Organisation Development

Definition

“A planned process of change in an organisation’s culture through the

utilisation of behavioural science technology, research and theory.” (Warner
Burke)

An Organization Development practitioner is to an organization as a

physician(doctor) is to a human body. The practitioner "diagnoses" (or
discovers) the most important priorities to address in the organization,
suggests a change-management plan, and then guides the organization
through the necessary change. There are different definitions and views on
how the change should occur.

Why use Organisational Development?

 OD work contributes to the sustained health and effectiveness of

the organisation
 OD work is based upon robust diagnosis that uses real data from
organisational, behavioural and psychological sources
 OD work is planned and systemic in its focus, that is taking account
of the whole organisation
 OD practitioners help to create alignment between different
activities, projects and initiatives
 OD work involves groups of people in the organisation to maximise
engagement, ownership and contribution

Five important challenges when adopting O.D (Burke 1992):

1. Restructuring and downsizing Objectives.

This situation is often a source of stress for employees:
 They are uncertain whether they are going to be the next one on
the list to be sacrificed.
 They might be asked to shoulder more responsibilities.

2. Organisations are obliged to move faster to be able to grasp and

benefit from business opportunities arising from technological
developments.

3. When organisation grows globally, issues like equal opportunities,

health and safety have to be incorporated.

4. Managers seek the help of O.D consultants to plan and manage

change effectively. OD practitioners can be external consultants or
internally appointed to introduce and implement change in their own
organisation.
 5. Ethics and social responsibility are considered as a new key source
of global competitive advantage in order to upgrade their competitive
positions and social image.

O.D as a process of change

“Change means the new state of things is different from the old state of
things”
By French & Bell 1999

From the definition above we can deduce that organisational change means
that the new work environment and organisation culture is different from
previous ones.

Model 1

Action Model (French & Bell, 1999)

The methodological model for O.D is action research. Action research is a

way of using research in an interventionist way, so that the researcher is both
a discoverer of problems and solutions, and is involved in the decisions about
what is to be done and why. It sees organisational change as a cynical
process where theory guides practices and practices in turn informs theory.

Action Research is a process that involves:

 Diagnosis involves systematically collecting research data about an

ongoing system relative to some objective, need or goal.

 Feedback is about feeding these data back into the system by

reporting back to those from whom the data was obtained on the
organisation’s collective sense of the organisational problems.

 Taking action by altering selected variables within the system based

on both on the data and on the assumptions about how the system
functions.

 Evaluating the results of actions by collecting more data.

 Model 2

Lewin three stage model of change as an organisational

Development tool

Lewin’s Change Process O.D Action Research Change

Process

Unfreezing: Establishing the need for  Identifications of problems

change.
 Consultation with O.D
Practitioners.

 Gathering data with initial

diagnosis.

 Client group feedback

Movement : to new behaviour  Joint problem diagnosis.

through cognitive reconstructuring
 Joint planning of change actions.

 Engagement in the change

process.

Refreezing: Integration of new  Post-action data gathering and

behaviours into social and evaluation.
organisational relationships.
Model 3

Example of a Planned, Systematic Change Process (Burke)

Phase 1: Start-Up - Clarifying Expectations and Roles for Change

Process

This phase is sometimes called the "Contracting" and/or "Entry" phase. This
phase is usually where the relationship between you (the initial change agent)
and your client starts, whether you are an external or internal consultant.
Experts assert that this phase is one of the most - if not the most - important
phases in the organizational change process. Activities during this stage form
the foundation for successful organizational change. The quality of how this
phase is carried out usually is a strong indicator of how the project will go.

Phase 2: Joint Discovery to Identify Priorities for Change

The more collaborative the change agent is in working with members of the
client's organization, the more likely that the change effort will be successful.
Your client might not have the resources to fully participate in all aspects of
this discovery activity -- the more participation they can muster, the better off
your project will be.

Whether you are an external or internal change agent in this project, you and
your client will work together during this phase to understand more about the
overall priority of the change effort and how you all can effectively address it.
It might be a major problem in the organization or an exciting vision to
achieve. Together, you will collect information, analyze it to identify findings
and conclusions, and then make recommendations from that information.
Sometimes the data-collection effort is very quick, for example, facilitating a
large planning meeting. Other times, the effort is more extensive, for example,
evaluating an entire organization and developing a complete plan for change.
The nature of discovery also depends on the philosophy of the change agent
and client. For example, subscribers to the philosophy of Appreciative Inquiry
(referenced above) might conduct discovery, not by digging into the number
and causes of problems in the organization, but by conducting interviews to
discover the visions and wishes of people in the organization.

Sometimes, people minimize the importance of - or altogether skip - this

critical discovery phase, and start change management by articulating an
ambitious and comprehensive vision for change. Many would argue that it is
unethical to initiate a project for organizational change without fully examining
(or discovering) the current situation in the client's organization. Focusing
most of the change efforts on achieving a robust vision, without at least some
careful discovery, often can be harmful to your client's organization because
your project can end up dealing with symptoms of any current issues, rather
than the root causes. Also, the project could end up pushing an exciting vision
that, while initially inspiring and motivating to many, could be completely
unrealistic to achieve -- especially if the organization already has many
current, major issues to address. Therefore, when working to guide change in
an organization that already is facing several significant issues, you are
usually better off to start from where your client is at -- that usually means
conducting an effective discovery to identify priorities for change.

Phase 3: Joint Planning of Organizational Development Activities to

Address Priorities

In the previous phase about discovery, you and your client conducted
research, discovered various priorities that needed attention, generated
recommendations to address those priorities, and shared your information
with others, for example, in a feedback meeting. Part of that meeting included
discussions - and, hopefully, decisions - about the overall mutual
recommendations that your client should follow to in order address the
priorities that were identified by you and your client during your discovery.
This phase is focused on further clarifying those recommendations, along with
developing them into various action plans. The various plans are sometimes
integrated into an overall change management plan. Thus, the early activities
in this phase often overlap with, and are a continuation of, the activities near
the end of the earlier discovery phase. This is true whether you are an
external or internal consultant. Action plans together can now provide a clear
and realistic vision for change. They provide the "roadmap" for managing the
transition from the present state to the desired future state.

Development of the various action plans is often an enlightening experience

for your client as members of their organization begin to realize a more
systematic approach to their planning and day-to-day activities. As with other
activities during change management, plans can vary widely in how they are
developed. Some plans are very comprehensive and systematic (often the
best form used for successful change). Others are comprised of diverse
sections that are expected to somehow integrate with each other. Subscribers
to the philosophy of Appreciative Inquiry (referenced above) might do
planning by building on past positive outcomes and on the strengths of
members of the organization.

Phase 4: Change Management and Joint Evaluation

During this phase, emphasis is on sustaining and evaluating the change

effort, including by addressing resistance that arises from members of the
organization -- and sometimes in the change agent, as well.

Joint Evaluation of Project Activities and Desired Results

Evaluation occurs both to the quality of implementation of plans so far during

the project and also regarding the extent of achievement of desired results
from the project. Results might be whether certain indicators of success have
been achieved, all issues have been addressed, a vision of success has been
achieved, action plans have been implemented and/or leaders in the
organization agree the project has been successful.
Phases of Planned Change

One of the most acknowledged theories and practices in the field of O.D is
that of planned change.

Coming & Worley argue that all approaches of O.D rely on planned change.

Consequently, the notion of planned change had led to different kind of

models for carrying out the planning out itself and the action following it. What
these models have in common is that they all contain a sequence of phases
to be carried out.

Phases of planned change

1. Development of a need for a change.

Creation of a sense of urgency for change. (Kotter’s 8 stage model, Lewin 3

step model, Forces field Analysis)

 O.D consultants make use of company and employee survey

findings to establish the existence of organisational problems
which require serious attention.
 Third party (customer) sees the need for change and takes the
initiative to arrange a meeting between the O.D consultant and
the customer organisation.
 The customer organisation itself discovers the need for change
and decides to seek consultative help. (through S.W.O.T)

Establishment of change relationship

For the successful realisation of any O.D initiative, a collaborative effort and a
trust-based relationship has to be forged between the consultant and the
client organisation.

“Often the client organisation seems to be seeking assurance that the

potential change agent is different enough from the client system to be a real
expert and yet enough like it to be understandable and approachable.”

Thus, basically client organisation expect O.D consultants to possess high

levels if empathy and expertise to successfully initiate change.
 Working towards change.

That is the implementation stage whereby the O.D consultants concentrates n

the following major activities.

 Clarification or Diagnosis of client organisational problems involves

of collection of information related to specific problem and trying to
understand the causes of the problem.
 Examination of alternatives routes and goals is concerned with
establishing specific goals and objectives. An assessment of degree of
motivation for change is also carried out simultaneously to determine
any potential resistance.
 A transformation of intentions into actual change efforts is the
visible part of the O.D effort whereby we can see changes being
brought about in the organisation structure.

4 Generalisation and stabilisation

At this stage of the O.D effort, commitment and involvement of all

organisational members are essential. Nomination of key employees as
facilitators to ensure the acceptance of the new culture. The facilitators will
have the responsibility of:

 Monitor the state of the organisation’s effectiveness.

 Ensure that monitored information and decisions are reported back
to the respective employees.
 Provide help in understanding new roles and responsibilities.
 Assist in the planning and implementation of action steps for further changes.
 Provide additional expertise for continuous change.

5 Achieving Terminal Relationship.

Now the client is able to stand alone and autonomously carry out future
changes and O.D interventions without help and support of O.D consultant.
O.D Values.
O.D Values, which O.D consultants normally consider while conducting
and intervention:

 People are cornerstone of organisational success.

 Employee personal growth and development should also be the
outcome of O.D interventions.
 Recognition of the importance of emotions, personal values and
interpersonal relationship.
 Positive attitude towards conflict resolution.
 Interdependence between functional units such that behavioural
changes initiated in a specific unit will have inevitable repercussions on
behaviour patterns in other units.

O.D Interventions

“To intervene is to enter into an on-going system of relationship, to come

between or among persons, group, or objects for the purpose of helping
them”

(By Chris Argyris 1970)

Organizational Development Activities ("Interventions") in Change

Management Processes

The field of Organization Development uses a variety of processes,

approaches, methods, techniques, applications, etc., (these are often termed
"interventions") to address organizational issues and goals in order to
increase performance.

Classification of interventions

 Human Process-Based: career development, coaching, orientation.

(e.g.; conflict management and motivating)

 Techno structural : skills/ technical training (e.g. : ISO 9000, TQM)

 Sociotechnical: team and quality training. (e.g. ; conflict resolution)

 Organisational Transformation: (e.g. ; Business planning and cultural

change)
Human Process Interventions (Group and Individual Human Relations)

With today's strong emphasis on humanistic values, the following

interventions are getting a great deal of attention and emphasis during efforts
for change. They focus on helping members of the organization to enhance
themselves, each other and the ways in which they work together in order to
enhance their overall organization. Although the types of interventions
selected for a project depend on a variety of considerations and the
interventions in a project often are highly integrated with each other, the
following human process interventions might be particularly helpful during
change projects in organizations where there is some combination of the
following: many new employees, different cultures working together, many
complaints among organizational members, many conflicts, low morale, high
turnover, ineffective teams, etc.

Guiding Individuals

Coaching
Counselling
Morale (Boosting)
Mentoring
Motivating

Group-Based

Conflict Management
Dialoguing
Group Facilitation
Group Learning
Team Building

Techno structural Interventions (Structures, Technologies, Positions.)

The following are examples of activities that focus on improving the

performance of organizations primarily by modifying structures, technologies,
operations, procedures and roles/positions in the organization. Although the
types of interventions selected for a project depend on a variety of
considerations and the interventions in a project often are highly integrated
with each other, the following techno structural interventions might be
particularly helpful in the following kinds of situations: rapid growth but few
internal systems to sustain that growth, much confusion about roles, a new
major technology or process has been introduced, many complaints from
customers, etc. These interventions might also be useful in new organizations
where internal operational systems must be developed and implemented.

Business Process Re-Engineering

Downsizing and Outsourcing
ISO9000
Organizing Tasks, Jobs and Roles
Total Quality Management

Human Resource Management Interventions (Individual and Group

Performance Management)

The following activities aim to enhance overall organizational performance by

improving the performance of individuals and groups within the organization.
Performance is in regard to setting goals, monitoring progress to the goals,
sharing feedback, reinforcing activities to achieve goals and dissuading those
that don't. Performance also is in regard to developing employees, including
by enhancing their overall sense of well-being. Although the types of
interventions selected for a project depend on a variety of considerations and
the interventions in a project often are highly integrated, the following human
resource interventions might be particularly helpful in the following kinds of
situations: new organizational goals have been established, a major new
system or technology must be implemented in a timely fashion, many new
employees, plans don't seem to get implemented, productivity is low,
ineffective teams, etc.

Employee Performance Management

Establishing Performance Goals

Performance Plans
Observation and Feedback
Evaluating Performance
Rewarding Performance
Recognizing Performance Problems ("Performance Gaps")
Performance Improvement / Development Plans

Employee Development

Career Development
Leadership Development Planning
Management Development Planning
Personal Development
Training and Development

Employee Wellness Programs

Diversity Management
Employee Assistance Programs
Personal Wellness
Safety in the Workplace
Strategic Interventions (Organization and Its External Environment)

The following activities focus especially on the organization and its

interactions with its external environment, and often involve changes to many
aspects of the organization, including employees, groups, technologies,
products and services, etc. Although the types of interventions selected for a
project depend on a variety of considerations and the interventions in a
project often are highly integrated, the following strategic interventions might
be particularly helpful in the following kinds of situations: rapid changes in the
external environment, rapid or stagnant sales, significantly increased
competition, rapid expansion of markets, mergers and acquisitions, the need
for quick and comprehensive change throughout the organization, etc.

Business Planning
Cultural Change
Large-Scale Interventions
Open Systems Planning
Organizational Alliances
Organizational Transformation
Strategic Planning
EXAMPLE

?How can stress be managed in a change environment

Designing an Intervention Strategy

Systems Approach:

- Diagnose the Environment (e.g., force field analysis)

- Develop an Action Plan (Objectives, activities, “details”)

- Evaluate the Results of the Intervention

Human process based

Survey Feedback -
The systematic collection of survey data -
Feed back to groups to promote problem solving and change -

Team Building -
A process to improve a group’s problem-solving abilities -
Example: process consultation -

Techno structural

Job Enlargement -

Adding variety through similar tasks -

Job Enrichment -

Increasing responsibility, knowledge of results, and meaningfulness of work -

Alternative Work Schedules -

Compressed workweek -

Flexitime work schedule -

Socio technical Systems

(Quality Circles (Involving employees in work decisions -

(Total Quality Management (TQM - Continuous improvement efforts -

:Five basic components

Total commitment from senior management .1

Quality standards and measures in place .2

(Training in quality for all employees (including Statistical Process Control .3

Programs/ways to reward, recognize, and celebrate quality achievements .4

Strong quality communication efforts .5

Self-Managing Teams (SMTs - Team members have authority to make -

(.decisions and regulate the team activities

Interdependence among team members -

Individual members have discretion/authority to make important work -

decisions

Individual members possess a variety of skills, so they can perform -

multiple tasks

The team receives regular performance feedback -

Organizational Transformation

Cultural Interventions - Efforts to change the values, norms, or ways of -

thinking in an organization

Strategic Changes - Fundamental changes in the purpose or mission of an -

organization

Becoming a Learning Organization - Beyond TQM, to continuous learning -

and improvement for all employees

:Dimensions that support learning

Organization Structure – more collaborative and team-based -

:Information acquisition, Sharing and retention -

HRM practices – all reinforce learning -

.Organisational culture- promotes learning -

Leadership – supportive at all levels -

High Performance Work Systems -

:Eight core principles

Alignment to organizational strategy .1

(Clear goals and outcomes (all levels, all aligned .2

Work is organized around processes .3

.Process-oriented tracking and management of results .4

Work units are linked to identified processes .5

Accountability, cycle time, and responsiveness emphasized .6

.Collaboration, trust, and mutual support are present .7

.Emphasis on strategic change management .8