stop doing things one way and start doing them a different way. and common purposes of all members of the organization. So culture consists of basic assumptions. and challenges in the organization’s environment and its internal functioning. commitment. learning. and we highlight the importance of visioning. (b) invented. We further believe that having compelling. and artifacts. By ongoing collaborative management of the organization’s culture. that one of the most important things to manage in organizations is the culture: the prevailing pattern of values. has a stake in making the organization work. one of wide-spread participation in creating and managing a culture that satisfies that wants and needs of individuals at the same time that it fosters the organization’s purposes. and feel-that is why culture change is necessary for true organizational improvement. learning. and each influences the others. and where people are continually learning how to learn together. But change becomes permanent when the culture changes and people accept the new ways as the “right” ways. Collaborative management of the culture means that everyone. Empowerment means involving people in problems and decisions and letting them be responsible for results.
We think teams are the basic building blocks of organizations. and training. This method resulted in loss of synergy. When one function finished with its part of the project. The current method for getting complex tasks done in organizations is to assemble a cross-functional team comprised of members from all the functional specialities required to get the job done. Team building and role and goal clarification interventions are standard activities in OD programs directed toward intact work teams. firing. The most prevalent form of teams in organizations is intact work teams consisting of superior and subordinates with a specific job to perform. hiring. engineering. individuals and the organization function well. The definition we have just analyzed contains the elements we believe are important for OD.By intact work teams and other configurations. much rework. we recognize that teams are central to accomplishing work in organizations. Temporary. and procurement. These self-directed teams assume complete responsibility for planning and executing work assignments. In Liberation Management. wasted time. 2. But in many organizations today. and then disbanded with the people going on to new tasks. and considerable antagonism among the separate functional specialists. He uses the terms ‘multifunctional projectization’ and ‘horizontal systems’ to describe these teams and their work. Today’s organizations increasingly use ad hoc teams that perform a specific task and disband when the task is completed. Tom Peters predicts that the work of tomorrow (most of which will be “brain work”) will be done by ad hoc teams brought together to accomplish a task. team culture can be collaboratively managed to ensure effectiveness. such as design. self-directed teams control performance appraisals. Further. according to Peters. The results are usually highly gratifying both for the team members and for the organization. maintaining quality control. OD encourages collaboration between organization leaders and members in managing culture and processes. multifunctional. The thesis of Liberation Management is that contemporary bureaucratic structures with their functional specialties and rigid hierarchies are all wrong for the demands of today’s fast-paced market place. When teams function well. OD focuses on culture and processes. The old method was to have functional specialists work on the problem sequentially. members are trained in competencies such as planning. manufacturing. intact work teams do not have a boss in the traditional sense-the teams manage themselves. . constantly shifting teams will be the dominant configuration for getting work done. here are the primary distinguishing characteristics of organization development: 1. Specifically. Over time. the process “threw the results over the wall” to the next functional unit. In addition to team building and role and goal clarification. To summarize. and using management information.
so the methods of attaining these goals should also change. OD efforts are not one-shot actions. OD efforts take an organization as an interrelated whole and no part of it can be changed meaningfully without making corresponding changes in other parts.3 Characteristics of OD 1. 5. 2. or isolated problems. rather than focusing attention on individuals. collaborators. rather. OD practitioners are facilitators. and co-learners with the client system. 8. Long-range Change: OD efforts are not meant for solving short-term. temporary. OD relies on an action research model with extensive participation by client system members. It recognizes that organizational goals change. OD focuses on the elevation of an organization to a higher level of functioning by improving the performance and satisfaction. and cyclic processes.3. dynamic and adaptive system. This ‘planned’ emphasis separates OD efforts from other kinds of more haphazard changes that are frequently undertaken by organizations. The concept of comprehensive change is based on the systems concept-open. Thus. Participation and involvement in problem-solving and decision-making by all levels of the organization are hallmarks of OD. 7. 4. Dynamic Process: OD is a dynamic process and includes the efforts to guide and direct changes as well as to cope with or adapt changes imposed. Teams of all kinds are particularly important for accomplishing tasks and are targets for OD activities. 4. Planned Change: OD is a strategy of planned change for organizational improvement. An overarching goal is to make the client system able to solve its problems on its own by teaching the skills and knowledge of continuous learning through self-analytical methods. interactive. so that change is easily observed. OD views organization improvement as an ongoing process in the context of a constantly changing environment. 10. 6. Attempting to create “win-win” solutions is standard practice in OD programs. they are ongoing. . OD takes a developmental view that seeks the betterment of both individuals and the organization. Rather. OD focuses on total system change and views organizations as complex social systems. 3. OD focuses on the human and social side of the organization and in so doing also intervenes in the technological and structural sides. 9. Comprehensive Change: OD efforts focus on comprehensive change in the organization. 3.
yet following features are common to most of the programmes: (a) The client is a total system or major subunit of total system. and integrate individual and organizational goals. and mutual influence. collects relevant data. There is a close working relationship between the change agent and the target organizational members to be changed. 3.4 Categories of OD Programmes In general. problem-solving. or catalyst. Emphasis on Intervention and Action Research: OD approach results in an active intervention in the ongoing activities of the organization. . Action research is the basis for such intervention. He designs intervention strategies based on these data. takes actions for intervention. This is done to arrive at certain desirable outcomes that may be in the form of increased effectiveness. identity. Although Organization Development Programmes vary. he conducts surveys. (b) The interventions are primarily directed towards problems and issues identified by the client group. first. rather. evaluates these data. the collaborative relationships between the scientists. 7. and adaptability for the organization as a whole. Participation of Change Agent: Most OD experts emphasize the need for an outside. all types of experience requiring Organization Development efforts may be grouped into three categories: (a) Problems of destiny. They discourage ‘do it yourself’ approach.5. and revitalization. At the individual level. The relationship involves mutual trust. participation. (b) Problems of human satisfaction and development. practitioners and the client laymen. OD attempts to provide opportunities to be ‘human’ and to increase awareness. joint goals and means. 6. third party change agent. The change agent is a humanist seeking to get a humanistic philosophy in the organization. further more. second. and (c) Problems of organizational effectiveness. Normative Educational Process: OD is based on the principle that ‘norms form the basis for behaviour and change is a re-educative process of replacing old norms by new ones’. Key areas are the normative type of model. Organization Development is inextricably linked with action. He shares a social philosophy about human values. and then. the importance and centrality of goals and objectives and the different role requirements of the consultant change agent vis-à-vis the clients. A change agent in OD process does not just introspect the people and introduce changes. Two important elements of Organization Development are. the element which links Organization Development with the scientific method of inquiry and. it is a programme with a purpose that is to guide present and future action. growth.
its underlying theory and assumptions and some of the pitfall and challenges in attempting to improve organizations through behavioural science.6 OD and Management Development . (g) To increase the sense of ‘ownership’ or organization’s objectives throughout the work force.5 Goals of Organization Development Following are the generally accepted goals of OD: (a) To create an open. This Organization Development progrmmes. like other normative re-educative programmes.(c) The interventions are directed towards problem-solving and improved functioning for the client system. (e) To make competition more relevant to work goals and to maximize collaborative efforts. and (d) The interventions are based on behavioural science theory and technology. (c) To locate decision making and problem-solving responsibilities as close to sources of information as possible. 3. problem solving climate throughout an organization. We need to examine carefully the techniques of Organization Development. (d) To build trust among persons and groups throughout an organization. should begin with a clear-cut statement of specific objectives and criteria for determining if these objectives have been met from the stand point of the employee/employees simply as team member or for the total group. (i) To increase self-control and self-direction for people within the organization. with the authority of knowledge and competence. (j) To improve effectiveness of the organization. (h) To help managers to manage according to relevant objectives rather than according to past practices or according to objectives which do not make sense for one’s area of responsibility. (f) To develop a reward system which recognizes both the achievement of the organization’s goals (profit or service) and development of people. (b) To supplement the authority associated with role or status. 3.
organization. with their existing objectives and structure. accomplishments. According to him. MD tries to fit the men to the organization. (iii) assertiveness. and techniques adopted in both may overlap to some extent. according to him. While the latter aims at developing the mangers individually for the accomplishment of better performance in organizational setting. Before making a comparison between the two. and greater display of feelings and emotions. the former goes one step further and purports to change the entire organizational climate where the mangers work. (ii) competitiveness. OD tries to fit the organization to the men. focus on achieving better in existing improvement in design. Burke and Schmidt have made this difference more clear which is presented in the following table. However. let us define management development as we have seen the definition of OD. If OD efforts train people towards anti-authority value. whereas OD efforts within organizations may cause confusion and chaos for incoming human resources if the organization is underplayed and the humanistic dimension alone is emphasized. The term ‘development’ refers broadly to the nature and direction of change induced in personnel through the process of training and education. less individual competitiveness. Train and equip employees Focus on design. then would the results be functional for managing organization activity in a competitive world? Thus. not on the and managers to perform managers. Miner has drawn difference between two processes. there are four attributes of effective managers in large organization. management development has been defined as follows: “Management development is all those activities and programmes when recognized and controlled. and (iv) a sense of responsibility. have substantial influence in changing the capacity of the individual to perform his assignment better and in so doing are likely to increase his potential for future management assignment. He feels that management development reinforces the above four qualities and helps managers cultivate and develop the will to manage.” Organization development differs from management development. Focus . Based on this.At this stage. Difference between Management Development and OD Factors Objectives Management Development Organization Development Increasing manager’s Changing the nature of the contributions to goal organization. he appears to be biased against OD and the real distinction between OD and MD lies in between these two extremes. more attention to peer-groups. it is beneficial to make a comparison between OD and Management Development (MD) as both have some common objectives that betterment of an organization. These are: (i) a positive attitude towards authority.
7 Role of Organization Development Organization development. Much of the enthusiasm created at the beginning of OD programmes vanished over the period of time. as a long-term strategy for organizational change.8 Problems in Organization Development Organization development. To increase the level of enthusiasms and personal satisfaction at all levels of the organization. etc. In early 60s. OD became quite successful with many professional consultants offering high services and programmes to various organizations. 3. 2. substantial disenchantment with OD became evident because of many controversial OD techniques like sensitivity training. Trained specialists required. Long-range strategy for organizational innovation and renewal. 7. OD can be utilized for the following results in the organization: 1. 3. however. Thus.Approach Time Educative and training Short-range. 4. To increase the openness of communications in all directions-vertically. Research studies have also failed to conclude . Problem-solving approach. By 70s. To create an environment in which authority of assigned role is augmented by authority based on knowledge and skills. To place emphasis on humanistic values and goals consistent with these vales. horizontally. 5. and laterally. To treat each human being as a complex person with a complex set of needs important in his work and his life. 3. it is quite suitable for improving organizational performance on long-term basis. plays key role in organizational improvement. confrontation techniques. Specialist No special requirement. Since OD attempts to bring comprehensive change in the organization. To increase the level of trust and mutual emotional support among all organization members. To increase the level of self and group responsibility in planning and its implementation. 6. The basic problem in a change effort which is not comprehensive is that it does not work properly unless there is a proper change in the internal environment of the organization in which people work. has invited sharp criticism as a strategy to increase organizational viability and effectiveness because many OD programmes have failed. however.
and (ii) failure to correctly model appropriate personnel behaviour in the programme. OD tries to achieve ideal without taking into account real. Hence. OD is criticized on the following lines: 1. 2. Only fully competent OD consultant should be pressed for the service and he should develop understanding with internal change agents. For example. OD programmes are often quite costly. it can be visualized that OD itself may not be dysfunctional but application may be. However. and only large organizations can afford this luxury without any guarantee of positive outcome. If an organization is laden with these people. Organization must formulate the objectives of OD programme very clearly and specifically. There is discrepancy between ideal and real situations. OD can not be taken as panacea for curing all organizational problems. Thus. It can be seen that many of these criticisms are based on reality and experience. People realized its dysfunctional aspects only when many OD efforts failed. 4. There should be genuine support of OD programme from top management. 3. 2. particularly in bottom-line ones. and (iii) failure to increase employee motivation through participation and development of personal growth and self-esteem. OD fails to motivate people with low level of achievement needs. Resistance to change is a natural phenomenon and OD puts undue pressure to change. OD makes people unfit for the real organizations world because no organization can fully adopt open system concept. in order to make best use of OD efforts. Evans has identified three factors which have been responsible for the failure of OD programmes: (i) failure of the management consultant group to correctly tailor the programme to actual needs of the organization. Therefore. In general. Therefore. 4. 5. 5. Enough time should be allowed so that the effects of OD programme are realized. it is useless to try OD. .significant contributions of OD in all organizations. There should be proper use of OD interventions. it may be emphasized that OD programmes are likely to fail when these are not programmes and hence failure. 3. it fails even as a long-term strategy. some specific efforts are required. Some of these efforts are as follows: 1. These should be based on the specific needs of the organization.
The participative. ––––––– is associated with “Liberation Management”. Distinguish between ‘organizational development’ and ‘management development’. Management development aims at developing the managers individually. Tom Peters 3. There is no ‘quick fix’ to organizations’ problems.Self Assessment Questions 1. problem-focused ‘nature of OD’ marshals the experience and expertise of organization members for problem-solving and capitalizes the opportunities in the organization. What are the problems involved in the implementation of OD? 3. collaborative. 5.10 Terminal Questions 1. Explain the various characteristics of OD. 4. 3.11 Answers to SAQs and TQs SAQs: 1. 3. It focuses on the human and social side of the organization and in so doing also intervenes in the technological and structural sides. 4. _____________is a short-term strategy. 3. OD focuses on culture and processes. Top management 2. 2. 2. But OD aims at changing the entire organizational climate where the managers work. Organization development should be led and supported by –––––––. Define OD. 3. Explain its salient features. State the various roles of OD.9 Summary The definitions clarify the distinctive features of OD and suggest why it is such a powerful change strategy. OD is the ultimate remedy for organizational improvements and developments. Who is associated with the “Learning Organizations”? 5. Empowerment . ––––––––– is a process which includes leadership behaviours and human resource practices.
Peter Senge 5.2 Survey Feedback 4. MU0002-Unit-04.4 Grid Training 4. Management development Answers to TQs: 1.1 Introduction Objectives 4.Organization Development – Interventions Structure: 4.7 5.3 Process Consultation 4.6 4.4. Refer section 3. Refer section 3.3 3. Refer section 3. Refer section 3.8 Copyright © 2009 SMU Powered by Sikkim Manipal University .5 Leadership Development 4.2 2.6 Team-building . Refer section 3.Organization Development – Interventions Unit-04.
they make things happen. Thus. team-building. survey feedback. People’s behaviour may be relevant to understand at individual level.1 Introduction OD interventions refer to various activities which a consultant and client organization perform for improving organizational performance through enabling organizational members better manage their behaviour. Nevertheless. inter-group activities.9 Role of Change Agents Self Assessment Questions 4.12 Answers to SAQs and TQs 4. inter-group level. work group.7 Inter Group Development 4. many of them visualize data gathering as an intervention whereas it is treated as only preparatory work for OD by others. and organizational culture. group level. techno-structural activities. French and Bell have suggested twelve families of OD interventions: diagnostic. management grid. mediation and negotiation activities. Therefore. and organizational level. Further. For example. This classification of OD interventions is very comprehensive and many activities do not strictly form the part of OD as process of organizational improvement but other methods of improving the performance of the organization. education and training.” There are various OD interventions and they are classified in different ways. interpersonal level. interventions may be required to change people at all these levels.8 Change Agents 4. A meaningful classification of OD interventions may be based on the improvement in the behaviour of people in the organization as OD is basically a behavioural approach. various consultants and practitioners have different opinions about the activities which can be included in interventions. the classification appears to be more relevant because it may specify the . such a classification of interventions may not put them into mutually exclusive categories as a particular intervention may be applied at more than one level.10 Summary 4. Interventions constitute the action thrust of organization development. the classification of OD interventions shows variation.4. However. process consultation.11 Terminal Questions 4. French and Bell have defined OD intervention as: “Sets of structured activities in which selected organizational units (target groups or individuals) engage with a task or a sequence of tasks where the task goals are related directly or indirectly to organizational improvement.
OD efforts were attempted through sensitivity training. Though some type of survey method was prevalent in various organizations earlier. · Describe process consultation.building. . Our further discussion follows this development. 4. Institute for Social Research (ISR) of University of Michigan. ISR has prepared a questionnaire which includes questions on leadership – managerial support. and follow up. developing action plans based on feedback. Data Collection: The first step in survey feedback is data collection usually by a consultant based on a structured questionnaire. and participative goal-setting which has become more popular as management by objectives. peer work facilitation. Objectives: After studying this unit. managerial goal emphasis. feedback of information.range of change that an organization requires. the other major thrust in the development of OD has come from survey research and feedback of data. other techniques like process consultation. peer goal emphasis. 2. Subsequently. The questionnaire may include different aspects of organizational functioning. To assist the group members to improve the relationships through discussion of common problems. team. Historically. The basic objectives of survey feedback are as follows: 1. grid training. managerial work facilitation.2 Survey Feedback Besides laboratory training (sensitivity and grid). USA developed a comprehensive questionnaire for conducting survey in different aspects of an organization. To assist the organization in diagnosing its problems and developing action plan for problemsolving. 1. · Realize the importance of team-building. and peer interaction facilitation. · Role of change agents. and survey feedback method. · Explain grid training. Process of Survey Feedback Survey feedback usually proceeds with sequential activities involving data collection. have been added. you will be able to: · Describe survey feedback. peer support.
If it is biased. After the questionnaires are completed. Follow-up Action: Survey feedback programme is not meaningful unless some follow-up action is taken based on the data collected. decision-making. satisfaction with the supervisor. It is cost-effective means of implementing a comprehensive OD programme making it a highly desirable technique. Decision-making and problem-solving abilities of organization can be improved tremendously because this approach applies the competence and knowledge throughout the organization and the problems faced by it. threatening and emotion-hurting as survey feedback is aimed at identifying weaknesses which must be overcome through follow-up actions and not the fault-finding technique for criticism. 3. feedback is given to the persons who have participated in the fulfilling up of questionnaire. However. rather. 2. feedback may be given in the form of a written summary of findings. and satisfaction-satisfaction with the company. and satisfaction with the work group. co-ordination between departments. control within the company. Alternatively. The feedback may be given either orally or in a written form. follow-up action may be in the form of developing some specific OD interventions particularly process consultation and team-building. 2. it is of no use unless follow-up action is taken based on the . tabulated. questionnaire used and method adopted for its administration should be reliable and valid. even if valid and reliable information is collected. Evaluation of Survey Feedback Survey feedback provides a base for many managerial actions which has been confirmed by various research studies. One such follow-up action may be to advise the participants to develop their own action plans to overcome the problems revealed through a feedback or as is more commonly the case. satisfaction with the job. Second. 3. and general management. motivation. it should be constructive and suggestive. First. Feedback of Information: After the data are analyzed. data are classified. effectiveness of survey feedback depends on two factors. satisfaction with the pay. In particular. all attempts to diagnose the problems will be abortive and futile. In oral system of feedback. by the consultant.organizational climate-communication with the company. Whatever the method of giving feedback is adopted. The questionnaire is administered personally either by the members of consulting firm or by organization’s personnel. survey feedback contributes in the following manner: 1. it is provided through group discussion or problem-solving sessions conducted by the consultant. and analysis is made to arrive at some meaningful conclusions. It generates great amount of information efficiently and quickly which can be used in solving problems faced by the organization and its members.
To understand how various organizational processes can be linked to objective achievement in the organization. At this stage. 4.C has defined it as follows: “The set of activities on the part of the consultant which help the client to perceive. Initiate Contact: This is beginning stage of P. the consultant is introduced to the organizational members and basic objectives of the P. A survey feedback is not a technique in itself for change.information. At this stage.C in which the client makes initial contact with the consultant with a view to solve the problems faced by the organization which cannot be solved by existing processes or resources. and spelling out services. To bring desired change in the various organizational processes like leadership. 1. it provides base for action for change. Information collected is processed to diagnose the problems and their underlying causes. group norms. observations. communication. etc. Steps in Process Consultation Schein has suggested following specific steps which the consultant would follow in a P. Define the Relationship: At this stage. 4. Select the Setting and the Method: It involves a clear-cut understanding of where and how the consultant will do the job that is required. . 3.” The basic objectives of P. and interview about the problems. time. This data gathering occurs simultaneously with the entire consultative process. 2. the leading writer and consultant on P. and act upon the process events which occur in the client’s environment.C is that the consultant works with individuals and groups in the organization to help them learn about human and social processes and to solve problems that stem from process events. Edgar Schein. understand.C programme of OD. 2. client and consultant enter into agreement covering various aspects of consultancy services like fees. spelled out at the initial stage. roles and functions of group members. and inter-group co-operation and conflicts.3 Process Consultation Process Consultation (P.C are as follows: 1. The basic content of P. group decision-making and problemsolving. Gather Data and Make a Diagnosis: Information is collected from various sources thorough the use of questionnaires.C are communicated to them with a view that they co-operate with the consultant.C) is a technique for intervening in an ongoing system. the client’s expectations and hoped-for results are also decided.
To understand the importance and rationale of systematic change. . enabling individuals and groups to assess their own strengths and weaknesses. To study the organization as an interactive system and apply techniques of analysis in diagnosing its problems. and the organization as a whole. coaching. However. group. 6. From this point of view. Though he is involved only in suggesting the various changes in the processes.4 Grid Training Grid training is basically based on grid organization development developed by Blake and Mouton. P. The grid organization development consists of six phases. Process of Grid Training The basic content of grid organization development is managerial grid as discussed. Reduce Involvement and Terminate: When the work of P.C is very effective intervention for organizational improvement. Evaluation of Process Consultation: Process consultation is quite in-depth activity of OD in which the consultant plays a major role. like other OD intervention techniques.C is completed. It utilizes a considerable number of instruments. significant correlation between the outcomes has not been found. the consultant disengages from the client organization by mutual agreement but leaves the door open for future involvement. and/or structural change. the consultant intervenes in the organizational processes by using different interventions like agenda-setting.C is also not free from criticisms. However.5. 4. both these problems may be overcome by engaging a suitable consultant and developing willingness among the members for change. One basic reason for this phenomenon may be the consultant’s inability to steer the organization out of troubles. 3. and processes necessary for effectiveness at the individual. inter-group. knowledge. groups. 2. It is a comprehensive and systematic OD programme which aims at individuals. he assists the organizational members to incorporate those changes. P. In the review of various P. focuses on skills. Intervene: At this stage. Another problem may emerge at the level of the organization and its members in terms of how they inculcate the new processes and culture as suggested by the consultant. and total organizational levels. To evaluate the styles of leadership and techniques of participation to produce desirable results.C programmes. The whole orientation is to develop managerial style through the application of behavioural science knowledge. Its specific objectives are as follows: 1. feedback.
Inter-group Development: At this phase. and problemsolving are also developed. 4. the focus shifts to the total organization and to develop skills necessary for organizational excellence. and alike. in spite of these criticisms.5 Leadership Development . some of them have not supported the claims made by Blake and Mouton. Grid training programme is criticized on the basis that it lacks contingency approach and. In this light. Developing Ideal Strategic Corporate Model: At this stage. The members of the organization are trained for achieving this excellence. Furthermore. They have maintained that “managerial and team effectiveness can be taught to managers with outside assistance. The action is designed to identify the characteristics of the ideal organization. Each group separately analyses the ideal inter-group relations. they maintained the same stand. grid training has some positive contributions for organizational effectiveness.1. The skills relating to planning. it discounts reality. grid training is a non-rigorous method. therefore. it appears that this type of educational strategy can help to make significant contributions to organizational effectiveness. The strategy is then implemented. the various efforts from phase 1 to phase 5 are evaluated and critical analysis is made. Action steps to move towards the ideal are developed and assigned to individuals who may be engaged in building co-operative inter-group relationships. The individuals try to learn to become managers by practice. communication skills. Evaluation of Grid Training Most of the support of grid training has come from its originators-Blake and Mouton. problem-solving. and teamwork. 4. the various programmes may be redesigned. traditions. Systematic Critique: In this stage. Each group may be given assignment to evolve strategy for making ideal organization with the help of the consultant. The analysis will bring out the shortcomings that may be there. objective-setting.” In a later work. the focus is on inter-group behaviour and relations. Though research studies on the application of grid training are not many. The thrust is on moving groups from conflict to co-operation. 5. Further. Teamwork Development: The focus in this stage is to develop teamwork by analyzing team culture. 3. Implementing the Ideal Strategic Model: The implementation stage includes the building of the organization on the model of ideal organization on the basis of concepts developed under stage 4. Managerial grid: It covers various aspects of assessing managerial styles. 6. 2.
The organization must deal with the practical impact of unpleasant change. Slogging Through The Swamp. We can call these Preparing For the Journey. For example. how synergy is generated through team-work. concerned and committed to their welfare. brings hope for better times in the future. are closely associated with a very few advocates and practitioners. teambuilding is the most important. 4. complete communication that is timely. therefore. widely accepted. Unfortunately. lead. is the ability of leadership to…well. if haven’t established a track record of effective leadership. clearly the most important determinant of "getting through the swamp". have no faith in the system or in the ability of leaders to turn the organization around. by the time you have to deal with difficult changes. it may be too late. and credibility of senior and middle management. employees will expect effective and sensible planning. The existence of this trust. and After Arrival. Before going through how team-building exercise can be undertaken to develop effective teams. and regular. competence. employees learn that leaders will act in indecipherable ways and in ways that do not seem to be in anyone’s best interests. and that makes coping with drastic change much easier. you need to be aware that there are three distinct times zones where leadership is important.When change is imposed (as in downsizing scenarios). if allowed to go on for too long.6 Team-building Various OD interventions discussed so far have their specific implications for OD and. must labor under the weight of employees who have given up. employees expect nothing positive. problems in . which. As against these. and applied OD intervention for organizational improvement. The best way to summarize is that there is a climate of trust between leader and the rest of the team. We will look more carefully at each of these.” A possible reason for this phenomenon is that people in the organization work in groups (teams) and the effectiveness of these groups ultimately determine organizational effectiveness. In a climate of distrust. results in an organization becoming completely nonfunctioning. In organizations characterized by poor leadership. The Role of Leadership In an organization where there is faith in the abilities of formal leaders. If you are to manage change effectively. while at the same time recognizing that tough decisions need to be made. The literature on the subject indicates that the nature of the change is secondary to the perceptions that employees have regarding the ability. during and after change implementation is THE key to getting through the swamp. Poor leadership means an absence of hope. confident and effective decision-making. During drastic change times. Leadership before. let us consider the life cycle of a team. employees will perceive leadership as supportive. Also during these times of change. employees will look towards the leaders for a number of things. French and Bell have opined that “probably the most important single group of interventions in the OD are the team-building activities the goals of which are the improvement and increased effectiveness of various teams within the organization. but more importantly.
4. start to accept others. Adjourning: Adjourning is the end phase of cycle of a team. Life Cycle of a Team When a number of individuals begin to work at interdependent jobs. 3. They share personal information. and arguing for appropriate strategies to be adopted for achieving team’s goals. team members get introduced to each other if they have not interacted earlier. interaction among team members is often cautious especially when they are new to one another. each team has to be adjourned. Sooner or later. and adjourning as shown below: Fig. 5. These stages are the result of a variety of questions and issues that team members face such as “who will be members of the team?” “Who will perform what functions?” “Who will contribute what?” “What rules will be followed?” “How can conflicts among members be resolved?” and so on. The team begins to move in a co-operative fashion and a tentative balance among competing forces too is struck. storming. group norms emerge to guide individual behaviour which form the basis for co-operative feelings and behaviour among members. because of individual differences. These stages are: forming. jockeying for relative control. Functional roles are performed and exchanged as needed. Performing: When team members interact among themselves on the basis of norms that have emerged in the team. Forming: At the first stage of the life cycle. norming. team members start settling. different members may experience varying degree of tension and anxiety out of this interaction pattern. even the most successful teams as they have completed their mission. members start interaction among themselves in the form of competing for status. Norming: After storming stage. At this stage. performing. 4. they do represent a broad pattern that may be observed and predicted in many settings across team’s time together. 2.1: Life Cycle of a Team Though these are not followed rigidly.team-work. they learn to handle complex problems that come before the team. they often pass through several stages as they learn to work together as a team. At this stage. and features of effective team so that team-building exercises focus more sharply on developing effective team. The . and begin to turn their attention to the group tasks. These typical stages of life cycle of a team are described below: 1. Storming: After the forming stage which is mostly related to perceiving and assessing each other. and tasks are accompanied efficiently.
Other types of team like a department in an organization run on the basis of some permanency though there may be changes in team members. how a particular element affects another and is affected by it. Social Loafing Social loafing is antithesis of synergy in team-work which suggests that people working together on a common task may actually decrease their individual efforts. the complementarity among members is achieved.adjournment phase takes place in the case of those teams which are created for some special purposes like task force. In such an assignment. students find that one or two students do not put their weight for the completion of the project. For example. other factors remaining the same. and so on. and still expect to share the credit and obtain the same marks from the professor since he will be concerned with determining who worked and who did not. concept of stages is significant in the context of the nature of problem which team members are likely to face in team-work. Synergy in Team-work Another important feature of a team is the concept of synergy which generates in team-work and the understanding of which helps in developing effective team. the team would be effective. The concept of synergy is quite popular in strategic management and it is defined as follows: “Synergy is the process of putting two or more elements together to achieve a sum total greater than the sum total of individual elements separately. These students may be called loafers (not attaching the same connotation which is attached with the term loafer in our social phenomenon) who frequently miss the project group’s meetings. in one experiment. team-work does not necessarily spurt group efforts. It is not necessary that all teams follow the rigid pattern prescribed here and the similar problems they face at each stage because each team is different in some respect based on the type of members and problems and functions assigned. A simple phenomenon of social loafing may be observed in a group assignment to students during their study. synergistic effect is not automatic but depends on the complementarity of different elements that are put together and the way they interact among themselves. In fact. committee. intense social relationship among members comes to an end. fail to perform their assigned tasks. that is. After the adjournment of the team. They rely on the fact the more reliable members will complete the project without their help.” Thus. . This effect can be described as 2+2=5 effect. Putting the concept of synergy in teamwork means members of the team are complementary to each other and they contribute positively to one another. To the extent. etc. However. a team is created to undertake a task which requires a variety of skills and single individual cannot perform that task alone. This phenomenon may happen in teams in work organizations too.
These factors are skills and role clarity. other factors remaining the same. skills which are complementary to the team requirement and understanding of one’s own role as well as roles of other members. 2. Therefore. From this statement. Supportive Environment: A team loaded with skilled members cannot perform well if the organizational climate is not supportive for that.2 pounds. team members may not show high degree of enthusiasm and they will use only a part of their skills in performing the jobs. group of eight. he may tend to affect others because of chain reaction just like a rotten apple injures its companions. In the above paragraph. two things are required from its members. When the same individuals pulled on the rope of groups of three. The phenomenon of social loafing can be minimized by constituting effective team for group performance. 1. A group is not merely an assemblage of individuals but there should be a feeling that they are members of the group and share common interests. They averaged 138. 2. . The possibility of occurring of social loafing in a team-work increases because of the following reasons: 1.6 pound of pressure while tugging on the rope. Individuals were asked to pull alone as hard as possible on a rope attached to a strain gauge. Even if one member lacks behind. team members may tend to contribute positively to the teamwork. group efforts tend to slacken. the individual average dropped down still lower68. goals. Let us see how these factors make a team effective. When the division of work cannot be accomplished properly and individual efforts are hard to determine. Skills and Role Clarity: For an effective team. Thus. If the organizational climate is not in tune with high achievement. we have mentioned that team effectiveness depends on the complementarity of team members. Dropping of average output in group efforts indicates that some members of the group were not contributing as much as they did individually. understanding of roles helps members to meet the requirement of one another thereby solving the problems which the team faces. it appears that there are many factors in an effective team. managers at higher levels particularly at the top level should set organizational climate and culture which enthuse team members to put their best. individual members do not contribute to the fullest extent. Effective Team An effective team is one which contributes to the achievement of organizational objectives by performing the task assigned to it and providing satisfaction to its members. When the group is not cohesive with high output norms. and attitudes. supportive environment. super-ordinate goals and team rewards. While skills are relevant for job performance.it was found that individuals’ total efforts were much higher than the group efforts.
3. Super-ordinate Goals: Super-ordinate goals are those which are above the goals of a single team or a single individual. An individual works better if he is able to link how his goal attainment leads to the attainment of a higher-level goal. These super-ordinate goals, then, serve to focus attention, unify efforts, and stimulate more cohesive team efforts. 4. Team Rewards: Team performance depends on how reward is linked to team performance and how members perceive this linkage. If team members perceive that reward to contingent on team performance, they will put their maximum. Rewards of both types- financial and nonfinancial-should be taken into consideration. Further, organizations need to achieve a careful balance between encouraging and rewarding individual initiative and growth and stimulating full contributions to team success. Innovative non-financial team rewards for responsible behaviour may include the authority to select new members of the group, make recommendations regarding a new supervisor, or propose discipline for team members. The positive aspect of all these factors leads to team effectiveness and team members share common values regarding product quality, customer satisfaction, and share the responsibility for completing a project on schedule. Katzenbatch and Smith, management consultants, have suggested the concept of real team and they feel that this concept is relatively unexploited despite its capacity to outperform other groups and individuals. They define four characteristics of real teams: small size; complementary skills; common purpose, goals, and working approach: and willingness to be held mutually accountable. Real teams can be created and sustained by: 1. Selecting members for their complementary skills and potentials; 2. Developing clear rules of conduct and challenging performance goals; 3. Establishing a sense of urgency right from the first meeting. 4. Providing substantial time together in which new information is constantly shared; and 5. Providing positive feedback, recognition, and rewards. Team-building Process: Team-building attempts to improve effectiveness of the team by having team members to concentrate on: 1. Setting goals and priorities for the team. 2. Analyzing how team’s goals and priorities are linked to those of the organization. 3. Analyzing how the work is performed. 4. Analyzing how the team is working, and
5. Analyzing the relationships among the members who are performing the job. For achieving these, the team-building exercise proceeds in a particular way as shown in figure.
Fig. 4.2: Process of Team-building Various steps of team-building process are not one-shot action, rather, they are repetitive and cyclical as indicated by arrows in the figure. 1. Problem-sensing: There are a number of ways in which problems of a team can be obtained. Often the team itself defines which aspects of team-building it wishes to work on. This problem can better be identified in terms of what is hindering group effectiveness. At this stage, generally most of the members come forward with their arguments as to what the real problems are. The view may be quite different ranging from the organizational problem, group problems to even personal problem. In problem identification, the emphasis should be on consensus. The consensus-seeking part of the process necessitates that each person becomes thoroughly aware and understand clearly the basic concepts of team-development. Much of the problems may be solved through effective communication and training sessions. 2. Examining Differences: The perception of people on an issue differs because of their differing backgrounds, such as, their value systems, personality and attitudes. The perception may be brought to conformity through the process of exercise on perception which involves a number of psychological exercises particularly on perceptual differences. The role of communication is important in this context because it will help in clarifying the actual problems to the members. 3. Giving and Receiving Feedback: The step of perceiving things and listening to each other may be relayed back to the members as there is a possibility that such processes may create tense situation in the group. Often, members report about the painful feelings that they have at the time of evaluation of their feelings. The discussion should continue until all members of the team have commented. The feedback should be given to the members about their feelings, about the issue, the way people talk about the issue, the stying with the topic or going off on tangents, who was talking more or who was talking less, who was trying to resolve the differences, etc. Such feedback generally provides members to evaluate the values but at the same time, also provides opportunity to understand themselves. The concept of Johari Window may also be applied. This suggests that even people are not fully aware of themselves. 4. Developing Interactive Skills: The basic objective of this process is to increase the ability among the people as to how they should interact with others and engage in constructive behaviour. Following are the examples of constructive and negative behaviours:
Constructive Behaviour: (i) Building: developing and expanding the ideas of others. (ii) Bringing in: harmonizing, encouraging others to participate. (iii) Clarifying: resting, ensuring, understanding, seeking relevant information. (iv) Innovative: bringing in new relevant ideas, information, feelings, etc.
(i) Over talk: interrupting, talking together with speaker. (ii) Attacking: deriding, belittling, criticizing person. (iii) Negative: cooling, cynicism, undermining morale. At the time of discussion of feedback, people themselves take assignments to increase specific constructive behaviours and decrease specific negative behaviours. If this process is adopted several times, there is a strong possibility that members may learn constructive behaviours and leave negative behaviours. This is quite helpful in developing teamwork. 5. Follow-up Action: This is the final stage in team-building. At this stage, the total team is convened to review what has been learned and to identify what the next step should be. Follow-up action also helps in overcoming the drawback involved at the initial stages of teambuilding. It involves deciding who will take care of each area of the team’s responsibilities, and who will be responsible for team projects in a group that has not developed a satisfactory division of responsibility; clarifying and setting differences in perception concerning responsibility and authority in the team, with complex division of responsibility and authority among members. These attempts bring co-operative and supportive feelings among people involved in the team functioning. When this exercise is undertaken at the initial stage, it contributes positively towards the feelings of the people. However, to encourage and sustain such feelings, management should take such actions at regular intervals so that members feel reinforced and sustain their positive behaviour. Such actions will go a long way in shaping the organizational climate quite conducive to members for their efficient working. Evaluation of Team-building As mentioned earlier, team-building as an OD intervention has attracted maximum attention. Many research studies have also confirmed the positive contributions of team-building on the
However. It seeks to change to attitudes. As a result. Differences are clearly articulate. after which similarities and differences are discussed. In general. team-building contributes to the organizational performance in the following manner: 1. structure. 4. Therefore. Although there are several approaches for improving intergroup relations. are not given adequate attention. and how it believes the other group perceivers it. New member may find it difficult to adjust with the team because of his confusion over his roles in terms of task performance and building good relationships. In spite of these problems. team-building has been termed as one-sided effort and it suffers from the following limitations: 1. listening. and the groups look for the causes of the disparities.7 Inter-group Development A major area of concern is OD is the dysfunctional conflict that exists between groups. team-building has a positive outlook. However. the groups can move to the integration phase – working to develop solutions that will improve relations. 2. It helps in developing effective interpersonal relationships by stimulating the group members for that.organization’s outcomes. one of the more Popular methods emphasize problem solving. though. Once the causes of the difficulty have been identified. it is not that effective in isolation. monitoring. . 3. 2.. Team-building becomes a complicated exercise when there is frequent change in team members. communicating. in different degrees. In this method. this has been a subject to which change efforts have been directed. the other group. stereotypes. each group meets independently to develop lists of its perception of itself. The groups then share their lists. there have been calls for combining team-building with organization behaviour modification approaches. It focuses only on work groups and other major organizational variables such as technology. It improves the organization’s problem-solving and decision-making ability. and perceptions that groups have of each other. etc. and feedback skills). It helps developing communication within the group and inter-group and overcoming many psychological barriers that block communication flow. One such suggestion is to use a task hierarchy to reinforce the team as it progresses up a behaviour skill hierarchy (for example.
The consultant may fulfill a variety of functions. however. Outside consultants also may be prone to initiating more drastic changes – which can be benefit or a disadvantage – because they don’t have to live with the repercussions after the change is implemented. 4. Outside consultants. The trainer role is most widely and intensively used at all stages of a change project: unfreezing. or outside consultants. .9 Role of Change Agents The change agent may play different roles according to the need of organization development . but one thing he/she is not the driver”.Subgroups. internal management often will hire the services or outside consultants to provide advice and assistance. operating procedures. According to Curtis Mial: “The Consultant may serve as the exhaust value. group discussions. culture. and personnel. films. as the radiator absorbing some of the heat of the controversy. can now be created for further diagnosis and to begin to formulate possible alternative actions that will improve relations. with members from each of the conflicting groups. For major change efforts. as the break for too quick action. enabling the client to let off steam: as the ignition to spark action. Because they are from the outside these individuals an offer can offer an objective perspective often unavailable to insiders. employees of the organization. cases and experiential learning etc.These three roles are having been brief described below: Consultant A consultant is a professional (internal or external) who applies behavioral Science knowledge in an ongoing organization (or client system) with clear objectives of managing change and improving effectiveness. or as fog lamp when the future is hazy. role-plays and instruments. may be more thoughtful (and possibly cautious) because they to live with the consequences of their actions. In contrast. presentations. are disadvantaged because they usually have an inadequate understanding of the organization’s history. as the shock absorber when the going is rough. 4. Trainer A change agent needs to be a trainer and educator. He has to educate people on the need and importance o change using a variety of methodologies – lectures. changing (intervening) and refreezing. internal staff specialists or managers when acting as change agents. as the accelerator to build up momentum.8 Change Agents Change agents: Can be managers or nonmanagers.
Grid Training was developed by –––––––––––– 3. 2. knowledge and processes necessary for effectiveness at the individual. What is survey feedback as an intervention of OD? How does it provide base for other OD interventions? . widely accepted and applied OD intervention for organizational improvement.Training is required for enhancing knowledge. the consultant works with individuals and groups in the organization to help them learn about human and social processes and to solve problems that stem from process events. Sensitivity training focuses on small group ranging from ten to twelve. diagnosis. team-work does not necessarily spurt group efforts 4. What is Grid Training? How does it help in improving individual performance in an organization? 2. It focuses on skills. The first step in survey feedback is ______ usually by a consultant based on a structured questionnaire. Data collection. group. Training is used both in ‘content orientation’ and process orientation’. developing action plans based on feedback and follow-up. inter-group and total organization levels. Useful hypothesis are to be formulated and tested. evolving best strategies for change by assessing alternatives and the important stages in a change project where the change agent has to be a Researcher. In process consultation. Teambuilding is most important. attitudes and beliefs. Grid training focuses on individuals and groups to assess their own strengths and weaknesses.10 Summary OD intervention strategies are various activities which a consultant and client organization performs for improving organizational performance. skills and change in behavior. Survey feedback usually proceeds with sequential activities involving data collection. Self Assessment Questions 1. 4. ________is antithesis of synergy in team-work which suggests that people working together on a common task may actually decrease their individual efforts.11 Terminal Questions 1. Researcher A change agent has to carry out some research activities for the purpose of generating valid information prior to and during the change process. generation of new behavioral science knowledge. feedback of information.
2 3. Assumptions. Refer section 4. Data collection 2.3.6 4. What is team-building? What are the stages of life cycle of a team? 4.12 Answers to SAQs and TQs SAQs: 1. Social loafing Answers to TQs: 1. 3.1 Introduction Objectives 5. MU0002-Unit-05-Values. Assumptions.4 2. Explain Change agents and discuss the role of change agents in detail. Blake and Mouton.8 Copyright © 2009 SMU Powered by Sikkim Manipal University . and Beliefs in Organization Development Structure: 5. Refer section 4.2 Definitions and . Refer section 4. Refer section 4. Beliefs in Organization Development Unit-05-Values. 4.
5. beliefs and assumptions. shaping the goals and methods of the field and distinguishing OD from other improvement strategies. These values and assumptions have developed from research and theory by behavioural scientists and from the experiences and observations of practicing managers.4 Early Statements of OD Values and Assumptions 5. Most of these beliefs were formulated early in the development of the field.3 Implications for Designing and Running Organizations 5. you will be able to: · Explain the meaning of values.5. 5. it is a cognitive fact for the person. Objectives: After studying this unit. assumptions. · State the implications of OD values and assumptions. .7 Terminal Questions 5.1 Introduction A set of values. · List the chronology of events of values.1 Implications for Dealing with Individuals 5. and beliefs constitutes an integral part of organization development.5 Implications of OD Values and Assumptions 5.8 Answers to SAQs and TQs 5.6 Summary Self Assessment Questions 5. · Give the statement of OD values and assumptions.5.5.3 Chronology of Events in Management and Organization Thought 5. beliefs and assumptions.2 Definitions A belief is a proposition about how the world works that the individual accepts as true. and they continue to evolve as the field itself evolves.2 Implications for Dealing with Groups 5.
As these ingredients accumulated. and the like.g. dishonesty). OD values tend to be humanistic. Values. 5. greater understanding of individual motivation and group dynamics. the clash between fascism and democracy in World War II. or spirit of the time. reason. and assumptions being. they were fashioned into a coherent value foundation for the theory and practice of organization development.Values are also beliefs and are defined as: "Beliefs about what is desirable or ‘good’ (e. Simple. and the need for justice through the rule of law and due process. repetitive tasks minimized the skills required to do the job. the right of people to be free from arbitrary misuse of power. research on the effects of different leadership styles. Humanistic values proclaim the importance of the individual: respect the whole person. strongly held. free speech) and what is undesirable or ‘bad’ (e.3 Chronology of Events in Management and Organization Thought Frederick Winslow Taylor’s ‘The Principles of Scientific Management’ (1911) launched the scientific management movement with its emphasis on time and motion studies and breaking jobs into small. assumptions. Optimistic values posit that people are basically good. optimistic. . the human relations movement. the laboratory training movement. Thus. Major ingredients of the zeitgeist that influenced OD values and assumptions are presented here in a brief chronology. assumptions. treat people with respect and dignity. relatively unexamined beliefs accepted as the truth." or slacking off. Democratic values assert the sanctity of the individual. Piece-rate pay systems were designed to increase motivation and to prevent "soldiering. increasing awareness of the dysfunctions of bureaucracies. and beliefs provide structure and stability for people as they attempt to understand the world around them. Taylor’s methods quickly swept the country and the world as the way to organize work. Evidence for the validity of these values and their supporting assumptions comes from many sources – the Hawthorne studies. and beliefs are all cognitive facts or propositions. and that rationality.. values. the importance of fair and equitable treatment for all. that progress is possible and desirable in human affairs. assume that everyone has intrinsic worth.g. Values and assumptions do not spring full grown from individuals or societies they are formed from the collective beliefs of an era-the zeitgeist.. with values being beliefs about good and bad. Expert engineers and supervisors designed each task and ensured it was done correctly. and democratic. and goodwill are the tools for making progress. view all people as having the potential for growth and development." Assumptions are beliefs that are regarded as so valuable and obviously correct that they are taken for granted and rarely examined or questioned. repetitive tasks in an attempt to find "the one best way" to do each job.
and the supervisor determined their performance. authoritarian leadership caused dependency. by Roethlisberger and Dickson in 1939. Research by Lewin. impersonal rules. theory. Scientific management as the way to organize work and bureaucracy as the way to organize people were the prevailing paradigms for organizations in the early 1900s. People were not cogs. ‘The Functions of the Executive’ by Chester 1. a management theorist and astute observer of labourmanagement relations. His acceptance theory of authority proposed that authority derives from the willingness of subordinates to comply with directions rather than from position power. apathy. Reports on these studies by Mayo in 1933 and 1945. The research demonstrated the primacy of social factors on productivity and morale. People came to work as whole people. repetitive jobs left them feeling alienated and dispirited. their feelings and attitudes about the work. Much of her career was devoted to finding ways to reduce adversarial relationships between workers and management. A strong hierarchy of authority. Barnard viewed organizations as social systems that must be effective (achieve goals) and efficient (satisfy the needs of employees). Democratic leadership seemed to bring out the best in the groups. extensive division of labor. and by Homans in 1950 profoundly and irreversibly affected people’s beliefs about organizational behaviour. Group Dynamics (1940) – The scientific study of groups using experimental research methods-was launched by Kurt Lewin and his students. and practice since the late 1920s have focused on the shortcomings of these two paradigms and how to overcome the limitations. Their simple. Lippitt (1939). the work environment. aggressiveness and poor performance. Mary Parker Follett (1926). In a sense. wrote an article on “The Giving of Orders” advocating participative leadership and joint problem-solving by labour and management. and rigid procedures would create a well-oiled human machine called the organization. The Famous Hawthorne Studies (1927 to 1932) were conducted at the Hawthorne plant of Western Electric Company. most efficient way to organize people. Barnard (1938) presented insights from his experiences as President of the New Jersey Bell Telephone Company. . These approaches possessed many desirable features. The great German sociologist Max Weber (1922) introduced the concept of “bureaucracy” as the best. and White demonstrated that democratic leadership was superior to authoritarian leadership and laissez-faire leadership in affecting group climate and group performance. organizations were not machines. Some early experiments were conducted in the late 1930s. Group norms had more powerful effects on productivity than economic incentives. but also contained serious flaws that led to unintended consequences. much of the research.
pioneers in laboratory training. Eric Trist and Ken Bamforth of the Tavistock Clinic (1951) published the results of their work in British coal mines. . which holds that individuals have within themselves the capacity to assume responsibility for their behaviour and mental health when provided with a supportive. lack ambition. are self-centered. Humanistic and democratic values suffused the movement. increase self-understanding. Chris Argyrif’s Personality and Organization (1957) was the first of several books in which he stated that there is an inherent conflict between the needs of organizations and the needs of mature. Ken Benne and Paul Sheats (1948). “Overcoming Resistance to Change. which postulates that organizations are comprised of a social system and a technological system and that changes in one system will produce changes in the other system. proposed that the leadership functions of a group should be shared between the leader and group members and showed how that could be done. higher-level needs become dominant. Those who subscribe to Theory X assume that people are lazy. The Hawthorne Studies (1940s to 1960) spawned the human relations movement that was in full flower from the 1930s to the 1960s. Rogers’ focus on effective interpersonal communications was applicable to superior-subordinate relations. Motivation and Personality by Abraham Maslow (1954) presented a new view of human motivation. greater attention to workers’ social needs. and understand group dynamics. These years witnessed the beginnings of the laboratory training movement (1946 and 1947). P. caring social climate. The human relations movement advocated participative management. training in interpersonal skills for supervisors. French’s (1948) article. and a general “humanizing” of the workplace. Lester Coch and John R. Maslow suggested that human motivation is arranged in a hierarchy of needs from lower-level needs such as physiological and survival needs to higher-level needs such as esteem and self-actualization. dislike responsibility. healthy adults. Douglas McGregor wrote ‘The Human Side of Enterprise’ (1960) in which he described his famous Theory X and Theory Y assumptions. This article introduced the concept of organizations as sociotechnical systems. Carl Rogers’ Client-Centered Therapy (1951) demonstrated the efficacy of non-directive psychotherapy. The theory postulated that when lowerlevel needs are satisfied. Laboratory training taught people how to improve interpersonal relations. a direct precursor of OD.” reported that resistance to change could be minimized by communicating the need for change and allowing the people affected by the change to participate in planning it.
and organizations that is. summarized the state of organization development a decade or so after its inception. and values of the field. This chronology captures most of the significant influences from research. Burns and Stalker (1961) described two very different forms of organization structuremechanistic and organic. bureaucracy. in an environment of high change. humanistic. These six books presented the theory.” (1969) a set of six little books on OD by prominent practitioners. Values have always been an integral part of OD. practice. and to pursue organizational goals if given the chance and the social environment to do so. and greater individual autonomy. and human resource practices to allow individual potential to be released. This leadership style was contrasted with an authoritarian. and observations utilized by OD practitioners. and authoritarian leadership gave way to increasing doubts about these organizational practices as theory and research pointed up their limitations. To summarize the intellectual climate of this period. . The task of management is to change organizational structures. and introduced practicing managers to the concepts of need hierarchy and self-actualization. ‘The Social Psychology of Organizations’ by Daniel Katz and Robert L. Kahn (1966) presented the first comprehensive exposition of organizations as open systems.indifferent to the organization’s needs. Tannenbaum and Davis presented their ideas in an article appearing in Industrial Management Review. In addition to presenting Theory X and Y. Organic structures encourage decentralized decision making and authority. theory. open communications. a mechanistic organization structure may be appropriate. an organic organization form is preferred. We will examine three early statements regarding OD values that had a significant impact on the field. Those who subscribe to Theory Y assume that people have the potential to develop. goal-oriented. In an environment of slow change. this book popularized Maslow’s motivation theory. resist change. to assume responsibility. and negative consequences. and need to be led. groups. as we have said. management practices. the initial enthusiasm for scientific management. Rensis Likert’s ‘New Patterns of Management’ (1961) presented data and theory showing the overwhelming superiority of a democratic leadership style in which the leader is group oriented. The Addison-Wesley Publishing Company “OD Six-Pack. and democratic. organization development practitioners formulated a set of values and assumptions regarding people. dysfunctions. Out of this zeitgeist. The Bennis and Beckhard quotations come from their books in the Addison-Wesley Six-Pack. one-on-one leadership style. optimistic. and shares decision-making with the work group.
· Development of increased understanding between and within working groups in order to reduce tensions." that is. Here is his list. · Development of organic rather than mechanical systems. Rather than the usual bureaucratic methods which rely mainly on suppression. The basic building blocks of an organization are groups (teams).” For example. Another major player in the field was Richard Beckhard. not individuals. Therefore. more rational and open methods of conflict resolution are sought." Mechanical systems encourage "centralized decision-making" while organic systems encourage "wide sharing of responsibility and control.Writing in 1969. . more choices become available and hence better decisions are made. Through focused attention and through the collection and feedback of relevant data to relevant people. He listed these normative goals as follows: · Improvement in interpersonal competence. Stalker used the term “mechanistic” in contrast to “mechanical." Mechanical systems insist on "strict division of labour and hierarchical supervision" while organic systems foster "multi-group membership and responsibility. This is a strong reaction against the idea of organizations as mechanisms which managers "work on. mechanical systems rely on "authority-obedience relationships" while organic systems rely on "mutual confidence and trust. The earlier work by Tom Burns and G. compromise. M. the capacity for functional groups to work more competently. 1. and unprincipled power. In his 1969 book he described "several assumptions about the nature and functioning of organizations" held by OD practitioners. · Development of better methods of conflict resolution. Warren Bennis proposed that OD practitioners (change agents) share a set of normative goals based on their humanistic/ democratic philosophy. · A shift in values so that human factors and feelings come to be considered legitimate." like pushing buttons. · Development of more effective "team management." He then went on to state what he believed to be the central value underlying organization development theory and practice: The basic value underlying all organization development theory and practice is that of choice. Bennis clarified some of the salient differences between mechanical systems and organic systems. the basic units of change are groups.
· Away from walling off the expression of feelings toward making possible both appropriate expression and effective use. toward seeing them as being in process. · Away from a view of individuals as fixed. An always relevant change goal is the reduction of inappropriate competition between parts of the organization and the development of a more collaborative condition. . mutual trust. presented their view of OD values in a 1969 article. Organizations. · Away from use of status for maintaining power and personal prestige toward use of status for organizationally relevant purposes. 4. and confidence between and across levels. · Away from resisting and fearing individual differences toward accepting and utilizing them. Robert Tannenbaum. · Away from avoiding facing others with relevant data toward making appropriate confrontation. "People support what they help create. 6. They asserted that an important shift in values was occurring and that this shift signaled a more appropriate and accurate view of people in organizations. · Away from distrusting people toward trusting them. One goal of a healthy organization is to develop generally open communication. sub-units of organizations. Decision-making in a healthy organization is located where the information sources are. · Away from maskmanship and game-playing toward authentic behaviour. a professor and Sheldon Davis. director of organization development. · Away from utilizing an individual primarily with reference to his or her job description toward viewing an individual as a whole person. They listed these “values in transition” as follows: · Away from a view of people as essentially bad toward a view of people as basically good. 3. · Away from avoidance of negative evaluation of individuals toward confirming them as human beings. not the basis of managerial strategy. rather than in a particular role or level of hierarchy. 5. and individuals continuously manage their affairs against goals. Controls are interim measurements.2." People affected by a change must be allowed active participation and a sense of ownership in the planning and conduct of the change.
5.5. the legitimacy of feelings. give responsibility. · Away from a view of process work as being unproductive effort toward seeing it as essential to effective task accomplishment. and so forth were seldom espoused and rarely implemented in the vast majority of organizations at that time. · Away from a primary emphasis on competition toward a much greater emphasis on collaboration. support. and organizations? 5. The humanistic values prompted a search for better ways to run organizations and develop the people in them. appropriate uses of power. 5. challenge. groups. Beliefs such as trust and respect for the individual. give autonomy. collaboration and co-operation. but in the 1950s and 1960s they represented a radical departure from accepted beliefs and assumptions. open communication. and reward success. authentic interpersonal relations. Most people want to develop their potential.· Away from avoidance of risk-taking toward willingness to risk. The second assumption is that most people desire to make. The people doing the work are generally experts on how to do it and how to do it better. permit failure. These values and assumptions may not seem profound today. and are capable of making. participation and contribution by all organization members. autocratic. listen. We think most organization development practitioners held these humanistic and democratic values with their implications for different and "better" ways to run organizations and deal with people. A tremendous amount of constructive energy can be tapped if organizations realize and act on these assumptions. We answer the question: What are some of the implications of OD assumptions and values for dealing with individuals. decentralized decision making.5 Implications of OD Values and Assumptions Let us examine specific assumptions and their implications for organization leaders and members. The democratic values prompted a critique of authoritarian. The first assumption is that most individuals have drives toward personal growth and development if provided an environment that is both supportive and challenging. and arbitrary management practices as well as the dysfunctions of bureaucracies.1 Implications for Dealing with Individuals Two basic assumptions about individuals in organizations pervade organization development. 5. remove obstacles and barriers.2 Implications for Dealing with Groups . encourage risk-taking. set high standards. a greater contribution to attaining organization goals than most organizational environments permit. The implications of these two assumptions are straightforward: Ask.
are dysfunctional . To do this. in addition. and usually with more than one group. most people are capable of making greater contributions to a group’s effectiveness and development. In addition. one of the most psychologically relevant reference groups for most people is the work group. experimenting with new organization structures and new forms of authority is imperative. grouping by specialized function. not a one-on-one leadership style. Finally. D. The question becomes not how A can get B to perform better. 5. group members should assist the leader with the multiple roles required for group effectiveness. Therefore. this group perspective requires a shift from viewing problems as "within the problem person" to viewing problems and solutions as transactional and as embedded in a system. adherence to the chain of command. conflict management. By implication. Frequently the challenge is broader. support. traditional hierarchical forms of organization-fairly steep pyramid. Such problems have the greatest chance of constructive solution if all parties in the system alter their mutual relationships. the assumption is that many attitudinal and motivational problems in organizations require interactive and transactional solutions. Let teams flourish because they are often the best way to get work done and.Several assumptions relate to the importance of work teams and the collaborative management of team culture. at both the formal and informal levels. are the best way to satisfy social and emotional needs at work. personal growth. invest energy and intelligence in creating a positive climate. group members should be encouraged to learn to deal effectively with positive and negative feelings. invest training time and money to increase group members’ skills. the family. a church or club group. including peers and boss. including how persons C.3 Implications for Designing and Running Organizations Clearly. It is especially important that leaders adopt a team leadership style. Also. formalized cross-functional communication. Another assumption is that the formal leader cannot perform all the leadership and maintenance functions required for a group to optimize its effectiveness. and E can support these changes. and co-operation within the group. in which one side wins and the other side loses. One implication is that group members should receive training in group effectiveness skills such as group problem-solving and decision-making. leaders need to give important work to teams. a growing awareness that “win-lose” organizational situations. not individuals. They cannot meet the demands of the marketplace. most people wish to be accepted and to interact co-operatively with at least one small reference group. leaders should invest in groups: Invest the time required for group development. This skill is a trainable one. Second. but how A and B can work together to modify their interactions toward the goal of B becoming more effective and A and B becoming more mutually effective. such as a work group. and so on. What occurs in the work group. and so on-are obsolete. and job satisfaction. greatly influences feelings of satisfaction and competence. Implications of these assumptions are several.5. And because suppressed feelings and attitudes adversely affect problem-solving. Third. and interpersonal communication. Hence. Dealing appropriately with feelings and attitudes increases the level of interpersonal trust. First. facilitation. emphasis on topdown directives.
The rapid technological. developmental. it is possible to create organizations that on the one hand are humane. This discussion was intended to articulate an appreciation of OD values and explain where they came from. Values are also beliefs. and organizational changes taking place assure that tomorrow will bring new definitions of what is "true" and new beliefs about what is "good. values are never static. beliefs and assumptions are cognitive facts. they are the source of productivity and profits and should be treated with care. Values. societal. organizing structures. The belief that people are important tends to result in their being important.over the long run and highlight the need for a “win win” attitude. and empowering. By implication. Evidence for this assumption comes from numerous examples where “putting people first” paid off handsomely in profits and performance. A belief is a proposition about how the world works that the individual accepts as true. Finally. assumptions and beliefs help to define what OD is and guide its implementation. Such an orientation creates a self-fulfilling prophecy. OD values tend to be humanistic. Self Assessment Questions . 5. A key assumption in organization development is that the needs and aspirations of human beings are the reasons for organized effort in society. and ways to optimize human potential. These beliefs help to define what OD is and guide its implementation. they change over time. Values. Still. quality of output. This notion suggests it is good to have a developmental outlook and seek opportunities in which people can experience personal and professional growth. an optimistic. The implication is that people are an organization’s most important resource. Creating co-operative rather than competitive organizational dynamics is a primary task of the organization’s leaders." as behavioural scientists and managers continue to develop better understanding of authority structures.6 Summary The field of OD rests on a foundation of values and assumptions about people and organizations. developmental set of assumptions about people is likely to reap rewards beneficial to both the organization and its members. and profitability. The belief that people can grow and develop in terms of personal and organizational competency tends to produce that result. optimistic and democratic. These OD values were considered revolutionary when they emerged in the 1950s. and on the other hand are high performing in terms of productivity. Concluding Comment: The field of organization development rests on a foundation of values and assumptions about people and organizations. Chronology of events in management and OD tremendously influenced OD practitioners. but are widely accepted today.
The concept of –––––––––– was introduced by MaxWeber. values. 3. 5.8 Answers to SAQs and TQs SAQs: 1. _______________ gave theory X and theory Y.1. 3.7 Terminal Questions 1. The outcome of –––––––– was that people were not cogs and organizations were not machines. 2.2 2. Refer section 5. beliefs.3 . 5. Values. __________ is associated with scientific management. What are values and assumptions developed by Richard Bechard in the field of organizational development? 5. Taylor’s principles of scientific management. State the assumptions of Theory X and Theory Y. Refer section 5.3 3. 2.W. Hawthorne experiments 5. beliefs and assumptions. Refer section 5. Define concepts. F. and assumptions are all –––––––––– facts. W. Cognitive 2. Write a note about F. Bureaucracy 4. What was the outcome of Hawthorne Experiments? 4. Taylor 3. 5. Douglas McGregor Answers to TQs: 1. 4.
3.2 Congruence among System Elements 6.3 Copyright © 2009 SMU Powered by Sikkim Manipal University . Refer section 5.3.1 Introduction Objectives 6. Refer section 5.1 The Nature of Systems 6.4 Participation and Empowerment .2.3 5.2.2 Models and Theories of Planned Change 184.108.40.206 Systems Theory 6.2.4 Open Systems Thinking 220.127.116.11 The Burke-Litwin Model of Organizational Change 6. MU0002-Unit-06-Foundations of Organization Development Unit-06-Foundations of Organization Development Structure: 6.3 Socio-technical Theory and Open Systems Planning 6.1 Kurt Lewin and Friends 6.2 Beyond the Quick Fix 6.4 Porras and Robertson Model of Organizational Change 6.
8 Applied Behavioural Science 6. Here we describe what we believe are the most important underpinnings for the field.1 Introduction This unit describes the foundations of organization development theory and practice.5 Teams and Teamwork 6.11 Terminal Questions 6. you will be able to: · Explain various models and theories of planned change. Leaders and OD practitioners use this knowledge base to plan and implement effective change programs.12 Answers to SAQs and TQs 6.6.9 Action Research Self Assessment Questions 6. Objectives: After studying this unit.10 Summary 6. · Explain the terms ‘participation’ and ‘empowerment’. · Describe the parallel learning structures.6 Parallel Learning Structures 6.7 A Normative – Re-educative Strategy of Changing 6. · Explain systems theory. We will examine the following concepts: . you will learn what OD practitioners think and how they think as they engage in the complicated task of improving organizational functioning. In this discussion. · Realize the importance of teams and teamwork. art and science which form the knowledge base upon which OD is constructed. · Explain normative-re-educative strategy of changing The knowledge base of OD is extensive and is constantly growing.
With a technique called the force-field analysis. Likewise. The production level tends to remain fairly constant because the field of forces remains fairly constant.· Models and theories of planned change · Systems theory · Participation and empowerment · Teams and teamwork · Parallel and learning structures · A normative-re-educative strategy of changing · Action research 6. Lewin’s second idea was a model of the change process itself.2. The development of models of planned change facilitated the development of OD. Although morale may get a little better or a little worse on occasion. we can think of the production level of a manufacturing plant as a resultant equilibrium point in a field of forces. in words or pictures. the status quo-whatever is happening right now-is the result of forces pushing in opposing directions. This concept is useful for thinking about the dynamics of change situations. Here we provide a framework for thinking about planned change by exploring several models from the literature. some forces pushing toward higher morale and some pushing toward lower morale. The first idea states that what is occurring at any point in time is a resultant in a field of opposing forces. with some forces pushing toward higher levels of production and some forces pushing toward lower levels of production. For example. describe those features as variables. Several recent theories show great promise for increasing our understanding of what happens and how it happens in planned change.1 Kurt Lewin and Friends Kurt Lewin introduced two ideas about change that have been influential since the 1940s. Planned change theories are rudimentary as far as explaining relationships among variables. we can identify the major forces that make up the field of forces and then develop action plans for moving the equilibrium point in one direction or the other. He suggested that change is a three-stage process: .2 Models and Theories of Planned Change Organization development is planned change in an organizational context. it generally hovers around some equilibrium point that is the resultant in a field of forces. the important features of some phenomenon. 6. That is. Models and theories depict. but pretty good for identifying the important variables involved. we can think of the level of morale in that plant as a resultant equilibrium point. and specify the relationships among the variables.
b.non-smoking becomes the new equilibrium point. etc.Unfreezing the old behaviour (or situation). mentor. Significant relationships. which motivate the person to change. judge things. Lewin’s three-stage model is a powerful tool for understanding change situations. Refreezing the desired behaviour requires establishing a new field of forces to support the new behaviour. believe that cigarette smoking is bad for him and that he should stop smoking. Next. Refreezing the behaviour at the new level. Edgar Schein took this excellent idea and improved it by specifying the psychological mechanisms involved in each stage. b. the non-smoking behaviour must become permanent. That is. Disconfirmation or lack of confirmation b. moving to new level of behaviour. The three-stage model says he must first unfreeze the old behaviour of smoking. he must move. The total personality and self-concept. Change entails moving from one equilibrium point to another. A Three-Stage Model of the Change Process: Stage 1: Unfreezing: Creating motivation and readiness to change through a. Take the example of a man who smokes cigarettes and wants to quit. unfreezing. feel things. change will not occur. which cause guilt and anxiety. . disconfirmation creates pain and discomfort. that is. Scanning the environment for new relevant information Stage 3: Refreezing: Helping the client to integrate the new point of view into a. Provision of psychological safety Stage 2: Changing through Cognitive Restructuring: Helping the client to see things. change his behaviour from being a smoker to being a non-smoker. Finally. the person must develop a sense of psychological safety in order to replace the old behaviours with new behaviours. and react to things differently based on a new point of view obtained through a. that is. Identifying with a new role model. In stage 1. Creation of guilt or anxiety c. But unless the person feels comfortable with dropping the old behaviours and acquiring new ones.
The person acquires information and evidence showing that the change is desirable and possible. and fit with the individual’s social surroundings. That is.2. refreezing. Phase 6: Generalizing and stabilizing change. establishing goals and intentions of action. Phases 3. Phase 5: Transforming intentions into actual change efforts. This motivating evidence is gained by. The primary task in stage 3. terminating the client-consultant relationship. Phase 7: Achieving a terminal relationship. They expanded the three-stage model into a seven-stage model representing the consulting process. Phase 4: Examining alternative routes and goals. Phase 2: Establishing a change relationship. and Bruce Westley.2 Beyond the “Quick Fix” A comprehensive change model by Ralph Kilmann specifies the critical leverage points for organizational change. Jeanne Watson. This phase corresponds to Lewin’s refreezing phase. Their seven stages are as follows: Phase 1: Developing a need for change. 6. This phase corresponds to Lewin’s unfreezing phase. is to integrate the new behaviours into the person’s personality.In stage 2. 4. the person undergoes cognitive restructuring. These "road maps" are useful for thinking about change. In this phase a client system in need of help and a change agent from outside the system establish a working relationship. that is. identifying with ex-smokers and learning about the health risks of smoking. and 5 correspond ro Lewin’s moving phase. The phrase significant relationships refer to important people in the person’s social environment-do these significant others approve of the changes? Another modification of Lewin’s model was proposed by Ronald Lippitt. for example. This model has five sequential stages: 1) Initiating the program. Phase 3: Clarifying or diagnosing the client system’s problem. This seven-stage model lays out the logical steps involved in OD consulting. and attitudes. Similar models have been developed by Kolb and Frohman and by Burke. moving. stabilizing the changes requires testing to see if they fit-fit with the individual. .
4) The strategy-structure track. These problems and opportunities will be the targets of later interventions. The team-building track infuses the new culture and updated management skills into each work unit – thereby instilling co-operation organization-wide so that complex problems can be addressed with all the expertise and information available. problem-solving sessions. Kilmann describes the five tracks: What does each track do for the organization? The culture track enhances trust. Scheduling and implementing the "tracks" involve intervening in five critical leverage points. The management-skills track provides all management personnel with new ways of coping with complex problems and hidden assumptions. communication." that. Diagnosing the problems requires a thorough analysis of the problems and opportunities facing the organization.2) Diagnosing the problems. and willingness to change among members the conditions that must exist before any other improvement effort can succeed. Change programs take from one to five years to complete. Kilmann’s five tracks are: 1) The culture track. 3) The team-building track. and so forth. 2) The management skills track. 4) Implementing the "tracks" 5) Evaluating the results. 3) Scheduling the "tracks". information sharing. when functioning properly. cause the organization to be successful. called "tracks. Initiating the program entails securing commitment from top management. critique practices and procedures. and 5) The reward system track. . Interventions include training programs.
In first-order change. Kilmann has tested his model at AT&T. jobs. adaptive. Ford General Electric. departments. beginning with the culture track.and second-order change. then moving to the management skills track. On the other hand. Changing culture is much more difficult than changing climate. developed by Warner Burke and George Litwin. and so forth. and co-operative team efforts within and among all work groups. values. and difficult to change. the use of updated management skills. then moving to the team-building track. General Foods. and so forth.2. its identification of the five tracks as critical leverage points. Eastman Kodak. and . OD programs are directed toward both first. Second-order change goes by many different labels: transformational. TRW. or continuous change. radical. incremental. One likes this model because of its comprehensive nature. The reward-system track establishes a performance-based reward system that sustains all improvements by officially sanctioning the new culture. revolutionary. First-order change goes by many different labels: transactional. Westinghouse. organizational culture is defined as deep-seated assumptions. or discontinuous change. The premise of the BurkeLitwin model is this: OD interventions directed toward structure. and its holistic view of organization change and development. management practices.The strategy-structure track develops either a completely new or a revised strategic plan for the firm and then aligns divisions. An OD consultant implements the tracks in a phased sequence. In second-order change. work groups. evolutionary. The model distinguishes between organizational climate and organizational culture. 6. with an increasing emphasis on second-order transformational change.3 The Burke-Litwin Model of Organizational Change The next model to be examined is the Burke-Litwin model of individual and organizational performance. This model shows how to create first-order and second-order change (which the authors call “transactional change” and “transformational change”). the nature of the organization is fundamentally and substantially altered – the organization is transformed. hard-working or easy-going. These perceptions are relatively easy to change because they are built on employees’ reactions to current managerial and organization practices. and all resources with the new strategic direction. and Xerox with good results. and beliefs that are enduring. friendly or unfriendly. Organizational climate is defined as people’s perceptions and attitudes about the organizationwhether it is a good or bad place to work. some features of the organization change but the fundamental nature of the organization remains the same. often unconscious.
in turn. leadership. and organization culture result in second-order change. management practices. The model also makes a distinction between transactional and transformational leadership styles. Transformational leadership is required for causing second-order change. Fig." Transformational leadership embodies inspiration which leads to new heights of performance. which change motivation and. Transactional leadership is required to make this change in organizational climate.1: The Transactional Factors Involved in First – Order Change . 6. Transformational leaders are "leaders who inspire followers to transcend their own self-interest for the good of the organization and who are capable of having a profound and extraordinary effect on their followers. Following figure shows the factors involved in first-order (transactional) change. Now let us look at the Burke-Litwin model. interventions directed toward mission and strategy.systems (policies and procedures) result in first-order change." Transactional leadership embodies a fair exchange between leader and follower that leads to "normal" performance. and systems cause changes in work unit climate. individual and organizational performance. These two concepts come from leadership research which found that some leaders are capable of obtaining extraordinary performance from followers while other leaders are not. Transactional leadership is sufficient for causing first-order change. We will do so in several steps. Changing structure. Transactional leaders are "leaders who guide or motivate their followers in the direction of established goals by clarifying role and task requirements.
Interventions directed toward these factors transform the organization and cause a permanent change in organization culture. Interventions directed toward management practices. and then targets interventions toward factors of the organization that produce the desired change. The OD practitioner sizes up the change situation. if we want to cause second-order (transformational) change. leadership styles.2: The Transformational Factors Involved in Second – Order Change On the other hand. which produces changes in individual and organizational performance. as shown in the above figure. we must change mission and strategy. sudden "leaps" in behaviour.Fig. The bottom half of figure displays the factors involved in transactional change. These factors are able to change the climate. These factors are powerful enough to change the culture fundamentally. The second set of dynamics is concerned with processes of human transformation. 6. The above two figures together yield the full Burke-Litwin model shown in the following figure. . Research by Burke and his students suggests the model performs as intended. that is.” We consider the Burke-Litwin model to be a significant advance in thinking about planned change. One set primarily is associated with the transactional level of human behaviour or the everyday interactions and exchanges that create the climate. mission and strategy. structure. To summarize. Burke and Litwin propose that interventions directed toward leadership. determines the kind of change required (transactional or transformational). and organization culture produce transformational change or fundamental change in the organization’s culture. and organization culture. these transformational processes are required for genuine change in the culture of an organization. Burke says: “Thus there are two distinct sets of organizational dynamics. The top half of figure displays the factors involved in transformational change. and systems produce transactional change or change in organizational climate.
4: Organizational Work-Setting Factors This model is extremely useful for OD practitioners and organizational leaders.Fig. physical setting. Interventions that focus on job design and work flow design will affect technology. which in turn lead to individual and organizational improvements. which influence on-the job behaviours. and interaction processes will affect social factors. It is how OD works. and technology. Interventions that focus on culture. management style. and rewards will affect organizing arrangements. The work setting plays a central role in this model and consists of four factors: organizing arrangements. strategies. Fig. social factors. The basic premise is that OD interventions alter features of the work setting causing changes in individuals’ behaviours. it is described in a discussion by Porras and Peter Robertson. This model shows how OD interventions can be linked to factors in the work setting. which determine organizational performance and individual development. The premise modeled here is that work setting factors influence organizational members’ cognitions (they learn what is expected. For example. 6. Keep this framework in mind as you read the units on OD interventions because all interventions target one or more factors shown in figures. and these behaviour changes occur when elements of the work setting have been modified by OD interventions. according to Porras and Robertson. required. .2. rewarded).4 Porras and Robertson Model of Organizational Change Jerry Porras and his associates developed a model of how organization development works. OD interventions that focus on goals. Organizational change occurs only when individuals change their behaviour. 6. Following figure shows the work setting in the larger organizational framework.3: The Burke Litwin Model of Organizational Performance and Change 6.
" Kast and Rosenzweig define system as "an organized." To summarize. unitary whole composed of two or more interdependent parts. describes the characteristics of systems." Von Bertalanffy refers to a system as a set of "elements standing in interaction.system. 6. that is the system. and delineated by identifiable boundaries from its environmental supra. which views organizations as open systems in active exchange with their environment. Systems theory is one of the most powerful conceptual tools available for understanding the dynamics of organizations and organizational change. Fagen defines system as "a set of objects together with relationships between the objects and between their attributes. Ludwig Von Bertalanffy first articulated the principles of general systems theory in 1950. or subsystems. and shows how systems theory enhances the practice of OD. Thus.Fig. ." Hanna says: "A system is an arrangement of interrelated parts. interconnectedness. The words ‘arrangement’ and ‘interrelated’ describe interdependent elements forming an entity.5: A Change-based Organizational Framework 6. one begins by identifying the individual parts and then seeks to understand the nature of their collective interaction. and interrelatedness among elements in a set that constitutes an identifiable whole or gestalt.3 Systems Theory A second foundation of organization development is systems theory. when taking a systems approach. and Katz and Kahn were the first to apply open systems theory to organizations in 1966. system denotes interdependency. components. This section explains systems theory.
the organization’s purposes will be reflected in its outputs. A good rule of thumb for drawing the boundary is that more energy exchange occurs within the boundary than across the boundary. Open systems have purposes and goals.1 The Nature of Systems The nature. All open systems are input-throughput-output mechanisms. people. They do something to the inputs via throughput.6. dynamics. resources. . and if the environment does not want these outputs. and what is outside the boundary is the environment. and they export products to the environment in the form of outputs. Therefore. Every system is delineated by a boundary. Each of these three system processes must work well if the system is to be effective and survive.3. raw material and so on. Boundaries of open systems are permeable. Organizations achieve negative entropy when they are able to exchange their outputs for enough inputs to keep the system from running down.6: A System in Interaction with its Environment The law of entropy states that all systems “run down” and disintegrate unless they reverse the entropic process by importing more energy than they use. Systems take inputs from the environment in the form of energy. we examine the characteristics of open systems drawing OD expositions by Katz and Kahn and Hanna. studying open systems leads to a good understanding of organizations. Fig. money. the organization will cease to exist. For example. information. and energy between system and environment. These purposes must align with purposes or needs in the environment. in that they permit exchange of information. or transformation processes that change the inputs. the reasons for their existence. What is inside the boundary is the system. and characteristics of open systems are well-known. conversion. Here. Organizations are open systems. 6.
and so on. It is sometimes called deviation-amplifying feed back. and the like. 6. negative and positive. If the mission (target) changes.” Also. increased integration and co-ordination are necessary. it receives information to that effect in the form of negative feedback. and the system adjusts to a new goal.2 Congruence among System Elements David Nadler and associates at Delta Consulting Group developed the congruence model for understanding organizational dynamics and change. aerospace. With increased differentiation. say. but most are not useful. the principle that there are multiple ways to arrive at a particular outcome or state – systems have multiple paths to goals. that information is called positive feedback. "return to earth. they usually ignore information about other industries such as electronics. organizations in the fast-food industry pay a lot of attention to information about their industry-nutrition. eating fads. competitors. Systems achieve a steady state or equilibrium point and seek to maintain this equilibrium against disruptive forces. Negative feedback tells you if you are on track with your scheduled production output. specialized. This model depicts the organization as an input-throughput-output system. systems tend to get more elaborated. Negative feedback measures whether or not the output is on course with the purpose and goals. As Katz and Kahn say: “The basic principle is the preservation of the character of the system. and complex over time. however. By the same token. it will signal whether the environment needs and/or wants buggy whips. mining. Another characteristic of systems is equifinality. The usefulness of the two concepts is that they demonstrate that it is not enough to merely measure our outputs versus the intended targets. this process is called differentiation. These subsystems can be arranged into a hierarchy of systems moving from less important to more important. and makes a course correction. Positive feedback measures whether or not the purpose and goals are aligned with environmental needs. The three major input factors are: . Subsystems exist within larger systems.Information is important to systems in several ways. For example. For example. Say your company makes buggy whips. Positive feedback comes from the environment. Feedback is information from the environment about system performance. Another characteristic of open systems is steady state or dynamic homeostasis. It is also known as deviation-correcting feedback.3. either internal or external. while screening out other information. Systems require two kinds of feedback. Survival of the system is equally influenced by whether or not the targets themselves are appropriate. differentiated. Systems "code" useful information and incorporate it. Systems are bombarded by all kinds of information: some are useful." Here is another example of negative and positive feedback. and the production plan calls for 100 buggy whips per month. if a rocket ship traveling to the moon strays off its trajectory.
failures. . Elements of the organization per se are labeled strategy. which imposes constraints and opportunities about what the organization can and can not do. 6. and technology. which components are "not functioning correctly. what the organization is trying to accomplish and how it plans to do it. formal organization. knowledge. and individual level. fit) must be present among the system’s components’ for the organization to produce satisfactory outputs. For example. knowledge. In a company that is performing poorly.1) The environment. and critical decisions that still influence behaviour today. and systems for performing the work. processes. and how things really work (versus how they are supposed to work as defined by the formal organization). which includes skills. important events. which includes formal structures. performance will suffer. work. people. If the strategy calls for entrepreneurial quickness and risk-taking and the formal organization is bureaucratic and highly centralized. if people don’t have the skills and knowledge required to do the work.7: The Congruence Model Showing the Organization as a System The congruence model’s value is as an analytical tool for: 1) Assessing the characteristics and functioning of each of the elements. the tasks people perform to create products and service markets people. perceptions. You can use this model to analyze organizations with which you are familiar. which includes the organization’s culture informal rules and understandings. unit/group level. performance will suffer. and 2) Evaluating the "goodness of fit" or how well the elements "go together. Fig." and which elements . 2) Resources available to the organization. If the organization’s culture (informal organization) praises individual accomplishments and the work requires teamwork and collaboration. performance will suffer." The premise is that alignment (harmony. and 3) History which consists of memories of past successes. and the workforce’s expectations. such as capital. and informal organization. Outputs are performance at the total organization level.
two active segments of OD today. and that changes in one system affect the other system. A number of design principles have been developed to implement socio-technical systems theory. a social system and a technical system. and . To achieve high productivity and employee satisfaction. Systems models are essential for the practice of OD. Fred Emery.KI Jayaram. controlling variance at the source. STS is the principal conceptual foundation for efforts in work redesign and organization restructuring. Hanna writes: In the late 1960s a small team of consultants led by James Clark. Another important application of systems theory in organization development is open systems planning.3 Socio-technical Systems Theory and Open Systems Planning Two major variations of open systems theory.3. to the workers doing the job. especially autonomous work groups (self-regulated teams or self-direct teams). that is. The thesis of STS is that all organizations are comprised of two interdependent systems. G. Their technology became known as Open systems Planning (OSP).are poorly aligned? In companies showing outstanding performance.socio-technical systems theory (STS) and open systems planning (OSP)-play an important role in organization development. Socio-technical systems theory was developed by Eric Trist. High-performance organizations almost always use principles from socio-technical systems theory. organizations must optimize both systems. It was the first attempt to help organizations methodically analyze the environmental demands and expectations placed on them and plan to successfully meet these demands and expectations. Principles such as optimizing the social and technical systems. Charles Krone. giving information and feedback to the people doing the work. and others at the Tavistock Institute in the 1950s. 2) Developing scenarios of possible futures. Open systems planning entails: 1) Scanning the environment to determine the expectations of external organizations and stake-holders. forming autonomous work groups. and identifying core tasks help STS consultants structure organizations and tasks for maximum effectiveness and efficiency. both realistic (likely to happen if the organization continues on its current course) and ideal (what the organization would like to see happen). training group members in multiple skills. what is it about each element that causes that part of the system to function well and what are the characteristics of each element that cause all of them to fit together smoothly? The congruence model is an excellent diagnostic tool. and information to the point of action. and Will McWhinney developed a technology for addressing the interface between organization and the environment. 6. multi-skilled teams.
Senge believes that five disciplines must be mastered to create a learning organization: personal mastery. because most phenomena have more than one cause. Of all these disciplines.4 Participation of Empowerment One of the most important foundations of organization development is a participation/ empowerment model. systems thinking. Increased participation and empowerment .4 Open Systems Thinking Open systems thinking is required for creating learning organizations. Fourth. forces. And fifth. mental models. to change a system. and systems thinking. not just its component parts. First. therefore. events. Participation in OD programs is not restricted to elites or the top people.” In conclusion. according to Peter Senge. issues. He says of systems thinking: “It is the discipline that integrates the disciplines. but seen in relation to other issues. Second.3. systems theory pervades the theory and practice of organization development. according to field theory (Kurt Lewin). from their activities. events and forces. It keeps them from being separate gimmicks or the latest organization change fads. Third. one changes the system. this combination is often used in designing high-performance organizations. from diagnosis to intervention to evaluation. building shared vision. 6. Most OD practitioners engaged in redesign projects use a combination of socio-technical systems theory and open systems planning. is the most important. Viewing organizations from this perspective has several consequences. Without a systemic orientation. changing one part of a system influences other parts. For example.3) Developing action plans to ensure that a desirable future occurs. This idea moves the practitioner away from analyzing historical events and toward examining contemporary events and forces. fusing them into a coherent body of theory and practice. OD practitioners expect multiple effects. not single effects. By enhancing each of the other disciplines. a systems approach encourages analysis of events in terms of multiple causation rather than single causation. the forces in the field at the time of the event are the relevant forces for analysis. Learning organizations can cope effectively with rapidly changing environmental demands. it is extended broadly throughout the organization. the fifth discipline. it continually reminds us that the whole can exceed the sum of its parts. team learning. 6. there is no motivation to look at how the disciplines interrelate. and incidents are not viewed as isolated phenomena.
with its emphasis on risk-taking. but rather a mind-set that employees have about their roles in the organization." is bottom-up and less controlling. and generally make people feel better about themselves and their worlds. employees must choose to be empowered. Participation is an especially effective form of empowerment. Research on group dynamics began in the 1940s and achieved exponential growth in the 1950s and 1960s. They believed that it was about risk-taking. They must see themselves as having freedom and discretion. autonomous work groups." and "Have decisions made by those who are closest to the problem. produce better solutions to problems. quality circles." direct leaders to push decision-making lower in the organization. Rules of thumb such as "Involve all those who are part of the problem or part of the solution. This research demonstrated that most people desire increased involvement and participation. they must if personally connected to . Robert Quinn and Gretchen Spreitzer found two vastly different views of empowerment. and growth. and empowerment in turn enhances performance and individual well-being. to exert influence. and the culture audit are all predicated on the belief that increased participation will lead to better solutions. Further." is a top-down delegation of decision-making with clear boundaries and strict accountability that increases managerial control. which they call "mechanistic. quality of work life programs. While management can create a context that is more empowering. called "organic. Quinn and Spreitzer conclude: “Empowerment. then. the organic approach unleashes talent and energy in people that are best channeled by providing clear guidelines and boundaries. Empowerment meant trusting people and tolerating their imperfections. But both views contain valid ideas: for example. treat those closest to the problem as the relevant experts. They describe the organic view: "The other group of executives saw empowerment much differently. growth. To empower is to give someone power. to contribute their ideas. The other view. is not something that management does to employees. These pillars of OD practice are validated by both research and practice. Participation is a powerful elixir-it is good for people and performance. For example." These authors believe the organic view. OD interventions are basically methods for increasing participation. OD interventions are deliberately designed to increase involvement and participation by organization leaders and members. personal initiative. and change. and give more power to more people. and greatly enhance acceptance of decisions. team building. The most important contrast between the two views involves the implicit but potentially volatile assumptions people make about trust and contro1. The entire field of OD is about empowerment. Participation enhances empowerment. search conferences. increase commitment to the organization. involvement and participation energize greater performance. reduce stress levels. which is done by giving individuals the authority to make decisions. Researchers found that group dynamics work to overcome resistance to change. is the more useful perspective. and to be responsible. survey feedback. One view.have always been central goals and fundamental values of the field.
Third. people must work together to accomplish them. and respectteams nurture human nature.the organization. A second fundamental belief is that teams must manage their culture. A number of OD interventions are specifically designed to improve team performance. and capable of having an impact on the system in which they are embedded. inter-group team-building. QCs (quality circles). In this section. quality circles. Team Taurus developed Ford’s best-selling automobile. . process consultation. research. systems.5 Team and Teamwork A fundamental belief in organization development is that work teams are the building blocks of organizations. Teams and teamwork are part of the foundation of organization development. and team-related acronyms abound-SDTs (self-directed teams).” 6. much individual behaviour is rooted in the socio-cultural norms and values of the work team. and explore ways to realize that potential. that is. teaming. Teams are important for a number of reasons: First. the sum of the efforts of team members is far greater than the sum of the individual efforts of people working alone. changes those norms and values. many tasks are so complex they cannot be performed by individuals. STS (socio-technical systems). If the team. Examples are team-building. Team Saturn produced the Saturn automobile. to name just a few. recognition. and practice attest to the central role teams play in organizational success. teams create synergy. the noun team has become a verb. "The evidence is abundantly clear: Effective teams produce results far beyond the performance of unrelated individuals. Teams and teamwork are "in. status. Synergy is a principal reason teams are so important. as a team. The previous discussion focused on empowerment and concluded that the act of empowering individuals greatly increased their performance and satisfaction. Theory. Fourth. we examine the potential of teams and teamwork. Teams and teamwork are among the "hottest" things happening in organizations today – gurus extol the virtues of teams. the effects on individual behaviour are immediate and lasting. teams at 3M generate the hundreds of innovations that keep 3M ahead of its competition. HPWSs (high-performance work systems). crossfunctional "design-build" teams developed the Boeing 777. processes. Teams at Motorola produced its bestselling cellular phones. teams satisfy people’s needs for social interaction. confident about their abilities. The message of this section is that putting those empowered individuals into teams creates extraordinary effects on performance and satisfaction. HPOs (high-performance organizations). and relationships if they are to be effective. Second.
When any one feature is lost. role negotiation technique. autonomous. and that teamwork becomes more satisfying for team members. These interventions apply to formal work teams as well as startup teams. High-performance teams regulate the behaviour of team members. to determine the characteristics that make them successful. socio-technical systems programs. find innovative ways around barriers. Organizations using autonomous work groups or self-directed teams devote considerable time and effort to ensure that team members possess the skills to be effective groups.parallel learning structures. Investigators are discovering why some teams are successful while others are not. and others. and the like. The net effect is that teams perform at increasingly higher levels. He uses examples from EDS (Electronic Data Systems). heart transplant surgical teams. Asea Brown Boveri. elevating goal 2) A results-driven structure 3) Competent team members 4) Unified commitment 5) A collaborative climate 6) Standards of excellence 7) External support and recognition Principled leadership. help each other. that they achieve synergy. and set ever-higher goals. Teams periodically hold team-building meetings. and responsibility charting. Team-building activities are now a way of life for many organizations. and individuals are trained as group leaders and group facilitators. team performance declines. empowered teams are what the best organizations are using right now to outdistance the competition. . the crew of the USS Kitty Hawk. Tom Peters asserts in Liberation Management that cross-functional. people are trained in group dynamics and group problem-solving skills. Grid OD and techniques such as role analysis technique. Larson and LaFasto found eight characteristics always present: 1) A clear. including collegiate football national champions. Larson and LaFasto also discovered that the most frequent cause of team failure was letting personal or political agendas take precedence over the clear and elevating team goal. Union Pacific Railroad. Larson and LaFasto studied a number of high-performance teams. temporary teams. All these characteristics are required for superior team performance. cross-functional teams.
Most socio-technical systems redesign efforts and open systems planning programs use parallel structures.7 A Normative – Re-educative Strategy of Changing .” The purpose of the collateral organization is to deal with "ill-structured" problems the formal organization is unable to resolve. projects will be performed by teams. specially created organizational structures for planning and guiding change programs. The charge to members of the parallel learning structure is to think and behave in ways that are different from the normal roles and rules of the organization.Titeflex. In essence. engage in genuine inquiry and experimentation. superior customer service. and report to one of your subordinates on another team. At Ford Motor Company. High-performance organizations often use parallel structures to co-ordinate self-directed teams. especially when the change involves a fundamental shift in the organization’s methods of work and/or culture. 6. Parallel learning structures are a foundation of OD because they are prevalent in so many different OD programs. It isn’t the supplemental structure that’s important.6 Parallel Learning Structures Parallel learning structures. High responsibility. deciding. and acting differently than normally takes place at work. you don’t have a parallel structure. What’s important is that people act in a way that promotes learning and adaptation. and countless other organizations to demonstrate the ability of small project teams to produce high quality. Considerable experimentation with collateral organizations occurred in the 1970s and 1980s. The quality of work life programs of the 1970s and 1980s used parallel structures composed of union leaders. Dale had introduced this concept in 1974 under the label collateral organization and defined it as “a supplemental organization coexisting with the usual formal organization. a steering committee and working groups were used to co-ordinate the employee involvement teams. and continuous learning. normal hierarchical considerations become obsolete for these project teams-you could be the boss of one team. flexible response. and initiate needed changes. Bushe and Shani say: “The key thing about parallel structures is that they create a bounded space and time for thinking. and then leading the process. 6. The most important and difficult task for the people creating the parallel learning structure is to create a different culture within it. parallel structures are a vehicle for learning how to change the system. If you don’t implement different norms and procedures. talking. and employees. constitute another important foundation of organization development. Interestingly. managers. Projects are the work of the future.” Parallel structures help people break free of the normal constraints imposed by the organization. Parallel learning structures are often the best way to initiate change in large bureaucratic organizations. and high accountability drive these project teams to outperform traditional organization structures on every measurable dimension. clear objectives.
The norms to be changed and the form of re-education are decided by the client system members. OD clearly falls within the normativere-educative category. values. And changes in normative orientations involve changes in attitudes. attitudes. Patterns of action and practice are supported – by socio-cultural norms and by commitments on the part of the individuals to these norms. will follow their rational self-interest. strategy has the following implications for the practice of OD. The first type is empirical rational strategies. and it rests on a particular strategy for change that has implications for practitioners and organization members alike. based on the assumption that change is compliance of those who have less power with the desires of those who have are power. The point here is that different strategies are available for effecting change. The second group of strategies is normative-re-educative strategies. based on the assumptions that people are rational. or intellectual rationales for action and practice. relationships and customary ways of doing things. they impel a collaborative effort rather than a "doing something to" effort.Organization development involves change. that is. Evaluated against these three change strategies. and OD is based primarily on a normative-re-educative strategy and secondarily on a rational-empirical strategy. Sociocultural norms are supported by the attitude and value systems of individuals-normative outlooks which undergird their commitments. anxieties. although often OD represents a combination of the normative-reeductive and the empirical-rational strategies. and will change if and when they come to realize change is advantageous to them. The client system members define what changes and improvements they want to make. and together they define problems and seek solutions. information. rather than the OD practitioner. . and’ negative feelings are surfaced for "working through. The rationality and intelligence of men are not denied. skills. the practitioner intervenes in a collaborative way with the clients. Chin and Benne indicate the nature of the normative-reductive strategy as follows: A second group of strategies we call normative-re-educative. Anything hindering effective problem solving is brought to light and publicly examined. These strategies build upon assumptions about human motivation different from those underlying the first. and change comes through re-education in which old norms are discarded and supplanted by new ones. based on the assumptions that norms form the basis for behaviour. according to this view. not just changes in knowledge. The third set of strategies is the power-coercive strategies. doubts. Chin and Benne suggest that a normative-re-educative. will occur only as the persons involved are brought to change their normative orientations to old patterns and develop commitments to new ones. and significant relationships." Solutions to problems are not a priori assigned to greater technical information but may reside in values. Chin and Benne describe three types of strategies for changing. Change in a pattern of practice or action. and they give more options to both the clients and the practitioner. These implications give clients considerable control over the situation.
Burke writes: “If one attempts to change an attitude or the behaviour of an individual without attempting to change the same attitude or behaviour in the group to which the individual belongs. The principles of diagnosis and of treatment constitute the principles of practice. The aim of this discussion is to look briefly at how behavioural science knowledge becomes applied behavioural science knowledge. Thus. i.8 Applied Behavioural Science This foundation of OD relates to the primary knowledge base of the field.Because norms are socially accepted beliefs held by groups about appropriate and inappropriate behaviours. The practitioner examines the problem situation. or practice. not the individual. Each type description of the diagnostic typology contains implications for a certain type of treatment. on the basis of which he or she prescribes a solution that. OD emphasizes the latter. with their elaborations and implications constitute practice theory. practices. On this point. OD is the application of behavioural science knowledge. hopefully. The diagnostic typology allows the practitioner to know what category of situation he or she has examined. The practitioner uses treatment as the empirical test of his diagnosis. Greenwood states: “The diagnostic and treatment typologies are employed together. A conventional distinction is made between (1) "pure" or basic science. norms can best be changed by focusing on the group. success corroborating the diagnosis." applied science. for example.” . then the individual will be a deviate and either will come under pressure from the group to get back into line or will be rejected entirely. the object of which is knowledge for its own sake. This process is customarily referred to as diagnosis and treatment.” Norms help determine individual behaviour and a normative-re-educative strategy of changing pervades the practice of OD.. and skills in ongoing systems in collaboration with system members. re-establishes the equilibrium. the object of which is knowledge to solve practical. thereby solving the problem.e. failure negating it and thus requiring re-diagnosis. behavioural science knowledge. placing it in a classification scheme or typology. Although human behaviour in organizations is far from an exact science. on the basis of selected variables. the treatment typology allows the practitioner to know what remedial efforts to apply to correct the problem. Greenwood discusses the activities of the practitioner as follows: "The problem that confronts a practitioner is customarily a state of disequilibrium that requires rectification. OD practitioners know about these patterns through research and theory. and (2) "technology. pressing problems. by modifying a group norm or standards. the major leverage point for change is at the group level. applied science or practice." Both diagnosis and treatment consist of observing a situation and. lawful patterns of events produce effectiveness and ineffectiveness. 6.
and action planning based on the data. and doing or implementing change efforts. Kurt Lewin. Fig. Action research is a method that combines learning and doing – learning about the dynamics of organizational change. The two bottom inputs. and research leading to social action… This by no means implies that the research needed is in any respect less scientific or "lower" than what would be required for pure science in the field of social events. and finally evaluating the effects of the treatments. problem-solving method that replicates the steps involved in the scientific method of inquiry underlies most OD activities. then selecting and implementing treatments based on the diagnosis. a comparative search on the conditions and effects of various forms of social action. the two top in puts.8: Composition of Applied Behavioural Science Organization development is both a result of applied behavioural science and a." the OD practitioner works: first diagnosing the situation. Action research is especially well-suited for planned change programs. I am inclined to hold the opposite to be true. 6. who developed the concept of action research. It is a type of action-research. practice research and practice theory. perhaps more accurately. represent contributions from applied science. Action research involves three processes: data collection. 6. feedback of the data to the client system members. it is a program of applying behavioural science to organizations. form of applied behavioural science.9 Action Research The action research model – a data-based. represent contributions from pure or basic science.From this "practice theory. had this to say about it: “The research needed for social practice can best be characterized as research for social management or social engineering. behavioural science research and two behavioural science theory.” Concluding Comments: .
6. Taken collectively. Ralph Kilmann specified the critical leverage points for organizational change. The Burke-Litwin model emphasized on first-order and second-order change. Kurt Lewin introduced two ideas about change the first idea states that what is occurring at any point in time is a resultant in a field of opposing forces and the second is the model of the change process. Self Assessment Questions 1. A _____________ is defined as “a set of elements standing in interaction. –––––––––– means moving to new level of behaviour. _____________ means sum of the efforts of team members is far greater than the sum of individual efforts of members.These foundations of organization development form the theoretical and practice underpinnings of the field. What are first-order and second order change according to Burke-Litwin Model of organizational change? Explain. First—order change is also called ___________. Action research model combines learning and doing. 6. each is a powerful conceptual tool for thinking out and implementing change. Explain Kurt Lewin’s models and theories of planned organizational change. 2. 2. –––––––––– gave the model “Beyond the Quick Fix”. 3.10 Summary The foundations of organizational development form the theoretical and practice underpinnings of the field. In parallel learning structures members have to think and behave in ways that are different from the normal roles and rules of the organization. which in turn lead to individual and organizational improvements is the principle of Porras and Robertson model organizational change. they constitute the beginning of a theory of organization development and change that has enormous potential for improving organizational performance and individual development. 3. .” 5.11 Terminal Questions 1. 4. A fundamental belief in OD is that work teams are the building blocks of organizations. Bring out the essence of “managing beyond the quick fix” model of organizational development. Systems theory views organizations as open systems in active exchange with their environment. OD interventions alter features of the work setting causing changes in individuals’ behaviours. Taken separately.
Synergy Answers to TQs: 1. MU0002-Unit-07-Organization Climate Unit-07-Organization Culture and Climate Structure: 7. 6.3 5.5 Copyright © 2009 SMU Powered by Sikkim Manipal University . Refer section 6.3 4.2.” Comment on this statement.4. Refer section 6. System 5. “Work teams are building blocks of organizational development. Transactional change 4. Refer section 6.2. What are the features of systems theory of organizational development? 5.2 Characteristics of Organization Culture Culture and .1 2. Unfreezing 2.1 Introduction Objectives 7.2. Ralph Kilmann 3.Refer section 6.2 3. Refer section 6.12 Answers to SAQs and TQs SAQs: 1.
but also changing the corporate culture as well. Culture is one of those terms that’s difficult to express distinctly. Practitioners are coming to realize that. For example. organizational change must include not only changing structures and processes. the culture of a large. what members wear. for-profit corporation is quite different than that of a hospital which is quite different than that of a university.8 Answers to SAQs and TQs 7.7. · Describe different types of Organization Culture · Explain organization culture and effectiveness. Objectives: After studying this unit. Members of an organization soon come to sense the particular culture of an organization. values.4 Organization Culture and Effectiveness 7. norms and tangible signs (artifacts) of organization members and their behaviors. and validated enough to be taught to new members as the correct ways of perceiving.7 Terminal Questions 7. and feeling in relation to these problems (Schein. Martin and Meyerson. etc. you will be able to: · Understand Organization Culture.1 Introduction Basically. 7.6 Summary 7.5 Developing and changing Organization Culture Self Assessment Questions 7. . what they brag about. despite the best-laid plans. Culture is comprised of the assumptions.3 Types of Organization Culture. – similar to what you can use to get a feeling about someone’s personality. 1986). organizational culture is the personality of the organization. but everyone knows it when they sense it. Comprehensively organization culture is the pattern of basic assumptions that is invented. discovered. The concept of culture is particularly important when attempting to manage organization-wide change. You can tell the culture of an organization by looking at the arrangement of furniture. or developed by an organization as it learns to cope with its problems of external adaptation and internal integration. thinking.
7. 4. processes and procedures. they use common language. do not do too little?” 3. Norms. Some of the most readily agreed upon are the following: 1. Hierarchical leaders are typically coordinators and organizers who keep a close eye on what is happening. 6. 2. When organizational participants interact with one another. terminology. For many years. and the way members of the organization conduct themselves with customers or other outsiders. Note that the Market organization is not one which is focused just on marketing. 5. They often have well-defined policies. internal and external are viewed in market . Which in many organizations come down to “Do not do too much. Typical examples are high product quality. Standards of behavior exist. but one where all transactions. Dominate value: These are major values that the organization advocates and expects the participants to share. including guidelines on how much work to do. the way participants interact.· Discuss about developing and changing organization culture. Low absenteeism and high efficiency. New-comers must learn those “ropes” in order to be accepted as full-fledged members of the group. Hierarchies have respect for position and power. Philosophy: These are policies that set forth the organization’s beliefs about how employees and/or customers are to be treated. Rules: There are strict guidelines related to getting along in the organization. this was considered the only effective way of organizing and is still a basic element of the vast majority of organizations. Observed behavioral regularities. and in particular taking note of transaction cost. Market The Market organization also seeks control but does so by looking outward.3 Types of Organization Culture Hierarchy The hierarchy has a traditional approach to structure and control that flows from a strict chain of command as in Max Weber’s original view of bureaucracy. and rituals related to deference and demeanor. 7.2 Characteristics of Organization Culture Organizational culture has a number of important characteristics. Organizational climate: This is an overall “feeling” that is conveyed by the physical layout.
Clan The Clan organization has less focus on structure and control and a greater concern for flexibility. big-bang projects and development. Where market success goes to those with greatest speed and adaptability. or developed by an organization as it learns to cope with its problems of external adaptation and internal integration. In biological terms. affecting the performance of every-one within the culture in positive or negative ways. strongly driven by loyalty to one another and the shared cause. 1995) and how problems are solved in an organization. innovative entrepreneurs who take calculated risks to make significant gains. Leaders in an adhocracy are visionary. outputs and outcomes. the adhocracy will rapidly form teams to face new challenges. Market cultures are outward looking. but critical to shaping its behavior. supportive way and may take on a parental role. In an efficient market organization. Adhocracy The Adhocracy has even greater independence and flexibility than the Clan. culture is like the DNA of an organization. although not necessarily documented. Comprehensively organization culture is the pattern of basic assumptions that is invented. It has an inward focus and a sense of family and people work well together. It may be defined as the ethos of a company (as US firms do) or the shared value and team sprit (as European firms prefer to define it). which is necessary in a rapidly changing business climate. 1993). Leaders in market cultures are often hard-driving competitors who seek always to deliver the goods. are particularly driven by results and are often very competitive. Rather than strict rules and procedures. value flows between people and stakeholders with minimal cost and delay.terms. One culture could be distinguished from another in terms of how some commonly shared human problems are addressed and the specific solutions that one sought (Trompenaars. and validated enough to be taught to new members as the correct ways of . Transactions are exchanges of value. shared goals.4 Organization Culture and Effectiveness It is reflected in how things are done (Flanagan. people are driven through vision. In contrast to Hierarchies. Clan leaders act in a facilitative. invisible to the naked eye. do still exist and are often communicated and inculcated socially. discovered. clans often have flat organizations and people and teams act more autonomousl. 7. It will use prototyping and experimenting rather than long. Rules.
norms. rules. The set of basic assumptions evolve into values artifacts and norms in terms of which an organization culture may be examined and understood. productivity. 1986).the informal rules of the fame telling employees what they are supposed to be saying. plaques. Though a large volume of literature is available on the concept and working of organizational effectiveness. and no unanimity is found in different approaches. communicating. and procedures. there is often contradiction in various approaches. its core value are limited to a few in number. IBM norms dictate that employees should actively listen and respond to customer demands and complaints. Identifying. . Values: These are the social principles. · Its rituals. Artifacts: The visible manifestations of culture as seen in the physical and social environment of the organization such as: · Its structure. Though an organization espouses a series of values. the personality of the organization). and feeling in relation to these problems (Schein. also called as organizational success or growth. or standards held by members of an organization. symbols. Martin and Meyerson. and shaping organization values is difficult as values relate more to employee emotions and feeling (affective dimension) than to their rational thinking (cognitive dimension) Norms: These are a significant element of the organization’s social environment and evolve of behavior. Thus. Values evolve out of the basic assumption and form the core (or heart) of the culture. from the basis of its policies and action. the way they dress etc. is defined and conceptualized in different ways. They are reflected in the core capabilities of a company. These are the essential and enduring tenets of an organization. Organization Effectiveness Organizational effectiveness. · Public documents it releases and media reports and stories about it.perceiving. various terms such as efficiency. systems and subsystems. reflecting what is important in the organization and determining how the organization ought to be (the ethos. and are generally not compromised for short-term benefits or financial gains. individually and collectively. believing. For example. thinking. The various approaches are judgmental and open to question. and doing. goals. and what is right and what is wrong. etc. · The observable behavior of its members (the way they talk. the jargon they use.
which are useful in discussing organizational effectiveness over time. Causal Variables: Causal variables are those factors that influence the course of development within an organization and its results or accomplishment.profitability. These variables have been classified by Likert into three groups-causal. 3. there are numerous variables. Whatever the criteria adopted for organizational effectiveness. the loyalties. Likert states that causal variables are independent variables which determine the course of developments within an organization and the results achieved by the organization. Intervening Variables: Intervening variables are those factors which are reflected as the internal state of organization.5 Developing and Changing Organization Culture How Organizational Cultures Start Although organizational cultures can develop in a number of different ways. scrap loss. and they tend to be long-term goals. and perceptions of all members and their collective capacity for effective interaction. skills. and behaviour. communication. motivations. decisions. Intervening variables are concerned with building and developing the organization. 2. e. attitudes. Though each individual’s effectiveness is significant but perhaps the most important aspect of effectiveness is its relationship to the entire organization.. and earnings. and (ii) the intervening behavioral cluster. This is one part of effectiveness that many managers overlook because it emphasis long-term potential as well as short-term performance. motivational. According to Likert. The intervening variables may be divided into two broad categories: (i) the intervening attitudinal. Grouping variables into these categories aids greatly in the correct interpretation of the data and their use for diagnostic and other purposes. 7. performance goals. Causal variables include the structure of the organization and management’s policies. Causal variables include the structure of the organization and its management. From this point of view.g. These causal variables include only those independent variables which can be altered or changed by the organization and its management. are often used interchangeably. 1. end-result variables are the dependent variables which reflect the achievements in the organization such as its productivity. Many of these variables are caused by causal variables. costs. organizational growth. and perceptual cluster. the process usually involves some version of the following steps: . business and leadership strategies. End – result Variables: End-result variable are those factors which are caused by causal and intervening variable and are often in terms of the factors in which managers are interested or measure their effectiveness. to denote organizational effectiveness. Likert states that the intervening variables reflect the internal state and health of the organization. the organizational analysis is incomplete for a practicing manager unless the factors underlying effectiveness are identifying. and decision-making. intervening and end result.
all in this core group believe that the idea is a good one. These factors from the two cultures include the size. money. roles. At this point. The case of Mergers and Acquisitions The clash between the two cultures in a merger or acquisition can be focused into three major areas: 1. is worth running some risks for. the geographic location. Changing Organizational Culture Sometimes an organization determines that its culture has to be changed. and is worth the investment of time. Predictable obstacles include entrenched skills. However. moving to a new culture or changing old cultures can be quite difficult: a case can even be made that it really can’t be done successfully?. and history of two firms. For example. building. New product development and information technology is changing so rapidly that any example would be soon out-of –date. the current environmental context has undergone drastic change and either the organization must adapt to these new conditions or it may not survive. That is. or even customers may support the existing culture. Even through some firms have had a culture in place to anticipate change. locating space. Staffs. obtaining patents. A single person (founder) has an idea for a new enterprise. and a common history begins to be built. . Structure. then such rapid change can be welcomed and accommodated with as little disruption and as few problems as possible. In addition. 2. relationships. others are brought into the organization. powerful stakeholders such as unions. and energy that will be required. and whether products and/or services are involved. Where does the power and managerial decision making really reside? Corporate cultures range from autocratic extremes to total employee empowerment. 3. The founder brings in one or more other key people and creates a core group that shares a common vision with the founder. age. management. incorporating. and structures that work together to reinforce traditional cultural patterns. and how this plays out among the partners will be important to cultural compatibility. and so on. 4.1. 2. is workable. Politics. The founding core group beings to act in concert to create an organization by raising funds. the industry in which the partners come from and now reside. if the appropriate organization culture is in place.
Emotions. organizational cultures can be managed and changed over time. Make changes from the top down. 8. habits. ___________are those factors that influence the course of development within an organization and its results or accomplishment. These emotions will be a major input into the clash or compatibility of the two cultures.3. Take out all trappings that remind the personnel of the previous culture. Set realistic goals that impact on the bottom line. ________cultures are outward looking. so that they are able to interact well with the organizational personnel. 6. Self Assessment Questions 1. take these losses early. Simple guidelines such as the following can be helpful. 7. the “culture contract” that individuals have bought into to guide their day-to-day thoughts. 3. The personal feelings. are particularly driven by results and are often very competitive. especially when making changes in rules and processes. Include employees in the culture change process. 9. Stay the course by being persistent. attitudes. 7. 2. so that a consistent message is delivered from all management team members. This attempt to change culture can take many different forms. and patterns of daily behavior. if possible.6 Summary . 2. 5. commitment. 4. _____are the visible manifestations of culture as seen in the physical and social environment of the organization. Recruit outside personnel with industry experience. 1. Expect to have some problems and find people who would rather move than change with the culture and. Move quickly and decisively to build momentum and to defuse resistance to the new culture. 3. Assess the current culture. Guidelines for change Despite the significant barriers and resistance to change.
8 Answers to SAQs and TQs SAQs: 1. Explain the characteristics of organization culture.goal approach. system-resource approach. Organizations to be successful must be efficient and effective. 7.3 3. Organizational effectiveness can be measured through various approaches. Refer section 7. Discuss the development and change of organizational development. Factors in organizational effectiveness include casual variables. Finally.Organizational effectiveness is the degree to which organization is successful in accomplishing its goals. Causal variables Answers to TQs: 1. Refer section 7. behavioural approach. . Refer section 7. 3. intervening variables and end-result variables and there exists interrelationship among these variables. and strategic constituencies approach. effectiveness through adaptive-coping cycle has been discussed.5 Copyright © 2009 SMU Powered by Sikkim Manipal University . 7. 2. Market 3. Artifacts 2. Briefly explain different types of organizational culture.2 2. Effectiveness of an organization can be increased through economic man approach and administrative man approach.7 Terminal Questions 1.
7 Operating in a Political Environment 8.MU0002-Unit-08Power. power must be exercised.5 Organizational Politics Defined and Explored 8. In this unit. Politics and Organization Development Structure: 8.3 Two Faces of Power 8.6 The Role of Power and Politics in the Practice of OD 8.1 Introduction Objectives 8.8 Acquiring and using Power Skills Self Assessment Questions 8. must be understood if one is to be effective in organizations.4 Theories about the Sources of Social Power 8.11 Answers to SAQs and TQs 8. indisputable facts of organizational life. and for change to occur in an organization.2 Power Defined and Explored 8. As Warner Burke observes: "Organization development signifies change.” Organization development has been criticized for not taking into account power in organizations. Organization Development Unit-08.10 Terminal Questions 8. The OD practitioner needs both knowledge and skill in the arenas of organizational power and politics. That criticism was essentially correct for many years although it is less valid .Power.9 Summary 8. we examine power and politics in relation to organization development.1 Introduction Politics and Power and politics.
Without influence (power) people would have no cooperation and no society. political. We therefore define interpersonal power as the ability to get one’s way in a social situation. Potential power is the capacity to do so. and repression. spiritual. and outcomes favoring one party over the other. Power-in-action may . The phenomenon of power is ubiquitous. confiscation. · Explain the role of power and politics in the practice of OD. to effect outcomes. · Explain theories about the sources of power. 8. One person exerts power over another to the degree that he is able to exact compliance as desired. but kinetic power is the act of doing so. emotions." Analyzing these definitions shows some common elements: effectance-getting one’s way. financial. the necessity of social interaction between two or more parties. and behaviours of people. Recent years have seen a sizable outpouring of theory and research on power and politics from which OD practitioners have derived implications and applications for the field but we are still in the early stages of knowing how power and organization development should be related. technological. you will be able to: · Define power and politics in organizations. and organizational activities. One goal of this unit is to advance our understanding of the role of power in OD and the role of OD in a power setting.2 Power Defined and Explored "Power is the intentional influence over the beliefs. humankind would not have the standard of living it does today. The French word ‘pouvoir’ stands for both the noun ‘power’ and the verb ‘to be able.actions and the decisions that precede them." “Power is the ability of those who possess power to bring about the outcomes they desire.” “A has power over B to the extent that he can get B to do something that B would otherwise not do. · Acquire skills to handle power and politics in organizations.today." "Power is defined in this unit simply as the capacity to effect (or affect) organizational outcomes. humankind would not have much of the misery it does today. Without leadership (power) directed toward warfare.’ To have power is to be able to get desired things done. Objectives: After this studying this unit. Without leadership (power) in medical. the act or ability of influencing others.
and lead. Leading. . It is especially salient in coordinated activities such as those found in organizations. or positive. we will examine four different views about who gets power and how: · Emerson’s "Power-Dependence theory. This positive face of power enables others to reach their goals as well as lets the person exercising power reach his or her goals. not the possession of power as such. We think this distinction provides a good insight into the concept of power. How do some people come to possess power? How is power generated. the negative face of power is characterized by a primitive. for organizations to function. being exercised. however. or acquired? In this unit. with collective. unsocialized need to dominate others. In most organizations the positive face of power is much more prevalent than the negative face of power. it is through the use of power that things get done in the world. In fact. suggests that many problems with power stem from the goals of persons with power and the means they use." · Salancik and Pfeffer’s "Strategic-Contingency Model of Power. bestowed. According to him." A moment’s reflection. The negative face of power seeks to dominate and control others. absolute power corrupts absolutely. coercing-these are examples of negative uses of power. hurting." · French and Raven’s "Bases of Social Power.3 Two Faces of Power David McClelland proposed an important distinction when he identified "two faces of power" – positive and negative. power being the predominant mode. Roberts came to a similar conclusion in her study of "collective power" and "competitive power. The positive face of power is characterized by a socialized need to initiate. Patchen studied organizational decision making and found that coercive tactics were "noticeable chiefly by their absence" while problem solving and consensus seeking were much more prevalent. selling." Her research in four organizations showed both kinds of power. both positive and negative.take many forms. an authority or power dimension is required.4 Theories about the Sources of Social Power Power exists in virtually all social situations. influence. 8. Crushing. persuading-these are examples of positive uses of power." · Mintzberg’s Observations on the Genesis of Power in Organizations. the positive face of power seeks to empower self and others. Power per se is probably neither good nor bad although Lord Acton observed that "power tends to corrupt. forcing. 8. McClelland observed that while power has a negative connotation for most people. influencing.
Coercive power – power based on the ability of the powerholder to punish another. Closely related to these ideas is the classic statement by John R. we will terminate or alter the relationship. attraction. The sociologist. giving someone power over us is the commodity we exchange when we are dependent on that person for something we want. . or feeling of oneness with) the power holder. and (2) inversely proportional to the availability of those goals to A outside of the A-B relation. and so forth. Informational power is a form of expert power where the powerholder possesses important facts or information needed by the other. French and Bertram Raven on "the bases of social power. if a person has something we want badly and we cannot get it any other place. influence. 3. We enter into and continue in exchange relationships when what we receive from others is equivalent to or in excess of what we must give to others. Expert power – power based on the powerholder possessing expert knowledge or expertise needed by the other.Power-dependence theory states that power is inherent in any social relationship in which one person is dependent on another. 4. to give something valued by the other. Legitimate power – power based on everyone’s belief that the powerholder has a legitimate right to exert influence and that the power-receiver has a legitimate obligation to accept the influence. when the net balance for us is negative. to give something negatively valued by the other. power belongs to those persons who control or mediate desired commodities. of social power as follows: 1. we will continue the exchange relationship. that person has power over us. Viewed in this light. When the net balance for us is positive. P. 2. In this theory. Reward power – power based on the ability of the powerholder to reward another. The components of this theory are a social relation between two parties and resources (commodities. power." In other words. Referent power – power based on the power-receiver having an identification with (attraction to. Power-dependence theory is related to a broader framework of social interaction called social exchange theory. that is. or bases. rejection. which posits that what goes on between persons is an exchange of social commodities: love. Exchange theory and power-dependence theory are quite compatible with the ideas proposed by French and Raven. Social interaction represents an exchange of social goods and services. praise. and desired by the other. information. goals. 5. that is. hate." These authors suggested five sources. Richard Emerson states that "the dependence of Actor A upon Actor B is (1) directly proportional to A’s motivational investment in the goals mediated by B. blame. rewards) that are controlled by one party. respect.
and that the organization is the context for the exercise of power. the managers. "is built on the premise that organizational behavior is a power game in which various players. being in control of critical skills. suppliers. the unions. called influencers. the employees." These authors view organizational power as a good thing. these four views of the sources of power are remarkably similar – power stems from possession of or mediation of desired resources. knowledge. third. control of a body of knowledge. indeed. In addition to a base of power. The important aspects of Mintzberg’s theory are that the sources of power derive from possession of a commodity desired by others. used by all who have it. A fifth basis of power is access to those who have power based on the first four bases. Henry Mintzberg has developed a theory of organizational power drawn from the organization theory literature and his own creative synthesis abilities. Salancik and Pfeffer further suggest how power is used: "Power is used by subunits. second. supports the notion that those who have something highly valued by. coupled with 2) The expenditure of energy in a 3) Politically skillful way. . and. This theory. seek to control the organization’s decisions and actions. This theory. units. like the ones discussed previously. customers. the top executives. and so forth. the ability to solve critical problems or exigencies-anything that creates dependence of one actor or set of actors on another." The three basic conditions for the exercise of power are 1) Some source or basis of power. the influencer must have both the "will" and the "skill" to use it. such as the board of directors.The strategic-contingency model of power asserts that power in organizations accrues to the subunits (individuals. In summary. These critical problems are generally "uncertainties" posed by the environment. An organization has many potential influencers. or information. According to Mintzberg.others-in this case. the special expertise needed for the organization’s survival-have power. or departments) most important for solving the organization’s most critical problems. The resources may be ability to reward and punish. regulators. first. to enhance their own survival through control of scarce critical resources. that power-in-action requires will and skill. for power in the hands of the critical problem solvers helps the organization cope with the various realities it faces. control of a resource. and through the definition of organizational problems and policies. The fourth basis is legal prerogatives-being given exclusive rights to impose choices. through the placement of allies in key positions. the five possible bases of power are. All of these must be critical to the organization. control of a technical skill.
a relative absence of the tactics of fighting. treating it as informal power. the capacity to get things done by virtue of the position held. engaging in open problem solving followed by action and influencing. but in this sense. the last two definitions view politics as illegitimate or unsanctioned activities. One important feature in these definitions should be examined further. develop and use power and other resources to obtain one’s preferred outcomes in a situation in which there is uncertainty about choices”. the power vested in office. and conflict resolution processes.6 The Role of Power and Politics in the Practice OD . and influence others. 8. Both relate to getting one’s way-effectance. The first three definitions treat politics as a neutral set of activities. we view politics as a subset of power. These key areas are the battlefields where actors win and lose. and predominant use of the tactics of fighting-secrecy.8. illegitimate in nature. “Organizational politics is the management of influence to obtain ends not sanctioned by the organization or to obtain ends through non-sanctioned influence means”. Analyzing these definitions suggests that the concepts of power and politics are similar. Both relate to pursuit of self-interest and overcoming the resistance of others. initiate. “Organizational politics involve intentional acts of influence to enhance or protect the selfinterest of individuals or groups”. they are where the "goods" are distributed and the goals decided. when. and how”. unsocialized needs to dominate others. formal power. Thus. resource allocation. like power. The positive face is characterized by a balanced pursuit of self-interest and the interests of others. it is engaging in activities to get one’s way. you must lose-rather than win-win terms. Organizational politics tend to be associated with decision-making. organizational politics is power-in-action in organizations. holding hidden agendas. We are inclined to consider politics as neither good nor bad per se but believe that politics.5 Organizational Politics Defined and Explored Harold Lasswell defined “politics simply as the study of who gets what. deceiving. The negative face of politics is characterized by extreme pursuit of self-interest. a tendency to view situations in win-lose terms-what I win. Likewise we also treat authority as a subset of power. viewing situations in win-win terms as much as possible. “Organizational politics involve those activities taken within organizations to acquire. has two faces. and a socialized need to lead. In fact. one gains a quick understanding of the overall "political climate" of an organization by studying its methods of resource allocation. withholding information. and choosing among alternative means and goals. conflict resolution. surprise. For our purposes.
catalyst. his or her program. For example. Virtually. as a preferred way to get things accomplished. and educator. and expertise." The facilitator or educator role is incompatible with a political activist role because cooperation requires one set of behaviors and competition requires a different set of behaviors. thereby making the negative face of power less prevalent and/or necessary. and (3) to promote the client’s internal commitment to the choices made. In this section we will attempt to integrate those concepts with organization development and offer advice to the OD practitioner for dealing with the political realities found in organizations. collaboration. co-operation. the "interventionist" has three primary tasks: (1) to generate valid useful information. OD interventions typically generate valid. they enhance the positive face of power. These values are congruent with rational problem solving and incongruent with extremely political modes of operating. (2) to promote free. public data are indispensable-for problem solving but anathema for organizational politics. fact-finding. problem solving is usually superior to power coercion as a way to find solutions to problematic situations. openness. This major . and his or her values. organization development represents an approach and method to enable organization members to go beyond the negative face of power and politics. as we discussed earlier. Cobb and Margulies caution that OD practitioners can get into trouble if they move from a facilitator role to a political role. In summary.We have discussed a number of ideas concerning power and politics. Valid. The practitioner works to strengthen skills and knowledge in the organization. increases the amount of power available to organization members. Values such as trust. like all consultants. and weaknesses. Not only is organization development not a power/political intervention strategy. informed choice. but not with the negative face of power. "Power equalization" has long been described as one of the values of organization development. strengths. individual dignity. Emphasis on power equalization stems from two beliefs: first. being one aspect of the positive face of power. not politics. public data about the organization’s culture. power equalization. problem solver. We know of no OD interventions designed to increase coercion or unilateral power. The practitioner is not a political activist or power broker. rather. The OD consultant. and effective pursuit of goals while decreasing reliance on the negative faces of power and politics. OD values are consistent with the positive face of power. According to Chris Argyris. all OD interventions promote problem-solving. second. OD interventions increase problem-solving. collaboration. processes. it is instead a rational problem-solving approach that is incompatible with extreme poweroriented situations. OD interventions do not deny or attempt to abolish the reality of power in organizations. and by so doing adds power to the organization. provides a service that the organization is free to "buy" or "not buy. and promoting individual and organizational competence are part of the foundation of organization development. The role of the OD practitioner is that of a facilitator. methods. But organization members are free to accept or reject the practitioner.
5. and ability to gain organizational support. informational power (the consultant has a wealth of information about the strengths and weaknesses of the organization). Political access and sensitivity: Cultivating and nurturing multiple relationships with key power figures in the organization will ensure timely information and multiple sources of support. the OD consultant possesses power from the following bases: legitimate power (the OD program and consultant are authorized by the organization’s decision makers). Early success in the OD program and its usefulness to key managers of the organization helps promote this reputation.strength of OD derives from the strategy of change." 4. Michael Beer has identified additional means by which an OD group can gain and wield power in organizations: 1. expert power (the consultant possesses expert knowledge).7 Operating in a Political Environment We will present some general observations on operating in a political environment. Group support: If the OD group is strong internally. Paying attention to these sources of power will enhance the likelihood of success of OD programs. followed by some rules of thumb for the OD practitioner. Success leads to credibility and stature. the values."34 This maxim has been recognized for years under the heading of "get top-level support for the program. Resource management: Power accrues to those who control resources-in this case. in powerful places. 8. and possibly referent power (others may identify with and be attracted to the consultant). preferably multiple sponsorship. 2. Stature and credibility: Beer notes that power accrues to those who have been successful and effective. First. it will gain more power. it will be strong externally. Sponsorship: "Organization development groups will gain power to the extent that they have sponsorship. According to the framework of French and Raven. acceptability. and the roles of OD practitioners. Competence: Demonstrated competence is the most important source of power. These sources of influence produce a substantial power base that will enhance the likelihood of success. the resources of OD expertise and ability to help organizational subunits solve their pressing problems. organization development practitioners operate from a potentially strong power base they can use to advantage. 6. 3. . the technology. If the OD group is cohesive and free of internal dissention.
Sometimes OD practitioners overlook that they are hired by others. Becoming a desired commodity as a person means being interpersonally competent and trustworthy. to help them achieve their goals and solve their problems. Skills such as listening. OD programs become desired commodities when they are instruments that allow individuals and organizations to reach their goals. OD consultants have a formal or informal contractual agreement with managers to help them do what they are trying to do-better. The following rules describe ways to avoid becoming involved in one’s own or in others’ political struggles. Organizations are social systems in which members have both a history and a future of interacting. problem solving.What advice is available for OD practitioners who want to operate more effectively in a political environment? Several rules of thumb are implied by the fact that power accrues to persons who control valued resources or commodities. the manager will vigorously defend it. not the OD consultant. Rule Four: Create win-win solutions. Being of value to multiple powerholders rather than a single one both increases support and reduces the likelihood that the program will become the target of political activities. Another way the OD program becomes a desired commodity is by focusing on important issues. communicating. When the OD program serves the needs of top executives. Rule Two: Make the OD program itself a desired commodity. and showing appreciation for the strengths of others are components of interpersonal competence. those issues vital to the organization’s success. and expertise. Many OD interventions promote win-win solutions for conflict situations. Rule One: Become a desired commodity. which is to help someone else solve his or her major problems. The nature of organizations and the nature of organization development suggest this rule. . Beer and Walton argue that organization development should move from being practitioner centered to being manager-centered. and effective conflict management techniques are required to enhance stable. The preceding rules of thumb describe ways to increase or solidify one’s power base. usually managers. it gains an aura of respect and protection that sets it above most political entanglements. Each is derived from one general principle: Mind your own business. Good OD practitioners will have learned and practiced these skills. Rule Three: Make the OD program a valued commodity for multiple powerful people in the organization. counseling. The OD program belongs to the manager. coaching. OD programs should be results-oriented. OD professionals who are skilled in conflict management techniques and OD programs that encompass conflict resolution activities become valued commodities. Rule Five: Mind your own business. experience. both as a person and as a professional. constructive social relationships. The role of the OD consultant is to help others upon request. OD practitioners are likely to have high interpersonal competence by virtue of their training. A valuable by-product of this fact is that if the program runs into political turbulence.
Table 8. Organizational politics revolve around decisions: Should we seek Goal A or Goal B? Should we use Means X or Means Y? Should we promote Mary or John? The proper role of OD consultants is to help decision makers by providing them with good decision-making processes. Networking is recognized as a potent. and the characteristics and behaviors of powerholders. not power activist or power broker. We could propose more rules of thumb.1: Power Base and Power Strategy Connection Individual Power Bases Knowledge Strategies for Success Playing It Straight . problem solver. dealing directly with powerholders and decision makers. Abiding by this rule keeps the consultant from becoming entangled in politics. Earlier we stated that the OD practitioner should learn as much as possible about bargaining. individual power derives from knowledge. such behavior is often interpreted as politically motivated. not content." which arouses defensive actions. Illegitimate behavior causes others to try to exert greater control over the situation. The authors propose adding the "using social networks" strategy to their repertoires. viable. Rule Seven: Mind your own business because to do otherwise is to invite political trouble. Attention to these rules can save OD practitioners time and energy that can be more profitably invested in the OD program." "using social networks." OD practitioners have typically pursued a "playing it straight" strategy as their sole means of exerting power.8 Acquiring and Using Power Skills The OD practitioner is neither power activist nor power broker. the strategy and tactics of influence. 8.Rule Six: Mind your own business. which is to be an expert on process. A subtle phenomenon is involved here: when people engage in illegitimate behavior. while at the same time increasing his or her usefulness to the organization’s powerholders. but that does not mean practitioners must be naive or incompetent in the political arena. and educator. others’ support. and personality characteristics. yet legitimate means of acquiring power. negotiations the nature of power and politics. Illegitimate behavior encroaches on others’ legitimate "turf. and using contacts for information. catalyst." and "going around the formal system. We believe the legitimate role of the OD practitioner is that of facilitator. As shown in the figure. not by getting involved in the answers. Three successful power strategies are "playing it straight. The principle is simple but powerful: know your legitimate business and stick to it. thereby greatly expanding practitioner influence. One carries out such a strategy by participating in alliances and coalitions. but these give the flavor of the issues one must consider when operating in a political environment.
a person’s power comes from two main sources.) Position power derives from five sources: Centrality-access to information in a communication network. then utilize a facilitative OD process in which the powerholders work on strategic business issues using consensus decision making to develop a corporate strategy. which in turn will protect the interests of all concerned. criticality-how important one’s job is flexibility-the amount of discretion in the job. visibility-how much one’s work is seen by . Whetton and Cameron’s model is shown in following figure. This practical. influence key powerholders to accept the OD program.· Expertise · Information · Tradition Others’ Support · Use data to convince · Focus on target group · Be persistent Using Social Networks · Alliances and coalitions · Deal with decision maker · Contacts for information Going Around Formal System · Work around roadblocks · (Don’t) use organization rules Political access Staff support Personality Charisma Reputation Professional credibility Finally. personal attraction. effort. The four stages are: Phase I Consolidating Power to Prepare for Change Phase ll Focusing Power on Strategic Consensus Phase Ill Aligning Power with Structure and People Phase IV Realizing Power through leadership and Collaboration These stages are the means the OD consultant uses to "take the high road" mentioned in the previous quotation-build a power base. personal power and position power. arises from expertise. The power structure will realize that collaborative power is preferable to manipulation and deception. the authors propose a four-stage model for using the OD process to help the power elite transform the organization in ways beneficial for all concerned. In this model. and legitimacy. Personal power. (Legitimacy refers to abiding by and promoting the values of the organization. how-to book on power and organization development is well worth studying. even those of little power. in turn.
Networks are critical to effective performance for one compelling reason: Except for routine jobs. Retribution refers to coercion and threats." Three things are involved in converting power into influence: (1) resisting other people’s inappropriate influence attempts. Retribution is not recommended except in unusual cases." And. reciprocity. and retribution. “One of the most important ways of gaining power in an organization is by establishing a broad network of task and interpersonal relationships. Indeed. Three influence strategies can be used to influence others-reason. Whetton and Cameron suggest .1: Model of Power and Influence Networking is used to increase both personal power and position power. "Power is converted into influence when the target individual consents to behave according to the desires of the power holder. Reciprocity refers to exchange of favors. 8. actually using it to get things done is another. and relevance-how important one’s task is in relation to organizational priorities. (2) selecting the proper influence strategy. Having power is one thing. Usually reason is the preferred strategy. no one has the necessary information and resources to accomplish what’s expected of them. Fig. Reason refers to persuasion by facts. and (3) empowering others.influential people. According to these authors. They write: "Influence entails actually securing the consent of others to work with you in accomplishing an objective. one investigation of the determinants of effective management performance concluded that a key factor distinguishing high and low performers was the ability to establish informal relationships via networks”. power-in-use is called influence. and reciprocity can be useful when reason fails.
units or departments is most important in solving organizational problems. Power and politics are similar in nature. Organizational politics involve intentional acts of influence to enhance or protect the self-interest of individuals or groups. collaborative work environment. Power based on the power-receiver having identification with the power holder is called ––– ––––––––. 8. Methods for empowering others are the following: (1) involve subordinates in assigning work. when. and how. Power can be either positive or negative.. 5. (3) reward and encourage others in visible and personal ways.9 Summary Power and politics are inseparable facts of organizational life. reputation and professional credibility. The OD practitioner needs both knowledge and skill in the arenas of organizational power and politics. when and how. _____________ has identified two faces of power. arise from known conditions. Power-dependence theory states that power is inherent in any social relationship in which one person is dependent on another. arise from known conditions. . Our suggestions for using power to operate effectively in organizations may help practitioner avoid the perils and pitfalls of power that "go with the territory" of organizational change. 3. and (6) build on success. 4. –––––––––– is made up of Charisma.10 Terminal Questions 1. and are amenable to positive control. –––––––– defined politics as the study of who gets what. we have examined power and politics with the goals of understanding the phenomena and deriving implications for OD practitioners.several means of resisting others’ influence attempts such as confrontation and using countervailing power. (2) provide a positive. and are amenable to positive control. Define power in an organizational context and explain types of power. Strategic-contingency model of power asserts that power that accrues to the individuals. Power and politics are similar in nature. emotions or behaviour of people. Organizational politics is defined as the study of who gets what. Self Assessment Questions 1. 2. Organizational power is the ability of those who possess power to bring about the outcomes they desire. (4) express confidence (5) foster initiative and responsibility. Concluding Comments: In this unit. 8. –––––– is the intentional influence over the beliefs.
Refer section 8. Refer section 8. 8. MU0002-Unit-09-Structural Interventions and Applicability of Organization Development Unit-09-Structural Interventions and Applicability of Organization Development Structure: 9.2. Identify the bases of individual power and the respective strategies for their success. Describe briefly various theories of power. 5. Refer section 8. 4.Refer section 8.1 Introduction . Referent power 4. Refer section 8.11 Answers to SAQs and TQs SAQs: 1. McClelland 3. Personality Answers to TQs: 1.8 Copyright © 2009 SMU Powered by Sikkim Manipal University .5 4. Power 2. Harold Lasswell 5.2 2. Define organization politics.6 5. Explain the role of power and politics in the practice of OD. 3.4 3.
These programs are derived from careful diagnosis.8 Total Quality Management 9.Objectives 9. In this dynamic and fluid environment.4 Management By Objectives 9. actions. These methods are receiving increasing attention in Organization Development. One important intervention technique is Technostructural interventions because these are related to technical and structural issues such as how to divide labour and how to coordinate department which is related to Restructuring organization.7 Parallel Learning Structures 9.12 Answers to SAQs and TQs 9. Objectives: .1 Introduction Organizations are increasingly realizing the fact that change is the price of the survival. An organization development intervention is a sequence of activities.2 Meaning and Definitions 9. Nothing is permanent except change because change is permanently changing.11 Terminal Questions 9. These interventions vary from standardized program that have been developed and sometimes tailored program. but solutions to the same problems which worked out very well in the past may not be of any use to tackle the same problems at present or in the foreseeable future.3 Socio Technical Systems 9.5 Quality Circles 9.10 Summary 9. events intended to help an organization improve its performance and effectiveness.6 Quality of Work Life Projects 9. how to produce product or service which is related to Employee involvement approaches and how to design work is related to Work design. organizational problems may repeat.9 Reengineering Self Assessment Questions 9.
Basic reinforcement theories.2 Meaning and Definitions Structural Intervention is related to the changes that relate elements of organization to one another. Once diagnosed and an appropriate correction developed. their attractiveness is also increased by the following advantages: 1. · Explain Total Quality Management. Downsizing associated with restructuring. 3. Changes can involve decentralization and centralization. Cost is Low. 4. The cost of structural change is generally “front-end” loaded. 9. 2. meaning the major costs are associated with analysis and design of change. Succession Doesn’t Destroy Change Effort. Organization Acceptance of Change. · Discuss the Management By Objectives · Explain the Quality Circles. includes removing or adding layers to hierarchy. This normally is a reasonable. structural Interventions compare quite favorably with all other alternatives.After studying this unit. you will be able to: · Explain the Socio technical change. · Discuss the parallel Learning Structures. Advantages of Structural Interventions There are a number of reasons why a consultant should consider employing a structural intervention. Rapidity of change. In addition. organization theory. Weeks and months of group effort are saved. change can be introduced relatively rapidly by top management. Structural changes are consistent with their operating styles and are generally understood by practitioners. Structure changes are normally “institutionalized” and less subject to this problem. · Explain Reengineering. Greater Predictability. One problem with behavioral/ group interventions is the tendency for new managers or employees to discount or fail to continue the change program. and OD practice enables the change agent to estimate the probable consequences of the change. 5. From a benefit cost analysis. and more . Managers and administrators are notoriously pragmatic.
Pasmore. consciously directed towards the effective and efficient achievement of organizational objectives. 1988): • Determining the environmental demands • Creating a vision statement • Educating organizational members • Creating the change structure • Conducting socio-technical analysis • Formulating re-design proposals · Defining the scope of the system to be re-designed · Implementing recommended changes · Evaluating changes 9. a predictable cost Implementation of group strategies involves significant long-term man-hour and consultant costs. its definitional aspect.” . It endeavors to re-design the organization’s structure. 9. Since then. is a technique and system which helps in improving organizational performance. Cummings. Though there are some variations in the practices of MBO and. Its basic idea has been derived from the concept of participative goal setting as a technique of OD. therefore.critically.3 Socio Technical Systems Socio-technical systems design is better suited to meet the requirements of a changing external environment in comparison with traditional designs. though not strictly an OD intervention in the sense in which other interventions have been discussed so far. many business and nonbusiness organizations have adopted this in some form or the other. it has been defined as follows: MBO is a comprehensive managerial system that integrates many key managerial activities in a systematic manner. processes and functions to create a balance between the organization and its changing external environment. 1976. It could involve the following steps (Foster. The term MBO was coined by Drucker in 1964 when he emphasized the concept of managing by results. 1967.4 Management by Objectives Management by objectives (MBO).
and human resources of the organization by integrating the individual with organization and organization with the environment. are determined on the basis of objectives. each manager takes active part in setting objectives for himself and also in evaluating his performance as to how he is performing. etc. MBO is bound to have some relationship with every management technique. MBO employs several techniques but it is not merely the sum total of all these techniques. The review is future-oriented because it provides basis for planning and corrective actions. its subsystems and people. . The total management process revolves round the objectives set jointly by the superior and the subordinate. This is possible because MBO tries to match objectives and resources. On the other hand. MBO is the joint application of a number of principles and techniques. Similarly. physical. As an approach to management. It is a particular way of thinking about management. Objectives in MBO provide guidelines for appropriate system and procedures. MBO is likely to affect every management practice in the organization. Whereas the various techniques of management help in measurement of results in resources. MBO is also concerned with determining what these results and resources should be.The integration of individual and organizational objectives through MBO has been emphasized by Chakravarty when he has defined MBO as follows: “MBO is a result-centered. In fact. including the corporate level. all the units or departments and individual manager. non-specialist. normally once a year. This process clarifies the role very sharply in terms of what one is expected to achieve. Therefore. Periodic review of performance is an important feature of MBO.. Certain degree of overlapping is there. 3. 5. Objectives are established for all the levels of the organization. Therefore. The basic emphasis of MBO is on objectives. superiors and subordinates. 6. Resource allocation. The performance review is held regularly. The MBO is characterized by the participation of concerned managers in objective setting and performance reviews. MBO is an approach and philosophy to management and not merely a technique. reward and punishment system is attached with the achievement of the objectives. delegation of authority. often MBO provides the stimulus for the introduction of new techniques of management and enhances the relevance and utility of the existing ones. operational managerial process for the effective utilization of material.” Based on the definition of MBO. It works as an integrating device. managers have the opportunities for clarifying their job relationships with peers. 2. its features can be identified as follows: 1. 4. Objectives provide the means for integrating the organization with its environment. A management technique can be applied in selected parts of the organization and will have limited implications for its other parts. It emphasises initiative and active role by the manger who is responsible for achieving objectives. with objective orientation as its essence.
Process of MBO MBO is a system for achieving organizational objectives, enhancement of employee commitment and participation. Therefore, its process should facilitate translation of basic concepts into management practice. The MBO process is characterized by the emphasis on the rigorous analysis, the clarity and balance of objectives, and participation of the managers with accountability for results. The MBO process is not as simple as it appears to be. Managers need training and experience for developing the required skills. 1. Setting of Organizational Purpose and Objectives: The first step in MBO is the definition of organizational purpose and objectives. Questions, such as, “why does the organization exist?”. What business are we in?” and what should be our business?” provide guidelines for the statement of purpose. This, in interaction with external factors, then determines the long-range strategic objectives like (i) whether to achieve growth through expansion in the same line of business or diversity: (ii) what should be blending of trading and manufacturing activities; (iii) what should be the degree of vertical integration and so on. Usually the objective setting starts at the top level of the organization and moves downward to the lowest managerial levels. This will go in a sequence like this (i) defining the purpose of the organization, (ii) long-range and strategic objectives, (iii) short-term organizational objectives, (iv) divisional/departmental/sectional objectives, (v) individual manager’s objectives. 2. Key Result Areas: Organizational objective and planning premises together provide the basis for the identification of key result areas (KRAs). It may be emphasized that KRAs are derived from the expectations of various stakeholders and indicate the priorities for organizational performance. KRAs also indicate the present state of an organization’s health and the top management perspective for the future. Examples of KRAs applicable to most of the business organizations are (i) profitability, (ii) market standing, (iii) innovation, (iv) productivity, (v) worker performance, (vi) financial and physical resources, (vii) manager performance, and (viii) public responsibility. Even though KRAs are most durable, the list of KRAs gets considerably changed over the period in response to new needs and opportunities. Sometimes, the achievement in a particular KRA also provides the impetus for a new KRA in future. 3. Setting Subordinates’ Objectives: The organizational objectives are achieved through individuals. Therefore, each individual manager must know in advance what he is expected to achieve. Every manager in the managerial hierarchy is both superior and subordinate except the person at the top level and lowest level. Therefore, there is a series of superior and subordinate relationships. The process of objective setting begins with superior’s proposed recommendations for his subordinate’s objectives. In turn, the subordinate states his own objectives as perceived by him. Thereafter, the final objectives for the subordinate are set by the mutual negotiation between superior and subordinate. In the beginning of MBO process in an organization, there may be wide gap between the recommended objectives by the superior and subordinate’s stated objectives because the latter may like to put lesser burden on him by
setting easily achievable objectives. However, with the experience gained over the period of time, this gap narrows because of narrowing down of perception of superior and subordinate about what can be done at a particular level. 4. Matching Resources with Objectives: When objectives are set carefully, they also indicate the resource requirement. In fact, resource availability becomes an important aspect of objective setting because it is the proper application of resources which ensures objective achievement. Therefore, there should be matching between objectives and resources. By relating these to objectives, a superior manager is better able to set the need and economy of allocating resources. By relating these to objectives, a superior manger is better able to see the need and economy of allocating resources. The allocation and movement of resources should be done in consultation with the subordinate manager. 5. Appraisal: Appraisal aspect of MBO tries to measure whether the subordinate is achieving his objective or not. If not, what are the problems and how these problems can be overcome? Appraisal is undertaken as an ongoing process with a view to find out deficiency in the working and also to remove it promptly. It is not taken merely to punish the non-performer or to reward the performer. It is taken as a matter of system to ensure that everything is going as planned and the organization is able to achieve its objectives. 6. Recycling: Though appraisal is the last aspect of MBO process, it is used as an input for recycling objectives and other actions. Objectives are neither set at the top and communicated to the bottom nor are they set at the bottom and go up. Objective setting is a joint process through interaction between superior and subordinate. Therefore, what happens at each level may affect other levels also. The outcome of appraisal at one level is recycled to see if the objectives have been set properly at the level concerned and also at the next higher level. 9.5 Quality Circles Quality circle is one of the most popular methods in the USA which was originally developed in Japan in 1950s.Quality circle represents a participative approach to employee involvement in problem solving and productivity improvement. It consists of small group of employees who meet voluntarily to identify and solve productivity problems. Quality circle requires a managerial philosophy and culture that promotes sharing power, information, knowledge, and rewards. Quality circle program consists of several circles, each having three to fifteen members. The original idea of quality circles involved small groups of volunteers meeting on a regular basis, but in its contemporary form, quality groups are often compulsory and organized around specific work teams. Some organizations have even gone as far as setting targets for the number of suggestions quality groups are expected to come up with. 9.6 Quality of Work Life Based on the research of Eric Trist et al. at the Tavistcock Institute of Human Relations in London, this approach looked both at technical and human sides of organizations and how they
are interrelated. QWL programs, in general, require joint participation by union and management in the process of work-designing, which consequently result into high level of task variety, appropriate feedback and employee discretion. The most distinguishing feature of QWL program is the development of self-managing work groups which consist of multi-skilled workers. 9.7 Parallel Learning Structures Parallel Learning Structures (also known as Communities of Practice) promote innovation and change in large bureaucratic organizations while retaining the advantages of bureaucratic design. Groups representing various levels and functions work to open new channels of communication outside of and parallel to the normal, hierarchical structure. Parallel Learning Structures may be a form of Knowledge Management. Knowledge Management involves capturing the organization’s collective expertise wherever it resides (in databases, on paper, or in people’s heads) and distributing it to the people who need it in a timely and efficient way. It Consists of a steering committee and a number of working groups that: · Study what changes are needed in the organization, · Make recommendations for improvement, and · Then monitor the resulting change efforts. 9.8 Total Quality Management It is a long term effort that orients all of an organization’s activities around the concept of quality. It is very popular in USA in 1990s.TQM pushes decision making power downwards in the organization, provides relevant information to all employees, ties reward to performance and increase workers knowledge and skills through extensive training. It is also called continuous quality improvement. A combination of a number of organization improvement techniques and approaches, including the use of quality circles, statistical quality control, statistical process control, self-managed teams and task forces, and extensive use of employee participation. Features that characterize TQM: · Primary emphasis on customers. · Daily operational use of the concept of internal customers. · An emphasis on measurement using both statistical quality control and statistical process control techniques.
actions.· Competitive benchmarking. An organization development __________ is a sequence of activities. There are a number of reasons why a consultant should consider employing a structural intervention. · Continuous search for sources of defects with a goal of eliminating them entirely. __________ represents a participative approach to employee involvement in problem solving and productivity improvement. 2.10 Summary An organization development intervention is a sequence of activities. events intended to help an organization improve its performance and effectiveness. consciously directed towards the effective and efficient achievement of organizational objectives. Self Assessment Questions 1. · Top management support on an ongoing basis. and speed. From a benefit cost analysis. MBO is a comprehensive managerial system that integrates many key managerial activities in a systematic manner. 3. actions. · An emphasis on teams and teamwork. service. structural Interventions compare quite favorably with all other alternatives. · Participative management. Reengineering is a top-down process. or restructuring activities without regard to present hierarchical or control procedures. It seeks to make such processes more efficient by combining.9 Reengineering It is the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical. eliminating. such as cost. events intended to help an organization improve its performance and effectiveness. assumes neither an upward flow of involvement nor that consensus decision making. quality. · A major emphasis on continuous learning. Quality . The term MBO was coined by _________ in 1964. Sociotechnical systems design is better suited to meet the requirements of a changing external environment in comparison with traditional designs. Reengineering focuses on visualizing and streamlining any or all business processes in the organization. contemporary measures of performance. 9. 9.
12 Answers to SAQs and TQS SAQs: 1. Intervention 2. 9. What are the advantages of structural interventions? 3. provides relevant information to all employees. Explain Management By Objectives? 4. ties reward to performance and increase workers knowledge and skills through extensive training. Write a short note on Total Quality Management. Refer section 9.3 2.2 3. 9.Refer section 9.8 Copyright © 2009 SMU Powered by Sikkim Manipal University . Quality circle Answers to TQs: 1. Discuss Socio Technical Systems? 2. Refer section 9. TQM pushes decision making power downwards in the organization.5 4. Drucker 3. . It is also called continuous quality improvement. Refer section 9.11 Terminal Questions 1. It consists of small group of employees who meet voluntarily to identify and solve productivity problems.circle represents a participative approach to employee involvement in problem solving and productivity improvement.
10.1 Introduction Objectives 10. Objectives: . and initiate new change so as to overtake the competitors one the one hand and delight the customers on the other. Hence.MU0002-Unit-10-Managing Organization Development Unit-10-Managing Change in Organization Development Structure: 10.4 Causes for Resistance to Change.7 Summary 10. but solutions to the same problems which worked out very well in the past may not be of any use to tackle the same problems at present or in the foreseeable future.8 Terminal Questions 10. organizational problems may repeat. Self Assessment Questions 10.3 Resistance to Change 10.1 Introduction Change in Organizations are increasingly realizing the fact that change is the price of the survival. In this dynamic and fluid environment. Nothing is permanent except change because change is permanently changing. cope with the ongoing changes successfully in the first instance. the mangers and other employees must be able to practically anticipate the changes (planned and unprecedented).2 Nature of Change 10.9 Answers to SAQs and TQs 10.6 Methods of Reducing Resistance to Change.5 Impact of Change on the Future Manager 10.
biological. others. Thus. and others. It implies a new equilibrium between different components of the organization – technology. When a finger (which represents external force) is forced against a point on the balloon (which represents the organization). and others. · Discuss the nature of change · Explain resistance to change and the factors which resist change. Though this phenomenon will be taken later. . you will be able to: · Explain the meaning of organization change. Newstrom and Davis have explained the impact of a change in any part of the organization on the total organization. · Impact of change on future managers. it has stretched slightly. the contour of the balloon visibly changes. The type of new equilibrium depends on the degree of change and its impact on the organization. they have concluded that the whole organization tends to be affected by change in any part of it. some changes which are of minor type may be absorbed by the existing equilibrium.whether physical. However. structural arrangement. indirectly. it becomes indented at the point of contact. · State the methods of reducing resistance to change. However. employees want to maintain a status quo. organizational change is the alteration of work environment in an organization. 2. less. we find that the shape of the entire balloon has changed. may require special change efforts. what is important at this point is that a change in any part affects the entire organization and subsequent changes are required in other parts. They have illustrated it by comparing an organization to an air-filled balloon. some parts may be affected directly. it disturbs the old equilibrium necessitating the development of a new equilibrium.After studying this unit. the change in organization does not occur purely on mechanical relationship. which are major ones. some parts of organization may be affected more. While managers as change agents want to bring changes in the organization. job design and people. Organizational change is a continuous process. Thus. Any change may effect the whole organization. 10. However. or social. When change occurs in any part of the organization. Thus. if we look minutely. organizational change may have the following features: 1. 3.2 Nature of Change The term ‘change’ refers to an alteration in a system.
People tend to resist many types of changes because new habits or sacrifices are required. Resistance by some members of the organization provides an opportunity to the change agents to weigh the pros and cons of introducing change more carefully. Before we trace out the reasons for résistance to change. In fact. resistance to change provides help in managing change in two ways: . Managing Director of Bajaj Auto. fear of change can be as significantly disrupting as change itself. resistance to change is costly affair. We wanted a new culture and new layout.10. In fact. “The Pune plant is fully saturated. Similarly. In order to increase its manufacturing capacity of two-wheelers. We shall take new workers at the new place. Many companies have been forced to do so in the past. adjustment is fairly routine. so is the resistance to change. the managers face the problem of resistance to change.as cost and as benefit. like shifting of the manufacturing plants at new locations. One example of Bajaj Auto Limited is relevant here.” Resistance as Benefit: On the one hand. commented. Thus. Homeostasis implies self-correcting characteristics of organism to maintain equilibrium as a result of change. and its basic survival may be jeopardized. social systems tend to resist change because of homeostasis.3 Resistance to Change In the management of change effectively. Madhur Bajaj. While on negative side. and on the other. Resistance to change forces management to find out this reality which helps in managing change more effectively. because it produces identical symptoms. there are two sides of resistance. On this phenomenon. that is. the reality lies in between. If people resist to change. This leads to general proposition that people and their social systems will often resist change in organizations. but when a change is major or unusual. or they have been forced to adopt alternative strategies. more serious upsets may occur. In fact. many organizations have been forced to abandon change programmes because of resistance to such programmes. the organizational may not be able to introduce new phenomena in order to adapt environmental requirement. it provides some benefits to the organization as its change agent. We saw resistance to change at the existing plant. the company procured land near its old plant site but later shifted the new plant site away from the old plant because of resisting work culture of the old plant which was expected to percolate to the new plant also. let us discuss whether resistance is always bad as it is generally perceived to be. Resistance as Cost: Since all changes have some cost. When change is minor and within the scope of correcting programme. people act to establish a steady state of need fulfillment and to secure themselves from disturbance of that balance.
This feeling is created because people feel that those who can match the new requirements will be better off than those who cannot match. whenever people sense that new machinery (change) poses a threat of replacing or degrading them. Therefore.1. Whenever there is change.. Skill Obsolescence: A change is generally meant for better methods of working which may involve new techniques. These feelings. Degree of force in resistance depends on how people feel about change. they will have lower opportunity to earn incentives and bonus as the new system requires additional skills. technology. These feeling may be based either on reality or there may be emotional feeling towards the change. psychological and social. It may signal the need for more effective communication about the meaning and purpose of a change or need to rethink precisely how a proposed change will affect the organization and its members. bonus. Fear of Economic Loss: A change may create fear of economic loss in the sense that it may affect economic compensation adversely. All these are well-established in the old system. 2. and turn into technological unemployment. the reasons underlying resistance to change may be identified at these two levels: Individual Resistance There are many factors operating at the individual level which are responsible for resistance. 3. Economic Factors People feel attached to the organization for satisfying their needs and economic needsphysiological. Reduced Opportunities for Incentives: Employees are generally offered incentives linked to their output in the form of incentive schemes. job security etc. People may perceive that they will be adversely affected by the change in terms of their needs satisfaction in the following ways: 1. may be seen in the context of three types of factors: economic. Factors in Resistance to Change People tend to evaluate the effect of change individually but they express it through group in collective form. people may feel that in the new system. 2. they simply resist such a change. reduce job options. either real or emotional. Psychological Factors . precede over other needs. It also highlights real inadequacies in the proposed change and suggests better ways for developing and introducing changes. etc. When computer was introduced in the business sector in India. etc. it attracted a lot of resistance because of this reason.
may be logical from people’s point of view but may be illogical from the change agent’s point of view. The change initiated by the organization disturbs such equilibrium and people have to obtain another equilibrium which is a painful exercise. Social Factors People derive need satisfaction. they resist change. Therefore. If people have low degree of confidence in the change agent. The major factors causing resistance to change are: desire to retain existing social interaction and feeling of outside interference. 5. Therefore.e. which people do not want. the change may be perceived as an instrument for exposing the weakness of the people. Therefore. 1. Status Quo: People want status quo. people resist change. sentiments and attitudes towards change. Low Tolerance for Change: In the context of maintaining status quo. and fear of unknown. The change will bring results in future. they do not want any disturbance in their existing equilibrium of life and work pattern. their existing social interactions are likely to be changed. 1. these people resist any new idea. Desire to Maintain Existing Social Interaction: People desire to maintain existing social interaction since it is a satisfying one. everyone tries to avoid it. low tolerance for change. They form their own social groups at the work place for the satisfaction of their social needs. people may differ. This lack of certainty creates anxiety and stress in the minds of people and they want to avoid it. particularly social needs. people resist it. Fear of Unknown: A change may be perceived as entering into unchartered area which is unknown. that is. Some people have very low level of tolerance for change and ambiguity as compared to others. Lack of Trust in Change Agent: The effect of change is perceived in the context of change agent. i. This is the reason why labour union resists changes initiated by management because of the feeling that labour and management are two different interest groups in the organization. These are qualitative and. 4. Major psychological factors responsible for resistance are: ego defensiveness. . through their mutual compatible interactions. therefore. When there is any change. they show resistance to change efforts. which is always uncertain. status quo. 3. The lack of adequate information about the likely impact of change further complicates the problems. lack of trust in change agent. the person who initiates change.Psychological factors are based on people’s emotions. Thus. 2. Ego Defensiveness: A change may affect the ego of the people affected by the change and in order to defend their ego. To the extent the satisfaction of these needs is affected by a change. A change in itself suggests that everything is not right at a particular level.
millstones and routines. dogmas. an organization has to adapt to its environment but the adaptation has its own cost. For example. Many powerful organizations of the past have failed to change and they have developed into routines.g. these organizations start falling. values. change initiated by managers affecting workers. if new . prescribes rigid authority relationships. 1.. Caterpillar. This phenomenon is heightened if the change agent belongs to another social class. a bureaucratic organization has certain fixed rules. nothing fails as spectacularly as spectacular success. even the organization itself resists many changes because of certain reasons. Strategies. 3. Organizational Resistance to Change: Not only individuals and groups within an organization resist change. a professor of strategic leadership who is considered to be a management Guru. has commented as follows: “Nothing fails like success. all these companies have been victims of corporate disease. Feeling of Outside Interference: A change brought about by the change agent is considered to be interference in the working of people. This is the reason why many old industrial houses are languishing far behind and their places are being taken away by newer organizations. It a change is required in these aspects. The latter my feel that managers try to make workers an instrument for higher productivity but the outcome of this productivity will be retained by them. Since these organizations have achieved success by following a particular set of management practices. The system is stabilized and any change may be perceived as a threat by the organization itself. For example. stability of systems. Many organizations are designed to be innovation-resisting. and inter-organizational agreement. 2. Zerox or nearer home-TI cycles. Counting Past Successes: A major problem before the organizations which have past success stories is how to face challenges of the changing environment. The major reasons for organizational failure to change are: counting past successes. All these work in some circumstances. Whether it is IBM. e. It is called ‘The Failure of Success’. For example.2. Stability of Systems: The organization may design a system through which it may derive many benefits. the organization may not bring it easily because it is accustomed to a particular system. For example. Digital Equipment Corporation. If the organization is not fully equipped for meeting such demands. resources and processes of the most successful companies have in the past ossified into clichés. they become too rigid to change and they hide their failure to change in the guise of past successes. Sumantra Ghoshal. it may not be possible for the organization to bring necessary change. and institutes reward and punishment system. first two reasons are basic and others are by-products of the first two. resource limitations. sunk cost.” This statement suggests that organizations tend to stabilize at a particular level and if the change efforts are not brought. Some of these reasons are basic while others are by-products of those. Resource Limitations: No doubt.
It depends more on the style of top management. broad environmental scanning. it may enter into agreement with other organizations over certain aspects of working. and put less emphasis on environmental scanning. organization has to pay for his services though these may not be as useful. Let us see what someone has said long back: “There are three types of companies: those who make things happen. 2. intensive planning. Miles and Snow have classified them into four categories. and commensurate expenses on other items also. and reactors. 4. They go on searching new products/markets on regular basis. the organization will like to make a comparison between the outcomes of changed programme and continuing with old programme in the light of this sunk cost. In this interaction process. Thus. It an individual is not making commensurate contribution. what will happen to these assets? Naturally. 3. This can be in the form of people also.defenders. those who watch things happen. forward-looking. decentralized controls. Prospectors: These firms use broad planning approaches. it will require resources to procure machine. It is necessary too that other organizations also agree to the change proposal. and has zeal for progress. Once the assets are acquired. the organization may enter into agreement with labour union about not bringing any technological change. If it is risk-taking. Therefore. Based on the aggressiveness which various companies show in changing themselves. building and training for its personnel. Inter-organizational Agreements: The organization interacts with its environment. if any change is to be incorporated.technology is adopted. and reserve some resources unutilized for future use. the organization has to take into consideration the wishes of other organizations too. the organization may take change programmes much more frequently.” This is the true reflection of difference between change-initiating companies and changeresisting companies. Reactors: These organizations realize that their specific environment is changing but fail to relate themselves with the changing environment. Otherwise. Now. In such a case. those who wonder what happened. . innovative. They emphasize more on cost-effectiveness. Sunk Cost: Most of the organizations have sunk cost involved in various assets. For example. Defenders: These are the firms which penetrate in a narrow market product domain and guard it. 4. if the change is required. Analyzers: Above two are the extreme cases of choice-making modes in between the analyzers and reactors. prospectors. analyzers. these can be used for specific period. they have to behave in one of the above three ways. Analyzers act sometimes as defenders and sometimes as prospectors. it is not necessary that his services are done away with. Sunk cost cannot be only in terms of various physical things. 5. centralized control. they cannot survive. 1.
many employees at these firms may fear that their jobs are in jeopardy. when you go to work or school. For analytical purpose. the introduction of a quality management program requires that production workers learn statistical process control techniques. Let’s look at the sources of resistance. or deferred. you find a single route and you use it regularly. and so on. implicit. Resistance can be overt. a change is proposed and employees quickly respond by voicing complaints. Fear of the Unknown: Change substitute ambiguity and uncertainty for the known. When Boeing announces its laying off 10. immediate. If for example. the selection process systematically selects certain people in and certain people out. some may fear they’ll be unable to do so. finding a new parking place. therefore. For instance. we don’t need to consider the full range of options for the hundreds of decisions we have to make every day. Changes in job tasks or established work routines also can arouse economic fear if people are concerned they won’t be able to perform the new tasks or routines to their previous standards. or the like. develop a negative attitude towards quality management or behave dysfunctionally if required to use statistical techniques. And people in general don’t like the unknown. we’ve categorized them by individual and organizational sources. we’re creatures of habit. Security: People who have a high need for security are likely to resist change because it threatens their feeling of safety. it means you’re likely to have to change many habits: waking up 10 minutes earlier. As human beings.4 Cause for Resistance to Change Resistance to change doesn’t necessarily surface in standardized ways. Training . They may. especially when pay is closely tied to productivity. developing a new lunchtime routine. Life is complex enough. For example. So when your department is moved to a new office building across town. Habit Every day. It is easiest for management to deal with resistance when it is overt and immediate. we all rely on habits. When we are confronted with change. this tendency to respond in our accustomed ways becomes a source of resistance. Economic Factors: Another source of individual resistance is concern that changes will lower one’s income. The same applies to employee. threatening to go on strike. To cope with this complexity. taking a new set of streets to work. engaging in a work showdown. or programmed responses. adjusting to the new office layout. do you continually use the same route and streets? Probably if you’re like most people.10.000 people or Ford introduces new robotic equipment. Organizational resistance Structural Inertia: Organizations have built-in mechanisms to produce stability.
That is. One area of organizations that continues its metamorphosis is the design itself. Will the change. for instance.5 Impact of Change on Future Manager Organizations are changing nearly daily. for instance. Group Inertia: Even if individuals want to change their behavior. These teams are comprised of people from various areas within the company. Formalization provides job description. Thereat to Established Power Relationships: Any redistribution of decision-making authority can threaten long-established power relationship within the organization. 10. . Introduction of participative decision making or self-managed work teams are examples of changes that often are seen as threats to the power of supervisors and middle managers. You can’t change one without affecting the others. For example. But if union norms dictate resisting any unilateral change made by management.and other socialization techniques reinforce specific role requirements and skills. group norms may act as a constraint. development of pay plans. The only constant in organizational life today appears to be the presence of continuous change. Why? Because this outsourcing is a threat to the specialized skills held by people in HR departments. For example. accountants work with marketers. Threat to Expertise: Changes in organizational patterns may threaten the expertise of specialized groups. Limited Focus of Change: Organization is made up of interdependent subsystems. An individual union member. mean a reduction in their budgets or a cut in their staff size? Those who most benefit from the current allocation of resources are often threatened by change that may affect future allocations. human resource people with engineers and finance individuals with operations employees. the change in technology is not likely to be accepted. They tend to be content with the way things are. the way in which companies are configured today is changing. Threat to Established Resource Allocations: the groups in the organization that control sizable resources often see change as a threat. if management changes the technological processes without simultaneously modifying the organization’s structure to match. rules and procedures for employees to follow. The recent move by some companies to outsource many of their human resource activities – such as training. may be willing to accept changes in his job suggested by management. People from one functional department are placed on terms with people from other functional areas. So limited changes in subsystems tend to get nullified by the larger system. Changing Skill Sets More organizations are utilizing cross functional teams. he’s likely to resist. and benefits administration – has been resisted by many human resource departments.
Efforts at Individual Level A change is likely to affect some people in some way. In addition. this is not a one-time action. Involvement: Involvement is a process through which those who are affected by the change are brought to understand the change. Locavini observes that “the secret of real success is effective management of the emotional vulnerability that accompanies organizational change. the effect of the change may not be as functional as envisaged by the management. It may affect only a few while others may not be affected. More fluid structures require that managers improve their strategic orientation.The ultimate goal is to improve organizational performance by cutting production time or time to market. the role of formal authority in implementing a change may not be effective all the times.” The newer organizational structures use term problem solving. In many cases. It implies explanation and . it can make effectively by managing resistance effectively. Problem solving now involves the people who are experts in the issue – not necessarily those in high positions in the organization. For example. rather should be looked upon as a dialogue which continues over a period of time. strategic directions for the company must be identified in light of these changes. For this purpose. both at the formal and informal levels. 10. typically by way of computer network links. However.” Problem of overcoming resistance to change can be handled at two levels. Therefore. Unless this problem is overcome properly. managers must be more skilled at reading the environment and grasping the big picture. Stephen Robbins suggests that “…… managers in virtual structures spend most of their time coordinating and controlling external relations. Decision making is becoming more and more comfortable for those throughout the organization as the need to make decisions is distributed more evenly across all organizational levels. even the impact of change may be dysfunctional if change is imposed upon the people by the use of formal authority. This requires that managers think differently and teach employees to think differently. Both these attempts are complementary and sometimes these efforts may be overlapping because every individual is a member of some of the groups. As organizations must be better equipped to respond to change in their external environment.6 Methods of Reducing Resistance to Change One of the basic problems in managing change is to overcome people’s resistance to change successfully. the problems can be solved at the same level. the following efforts can be taken: 1. that is. They need to be adept at reading the trends in the environment and then determining what they mean specifically for their own organization. at the level of individual and at the level of group. through group dynamics. When the resistance comes from the people at individual levels.
is an important trust-building task. its process and working. Group dynamics offers some basic help in this regard. and conferences. as discussed earlier. helped to change attitudes. Usually. but a transformational leader can use personal reasons for change without arousing resistance. An effective leader tries to time a change to fit the psychological needs of his followers. The fundamental idea in this process is to encourage the person to say something about any aspect of the change. 4. Obtaining Commitment: Commitment is an agreement to take an active part in the actual mechanics of the change. getting a man to commit himself in private to change programme may yield fewer results than if he voluntarily and publicly gives his commitment to an idea of change. It grows slowly along with relationship. either the subordinates do not resist or if they resist. As this process goes. Leadership: The role of leadership in getting acceptance for a change is very important as a capable leader reinforces a climate of psychological support for change. education must be a part of the manager’s everyday activity on the job. 3. Thus. the manager can form strategies for overcoming resistance in the following manner: . It includes finding out from the members how they interpret the proposed changes and what they think about them.then discussion of the proposed changes. instead of solving the problem at the individual level. They must be taught new skills. sometimes. and indoctrinated in new relationships. This helps in creating receptive environment in the organization. understanding of change increases and personal involvement in the change increases. For using group as a means of overcoming resistance to change. it is desirable at the group level to get better acceptability of change. must be understood so that its effective use can be made. Based on these characteristics of group as a means of change. the leader tries to overcome this resistance by leadership process. Commitment to take part in the change programme can be obtained in private from each individual. Training and Psychological Counseling: The management can change the basic values of the people by training and psychological counseling. to become effective. Such educational process can be aided by training classes. A manager as weak leader presents change on the basis of the impersonal requirements of the situation. the level of resistance to change tends to decrease. The decision to commit oneself is a dynamic process. most of the times. he expresses it through a group. more than one person is involved in the change. Getting opinions out in the open. However. 2. it is more meaningful if it is done through group. However. so that they are looked at and evaluated. People should be educated to become familiar with change. its basic nature. Thus. meetings. Efforts at Group Level Although agreement to a change can be obtained individually. People always have some ideas and opinions about what is going on in the world and more specially if touches them personally. Though each person interprets the change individually often.
Group Dynamics Training for Change: Group dynamics also helps in providing various training programmes for accepting and implementing change. 3. For this purpose. Through the group contact. mere participation may not help. the group itself should be the point of contact. . The group contact offers some specific advantages: (i) Through groups. many things about change can be made clear. Free flow of information helps people to understand the real picture of the change and many misunderstandings may be avoided. Such training techniques include role playing. 2. Participation: Participation helps to give people involved in the organizational change and inculcate a feeling of importance. The same is true of problem-solving. 2.such aspects as the reasons for change. taking whole of the group into confidence helps in maintaining a cooperative attitude. It would be prudent for management to take labour representatives into confidence before implementing any change. thereby the people can build up the climate based on mutual trust and understanding which are essential for bringing organizational changes successfully. structural arrangement. Such training techniques provide understanding of behaviour. The organization must regard the participation as meaningful and share the results of the change with its members. It implies a new equilibrium between different components of the organization – technology. and how the benefits of the meaningful and continuous dialogue are necessary. psychodrama. The laboratory method provides a setting where group processes can be studied intensively. one can communicate with more people per unit of time. Self Assessment Questions 1. Even if only some of the members are affected by the change. (ii) In group. Group Contact: Any effect to change is likely to succeed if the group accepts that change. and sensitivity or T-group training. Research studies also support this aspect. there may be some person who may communicate to the same group. __________ are based on people’s emotions. sentiments and attitudes towards change. _________ helps to give people involved in the organizational change and inculcate a feeling of importance. benefits of change. It purports how the results are. _________ is the alteration of work environment in an organization. job design and people. (iii) Group can get at the basic problem very rapidly as compared to a single individual.1. However. They must be made a party to the change rather than an agent for resistance to change. and how members contribute. This is more important in the case of workers who themselves treat a separate group and do not identify with the management. It makes people feel that the organization needs their opinions and ideas and is unwilling to go ahead without taking them into account. Those people who are directly affected by the change should be given opportunity to participate in that change before the final decisions are reached. 3.
10. a change is proposed and employees quickly respond by voicing complaints. Refer section 10. Organizational change 2. through group dynamics. Explain the nature of change? 2. Problem of overcoming resistance to change can be handled at two levels.8 Terminal Questions 1. immediate. 10. Refer section 10.6. threatening to go on strike. Both these attempts are complementary and sometimes these efforts may be overlapping because every individual is a member of some of the groups.9 Answers to SAQs and TQS SAQs: 1. For instance. Psychological factors 3. People tend to resist many types of changes because new habits or sacrifices are required. both at the formal and informal levels. engaging in a work showdown. group resistance and vested interests. It implies a new equilibrium between different components of the organization.2 2. It is easiest for management to deal with resistance when it is overt and immediate. at the level of individual and at the level of group. Resistance can be overt. 10. social factors. psychological factors. Reference: . implicit. or deferred. or the like. Why do organizations resist change? 3. Discuss the methods of reducing resistance to change.4 3. Economic factors. Changes may be influenced by external and internal factors. Participation Answers to TQs: 1. Refer section 10. that is.7 Summary Change is inevitable. Organizational change is the alteration of work environment in an organization.
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