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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
2. 3. Its presence is evidenced by the result of its efforts-orderliness. buoyant spirit and adequate work output. They must have the necessary ability and skills to get work accomplished through the efforts of others. capital and materials. The success of management is measured by the extent to which the organizational goals are achieved. Distinct Process: Management is a distinct process consisting of such functions as planning. These functions are so interwoven that it is not possible to lay down exactly the sequence of various functions or their relative significance. Results through Others: The managers cannot do everything themselves. . organizing. It is the force which assembles and integrates other resources. 6. People often remark of the effectiveness (or ineffectiveness) of management on the basis of the end results. One may not see with the naked eyes the functioning of management but its results are apparently known. 1. experience and management principles for getting the results from the workers by the use of non-human resources. Integrative Force: The essence of management is integration of human and other resources to achieve the desired objectives. management is an essential ingredient of an organization. Intangible Force: Management has been called an unseen force. labour. It is imperative that the organizational goals must be well-defined and properly understood by the mangers at various levels. In essence.course. 4. labour and capital.3 Characteristics of Management Management is a distinct activity having the following salient features or characteristics: 1. Managers also seek to harmonize the individuals’ goals with the organizational goals for the smooth working of the organization. the process of management involves decision-making and putting of decisions into practice. feeling of management is result-oriented. Thus. 5. namely. staffing. It is the most critical input in the success of any organized group activity. And poor management is most often due to both inefficiency and ineffectiveness or to effectiveness achieved through inefficiency. informed employees. Managers apply knowledge. high efficiency is associated more typically with high effectiveness. They must motivate the subordinates for the accomplishment of the tasks assigned to them. Goal-oriented: Management is a purposeful activity. they require the catalyst of management to produce goods and services required by the society. It co-ordinates the efforts of workers to achieve the goals of the organization. These factors do not by themselves ensure production. All these resources are made available to those who manage. Economic Resource: Management is one of the factors of production together with land. although they can’t observe it during operation. directing and controlling. Thus.
· Management as a system of authority According to Herbison and Myers. According to Herbision and Myers. how effectively and economically the five M’s are combined together to produce desired results. A Science and an Art: Management has an organized body of knowledge consisting of welldefined concepts. So it is treated as a science. Anthropology. In other words. Similarly. 10. The principles and techniques of management are equally applicable in the fields of business.4 Scope of Management The scope of management is very wide. Basically. 8.e. 9. useful. materials. Generally. 1. In modern organizations. and (iii) a class or elite. (ii) a system of authority. productivity orientation drew its inspiration from Industrial Engineering and human relations orientation from Psychology. System of Authority: Management as a team of managers represents a system of authority. government and hospital. machinery and methods or ways of doing things) depends to a great extent on the quality of management. According to Newman. 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. management is required to covert the disorganized resources of men. labour and capital. people . on-going concern. Much of the management literature is the result of association of these disciplines. a hierarchy of command and control. Multi-disciplinary Subject: Management has grown as a field of study (i. The application of these concepts. Henri Fayol suggested that principles of management would apply more or less in every situation. Universal Application: Management is universal in character. as we move down in the managerial hierarchy. it refers to three distinct ideas. management is the rule-making and rule-enforcing body. military. For instance. materials. the effective use of the five M’s of management (money. Sociology and Psychology. principles and techniques requires specialized knowledge and skills on the part of the manager. manpower. management may be understood as (i) an economic resource. Sociology and Operations Research have also contributed to the development of management science. Authority enables the managers to perform their functions effectively. education. · Management as an economic resource Management is one of the factors of production along with land.7. the degree of authority gets gradually reduced. principles and techniques which have wide applications. that is. discipline) taking the help of so many other disciplines such as Engineering. Managers at different levels possess varying degrees of authority. Since the skills acquired by a manager are his personal possession. money and machines into a productive. management is viewed as an art. It is bound together by a web of relationships between superiors and subordinates.
technical facilities. and the range of production. They transmit orders. the term management refers to the group of individuals occupying managerial positions. or the General Manager or Executive Committee having key officers. 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. Managing Director. The managerial class has become very important in modern organizations owing to its contribution to business success. its Chairman. Considering the hierarchy of authority and responsibility. Middle management (departmental heads like work manage. Levels of Management An enterprise may have different levels of management. or the Chief Executive. his job is to see that the decisions are implemented. For instance. viz. As a separate group. . Board of Directors. But in actual practice. The levels of management depend upon its size. Levels of management refer to a line of demarcation between various managerial positions in an enterprise. · Management as a class or elite Sociologists view management as a distinct class in society having its own value system.e. wage and salary director of a company may assist in fixing wages and salary structure as a member of the Board of Directors. and directing the operations to attain the objectives of the enterprise. finance manager.. Top management determines objectives and provides direction to enterprise activities. personnel manager etc. The real significance of levels is that they explain authority relationships in an organization. day-to-day matters. the upper level of management) and (ii) operating management (i.) interprets and explains the policies framed by the top management..e. or. We generally come across two broad levels of management. Administrative management is concerned with “thinking” functions such as laying down policy. ranks. but as head of wages and salary department. the lower level of management). Lower management (first line supervisors) is concerned with routine. planning and setting up of standards.are bound by authority relationships. (i) administrative management (i. Instructions and decisions downward and carry the problem and suggestions upward. All the managers form the chief executive to the first line supervisors are collectively addressed as ‘Management’ which refers to the group. one can identify three levels of management namely: i) Top management of a company consists of owners/shareholders. Operative management is concerned with the “doing” function such as implementation of policies. Managers working at top levels enjoy more authority than people working at lower levels.
ii) Middle management of a company consists of heads of functional departments namely. e) To exercise effective control of the operations. The important functions of top management include: a) To establish the objectives or goals of the enterprise. b) To interpret the policies chalked out by top management. They devote more time on the organization and motivation functions of management. etc. c) To set up an organizational framework to conduct the operations as per plans. Purchase Manager. Top management: Top management is the ultimate source of authority and it lays down goals. . machines and methods to put the plans into action. Marketing Manager. Production Manager. iii) Lower level or operative management of a company consists of Superintendents. Supervisors. It devotes more time on planning and co-ordinating functions.. Without them the top management’s plans and ambitious expectations will not be fruitfully realized. Middle management: The job of middle management is to implement the policies and plans framed by the top management. 1. men. It is also described as the policy-making group responsible for the overall direction and success of all company activities. It serves as an essential link between the top management and the lower level or operative management. They are responsible to the top management for the functioning of their department. 2. Financial Controller. d) To recruit and select suitable operative and supervisory staff. f) To provide overall leadership to the enterprise. c) To prepare the organizational set up in their own departments for fulfilling the objectives implied in various business policies. materials. e) To assign activities. etc. They provide the guidance and the structure for a purposeful enterprise. policies and plans for the enterprise. b) To make policies and frame plans to attain the objectives laid. Foremen. and Divisional Sectional Officers working under these Functional Heads. The following are the main functions of middle management: a) To establish the objective or goals of the enterprise. It is accountable to the owners of the business of the overall management. d) To assemble the resources of money. duties and responsibilities for timely implementation of the plans.
It is the activating force that gets things done through people. and actual operations are the responsibility of this level of management. management is the dynamic lift-giving element in every organization. It consists of foreman. (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. i) To collect reports and information on performance in their departments. j) To report to top management. It helps in putting the resources to the best advantage within the limitations set by the organization and its environment.f) To compile all the instructions and issue them to supervisors under their control. accounts officers and so on. Without management. h) To co-operate with the other departments for ensuring a smooth functioning of the entire organization. They interpret and divide the plans of the management into short-range operating plans. 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. The importance of management can be understood from the following points. Management creates teamwork and . They are concerned with direction and control functions of management. the working of an enterprise will become random and haphazard in nature. They devote more time in the supervision of the workers. 1. supervisors. k) To make suitable recommendations to the top management for the better execution of plans and policies. (ii) Effective leadership and motivation: In the absence of management. an organization is merely a collection of men. They are also involved in the process of decisions-making. g) To motivate personnel to attain higher productivity and to reward them properly. evaluate their performance and report to the middle level management. money and material. They are in direct touch with the rank and file or workers. 3. sales officers. They pass on the instructions of the middle management to workers. It enables employees to move cooperatively and achieve goals in a coordinated manner. machines. Lower or operative management: It is placed at the bottom of the hierarchy of management.5 Importance of Management According to Drucker. Management makes group effort more effective. They have to get the work done through the workers. A right climate is created for workers to put in their best and show superior performance. They allot various jobs to the workers. In its absence. the resources of production remain resources and never become production.
and specialized knowledge. Management as a profession By a professional manager. Management is goal-oriented. (vi) Improves standard of living : Management improves the standard of living of people by (a) using scarce resources efficiently and turning out profits. To this end. Failure to take note of customer’s needs regarding full efficiently has spelt doom for ‘Ideal java’ in the two-wheeler market in India. Successful managers are the ones who anticipate and adjust to changing circumstances rather than being passively swept along or caught unprepared. etc. An enterprise has to take note of these changes and adapt itself quickly. With a view to realize the predetermined goals-managers plan carefully. methods. (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. In the final analysis. Objective can be achieved only when the human and non-human resources are combined in a proper way. all these help in realizing goals with maximum efficiency. counseling and effective leadership. (v) Change and growth: Changes in technology. 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. Organize the resources properly. techniques. (b) Ensuring the survival of the firm in the face of continued changes. competition. (iii) Establishers sound industrial relations: Management minimizes industrial disputes and contributes to sound industrial relations in an undertaking. Industrial peace is an essential requirement for increasing productivity. skills. government policy. . ii) Formalized methods of acquiring training and experience. (iv) Achievement of goals: Management plays an important role in the achievement of objectives of an organization.motivates employees to work harder and better by providing necessary guidance. iii) The establishment of a representative organization with professiona-lizing as its goal. According to McFarland. often threaten the survival of a firm. Managers help an organization by anticipating these changes (carefull planning. manager tries to strike a happy balance between the demands of employees and organizational requirements. They try to put everything on the right tract. a profession possesses the following characteristics: i) A body of principles. procedures and reward systems. Thus unnecessary deviations.. forecasting combined with efficient use of resources) and taking appropriate steps. They initiate prompt actions whenever workers express dissatisfaction over organizational rules. Overlapping efforts and waste motions are avoided. hire competent people and provide necessary guidance.
A. There was little time for reflective thinking because the managers encountered . What he discovered challenged several long-held notions about the manager’s job. unpatterned. and short-duration activities. 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. Management Development Institute. Some individual business organizations. In fact. 1. Management is a profession to the extent it fulfils the above conditions. and the university departments of management offer a variety of short-term management training programmes. sabotaging trade unions. try to develop a code of conduct for their own managers but there is no general and uniform code of conduct for all managers. however. Management is also a profession in the sense that formalized methods of training is available to those who desire to be managers. do not seem to adhere to the principle of “service above self”. manipulating prices and markets are by no means uncommon management practices. Furthermore.. For instance. managers in general. bribing public officials to gain favours. etc. identifiable discipline. and it is not as fully a profession as medicine and law. It may be concluded from the above discussion that management is a science.iv) The formation of ethical codes for the guidance of conduct.S. It has also developed a vast number of tools and techniques. Indeed such mobile managers are regarded as more progressive and modern than others. the American Management Association in U. There is no ethical code of conduct for managers as for doctors and lawyers. management is not as exact as natural sciences. Training facilities are provided in most companies by their training divisions. the All India Management Association. But unlike medicine or law. an art as well as a profession. Management does not fulfill the last two requirements of a profession. little regard is paid to the elevation of service over the desire for monetary compensation is evident by switching of jobs by managers. Management partially fulfils the third characteristic of profession.6 Role of Management In the late 1960s. A number of organizations such as the Administrative Staff College of India. a management degree is not a pre-requisite to become a manager. the Indian Institute of Management. There are a number of representative organizations of management practitioners almost in all countries such as the All India Management Association in India. However. and v) The charging of fees based on the nature of services. As a social science. none of them has the professionalizing of the management as its goal. Mintberz found that his managers engaged in a large number of varied. and it is distinct. in contrast to the predominant views at the time that managers were reflective thinkers who carefully and systematically processed information before making decisions. However. Henry Mintzberg did a careful study of five chief executives at work.
. Table 1.constant interruptions. The third role within the interpersonal grouping is the liaison role. subordinates. and may be inside or outside the organization. Typically. This role includes hiring. fulfill informational roles-receiving and collecting information from organizations and institutions outside their own. But in addition to these insights. and decision-making. and associated duties. Interpersonal Roles: All managers are required to perform duties that are ceremonial and symbolic in nature – interpersonal roles. he or she has an outside liaison relationship. The sales manager who obtains information from the human resources manager in his or her same company has an internal liaison relationship. Managers also act as a conduit to transmit information to organizational members. duties of a legal or social nature. Responsible for the motivation Performing virtually all and activation of subordinates. and disciplining employees. signing perform a number of routine legal documents. he or she is acting in a figurehead role. The term ‘management roles’ refers to specific categories of managerial behaviour. When that sales manager confers with other sales executives through a marketing trade association. what competitors may be planning. training. activities that involve responsible for staffing. Half of these managers’ activities lasted less than nine minutes each. 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. Informational Roles: All managers. Mintzberg provided a categorization scheme for defining what managers do based on actual managers on the job. All managers have a role as a leader. When they represent the organisation to outsiders. motivating. and the like. the transfer of information. Mintzberg concluded that managers perform ten different but highly interrelated roles. 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. training.1: Mintzberg’s Managerial Roles Role Interpersonal Figurehead Description Identifiable Activities Leader Symbolic head. to some degree. These ten roles can be grouped as those primarily concerned with interpersonal relationships. Mintzberg called this the monitor role. This is the disseminator role. obliged to Greeting visitors. manages also perform a spokesperson role. they do so by reading magazines and talking with others to learn of changes in the public’s tastes.
serves as expert on organization’s industry. policies. the organization – some information is factual. emerges as nerve center of internal and external information about the organization. some involves interpretation and integration of diverse value positions of organizational influencers. the making any activity that involves or approval of all significant budgeting and the Informational Monitor Disseminator Spokesperson Decisional Entrepreneur Disturbance handler Resource allocator . network of outside contacts doing external board and informers who provide work. media. Responsible for corrective Organizing strategy and action when organization faces review sessions that important. supervises design of certain projects as well. performing all kinds – in effect. maintaining it current) to develop thorough personal contacts. understanding of organization and environment. Seeks and receives wide variety Reading periodicals and of special information (much of reports. results. making phone subordinates to members of calls to relay information. performing other favors and information. Searches organization and its Organizing strategy and environment for opportunities review sessions to and initiates “improvement develop new programs.Liaison Maintains self-developed Acknowledging mail. activities that involve outsiders. actions. projects” to bring about change. outsiders on organization’s giving information of the plans. Transmits information to Holding board meetings. unexpected involve disturbances and disturbances crises Responsible for the allocation Scheduling. Transmits information received Holding informational from outsides or from other meetings.. etc. requesting of organizational resources of authorization.
negotiations. Katz found that managers need three essential skills or competencies: technical. Mintzberg identified four decisional roles which revolve around the making of choices. Responsible for representing Participating in union the organization at major contract negotiations. physical and monetary resources. Technical Skills: First-line managers. the leader role is more important for lowerlevel managers than it is for either middle-or-top-level managers. Decisional Roles: Finally. and conceptual. Managerial Skills As you can see from the preceding discussion. Specifically. managers perform as negotiators when they discuss and bargain with other groups to gain advantages for their own units. Managers need certain skills to perform the duties and activities associated with being a manager. figurehead. an accounts payable manager must be proficient in accounting rules and standardized . The Nature of Managerial Work (New York: Harper & Row. managers initiate and oversee new projects that will improve their organization’s performance. Source: Henry Mintzberg.organizational decisions. For example. liaison. or manufacturing. 1973). Technical skills include knowledge of and proficiency in a certain specialized field. 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. During the early 1970. a manager’s job is varied and complex. Negotiator programming of subordinates work. the roles of disseminator. negotiator. Last. The evidence generally supports the idea that managers – regardless of the type of organization or level in the organization-perform similar roles. computers. pp 93-94 Copyright Ó 1973 by Hency Mintzberg. Inc. Conversely. He also found that the relative importance of these skills varied according to the manager’s level within the organization. are heavily involved in technical aspects of the organization’s operations. As disturbance handlers. Publishers. As entrepreneurs. such as engineering. However. as well as many middle managers. finance. managers take corrective action in response to previously unforeseen problems. human. and spokesperson are more important at the higher levels of the organization than at the lower ones. Reprinted by permission of Harper & Row. the emphasis that managers give to the various roles seems to change with hierarchical level. research by Robert L. managers are responsible for allocating human. As resource allocators.
it remains just as important at the top levels of management as it is at the lower levels. iii) There is no distinction between the terms ‘management’ and ‘administration’ and they are used interchangeably. 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. These types of conceptual skills are needed by all managers at all levels but become more important as they move up the organizational hierarchy. while others maintain that administration and management are two different functions. They know how to communicate. and inspire enthusiasm and trust. Since managers deal directly with people. According to them. even top managers need some proficiency in the organization’s speciality. management is a lower-level function and is concerned primarily with the execution of policies laid down by administration. Spriegal and Lansburg. lead. administration is a higher level function.forms so that she can resolve problems and answer questions that her accounts payable clerks might encounter. etc. Some writers do not see any difference between the two terms. Thus. Human Skills: The ability to work well with other people both individually and in a group is a human skill. ii) Management is a generic term and includes administration. Those who held management and administration distinct include Oliver Sheldon. But some English authors like Brech are of the opinion that management is a wider term including administration. motivate. this skill is crucial. 1. Administration is a higher level function: . Conceptual Skills: Managers also must have the ability to think and to conceptualize about abstract situations. 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. In fact. and all managers are involved in making decisions.7 Administration and Management The use of two terms ‘management’ and ‘administration’ has been a controversial issue in the management literature. Managers with good human skills can get the best out of their people. Floerence and Tead. These abilities are essential to effective decision-making. Although technical skills become less important as manager moves into higher levels of management.
Administration is a determinative function. i. Environment Administration has direct Management is mainly interaction with external concerned with internal environment of business and forces. This view is held by Tead. Decision. Spriegel and Walter.e.Administration refers to policy-making. 3. environmental forces. administrative decisions. plans and policies through and with others. making strategic plans to deal plans and policies of the effectively with the organisation. Status Administration refers to Management is relevant higher levels of management. 8. Usage of Term The term ‘administration’ is The term ‘management’ is often associated with widely used in business . of human resources. 2. Table 1. is a doing function.. 5. It thinking function. Thus. 6. operative workforce for the execution of plans. administration involves broad policy-making and management involves the execution of policies laid down by the administration. objectives. Nature Administration relates to the Management relates to decision-making. 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. It is a execution of decisions.Administration determines Management decides who Making what is to be done and when shall implement the it is to be done. Managers are Administrators are basically concerned mainly with concerned with planning and organisation and direction control. Scope It is concerned with It is concerned with the determination of major implementation of objectives and policies. 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. 4. at lower levels of management. 7. of the organisation. Direction of It is concerned with leading It is concerned with Human Resources and motivation of middle leading and motivation of level executives.2: Distinction between Administration and Management: Basic 1. on the other hand. Meaning Administration Management Administration is concerned Management means with the formulation of getting the work done objectives. policies.
Five M’s of management (________. co-ordinating. It is the management which transforms physical resources of an organization into productive resources. 3. materials. counseling and effective leadership. 1. Management 2.10 Answers to SAQs and TQs SAQs: 1. 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. 2.9 Terminal Questions 1. _________. public organisations sector and non-business private sector. 1. Money. There are three levels of management-top. Management creates ________ and motivates employees to work harder and better by providing necessary guidance. Bring out the difference between Administration and Management. 3. 2.government offices. manpower 3. Define management. motivating and controlling the efforts of others towards a specific objective. Management is largely found at the middle and lower levels and administration is found at the higher levels. Lower level managers require and use a greater degree of technical skill and managers at higher levels use a greater degree of conceptual skill. organisations. Explain its characteristics.8 Summary Management is concerned with getting things done through other people. Human skills are important at all managerial levels. Self Assessment Questions in the 1. teamwork . Discuss the importance of management. ___________. __________is principally the task of planning. Managers perform different roles to discharge their responsibilities. middle and lower. 1.
MU0004-Unit-02-Management Process Unit-02-Management Process Structure: 2.Answers to TQs: 1.3 2.7 Copyright © 2009 SMU Powered by Sikkim Manipal University .8 Summary 2.1 Introduction Objectives 2.2.5 Staffing 2.7 Motivating Self Assessment Questions 2.2 Process of Management 2. Refer section 1.9 Terminal Questions 2. Refer section 1.1. Refer section 1.10 Answers to SAQs and TQs .5 3.3 Planning 2.6 Directing 2.4 Organizing 2.
Commanding 4. 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. One can also think of management functionally. Organizing. in recent time.2 Management Process Peter Drucker said: “Management is doing things right. Objectives: After this studying this unit. since the managerial tasks have become highly challenging a fluid in nature making distinctions redundant to certain extent. Staffing. Policy Formulation We have noted earlier that all organizations have well-defined goals and objectives. Even . leadership is about setting the desirable goals.2. Organizing 3. Planning 2. management functions have been regrouped into four categories. you will be able to: · Define Management process. · Explain Planning. Controlling However. Motivating. Through leadership and management often overlap. the two are not quite the same. · Explain different functions of management Process. Coordinating 5.1 Introduction Follett (1933) defined management as "the art of getting things done through people”. 1949): 1. Management functions are as follows (Fayol. 2. It is difficult to say where objectives end and policies begin. Directing. There is a degree of overlap between the two. Management is about accomplishing a goal efficiently. leadership is doing the right things“.
2. planning begins with clearly defining the mission of the organization. establishing strategies for achieving these goals. summarizing what the organization does. A mission statement should be short – and should be easily understood and every employee should ideally be able to narrate it from memory. 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. Thus. The mission statement is broad. policies are the means to achieve those ends. general strategies. and then set out the method for achieving it. It provides the direction for the other functions of management and for effective teamwork. thus. and developing plans to integrate and coordinate activities. Every organization needs to plan for change in order to reach its set goal. 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. Planning also enhances the decisionmaking process. driving comfort. overall goals. say a passenger car. and allocating resources. what distinguishers policies form objectives is that you first decide the objective. Decision – Making Taking decisions is a process. However. while a policy. The mission statement may be accompanied by an overarching .so. Therefore. should precede a good deal of research involving market surveys. Effective planning enables an organization adapt to change by identifying opportunities and avoiding problems. fuel and machine efficiency. cost structure and so on. a process in which one chooses a course which one thinks is the best. kicking the ball with the left foot or right foot is a reflex action. All levels of management engage in planning in their own way for achieving their preset goals. Planning in order to be useful must be linked to the strategic intent of an organization. it would be correct to assume that an objective is what you want to accomplish. studies on passenger comfort. planning is often referred to as strategic in nature and also termed as strategic planning.3 Planning It involves the process of defining goals. the decision to change the design of a product. Objectives are the ends. In the football field. 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. The tasks of the strategic planning process include the following steps: Define the mission: A mission is the purpose of the organization. or where you want go to.
Are the facilities outdated? 3. Are the technologies obsolete? For identifying opportunities the following elements need to be looked at: 1. Weaknesses. Opportunities. Do we have a superior reputation? For assessing the weaknesses of the organization the following questions are important: 1. What are the vulnerable areas of the organization that could be exploited? 2. What is our market share? 5. Sources of information may include stakeholders like. SWOT analysis provides the assumptions and facts on which a plan will be based. professional or trade associations (conventions and exhibitions). customers (internal and external). The SWOT analysis begins with a scan of the external environment. governments (local. professional. Is research and development adequate? 4. How skilled is our workforce? 4. state.statement of philosophy or strategic purpose designed to convey a vision for the future as envisaged by top management. suppliers. What makes the organization distinctive? 2. and trade). What are the possible new markets? . international). For assessing the strengths of the organization the following questions are important: 1. Conduct a situational or SWOT analysis A situation or SWOT (Strengths. Threats) analysis is vital for the creation of any strategic plan. federal. How efficient is our manufacturing? 3. Organizations need to examine their business situation in order to map out the opportunities and threats present in their environments. journals and reports (scientific. In which areas is the competition not meeting customer needs? 2. Analyzing strengths and weaknesses comprises the internal assessment of the organization. What financing is available? 6.
Objectives are also called performance goals. return on investment.3. These are specific plans that are needed for each task or supportive activity comprising the whole. Set goals and objectives Strategic goals and objectives are developed to fill the gap between current capability and the mission. Generally. Benchmarking systematically compares performance measures such as efficiency. and operational planning . operational plans are based on the organization’s tactical plans. Strategic. It also helps in setting minimum acceptable standards or common-sense minimums. What is the strength of the economy? 4. earnings per share. What are the emerging technologies? 6. Are our rivals weak? 5. or outcomes of an organization against similar measures from other internal or external organizations. They are aligned with the mission and form the basis for the action plans of an organization. The SWOT analysis is used as a baseline for future improvement. Are market tastes changing? 5. Develop related strategies (tactical and operational) Tactical plans are based on the organization’s strategic plan. What substitute products exist? In general terms. Is there a shortage of resources? 4. What are the new regulations? 6. as well as gap analysis. In turn. etc. Is there a possibility of growth of existing market?) Identifying threats involves the following: 1. Comparing the organization to external benchmarks (the best practices) is used to assess current capabilities. the best strategy is one that fits the organization’s strengths to opportunities in the environment. Are there new competitors? 3. In which areas does the competition meet customer needs more effectively? 2. tactical. organizations have longterm objectives for factors such as. effectiveness.
working toward common goals. 2. An organization chart displays the organizational structure and shows job titles. and where decisions are to be made. grouped. It is the extent to which the units of the organization are explicitly defined and its policies.4 Organizing It involves designing. necessary to maintain competitive advantage in the said market. and relationships between departments. List all tasks to be accomplished 3. The formal organization can be seen and represented in chart form. short-term standards for key variables that will tend to validate and support the long-range estimates must be established. Review plans 2. 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. who is to do. and coordinated. procedures. who reports to whom. structuring. Divide tasks into groups one person can accomplish – a job 4. The steps in the organizing process include: 1. Formalization is an important aspect of structure. and coordinating the work components to achieve organizational goal. with ideas and resources. Organizational structure is the formal decision-making framework by which job tasks are divided.must be accompanied by controls to ensure proper implantation of the plans. Monitor the plan A systematic method of monitoring the environment must be adopted to continuously improve the strategic planning process. Assign work to individuals 6. Delegate authority to establish relationships between jobs and groups of jobs. Organizations are groups of people. lines of authority. The purpose of the organizing function is to make the best use of the organization’s resources to achieve organizational goals. It is the official organizational structure conceived and built by top management. This review is used for the next planning cycle and review. 2. Feedback is encouraged and incorporated to determine if goals and objectives are feasible. It is the process of determining what tasks are to be done. To develop an environmental monitoring procedure.5 Staffing . Group related jobs together in a logical and efficient manner 5. and goals are clearly stated.
Theo Haimann – “Concerned with the placement. Koontz. promotion. training. 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”. 3. 4. performance appraisal etc. transfer and appraisal of personnel to fill the organizational positions. recruitment. This task has been referred to as staffing. 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. recruitment. development. It has many sub-functions: Staffing involves determination of the manpower requirement. placement. placement. 3. 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. O’Donnell & Weihrich have defined staffing as “filling positions in the organization structure through identifying work force requirements. 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. Definition: 1. appraisal. . 2. 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. It involves many sub-functions such as manpower planning. money. 2. inventorying the people available. selection. selection. compensation and training of needed people”. Pervasiveness of Staffing: Effective execution of staffing function is the responsibility of all managers in the organization. materials.It is not the machines. Staffing refers to the managerial function of determining and improving the manpower requirements of an enterprise.
Through direction. Thus staffing is an ongoing process through – out the life of an organization. It is an important managerial function. lead them and guide them on a continuous basis. how to do and telling them to do to the best of their ability. A manger needs to give orders to his subordinates. Present positions must be filled keeping in mind the future requirements. Personnel policies and programs must be formulated as guides to perform the staffing function effectively. . Direction function is performed at every level of management. Direction is continuous process and it continues throughout the life-time of the organization. overseeing and leading people. resignation. 2. vacancies arise out of retirement. It is a continuing function. It is a process: it is a process having a logical sequence i.6 Directing Direction is one of the functions of management. 6. 3. 8. training development and maintenance of personnel. It is instructing people as to what to do. It is a continuous function: With the growth and expansion of business additional manpower is needed. management initiates actions in the organization. motivate them. promotion. selection. 7. 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. Characteristics of Direction The characteristic features of direction are as follow: 1.5. recruitment. identifying the manpower requirements. 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”. Direction is an important managerial function.e. 2. It deals with future requirements: Staffing deals with current and future personnel requirements. Thus staffing deals with the future requirements also. induction. Direction is the managerial function of guiding. etc. Definition According to Koontz and O’Donnel.
humanness and psychological health a person will show. Pervasive function: Directing is a managerial function performed by all mangers at all levels of the organization. thirst. will vary depending upon his level. Continuous function: Directing is a continuous process. It is an important function of management: Directing is an important management function which provides a connecting link between planning. teach. shelter. on the other. proposed by Maslow (1943). 4. and other bodily needs . 2. “without the issuance of directives. Theories X and Y. Directing is the process around which all performances revolve. The further they progress up the hierarchy. without guiding and overseeing subordinates. organizing and staffing on one hand and controlling on the other. The person advances to the next level of needs only after the lower level need is at least minimally satisfied. sex. satisfied needs cannot. the number of subordinate he has and the other duties he is expected to perform. The amount of time and effort an executive spends in directing however. Direction has dual objectives. guide. only unsatisfied needs can influence behavior. human beings have wants and desires which influence their behaviour. 5. The manager never ceases to direct. As Theo Haimann puts it. nothing or at the best very little would be accomplished”. 2. coach and supervise his subordinates. It emphasizes that a subordinate is to be directed by his own superior only. Direction imitates at the top level in the organization and follows to bottom through the hierarchy. The five needs are: · Physiological: Includes hunger. from the basic to the complex. Essence of performance: Directing is the process around which all performances revolve.7 Motivating Motivating In the 1950s three specific theories were formulated and are the best known: Hierarchy of Needs theory. the more individuality. Maslow’s Hierarchy of Needs Theory According to this theory. On the one hand. to provide superiors opportunities for some more important work which their subordinates cannot do. Nature of Directing The nature of directing can be discussed under the following: 1. and the Two-Factor theory. 3. it aims at getting things done by subordinates and. The needs are arranged in order of importance.4.
belongingness. From the above. and attention · Self-actualization: The drive to become what one is capable of becoming. Workers need to be closely supervised and a comprehensive system of controls and a hierarchical structure is needed to supervise the workers closely. and external esteem factors. It is also assumed that workers generally place security above all other factors and will display little ambition. acceptance. self-direction. and friendship · Esteem: Includes internal esteem factors. Theory Y assumes that higher-order needs dominate individuals. recognition. 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.· Safety: Includes security and protection from physical and emotional harm · Social: Includes affection. such as. and exercise self-control. self-motivated. includes growth. whereas. It is also believed that. 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. Theory Y – In this theory management assumes employees may be ambitious. It is believed that employees enjoy their mental and physical work duties. and self-actualization are classified as higherorder needs. autonomy. and self-fulfillment Maslow separated the five needs into higher and lower orders. status. esteem. it is clear that Theory X assumes that lower-order needs dominate individuals. and achievement. if they can. externally. autonomy and empowerment. achieving one’s potential. Higher-order needs are satisfied internally. if given the chance employees have the desire to be creative and forward thinking in the workplace. self-respect. Herzberg’s Two Factor Theory . Social. Physiological and safety needs are described as lower-order. anxious to accept greater responsibility. Theory X – In this theory management assumes employees are inherently lazy and will avoid work. Lower-order needs are predominantly satisfied. such as.
Presence of these factors ensure job satisfaction. When hygiene factors are adequate. and coordinating the work components to achieve organizational goal. but their presence does not motivate or create satisfaction. recruitment. recognition. These two factors are motivators and hygiene factors and this theory is also called motivation-hygiene theory. 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 absence of hygiene factors can create job dissatisfaction. Self Assessment Questions 1. who is to do. company policy.8 Summary Management is the art of getting things done through people. advancement. Every organization needs to plan for change in order to reach its set goal. ____defined management as the art of getting things done through people. In summary. neither will they be satisfied. how the tasks are to be grouped. 2. supervision. Removing dissatisfying characteristics from a job does not necessarily make the job satisfying. 2. Organization involves designing. The _____analysis begins with a scan of the external environment. emphasize factors intrinsically rewarding that are associated with the work itself or to outcomes directly derived from it. Planning involves the process of defining goals. _______refers to the managerial function of determining and improving the manpower requirements of an enterprise. have to do with a person’s relationship to the context or environment in which she or he performs the job. . 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. Hygiene factors on the other hand.Herzberg (1959) constructed a two-dimensional paradigm of factors affecting people’s attitudes about work. responsibility. and developing plans to integrate and coordinate activities. working conditions. interpersonal relations. such as. who reports to whom. performance appraisal etc. Extrinsic factors. Job satisfaction factors are separate and distinct from job dissatisfaction factors. and salary are hygiene factors. It is the process of determining what tasks are to be done. Motivators are intrinsic factors. 3. many related to the tasks being performed. Staffing refers to the managerial function of determining and improving the manpower requirements of an enterprise. such as. and achievement. motivators describe a person’s relationship with what she or he does. and where decisions are to be made. It involves many sub-functions such as manpower planning. To motivate people. people will not be dissatisfied. establishing strategies for achieving these goals. structuring.
6 Copyright © 2009 SMU Powered by Sikkim Manipal University . Staffing Answers to TQs: 1.10 Answers to SAQs and TQs SAQs: 1.1 Introduction Objectives .2. Explain Staffing in detail 3. 2. Follett 2.5 3. What is planning? 2. Reference 2.9 Terminal Questions 1.3 2. Reference 2. SWOT 3. Write a short not on directing. MU0002-Unit-03-Organization Development: A Need Unit-03-Organization Development: A Need Structure: 3. Reference 2.
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.
We will explain this definition in some detail. we mean those interacting. For empowerment to become fact of life. and self-examining processes that facilitate individual. By learning processes. the ways those goods will be produced and delivered to customers. By visioning processes. 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. developing the strategy for getting there. to improve an organization’s visioning. By long-term effort. listening. coherent. it must be built into the very fabric of the organization-its strategy. 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. we mean those processes through which organization members develop a viable. then another moves it to yet a higher plateau of effectiveness. and shared picture of the nature of the products and services the organization offers. Most OD programs that fail do so because top management was ambivalent. it includes pain and setbacks as well as success. we mean involving large numbers of people in building the vision of tomorrow. empowerment. structure. lost its commitment. One program or initiative moves the organization to a higher plateau. where new and expansive patterns of thinking are nurtured. The phrase led and supported by top management states an imperative: Top management must lead and actively encourage the change effort. processes. “Organization development is a long-term effort. By empowerment processes. we mean that organizational change and development takes time. team. Organizational change is hard. where . through an ongoing. and organizational learning. Top management must initiate the improvement “journey” and be committed to seeing it through. learning. 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.” This definition is lengthy. but it includes a number of components that we consider essential. There is no “quick fix” when it comes to lasting organizational improvement. By empowerment. and culture. We do not propose it as the “right” definition. serious business. but as one that includes characteristics we think are important for the present and future of the field. it is more accurate to describe “improvement” as a never-ending journey of continuous change. or became distracted with other duties.Now let’s turn to our definition of organization development.several years in most cases. and what the organization and its members can expect from each other. led and supported by top management. including action research. In fact. Peter Senge describes learning organizations as “… organizations where people continually expand their capacity to create the results they truly desire. and making it happen. and problem-solving processes.
we affirm our belief that culture is the bedrock of behaviour in organizations. expectations. discovered. And second. empowerment. and artifacts. make decisions. and each influences the others. Empowerment means involving people in problems and decisions and letting them be responsible for results. Edgar Schein clarifies the nature and power of culture in his definition: “Culture can now be defined as (a) a pattern of basic assumptions. Just as visioning. has a stake in making the organization work. and feel-that is why culture change is necessary for true organizational improvement. and norms of behaviour that are viewed as the correct way to perceive. and problem-solving processes. The reciprocal influence among culture. first. assumptions. By ongoing collaborative management of the organization’s culture. therefore (e) is to be taught to new members as the (f) correct way to perceive. structure. that one of the most important things to manage in organizations is the culture: the prevailing pattern of values. 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 take actions on problems. (b) invented. learning. By including culture so prominently in our definition. culture is of primary importance. opportunities. so is managing the culture.” Problem-solving processes refer to the ways organization members diagnose situations. think. We believe that when the culture promotes collaboration. so they are the place OD programs often begin – getting people to stop doing things one way and start doing them a different way. Our definition also places considerable weight on organizational processes. and common purposes of all members of the organization. Collaborative management of the culture means that everyone. (d) that has worked well enough to be considered valid and. We believe solutions to problems are enhanced by tapping deeply into the creativity. not just a small group. norms. Still. values. sentiments. learning. empowerment. Processes are relatively easy to change. and problem-solving processes are opportunities for collaboration in organization development. So culture consists of basic assumptions. activities. beliefs. and where people are continually learning how to learn together. attitudes. But change becomes permanent when the culture changes and people accept the new ways as the “right” ways. or developed by a given group. interactions. strategy. We further believe that having compelling. Michael Beer’s definition called for “developing new and creative organizational solutions”. . think. Processes are how things get done.collective aspiration is set free. (c) as it learns to cope with its problems of external adaptation and internal integration. commitment. vitality. and we highlight the importance of visioning. widely shared vision of a desired future creates the best climate for effective problem-solving by all the organization’s members. and challenges in the organization’s environment and its internal functioning. and processes makes each important. and feel in relation to those problems. in contrast to having only a select few involved. empowerment. solve problems. managing the culture should be a collaborative business. and continuous learning the organization is bound to succeed. we mean.
intact work teams do not have a boss in the traditional sense-the teams manage themselves. Further. 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. Specifically. self-directed teams control performance appraisals. The results are usually highly gratifying both for the team members and for the organization. We think teams are the basic building blocks of organizations. He uses the terms ‘multifunctional projectization’ and ‘horizontal systems’ to describe these teams and their work. To summarize. When teams function well. OD focuses on culture and processes. Today’s organizations increasingly use ad hoc teams that perform a specific task and disband when the task is completed. here are the primary distinguishing characteristics of organization development: 1. hiring. This method resulted in loss of synergy. firing.By intact work teams and other configurations. The most prevalent form of teams in organizations is intact work teams consisting of superior and subordinates with a specific job to perform. much rework. individuals and the organization function well. members are trained in competencies such as planning. manufacturing. The definition we have just analyzed contains the elements we believe are important for OD. and using management information. maintaining quality control. In addition to team building and role and goal clarification. according to Peters. The old method was to have functional specialists work on the problem sequentially. engineering. 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. . and then disbanded with the people going on to new tasks. OD encourages collaboration between organization leaders and members in managing culture and processes. and procurement. Temporary. we recognize that teams are central to accomplishing work in organizations. These self-directed teams assume complete responsibility for planning and executing work assignments. team culture can be collaboratively managed to ensure effectiveness. 2. 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. and training. In Liberation Management. wasted time. When one function finished with its part of the project. Over time. and considerable antagonism among the separate functional specialists. multifunctional. But in many organizations today. such as design. the process “threw the results over the wall” to the next functional unit. constantly shifting teams will be the dominant configuration for getting work done. Team building and role and goal clarification interventions are standard activities in OD programs directed toward intact work teams.
rather than focusing attention on individuals. 3. OD practitioners are facilitators. Planned Change: OD is a strategy of planned change for organizational improvement. and co-learners with the client system. OD relies on an action research model with extensive participation by client system members. It recognizes that organizational goals change. Comprehensive Change: OD efforts focus on comprehensive change in the organization. or isolated problems. The concept of comprehensive change is based on the systems concept-open. . Attempting to create “win-win” solutions is standard practice in OD programs. 3. so the methods of attaining these goals should also change.3 Characteristics of OD 1. collaborators. and cyclic processes. OD focuses on the human and social side of the organization and in so doing also intervenes in the technological and structural sides. Teams of all kinds are particularly important for accomplishing tasks and are targets for OD activities. 7. 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. temporary. Long-range Change: OD efforts are not meant for solving short-term. OD views organization improvement as an ongoing process in the context of a constantly changing environment. 10. 2. 5. so that change is easily observed. 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. OD takes a developmental view that seeks the betterment of both individuals and the organization.3. This ‘planned’ emphasis separates OD efforts from other kinds of more haphazard changes that are frequently undertaken by organizations. 6. they are ongoing. 8. Participation and involvement in problem-solving and decision-making by all levels of the organization are hallmarks of OD. dynamic and adaptive system. 9. OD efforts are not one-shot actions. Thus. 4. 4. Rather. interactive. OD focuses on total system change and views organizations as complex social systems. 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. rather. OD focuses on the elevation of an organization to a higher level of functioning by improving the performance and satisfaction.
rather. and revitalization. Although Organization Development Programmes vary. (b) The interventions are primarily directed towards problems and issues identified by the client group. They discourage ‘do it yourself’ approach. Participation of Change Agent: Most OD experts emphasize the need for an outside. identity. 3. A change agent in OD process does not just introspect the people and introduce changes. takes actions for intervention. At the individual level. (b) Problems of human satisfaction and development. There is a close working relationship between the change agent and the target organizational members to be changed. practitioners and the client laymen. 7. or catalyst. OD attempts to provide opportunities to be ‘human’ and to increase awareness. Two important elements of Organization Development are. yet following features are common to most of the programmes: (a) The client is a total system or major subunit of total system. first. Emphasis on Intervention and Action Research: OD approach results in an active intervention in the ongoing activities of the organization. He designs intervention strategies based on these data.5. third party change agent. further more. This is done to arrive at certain desirable outcomes that may be in the form of increased effectiveness. participation. he conducts surveys. and then. The relationship involves mutual trust.4 Categories of OD Programmes In general. the importance and centrality of goals and objectives and the different role requirements of the consultant change agent vis-à-vis the clients. problem-solving. 6. and (c) Problems of organizational effectiveness. Action research is the basis for such intervention. Organization Development is inextricably linked with action. and adaptability for the organization as a whole. it is a programme with a purpose that is to guide present and future action. joint goals and means. evaluates these data. Key areas are the normative type of model. and integrate individual and organizational goals. growth. 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’. He shares a social philosophy about human values. the collaborative relationships between the scientists. collects relevant data. The change agent is a humanist seeking to get a humanistic philosophy in the organization. and mutual influence. . second. all types of experience requiring Organization Development efforts may be grouped into three categories: (a) Problems of destiny. the element which links Organization Development with the scientific method of inquiry and.
(e) To make competition more relevant to work goals and to maximize collaborative efforts. (c) To locate decision making and problem-solving responsibilities as close to sources of information as possible. (g) To increase the sense of ‘ownership’ or organization’s objectives throughout the work force. (b) To supplement the authority associated with role or status. (d) To build trust among persons and groups throughout an organization. with the authority of knowledge and competence. its underlying theory and assumptions and some of the pitfall and challenges in attempting to improve organizations through behavioural science. 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. This Organization Development progrmmes.5 Goals of Organization Development Following are the generally accepted goals of OD: (a) To create an open. and (d) The interventions are based on behavioural science theory and technology. (i) To increase self-control and self-direction for people within the organization.(c) The interventions are directed towards problem-solving and improved functioning for the client system. problem solving climate throughout an 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. 3. 3. like other normative re-educative programmes.6 OD and Management Development . (j) To improve effectiveness of the organization. We need to examine carefully the techniques of Organization Development. (f) To develop a reward system which recognizes both the achievement of the organization’s goals (profit or service) and development of people.
The term ‘development’ refers broadly to the nature and direction of change induced in personnel through the process of training and education. and (iv) a sense of responsibility.” Organization development differs from management development. 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. with their existing objectives and structure. Burke and Schmidt have made this difference more clear which is presented in the following table. Miner has drawn difference between two processes.At this stage. accomplishments. According to him. If OD efforts train people towards anti-authority value. Difference between Management Development and OD Factors Objectives Management Development Organization Development Increasing manager’s Changing the nature of the contributions to goal organization. and greater display of feelings and emotions. management development has been defined as follows: “Management development is all those activities and programmes when recognized and controlled. Train and equip employees Focus on design. according to him. Focus . While the latter aims at developing the mangers individually for the accomplishment of better performance in organizational setting. he appears to be biased against OD and the real distinction between OD and MD lies in between these two extremes. Based on this. organization. These are: (i) a positive attitude towards authority. Before making a comparison between the two. the former goes one step further and purports to change the entire organizational climate where the mangers work. 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. and techniques adopted in both may overlap to some extent. not on the and managers to perform managers. there are four attributes of effective managers in large organization. it is beneficial to make a comparison between OD and Management Development (MD) as both have some common objectives that betterment of an organization. then would the results be functional for managing organization activity in a competitive world? Thus. more attention to peer-groups. (iii) assertiveness. MD tries to fit the men to the organization. He feels that management development reinforces the above four qualities and helps managers cultivate and develop the will to manage. (ii) competitiveness. However. less individual competitiveness. focus on achieving better in existing improvement in design. let us define management development as we have seen the definition of OD. OD tries to fit the organization to the men.
has invited sharp criticism as a strategy to increase organizational viability and effectiveness because many OD programmes have failed. as a long-term strategy for organizational change. To treat each human being as a complex person with a complex set of needs important in his work and his life. 3. however.Approach Time Educative and training Short-range.8 Problems in Organization Development Organization development. 2. 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. 3. however. Specialist No special requirement. it is quite suitable for improving organizational performance on long-term basis. To increase the openness of communications in all directions-vertically. In early 60s. Trained specialists required. Since OD attempts to bring comprehensive change in the organization. substantial disenchantment with OD became evident because of many controversial OD techniques like sensitivity training. OD can be utilized for the following results in the organization: 1. Much of the enthusiasm created at the beginning of OD programmes vanished over the period of time. To increase the level of self and group responsibility in planning and its implementation. OD became quite successful with many professional consultants offering high services and programmes to various organizations. To increase the level of enthusiasms and personal satisfaction at all levels of the organization. Research studies have also failed to conclude . etc. Long-range strategy for organizational innovation and renewal. 7. plays key role in organizational improvement. Thus.7 Role of Organization Development Organization development. 6. 5. confrontation techniques. 3. To create an environment in which authority of assigned role is augmented by authority based on knowledge and skills. horizontally. To place emphasis on humanistic values and goals consistent with these vales. Problem-solving approach. and laterally. To increase the level of trust and mutual emotional support among all organization members. 4. By 70s.
2. There should be proper use of OD interventions. There is discrepancy between ideal and real situations. particularly in bottom-line ones. it fails even as a long-term strategy.significant contributions of OD in all organizations. OD is criticized on the following lines: 1. OD programmes are often quite costly. There should be genuine support of OD programme from top management. 3. Resistance to change is a natural phenomenon and OD puts undue pressure to change. Therefore. 2. some specific efforts are required. OD makes people unfit for the real organizations world because no organization can fully adopt open system concept. For example. it can be visualized that OD itself may not be dysfunctional but application may be. If an organization is laden with these people. 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. However. OD fails to motivate people with low level of achievement needs. In general. Enough time should be allowed so that the effects of OD programme are realized. Therefore. Thus. These should be based on the specific needs of the organization. People realized its dysfunctional aspects only when many OD efforts failed. Some of these efforts are as follows: 1. 5. and only large organizations can afford this luxury without any guarantee of positive outcome. OD tries to achieve ideal without taking into account real. it may be emphasized that OD programmes are likely to fail when these are not programmes and hence failure. in order to make best use of OD efforts. 3. 4. 4. . it is useless to try OD. OD can not be taken as panacea for curing all organizational problems. 5. Organization must formulate the objectives of OD programme very clearly and specifically. and (ii) failure to correctly model appropriate personnel behaviour in the programme. It can be seen that many of these criticisms are based on reality and experience. Hence. Only fully competent OD consultant should be pressed for the service and he should develop understanding with internal change agents. and (iii) failure to increase employee motivation through participation and development of personal growth and self-esteem.
Organization development should be led and supported by –––––––. 4. It focuses on the human and social side of the organization and in so doing also intervenes in the technological and structural sides. Explain its salient features. Management development aims at developing the managers individually. problem-focused ‘nature of OD’ marshals the experience and expertise of organization members for problem-solving and capitalizes the opportunities in the organization. The participative. OD focuses on culture and processes.Self Assessment Questions 1. 4. Empowerment . collaborative. But OD aims at changing the entire organizational climate where the managers work. 2.11 Answers to SAQs and TQs SAQs: 1. 3. OD is the ultimate remedy for organizational improvements and developments. 3. _____________is a short-term strategy. State the various roles of OD. Define OD. Top management 2. What are the problems involved in the implementation of OD? 3. 3. There is no ‘quick fix’ to organizations’ problems. Who is associated with the “Learning Organizations”? 5. ––––––––– is a process which includes leadership behaviours and human resource practices. Explain the various characteristics of OD. 5. ––––––– is associated with “Liberation Management”. Distinguish between ‘organizational development’ and ‘management development’. 3.10 Terminal Questions 1.9 Summary The definitions clarify the distinctive features of OD and suggest why it is such a powerful change strategy. 2. Tom Peters 3.
4 Grid Training 4.6 4.Organization Development – Interventions Unit-04.5 Leadership Development 4. Refer section 3. Peter Senge 5. Refer section 3.2 Survey Feedback 4.Organization Development – Interventions Structure: 4. Refer section 3.2 2. MU0002-Unit-04.3 Process Consultation 4.8 Copyright © 2009 SMU Powered by Sikkim Manipal University . Management development Answers to TQs: 1.1 Introduction Objectives 4.7 5.6 Team-building . Refer section 3. Refer section 3.4.3 3.
” There are various OD interventions and they are classified in different ways. management grid. Interventions constitute the action thrust of organization development.9 Role of Change Agents Self Assessment Questions 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.8 Change Agents 4.1 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. Thus.4. education and training. However. survey feedback. the classification of OD interventions shows variation. process consultation. interpersonal level. For example. techno-structural activities.11 Terminal Questions 4. People’s behaviour may be relevant to understand at individual level. Nevertheless. inter-group activities. the classification appears to be more relevant because it may specify the .7 Inter Group Development 4. French and Bell have suggested twelve families of OD interventions: diagnostic. Further. interventions may be required to change people at all these levels. team-building. various consultants and practitioners have different opinions about the activities which can be included in interventions. mediation and negotiation activities.12 Answers to SAQs and TQs 4. 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. work group. they make things happen.10 Summary 4. Therefore. and organizational level. group level. 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. 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. inter-group level. many of them visualize data gathering as an intervention whereas it is treated as only preparatory work for OD by others. and organizational culture.
team. To assist the organization in diagnosing its problems and developing action plan for problemsolving. managerial goal emphasis. Our further discussion follows this development. Though some type of survey method was prevalent in various organizations earlier. . peer goal emphasis. · Explain grid training. peer work facilitation. and peer interaction facilitation. and follow up. · Describe process consultation. USA developed a comprehensive questionnaire for conducting survey in different aspects of an organization. · Realize the importance of team-building. 4. 1. ISR has prepared a questionnaire which includes questions on leadership – managerial support. Objectives: After studying this unit. other techniques like process consultation.building. To assist the group members to improve the relationships through discussion of common problems. Institute for Social Research (ISR) of University of Michigan. the other major thrust in the development of OD has come from survey research and feedback of data.range of change that an organization requires. and survey feedback method. The questionnaire may include different aspects of organizational functioning. Historically. grid training. Subsequently. developing action plans based on feedback. and participative goal-setting which has become more popular as management by objectives. Data Collection: The first step in survey feedback is data collection usually by a consultant based on a structured questionnaire. have been added. Process of Survey Feedback Survey feedback usually proceeds with sequential activities involving data collection. 2. The basic objectives of survey feedback are as follows: 1. OD efforts were attempted through sensitivity training.2 Survey Feedback Besides laboratory training (sensitivity and grid). you will be able to: · Describe survey feedback. managerial work facilitation. feedback of information. · Role of change agents. peer support.
control within the company. If it is biased. 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. feedback is given to the persons who have participated in the fulfilling up of questionnaire. satisfaction with the pay. effectiveness of survey feedback depends on two factors. it is provided through group discussion or problem-solving sessions conducted by the consultant. It is cost-effective means of implementing a comprehensive OD programme making it a highly desirable technique. 2. After the questionnaires are completed. it should be constructive and suggestive. and satisfaction-satisfaction with the company. 2. follow-up action may be in the form of developing some specific OD interventions particularly process consultation and team-building. It generates great amount of information efficiently and quickly which can be used in solving problems faced by the organization and its members. satisfaction with the job. feedback may be given in the form of a written summary of findings. data are classified. Second. 3.organizational climate-communication with the company. Evaluation of Survey Feedback Survey feedback provides a base for many managerial actions which has been confirmed by various research studies. and analysis is made to arrive at some meaningful conclusions. In oral system of feedback. The questionnaire is administered personally either by the members of consulting firm or by organization’s personnel. Alternatively. and satisfaction with the work group. Whatever the method of giving feedback is adopted. co-ordination between departments. In particular. and general management. 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. even if valid and reliable information is collected. all attempts to diagnose the problems will be abortive and futile. Follow-up Action: Survey feedback programme is not meaningful unless some follow-up action is taken based on the data collected. it is of no use unless follow-up action is taken based on the . rather. Feedback of Information: After the data are analyzed. satisfaction with the supervisor. decision-making. questionnaire used and method adopted for its administration should be reliable and valid. by the consultant. However. tabulated. The feedback may be given either orally or in a written form. motivation. 3. First. survey feedback contributes in the following manner: 1. 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.
Edgar Schein. 4. group decision-making and problemsolving. it provides base for action for change. understand.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. 2. communication. and inter-group co-operation and conflicts. Gather Data and Make a Diagnosis: Information is collected from various sources thorough the use of questionnaires. 2. 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.C are communicated to them with a view that they co-operate with the consultant. To bring desired change in the various organizational processes like leadership. 3.C are as follows: 1. Define the Relationship: At this stage. group norms. the leading writer and consultant on P. Initiate Contact: This is beginning stage of P. the client’s expectations and hoped-for results are also decided. observations.” The basic objectives of P.C) is a technique for intervening in an ongoing system. At this stage. etc.information. and interview about the problems. the consultant is introduced to the organizational members and basic objectives of the P. .C has defined it as follows: “The set of activities on the part of the consultant which help the client to perceive. At this stage. This data gathering occurs simultaneously with the entire consultative process. Steps in Process Consultation Schein has suggested following specific steps which the consultant would follow in a P. time.C programme of OD. Information collected is processed to diagnose the problems and their underlying causes. The basic content of P. client and consultant enter into agreement covering various aspects of consultancy services like fees.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. roles and functions of group members. spelled out at the initial stage. A survey feedback is not a technique in itself for change.3 Process Consultation Process Consultation (P. 4. To understand how various organizational processes can be linked to objective achievement in the organization. 1. and spelling out services. and act upon the process events which occur in the client’s environment.
group. The whole orientation is to develop managerial style through the application of behavioural science knowledge. Its specific objectives are as follows: 1. 6. 2. One basic reason for this phenomenon may be the consultant’s inability to steer the organization out of troubles.5. like other OD intervention techniques. From this point of view. he assists the organizational members to incorporate those changes. the consultant intervenes in the organizational processes by using different interventions like agenda-setting. feedback. However. Intervene: At this stage. P. enabling individuals and groups to assess their own strengths and weaknesses. .C programmes. To study the organization as an interactive system and apply techniques of analysis in diagnosing its problems. focuses on skills. inter-group. The grid organization development consists of six phases. To understand the importance and rationale of systematic change. knowledge. Reduce Involvement and Terminate: When the work of P.4 Grid Training Grid training is basically based on grid organization development developed by Blake and Mouton. and the organization as a whole. Evaluation of Process Consultation: Process consultation is quite in-depth activity of OD in which the consultant plays a major role.C is completed. and processes necessary for effectiveness at the individual. and total organizational levels. It utilizes a considerable number of instruments.C is very effective intervention for organizational improvement. Though he is involved only in suggesting the various changes in the processes. P. groups. significant correlation between the outcomes has not been found. It is a comprehensive and systematic OD programme which aims at individuals. the consultant disengages from the client organization by mutual agreement but leaves the door open for future involvement. 4.C is also not free from criticisms. To evaluate the styles of leadership and techniques of participation to produce desirable results. In the review of various P. However. 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. both these problems may be overcome by engaging a suitable consultant and developing willingness among the members for change. 3. coaching. Process of Grid Training The basic content of grid organization development is managerial grid as discussed. and/or structural change.
grid training is a non-rigorous method. 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 skills relating to planning. therefore. communication skills. The strategy is then implemented. The thrust is on moving groups from conflict to co-operation. 4. In this light. Evaluation of Grid Training Most of the support of grid training has come from its originators-Blake and Mouton. and teamwork. Managerial grid: It covers various aspects of assessing managerial styles. Each group may be given assignment to evolve strategy for making ideal organization with the help of the consultant. Inter-group Development: At this phase. it discounts reality. The action is designed to identify the characteristics of the ideal organization. 4. the focus is on inter-group behaviour and relations. grid training has some positive contributions for organizational effectiveness. Further. and alike.5 Leadership Development . problem-solving. the various programmes may be redesigned. and problemsolving are also developed. 6. Teamwork Development: The focus in this stage is to develop teamwork by analyzing team culture. The members of the organization are trained for achieving this excellence. objective-setting. traditions. 3.” In a later work. The individuals try to learn to become managers by practice. Though research studies on the application of grid training are not many. The analysis will bring out the shortcomings that may be there. in spite of these criticisms.1. Systematic Critique: In this stage. they maintained the same stand. 5. Each group separately analyses the ideal inter-group relations. Grid training programme is criticized on the basis that it lacks contingency approach and. the various efforts from phase 1 to phase 5 are evaluated and critical analysis is made. They have maintained that “managerial and team effectiveness can be taught to managers with outside assistance. Furthermore. 2. Developing Ideal Strategic Corporate Model: At this stage. some of them have not supported the claims made by Blake and Mouton. the focus shifts to the total organization and to develop skills necessary for organizational excellence. 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. it appears that this type of educational strategy can help to make significant contributions to organizational effectiveness.
must labor under the weight of employees who have given up. and applied OD intervention for organizational improvement. and credibility of senior and middle management. competence. while at the same time recognizing that tough decisions need to be made. results in an organization becoming completely nonfunctioning. 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. Poor leadership means an absence of hope. teambuilding is the most important. The existence of this trust. are closely associated with a very few advocates and practitioners. Unfortunately. employees learn that leaders will act in indecipherable ways and in ways that do not seem to be in anyone’s best interests. if haven’t established a track record of effective leadership. have no faith in the system or in the ability of leaders to turn the organization around. employees expect nothing positive. widely accepted. The organization must deal with the practical impact of unpleasant change. We can call these Preparing For the Journey. During drastic change times. employees will expect effective and sensible planning. If you are to manage change effectively. The Role of Leadership In an organization where there is faith in the abilities of formal leaders. complete communication that is timely. but more importantly. and that makes coping with drastic change much easier.6 Team-building Various OD interventions discussed so far have their specific implications for OD and. 4. Before going through how team-building exercise can be undertaken to develop effective teams. As against these. lead. In a climate of distrust. and After Arrival. clearly the most important determinant of "getting through the swamp". if allowed to go on for too long. during and after change implementation is THE key to getting through the swamp. how synergy is generated through team-work. by the time you have to deal with difficult changes. concerned and committed to their welfare. employees will look towards the leaders for a number of things. and regular. The best way to summarize is that there is a climate of trust between leader and the rest of the team. employees will perceive leadership as supportive. is the ability of leadership to…well.When change is imposed (as in downsizing scenarios). In organizations characterized by poor leadership. Leadership before. brings hope for better times in the future. let us consider the life cycle of a team. it may be too late.” 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. The literature on the subject indicates that the nature of the change is secondary to the perceptions that employees have regarding the ability. We will look more carefully at each of these. problems in . you need to be aware that there are three distinct times zones where leadership is important. which. Slogging Through The Swamp. Also during these times of change. For example. confident and effective decision-making. therefore.
because of individual differences. storming. Life Cycle of a Team When a number of individuals begin to work at interdependent jobs. and tasks are accompanied efficiently. even the most successful teams as they have completed their mission. members start interaction among themselves in the form of competing for status. At this stage.team-work. and begin to turn their attention to the group tasks. jockeying for relative control. interaction among team members is often cautious especially when they are new to one another. and features of effective team so that team-building exercises focus more sharply on developing effective team. they do represent a broad pattern that may be observed and predicted in many settings across team’s time together. 5. The . 3. Sooner or later. team members get introduced to each other if they have not interacted earlier. Functional roles are performed and exchanged as needed. 2. start to accept others. These stages are: forming. different members may experience varying degree of tension and anxiety out of this interaction pattern. These typical stages of life cycle of a team are described below: 1. 4. group norms emerge to guide individual behaviour which form the basis for co-operative feelings and behaviour among members. and adjourning as shown below: Fig. They share personal information. norming. they often pass through several stages as they learn to work together as a team. At this stage. team members start settling. 4.1: Life Cycle of a Team Though these are not followed rigidly. Performing: When team members interact among themselves on the basis of norms that have emerged in the team. Storming: After the forming stage which is mostly related to perceiving and assessing each other. Norming: After storming stage. Adjourning: Adjourning is the end phase of cycle of a team. they learn to handle complex problems that come before the team. The team begins to move in a co-operative fashion and a tentative balance among competing forces too is struck. Forming: At the first stage of the life cycle. 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. and arguing for appropriate strategies to be adopted for achieving team’s goals. each team has to be adjourned. performing.
the complementarity among members is achieved. 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. 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.adjournment phase takes place in the case of those teams which are created for some special purposes like task force. in one experiment. 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. students find that one or two students do not put their weight for the completion of the project. and so on. For example. 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. that is. 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. fail to perform their assigned tasks. After the adjournment of the team. However. . concept of stages is significant in the context of the nature of problem which team members are likely to face in team-work. committee. To the extent. This effect can be described as 2+2=5 effect. team-work does not necessarily spurt group efforts. intense social relationship among members comes to an end. the team would be effective. other factors remaining the same. In such an assignment. In fact. how a particular element affects another and is affected by it. a team is created to undertake a task which requires a variety of skills and single individual cannot perform that task alone. 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. They rely on the fact the more reliable members will complete the project without their help. 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. Putting the concept of synergy in teamwork means members of the team are complementary to each other and they contribute positively to one another. etc. This phenomenon may happen in teams in work organizations too.” Thus. 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.
Individuals were asked to pull alone as hard as possible on a rope attached to a strain gauge. These factors are skills and role clarity. he may tend to affect others because of chain reaction just like a rotten apple injures its companions. super-ordinate goals and team rewards. Skills and Role Clarity: For an effective team. team members may not show high degree of enthusiasm and they will use only a part of their skills in performing the jobs. team members may tend to contribute positively to the teamwork. individual members do not contribute to the fullest extent. Let us see how these factors make a team effective. 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. managers at higher levels particularly at the top level should set organizational climate and culture which enthuse team members to put their best. 2. other factors remaining the same. They averaged 138. In the above paragraph. the individual average dropped down still lower68.2 pounds. 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. Dropping of average output in group efforts indicates that some members of the group were not contributing as much as they did individually. goals. When the same individuals pulled on the rope of groups of three. The possibility of occurring of social loafing in a team-work increases because of the following reasons: 1. group efforts tend to slacken. . Therefore. supportive environment. it appears that there are many factors in an effective team. While skills are relevant for job performance.6 pound of pressure while tugging on the rope. Thus. and attitudes. 2. Even if one member lacks behind. understanding of roles helps members to meet the requirement of one another thereby solving the problems which the team faces. If the organizational climate is not in tune with high achievement. The phenomenon of social loafing can be minimized by constituting effective team for group performance. group of eight. we have mentioned that team effectiveness depends on the complementarity of team members. 1.it was found that individuals’ total efforts were much higher than the group efforts. When the group is not cohesive with high output norms. From this statement. Supportive Environment: A team loaded with skilled members cannot perform well if the organizational climate is not supportive for that. When the division of work cannot be accomplished properly and individual efforts are hard to determine. two things are required from its members. skills which are complementary to the team requirement and understanding of one’s own role as well as roles of other members.
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
and the groups look for the causes of the disparities.. Therefore. In spite of these problems. It focuses only on work groups and other major organizational variables such as technology. and how it believes the other group perceivers it. Once the causes of the difficulty have been identified. though. . this has been a subject to which change efforts have been directed. stereotypes. listening. The groups then share their lists. One such suggestion is to use a task hierarchy to reinforce the team as it progresses up a behaviour skill hierarchy (for example. monitoring. etc. structure. However. As a result. the groups can move to the integration phase – working to develop solutions that will improve relations. team-building has a positive outlook. the other group. and feedback skills). one of the more Popular methods emphasize problem solving. in different degrees. 3.organization’s outcomes. after which similarities and differences are discussed. Although there are several approaches for improving intergroup relations. 2. However. there have been calls for combining team-building with organization behaviour modification approaches. 4. In this method. team-building contributes to the organizational performance in the following manner: 1.7 Inter-group Development A major area of concern is OD is the dysfunctional conflict that exists between groups. It seeks to change to attitudes. Differences are clearly articulate. are not given adequate attention. It helps in developing effective interpersonal relationships by stimulating the group members for that. Team-building becomes a complicated exercise when there is frequent change in team members. and perceptions that groups have of each other. 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. each group meets independently to develop lists of its perception of itself. it is not that effective in isolation. communicating. It improves the organization’s problem-solving and decision-making ability. In general. team-building has been termed as one-sided effort and it suffers from the following limitations: 1. It helps developing communication within the group and inter-group and overcoming many psychological barriers that block communication flow. 2.
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. employees of the organization. Because they are from the outside these individuals an offer can offer an objective perspective often unavailable to insiders. but one thing he/she is not the driver”. may be more thoughtful (and possibly cautious) because they to live with the consequences of their actions. group discussions. Trainer A change agent needs to be a trainer and educator. operating procedures. as the shock absorber when the going is rough. internal management often will hire the services or outside consultants to provide advice and assistance. or as fog lamp when the future is hazy. however. The consultant may fulfill a variety of functions.9 Role of Change Agents The change agent may play different roles according to the need of organization development . The trainer role is most widely and intensively used at all stages of a change project: unfreezing. presentations. with members from each of the conflicting groups. or outside consultants. According to Curtis Mial: “The Consultant may serve as the exhaust value. role-plays and instruments. cases and experiential learning etc. can now be created for further diagnosis and to begin to formulate possible alternative actions that will improve relations. films.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.8 Change Agents Change agents: Can be managers or nonmanagers. . culture. In contrast. 4. For major change efforts. as the break for too quick action. Outside consultants. as the radiator absorbing some of the heat of the controversy. enabling the client to let off steam: as the ignition to spark action. are disadvantaged because they usually have an inadequate understanding of the organization’s history. 4. as the accelerator to build up momentum. 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.Subgroups. and personnel.
11 Terminal Questions 1.10 Summary OD intervention strategies are various activities which a consultant and client organization performs for improving organizational performance.Training is required for enhancing knowledge. generation of new behavioral science knowledge. It focuses on skills. Grid Training was developed by –––––––––––– 3. knowledge and processes necessary for effectiveness at the individual. 2. 4. 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. diagnosis. 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. feedback of information. What is Grid Training? How does it help in improving individual performance in an organization? 2. 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. Self Assessment Questions 1. The first step in survey feedback is ______ usually by a consultant based on a structured questionnaire. Data collection. attitudes and beliefs. group. Sensitivity training focuses on small group ranging from ten to twelve. skills and change in behavior. inter-group and total organization levels. Grid training focuses on individuals and groups to assess their own strengths and weaknesses. Useful hypothesis are to be formulated and tested. 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. Survey feedback usually proceeds with sequential activities involving data collection. developing action plans based on feedback and follow-up. team-work does not necessarily spurt group efforts 4. ________is antithesis of synergy in team-work which suggests that people working together on a common task may actually decrease their individual efforts. In process consultation. Teambuilding is most important. Training is used both in ‘content orientation’ and process orientation’.
1 Introduction Objectives 5.4 2. What is team-building? What are the stages of life cycle of a team? 4. Refer section 4.8 Copyright © 2009 SMU Powered by Sikkim Manipal University .6 4. and Beliefs in Organization Development Structure: 5. Beliefs in Organization Development Unit-05-Values. Explain Change agents and discuss the role of change agents in detail. Refer section 4. 3. Refer section 4.2 3. Assumptions.2 Definitions and . Assumptions. Data collection 2. Refer section 4.3. MU0002-Unit-05-Values. Blake and Mouton.12 Answers to SAQs and TQs SAQs: 1. 4. Social loafing Answers to TQs: 1.
assumptions. beliefs and assumptions.7 Terminal Questions 5. Objectives: After studying this unit.5. · Give the statement of OD values and assumptions.6 Summary Self Assessment Questions 5.1 Implications for Dealing with Individuals 5.2 Implications for Dealing with Groups 5. it is a cognitive fact for the person.3 Implications for Designing and Running Organizations 5. · State the implications of OD values and assumptions.5. These values and assumptions have developed from research and theory by behavioural scientists and from the experiences and observations of practicing managers.5 Implications of OD Values and Assumptions 5. · List the chronology of events of values. beliefs and assumptions. Most of these beliefs were formulated early in the development of the field.4 Early Statements of OD Values and Assumptions 5.5. shaping the goals and methods of the field and distinguishing OD from other improvement strategies. and they continue to evolve as the field itself evolves.5.1 Introduction A set of values. 5.2 Definitions A belief is a proposition about how the world works that the individual accepts as true. and beliefs constitutes an integral part of organization development. you will be able to: · Explain the meaning of values.3 Chronology of Events in Management and Organization Thought 5.8 Answers to SAQs and TQs 5. .
Humanistic values proclaim the importance of the individual: respect the whole person. Values. optimistic. reason. assume that everyone has intrinsic worth. Major ingredients of the zeitgeist that influenced OD values and assumptions are presented here in a brief chronology. free speech) and what is undesirable or ‘bad’ (e.. that progress is possible and desirable in human affairs. Thus. Optimistic values posit that people are basically good. treat people with respect and dignity. Piece-rate pay systems were designed to increase motivation and to prevent "soldiering.Values are also beliefs and are defined as: "Beliefs about what is desirable or ‘good’ (e. 5. OD values tend to be humanistic. Values and assumptions do not spring full grown from individuals or societies they are formed from the collective beliefs of an era-the zeitgeist. Expert engineers and supervisors designed each task and ensured it was done correctly. repetitive tasks minimized the skills required to do the job. Democratic values assert the sanctity of the individual. the importance of fair and equitable treatment for all. the clash between fascism and democracy in World War II. assumptions. . or spirit of the time. strongly held. assumptions. and goodwill are the tools for making progress.g. greater understanding of individual motivation and group dynamics. increasing awareness of the dysfunctions of bureaucracies.. and beliefs are all cognitive facts or propositions. As these ingredients accumulated.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. the right of people to be free from arbitrary misuse of power. and assumptions being. relatively unexamined beliefs accepted as the truth." or slacking off.g. repetitive tasks in an attempt to find "the one best way" to do each job. and beliefs provide structure and stability for people as they attempt to understand the world around them." Assumptions are beliefs that are regarded as so valuable and obviously correct that they are taken for granted and rarely examined or questioned. view all people as having the potential for growth and development. and the need for justice through the rule of law and due process. and that rationality. with values being beliefs about good and bad. dishonesty). the human relations movement. Evidence for the validity of these values and their supporting assumptions comes from many sources – the Hawthorne studies. research on the effects of different leadership styles. Simple. and democratic. the laboratory training movement. values. they were fashioned into a coherent value foundation for the theory and practice of organization development. and the like. Taylor’s methods quickly swept the country and the world as the way to organize work.
and rigid procedures would create a well-oiled human machine called the organization. Barnard (1938) presented insights from his experiences as President of the New Jersey Bell Telephone Company. authoritarian leadership caused dependency. Their simple. and the supervisor determined their performance. theory. Group norms had more powerful effects on productivity than economic incentives. but also contained serious flaws that led to unintended consequences. most efficient way to organize people. and White demonstrated that democratic leadership was superior to authoritarian leadership and laissez-faire leadership in affecting group climate and group performance. These approaches possessed many desirable features. aggressiveness and poor performance. Research by Lewin. impersonal rules. ‘The Functions of the Executive’ by Chester 1. Democratic leadership seemed to bring out the best in the groups. The Famous Hawthorne Studies (1927 to 1932) were conducted at the Hawthorne plant of Western Electric Company. apathy. Barnard viewed organizations as social systems that must be effective (achieve goals) and efficient (satisfy the needs of employees). by Roethlisberger and Dickson in 1939. A strong hierarchy of authority. extensive division of labor. The research demonstrated the primacy of social factors on productivity and morale. much of the research. wrote an article on “The Giving of Orders” advocating participative leadership and joint problem-solving by labour and management. 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. their feelings and attitudes about the work. the work environment. Lippitt (1939). a management theorist and astute observer of labourmanagement relations. Some early experiments were conducted in the late 1930s. Mary Parker Follett (1926). and practice since the late 1920s have focused on the shortcomings of these two paradigms and how to overcome the limitations. His acceptance theory of authority proposed that authority derives from the willingness of subordinates to comply with directions rather than from position power. The great German sociologist Max Weber (1922) introduced the concept of “bureaucracy” as the best. . repetitive jobs left them feeling alienated and dispirited. Reports on these studies by Mayo in 1933 and 1945. People were not cogs. People came to work as whole people. In a sense. 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. Much of her career was devoted to finding ways to reduce adversarial relationships between workers and management. organizations were not machines.
training in interpersonal skills for supervisors. Laboratory training taught people how to improve interpersonal relations. 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. and a general “humanizing” of the workplace. Those who subscribe to Theory X assume that people are lazy. Douglas McGregor wrote ‘The Human Side of Enterprise’ (1960) in which he described his famous Theory X and Theory Y assumptions. These years witnessed the beginnings of the laboratory training movement (1946 and 1947). caring social climate. 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. Carl Rogers’ Client-Centered Therapy (1951) demonstrated the efficacy of non-directive psychotherapy. a direct precursor of OD. P. which holds that individuals have within themselves the capacity to assume responsibility for their behaviour and mental health when provided with a supportive. healthy adults. Motivation and Personality by Abraham Maslow (1954) presented a new view of human motivation. . French’s (1948) article. greater attention to workers’ social needs.” 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. The Hawthorne Studies (1940s to 1960) spawned the human relations movement that was in full flower from the 1930s to the 1960s. Eric Trist and Ken Bamforth of the Tavistock Clinic (1951) published the results of their work in British coal mines. are self-centered. 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. “Overcoming Resistance to Change. This article introduced the concept of organizations as sociotechnical systems. lack ambition. and understand group dynamics. Humanistic and democratic values suffused the movement. The theory postulated that when lowerlevel needs are satisfied. higher-level needs become dominant. increase self-understanding. proposed that the leadership functions of a group should be shared between the leader and group members and showed how that could be done. The human relations movement advocated participative management. Lester Coch and John R. pioneers in laboratory training. Ken Benne and Paul Sheats (1948). Rogers’ focus on effective interpersonal communications was applicable to superior-subordinate relations. dislike responsibility.
bureaucracy. Organic structures encourage decentralized decision making and authority. and authoritarian leadership gave way to increasing doubts about these organizational practices as theory and research pointed up their limitations. to assume responsibility. . In addition to presenting Theory X and Y. and democratic. To summarize the intellectual climate of this period. resist change. Tannenbaum and Davis presented their ideas in an article appearing in Industrial Management Review. one-on-one leadership style. a mechanistic organization structure may be appropriate. This chronology captures most of the significant influences from research. the initial enthusiasm for scientific management. and need to be led. humanistic. and introduced practicing managers to the concepts of need hierarchy and self-actualization. The Bennis and Beckhard quotations come from their books in the Addison-Wesley Six-Pack. and values of the field. Kahn (1966) presented the first comprehensive exposition of organizations as open systems. Out of this zeitgeist. groups. and shares decision-making with the work group. and organizations that is. In an environment of slow change. goal-oriented. and negative consequences. this book popularized Maslow’s motivation theory. practice. These six books presented the theory. theory. and to pursue organizational goals if given the chance and the social environment to do so. and human resource practices to allow individual potential to be released. We will examine three early statements regarding OD values that had a significant impact on the field. ‘The Social Psychology of Organizations’ by Daniel Katz and Robert L. as we have said. organization development practitioners formulated a set of values and assumptions regarding people. an organic organization form is preferred. Values have always been an integral part of OD. and observations utilized by OD practitioners. optimistic. summarized the state of organization development a decade or so after its inception.” (1969) a set of six little books on OD by prominent practitioners. Those who subscribe to Theory Y assume that people have the potential to develop. open communications. management practices. and greater individual autonomy. Burns and Stalker (1961) described two very different forms of organization structuremechanistic and organic. This leadership style was contrasted with an authoritarian. The task of management is to change organizational structures.indifferent to the organization’s needs. dysfunctions. in an environment of high change. The Addison-Wesley Publishing Company “OD Six-Pack. 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 capacity for functional groups to work more competently. mechanical systems rely on "authority-obedience relationships" while organic systems rely on "mutual confidence and trust. This is a strong reaction against the idea of organizations as mechanisms which managers "work on. The earlier work by Tom Burns and G. Here is his list. He listed these normative goals as follows: · Improvement in interpersonal competence. not individuals. more rational and open methods of conflict resolution are sought. · Development of more effective "team management." that is. Bennis clarified some of the salient differences between mechanical systems and organic systems." 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.” For example. · Development of organic rather than mechanical systems." like pushing buttons. Stalker used the term “mechanistic” in contrast to “mechanical. · A shift in values so that human factors and feelings come to be considered legitimate. . 1. Another major player in the field was Richard Beckhard. Warren Bennis proposed that OD practitioners (change agents) share a set of normative goals based on their humanistic/ democratic philosophy. Therefore. The basic building blocks of an organization are groups (teams). the basic units of change are groups. and unprincipled power." Mechanical systems encourage "centralized decision-making" while organic systems encourage "wide sharing of responsibility and control. · Development of increased understanding between and within working groups in order to reduce tensions. compromise. Through focused attention and through the collection and feedback of relevant data to relevant people. In his 1969 book he described "several assumptions about the nature and functioning of organizations" held by OD practitioners. Rather than the usual bureaucratic methods which rely mainly on suppression. more choices become available and hence better decisions are made. · Development of better methods of conflict resolution." Mechanical systems insist on "strict division of labour and hierarchical supervision" while organic systems foster "multi-group membership and responsibility.Writing in 1969. M.
sub-units of organizations. · Away from distrusting people toward trusting them. · Away from resisting and fearing individual differences toward accepting and utilizing them. 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. a professor and Sheldon Davis. rather than in a particular role or level of hierarchy. Organizations. 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. and individuals continuously manage their affairs against goals. · Away from walling off the expression of feelings toward making possible both appropriate expression and effective use. mutual trust. presented their view of OD values in a 1969 article. One goal of a healthy organization is to develop generally open communication. 3. and confidence between and across levels. · Away from use of status for maintaining power and personal prestige toward use of status for organizationally relevant purposes. ." People affected by a change must be allowed active participation and a sense of ownership in the planning and conduct of the change. Decision-making in a healthy organization is located where the information sources are. 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. · Away from avoiding facing others with relevant data toward making appropriate confrontation. "People support what they help create. Controls are interim measurements. · Away from maskmanship and game-playing toward authentic behaviour. An always relevant change goal is the reduction of inappropriate competition between parts of the organization and the development of a more collaborative condition. Robert Tannenbaum. not the basis of managerial strategy. · Away from avoidance of negative evaluation of individuals toward confirming them as human beings. 5. toward seeing them as being in process.2. 6. 4. · Away from a view of individuals as fixed.
The first assumption is that most individuals have drives toward personal growth and development if provided an environment that is both supportive and challenging.· Away from avoidance of risk-taking toward willingness to risk. We answer the question: What are some of the implications of OD assumptions and values for dealing with individuals. 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. The humanistic values prompted a search for better ways to run organizations and develop the people in them. decentralized decision making. listen. a greater contribution to attaining organization goals than most organizational environments permit. open communication. The implications of these two assumptions are straightforward: Ask. autocratic. authentic interpersonal relations. Beliefs such as trust and respect for the individual. set high standards. permit failure. groups. and arbitrary management practices as well as the dysfunctions of bureaucracies. The democratic values prompted a critique of authoritarian. These values and assumptions may not seem profound today.5 Implications of OD Values and Assumptions Let us examine specific assumptions and their implications for organization leaders and members. · Away from a view of process work as being unproductive effort toward seeing it as essential to effective task accomplishment. encourage risk-taking. collaboration and co-operation. remove obstacles and barriers. but in the 1950s and 1960s they represented a radical departure from accepted beliefs and assumptions. Most people want to develop their potential. support. challenge. 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. participation and contribution by all organization members. appropriate uses of power.1 Implications for Dealing with Individuals Two basic assumptions about individuals in organizations pervade organization development. and are capable of making. The people doing the work are generally experts on how to do it and how to do it better. and reward success. A tremendous amount of constructive energy can be tapped if organizations realize and act on these assumptions. and organizations? 5. 5. 5. The second assumption is that most people desire to make. give responsibility. the legitimacy of feelings.2 Implications for Dealing with Groups .5.5. give autonomy.
adherence to the chain of command. invest training time and money to increase group members’ skills. invest energy and intelligence in creating a positive climate. a growing awareness that “win-lose” organizational situations. and so on-are obsolete. In addition. the assumption is that many attitudinal and motivational problems in organizations require interactive and transactional solutions. Such problems have the greatest chance of constructive solution if all parties in the system alter their mutual relationships. They cannot meet the demands of the marketplace. one of the most psychologically relevant reference groups for most people is the work group. It is especially important that leaders adopt a team leadership style. By implication. Third. Second. 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. Therefore. the family. Finally. emphasis on topdown directives.5. What occurs in the work group. 5.Several assumptions relate to the importance of work teams and the collaborative management of team culture. Hence. personal growth. are dysfunctional . including peers and boss. facilitation. not individuals. and usually with more than one group. This skill is a trainable one. and so on. 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. and E can support these changes. One implication is that group members should receive training in group effectiveness skills such as group problem-solving and decision-making. formalized cross-functional communication. and interpersonal communication. not a one-on-one leadership style. D. And because suppressed feelings and attitudes adversely affect problem-solving. Dealing appropriately with feelings and attitudes increases the level of interpersonal trust. First. To do this. group members should be encouraged to learn to deal effectively with positive and negative feelings.3 Implications for Designing and Running Organizations Clearly. experimenting with new organization structures and new forms of authority is imperative. a church or club group. leaders should invest in groups: Invest the time required for group development. are the best way to satisfy social and emotional needs at work. traditional hierarchical forms of organization-fairly steep pyramid. Let teams flourish because they are often the best way to get work done and. Implications of these assumptions are several. most people wish to be accepted and to interact co-operatively with at least one small reference group. grouping by specialized function. including how persons C. in which one side wins and the other side loses. leaders need to give important work to teams. Another assumption is that the formal leader cannot perform all the leadership and maintenance functions required for a group to optimize its effectiveness. at both the formal and informal levels. The question becomes not how A can get B to perform better. most people are capable of making greater contributions to a group’s effectiveness and development. support. greatly influences feelings of satisfaction and competence. in addition. and job satisfaction. Frequently the challenge is broader. such as a work group. Also. group members should assist the leader with the multiple roles required for group effectiveness. conflict management. and co-operation within the group.
These OD values were considered revolutionary when they emerged in the 1950s. A key assumption in organization development is that the needs and aspirations of human beings are the reasons for organized effort in society. Evidence for this assumption comes from numerous examples where “putting people first” paid off handsomely in profits and performance. The rapid technological. and empowering. Values. values are never static. it is possible to create organizations that on the one hand are humane. The belief that people are important tends to result in their being important. Still. they are the source of productivity and profits and should be treated with care. Chronology of events in management and OD tremendously influenced OD practitioners." as behavioural scientists and managers continue to develop better understanding of authority structures.over the long run and highlight the need for a “win win” attitude. organizing structures. and ways to optimize human potential. optimistic and democratic.6 Summary The field of OD rests on a foundation of values and assumptions about people and organizations. Values are also beliefs. Such an orientation creates a self-fulfilling prophecy. developmental. These beliefs help to define what OD is and guide its implementation. Finally. OD values tend to be humanistic. The implication is that people are an organization’s most important resource. beliefs and assumptions are cognitive facts. quality of output. they change over time. By implication. societal. A belief is a proposition about how the world works that the individual accepts as true. and profitability. assumptions and beliefs help to define what OD is and guide its implementation. and organizational changes taking place assure that tomorrow will bring new definitions of what is "true" and new beliefs about what is "good. 5. and on the other hand are high performing in terms of productivity. but are widely accepted today. This discussion was intended to articulate an appreciation of OD values and explain where they came from. Concluding Comment: The field of organization development 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. an optimistic. The belief that people can grow and develop in terms of personal and organizational competency tends to produce that result. Values. This notion suggests it is good to have a developmental outlook and seek opportunities in which people can experience personal and professional growth. Creating co-operative rather than competitive organizational dynamics is a primary task of the organization’s leaders. Self Assessment Questions .
3. Refer section 5. Refer section 5.3 . What was the outcome of Hawthorne Experiments? 4. The outcome of –––––––– was that people were not cogs and organizations were not machines. Refer section 5. 2.7 Terminal Questions 1. W. Douglas McGregor Answers to TQs: 1. State the assumptions of Theory X and Theory Y. Taylor 3. What are values and assumptions developed by Richard Bechard in the field of organizational development? 5.1. Values. 4. 5. Taylor’s principles of scientific management. __________ is associated with scientific management. Hawthorne experiments 5. Cognitive 2. F. 2.W. values. Write a note about F.8 Answers to SAQs and TQs SAQs: 1. Define concepts.3 3. and assumptions are all –––––––––– facts. _______________ gave theory X and theory Y. beliefs. Bureaucracy 4. beliefs and assumptions. 5. 3. 5.2 2. The concept of –––––––––– was introduced by MaxWeber.
4 Porras and Robertson Model of Organizational Change 6.2 Congruence among System Elements 6. Refer section 5. Refer section 5.3.3 Copyright © 2009 SMU Powered by Sikkim Manipal University .3 5.3 Systems Theory 6.1 Introduction Objectives 6.4 Open Systems Thinking 220.127.116.11 The Nature of Systems 6.1 Kurt Lewin and Friends 6. MU0002-Unit-06-Foundations of Organization Development Unit-06-Foundations of Organization Development Structure: 6.4.3 Socio-technical Theory and Open Systems Planning 6.2 Models and Theories of Planned Change 6.3 The Burke-Litwin Model of Organizational Change 18.104.22.168 Beyond the Quick Fix 6.2.4 Participation and Empowerment .2.3.
8 Applied Behavioural Science 6.6 Parallel Learning Structures 6. art and science which form the knowledge base upon which OD is constructed. · Explain systems theory. In this discussion.9 Action Research Self Assessment Questions 6.1 Introduction This unit describes the foundations of organization development theory and practice. · Describe the parallel learning structures.11 Terminal Questions 6. · Explain normative-re-educative strategy of changing The knowledge base of OD is extensive and is constantly growing.10 Summary 6. · Realize the importance of teams and teamwork.5 Teams and Teamwork 6. Objectives: After studying this unit. We will examine the following concepts: . Here we describe what we believe are the most important underpinnings for the field. Leaders and OD practitioners use this knowledge base to plan and implement effective change programs.6. you will be able to: · Explain various models and theories of planned change. · Explain the terms ‘participation’ and ‘empowerment’.12 Answers to SAQs and TQs 6.7 A Normative – Re-educative Strategy of Changing 6. you will learn what OD practitioners think and how they think as they engage in the complicated task of improving organizational functioning.
This concept is useful for thinking about the dynamics of change situations. it generally hovers around some equilibrium point that is the resultant in a field of forces. Models and theories depict. Several recent theories show great promise for increasing our understanding of what happens and how it happens in planned change. the important features of some phenomenon.1 Kurt Lewin and Friends Kurt Lewin introduced two ideas about change that have been influential since the 1940s.2. The development of models of planned change facilitated the development of OD. Here we provide a framework for thinking about planned change by exploring several models from the literature. For example. describe those features as variables. 6. The production level tends to remain fairly constant because the field of forces remains fairly constant. we can think of the level of morale in that plant as a resultant equilibrium point. Although morale may get a little better or a little worse on occasion. With a technique called the force-field analysis. some forces pushing toward higher morale and some pushing toward lower morale. Planned change theories are rudimentary as far as explaining relationships among variables. and specify the relationships among the variables. but pretty good for identifying the important variables involved.2 Models and Theories of Planned Change Organization development is planned change in an organizational context. He suggested that change is a three-stage process: . in words or pictures. Lewin’s second idea was a model of the change process itself. with some forces pushing toward higher levels of production and some forces pushing toward lower levels of production.· 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. the status quo-whatever is happening right now-is the result of forces pushing in opposing directions. That is. 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. we can think of the production level of a manufacturing plant as a resultant equilibrium point in a field of forces. Likewise. The first idea states that what is occurring at any point in time is a resultant in a field of opposing forces.
the non-smoking behaviour must become permanent. mentor. Change entails moving from one equilibrium point to another. Creation of guilt or anxiety c. moving to new level of behaviour. unfreezing. change his behaviour from being a smoker to being a non-smoker. The three-stage model says he must first unfreeze the old behaviour of smoking. Lewin’s three-stage model is a powerful tool for understanding change situations. But unless the person feels comfortable with dropping the old behaviours and acquiring new ones. that is. Refreezing the desired behaviour requires establishing a new field of forces to support the new behaviour. Disconfirmation or lack of confirmation b. Take the example of a man who smokes cigarettes and wants to quit. Next. Provision of psychological safety Stage 2: Changing through Cognitive Restructuring: Helping the client to see things. Refreezing the behaviour at the new level. believe that cigarette smoking is bad for him and that he should stop smoking. A Three-Stage Model of the Change Process: Stage 1: Unfreezing: Creating motivation and readiness to change through a. Identifying with a new role model. In stage 1. b. .non-smoking becomes the new equilibrium point. that is. feel things.Unfreezing the old behaviour (or situation). he must move. disconfirmation creates pain and discomfort. Significant relationships. change will not occur. which cause guilt and anxiety. and react to things differently based on a new point of view obtained through a. That is. judge things. Finally. which motivate the person to change. b. The total personality and self-concept. the person must develop a sense of psychological safety in order to replace the old behaviours with new behaviours. Scanning the environment for new relevant information Stage 3: Refreezing: Helping the client to integrate the new point of view into a. etc. Edgar Schein took this excellent idea and improved it by specifying the psychological mechanisms involved in each stage.
. Phase 2: Establishing a change relationship. moving. Phase 7: Achieving a terminal relationship. stabilizing the changes requires testing to see if they fit-fit with the individual. Phase 5: Transforming intentions into actual change efforts. Phase 6: Generalizing and stabilizing change. identifying with ex-smokers and learning about the health risks of smoking.2 Beyond the “Quick Fix” A comprehensive change model by Ralph Kilmann specifies the critical leverage points for organizational change. terminating the client-consultant relationship. is to integrate the new behaviours into the person’s personality. 6. They expanded the three-stage model into a seven-stage model representing the consulting process. Their seven stages are as follows: Phase 1: Developing a need for change. Phase 4: Examining alternative routes and goals. This motivating evidence is gained by. This model has five sequential stages: 1) Initiating the program. the person undergoes cognitive restructuring. In this phase a client system in need of help and a change agent from outside the system establish a working relationship. 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. This phase corresponds to Lewin’s unfreezing phase. Phase 3: Clarifying or diagnosing the client system’s problem. These "road maps" are useful for thinking about change. and Bruce Westley. and fit with the individual’s social surroundings. This phase corresponds to Lewin’s refreezing phase. That is. for example. The primary task in stage 3. refreezing. and attitudes.2. and 5 correspond ro Lewin’s moving phase.In stage 2. that is. Similar models have been developed by Kolb and Frohman and by Burke. Jeanne Watson. establishing goals and intentions of action. This seven-stage model lays out the logical steps involved in OD consulting. The person acquires information and evidence showing that the change is desirable and possible. 4. Phases 3.
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. Change programs take from one to five years to complete. These problems and opportunities will be the targets of later interventions. Initiating the program entails securing commitment from top management. critique practices and procedures. problem-solving sessions. and willingness to change among members the conditions that must exist before any other improvement effort can succeed. Diagnosing the problems requires a thorough analysis of the problems and opportunities facing the organization." that. when functioning properly. Kilmann’s five tracks are: 1) The culture track. called "tracks. 4) The strategy-structure track. 2) The management skills track. communication. . Scheduling and implementing the "tracks" involve intervening in five critical leverage points.2) Diagnosing the problems. and so forth. information sharing. 4) Implementing the "tracks" 5) Evaluating the results. 3) Scheduling the "tracks". 3) The team-building track. Kilmann describes the five tracks: What does each track do for the organization? The culture track enhances trust. cause the organization to be successful. Interventions include training programs. The management-skills track provides all management personnel with new ways of coping with complex problems and hidden assumptions. and 5) The reward system track.
In first-order change. 6. work groups. and difficult to change. General Foods. friendly or unfriendly. jobs.and second-order change. Second-order change goes by many different labels: transformational. On the other hand.The strategy-structure track develops either a completely new or a revised strategic plan for the firm and then aligns divisions. Ford General Electric. departments. and so forth. and co-operative team efforts within and among all work groups. hard-working or easy-going. then moving to the team-building track. Organizational climate is defined as people’s perceptions and attitudes about the organizationwhether it is a good or bad place to work. The reward-system track establishes a performance-based reward system that sustains all improvements by officially sanctioning the new culture. One likes this model because of its comprehensive nature. Eastman Kodak. An OD consultant implements the tracks in a phased sequence.3 The Burke-Litwin Model of Organizational Change The next model to be examined is the Burke-Litwin model of individual and organizational performance. and . organizational culture is defined as deep-seated assumptions. management practices. incremental. some features of the organization change but the fundamental nature of the organization remains the same. Kilmann has tested his model at AT&T. beginning with the culture track.2. OD programs are directed toward both first. In second-order change. 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. the use of updated management skills. adaptive. its identification of the five tracks as critical leverage points. TRW. The premise of the BurkeLitwin model is this: OD interventions directed toward structure. First-order change goes by many different labels: transactional. or discontinuous change. radical. often unconscious. the nature of the organization is fundamentally and substantially altered – the organization is transformed. with an increasing emphasis on second-order transformational change. revolutionary. and so forth. and beliefs that are enduring. Westinghouse. This model shows how to create first-order and second-order change (which the authors call “transactional change” and “transformational change”). The model distinguishes between organizational climate and organizational culture. developed by Warner Burke and George Litwin. or continuous change. Changing culture is much more difficult than changing climate. evolutionary. and its holistic view of organization change and development. and Xerox with good results. values. then moving to the management skills track.
and systems cause changes in work unit climate. Fig. Now let us look at the Burke-Litwin model.1: The Transactional Factors Involved in First – Order Change . Transformational leadership is required for causing second-order change." Transformational leadership embodies inspiration which leads to new heights of performance. Following figure shows the factors involved in first-order (transactional) change. leadership. Transactional leadership is required to make this change in organizational climate. 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. interventions directed toward mission and strategy. and organization culture result in second-order change. which change motivation and. Changing structure. management practices. We will do so in several steps." Transactional leadership embodies a fair exchange between leader and follower that leads to "normal" performance. 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. in turn. The model also makes a distinction between transactional and transformational leadership styles. 6. Transactional leadership is sufficient for causing first-order change. Transactional leaders are "leaders who guide or motivate their followers in the direction of established goals by clarifying role and task requirements. individual and organizational performance.systems (policies and procedures) result in first-order change.
The OD practitioner sizes up the change situation. leadership styles.2: The Transformational Factors Involved in Second – Order Change On the other hand. To summarize. and then targets interventions toward factors of the organization that produce the desired change. The bottom half of figure displays the factors involved in transactional change. The above two figures together yield the full Burke-Litwin model shown in the following figure. which produces changes in individual and organizational performance. Interventions directed toward these factors transform the organization and cause a permanent change in organization culture. Burke says: “Thus there are two distinct sets of organizational dynamics. determines the kind of change required (transactional or transformational). and organization culture produce transformational change or fundamental change in the organization’s culture. structure. as shown in the above figure.” We consider the Burke-Litwin model to be a significant advance in thinking about planned change. Interventions directed toward management practices. we must change mission and strategy. One set primarily is associated with the transactional level of human behaviour or the everyday interactions and exchanges that create the climate. that is. The second set of dynamics is concerned with processes of human transformation. The top half of figure displays the factors involved in transformational change. These factors are able to change the climate.Fig. and organization culture. Research by Burke and his students suggests the model performs as intended. These factors are powerful enough to change the culture fundamentally. . these transformational processes are required for genuine change in the culture of an organization. Burke and Litwin propose that interventions directed toward leadership. if we want to cause second-order (transformational) change. 6. and systems produce transactional change or change in organizational climate. mission and strategy. sudden "leaps" in behaviour.
6. 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. and technology. which in turn lead to individual and organizational improvements. management style. Interventions that focus on job design and work flow design will affect technology. For example. This model shows how OD interventions can be linked to factors in the work setting. . according to Porras and Robertson. which influence on-the job behaviours. strategies. It is how OD works. 6. Fig. The work setting plays a central role in this model and consists of four factors: organizing arrangements.4 Porras and Robertson Model of Organizational Change Jerry Porras and his associates developed a model of how organization development works. rewarded). Organizational change occurs only when individuals change their behaviour.2. Keep this framework in mind as you read the units on OD interventions because all interventions target one or more factors shown in figures. physical setting. OD interventions that focus on goals.Fig. required. and these behaviour changes occur when elements of the work setting have been modified by OD interventions. The premise modeled here is that work setting factors influence organizational members’ cognitions (they learn what is expected.3: The Burke Litwin Model of Organizational Performance and Change 6. and rewards will affect organizing arrangements. Interventions that focus on culture. which determine organizational performance and individual development. and interaction processes will affect social factors.4: Organizational Work-Setting Factors This model is extremely useful for OD practitioners and organizational leaders. Following figure shows the work setting in the larger organizational framework. social factors.
or subsystems. .Fig. which views organizations as open systems in active exchange with their environment." To summarize. components. when taking a systems approach. Thus. Ludwig Von Bertalanffy first articulated the principles of general systems theory in 1950. that is the system. one begins by identifying the individual parts and then seeks to understand the nature of their collective interaction. and shows how systems theory enhances the practice of OD." Kast and Rosenzweig define system as "an organized. system denotes interdependency.5: A Change-based Organizational Framework 6. unitary whole composed of two or more interdependent parts." Von Bertalanffy refers to a system as a set of "elements standing in interaction. and interrelatedness among elements in a set that constitutes an identifiable whole or gestalt. interconnectedness. This section explains systems theory. describes the characteristics of systems.3 Systems Theory A second foundation of organization development is systems theory. Fagen defines system as "a set of objects together with relationships between the objects and between their attributes. Systems theory is one of the most powerful conceptual tools available for understanding the dynamics of organizations and organizational change. The words ‘arrangement’ and ‘interrelated’ describe interdependent elements forming an entity. 6.system. and Katz and Kahn were the first to apply open systems theory to organizations in 1966. and delineated by identifiable boundaries from its environmental supra." Hanna says: "A system is an arrangement of interrelated parts.
Here. For example. Therefore. and characteristics of open systems are well-known. . information.3. people. or transformation processes that change the inputs. we examine the characteristics of open systems drawing OD expositions by Katz and Kahn and Hanna. Organizations achieve negative entropy when they are able to exchange their outputs for enough inputs to keep the system from running down. They do something to the inputs via throughput. 6. studying open systems leads to a good understanding of organizations.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. These purposes must align with purposes or needs in the environment. and if the environment does not want these outputs. Systems take inputs from the environment in the form of energy. Fig. raw material and so on. and energy between system and environment. dynamics. Each of these three system processes must work well if the system is to be effective and survive. resources. Every system is delineated by a boundary. All open systems are input-throughput-output mechanisms. Organizations are open systems. What is inside the boundary is the system. conversion. money. the organization’s purposes will be reflected in its outputs.6. Boundaries of open systems are permeable. A good rule of thumb for drawing the boundary is that more energy exchange occurs within the boundary than across the boundary. in that they permit exchange of information. the reasons for their existence. the organization will cease to exist.1 The Nature of Systems The nature. and they export products to the environment in the form of outputs. Open systems have purposes and goals. and what is outside the boundary is the environment.
Feedback is information from the environment about system performance. By the same token. and complex over time. if a rocket ship traveling to the moon strays off its trajectory. Another characteristic of systems is equifinality. either internal or external. It is also known as deviation-correcting feedback. If the mission (target) changes. say. Systems are bombarded by all kinds of information: some are useful. Subsystems exist within larger systems. aerospace.2 Congruence among System Elements David Nadler and associates at Delta Consulting Group developed the congruence model for understanding organizational dynamics and change. Positive feedback measures whether or not the purpose and goals are aligned with environmental needs. and makes a course correction. specialized. systems tend to get more elaborated. and the system adjusts to a new goal. "return to earth. however. The three major input factors are: . mining. it receives information to that effect in the form of negative feedback. With increased differentiation. The usefulness of the two concepts is that they demonstrate that it is not enough to merely measure our outputs versus the intended targets. It is sometimes called deviation-amplifying feed back. As Katz and Kahn say: “The basic principle is the preservation of the character of the system. and the like. while screening out other information. Systems achieve a steady state or equilibrium point and seek to maintain this equilibrium against disruptive forces. Negative feedback measures whether or not the output is on course with the purpose and goals. Negative feedback tells you if you are on track with your scheduled production output. Systems "code" useful information and incorporate it.” Also. 6. Systems require two kinds of feedback. For example. This model depicts the organization as an input-throughput-output system. and the production plan calls for 100 buggy whips per month. organizations in the fast-food industry pay a lot of attention to information about their industry-nutrition. competitors. but most are not useful. eating fads. the principle that there are multiple ways to arrive at a particular outcome or state – systems have multiple paths to goals. negative and positive. These subsystems can be arranged into a hierarchy of systems moving from less important to more important. Positive feedback comes from the environment. they usually ignore information about other industries such as electronics.Information is important to systems in several ways. Say your company makes buggy whips. this process is called differentiation. Survival of the system is equally influenced by whether or not the targets themselves are appropriate.3. and so on. that information is called positive feedback. For example." Here is another example of negative and positive feedback. differentiated. increased integration and co-ordination are necessary. it will signal whether the environment needs and/or wants buggy whips. Another characteristic of open systems is steady state or dynamic homeostasis.
performance will suffer. knowledge. and systems for performing the work. and 3) History which consists of memories of past successes. In a company that is performing poorly. processes. If the strategy calls for entrepreneurial quickness and risk-taking and the formal organization is bureaucratic and highly centralized. and informal organization. and how things really work (versus how they are supposed to work as defined by the formal organization). formal organization. Outputs are performance at the total organization level. which includes formal structures. perceptions. You can use this model to analyze organizations with which you are familiar. work." and which elements . and 2) Evaluating the "goodness of fit" or how well the elements "go together. people. If the organization’s culture (informal organization) praises individual accomplishments and the work requires teamwork and collaboration. 6.1) The environment. the tasks people perform to create products and service markets people. performance will suffer. which imposes constraints and opportunities about what the organization can and can not do. which components are "not functioning correctly. which includes the organization’s culture informal rules and understandings. such as capital.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. Fig. . and critical decisions that still influence behaviour today. failures. For example. and technology. what the organization is trying to accomplish and how it plans to do it. and the workforce’s expectations. unit/group level. knowledge. and individual level. performance will suffer. which includes skills. fit) must be present among the system’s components’ for the organization to produce satisfactory outputs. Elements of the organization per se are labeled strategy." The premise is that alignment (harmony. if people don’t have the skills and knowledge required to do the work. important events. 2) Resources available to the organization.
2) Developing scenarios of possible futures. and information to the point of action. To achieve high productivity and employee satisfaction. and Will McWhinney developed a technology for addressing the interface between organization and the environment. High-performance organizations almost always use principles from socio-technical systems theory. Fred Emery.socio-technical systems theory (STS) and open systems planning (OSP)-play an important role in organization development. that is. 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. Their technology became known as Open systems Planning (OSP). especially autonomous work groups (self-regulated teams or self-direct teams). Open systems planning entails: 1) Scanning the environment to determine the expectations of external organizations and stake-holders. and . to the workers doing the job.3 Socio-technical Systems Theory and Open Systems Planning Two major variations of open systems theory. The thesis of STS is that all organizations are comprised of two interdependent systems. and others at the Tavistock Institute in the 1950s.are poorly aligned? In companies showing outstanding performance. Another important application of systems theory in organization development is open systems planning. and identifying core tasks help STS consultants structure organizations and tasks for maximum effectiveness and efficiency. STS is the principal conceptual foundation for efforts in work redesign and organization restructuring. two active segments of OD today. multi-skilled teams. controlling variance at the source. Socio-technical systems theory was developed by Eric Trist. A number of design principles have been developed to implement socio-technical systems theory. Systems models are essential for the practice of OD. G. Charles Krone. a social system and a technical system. 6. organizations must optimize both systems. training group members in multiple skills. both realistic (likely to happen if the organization continues on its current course) and ideal (what the organization would like to see happen).3. Hanna writes: In the late 1960s a small team of consultants led by James Clark. Principles such as optimizing the social and technical systems. giving information and feedback to the people doing the work.KI Jayaram. forming autonomous work groups. and that changes in one system affect the other system. 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.
systems theory pervades the theory and practice of organization development. Participation in OD programs is not restricted to elites or the top people. according to Peter Senge. Fourth. it is extended broadly throughout the organization. Without a systemic orientation. OD practitioners expect multiple effects. one changes the system. because most phenomena have more than one cause. Senge believes that five disciplines must be mastered to create a learning organization: personal mastery. but seen in relation to other issues. Learning organizations can cope effectively with rapidly changing environmental demands.” In conclusion. team learning. By enhancing each of the other disciplines. Most OD practitioners engaged in redesign projects use a combination of socio-technical systems theory and open systems planning. mental models. from their activities. to change a system. forces. events and forces.3.4 Participation of Empowerment One of the most important foundations of organization development is a participation/ empowerment model.3) Developing action plans to ensure that a desirable future occurs. First. This idea moves the practitioner away from analyzing historical events and toward examining contemporary events and forces. For example. and incidents are not viewed as isolated phenomena. from diagnosis to intervention to evaluation. He says of systems thinking: “It is the discipline that integrates the disciplines. 6. changing one part of a system influences other parts. Viewing organizations from this perspective has several consequences. a systems approach encourages analysis of events in terms of multiple causation rather than single causation. this combination is often used in designing high-performance organizations. building shared vision. therefore. issues. according to field theory (Kurt Lewin). is the most important. Increased participation and empowerment . it continually reminds us that the whole can exceed the sum of its parts. not single effects. And fifth. Of all these disciplines. Third. and systems thinking. not just its component parts. 6. fusing them into a coherent body of theory and practice. It keeps them from being separate gimmicks or the latest organization change fads. there is no motivation to look at how the disciplines interrelate. the forces in the field at the time of the event are the relevant forces for analysis.4 Open Systems Thinking Open systems thinking is required for creating learning organizations. events. systems thinking. the fifth discipline. Second.
the organic approach unleashes talent and energy in people that are best channeled by providing clear guidelines and boundaries. OD interventions are deliberately designed to increase involvement and participation by organization leaders and members." is bottom-up and less controlling. growth. quality of work life programs.have always been central goals and fundamental values of the field. is not something that management does to employees. personal initiative. Rules of thumb such as "Involve all those who are part of the problem or part of the solution. but rather a mind-set that employees have about their roles in the organization. One view. and empowerment in turn enhances performance and individual well-being. They must see themselves as having freedom and discretion. Empowerment meant trusting people and tolerating their imperfections. and to be responsible. to exert influence. which is done by giving individuals the authority to make decisions. increase commitment to the organization. called "organic. Participation enhances empowerment. The most important contrast between the two views involves the implicit but potentially volatile assumptions people make about trust and contro1. Participation is a powerful elixir-it is good for people and performance. and give more power to more people. While management can create a context that is more empowering. Participation is an especially effective form of empowerment. which they call "mechanistic. to contribute their ideas. and the culture audit are all predicated on the belief that increased participation will lead to better solutions. and generally make people feel better about themselves and their worlds. Quinn and Spreitzer conclude: “Empowerment. They describe the organic view: "The other group of executives saw empowerment much differently. OD interventions are basically methods for increasing participation. then. Further. This research demonstrated that most people desire increased involvement and participation. search conferences. they must if personally connected to ." direct leaders to push decision-making lower in the organization. quality circles. reduce stress levels. The entire field of OD is about empowerment. and change. involvement and participation energize greater performance. autonomous work groups. is the more useful perspective. team building. Robert Quinn and Gretchen Spreitzer found two vastly different views of empowerment. The other view. employees must choose to be empowered. These pillars of OD practice are validated by both research and practice. For example. To empower is to give someone power." These authors believe the organic view. treat those closest to the problem as the relevant experts. and greatly enhance acceptance of decisions. produce better solutions to problems. survey feedback. But both views contain valid ideas: for example. 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. and growth. with its emphasis on risk-taking." and "Have decisions made by those who are closest to the problem." is a top-down delegation of decision-making with clear boundaries and strict accountability that increases managerial control. Researchers found that group dynamics work to overcome resistance to change.
and respectteams nurture human nature. teaming. research. Second. Third. and explore ways to realize that potential. Synergy is a principal reason teams are so important. that is. Teams and teamwork are "in. Examples are team-building. confident about their abilities. crossfunctional "design-build" teams developed the Boeing 777. "The evidence is abundantly clear: Effective teams produce results far beyond the performance of unrelated individuals. people must work together to accomplish them. Teams and teamwork are among the "hottest" things happening in organizations today – gurus extol the virtues of teams. Team Taurus developed Ford’s best-selling automobile. STS (socio-technical systems). as a team. status. Teams are important for a number of reasons: First. we examine the potential of teams and teamwork. and team-related acronyms abound-SDTs (self-directed teams).5 Team and Teamwork A fundamental belief in organization development is that work teams are the building blocks of organizations. Teams at Motorola produced its bestselling cellular phones. to name just a few. HPOs (high-performance organizations).the organization. QCs (quality circles). Fourth. If the team. Theory. teams satisfy people’s needs for social interaction. . HPWSs (high-performance work systems). and practice attest to the central role teams play in organizational success. Team Saturn produced the Saturn automobile. the effects on individual behaviour are immediate and lasting. A number of OD interventions are specifically designed to improve team performance. process consultation. systems. In this section. A second fundamental belief is that teams must manage their culture. recognition. many tasks are so complex they cannot be performed by individuals. much individual behaviour is rooted in the socio-cultural norms and values of the work team. the sum of the efforts of team members is far greater than the sum of the individual efforts of people working alone. quality circles. and capable of having an impact on the system in which they are embedded. The message of this section is that putting those empowered individuals into teams creates extraordinary effects on performance and satisfaction. processes. teams create synergy. The previous discussion focused on empowerment and concluded that the act of empowering individuals greatly increased their performance and satisfaction. Teams and teamwork are part of the foundation of organization development. teams at 3M generate the hundreds of innovations that keep 3M ahead of its competition. inter-group team-building. and relationships if they are to be effective.” 6. changes those norms and values. the noun team has become a verb.
The net effect is that teams perform at increasingly higher levels. find innovative ways around barriers. High-performance teams regulate the behaviour of team members. team performance declines. Team-building activities are now a way of life for many organizations. that they achieve synergy. temporary teams. Asea Brown Boveri. All these characteristics are required for superior team performance. cross-functional teams. and set ever-higher goals. and that teamwork becomes more satisfying for team members. Grid OD and techniques such as role analysis technique. 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. to determine the characteristics that make them successful. . people are trained in group dynamics and group problem-solving skills. Union Pacific Railroad.parallel learning structures. and others. and individuals are trained as group leaders and group facilitators. and the like. Teams periodically hold team-building meetings. empowered teams are what the best organizations are using right now to outdistance the competition. socio-technical systems programs. heart transplant surgical teams. help each other. Tom Peters asserts in Liberation Management that cross-functional. and responsibility charting. Larson and LaFasto studied a number of high-performance teams. role negotiation technique. He uses examples from EDS (Electronic Data Systems). autonomous. including collegiate football national champions. 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. 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. the crew of the USS Kitty Hawk. When any one feature is lost. Larson and LaFasto found eight characteristics always present: 1) A clear. These interventions apply to formal work teams as well as startup teams. Investigators are discovering why some teams are successful while others are not.
Most socio-technical systems redesign efforts and open systems planning programs use parallel structures. Parallel learning structures are a foundation of OD because they are prevalent in so many different OD programs. you don’t have a parallel structure. High responsibility. Bushe and Shani say: “The key thing about parallel structures is that they create a bounded space and time for thinking. The quality of work life programs of the 1970s and 1980s used parallel structures composed of union leaders. normal hierarchical considerations become obsolete for these project teams-you could be the boss of one team. clear objectives. If you don’t implement different norms and procedures. 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. At Ford Motor Company. deciding. a steering committee and working groups were used to co-ordinate the employee involvement teams. superior customer service.6 Parallel Learning Structures Parallel learning structures. and then leading the process.Titeflex. In essence. Interestingly. 6. High-performance organizations often use parallel structures to co-ordinate self-directed teams. and report to one of your subordinates on another team. Parallel learning structures are often the best way to initiate change in large bureaucratic organizations.” Parallel structures help people break free of the normal constraints imposed by the organization. and employees.” The purpose of the collateral organization is to deal with "ill-structured" problems the formal organization is unable to resolve. specially created organizational structures for planning and guiding change programs. and countless other organizations to demonstrate the ability of small project teams to produce high quality. 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. talking. 6. engage in genuine inquiry and experimentation. and continuous learning. managers. What’s important is that people act in a way that promotes learning and adaptation. and acting differently than normally takes place at work. and initiate needed changes. and high accountability drive these project teams to outperform traditional organization structures on every measurable dimension. constitute another important foundation of organization development.7 A Normative – Re-educative Strategy of Changing . It isn’t the supplemental structure that’s important. Considerable experimentation with collateral organizations occurred in the 1970s and 1980s. Projects are the work of the future. especially when the change involves a fundamental shift in the organization’s methods of work and/or culture. 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. flexible response. projects will be performed by teams.
values. according to this view. and OD is based primarily on a normative-re-educative strategy and secondarily on a rational-empirical strategy. The point here is that different strategies are available for effecting change. . and together they define problems and seek solutions. Change in a pattern of practice or action. based on the assumption that change is compliance of those who have less power with the desires of those who have are power. or intellectual rationales for action and practice. skills. they impel a collaborative effort rather than a "doing something to" effort. and’ negative feelings are surfaced for "working through. and change comes through re-education in which old norms are discarded and supplanted by new ones. The first type is empirical rational strategies. rather than the OD practitioner. doubts. anxieties. The client system members define what changes and improvements they want to make. although often OD represents a combination of the normative-reeductive and the empirical-rational strategies. These strategies build upon assumptions about human motivation different from those underlying the first. based on the assumptions that norms form the basis for behaviour. the practitioner intervenes in a collaborative way with the clients. will occur only as the persons involved are brought to change their normative orientations to old patterns and develop commitments to new ones. The rationality and intelligence of men are not denied. Chin and Benne indicate the nature of the normative-reductive strategy as follows: A second group of strategies we call normative-re-educative. Sociocultural norms are supported by the attitude and value systems of individuals-normative outlooks which undergird their commitments. and will change if and when they come to realize change is advantageous to them. Chin and Benne describe three types of strategies for changing. Anything hindering effective problem solving is brought to light and publicly examined. information. based on the assumptions that people are rational. The second group of strategies is normative-re-educative strategies. Chin and Benne suggest that a normative-re-educative. attitudes. not just changes in knowledge. OD clearly falls within the normativere-educative category. These implications give clients considerable control over the situation. Patterns of action and practice are supported – by socio-cultural norms and by commitments on the part of the individuals to these norms. strategy has the following implications for the practice of OD. relationships and customary ways of doing things.Organization development involves change. And changes in normative orientations involve changes in attitudes. that is." Solutions to problems are not a priori assigned to greater technical information but may reside in values. The third set of strategies is the power-coercive strategies. and significant relationships. and they give more options to both the clients and the practitioner. Evaluated against these three change strategies. will follow their rational self-interest. and it rests on a particular strategy for change that has implications for practitioners and organization members alike. The norms to be changed and the form of re-education are decided by the client system members.
and (2) "technology. OD practitioners know about these patterns through research and theory." applied science. 6.” . by modifying a group norm or standards. the object of which is knowledge for its own sake. the treatment typology allows the practitioner to know what remedial efforts to apply to correct the problem. The principles of diagnosis and of treatment constitute the principles of practice. Although human behaviour in organizations is far from an exact science." Both diagnosis and treatment consist of observing a situation and. OD emphasizes the latter. placing it in a classification scheme or typology. re-establishes the equilibrium. i. thereby solving the problem. the major leverage point for change is at the group level. Greenwood discusses the activities of the practitioner as follows: "The problem that confronts a practitioner is customarily a state of disequilibrium that requires rectification. failure negating it and thus requiring re-diagnosis. Thus. The practitioner examines the problem situation. Greenwood states: “The diagnostic and treatment typologies are employed together.8 Applied Behavioural Science This foundation of OD relates to the primary knowledge base of the field. The aim of this discussion is to look briefly at how behavioural science knowledge becomes applied behavioural science knowledge. 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. hopefully. Each type description of the diagnostic typology contains implications for a certain type of treatment. or practice. on the basis of selected variables. for example. pressing problems. norms can best be changed by focusing on the group. behavioural science knowledge. OD is the application of behavioural science knowledge. On this point. The practitioner uses treatment as the empirical test of his diagnosis.” Norms help determine individual behaviour and a normative-re-educative strategy of changing pervades the practice of OD. success corroborating the diagnosis. lawful patterns of events produce effectiveness and ineffectiveness. applied science or practice. A conventional distinction is made between (1) "pure" or basic science. the object of which is knowledge to solve practical.Because norms are socially accepted beliefs held by groups about appropriate and inappropriate behaviours.. 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. not the individual.e. The diagnostic typology allows the practitioner to know what category of situation he or she has examined. practices. This process is customarily referred to as diagnosis and treatment. and skills in ongoing systems in collaboration with system members. with their elaborations and implications constitute practice theory. on the basis of which he or she prescribes a solution that.
” Concluding Comments: . a comparative search on the conditions and effects of various forms of social action. it is a program of applying behavioural science to organizations. 6. It is a type of action-research. 6.9 Action Research The action research model – a data-based." the OD practitioner works: first diagnosing the situation. Fig. The two bottom inputs. behavioural science research and two behavioural science 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. who developed the concept of action research. Action research is especially well-suited for planned change programs. practice research and practice theory. Action research is a method that combines learning and doing – learning about the dynamics of organizational change. problem-solving method that replicates the steps involved in the scientific method of inquiry underlies most OD activities. 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. form of applied behavioural science. perhaps more accurately. feedback of the data to the client system members. and action planning based on the data. I am inclined to hold the opposite to be true. Kurt Lewin. represent contributions from pure or basic science.8: Composition of Applied Behavioural Science Organization development is both a result of applied behavioural science and a. Action research involves three processes: data collection.From this "practice theory. and finally evaluating the effects of the treatments. and doing or implementing change efforts. represent contributions from applied science. the two top in puts. then selecting and implementing treatments based on the diagnosis.
4. Self Assessment Questions 1. OD interventions alter features of the work setting causing changes in individuals’ behaviours. 3.10 Summary The foundations of organizational development form the theoretical and practice underpinnings of the field. Taken separately. . In parallel learning structures members have to think and behave in ways that are different from the normal roles and rules of the organization. First—order change is also called ___________. Explain Kurt Lewin’s models and theories of planned organizational change.These foundations of organization development form the theoretical and practice underpinnings of the field. which in turn lead to individual and organizational improvements is the principle of Porras and Robertson model organizational change. Ralph Kilmann specified the critical leverage points for organizational change. –––––––––– means moving to new level of behaviour. 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. Action research model combines learning and doing. Bring out the essence of “managing beyond the quick fix” model of organizational development. 6. The Burke-Litwin model emphasized on first-order and second-order change. A _____________ is defined as “a set of elements standing in interaction. 2. 3. 6. 2. Taken collectively. A fundamental belief in OD is that work teams are the building blocks of organizations.11 Terminal Questions 1. What are first-order and second order change according to Burke-Litwin Model of organizational change? Explain. –––––––––– gave the model “Beyond the Quick Fix”. each is a powerful conceptual tool for thinking out and implementing change. _____________ means sum of the efforts of team members is far greater than the sum of individual efforts of members. Systems theory views organizations as open systems in active exchange with their environment.” 5. they constitute the beginning of a theory of organization development and change that has enormous potential for improving organizational performance and individual development.
3 4.2. Unfreezing 2. “Work teams are building blocks of organizational development.4. Refer section 6. Synergy Answers to TQs: 1.12 Answers to SAQs and TQs SAQs: 1.2 Characteristics of Organization Culture Culture and .2.1 2. Refer section 6. System 5. 6.1 Introduction Objectives 7. Refer section 6. MU0002-Unit-07-Organization Climate Unit-07-Organization Culture and Climate Structure: 7.5 Copyright © 2009 SMU Powered by Sikkim Manipal University . Refer section 6.” Comment on this statement.3 5.2 3.2. Transactional change 4. Ralph Kilmann 3. What are the features of systems theory of organizational development? 5.Refer section 6.
– similar to what you can use to get a feeling about someone’s personality. Culture is one of those terms that’s difficult to express distinctly.7 Terminal Questions 7. For example.5 Developing and changing Organization Culture Self Assessment Questions 7. thinking. norms and tangible signs (artifacts) of organization members and their behaviors.7. but everyone knows it when they sense it. organizational change must include not only changing structures and processes. You can tell the culture of an organization by looking at the arrangement of furniture. but also changing the corporate culture as well. despite the best-laid plans. values. and feeling in relation to these problems (Schein. the culture of a large. 1986). Culture is comprised of the assumptions. what they brag about. Objectives: After studying this unit. Members of an organization soon come to sense the particular culture of an organization.1 Introduction Basically. The concept of culture is particularly important when attempting to manage organization-wide change. or developed by an organization as it learns to cope with its problems of external adaptation and internal integration. Martin and Meyerson. organizational culture is the personality of the organization. Comprehensively organization culture is the pattern of basic assumptions that is invented. etc. what members wear. Practitioners are coming to realize that. 7. you will be able to: · Understand Organization Culture. .3 Types of Organization Culture. for-profit corporation is quite different than that of a hospital which is quite different than that of a university.6 Summary 7. · Describe different types of Organization Culture · Explain organization culture and effectiveness.4 Organization Culture and Effectiveness 7.8 Answers to SAQs and TQs 7. discovered. and validated enough to be taught to new members as the correct ways of perceiving.
Norms. Which in many organizations come down to “Do not do too much. Philosophy: These are policies that set forth the organization’s beliefs about how employees and/or customers are to be treated. internal and external are viewed in market . terminology. 4. including guidelines on how much work to do. this was considered the only effective way of organizing and is still a basic element of the vast majority of organizations. they use common language. Observed behavioral regularities.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. Typical examples are high product quality. For many years. the way participants interact. Rules: There are strict guidelines related to getting along in the organization. Some of the most readily agreed upon are the following: 1. Dominate value: These are major values that the organization advocates and expects the participants to share.2 Characteristics of Organization Culture Organizational culture has a number of important characteristics. Note that the Market organization is not one which is focused just on marketing. 6.· Discuss about developing and changing organization culture. and in particular taking note of transaction cost. They often have well-defined policies. and the way members of the organization conduct themselves with customers or other outsiders. 2. New-comers must learn those “ropes” in order to be accepted as full-fledged members of the group. and rituals related to deference and demeanor. When organizational participants interact with one another. 7. Market The Market organization also seeks control but does so by looking outward. Standards of behavior exist. Hierarchies have respect for position and power. 5. 7. Hierarchical leaders are typically coordinators and organizers who keep a close eye on what is happening. processes and procedures. but one where all transactions. do not do too little?” 3. Organizational climate: This is an overall “feeling” that is conveyed by the physical layout. Low absenteeism and high efficiency.
and validated enough to be taught to new members as the correct ways of . Transactions are exchanges of value. but critical to shaping its behavior. clans often have flat organizations and people and teams act more autonomousl. value flows between people and stakeholders with minimal cost and delay. the adhocracy will rapidly form teams to face new challenges.terms. Rather than strict rules and procedures. It will use prototyping and experimenting rather than long. Clan The Clan organization has less focus on structure and control and a greater concern for flexibility. outputs and outcomes. 1993). culture is like the DNA of an organization. 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). In an efficient market organization. In biological terms. do still exist and are often communicated and inculcated socially. Clan leaders act in a facilitative. Leaders in market cultures are often hard-driving competitors who seek always to deliver the goods. invisible to the naked eye. although not necessarily documented.4 Organization Culture and Effectiveness It is reflected in how things are done (Flanagan. 1995) and how problems are solved in an organization. In contrast to Hierarchies. affecting the performance of every-one within the culture in positive or negative ways. big-bang projects and development. are particularly driven by results and are often very competitive. 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. Comprehensively organization culture is the pattern of basic assumptions that is invented. Rules. supportive way and may take on a parental role. Market cultures are outward looking. Adhocracy The Adhocracy has even greater independence and flexibility than the Clan. It has an inward focus and a sense of family and people work well together. Where market success goes to those with greatest speed and adaptability. Leaders in an adhocracy are visionary. 7. strongly driven by loyalty to one another and the shared cause. people are driven through vision. shared goals. which is necessary in a rapidly changing business climate. discovered. or developed by an organization as it learns to cope with its problems of external adaptation and internal integration. innovative entrepreneurs who take calculated risks to make significant gains.
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. rules. and what is right and what is wrong. IBM norms dictate that employees should actively listen and respond to customer demands and complaints. communicating. Thus. For example. and no unanimity is found in different approaches. believing. Though an organization espouses a series of values. reflecting what is important in the organization and determining how the organization ought to be (the ethos. 1986). The various approaches are judgmental and open to question. and procedures. its core value are limited to a few in number. Artifacts: The visible manifestations of culture as seen in the physical and social environment of the organization such as: · Its structure. systems and subsystems. Identifying. Values evolve out of the basic assumption and form the core (or heart) of the culture. goals. the way they dress etc. Martin and Meyerson. various terms such as efficiency. the jargon they use. They are reflected in the core capabilities of a company. Though a large volume of literature is available on the concept and working of organizational effectiveness. · The observable behavior of its members (the way they talk. the personality of the organization). Organization Effectiveness Organizational effectiveness. etc. · Public documents it releases and media reports and stories about it. plaques. . and feeling in relation to these problems (Schein. Values: These are the social principles. and are generally not compromised for short-term benefits or financial gains. The set of basic assumptions evolve into values artifacts and norms in terms of which an organization culture may be examined and understood. individually and collectively. is defined and conceptualized in different ways. and doing. from the basis of its policies and action. productivity. · Its rituals. These are the essential and enduring tenets of an organization.the informal rules of the fame telling employees what they are supposed to be saying. thinking. or standards held by members of an organization. there is often contradiction in various approaches. also called as organizational success or growth.perceiving. symbols. norms.
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. These variables have been classified by Likert into three groups-causal.g. This is one part of effectiveness that many managers overlook because it emphasis long-term potential as well as short-term performance. the organizational analysis is incomplete for a practicing manager unless the factors underlying effectiveness are identifying. Causal Variables: Causal variables are those factors that influence the course of development within an organization and its results or accomplishment. and behaviour. attitudes. motivations. business and leadership strategies. The intervening variables may be divided into two broad categories: (i) the intervening attitudinal. Causal variables include the structure of the organization and its management. intervening and end result. Grouping variables into these categories aids greatly in the correct interpretation of the data and their use for diagnostic and other purposes. e. Intervening Variables: Intervening variables are those factors which are reflected as the internal state of organization.profitability. and (ii) the intervening behavioral cluster. These causal variables include only those independent variables which can be altered or changed by the organization and its management. to denote organizational effectiveness. there are numerous variables. 3. the process usually involves some version of the following steps: . 7..which are useful in discussing organizational effectiveness over time. 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. scrap loss. motivational. 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 are concerned with building and developing the organization. are often used interchangeably. 2. costs. Whatever the criteria adopted for organizational effectiveness. the loyalties. and earnings. According to Likert. and perceptual cluster. skills. 1.5 Developing and Changing Organization Culture How Organizational Cultures Start Although organizational cultures can develop in a number of different ways. From this point of view. decisions. and perceptions of all members and their collective capacity for effective interaction. Though each individual’s effectiveness is significant but perhaps the most important aspect of effectiveness is its relationship to the entire organization. and they tend to be long-term goals. and decision-making. Causal variables include the structure of the organization and management’s policies. organizational growth. performance goals. communication. Likert states that the intervening variables reflect the internal state and health of the organization.
4.1. or even customers may support the existing culture. That is. and a common history begins to be built. . 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. relationships. age. The founding core group beings to act in concert to create an organization by raising funds. is workable. These factors from the two cultures include the size. the industry in which the partners come from and now reside. obtaining patents. However. locating space. Changing Organizational Culture Sometimes an organization determines that its culture has to be changed. if the appropriate organization culture is in place. Politics. 3. Structure. is worth running some risks for. 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?. Predictable obstacles include entrenched skills. all in this core group believe that the idea is a good one. A single person (founder) has an idea for a new enterprise. Staffs. and is worth the investment of time. For example. the geographic location. Even through some firms have had a culture in place to anticipate change. and whether products and/or services are involved. others are brought into the organization. the current environmental context has undergone drastic change and either the organization must adapt to these new conditions or it may not survive. money. and so on. building. roles. New product development and information technology is changing so rapidly that any example would be soon out-of –date. and history of two firms. In addition. powerful stakeholders such as unions. and how this plays out among the partners will be important to cultural compatibility. 2. and energy that will be required. incorporating. and structures that work together to reinforce traditional cultural patterns. then such rapid change can be welcomed and accommodated with as little disruption and as few problems as possible. At this point. management. Where does the power and managerial decision making really reside? Corporate cultures range from autocratic extremes to total employee empowerment. 2. The founder brings in one or more other key people and creates a core group that shares a common vision with the founder.
________cultures are outward looking. 2.3. These emotions will be a major input into the clash or compatibility of the two cultures. so that a consistent message is delivered from all management team members. 7. 2. The personal feelings. and patterns of daily behavior. 1. attitudes. organizational cultures can be managed and changed over time. so that they are able to interact well with the organizational personnel. habits. are particularly driven by results and are often very competitive. commitment. Guidelines for change Despite the significant barriers and resistance to change. Assess the current culture. 4. the “culture contract” that individuals have bought into to guide their day-to-day thoughts.6 Summary . Move quickly and decisively to build momentum and to defuse resistance to the new culture. Expect to have some problems and find people who would rather move than change with the culture and. 8. 6. ___________are those factors that influence the course of development within an organization and its results or accomplishment. Make changes from the top down. Self Assessment Questions 1. take these losses early. Take out all trappings that remind the personnel of the previous culture. if possible. Include employees in the culture change process. 5. This attempt to change culture can take many different forms. Stay the course by being persistent. 7. Set realistic goals that impact on the bottom line. Simple guidelines such as the following can be helpful. especially when making changes in rules and processes. 9. _____are the visible manifestations of culture as seen in the physical and social environment of the organization. Emotions. 3. 3. Recruit outside personnel with industry experience.
system-resource approach. and strategic constituencies approach. behavioural approach. Organizational effectiveness can be measured through various approaches. Organizations to be successful must be efficient and effective. Effectiveness of an organization can be increased through economic man approach and administrative man approach. Artifacts 2. 7.Organizational effectiveness is the degree to which organization is successful in accomplishing its goals. Discuss the development and change of organizational development. . Explain the characteristics of organization culture.3 3.7 Terminal Questions 1.5 Copyright © 2009 SMU Powered by Sikkim Manipal University . Finally. Market 3. Factors in organizational effectiveness include casual variables. effectiveness through adaptive-coping cycle has been discussed. Causal variables Answers to TQs: 1.goal approach. 7. 3.8 Answers to SAQs and TQs SAQs: 1. 2.2 2. intervening variables and end-result variables and there exists interrelationship among these variables. Briefly explain different types of organizational culture. Refer section 7. Refer section 7. Refer section 7.
indisputable facts of organizational life.3 Two Faces of Power 8. That criticism was essentially correct for many years although it is less valid .7 Operating in a Political Environment 8.1 Introduction Politics and Power and politics.9 Summary 8.11 Answers to SAQs and TQs 8. As Warner Burke observes: "Organization development signifies change.4 Theories about the Sources of Social Power 8.10 Terminal Questions 8.Power.6 The Role of Power and Politics in the Practice of OD 8. The OD practitioner needs both knowledge and skill in the arenas of organizational power and politics.5 Organizational Politics Defined and Explored 8. power must be exercised. In this unit. and for change to occur in an organization.8 Acquiring and using Power Skills Self Assessment Questions 8.1 Introduction Objectives 8. Organization Development Unit-08. Politics and Organization Development Structure: 8.MU0002-Unit-08Power. must be understood if one is to be effective in organizations. we examine power and politics in relation to organization development.2 Power Defined and Explored 8.” Organization development has been criticized for not taking into account power in organizations.
today. financial. · Explain the role of power and politics in the practice of OD. The phenomenon of power is ubiquitous. to effect outcomes. The French word ‘pouvoir’ stands for both the noun ‘power’ and the verb ‘to be able. · Explain theories about the sources of power. political. We therefore define interpersonal power as the ability to get one’s way in a social situation.’ To have power is to be able to get desired things done. confiscation. 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.” “A has power over B to the extent that he can get B to do something that B would otherwise not do. and organizational activities. humankind would not have the standard of living it does today. One person exerts power over another to the degree that he is able to exact compliance as desired. the necessity of social interaction between two or more parties. 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. the act or ability of influencing others. spiritual. Potential power is the capacity to do so. Without influence (power) people would have no cooperation and no society.actions and the decisions that precede them. and repression. but kinetic power is the act of doing so. Objectives: After this studying this unit. and behaviours of people. · Acquire skills to handle power and politics in organizations. Without leadership (power) in medical. Power-in-action may ." “Power is the ability of those who possess power to bring about the outcomes they desire.2 Power Defined and Explored "Power is the intentional influence over the beliefs. humankind would not have much of the misery it does today." "Power is defined in this unit simply as the capacity to effect (or affect) organizational outcomes. you will be able to: · Define power and politics in organizations. emotions. Without leadership (power) directed toward warfare. 8. and outcomes favoring one party over the other." Analyzing these definitions shows some common elements: effectance-getting one’s way.
coercing-these are examples of negative uses of power. absolute power corrupts absolutely. it is through the use of power that things get done in the world. we will examine four different views about who gets power and how: · Emerson’s "Power-Dependence theory. persuading-these are examples of positive uses of power. selling." Her research in four organizations showed both kinds of power. being exercised. and lead." · French and Raven’s "Bases of Social Power. influencing. power being the predominant mode. forcing. This positive face of power enables others to reach their goals as well as lets the person exercising power reach his or her goals. How do some people come to possess power? How is power generated. Roberts came to a similar conclusion in her study of "collective power" and "competitive power. unsocialized need to dominate others. It is especially salient in coordinated activities such as those found in organizations. In fact. or acquired? In this unit. the positive face of power seeks to empower self and others." A moment’s reflection. McClelland observed that while power has a negative connotation for most people. 8.take many forms. for organizations to function. Crushing. We think this distinction provides a good insight into the concept of power.3 Two Faces of Power David McClelland proposed an important distinction when he identified "two faces of power" – positive and negative. an authority or power dimension is required. 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. hurting. bestowed. Leading. not the possession of power as such. In most organizations the positive face of power is much more prevalent than the negative face of power." · Salancik and Pfeffer’s "Strategic-Contingency Model of Power. 8. The positive face of power is characterized by a socialized need to initiate. both positive and negative. Power per se is probably neither good nor bad although Lord Acton observed that "power tends to corrupt. According to him. or positive. The negative face of power seeks to dominate and control others. however. with collective.4 Theories about the Sources of Social Power Power exists in virtually all social situations. influence. suggests that many problems with power stem from the goals of persons with power and the means they use. . the negative face of power is characterized by a primitive." · Mintzberg’s Observations on the Genesis of Power in Organizations.
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. or feeling of oneness with) the power holder. Power-dependence theory is related to a broader framework of social interaction called social exchange theory. Coercive power – power based on the ability of the powerholder to punish another. blame. In this theory. The components of this theory are a social relation between two parties and resources (commodities. of social power as follows: 1. 5. to give something negatively valued by the other. Exchange theory and power-dependence theory are quite compatible with the ideas proposed by French and Raven. 2. Expert power – power based on the powerholder possessing expert knowledge or expertise needed by the other. which posits that what goes on between persons is an exchange of social commodities: love. The sociologist. Referent power – power based on the power-receiver having an identification with (attraction to. rejection. 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. French and Bertram Raven on "the bases of social power. when the net balance for us is negative. attraction. and (2) inversely proportional to the availability of those goals to A outside of the A-B relation.Power-dependence theory states that power is inherent in any social relationship in which one person is dependent on another. praise. and desired by the other. that person has power over us. 3." In other words. 4. to give something valued by the other. that is." These authors suggested five sources. P. we will continue the exchange relationship. 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. goals. power. Informational power is a form of expert power where the powerholder possesses important facts or information needed by the other. hate. we will terminate or alter the relationship. that is. giving someone power over us is the commodity we exchange when we are dependent on that person for something we want. rewards) that are controlled by one party. Viewed in this light. Closely related to these ideas is the classic statement by John R. respect. Reward power – power based on the ability of the powerholder to reward another. . if a person has something we want badly and we cannot get it any other place. power belongs to those persons who control or mediate desired commodities. information. When the net balance for us is positive. influence. Social interaction represents an exchange of social goods and services. or bases. and so forth.
suppliers. According to Mintzberg. regulators. and that the organization is the context for the exercise of power. the managers. the unions. being in control of critical skills. In addition to a base of power. An organization has many potential influencers. Salancik and Pfeffer further suggest how power is used: "Power is used by subunits. coupled with 2) The expenditure of energy in a 3) Politically skillful way. seek to control the organization’s decisions and actions. The fourth basis is legal prerogatives-being given exclusive rights to impose choices. Henry Mintzberg has developed a theory of organizational power drawn from the organization theory literature and his own creative synthesis abilities. second. and so forth. This theory. to enhance their own survival through control of scarce critical resources. and. customers. indeed. "is built on the premise that organizational behavior is a power game in which various players. the influencer must have both the "will" and the "skill" to use it. or departments) most important for solving the organization’s most critical problems. such as the board of directors. that power-in-action requires will and skill. used by all who have it. control of a resource.The strategic-contingency model of power asserts that power in organizations accrues to the subunits (individuals. the employees. through the placement of allies in key positions. like the ones discussed previously. In summary. control of a body of knowledge. The important aspects of Mintzberg’s theory are that the sources of power derive from possession of a commodity desired by others." These authors view organizational power as a good thing. control of a technical skill. These critical problems are generally "uncertainties" posed by the environment. for power in the hands of the critical problem solvers helps the organization cope with the various realities it faces. The resources may be ability to reward and punish. the ability to solve critical problems or exigencies-anything that creates dependence of one actor or set of actors on another.others-in this case." The three basic conditions for the exercise of power are 1) Some source or basis of power. first. these four views of the sources of power are remarkably similar – power stems from possession of or mediation of desired resources. supports the notion that those who have something highly valued by. called influencers. All of these must be critical to the organization. the special expertise needed for the organization’s survival-have power. A fifth basis of power is access to those who have power based on the first four bases. the top executives. or information. This theory. knowledge. units. third. and through the definition of organizational problems and policies. . the five possible bases of power are.
and a socialized need to lead. Organizational politics tend to be associated with decision-making. surprise. and predominant use of the tactics of fighting-secrecy. one gains a quick understanding of the overall "political climate" of an organization by studying its methods of resource allocation. a relative absence of the tactics of fighting. One important feature in these definitions should be examined further.8. unsocialized needs to dominate others. viewing situations in win-win terms as much as possible. like power. and how”. For our purposes. conflict resolution. organizational politics is power-in-action in organizations. Both relate to pursuit of self-interest and overcoming the resistance of others. the capacity to get things done by virtue of the position held. “Organizational politics involve intentional acts of influence to enhance or protect the selfinterest of individuals or groups”. when. formal power. you must lose-rather than win-win terms. Thus. they are where the "goods" are distributed and the goals decided. The negative face of politics is characterized by extreme pursuit of self-interest. we view politics as a subset of power. We are inclined to consider politics as neither good nor bad per se but believe that politics. 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. the last two definitions view politics as illegitimate or unsanctioned activities. “Organizational politics is the management of influence to obtain ends not sanctioned by the organization or to obtain ends through non-sanctioned influence means”. withholding information. Likewise we also treat authority as a subset of power. In fact. and influence others. treating it as informal power. illegitimate in nature. and choosing among alternative means and goals. 8. The first three definitions treat politics as a neutral set of activities. These key areas are the battlefields where actors win and lose.5 Organizational Politics Defined and Explored Harold Lasswell defined “politics simply as the study of who gets what. has two faces. and conflict resolution processes. holding hidden agendas. resource allocation.6 The Role of Power and Politics in the Practice OD . the power vested in office. Analyzing these definitions suggests that the concepts of power and politics are similar. a tendency to view situations in win-lose terms-what I win. initiate. “Organizational politics involve those activities taken within organizations to acquire. engaging in open problem solving followed by action and influencing. but in this sense. deceiving. Both relate to getting one’s way-effectance. develop and use power and other resources to obtain one’s preferred outcomes in a situation in which there is uncertainty about choices”.
Values such as trust. and (3) to promote the client’s internal commitment to the choices made. But organization members are free to accept or reject the practitioner. his or her program. individual dignity. catalyst. and promoting individual and organizational competence are part of the foundation of organization development. In summary. Virtually. OD values are consistent with the positive face of power. The OD consultant. co-operation. OD interventions increase problem-solving. provides a service that the organization is free to "buy" or "not buy. informed choice. organization development represents an approach and method to enable organization members to go beyond the negative face of power and politics. being one aspect of the positive face of power. The practitioner is not a political activist or power broker. For example. Emphasis on power equalization stems from two beliefs: first. problem solving is usually superior to power coercion as a way to find solutions to problematic situations. all OD interventions promote problem-solving. Cobb and Margulies caution that OD practitioners can get into trouble if they move from a facilitator role to a political role. and by so doing adds power to the organization. These values are congruent with rational problem solving and incongruent with extremely political modes of operating. collaboration. We know of no OD interventions designed to increase coercion or unilateral power. and his or her values. "Power equalization" has long been described as one of the values of organization development. public data about the organization’s culture. processes. methods. not politics. Valid. rather. Not only is organization development not a power/political intervention strategy. power equalization. they enhance the positive face of power. According to Chris Argyris. but not with the negative face of power. it is instead a rational problem-solving approach that is incompatible with extreme poweroriented situations." 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. increases the amount of power available to organization members. the "interventionist" has three primary tasks: (1) to generate valid useful information. and effective pursuit of goals while decreasing reliance on the negative faces of power and politics. as a preferred way to get things accomplished. 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. public data are indispensable-for problem solving but anathema for organizational politics. thereby making the negative face of power less prevalent and/or necessary. (2) to promote free. like all consultants. and expertise. second.We have discussed a number of ideas concerning power and politics. as we discussed earlier. The role of the OD practitioner is that of a facilitator. fact-finding. and educator. strengths. OD interventions typically generate valid. openness. problem solver. and weaknesses. This major . OD interventions do not deny or attempt to abolish the reality of power in organizations. The practitioner works to strengthen skills and knowledge in the organization.
expert power (the consultant possesses expert knowledge). Competence: Demonstrated competence is the most important source of power. Success leads to credibility and stature. informational power (the consultant has a wealth of information about the strengths and weaknesses of the organization). Sponsorship: "Organization development groups will gain power to the extent that they have sponsorship.7 Operating in a Political Environment We will present some general observations on operating in a political environment. Resource management: Power accrues to those who control resources-in this case. and ability to gain organizational support. in powerful places. the values. These sources of influence produce a substantial power base that will enhance the likelihood of success. 2. acceptability. 8. If the OD group is cohesive and free of internal dissention. Group support: If the OD group is strong internally. First. Paying attention to these sources of power will enhance the likelihood of success of OD programs. the resources of OD expertise and ability to help organizational subunits solve their pressing problems. 6."34 This maxim has been recognized for years under the heading of "get top-level support for the program.strength of OD derives from the strategy of change. 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. it will gain more power. organization development practitioners operate from a potentially strong power base they can use to advantage. preferably multiple sponsorship. the technology. 5. it will be strong externally. According to the framework of French and Raven. . and possibly referent power (others may identify with and be attracted to the consultant). Stature and credibility: Beer notes that power accrues to those who have been successful and effective. 3. and the roles of OD practitioners." 4. 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. Michael Beer has identified additional means by which an OD group can gain and wield power in organizations: 1. followed by some rules of thumb for the OD practitioner.
Rule Five: Mind your own business. Each is derived from one general principle: Mind your own business. The nature of organizations and the nature of organization development suggest this rule. coaching. Skills such as listening. A valuable by-product of this fact is that if the program runs into political turbulence. The preceding rules of thumb describe ways to increase or solidify one’s power base. Beer and Walton argue that organization development should move from being practitioner centered to being manager-centered. OD consultants have a formal or informal contractual agreement with managers to help them do what they are trying to do-better. both as a person and as a professional. experience. those issues vital to the organization’s success. OD programs become desired commodities when they are instruments that allow individuals and organizations to reach their goals. Organizations are social systems in which members have both a history and a future of interacting. and effective conflict management techniques are required to enhance stable.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. OD practitioners are likely to have high interpersonal competence by virtue of their training. OD professionals who are skilled in conflict management techniques and OD programs that encompass conflict resolution activities become valued commodities. . Good OD practitioners will have learned and practiced these skills. it gains an aura of respect and protection that sets it above most political entanglements. and expertise. Sometimes OD practitioners overlook that they are hired by others. problem solving. Rule One: Become a desired commodity. Becoming a desired commodity as a person means being interpersonally competent and trustworthy. The role of the OD consultant is to help others upon request. and showing appreciation for the strengths of others are components of interpersonal competence. OD programs should be results-oriented. Rule Four: Create win-win solutions. Another way the OD program becomes a desired commodity is by focusing on important issues. which is to help someone else solve his or her major problems. to help them achieve their goals and solve their problems. 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. Rule Three: Make the OD program a valued commodity for multiple powerful people in the organization. The following rules describe ways to avoid becoming involved in one’s own or in others’ political struggles. When the OD program serves the needs of top executives. not the OD consultant. communicating. usually managers. Many OD interventions promote win-win solutions for conflict situations. constructive social relationships. the manager will vigorously defend it. Rule Two: Make the OD program itself a desired commodity. The OD program belongs to the manager. counseling.
thereby greatly expanding practitioner influence. and the characteristics and behaviors of powerholders. Illegitimate behavior causes others to try to exert greater control over the situation. Networking is recognized as a potent.1: Power Base and Power Strategy Connection Individual Power Bases Knowledge Strategies for Success Playing It Straight .8 Acquiring and Using Power Skills The OD practitioner is neither power activist nor power broker." which arouses defensive actions. Table 8. The authors propose adding the "using social networks" strategy to their repertoires. but that does not mean practitioners must be naive or incompetent in the political arena. not content. One carries out such a strategy by participating in alliances and coalitions. individual power derives from knowledge." and "going around the formal system. We could propose more rules of thumb. catalyst.Rule Six: Mind your own business." "using social networks. such behavior is often interpreted as politically motivated. As shown in the figure. but these give the flavor of the issues one must consider when operating in a political environment. Attention to these rules can save OD practitioners time and energy that can be more profitably invested in the OD program. dealing directly with powerholders and decision makers. Earlier we stated that the OD practitioner should learn as much as possible about bargaining. which is to be an expert on process. others’ support. Rule Seven: Mind your own business because to do otherwise is to invite political trouble. viable. Three successful power strategies are "playing it straight. The principle is simple but powerful: know your legitimate business and stick to it. We believe the legitimate role of the OD practitioner is that of facilitator. yet legitimate means of acquiring power. while at the same time increasing his or her usefulness to the organization’s powerholders. not by getting involved in the answers. 8. and educator. problem solver. and personality characteristics." OD practitioners have typically pursued a "playing it straight" strategy as their sole means of exerting power. the strategy and tactics of influence. A subtle phenomenon is involved here: when people engage in illegitimate behavior. 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. negotiations the nature of power and politics. not power activist or power broker. Abiding by this rule keeps the consultant from becoming entangled in politics. Illegitimate behavior encroaches on others’ legitimate "turf. and using contacts for information.
In this model. 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. The power structure will realize that collaborative power is preferable to manipulation and deception.) Position power derives from five sources: Centrality-access to information in a communication network. in turn.· 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. (Legitimacy refers to abiding by and promoting the values of the organization. effort. a person’s power comes from two main sources. influence key powerholders to accept the OD program. arises from expertise. personal power and position power. visibility-how much one’s work is seen by . 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. even those of little power. Personal power. criticality-how important one’s job is flexibility-the amount of discretion in the job. which in turn will protect the interests of all concerned. how-to book on power and organization development is well worth studying. This practical. and legitimacy. personal attraction. Whetton and Cameron’s model is shown in following figure. then utilize a facilitative OD process in which the powerholders work on strategic business issues using consensus decision making to develop a corporate strategy.
Indeed. According to these authors." And.influential people. "Power is converted into influence when the target individual consents to behave according to the desires of the power holder. reciprocity. They write: "Influence entails actually securing the consent of others to work with you in accomplishing an objective. Usually reason is the preferred strategy. Reciprocity refers to exchange of favors. power-in-use is called influence. (2) selecting the proper influence strategy. 8. Three influence strategies can be used to influence others-reason. 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”. “One of the most important ways of gaining power in an organization is by establishing a broad network of task and interpersonal relationships. Retribution is not recommended except in unusual cases. and retribution. actually using it to get things done is another. Having power is one thing.1: Model of Power and Influence Networking is used to increase both personal power and position power. no one has the necessary information and resources to accomplish what’s expected of them. Retribution refers to coercion and threats. Whetton and Cameron suggest ." Three things are involved in converting power into influence: (1) resisting other people’s inappropriate influence attempts. and reciprocity can be useful when reason fails. Reason refers to persuasion by facts. Fig. and (3) empowering others. and relevance-how important one’s task is in relation to organizational priorities. Networks are critical to effective performance for one compelling reason: Except for routine jobs.
(2) provide a positive. Organizational politics involve intentional acts of influence to enhance or protect the self-interest of individuals or groups. and are amenable to positive control. (3) reward and encourage others in visible and personal ways. reputation and professional credibility. 5. Strategic-contingency model of power asserts that power that accrues to the individuals. when and how. 8. and are amenable to positive control. 2. The OD practitioner needs both knowledge and skill in the arenas of organizational power and politics. . Methods for empowering others are the following: (1) involve subordinates in assigning work. Power and politics are similar in nature. arise from known conditions.several means of resisting others’ influence attempts such as confrontation and using countervailing power.. and how. Power based on the power-receiver having identification with the power holder is called ––– ––––––––. we have examined power and politics with the goals of understanding the phenomena and deriving implications for OD practitioners. 4. Power can be either positive or negative. Organizational power is the ability of those who possess power to bring about the outcomes they desire. Self Assessment Questions 1.10 Terminal Questions 1. 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. Power and politics are similar in nature. 8. 3. when. arise from known conditions. –––––– is the intentional influence over the beliefs. Organizational politics is defined as the study of who gets what. Power-dependence theory states that power is inherent in any social relationship in which one person is dependent on another. (4) express confidence (5) foster initiative and responsibility.9 Summary Power and politics are inseparable facts of organizational life. and (6) build on success. –––––––––– is made up of Charisma. _____________ has identified two faces of power. Define power in an organizational context and explain types of power. emotions or behaviour of people. units or departments is most important in solving organizational problems. Concluding Comments: In this unit. collaborative work environment. –––––––– defined politics as the study of who gets what.
Identify the bases of individual power and the respective strategies for their success.5 4. McClelland 3. Referent power 4. Define organization politics.11 Answers to SAQs and TQs SAQs: 1. 8. Refer section 8. Explain the role of power and politics in the practice of OD. Harold Lasswell 5.6 5.2 2.Refer section 8. Refer section 8. MU0002-Unit-09-Structural Interventions and Applicability of Organization Development Unit-09-Structural Interventions and Applicability of Organization Development Structure: 9. 3.8 Copyright © 2009 SMU Powered by Sikkim Manipal University . 4. Refer section 8. Personality Answers to TQs: 1.4 3. Refer section 8.1 Introduction . Power 2. Describe briefly various theories of power. 5.2.
organizational problems may repeat. These methods are receiving increasing attention in Organization Development. Nothing is permanent except change because change is permanently changing.9 Reengineering Self Assessment Questions 9. events intended to help an organization improve its performance and effectiveness.3 Socio Technical Systems 9.1 Introduction Organizations are increasingly realizing the fact that change is the price of the survival. actions.Objectives 9. In this dynamic and fluid environment.5 Quality Circles 9. Objectives: .8 Total Quality Management 9. These interventions vary from standardized program that have been developed and sometimes tailored program.6 Quality of Work Life Projects 9.10 Summary 9.11 Terminal Questions 9. how to produce product or service which is related to Employee involvement approaches and how to design work is related to Work design. These programs are derived from careful diagnosis. 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. 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.2 Meaning and Definitions 9.4 Management By Objectives 9.7 Parallel Learning Structures 9.12 Answers to SAQs and TQs 9. An organization development intervention is a sequence of activities.
and OD practice enables the change agent to estimate the probable consequences of the change.2 Meaning and Definitions Structural Intervention is related to the changes that relate elements of organization to one another. Basic reinforcement theories. meaning the major costs are associated with analysis and design of change. · Discuss the Management By Objectives · Explain the Quality Circles. Once diagnosed and an appropriate correction developed. · Discuss the parallel Learning Structures. Changes can involve decentralization and centralization. Managers and administrators are notoriously pragmatic. Weeks and months of group effort are saved. their attractiveness is also increased by the following advantages: 1. Greater Predictability. 3. 9. you will be able to: · Explain the Socio technical change. The cost of structural change is generally “front-end” loaded. Cost is Low. Downsizing associated with restructuring.After studying this unit. · Explain Reengineering. Structural changes are consistent with their operating styles and are generally understood by practitioners. includes removing or adding layers to hierarchy. One problem with behavioral/ group interventions is the tendency for new managers or employees to discount or fail to continue the change program. 5. This normally is a reasonable. Rapidity of change. and more . change can be introduced relatively rapidly by top management. 2. Succession Doesn’t Destroy Change Effort. Structure changes are normally “institutionalized” and less subject to this problem. · Explain Total Quality Management. From a benefit cost analysis. Organization Acceptance of Change. In addition. structural Interventions compare quite favorably with all other alternatives. 4. organization theory. Advantages of Structural Interventions There are a number of reasons why a consultant should consider employing a structural intervention.
Its basic idea has been derived from the concept of participative goal setting as a technique of OD.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. is a technique and system which helps in improving organizational performance. processes and functions to create a balance between the organization and its changing external environment. 1976. therefore. Though there are some variations in the practices of MBO and. many business and nonbusiness organizations have adopted this in some form or the other. It endeavors to re-design the organization’s structure. 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. its definitional aspect.” .4 Management by Objectives Management by objectives (MBO). consciously directed towards the effective and efficient achievement of organizational objectives. 1967. a predictable cost Implementation of group strategies involves significant long-term man-hour and consultant costs. The term MBO was coined by Drucker in 1964 when he emphasized the concept of managing by results. it has been defined as follows: MBO is a comprehensive managerial system that integrates many key managerial activities in a systematic manner. though not strictly an OD intervention in the sense in which other interventions have been discussed so far. It could involve the following steps (Foster. Since then. 9. Pasmore.critically. Cummings.
Therefore. MBO employs several techniques but it is not merely the sum total of all these techniques. etc. Therefore. The basic emphasis of MBO is on objectives. reward and punishment system is attached with the achievement of the objectives. It emphasises initiative and active role by the manger who is responsible for achieving objectives. In fact. including the corporate level. superiors and subordinates. MBO is bound to have some relationship with every management technique. It is a particular way of thinking about management.” Based on the definition of MBO. each manager takes active part in setting objectives for himself and also in evaluating his performance as to how he is performing. with objective orientation as its essence. its features can be identified as follows: 1. operational managerial process for the effective utilization of material. managers have the opportunities for clarifying their job relationships with peers. Periodic review of performance is an important feature of MBO. As an approach to management. On the other hand. often MBO provides the stimulus for the introduction of new techniques of management and enhances the relevance and utility of the existing ones. MBO is likely to affect every management practice in the organization. normally once a year. Certain degree of overlapping is there. Resource allocation. MBO is the joint application of a number of principles and techniques. MBO is an approach and philosophy to management and not merely a technique. The MBO is characterized by the participation of concerned managers in objective setting and performance reviews. and human resources of the organization by integrating the individual with organization and organization with the environment.. The performance review is held regularly.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. 2. . its subsystems and people. The total management process revolves round the objectives set jointly by the superior and the subordinate. 6. Objectives in MBO provide guidelines for appropriate system and procedures. all the units or departments and individual manager. non-specialist. The review is future-oriented because it provides basis for planning and corrective actions. This process clarifies the role very sharply in terms of what one is expected to achieve. Similarly. A management technique can be applied in selected parts of the organization and will have limited implications for its other parts. It works as an integrating device. This is possible because MBO tries to match objectives and resources. physical. MBO is also concerned with determining what these results and resources should be. Objectives are established for all the levels of the organization. are determined on the basis of objectives. Whereas the various techniques of management help in measurement of results in resources. delegation of authority. 5. 3. Objectives provide the means for integrating the organization with its environment. 4.
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.
3. 9. assumes neither an upward flow of involvement nor that consensus decision making. actions. The term MBO was coined by _________ in 1964. quality. consciously directed towards the effective and efficient achievement of organizational objectives. or restructuring activities without regard to present hierarchical or control procedures. · A major emphasis on continuous learning. From a benefit cost analysis. Sociotechnical systems design is better suited to meet the requirements of a changing external environment in comparison with traditional designs. structural Interventions compare quite favorably with all other alternatives. Self Assessment Questions 1. __________ represents a participative approach to employee involvement in problem solving and productivity improvement. actions. MBO is a comprehensive managerial system that integrates many key managerial activities in a systematic manner. · An emphasis on teams and teamwork. · Continuous search for sources of defects with a goal of eliminating them entirely. Quality . events intended to help an organization improve its performance and effectiveness. · Top management support on an ongoing basis. 2. Reengineering focuses on visualizing and streamlining any or all business processes in the organization. and speed. contemporary measures of performance. such as cost.10 Summary An organization development intervention is a sequence of activities. An organization development __________ is a sequence of activities. events intended to help an organization improve its performance and effectiveness. 9. service.9 Reengineering It is the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical. It seeks to make such processes more efficient by combining.· Competitive benchmarking. There are a number of reasons why a consultant should consider employing a structural intervention. eliminating. · Participative management. Reengineering is a top-down process.
Discuss Socio Technical Systems? 2. Intervention 2. What are the advantages of structural interventions? 3. . TQM pushes decision making power downwards in the organization. Refer section 9. It consists of small group of employees who meet voluntarily to identify and solve productivity problems. 9. Explain Management By Objectives? 4. Quality circle Answers to TQs: 1. provides relevant information to all employees. 9. Refer section 9.Refer section 9. ties reward to performance and increase workers knowledge and skills through extensive training.8 Copyright © 2009 SMU Powered by Sikkim Manipal University .2 3. Drucker 3.5 4.circle represents a participative approach to employee involvement in problem solving and productivity improvement. Refer section 9.3 2. Write a short note on Total Quality Management.11 Terminal Questions 1.12 Answers to SAQs and TQS SAQs: 1. It is also called continuous quality improvement.
7 Summary 10. cope with the ongoing changes successfully in the first instance.9 Answers to SAQs and TQs 10.3 Resistance to Change 10.2 Nature of Change 10.1 Introduction Objectives 10.5 Impact of Change on the Future Manager 10.1 Introduction Change in Organizations are increasingly realizing the fact that change is the price of the survival.6 Methods of Reducing Resistance to Change. Hence. 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.4 Causes for Resistance to Change.MU0002-Unit-10-Managing Organization Development Unit-10-Managing Change in Organization Development Structure: 10. the mangers and other employees must be able to practically anticipate the changes (planned and unprecedented).8 Terminal Questions 10. In this dynamic and fluid environment. organizational problems may repeat. Self Assessment Questions 10. and initiate new change so as to overtake the competitors one the one hand and delight the customers on the other. Objectives: . 10. Nothing is permanent except change because change is permanently changing.
However. 10. Thus.whether physical. may require special change efforts. it has stretched slightly. less. The type of new equilibrium depends on the degree of change and its impact on the organization. which are major ones. However. Newstrom and Davis have explained the impact of a change in any part of the organization on the total organization. some parts of organization may be affected more. and others. others. Thus. When a finger (which represents external force) is forced against a point on the balloon (which represents the organization). Organizational change is a continuous process. organizational change is the alteration of work environment in an organization. · Discuss the nature of change · Explain resistance to change and the factors which resist change. When change occurs in any part of the organization.After studying this unit. · State the methods of reducing resistance to change. it becomes indented at the point of contact. biological. organizational change may have the following features: 1. . Thus. Though this phenomenon will be taken later. or social. · Impact of change on future managers. some parts may be affected directly. some changes which are of minor type may be absorbed by the existing equilibrium. However. they have concluded that the whole organization tends to be affected by change in any part of it. the change in organization does not occur purely on mechanical relationship. 3. They have illustrated it by comparing an organization to an air-filled balloon. employees want to maintain a status quo. 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. While managers as change agents want to bring changes in the organization. and others. if we look minutely.2 Nature of Change The term ‘change’ refers to an alteration in a system. the contour of the balloon visibly changes. job design and people. 2. you will be able to: · Explain the meaning of organization change. It implies a new equilibrium between different components of the organization – technology. it disturbs the old equilibrium necessitating the development of a new equilibrium. indirectly. we find that the shape of the entire balloon has changed. structural arrangement. Any change may effect the whole organization.
” Resistance as Benefit: On the one hand. We shall take new workers at the new place. people act to establish a steady state of need fulfillment and to secure themselves from disturbance of that balance. One example of Bajaj Auto Limited is relevant here. Many companies have been forced to do so in the past. because it produces identical symptoms. Homeostasis implies self-correcting characteristics of organism to maintain equilibrium as a result of change. “The Pune plant is fully saturated. the managers face the problem of resistance to change. Managing Director of Bajaj Auto.10. that is. or they have been forced to adopt alternative strategies. so is the resistance to change. it provides some benefits to the organization as its change agent. 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. fear of change can be as significantly disrupting as change itself. adjustment is fairly routine. On this phenomenon. resistance to change is costly affair. commented. If people resist to change. This leads to general proposition that people and their social systems will often resist change in organizations. the organizational may not be able to introduce new phenomena in order to adapt environmental requirement. and on the other. Resistance as Cost: Since all changes have some cost. the reality lies in between. there are two sides of resistance. like shifting of the manufacturing plants at new locations. We saw resistance to change at the existing plant. In order to increase its manufacturing capacity of two-wheelers. many organizations have been forced to abandon change programmes because of resistance to such programmes. more serious upsets may occur. but when a change is major or unusual. In fact. social systems tend to resist change because of homeostasis. Before we trace out the reasons for résistance to change. Resistance to change forces management to find out this reality which helps in managing change more effectively. In fact. Thus. Similarly. People tend to resist many types of changes because new habits or sacrifices are required.3 Resistance to Change In the management of change effectively. When change is minor and within the scope of correcting programme. Madhur Bajaj. We wanted a new culture and new layout. and its basic survival may be jeopardized. 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.as cost and as benefit. let us discuss whether resistance is always bad as it is generally perceived to be. In fact. While on negative side. resistance to change provides help in managing change in two ways: .
reduce job options. Reduced Opportunities for Incentives: Employees are generally offered incentives linked to their output in the form of incentive schemes. Factors in Resistance to Change People tend to evaluate the effect of change individually but they express it through group in collective form. either real or emotional. People may perceive that they will be adversely affected by the change in terms of their needs satisfaction in the following ways: 1. Therefore. All these are well-established in the old system. Whenever there is change. These feelings. precede over other needs. Skill Obsolescence: A change is generally meant for better methods of working which may involve new techniques. It also highlights real inadequacies in the proposed change and suggests better ways for developing and introducing changes. whenever people sense that new machinery (change) poses a threat of replacing or degrading them. When computer was introduced in the business sector in India. Economic Factors People feel attached to the organization for satisfying their needs and economic needsphysiological. 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. 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. it attracted a lot of resistance because of this reason.. job security etc. bonus. Psychological Factors . and turn into technological unemployment. These feeling may be based either on reality or there may be emotional feeling towards the change. 2. Fear of Economic Loss: A change may create fear of economic loss in the sense that it may affect economic compensation adversely. may be seen in the context of three types of factors: economic. they simply resist such a change. people may feel that in the new system. This feeling is created because people feel that those who can match the new requirements will be better off than those who cannot match. 2. technology. etc. 3. Degree of force in resistance depends on how people feel about change.1. they will have lower opportunity to earn incentives and bonus as the new system requires additional skills. etc. psychological and social.
Therefore. A change in itself suggests that everything is not right at a particular level. they resist change. they do not want any disturbance in their existing equilibrium of life and work pattern. sentiments and attitudes towards change. The major factors causing resistance to change are: desire to retain existing social interaction and feeling of outside interference. may be logical from people’s point of view but may be illogical from the change agent’s point of view. Desire to Maintain Existing Social Interaction: People desire to maintain existing social interaction since it is a satisfying one. that is. 5. Low Tolerance for Change: In the context of maintaining status quo. If people have low degree of confidence in the change agent. lack of trust in change agent. Thus. 2. Some people have very low level of tolerance for change and ambiguity as compared to others. The change will bring results in future. . Ego Defensiveness: A change may affect the ego of the people affected by the change and in order to defend their ego. Social Factors People derive need satisfaction. To the extent the satisfaction of these needs is affected by a change. the person who initiates change. Therefore. their existing social interactions are likely to be changed. people resist change. Major psychological factors responsible for resistance are: ego defensiveness. these people resist any new idea. Fear of Unknown: A change may be perceived as entering into unchartered area which is unknown. 1. people resist it. 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. through their mutual compatible interactions. they show resistance to change efforts. everyone tries to avoid it. The lack of adequate information about the likely impact of change further complicates the problems. Status Quo: People want status quo. These are qualitative and. Lack of Trust in Change Agent: The effect of change is perceived in the context of change agent. They form their own social groups at the work place for the satisfaction of their social needs. The change initiated by the organization disturbs such equilibrium and people have to obtain another equilibrium which is a painful exercise. When there is any change. therefore. This lack of certainty creates anxiety and stress in the minds of people and they want to avoid it. i. Therefore.Psychological factors are based on people’s emotions. people may differ. 3. low tolerance for change. status quo. 1. which is always uncertain. the change may be perceived as an instrument for exposing the weakness of the people. particularly social needs. which people do not want.e. 4. and fear of unknown.
all these companies have been victims of corporate disease. nothing fails as spectacularly as spectacular success. Organizational Resistance to Change: Not only individuals and groups within an organization resist change. if new . prescribes rigid authority relationships. Stability of Systems: The organization may design a system through which it may derive many benefits. For example. dogmas. This phenomenon is heightened if the change agent belongs to another social class. a bureaucratic organization has certain fixed rules. Many powerful organizations of the past have failed to change and they have developed into routines. Some of these reasons are basic while others are by-products of those. Feeling of Outside Interference: A change brought about by the change agent is considered to be interference in the working of people. For example. This is the reason why many old industrial houses are languishing far behind and their places are being taken away by newer organizations. It is called ‘The Failure of Success’. resource limitations. sunk cost. Counting Past Successes: A major problem before the organizations which have past success stories is how to face challenges of the changing environment. The system is stabilized and any change may be perceived as a threat by the organization itself.” This statement suggests that organizations tend to stabilize at a particular level and if the change efforts are not brought. it may not be possible for the organization to bring necessary change. e. Zerox or nearer home-TI cycles. values.. For example. they become too rigid to change and they hide their failure to change in the guise of past successes. change initiated by managers affecting workers. and inter-organizational agreement. 3. 1. Strategies. these organizations start falling. Caterpillar. For example. Sumantra Ghoshal. resources and processes of the most successful companies have in the past ossified into clichés.2. All these work in some circumstances. 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. first two reasons are basic and others are by-products of the first two. Since these organizations have achieved success by following a particular set of management practices. If the organization is not fully equipped for meeting such demands. and institutes reward and punishment system. millstones and routines. even the organization itself resists many changes because of certain reasons. has commented as follows: “Nothing fails like success. The major reasons for organizational failure to change are: counting past successes. It a change is required in these aspects. stability of systems. Whether it is IBM. Many organizations are designed to be innovation-resisting. the organization may not bring it easily because it is accustomed to a particular system. 2.g. a professor of strategic leadership who is considered to be a management Guru. Digital Equipment Corporation. an organization has to adapt to its environment but the adaptation has its own cost. Resource Limitations: No doubt.
they have to behave in one of the above three ways. They go on searching new products/markets on regular basis. Analyzers: Above two are the extreme cases of choice-making modes in between the analyzers and reactors. analyzers. broad environmental scanning. 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. 5. and put less emphasis on environmental scanning. Otherwise.defenders. the organization may enter into agreement with labour union about not bringing any technological change. it will require resources to procure machine. . They emphasize more on cost-effectiveness. prospectors. Prospectors: These firms use broad planning approaches. Analyzers act sometimes as defenders and sometimes as prospectors. Once the assets are acquired. forward-looking. decentralized controls.” This is the true reflection of difference between change-initiating companies and changeresisting companies. It depends more on the style of top management. those who wonder what happened. these can be used for specific period. 4. Therefore. intensive planning. and has zeal for progress. In this interaction process. Based on the aggressiveness which various companies show in changing themselves. those who watch things happen. If it is risk-taking. Defenders: These are the firms which penetrate in a narrow market product domain and guard it. and commensurate expenses on other items also. the organization has to take into consideration the wishes of other organizations too.technology is adopted. and reserve some resources unutilized for future use. Miles and Snow have classified them into four categories. Sunk Cost: Most of the organizations have sunk cost involved in various assets. organization has to pay for his services though these may not be as useful. centralized control. It is necessary too that other organizations also agree to the change proposal. This can be in the form of people also. It an individual is not making commensurate contribution. innovative. it is not necessary that his services are done away with. In such a case. 2. 1. 4. they cannot survive. the organization may take change programmes much more frequently. Thus. what will happen to these assets? Naturally. and reactors. Reactors: These organizations realize that their specific environment is changing but fail to relate themselves with the changing environment. For example. if any change is to be incorporated. building and training for its personnel. Sunk cost cannot be only in terms of various physical things. Inter-organizational Agreements: The organization interacts with its environment. if the change is required. 3. Let us see what someone has said long back: “There are three types of companies: those who make things happen. it may enter into agreement with other organizations over certain aspects of working. Now.
and so on. And people in general don’t like the unknown. some may fear they’ll be unable to do so. the selection process systematically selects certain people in and certain people out. taking a new set of streets to work. this tendency to respond in our accustomed ways becomes a source of resistance. threatening to go on strike. Security: People who have a high need for security are likely to resist change because it threatens their feeling of safety. Training . For analytical purpose. or programmed responses. If for example. When Boeing announces its laying off 10. Fear of the Unknown: Change substitute ambiguity and uncertainty for the known. do you continually use the same route and streets? Probably if you’re like most people. finding a new parking place. we all rely on habits. especially when pay is closely tied to productivity. engaging in a work showdown. we’re creatures of habit. the introduction of a quality management program requires that production workers learn statistical process control techniques. Organizational resistance Structural Inertia: Organizations have built-in mechanisms to produce stability. we don’t need to consider the full range of options for the hundreds of decisions we have to make every day. or deferred. They may.4 Cause for Resistance to Change Resistance to change doesn’t necessarily surface in standardized ways. adjusting to the new office layout. Life is complex enough.000 people or Ford introduces new robotic equipment. To cope with this complexity. 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. we’ve categorized them by individual and organizational sources. When we are confronted with change. Habit Every day. therefore. So when your department is moved to a new office building across town. a change is proposed and employees quickly respond by voicing complaints. or the like. As human beings. Resistance can be overt. implicit. For example. it means you’re likely to have to change many habits: waking up 10 minutes earlier. immediate. when you go to work or school. developing a new lunchtime routine. Economic Factors: Another source of individual resistance is concern that changes will lower one’s income.10. develop a negative attitude towards quality management or behave dysfunctionally if required to use statistical techniques. The same applies to employee. Let’s look at the sources of resistance. many employees at these firms may fear that their jobs are in jeopardy. For instance. you find a single route and you use it regularly. It is easiest for management to deal with resistance when it is overt and immediate.
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. Changing Skill Sets More organizations are utilizing cross functional teams. One area of organizations that continues its metamorphosis is the design itself. Formalization provides job description. for instance. Why? Because this outsourcing is a threat to the specialized skills held by people in HR departments. rules and procedures for employees to follow. 10. may be willing to accept changes in his job suggested by management. Group Inertia: Even if individuals want to change their behavior. But if union norms dictate resisting any unilateral change made by management. These teams are comprised of people from various areas within the company. People from one functional department are placed on terms with people from other functional areas. for instance. accountants work with marketers. Thereat to Established Power Relationships: Any redistribution of decision-making authority can threaten long-established power relationship within the organization. That is. . Limited Focus of Change: Organization is made up of interdependent subsystems. An individual union member. For example. They tend to be content with the way things are.5 Impact of Change on Future Manager Organizations are changing nearly daily. development of pay plans. So limited changes in subsystems tend to get nullified by the larger system. if management changes the technological processes without simultaneously modifying the organization’s structure to match. 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. and benefits administration – has been resisted by many human resource departments. the change in technology is not likely to be accepted. You can’t change one without affecting the others. Threat to Established Resource Allocations: the groups in the organization that control sizable resources often see change as a threat. the way in which companies are configured today is changing. human resource people with engineers and finance individuals with operations employees. For example. Threat to Expertise: Changes in organizational patterns may threaten the expertise of specialized groups. The only constant in organizational life today appears to be the presence of continuous change. he’s likely to resist. The recent move by some companies to outsource many of their human resource activities – such as training. group norms may act as a constraint. Will the change.and other socialization techniques reinforce specific role requirements and skills.
through group dynamics. This requires that managers think differently and teach employees to think differently. It implies explanation and . the following efforts can be taken: 1. the role of formal authority in implementing a change may not be effective all the times.” The newer organizational structures use term problem solving. Stephen Robbins suggests that “…… managers in virtual structures spend most of their time coordinating and controlling external relations. It may affect only a few while others may not be affected. Unless this problem is overcome properly. 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. Locavini observes that “the secret of real success is effective management of the emotional vulnerability that accompanies organizational change.The ultimate goal is to improve organizational performance by cutting production time or time to market. managers must be more skilled at reading the environment and grasping the big picture.6 Methods of Reducing Resistance to Change One of the basic problems in managing change is to overcome people’s resistance to change successfully. In many cases. Problem solving now involves the people who are experts in the issue – not necessarily those in high positions in the organization. even the impact of change may be dysfunctional if change is imposed upon the people by the use of formal authority. it can make effectively by managing resistance effectively. at the level of individual and at the level of group. 10.” Problem of overcoming resistance to change can be handled at two levels. Therefore. For example. the effect of the change may not be as functional as envisaged by the management. strategic directions for the company must be identified in light of these changes. For this purpose. Efforts at Individual Level A change is likely to affect some people in some way. When the resistance comes from the people at individual levels. rather should be looked upon as a dialogue which continues over a period of time. Involvement: Involvement is a process through which those who are affected by the change are brought to understand the change. However. As organizations must be better equipped to respond to change in their external environment. the problems can be solved at the same level. this is not a one-time action. More fluid structures require that managers improve their strategic orientation. typically by way of computer network links. In addition. They need to be adept at reading the trends in the environment and then determining what they mean specifically for their own organization. both at the formal and informal levels. Both these attempts are complementary and sometimes these efforts may be overlapping because every individual is a member of some of the groups. that is.
is an important trust-building task. helped to change attitudes. Such educational process can be aided by training classes. to become effective. 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. For using group as a means of overcoming resistance to change. Thus. so that they are looked at and evaluated. meetings. Training and Psychological Counseling: The management can change the basic values of the people by training and psychological counseling. understanding of change increases and personal involvement in the change increases. People should be educated to become familiar with change. Obtaining Commitment: Commitment is an agreement to take an active part in the actual mechanics of the change. A manager as weak leader presents change on the basis of the impersonal requirements of the situation. either the subordinates do not resist or if they resist.then discussion of the proposed changes. more than one person is involved in the change. he expresses it through a group. They must be taught new skills. sometimes. Based on these characteristics of group as a means of change. The fundamental idea in this process is to encourage the person to say something about any aspect of the change. 2. must be understood so that its effective use can be made. the leader tries to overcome this resistance by leadership process. It grows slowly along with relationship. An effective leader tries to time a change to fit the psychological needs of his followers. and conferences. However. its process and working. 3. Thus. its basic nature. it is desirable at the group level to get better acceptability of change. Commitment to take part in the change programme can be obtained in private from each individual. education must be a part of the manager’s everyday activity on the job. People always have some ideas and opinions about what is going on in the world and more specially if touches them personally. Efforts at Group Level Although agreement to a change can be obtained individually. However. It includes finding out from the members how they interpret the proposed changes and what they think about them. 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. but a transformational leader can use personal reasons for change without arousing resistance. Though each person interprets the change individually often. Getting opinions out in the open. as discussed earlier. As this process goes. The decision to commit oneself is a dynamic process. the manager can form strategies for overcoming resistance in the following manner: . This helps in creating receptive environment in the organization. it is more meaningful if it is done through group. most of the times. and indoctrinated in new relationships. Group dynamics offers some basic help in this regard. the level of resistance to change tends to decrease. instead of solving the problem at the individual level. Usually. 4.
benefits of change. 3. 3. many things about change can be made clear. However. (ii) In group. there may be some person who may communicate to the same group. __________ are based on people’s emotions. Research studies also support this aspect. The group contact offers some specific advantages: (i) Through groups. It would be prudent for management to take labour representatives into confidence before implementing any change. and how the benefits of the meaningful and continuous dialogue are necessary. one can communicate with more people per unit of time. Group Dynamics Training for Change: Group dynamics also helps in providing various training programmes for accepting and implementing change. sentiments and attitudes towards change.such aspects as the reasons for change. Self Assessment Questions 1. Such training techniques provide understanding of behaviour. Those people who are directly affected by the change should be given opportunity to participate in that change before the final decisions are reached. 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. psychodrama. Such training techniques include role playing. 2. _________ helps to give people involved in the organizational change and inculcate a feeling of importance. and how members contribute. structural arrangement. the group itself should be the point of contact. job design and people. (iii) Group can get at the basic problem very rapidly as compared to a single individual. The laboratory method provides a setting where group processes can be studied intensively. Through the group contact. 2. mere participation may not help. The same is true of problem-solving. It makes people feel that the organization needs their opinions and ideas and is unwilling to go ahead without taking them into account. and sensitivity or T-group training. Participation: Participation helps to give people involved in the organizational change and inculcate a feeling of importance. _________ is the alteration of work environment in an organization. thereby the people can build up the climate based on mutual trust and understanding which are essential for bringing organizational changes successfully. This is more important in the case of workers who themselves treat a separate group and do not identify with the management. They must be made a party to the change rather than an agent for resistance to change. taking whole of the group into confidence helps in maintaining a cooperative attitude. Group Contact: Any effect to change is likely to succeed if the group accepts that change. Even if only some of the members are affected by the change. . For this purpose.1. Free flow of information helps people to understand the real picture of the change and many misunderstandings may be avoided. It purports how the results are.
threatening to go on strike.10. Economic factors. Explain the nature of change? 2. immediate. through group dynamics. psychological factors. For instance. Reference: .6. It is easiest for management to deal with resistance when it is overt and immediate. 10.4 3. that is. both at the formal and informal levels. Problem of overcoming resistance to change can be handled at two levels. implicit. It implies a new equilibrium between different components of the organization. or deferred. social factors. engaging in a work showdown. Refer section 10. Refer section 10.2 2. a change is proposed and employees quickly respond by voicing complaints. Why do organizations resist change? 3. 10. Both these attempts are complementary and sometimes these efforts may be overlapping because every individual is a member of some of the groups. Discuss the methods of reducing resistance to change. Resistance can be overt. People tend to resist many types of changes because new habits or sacrifices are required. at the level of individual and at the level of group.8 Terminal Questions 1. Changes may be influenced by external and internal factors. Organizational change 2. Organizational change is the alteration of work environment in an organization. Refer section 10. group resistance and vested interests.9 Answers to SAQs and TQS SAQs: 1. or the like.7 Summary Change is inevitable. Participation Answers to TQs: 1. Psychological factors 3.
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