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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 µmanagement¶ which uses the available resources in such a manner that a business enterprise is able to earn µsurplus¶ 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 ³management´. Some of these definitions are reproduced below: According to Lawerence A. Appley ± ³Management is the development of people and not the direction of things.´ In the words of George R. Terry ± ³Management 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 ± ³Management 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 ± ³To manage is to forecast and to plan, to organize, to command, to co-ordinate and to control.´ According to Peter F. Drucker ± ³Management is a multi-purpose organ that manages a business and managers and manages worker and work´. In the words of Koontz and O¶Donnel ± ³Management 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 ± ³The 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 ³management´ 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 ³management´. If the views of the various authorities are combined, management could be defined as a ³distinct 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 ³doing 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 ³doing 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 course, high efficiency is associated more typically with high effectiveness. And poor
informed employees. Intangible Force: Management has been called an unseen force. 6. These factors do not by themselves ensure production. They must motivate the subordinates for the accomplishment of the tasks assigned to them. buoyant spirit and adequate work output. 4. organizing. A Science and an Art: Management has an organized body of knowledge consisting of welldefined concepts. management is an essential ingredient of an organization. 2. they require the catalyst of management to produce goods and services required by the society. In essence.management is most often due to both inefficiency and ineffectiveness or to effectiveness achieved through inefficiency. It is imperative that the organizational goals must be well-defined and properly understood by the mangers at various levels. The success of management is measured by the extent to which the organizational goals are achieved. Integrative Force: The essence of management is integration of human and other resources to achieve the desired objectives. feeling of management is result-oriented. staffing. capital and materials. 7. namely. labour. The application of these concepts. experience and management principles for getting the results from the workers by the use of non-human resources. 3. labour and capital. Its presence is evidenced by the result of its efforts-orderliness. These functions are so interwoven that it is not possible to lay down exactly the sequence of various functions or their relative significance. It is the force which assembles and integrates other resources. principles and techniques which have wide applications. Thus. Managers also seek to harmonize the individuals¶ goals with the organizational goals for the smooth working of the organization. Distinct Process: Management is a distinct process consisting of such functions as planning. They must have the necessary ability and skills to get work accomplished through the efforts of others. It is the most critical input in the success of any organized group activity. Thus. It co-ordinates the efforts of workers to achieve the goals of the organization. 5. All these resources are made available to those who manage. So it is treated as a science. the process of management involves decision-making and putting of decisions into practice. although they can¶t observe it during operation. directing and controlling. People often remark of the effectiveness (or ineffectiveness) of management on the basis of the end results. 1. Economic Resource: Management is one of the factors of production together with land. Goal-oriented: Management is a purposeful activity. One may not see with the naked eyes the functioning of management but its results are apparently known. Managers apply knowledge.3 Characteristics of Management Management is a distinct activity having the following salient features or characteristics: 1. Results through Others: The managers cannot do everything themselves. principles and techniques requires specialized .
According to Herbision and Myers. Basically. the effective use of the five M¶s of management (money. machinery and methods or ways of doing things) depends to a great extent on the quality of management. Sociology and Psychology. Sociology and Operations Research have also contributed to the development of management science. Multi-disciplinary Subject: Management has grown as a field of study (i. materials. 9. military. 1. government and hospital. finance manager.) interprets and explains the policies framed by the top management. Universal Application: Management is universal in character. Since the skills acquired by a manager are his personal possession. the degree of authority gets gradually reduced. management is the rule-making and rule-enforcing body. Authority enables the managers to perform their functions effectively. discipline) taking the help of so many other disciplines such as Engineering. Managers working at top levels enjoy more authority than people working at lower levels. a hierarchy of command and control. ongoing concern. · Management as an economic resource Management is one of the factors of production along with land.4 Scope of Management The scope of management is very wide. it refers to three distinct ideas. people are bound by authority relationships. that is. personnel manager etc. money and machines into a productive. According to Newman. It is bound together by a web of relationships between superiors and subordinates. productivity orientation drew its inspiration from Industrial Engineering and human relations orientation from Psychology. Similarly. Top management determines objectives and provides direction to enterprise activities. System of Authority: Management as a team of managers represents a system of authority. In other words. Generally.e. Henri Fayol suggested that principles of management would apply more or less in every situation.knowledge and skills on the part of the manager. as we move down in the managerial hierarchy. useful. Middle management (departmental heads like work manage. management is required to covert the disorganized resources of men. In modern organizations. Managers at different levels possess varying degrees of authority. manpower. Instructions and decisions downward and carry the problem . The principles and techniques of management are equally applicable in the fields of business. management may be understood as (i) an economic resource. They transmit orders. how effectively and economically the five M¶s are combined together to produce desired results. materials. and (iii) a class or elite. 10. 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. labour and capital. Much of the management literature is the result of association of these disciplines. management is viewed as an art. Anthropology. education. 8. (ii) a system of authority. For instance. · Management as a system of authority According to Herbison and Myers.
Operative management is concerned with the ³doing´ function such as implementation of policies. day-to-day matters. 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. Considering the hierarchy of authority and responsibility. and directing the operations to attain the objectives of the enterprise. Financial Controller. Foremen. iii) Lower level or operative management of a company consists of Superintendents. or.. It devotes more time on planning and co-ordinating . planning and setting up of standards. Purchase Manager. Levels of Management An enterprise may have different levels of management. Supervisors. But in actual practice. and the range of production.. Levels of management refer to a line of demarcation between various managerial positions in an enterprise. (i) administrative management (i. wage and salary director of a company may assist in fixing wages and salary structure as a member of the Board of Directors. the lower level of management). 1. the term management refers to the group of individuals occupying managerial positions. The levels of management depend upon its size. and Divisional Sectional Officers working under these Functional Heads. ranks. its Chairman. ii) Middle management of a company consists of heads of functional departments namely.. or the General Manager or Executive Committee having key officers. We generally come across two broad levels of management.and suggestions upward. Board of Directors. etc. Marketing Manager. one can identify three levels of management namely: i) Top management of a company consists of owners/shareholders. As a separate group. Lower management (first line supervisors) is concerned with routine. but as head of wages and salary department. All the managers form the chief executive to the first line supervisors are collectively addressed as µManagement¶ which refers to the group. · Management as a class or elite Sociologists view management as a distinct class in society having its own value system.e. policies and plans for the enterprise.e. Administrative management is concerned with ³thinking´ functions such as laying down policy. the upper level of management) and (ii) operating management (i. Managing Director. or the Chief Executive. The managerial class has become very important in modern organizations owing to its contribution to business success. Production Manager. viz. For instance. The real significance of levels is that they explain authority relationships in an organization. Top management: Top management is the ultimate source of authority and it lays down goals. his job is to see that the decisions are implemented. etc. technical facilities.
. h) To co-operate with the other departments for ensuring a smooth functioning of the entire organization. It is accountable to the owners of the business of the overall management. b) To interpret the policies chalked out by top management. c) To set up an organizational framework to conduct the operations as per plans. It serves as an essential link between the top management and the lower level or operative management. They provide the guidance and the structure for a purposeful enterprise. The following are the main functions of middle management: a) To establish the objective or goals of the enterprise. They are responsible to the top management for the functioning of their department. d) To recruit and select suitable operative and supervisory staff. Without them the top management¶s plans and ambitious expectations will not be fruitfully realized. c) To prepare the organizational set up in their own departments for fulfilling the objectives implied in various business policies. d) To assemble the resources of money. i) To collect reports and information on performance in their departments. b) To make policies and frame plans to attain the objectives laid. They devote more time on the organization and motivation functions of management. g) To motivate personnel to attain higher productivity and to reward them properly. Middle management: The job of middle management is to implement the policies and plans framed by the top management. duties and responsibilities for timely implementation of the plans. 2. f) To compile all the instructions and issue them to supervisors under their control. e) To exercise effective control of the operations. materials. men.functions. e) To assign activities. f) To provide overall leadership to the enterprise. The important functions of top management include: a) To establish the objectives or goals of the enterprise. j) To report to top management. It is also described as the policy-making group responsible for the overall direction and success of all company activities. machines and methods to put the plans into action.
manager tries to strike a happy balance between the demands of employees and organizational requirements. Lower or operative management: It is placed at the bottom of the hierarchy of management. methods. management is the dynamic lift-giving element in every organization. (iii) Establishers sound industrial relations: Management minimizes industrial disputes and contributes to sound industrial relations in an undertaking. They are in direct touch with the rank and file or workers. procedures and reward systems. the working of an enterprise will become random and haphazard in nature.5 Importance of Management According to Drucker. They interpret and divide the plans of the management into short-range operating plans. A right climate is created for workers to put in their best and show superior performance. (iv) Achievement of goals: Management plays an important role in the achievement of objectives of an organization. They allot various jobs to the workers. and actual operations are the responsibility of this level of management. Employees feel a sense of security when they find a body of individual¶s working day and night for the continued growth of an organization. (ii) Effective leadership and motivation: In the absence of management. Management is goal-oriented. sales officers. To this end. evaluate their performance and report to the middle level management. 1. They have to get the work done through the workers. (i) Optimum use of resources: Management ensures optimum utilization of resources by attempting to avoid wastage of all kinds. They initiate prompt actions whenever workers express dissatisfaction over organizational rules. the resources of production remain resources and never become production. In its absence. It is the activating force that gets things done through people. It consists of foreman. accounts officers and so on. Management makes group effort more effective. With a view to realize the . Objective can be achieved only when the human and non-human resources are combined in a proper way. Management creates teamwork and motivates employees to work harder and better by providing necessary guidance. The importance of management can be understood from the following points. machines. They pass on the instructions of the middle management to workers. It enables employees to move cooperatively and achieve goals in a coordinated manner. supervisors. Industrial peace is an essential requirement for increasing productivity. Without management. Their authority and responsibility is limited. money and material. an organization is merely a collection of men. They are concerned with direction and control functions of management. It helps in putting the resources to the best advantage within the limitations set by the organization and its environment.k) To make suitable recommendations to the top management for the better execution of plans and policies. 3. They devote more time in the supervision of the workers. counseling and effective leadership. They are also involved in the process of decisions-making.
often threaten the survival of a firm. all these help in realizing goals with maximum efficiency. competition. They try to put everything on the right tract..predetermined goals-managers plan carefully. Management as a profession By a professional manager. iii) The establishment of a representative organization with professiona-lizing as its goal. (v) Change and growth: Changes in technology. It has also developed a vast number of tools and techniques. techniques. (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. ii) Formalized methods of acquiring training and experience. Successful managers are the ones who anticipate and adjust to changing circumstances rather than being passively swept along or caught unprepared. identifiable discipline. a profession possesses the following characteristics: i) A body of principles. An enterprise has to take note of these changes and adapt itself quickly. It is a profession in the sense that there is a systematized body of management. forecasting combined with efficient use of resources) and taking appropriate steps. Management . Thus unnecessary deviations. etc. Training facilities are provided in most companies by their training divisions. a management degree is not a pre-requisite to become a manager. and specialized knowledge. We have a number of institutes of management and university departments of management which provide formal education in this field. iv) The formation of ethical codes for the guidance of conduct. In the final analysis. Failure to take note of customer¶s needs regarding full efficiently has spelt doom for µIdeal java¶ in the two-wheeler market in India. skills. hire competent people and provide necessary guidance. the Indian Institute of Management. and it is distinct. Organize the resources properly. According to McFarland. government policy. A number of organizations such as the Administrative Staff College of India. Overlapping efforts and waste motions are avoided. Managers help an organization by anticipating these changes (carefull planning. (vi) Improves standard of living : Management improves the standard of living of people by (a) using scarce resources efficiently and turning out profits. But unlike medicine or law. Management is a profession to the extent it fulfils the above conditions. Management is also a profession in the sense that formalized methods of training is available to those who desire to be managers. and v) The charging of fees based on the nature of services. 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. (b) Ensuring the survival of the firm in the face of continued changes.
It may be concluded from the above discussion that management is a science. All managers have a role as a leader.6 Role of Management In the late 1960s. However. Henry Mintzberg did a careful study of five chief executives at work. however. do not seem to adhere to the principle of ³service above self´. an art as well as a profession. These ten roles can be grouped as those primarily concerned with interpersonal relationships.Development Institute. Interpersonal Roles: All managers are required to perform duties that are ceremonial and symbolic in nature ± interpersonal roles.S. the American Management Association in U. motivating. There are a number of representative organizations of management practitioners almost in all countries such as the All India Management Association in India. try to develop a code of conduct for their own managers but there is no general and uniform code of conduct for all managers. Management does not fulfill the last two requirements of a profession. the transfer of information. Furthermore. There is no ethical code of conduct for managers as for doctors and lawyers.A. There was little time for reflective thinking because the managers encountered constant interruptions. sabotaging trade unions. none of them has the professionalizing of the management as its goal. little regard is paid to the elevation of service over the desire for monetary compensation is evident by switching of jobs by managers. managers in general. But in addition to these insights. Management partially fulfils the third characteristic of profession. Mintzberg provided a categorization scheme for defining what managers do based on actual managers on the job. and it is not as fully a profession as medicine and law. However. Mintberz found that his managers engaged in a large number of varied. and disciplining employees. For instance. management is not as exact as natural sciences.. 1. bribing public officials to gain favours. and short-duration activities. etc. unpatterned. manipulating prices and markets are by no means uncommon management practices. the All India Management Association. In fact. and the university departments of management offer a variety of short-term management training programmes. he or she is acting in a figurehead role. in contrast to the predominant views at the time that managers were reflective thinkers who carefully and systematically processed information before making decisions. 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. Half of these managers¶ activities lasted less than nine minutes each. This role includes hiring. Some individual business organizations. Mintzberg concluded that managers perform ten different but highly interrelated roles. training. As a social science. and decision-making. Indeed such mobile managers are regarded as more progressive and modern than others. What he discovered challenged several long-held notions about the manager¶s job. The third role within the interpersonal grouping is the . The term µmanagement roles¶ refers to specific categories of managerial behaviour.
he or she has an outside liaison relationship. Responsible for the motivation Performing virtually all and activation of subordinates. making phone subordinates to members of the calls to relay information. manages also perform a spokesperson role. Mintzberg called this the monitor role. Typically. and the like. Maintains self-developed Acknowledging mail. what competitors may be planning.1: Mintzberg¶s Managerial Roles Role Interpersonal Figurehead Description Identifiable Activities Leader Liaison Symbolic head. These sources are individuals or groups outside the manager¶s unit. maintaining it current) to develop thorough personal contacts. Informational Roles: All managers. fulfill informational roles-receiving and collecting information from organizations and institutions outside their own. duties of a legal or social nature. understanding of organization and environment. that involve outsiders. When that sales manager confers with other sales executives through a marketing trade association.liaison role. informers who provide favors performing other activities and information. activities that involve responsible for staffing. Table 1. When they represent the organisation to outsiders. they do so by reading magazines and talking with others to learn of changes in the public¶s tastes. subordinates. Seeks and receives wide variety Reading periodicals and of special information (much of reports. This is the disseminator role. The sales manager who obtains information from the human resources manager in his or her same company has an internal liaison relationship. Informational Monitor Disseminator . Mintzberg described this activity as contacting external sources who provide the manager with information. and may be inside or outside the organization. Managers also act as a conduit to transmit information to organizational members. Transmits information received Holding informational from outsides or from other meetings. emerges as nerve center of internal and external information about the organization. signing perform a number of routine legal documents. training. network of outside contacts and doing external board work. obliged to Greeting visitors. and associated duties. to some degree.
supervises design of certain projects as well. etc. outsiders on organization¶s giving information of the plans. actions. Responsible for corrective Organizing strategy and action when organization faces review sessions that important. unexpected involve disturbances and disturbances crises Responsible for the allocation Scheduling. Transmits information to Holding board meetings. requesting of organizational resources of authorization. Decisional Roles: Finally. pp 93-94 Copyright Ó 1973 by Hency Mintzberg. As disturbance handlers. performing all kinds ± in effect. projects´ to bring about change.. Decisional Entrepreneur Disturbance handler Resource allocator Negotiator Source: Henry Mintzberg. managers initiate and oversee new projects that will improve their organization¶s performance. some involves interpretation and integration of diverse value positions of organizational influencers. programming of subordinates work. . Searches organization and its Organizing strategy and environment for opportunities review sessions to develop and initiates ³improvement new programs. serves as expert on organization¶s industry.Spokesperson organization ± some information is factual. results. Reprinted by permission of Harper & Row. Last. Mintzberg identified four decisional roles which revolve around the making of choices. As resource allocators. Responsible for representing Participating in union the organization at major contract negotiations. As entrepreneurs. negotiations. managers take corrective action in response to previously unforeseen problems. media. Publishers. managers are responsible for allocating human. physical and monetary resources. 1973). the making any activity that involves or approval of all significant budgeting and the organizational decisions. Inc. policies. managers perform as negotiators when they discuss and bargain with other groups to gain advantages for their own units. The Nature of Managerial Work (New York: Harper & Row.
Although technical skills become less important as manager moves into higher levels of management. Managers need certain skills to perform the duties and activities associated with being a manager. or manufacturing. Katz found that managers need three essential skills or competencies: technical. Technical skills include knowledge of and proficiency in a certain specialized field. However. During the early 1970. Specifically. Managers with good human skills can get the best out of their people. even top managers need some proficiency in the organization¶s speciality. are heavily involved in technical aspects of the organization¶s operations. Since managers deal directly with people. lead. such as engineering.An Evaluation: A number of follow-up studies have tested the validity of Mintzberg¶s role categories across different types of organizations and at different levels within given organizations. and spokesperson are more important at the higher levels of the organization than at the lower ones. computers. They know how to communicate. For example. liaison. it remains just as important at the top levels of management as it is at the lower levels. a manager¶s job is varied and complex. In fact. These abilities are essential to effective decision-making. research by Robert L. motivate. These types of conceptual skills are needed by all managers at all levels but become more important as they move up the organizational hierarchy. the emphasis that managers give to the various roles seems to change with hierarchical level. human. and all managers are involved in making decisions. Managerial Skills As you can see from the preceding discussion. figurehead. finance. the roles of disseminator. Conversely. negotiator. this skill is crucial. Human Skills: The ability to work well with other people both individually and in a group is a human skill. He also found that the relative importance of these skills varied according to the manager¶s level within the organization. . Technical Skills: First-line managers. the leader role is more important for lower-level managers than it is for either middle-or-top-level managers. as well as many middle managers. The evidence generally supports the idea that managers ± regardless of the type of organization or level in the organization-perform similar roles. 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. and conceptual. Conceptual Skills: Managers also must have the ability to think and to conceptualize about abstract situations. an accounts payable manager must be proficient in accounting rules and standardized forms so that she can resolve problems and answer questions that her accounts payable clerks might encounter. and inspire enthusiasm and trust.
management is a lower-level function and is concerned primarily with the execution of policies laid down by administration. It is a thinking function. Management Management means getting the work done through and with others.7 Administration and Management The use of two terms µmanagement¶ and µadministration¶ has been a controversial issue in the management literature. According to them. But some English authors like Brech are of the opinion that management is a wider term including administration. plans and policies of the organisation.2: Distinction between Administration and Management: Basic 1. on the other hand. Thus. Scope . Management relates to execution of decisions. Managers are concerned mainly with organisation and direction of human resources. iii) There is no distinction between the terms µmanagement¶ and µadministration¶ and they are used interchangeably. Administration is a determinative function. ii) Management is a generic term and includes administration. whereas management refers to execution of policies laid down by administration. Meaning Administration Administration is concerned with the formulation of objectives. Spriegal and Lansburg. It is concerned with determination of major objectives and policies. Administration relates to the decision-making. Administrators are basically concerned with planning and control. It is concerned with the implementation of policies. This controversy is discussed as under in three heads: i) Administration is concerned with the determination of policies and management with the implementation of policies. Administration is a higher level function: Administration refers to policy-making. management as an executive function which is primarily concerned with carrying out of the broad policies laid down by the administration. Spriegel and Walter. etc. Table 1. Floerence and Tead. while others maintain that administration and management are two different functions. administration is a higher level function. It is a doing function. 2.1. Some writers do not see any difference between the two terms. Those who held management and administration distinct include Oliver Sheldon. 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. Nature 3. administration involves broad policy-making and management involves the execution of policies laid down by the administration. This view is held by Tead. Thus.
. Usage of Term The term µadministration¶ is The term µmanagement¶ is often associated with widely used in business government offices. Direction of It is concerned with leading It is concerned with Human Resources and motivation of middle level leading and motivation of executives. Five M¶s of management (________. . lower levels of management. Human skills are important at all managerial levels. i. administrative decisions.9 Terminal Questions 1.4. Define management. __________is principally the task of planning. 2. environmental forces. 8. counseling and effective leadership. 5.e. Self Assessment Questions 1. machinery and methods or ways of doing things) depends to a great extent on the quality of management. It is the management which transforms physical resources of an organization into productive resources. public organisations in the private sector and non-business sector. Status Administration refers to Management is relevant at higher levels of management. Explain its characteristics. making strategic plans to deal plans and policies of the effectively with the organisation. 6. Lower level managers require and use a greater degree of technical skill and managers at higher levels use a greater degree of conceptual skill. Management is largely found at the middle and lower levels and administration is found at the higher levels. Still management is not completely a profession. ___________. operative workforce for the execution of plans. organisations.8 Summary Management is concerned with getting things done through other people. 7. motivating and controlling the efforts of others towards a specific objective. Managers perform different roles to discharge their responsibilities. _________. 3. 1. There are three levels of management-top. co-ordinating. Environment Administration has direct Management is mainly interaction with external concerned with internal environment of business and forces. middle and lower. 1. Management creates ________ and motivates employees to work harder and better by providing necessary guidance. DecisionMaking Administration determines Management decides who what is to be done and when it shall implement the is to be done. objectives.
Refer section 1. materials. teamwork Answers to TQs: 1.5 3. Money.7 Copyright © 2009 SMU Powered by Sikkim Manipal University .10 Answers to SAQs and TQs SAQs: 1.4 Organizing . Bring out the difference between Administration and Management.2. 1. Refer section 1.3 2. Refer section 1.2 Process of Management 2.3 Planning 2.1. manpower 3. MU0004-Unit-02-Management Process Unit-02-Management Process Structure: 2. Management 2. 3. Discuss the importance of management.1 Introduction Objectives 2.2.
in recent time.7 Motivating Self Assessment Questions 2.2. · Explain Planning. One can also think of management functionally. Staffing. since the managerial tasks have become highly challenging a fluid in nature making distinctions redundant to certain extent. you will be able to: · Define Management process.9 Terminal Questions 2. Objectives: After this studying this unit. Planning 2.5 Staffing 2. .1 Introduction Follett (1933) defined management as "the art of getting things done through people´. Organizing. Coordinating 5. 1949): 1. Motivating. Organizing 3. Commanding 4. as the action of measuring a quantity on a regular basis and of adjusting some initial plan.10 Answers to SAQs and TQs 2.6 Directing 2.8 Summary 2. Controlling However. · Explain different functions of management Process. Management functions are as follows (Fayol. management functions have been regrouped into four categories. Directing.
driving comfort. Decision ± Making Taking decisions is a process. thus. In the football field. a process in which one chooses a course which one thinks is the best. overall goals. There is a degree of overlap between the two. Effective planning enables an organization adapt to change by identifying opportunities and avoiding problems. general strategies. leadership is about setting the desirable goals. the decision to change the design of a product. it is not a decision in which any process is involved. Management is about accomplishing a goal efficiently. policies are the means to achieve those ends. say a passenger car. Policy Formulation We have noted earlier that all organizations have well-defined goals and objectives. kicking the ball with the left foot or right foot is a reflex action. 2. and developing plans to integrate and coordinate activities. establishing strategies for achieving these goals. and then set out the method for achieving it.3 Planning It involves the process of defining goals. The tasks of the strategic planning process include the following steps: Define the mission: . studies on passenger comfort. or where you want go to. However. cost structure and so on. Therefore. Objectives are the ends. what distinguishers policies form objectives is that you first decide the objective. It provides the direction for the other functions of management and for effective teamwork. All levels of management engage in planning in their own way for achieving their preset goals. Through leadership and management often overlap. You might well ask what the need for a policy is when objectives are already defined.2.2 Management Process Peter Drucker said: ³Management is doing things right. 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. Even so. Strategic Planning: Top level managers engage chiefly in strategic planning or long range planning Strategic planning is the process of developing and analyzing the organization¶s mission. It is difficult to say where objectives end and policies begin. Planning in order to be useful must be linked to the strategic intent of an organization. planning is often referred to as strategic in nature and also termed as strategic planning. fuel and machine efficiency. Every organization needs to plan for change in order to reach its set goal. while a policy. Planning also enhances the decisionmaking process. leadership is doing the right things³. and allocating resources. should precede a good deal of research involving market surveys. the two are not quite the same. it would be correct to assume that an objective is what you want to accomplish.
A mission statement should be short ± and should be easily understood and every employee should ideally be able to narrate it from memory. What financing is available? 6. Are the facilities outdated? 3. For assessing the strengths of the organization the following questions are important: 1. The SWOT analysis begins with a scan of the external environment. state. Weaknesses. SWOT analysis provides the assumptions and facts on which a plan will be based. Opportunities. Sources of information may include stakeholders like. journals and reports (scientific. Is research and development adequate? 4. Conduct a situational or SWOT analysis A situation or SWOT (Strengths. Are the technologies obsolete? For identifying opportunities the following elements need to be looked at: . What are the vulnerable areas of the organization that could be exploited? 2. planning begins with clearly defining the mission of the organization. An explicit mission guides employees to work independently and yet collectively toward the realization of the organization¶s potential. and trade). international). Threats) analysis is vital for the creation of any strategic plan. What makes the organization distinctive? 2. What is our market share? 5. The mission statement may be accompanied by an overarching statement of philosophy or strategic purpose designed to convey a vision for the future as envisaged by top management. summarizing what the organization does. federal. Analyzing strengths and weaknesses comprises the internal assessment of the organization. How efficient is our manufacturing? 3. suppliers. Thus. How skilled is our workforce? 4. governments (local. Organizations need to examine their business situation in order to map out the opportunities and threats present in their environments.A mission is the purpose of the organization. Do we have a superior reputation? For assessing the weaknesses of the organization the following questions are important: 1. professional or trade associations (conventions and exhibitions). customers (internal and external). The mission statement is broad. professional.
1. In which areas does the competition meet customer needs more effectively? 2. What substitute products exist? In general terms. The SWOT analysis is used as a baseline for future improvement. the best strategy is one that fits the organization¶s strengths to opportunities in the environment. Are there new competitors? 3. organizations have longterm objectives for factors such as. Benchmarking systematically compares performance measures such as efficiency. In which areas is the competition not meeting customer needs? 2. as well as gap analysis. Are our rivals weak? 5. Generally. Is there a possibility of growth of existing market?) Identifying threats involves the following: 1. It also helps in setting minimum acceptable standards or common-sense minimums. They are aligned with the mission and form the basis for the action plans of an organization. Objectives are also called performance goals. return on investment. What are the emerging technologies? 6. effectiveness. What are the possible new markets? 3. etc. Are market tastes changing? 5. Comparing the organization to external benchmarks (the best practices) is used to assess current capabilities. What are the new regulations? 6. earnings per share. Is there a shortage of resources? 4. or outcomes of an organization against similar measures from other internal or external organizations. Develop related strategies (tactical and operational) . Set goals and objectives Strategic goals and objectives are developed to fill the gap between current capability and the mission. What is the strength of the economy? 4.
To develop an environmental monitoring procedure. how the tasks are to be grouped. Review plans 2. and goals are clearly stated. Delegate authority to establish relationships between jobs and groups of jobs. and relationships between departments. operational plans are based on the organization¶s tactical plans. This review is used for the next planning cycle and review. Organizational structure is the formal decision-making framework by which job tasks are divided. A key issue in accomplishing the goals identified in the planning process is structuring the work of the organization. Organizations are groups of people. These are specific plans that are needed for each task or supportive activity comprising the whole.5 Staffing . Divide tasks into groups one person can accomplish ± a job 4. The purpose of the organizing function is to make the best use of the organization¶s resources to achieve organizational goals. Monitor the plan A systematic method of monitoring the environment must be adopted to continuously improve the strategic planning process. and coordinated. who reports to whom. structuring. Feedback is encouraged and incorporated to determine if goals and objectives are feasible. Formalization is an important aspect of structure. Strategic. It is the process of determining what tasks are to be done. 2.4 Organizing It involves designing. 2. In turn. necessary to maintain competitive advantage in the said market. The steps in the organizing process include: 1. lines of authority. and where decisions are to be made. tactical. The formal organization can be seen and represented in chart form. Group related jobs together in a logical and efficient manner 5. An organization chart displays the organizational structure and shows job titles. grouped. procedures. with ideas and resources. who is to do. It is the extent to which the units of the organization are explicitly defined and its policies. and operational planning must be accompanied by controls to ensure proper implantation of the plans. and coordinating the work components to achieve organizational goal. It is the official organizational structure conceived and built by top management. Assign work to individuals 6. List all tasks to be accomplished 3. working toward common goals.Tactical plans are based on the organization¶s strategic plan. short-term standards for key variables that will tend to validate and support the long-range estimates must be established.
. recruitment. O¶Donnell & Weihrich have defined staffing as ³filling positions in the organization structure through identifying work force requirements. training. 4. promotion. Staffing refers to the managerial function of determining and improving the manpower requirements of an enterprise. inventorying the people available. It aims at right man at right position: Staffing aims at selection of right person for right place at right time and retaining them in the organization. money. placement. 3. Definition: 1.It is not the machines. appraisal. Thus staffing deals with the future requirements also. 2. 2. It involves many sub-functions such as manpower planning. 5. transfer and appraisal of personnel to fill the organizational positions. Therefore it is the responsibility of the management to secure and maintain competent and dedicated workforce including managers and operatives. Koontz. It has many sub-functions: Staffing involves determination of the manpower requirement. materials. selection. selection. placement. Theo Haimann ± ³Concerned with the placement. This task has been referred to as staffing. 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. Pervasiveness of Staffing: Effective execution of staffing function is the responsibility of all managers in the organization. Managers of the concerned departments are responsible for the selection and development of qualified people for their department and maintain them in their department. Curther Geelick Cyndall Urwick ± ³Staffing 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. development. growth and development of all those members of the organization whose function is to get things done through the efforts of other individuals´. 3. Deals with people: Staffing is a separate managerial function which deals with people in the organization. recruitment. performance appraisal etc. It deals with future requirements: Staffing deals with current and future personnel requirements. Present positions must be filled keeping in mind the future requirements. compensation and training of needed people´.
Characteristics of Direction The characteristic features of direction are as follow: 1. It is a process: it is a process having a logical sequence i. 2. to provide superiors opportunities for some more important work which their subordinates cannot do. training development and maintenance of personnel. 4. induction. 8. Direction is an important managerial function. on the other. Definition According to Koontz and O¶Donnel. . directing is the ³interpersonal aspect of managing by which subordinates are led to understand and co-ordinate effectively and efficiently to the attainment of enterprises goals´. Thus staffing is an ongoing process through ± out the life of an organization. Direction imitates at the top level in the organization and follows to bottom through the hierarchy. It is a continuing function. 2. lead them and guide them on a continuous basis.e. it aims at getting things done by subordinates and. A manger needs to give orders to his subordinates. It is instructing people as to what to do. Direction is the managerial function of guiding. On the one hand.6. motivate them. 3. etc. Direction is continuous process and it continues throughout the life-time of the organization. vacancies arise out of retirement. Through direction. It is an important managerial function. recruitment. how to do and telling them to do to the best of their ability. promotion. 7. Direction function is performed at every level of management. selection.6 Directing Direction is one of the functions of management. identifying the manpower requirements. It emphasizes that a subordinate is to be directed by his own superior only. It is a continuous function: With the growth and expansion of business additional manpower is needed. 5. Personnel policies and programs must be formulated as guides to perform the staffing function effectively. overseeing and leading people. It is performed in the context of superior-subordinate relationship and every manager in the organization performs his duties both as a superior and subordinate. Direction has dual objectives. management initiates actions in the organization. resignation.
humanness and psychological health a person will show. and attention . and external esteem factors. the more individuality. such as. and other bodily needs · Safety: Includes security and protection from physical and emotional harm · Social: Includes affection. thirst. 4. proposed by Maslow (1943). human beings have wants and desires which influence their behaviour. belongingness. nothing or at the best very little would be accomplished´. The further they progress up the hierarchy. 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. autonomy. As Theo Haimann puts it. ³without the issuance of directives. The amount of time and effort an executive spends in directing however. recognition. 2. teach. acceptance. satisfied needs cannot. self-respect. and the Two-Factor theory. coach and supervise his subordinates. and achievement. Essence of performance: Directing is the process around which all performances revolve. without guiding and overseeing subordinates. and friendship · Esteem: Includes internal esteem factors.7 Motivating Motivating In the 1950s three specific theories were formulated and are the best known: Hierarchy of Needs theory. guide. shelter.Nature of Directing The nature of directing can be discussed under the following: 1. Maslow¶s Hierarchy of Needs Theory According to this theory. the number of subordinate he has and the other duties he is expected to perform. status. such as. The needs are arranged in order of importance. 2. Theories X and Y. sex. Pervasive function: Directing is a managerial function performed by all mangers at all levels of the organization. will vary depending upon his level. The manager never ceases to direct. Directing is the process around which all performances revolve. The five needs are: · Physiological: Includes hunger. only unsatisfied needs can influence behavior. 3. It is an important function of management: Directing is an important management function which provides a connecting link between planning. from the basic to the complex. Continuous function: Directing is a continuous process.
Social. 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. Presence of these factors ensure job satisfaction. working conditions. Higher-order needs are satisfied internally. and salary are hygiene factors. 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. whereas.· Self-actualization: The drive to become what one is capable of becoming. if given the chance employees have the desire to be creative and forward thinking in the workplace. interpersonal relations. externally. From the above. Motivators are intrinsic factors. recognition. Lower-order needs are predominantly satisfied. but their presence does not motivate or create satisfaction. Workers need to be closely supervised and a comprehensive system of controls and a hierarchical structure is needed to supervise the workers closely. self-motivated. it is clear that Theory X assumes that lower-order needs dominate individuals. and exercise self-control. Physiological and safety needs are described as lower-order. responsibility. company policy. esteem. and self-fulfillment Maslow separated the five needs into higher and lower orders. supervision. such as. Theory Y ± In this theory management assumes employees may be ambitious. Extrinsic factors. includes growth. achieving one¶s potential. The absence of hygiene factors can create job dissatisfaction. and self-actualization are classified as higher-order needs. and achievement. It is also believed that. such as. Herzberg¶s Two Factor Theory Herzberg (1959) constructed a two-dimensional paradigm of factors affecting people¶s attitudes about work. advancement. It is also assumed that workers generally place security above all other factors and will display little ambition. Theory X ± In this theory management assumes employees are inherently lazy and will avoid work. autonomy and empowerment. anxious to accept greater responsibility. These two factors are motivators and hygiene factors and this theory is also called motivation-hygiene theory. . Theory Y assumes that higher-order needs dominate individuals. self-direction. if they can. It is believed that employees enjoy their mental and physical work duties.
Every organization needs to plan for change in order to reach its set goal.8 Summary Management is the art of getting things done through people. _______refers to the managerial function of determining and improving the manpower requirements of an enterprise. 2. have to do with a person¶s relationship to the context or environment in which she or he performs the job. Organization involves designing. To motivate people. Explain Staffing in detail 3.9 Terminal Questions 1. When hygiene factors are adequate. Hygiene factors on the other hand. and developing plans to integrate and coordinate activities. Planning involves the process of defining goals. neither will they be satisfied. who reports to whom. structuring. many related to the tasks being performed. 2. emphasize factors intrinsically rewarding that are associated with the work itself or to outcomes directly derived from it. ____defined management as the art of getting things done through people. The _____analysis begins with a scan of the external environment. It is the process of determining what tasks are to be done. It involves many sub-functions such as manpower planning.10 Answers to SAQs and TQs SAQs: . people will not be dissatisfied. and where decisions are to be made. who is to do. Write a short not on directing. 3. 2. how the tasks are to be grouped. Self Assessment Questions 1. recruitment. What is planning? 2.In summary. 2. motivators describe a person¶s relationship with what she or he does. performance appraisal etc. 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. 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. Staffing refers to the managerial function of determining and improving the manpower requirements of an enterprise. and coordinating the work components to achieve organizational goal. Removing dissatisfying characteristics from a job does not necessarily make the job satisfying. Job satisfaction factors are separate and distinct from job dissatisfaction factors. establishing strategies for achieving these goals.
7 Role of OD 3. Reference 2. SWOT 3. Follett 2.1 Introduction Objectives 3. MU0002-Unit-03-Organization Development: A Need Unit-03-Organization Development: A Need Structure: 3.5 3.1.4 Categories of OD 3. Staffing Answers to TQs: 1.8 Problems in OD .6 Copyright © 2009 SMU Powered by Sikkim Manipal University .5 Goals of OD 3.3 2. Reference 2.3 Characteristics of OD 3. Reference 2.6 OD and Management Development 3.2 Definitions 3.
In summary. efficiency. Are any strategies available to help people and organizations cope. Simple survival ± continuing to have an adequate job ± is a major challenge today in the light of constant layoffs and cutbacks. and profitability.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. And organization development (OD) is one of them. and the constant challenge to maintain congruence among organizational dimensions such as technology. and processes.9 Summary 3. survive. and learn how to do that better and better over time. A variety of solutions exists.Self Assessment Questions 3. old jobs are being destroyed at an accelerating pace. take advantage of opportunities. fighting obsolescence of one¶s knowledge and skills. the answer is ³yes´. and the like. strategy. teams. Early returns were encouraging. Individuals in organizations likewise face multiple challenges ± finding satisfaction in and through work. strategy formulation and implementation. culture. increased competition. organizations and the individuals in them face an enormously demanding present and future. organization structure. maintaining dignity and purpose in pursuit of organizational goals. Keeping organizations healthy and viable in today¶s world is a daunting task.11 Answers to SAQs and TQs 3. Basically. conflict resolution. and even prosper in these vexing times? Fortunately. Organization development is a relatively recent invention. Although new jobs are being created at record rates. and the organization¶s human and social processes. and achieving human connectedness and community in the workplace. 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.10 Terminal Questions 3. adapt. 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. and changing customer demands. OD focuses on issues related to the ³human side´ of organizations by finding ways to increase the effectiveness of individuals. and attention was soon directed toward other human and social processes in organizations such as the design of work tasks. . We predict that organization development will be preferred improvement strategy in future. ³Knowledge´ work is replacing ³muscle´ work. organization development represents one of the best strategies for coping with the rampant changes occurring in the marketplace and society. organization development is a process of teaching people how to solve problems. challenges from turbulent environments. Organizations face multiple challenges and threats today ± threats to effectiveness. Today.
processes. planning and communication) to one which institutionalizes and legitimizes this examination. and the dizzying rate of change itself. 1971) Organizational development is a process of planned change. A ³process for improving processes´ ± that is what OD has basically sought to be for approximately 25 years (Vaill. 1989) . people. a complex educational strategy intended to change the beliefs. strategy. and culture. 1972) The aims of OD are: 1) Enhancing congruence between organizational structure. self-analytic methods. OD can be defined as a planned and sustained effort to apply behavioural science for system improvement. (Schmuck and Miles.2 Definitions Organization Development (OD) is a response to change.Objectives: After studying this unit. and 3) Developing the organization¶s self-renewing capacity (Beer. · State the goals of OD. 2) Developing new and creative organizational solutions. 1969). and challenges. 1980). using reflexive. 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«. markets. (Burke and Hornstein. · Discuss the categories of OD programme. · Distinguish between OD and Management Development · Explore the problems in OD.change of an organization¶s culture from one which avoids an examination of social processes (especially decision making. · Explain the characteristics of OD. attitudes. (Bennis. 3. you will be able to: · Define organization development. values and structure of organization so that they can better adapt to new technologies.
But these are not serious constraints given that the field is still evolving. Likewise. it is more accurate to describe ³improvement´ as a never-ending journey of continuous change. 1993) ³Organization development is a planned process of change in an organization¶s culture through the utilization of behavioural science technologies. what practices should be included and excluded. 1992) ³OD is a systematic application of behavioral science knowledge to the planned development and reinforcement of organizational strategies. Organizational change is hard. learning. and theory. we mean that organizational change and development takes time. to improve an organization¶s visioning. and problem-solving processes. that is. through an ongoing. There is no ³quick fix´ when it comes to lasting organizational improvement. through the alteration of organizational members¶ on-the-job behaviours. these definitions overlap a great deal (that¶s encouraging). and techniques aimed at the planned change of the organizational work setting for the purpose of enhancing individual development and improving organizational performance.´ (Cummings and Worley.several years in most cases. and contain several unique insights (that¶s enlightening). There is no set definition of OD and no agreement on the boundaries of the field. they agree that the target of change is the total organization or system and that the goals are increased organizational effectiveness and individual development. 1994) As you can see. and that practitioners share a central core of understanding as shown in the preceding definitions. By long-term effort. these definitions convey a sense of what organization development is and does. it includes pain and setbacks as well as success.´ This definition is lengthy. then another moves it to yet a higher plateau of effectiveness. One program or initiative moves the organization to a higher plateau.´ (Porras and Robertson. We do not propose it as the ³right´ definition. and processes for improving an organization¶s effectiveness. The phrase led and supported by top management states an imperative: Top management must lead and actively encourage the change effort. including action research. In fact. led and supported by top management. All authors agree that OD applies behavioural science to achieve planned change. but it includes a number of components that we consider essential. Collectively. structure. collaborative management of organization culture-with special emphasis on the culture of intact work teams and other team configurations-using the consultant-facilitator role and the theory and technology of applied behavioural science.´ (Burke. serious business.³Organizational development is a set of behavioural science-based theories. They describe in broad outline the nature and methods of OD. but as one that includes characteristics we think are important for the present and future of the field. We will explain this definition in some detail. ³Organization development is a long-term effort. research. values. empowerment. strategies. Top management must initiate the improvement . Now let¶s turn to our definition of organization development.
it must be built into the very fabric of the organization-its strategy. norms. and each influences the others. listening. By empowerment. And second. expectations. By including culture so prominently in our definition. commitment. and what the organization and its members can expect from each other. attitudes. structure. and take actions on problems. where collective aspiration is set free. make decisions. first. managing the culture should be a collaborative business. developing the strategy for getting there. in contrast to having only a select few involved. opportunities. Peter Senge describes learning organizations as ³« organizations where people continually expand their capacity to create the results they truly desire. We believe solutions to problems are enhanced by tapping deeply into the creativity. interactions. For empowerment to become fact of life. coherent. and self-examining processes that facilitate individual. we mean. has a stake in making the organization work. The reciprocal influence among culture. strategy. not just a small group. 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. solve problems. and organizational learning. so is managing the culture. and artifacts. and problem-solving processes are opportunities for collaboration in organization development. or became distracted with other duties. learning. beliefs. culture is of . vitality. and processes makes each important. we mean those processes through which organization members develop a viable. one of widespread 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. By visioning processes. we affirm our belief that culture is the bedrock of behaviour in organizations. Still. we mean those interacting. By ongoing collaborative management of the organization¶s culture. 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. By empowerment processes. where new and expansive patterns of thinking are nurtured. Most OD programs that fail do so because top management was ambivalent. processes. Empowerment means involving people in problems and decisions and letting them be responsible for results. that one of the most important things to manage in organizations is the culture: the prevailing pattern of values. By learning processes.´ Problem-solving processes refer to the ways organization members diagnose situations. assumptions. and common purposes of all members of the organization. Michael Beer¶s definition called for ³developing new and creative organizational solutions´. and challenges in the organization¶s environment and its internal functioning. the ways those goods will be produced and delivered to customers. activities. and shared picture of the nature of the products and services the organization offers. and making it happen. We further believe that having compelling. widely shared vision of a desired future creates the best climate for effective problem-solving by all the organization¶s members.³journey´ and be committed to seeing it through. structure. team. empowerment. and culture. lost its commitment. sentiments. Collaborative management of the culture means that everyone. we mean involving large numbers of people in building the vision of tomorrow. and where people are continually learning how to learn together. Just as visioning.
Team building and role and goal clarification interventions are standard activities in OD programs directed toward intact work teams. empowerment. and feel-that is why culture change is necessary for true organizational improvement. the process ³threw the results over the wall´ to the next functional unit. manufacturing.primary importance. intact work teams do not have a boss in the traditional sense-the teams manage themselves. We believe that when the culture promotes collaboration. and considerable antagonism among the separate functional specialists. Processes are relatively easy to change. think. such as design. empowerment. This method resulted in loss of synergy. Temporary. learning. Over time. The results are usually highly gratifying both for the team members and for the organization. Further. (b) invented. 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. 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. We think teams are the basic building blocks of organizations. and feel in relation to those problems. These self-directed teams assume complete responsibility for planning and executing work assignments. (d) that has worked well enough to be considered valid and. The old method was to have functional specialists work on the problem sequentially. So culture consists of basic assumptions. members are trained in competencies such as planning. and training. Processes are how things get done. Edgar Schein clarifies the nature and power of culture in his definition: ³Culture can now be defined as (a) a pattern of basic assumptions. firing. and using management information. . and procurement. and we highlight the importance of visioning. Tom Peters predicts that the work of tomorrow (most of which will be ³brain work´) will be done by ad hoc teams brought together to accomplish a task. engineering. (c) as it learns to cope with its problems of external adaptation and internal integration. and problem-solving processes. hiring. values. we recognize that teams are central to accomplishing work in organizations. But change becomes permanent when the culture changes and people accept the new ways as the ³right´ ways. wasted time. or developed by a given group. so they are the place OD programs often begin ± getting people to stop doing things one way and start doing them a different way. and norms of behaviour that are viewed as the correct way to perceive. In Liberation Management. individuals and the organization function well. self-directed teams control performance appraisals. and then disbanded with the people going on to new tasks. Our definition also places considerable weight on organizational processes. maintaining quality control. discovered. He uses the terms µmultifunctional projectization¶ and µhorizontal systems¶ to describe these teams and their work. and continuous learning the organization is bound to succeed. team culture can be collaboratively managed to ensure effectiveness. When one function finished with its part of the project. In addition to team building and role and goal clarification. think. Today¶s organizations increasingly use ad hoc teams that perform a specific task and disband when the task is completed. By intact work teams and other configurations. therefore (e) is to be taught to new members as the (f) correct way to perceive. When teams function well. But in many organizations today.
OD encourages collaboration between organization leaders and members in managing culture and processes.multifunctional. 6. Participation and involvement in problem-solving and decision-making by all levels of the organization are hallmarks of OD. OD focuses on the human and social side of the organization and in so doing also intervenes in the technological and structural sides. rather than focusing attention on individuals. OD relies on an action research model with extensive participation by client system members. Teams of all kinds are particularly important for accomplishing tasks and are targets for OD activities. To summarize. 10. 8. 2. 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. OD focuses on culture and processes. This µplanned¶ emphasis separates OD efforts from other kinds of more haphazard changes that are frequently undertaken by organizations. according to Peters. The definition we have just analyzed contains the elements we believe are important for OD. here are the primary distinguishing characteristics of organization development: 1. 3. constantly shifting teams will be the dominant configuration for getting work done. 9. 4. and co-learners with the client system. 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. 2. 3. collaborators. 5. Attempting to create ³win-win´ solutions is standard practice in OD programs. Comprehensive Change: OD efforts focus on comprehensive change in the organization. OD views organization improvement as an ongoing process in the context of a constantly changing environment. Specifically. 7. dynamic and adaptive system.3 Characteristics of OD 1. so that change is easily observed. OD . OD practitioners are facilitators. The concept of comprehensive change is based on the systems concept-open. OD focuses on total system change and views organizations as complex social systems. OD takes a developmental view that seeks the betterment of both individuals and the organization. Planned Change: OD is a strategy of planned change for organizational improvement.
further more. and then. problem-solving. OD efforts are not one-shot actions. he conducts surveys. Emphasis on Intervention and Action Research: OD approach results in an active intervention in the ongoing activities of the organization. joint goals and means. the importance and centrality of goals and objectives and the different role requirements . 5. There is a close working relationship between the change agent and the target organizational members to be changed. 3. temporary. Thus. participation. all types of experience requiring Organization Development efforts may be grouped into three categories: (a) Problems of destiny. (b) Problems of human satisfaction and development. it is a programme with a purpose that is to guide present and future action. third party change agent. He shares a social philosophy about human values. 7. Rather. and mutual influence. OD focuses on the elevation of an organization to a higher level of functioning by improving the performance and satisfaction. evaluates these data. so the methods of attaining these goals should also change. OD attempts to provide opportunities to be µhuman¶ and to increase awareness. Action research is the basis for such intervention. He designs intervention strategies based on these data. interactive. It recognizes that organizational goals change. 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.efforts take an organization as an interrelated whole and no part of it can be changed meaningfully without making corresponding changes in other parts.4 Categories of OD Programmes In general. collects relevant data. The relationship involves mutual trust. identity. or isolated problems. The change agent is a humanist seeking to get a humanistic philosophy in the organization. rather. growth. At the individual level. Normative Educational Process: OD is based on the principle that µnorms form the basis for behaviour and change is a re-educative process of replacing old norms by new ones¶. and revitalization. They discourage µdo it yourself¶ approach. they are ongoing. 6. and cyclic processes. A change agent in OD process does not just introspect the people and introduce changes. This is done to arrive at certain desirable outcomes that may be in the form of increased effectiveness. and integrate individual and organizational goals. Long-range Change: OD efforts are not meant for solving short-term. Organization Development is inextricably linked with action. Key areas are the normative type of model. takes actions for intervention. or catalyst. and adaptability for the organization as a whole. rather. 4. 3. and (c) Problems of organizational effectiveness. Participation of Change Agent: Most OD experts emphasize the need for an outside.
We need to examine carefully the techniques of Organization Development. the collaborative relationships between the scientists. (e) To make competition more relevant to work goals and to maximize collaborative efforts. (g) To increase the sense of µownership¶ or organization¶s objectives throughout the work force. Two important elements of Organization Development are. (b) The interventions are primarily directed towards problems and issues identified by the client group. (c) To locate decision making and problem-solving responsibilities as close to sources of information as possible. and (d) The interventions are based on behavioural science theory and technology. Although Organization Development Programmes vary. second. like other normative re-educative programmes. with the authority of knowledge and competence. yet following features are common to most of the programmes: (a) The client is a total system or major subunit of total system. its underlying theory and assumptions and some of the pitfall and challenges in attempting to improve organizations through behavioural science. This Organization Development progrmmes. (c) The interventions are directed towards problem-solving and improved functioning for the client system.5 Goals of Organization Development Following are the generally accepted goals of OD: (a) To create an open. (b) To supplement the authority associated with role or status. first. 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. practitioners and the client laymen.of the consultant change agent vis-à-vis the clients. the element which links Organization Development with the scientific method of inquiry and. . 3. problem solving climate throughout an organization. (d) To build trust among persons and groups throughout an organization. (f) To develop a reward system which recognizes both the achievement of the organization¶s goals (profit or service) and development of people.
let us define management development as we have seen the definition of OD. MD tries to fit the men to the organization. The term µdevelopment¶ refers broadly to the nature and direction of change induced in personnel through the process of training and education. 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. and (iv) a sense of responsibility. there are four attributes of effective managers in large organization. then would the results be functional for managing organization activity in a competitive world? Thus. 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. Difference between Management Development and OD Factors Objectives Management Development Organization Development Increasing manager¶s Changing the nature of the contributions to goal 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. Burke and Schmidt have made this difference more clear which is presented in the following table.´ Organization development differs from management development. according to him. (iii) assertiveness. more attention to peer-groups. and techniques adopted in both may overlap to some extent. While the latter aims at developing the mangers individually for the accomplishment of better performance in organizational setting. (i) To increase self-control and self-direction for people within the organization. According to him. (ii) competitiveness. it is beneficial to make a comparison between OD and Management Development (MD) as both have some common objectives that betterment of an organization. he appears to be biased against OD and the real distinction between OD and MD lies in between these two extremes. Miner has drawn difference between two processes. 3. and greater display of feelings and emotions. management development has been defined as follows: ³Management development is all those activities and programmes when recognized and controlled. OD tries to fit the organization to the men. He feels that management development reinforces the above four qualities and helps managers cultivate and develop the will to manage. (j) To improve effectiveness of the organization. the former goes one step further and purports to change the entire organizational climate where the mangers work. Before making a comparison between the two. If OD efforts train people towards anti-authority value. with their existing objectives and structure. . However. less individual competitiveness.6 OD and Management Development At this stage. Based on this. These are: (i) a positive attitude towards authority.
To increase the level of self and group responsibility in planning and its implementation. not on the managers. To increase the openness of communications in all directions-vertically. Long-range strategy for organizational innovation and renewal. . 3. To create an environment in which authority of assigned role is augmented by authority based on knowledge and skills. focus on achieving improvement in design. Thus. Trained specialists required. 2. Educative and training Short-range. To increase the level of enthusiasms and personal satisfaction at all levels of the organization. By 70s. OD became quite successful with many professional consultants offering high services and programmes to various organizations. To increase the level of trust and mutual emotional support among all organization members. Problem-solving approach.7 Role of Organization Development Organization development. Train and equip employees and managers to perform better in existing organization.Focus Approach Time Specialist accomplishments. The basic problem in a change effort which is not comprehensive is that it does not work properly unless there is a proper change in the internal environment of the organization in which people work. has invited sharp criticism as a strategy to increase organizational viability and effectiveness because many OD programmes have failed. however. horizontally. as a long-term strategy for organizational change. plays key role in organizational improvement. No special requirement. To place emphasis on humanistic values and goals consistent with these vales. Focus on design. 4. and laterally. In early 60s. however. To treat each human being as a complex person with a complex set of needs important in his work and his life. 3. 5. 3. 6. 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.8 Problems in Organization Development Organization development. 7. it is quite suitable for improving organizational performance on long-term basis.
OD programmes are often quite costly. etc. some specific efforts are required. These should be based on the specific needs of the organization. it may be emphasized that OD programmes are likely to fail when these are not programmes and hence failure. it fails even as a long-term strategy. 5. There is discrepancy between ideal and real situations. Resistance to change is a natural phenomenon and OD puts undue pressure to change. it can be visualized that OD itself may not be dysfunctional but application may be. Hence. 3. OD makes people unfit for the real organizations world because no organization can fully adopt open system concept. it is useless to try OD. OD fails to motivate people with low level of achievement needs. Only fully competent OD consultant should be pressed for the service and he should develop understanding with internal change agents. There should be proper use of OD interventions. and (ii) failure to correctly model appropriate personnel behaviour in the programme. 2. 3. People realized its dysfunctional aspects only when many OD efforts failed. in order to make best use of OD efforts. OD is criticized on the following lines: 1. 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. and (iii) failure to increase employee motivation through participation and development of personal growth and self-esteem. Thus. 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. Therefore. There should be genuine support of OD programme from top management. Self Assessment Questions . and only large organizations can afford this luxury without any guarantee of positive outcome. If an organization is laden with these people. Research studies have also failed to conclude significant contributions of OD in all organizations. 2. Some of these efforts are as follows: 1.confrontation techniques. Enough time should be allowed so that the effects of OD programme are realized. In general. Therefore. 4. However. 4. particularly in bottom-line ones. For example. OD tries to achieve ideal without taking into account real. It can be seen that many of these criticisms are based on reality and experience.
2.1.9 Summary The definitions clarify the distinctive features of OD and suggest why it is such a powerful change strategy. The participative. Who is associated with the ³Learning Organizations´? 5. OD is the ultimate remedy for organizational improvements and developments. 3. Explain its salient features.11 Answers to SAQs and TQs SAQs: 1. ±±±±±±±±± is a process which includes leadership behaviours and human resource practices. Empowerment 4. There is no µquick fix¶ to organizations¶ problems. Distinguish between µorganizational development¶ and µmanagement development¶. _____________is a short-term strategy. 4. 2. OD focuses on culture and processes. Tom Peters 3. Management development aims at developing the managers individually. But OD aims at changing the entire organizational climate where the managers work. 5. Define OD. 3. collaborative. ±±±±±±± is associated with ³Liberation Management´. Top management 2. State the various roles of OD. 4. Explain the various characteristics of OD. What are the problems involved in the implementation of OD? 3. It focuses on the human and social side of the organization and in so doing also intervenes in the technological and structural sides. 3. Peter Senge . 3.10 Terminal Questions 1. problem-focused µnature of OD¶ marshals the experience and expertise of organization members for problem-solving and capitalizes the opportunities in the organization. Organization development should be led and supported by ±±±±±±±.
5 Leadership Development 4. MU0002-Unit-04.2 Survey Feedback 4. Refer section 3. Refer section 3.4 Grid Training 4. Management development Answers to TQs: 1.3 Process Consultation 4.6 4.1 Introduction Objectives 4. Refer section 3. Refer section 3.3 3.Organization Development ± Interventions Structure: 4.2 2.8 Copyright © 2009 SMU Powered by Sikkim Manipal University .5.6 Team-building .Organization Development ± Interventions Unit-04. Refer section 3.7 5.
People¶s behaviour may be relevant to understand at individual level.9 Role of Change Agents Self Assessment Questions 4. Historically. team-building. However. Nevertheless. and organizational culture. process consultation. various consultants and practitioners have different opinions about the activities which can be included in interventions. For example. techno-structural activities. Further.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. the classification appears to be more relevant because it may specify the range of change that an organization requires. 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. the classification of OD interventions shows variation. interpersonal level. and organizational level. interventions may be required to change people at all these levels. grid training. French and Bell have suggested twelve families of OD interventions: diagnostic. they make things happen. mediation and negotiation activities.11 Terminal Questions 4. survey feedback.4.´ There are various OD interventions and they are classified in different ways. Subsequently. and survey feedback method. group level. 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. many of them visualize data gathering as an intervention whereas it is treated as only preparatory work for OD by others.12 Answers to SAQs and TQs 4. management grid.7 Inter Group Development 4. education and training. 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. Interventions constitute the action thrust of organization development. OD efforts were attempted through sensitivity training. Therefore.10 Summary 4. French and Bell have defined OD intervention as: ³Sets 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. work group. inter-group level.8 Change Agents 4. other techniques like process . Thus. inter-group activities.
consultation, team- building, and participative goal-setting which has become more popular as management by objectives, have been added. Our further discussion follows this development. Objectives: After studying this unit, you will be able to: · Describe survey feedback. · Explain grid training. · Describe process consultation. · Realize the importance of team-building. · Role of change agents. 4.2 Survey Feedback Besides laboratory training (sensitivity and grid), the other major thrust in the development of OD has come from survey research and feedback of data. Though some type of survey method was prevalent in various organizations earlier, Institute for Social Research (ISR) of University of Michigan, USA developed a comprehensive questionnaire for conducting survey in different aspects of an organization. The basic objectives of survey feedback are as follows: 1. To assist the organization in diagnosing its problems and developing action plan for problemsolving. 2. To assist the group members to improve the relationships through discussion of common problems. Process of Survey Feedback Survey feedback usually proceeds with sequential activities involving data collection, feedback of information, developing action plans based on feedback, and follow up. 1. Data Collection: The first step in survey feedback is data collection usually by a consultant based on a structured questionnaire. The questionnaire may include different aspects of organizational functioning. ISR has prepared a questionnaire which includes questions on leadership ± managerial support, managerial goal emphasis, managerial work facilitation, peer support, peer goal emphasis, peer work facilitation, and peer interaction facilitation, organizational climate-communication with the company, motivation, decision-making, control within the company, co-ordination between departments, and general management, and satisfaction-satisfaction with the company, satisfaction with the supervisor, satisfaction with the job, satisfaction with the pay, and satisfaction with the work group. The questionnaire is administered personally either by the members of consulting firm or by organization¶s personnel.
After the questionnaires are completed, data are classified, tabulated, and analysis is made to arrive at some meaningful conclusions. 2. Feedback of Information: After the data are analyzed, feedback is given to the persons who have participated in the fulfilling up of questionnaire. The feedback may be given either orally or in a written form. In oral system of feedback, it is provided through group discussion or problemsolving sessions conducted by the consultant. Alternatively, feedback may be given in the form of a written summary of findings. Whatever the method of giving feedback is adopted, it should be constructive and suggestive, rather, threatening and emotion-hurting as survey feedback is aimed at identifying weaknesses which must be overcome through follow-up actions and not the fault-finding technique for criticism. 3. Follow-up Action: Survey feedback programme is not meaningful unless some follow-up action is taken based on the data collected. 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, follow-up action may be in the form of developing some specific OD interventions particularly process consultation and team-building, by the consultant. Evaluation of Survey Feedback Survey feedback provides a base for many managerial actions which has been confirmed by various research studies. In particular, survey feedback contributes in the following manner: 1. It is cost-effective means of implementing a comprehensive OD programme making it a highly desirable technique. 2. It generates great amount of information efficiently and quickly which can be used in solving problems faced by the organization and its members. 3. 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. However, effectiveness of survey feedback depends on two factors. First, questionnaire used and method adopted for its administration should be reliable and valid. If it is biased, all attempts to diagnose the problems will be abortive and futile. Second, even if valid and reliable information is collected, it is of no use unless follow-up action is taken based on the information. A survey feedback is not a technique in itself for change; it provides base for action for change. 4.3 Process Consultation Process Consultation (P.C) is a technique for intervening in an ongoing system. The basic content of P.C is that the consultant works with individuals and groups in the organization to help them learn about human and social processes and to solve problems that stem from process events. Edgar Schein, the leading writer and consultant on P.C has defined it as follows:
³The set of activities on the part of the consultant which help the client to perceive, understand, and act upon the process events which occur in the client¶s environment.´ The basic objectives of P.C are as follows: 1. To bring desired change in the various organizational processes like leadership, communication, roles and functions of group members, group decision-making and problemsolving, group norms, and inter-group co-operation and conflicts. 2. To understand how various organizational processes can be linked to objective achievement in the organization. Steps in Process Consultation Schein has suggested following specific steps which the consultant would follow in a P.C programme of OD. 1. Initiate Contact: This is beginning stage of P.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. Define the Relationship: At this stage, client and consultant enter into agreement covering various aspects of consultancy services like fees, and spelling out services, time, etc. At this stage, the client¶s expectations and hoped-for results are also decided. 3. 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. At this stage, the consultant is introduced to the organizational members and basic objectives of the P.C are communicated to them with a view that they co-operate with the consultant. 4. Gather Data and Make a Diagnosis: Information is collected from various sources thorough the use of questionnaires, observations, and interview about the problems, spelled out at the initial stage. This data gathering occurs simultaneously with the entire consultative process. Information collected is processed to diagnose the problems and their underlying causes. 5. Intervene: At this stage, the consultant intervenes in the organizational processes by using different interventions like agenda-setting, feedback, coaching, and/or structural change. 6. Reduce Involvement and Terminate: When the work of P.C is completed, the consultant disengages from the client organization by mutual agreement but leaves the door open for future involvement. Evaluation of Process Consultation: Process consultation is quite in-depth activity of OD in which the consultant plays a major role. Though he is involved only in suggesting the various changes in the processes, he assists the
. P. groups. In the review of various P. 2. and problemsolving are also developed. and alike. 3.organizational members to incorporate those changes. traditions. the focus is on inter-group behaviour and relations. significant correlation between the outcomes has not been found. It utilizes a considerable number of instruments. To study the organization as an interactive system and apply techniques of analysis in diagnosing its problems. To evaluate the styles of leadership and techniques of participation to produce desirable results. The whole orientation is to develop managerial style through the application of behavioural science knowledge. P.C programmes. Each group separately analyses the ideal inter-group relations. 4. and the organization as a whole. One basic reason for this phenomenon may be the consultant¶s inability to steer the organization out of troubles. and processes necessary for effectiveness at the individual. Teamwork Development: The focus in this stage is to develop teamwork by analyzing team culture. enabling individuals and groups to assess their own strengths and weaknesses. To understand the importance and rationale of systematic change. communication skills. problem-solving. It is a comprehensive and systematic OD programme which aims at individuals. The individuals try to learn to become managers by practice.C is very effective intervention for organizational improvement. 3. objective-setting. and total organizational levels. inter-group. Process of Grid Training The basic content of grid organization development is managerial grid as discussed. The thrust is on moving groups from conflict to co-operation. knowledge. 2. Action steps to move towards the ideal are developed and assigned to individuals who may be engaged in building co-operative inter-group relationships.4 Grid Training Grid training is basically based on grid organization development developed by Blake and Mouton. The grid organization development consists of six phases. Managerial grid: It covers various aspects of assessing managerial styles. focuses on skills. 1.C is also not free from criticisms. However. and teamwork. Inter-group Development: At this phase. However. From this point of view. like other OD intervention techniques. The skills relating to planning. Its specific objectives are as follows: 1. 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. group. both these problems may be overcome by engaging a suitable consultant and developing willingness among the members for change.
employees will look towards the leaders for a number of things. In this light. the focus shifts to the total organization and to develop skills necessary for organizational excellence. 4. concerned and committed to their welfare. 5.4. clearly the most important determinant of "getting through the swamp". The members of the organization are trained for achieving this excellence. Also during these times of change. the various efforts from phase 1 to phase 5 are evaluated and critical analysis is made. the various programmes may be redesigned. confident and effective decision-making. complete communication that is timely. They have maintained that ³managerial and team effectiveness can be taught to managers with outside assistance. The literature on the subject indicates that the nature of the change is secondary to the perceptions that employees have regarding the ability. and After Arrival. If you are to manage change effectively. Systematic Critique: In this stage. in spite of these criticisms. Further. they maintained the same stand. you need to be aware that there are three distinct times zones where leadership is important. The analysis will bring out the shortcomings that may be there. is the ability of leadership to«well. employees will expect effective and sensible planning. Slogging Through The Swamp. while at the same time . Developing Ideal Strategic Corporate Model: At this stage. 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. and credibility of senior and middle management. competence. 6. Evaluation of Grid Training Most of the support of grid training has come from its originators-Blake and Mouton. therefore. During drastic change times. Grid training programme is criticized on the basis that it lacks contingency approach and. The action is designed to identify the characteristics of the ideal organization. it discounts reality.5 Leadership Development When change is imposed (as in downsizing scenarios). and regular. The Role of Leadership In an organization where there is faith in the abilities of formal leaders. The strategy is then implemented.´ In a later work. it appears that this type of educational strategy can help to make significant contributions to organizational effectiveness. some of them have not supported the claims made by Blake and Mouton. We can call these Preparing For the Journey. We will look more carefully at each of these. grid training is a non-rigorous method. employees will perceive leadership as supportive. Though research studies on the application of grid training are not many. grid training has some positive contributions for organizational effectiveness. Furthermore. lead. Each group may be given assignment to evolve strategy for making ideal organization with the help of the consultant.
during and after change implementation is THE key to getting through the swamp.1: Life Cycle of a Team Though these are not followed rigidly. performing. For example. These stages are: forming. problems in team-work. The existence of this trust. storming. The best way to summarize is that there is a climate of trust between leader and the rest of the team. must labor under the weight of employees who have given up. 4. which. French and Bell have opined that ³probably 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. widely accepted. have no faith in the system or in the ability of leaders to turn the organization around. 4.6 Team-building Various OD interventions discussed so far have their specific implications for OD and.recognizing that tough decisions need to be made. results in an organization becoming completely nonfunctioning. and applied OD intervention for organizational improvement.´ 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. but more importantly. if allowed to go on for too long. they often pass through several stages as they learn to work together as a team. are closely associated with a very few advocates and practitioners. let us consider the life cycle of a team. and adjourning as shown below: Fig. employees expect nothing positive. In a climate of distrust. Before going through how team-building exercise can be undertaken to develop effective teams. brings hope for better times in the future. The organization must deal with the practical impact of unpleasant change. and that makes coping with drastic change much easier. Unfortunately. Poor leadership means an absence of hope. Life Cycle of a Team When a number of individuals begin to work at interdependent jobs. employees learn that leaders will act in indecipherable ways and in ways that do not seem to be in anyone¶s best interests. norming. These stages are the result of a variety of questions and issues that team members face such as ³who will be members of the team?´ ³Who will perform what functions?´ ³Who will contribute what?´ ³What rules will be . therefore. teambuilding is the most important. by the time you have to deal with difficult changes. and features of effective team so that team-building exercises focus more sharply on developing effective team. Leadership before. they do represent a broad pattern that may be observed and predicted in many settings across team¶s time together. it may be too late. As against these. In organizations characterized by poor leadership. if haven¶t established a track record of effective leadership. how synergy is generated through team-work.
Performing: When team members interact among themselves on the basis of norms that have emerged in the team. each team has to be adjourned. group norms emerge to guide individual behaviour which form the basis for co-operative feelings and behaviour among members. intense social relationship among members comes to an end. different members may experience varying degree of tension and anxiety out of this interaction pattern. because of individual differences. 2. jockeying for relative control. The concept of synergy is quite popular in strategic management and it is defined as follows: ³Synergy is the process of putting two or more elements together to achieve a sum total greater than the sum total of individual elements separately. they learn to handle complex problems that come before the team.followed?´ ³How can conflicts among members be resolved?´ and so on. 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. 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. Storming: After the forming stage which is mostly related to perceiving and assessing each other. 4. team members get introduced to each other if they have not interacted earlier. 3. Norming: After storming stage. The adjournment phase takes place in the case of those teams which are created for some special purposes like task force. The team begins to move in a co-operative fashion and a tentative balance among competing forces too is struck. members start interaction among themselves in the form of competing for status. 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. However. After the adjournment of the team. concept of stages is significant in the context of the nature of problem which team members are likely to face in team-work. and tasks are accompanied efficiently. even the most successful teams as they have completed their mission. This effect can be described as 2+2=5 effect. They share personal information. Functional roles are performed and exchanged as needed. Sooner or later. 5.´ . At this stage. Forming: At the first stage of the life cycle. Adjourning: Adjourning is the end phase of cycle of a team. At this stage. and arguing for appropriate strategies to be adopted for achieving team¶s goals. etc. start to accept others. interaction among team members is often cautious especially when they are new to one another. and begin to turn their attention to the group tasks. team members start settling. These typical stages of life cycle of a team are described below: 1. committee.
Dropping of average output in group efforts indicates that some members of the group were not contributing as much as they did individually. To the extent. individual members do not contribute to the fullest extent. the complementarity among members is achieved. They averaged 138. 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. When the division of work cannot be accomplished properly and individual efforts are hard to determine. For example. other factors remaining the same. and so on. In the above paragraph. how a particular element affects another and is affected by it. 2.Thus. From this statement.2 pounds. group efforts tend to slacken. 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. When the group is not cohesive with high output norms. synergistic effect is not automatic but depends on the complementarity of different elements that are put together and the way they interact among themselves. we have mentioned that team effectiveness depends on the complementarity of team members.6 pound of pressure while tugging on the rope. 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. The phenomenon of social loafing can be minimized by constituting effective team for group performance. that is. goals. fail to perform their assigned tasks. Putting the concept of synergy in teamwork means members of the team are complementary to each other and they contribute positively to one another. 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. and attitudes. A simple phenomenon of social loafing may be observed in a group assignment to students during their study. In fact. group of eight. it was found that individuals¶ total efforts were much higher than the group efforts. it appears that there are many . team-work does not necessarily spurt group efforts. Individuals were asked to pull alone as hard as possible on a rope attached to a strain gauge. in one experiment. the individual average dropped down still lower-68. This phenomenon may happen in teams in work organizations too. other factors remaining the same. They rely on the fact the more reliable members will complete the project without their help. students find that one or two students do not put their weight for the completion of the project. 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. the team would be effective. 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. In such an assignment. a team is created to undertake a task which requires a variety of skills and single individual cannot perform that task alone.
Super-ordinate Goals: Super-ordinate goals are those which are above the goals of a single team or a single individual. management consultants. 3. These super-ordinate goals. or propose discipline for team members. and share the responsibility for completing a project on schedule. two things are required from its members. . team members may tend to contribute positively to the teamwork.factors in an effective team. They define four characteristics of real teams: small size. he may tend to affect others because of chain reaction just like a rotten apple injures its companions. 3. serve to focus attention. Thus. Even if one member lacks behind. team members may not show high degree of enthusiasm and they will use only a part of their skills in performing the jobs. Katzenbatch and Smith.financial and nonfinancial-should be taken into consideration. Team Rewards: Team performance depends on how reward is linked to team performance and how members perceive this linkage. skills which are complementary to the team requirement and understanding of one¶s own role as well as roles of other members. 2. super-ordinate goals and team rewards. common purpose. make recommendations regarding a new supervisor. Innovative non-financial team rewards for responsible behaviour may include the authority to select new members of the group. Supportive Environment: A team loaded with skilled members cannot perform well if the organizational climate is not supportive for that. Further. Real teams can be created and sustained by: 1. While skills are relevant for job performance. managers at higher levels particularly at the top level should set organizational climate and culture which enthuse team members to put their best. Skills and Role Clarity: For an effective team. goals. organizations need to achieve a careful balance between encouraging and rewarding individual initiative and growth and stimulating full contributions to team success. Establishing a sense of urgency right from the first meeting. complementary skills. supportive environment. Rewards of both types. If team members perceive that reward to contingent on team performance. Selecting members for their complementary skills and potentials. These factors are skills and role clarity. 4. understanding of roles helps members to meet the requirement of one another thereby solving the problems which the team faces. and stimulate more cohesive team efforts. An individual works better if he is able to link how his goal attainment leads to the attainment of a higher-level goal. and working approach: and willingness to be held mutually accountable. The positive aspect of all these factors leads to team effectiveness and team members share common values regarding product quality. Developing clear rules of conduct and challenging performance goals. customer satisfaction. Let us see how these factors make a team effective. Therefore. then. If the organizational climate is not in tune with high achievement. 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. 2. they will put their maximum. unify efforts. 1.
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. and rewards. recognition. Providing substantial time together in which new information is constantly shared. 3.4. Problem-sensing: There are a number of ways in which problems of a team can be obtained. personality and attitudes. Much of the problems may be solved through effective communication and training sessions. 2. Analyzing how team¶s goals and priorities are linked to those of the organization. Team-building Process: Team-building attempts to improve effectiveness of the team by having team members to concentrate on: 1. The role of communication is important in this context because it will help in clarifying the actual problems to the members. their value systems. they are repetitive and cyclical as indicated by arrows in the figure. Providing positive feedback. . 4. At this stage. group problems to even personal problem. Examining Differences: The perception of people on an issue differs because of their differing backgrounds. 4. 2. The view may be quite different ranging from the organizational problem. Analyzing the relationships among the members who are performing the job. For achieving these. 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. generally most of the members come forward with their arguments as to what the real problems are. In problem identification.2: Process of Team-building Various steps of team-building process are not one-shot action. rather. and 5. such as. the team-building exercise proceeds in a particular way as shown in figure. 1. Often the team itself defines which aspects of team-building it wishes to work on. Setting goals and priorities for the team. This problem can better be identified in terms of what is hindering group effectiveness. Fig. and 5. Analyzing how the team is working. Analyzing how the work is performed.
etc. clarifying and setting differences in perception concerning responsibility and authority in the team. (iv) Innovative: bringing in new relevant ideas.3. belittling. the total team is convened to review what has been learned and to identify what the next step should be. 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. The feedback should be given to the members about their feelings. information. the stying with the topic or going off on tangents. This suggests that even people are not fully aware of themselves. and who will be responsible for team projects in a group that has not developed a satisfactory division of responsibility. members report about the painful feelings that they have at the time of evaluation of their feelings. cynicism. people themselves take assignments to increase specific constructive behaviours and decrease specific negative behaviours. Follow-up Action: This is the final stage in team-building. encouraging others to participate. (ii) Bringing in: harmonizing. criticizing person. about the issue. 5. If this process is adopted several times. This is quite helpful in developing teamwork. who was talking more or who was talking less. Followup action also helps in overcoming the drawback involved at the initial stages of team-building. At the time of discussion of feedback. . undermining morale. understanding. The concept of Johari Window may also be applied. (iii) Negative: cooling. Such feedback generally provides members to evaluate the values but at the same time. 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. there is a strong possibility that members may learn constructive behaviours and leave negative behaviours. seeking relevant information. talking together with speaker. who was trying to resolve the differences. (ii) Attacking: deriding. the way people talk about the issue. etc. Following are the examples of constructive and negative behaviours: Constructive Behaviour: (i) Building: developing and expanding the ideas of others. 4. It involves deciding who will take care of each area of the team¶s responsibilities. (iii) Clarifying: resting. Negative Behaviour (i) Over talk: interrupting. also provides opportunity to understand themselves. Often. At this stage. ensuring. The discussion should continue until all members of the team have commented. with complex division of responsibility and authority among members. feelings.
and perceptions that groups have of each other. Such actions will go a long way in shaping the organizational climate quite conducive to members for their efficient working. one of the more . team-building has a positive outlook.. Team-building becomes a complicated exercise when there is frequent change in team members. it contributes positively towards the feelings of the people. communicating. One such suggestion is to use a task hierarchy to reinforce the team as it progresses up a behaviour skill hierarchy (for example. this has been a subject to which change efforts have been directed. It helps in developing effective interpersonal relationships by stimulating the group members for that. structure. listening. It helps developing communication within the group and inter-group and overcoming many psychological barriers that block communication flow. to encourage and sustain such feelings. 3. However. though. It focuses only on work groups and other major organizational variables such as technology. Although there are several approaches for improving intergroup relations. monitoring. 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. and feedback skills). in different degrees. Therefore. 4. It improves the organization¶s problem-solving and decision-making ability. 2.7 Inter-group Development A major area of concern is OD is the dysfunctional conflict that exists between groups. management should take such actions at regular intervals so that members feel reinforced and sustain their positive behaviour. it is not that effective in isolation. When this exercise is undertaken at the initial stage. Many research studies have also confirmed the positive contributions of team-building on the organization¶s outcomes. As a result. It seeks to change to attitudes. team-building has been termed as one-sided effort and it suffers from the following limitations: 1. team-building contributes to the organizational performance in the following manner: 1. However. 2. In general. there have been calls for combining team-building with organization behaviour modification approaches. stereotypes. are not given adequate attention. etc. In spite of these problems. Evaluation of Team-building As mentioned earlier.These attempts bring co-operative and supportive feelings among people involved in the team functioning. team-building as an OD intervention has attracted maximum attention. However.
Because they are from the outside these individuals an offer can offer an objective perspective often unavailable to insiders.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. are disadvantaged because they usually have an inadequate understanding of the organization¶s history. For major change efforts. In contrast. after which similarities and differences are discussed. culture. 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. The consultant may fulfill a variety of functions. internal management often will hire the services or outside consultants to provide advice and assistance. as the break for too quick action. and the groups look for the causes of the disparities. but one thing he/she is not the driver´. The groups then share their lists. 4. each group meets independently to develop lists of its perception of itself. or as fog lamp when the future is hazy. as the radiator absorbing some of the heat of the controversy. Once the causes of the difficulty have been identified. however. as the shock absorber when the going is rough. or outside consultants. enabling the client to let off steam: as the ignition to spark action. and how it believes the other group perceivers it.Popular methods emphasize problem solving. In this method. as the accelerator to build up momentum. and personnel. with members from each of the conflicting groups. Subgroups. can now be created for further diagnosis and to begin to formulate possible alternative actions that will improve relations. Differences are clearly articulate. the other group.9 Role of Change Agents The change agent may play different roles according to the need of organization development . may be more thoughtful (and possibly cautious) because they to live with the consequences of their actions. the groups can move to the integration phase ± working to develop solutions that will improve relations. employees of the organization. Outside consultants. internal staff specialists or managers when acting as change agents. operating procedures.8 Change Agents Change agents: Can be managers or nonmanagers. Trainer . According to Curtis Mial: ³The Consultant may serve as the exhaust value. 4.
generation of new behavioral science knowledge. 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. What is Grid Training? How does it help in improving individual performance in an organization? . Team-building is most important. the consultant works with individuals and groups in the organization to help them learn about human and social processes and to solve problems that stem from process events. Sensitivity training focuses on small group ranging from ten to twelve. cases and experiential learning etc. 2. knowledge and processes necessary for effectiveness at the individual. Self Assessment Questions 1. ________is antithesis of synergy in team-work which suggests that people working together on a common task may actually decrease their individual efforts. Useful hypothesis are to be formulated and tested. role-plays and instruments. He has to educate people on the need and importance o change using a variety of methodologies ± lectures.11 Terminal Questions 1. Grid training focuses on individuals and groups to assess their own strengths and weaknesses. It focuses on skills. feedback of information. Training is used both in µcontent orientation¶ and process orientation¶.A change agent needs to be a trainer and educator. group discussions. developing action plans based on feedback and follow-up. The first step in survey feedback is ______ usually by a consultant based on a structured questionnaire. Grid Training was developed by ±±±±±±±±±±±± 3. attitudes and beliefs. skills and change in behavior. evolving best strategies for change by assessing alternatives and the important stages in a change project where the change agent has to be a Researcher. In process consultation. team-work does not necessarily spurt group efforts 4. group. Survey feedback usually proceeds with sequential activities involving data collection. inter-group and total organization levels. Data collection. diagnosis. changing (intervening) and refreezing. presentations. films.10 Summary OD intervention strategies are various activities which a consultant and client organization performs for improving organizational performance. The trainer role is most widely and intensively used at all stages of a change project: unfreezing. 4. Training is required for enhancing knowledge. widely accepted and applied OD intervention for organizational improvement.
What is survey feedback as an intervention of OD? How does it provide base for other OD interventions? 3. and Beliefs in Organization Development Unit-05-Values.8 Copyright © 2009 SMU Powered by Sikkim Manipal University . What is team-building? What are the stages of life cycle of a team? 4.12 Answers to SAQs and TQs SAQs: 1.2. 3. Assumptions. Refer section 4. Data collection 2. Refer section 4. Refer section 4. MU0002-Unit-05-Values.1 Introduction . 4. Social loafing Answers to TQs: 1.6 4.2 3. Assumptions. Refer section 4.4 2. and Beliefs in Organization Development Structure: 5. Explain Change agents and discuss the role of change agents in detail. Blake and Mouton.
7 Terminal Questions 5.2 Definitions 5. and they continue to evolve as the field itself evolves.3 Chronology of Events in Management and Organization Thought 5. and beliefs constitutes an integral part of organization development. you will be able to: · Explain the meaning of values.1 Implications for Dealing with Individuals 5.5. Objectives: After studying this unit.1 Introduction A set of values.3 Implications for Designing and Running Organizations 5. · Give the statement of OD values and assumptions. assumptions. These values and assumptions have developed from research and theory by behavioural scientists and from the experiences and observations of practicing managers. beliefs and assumptions. beliefs and assumptions.Objectives 5. · List the chronology of events of values. · State the implications of OD values and assumptions.8 Answers to SAQs and TQs 5. shaping the goals and methods of the field and distinguishing OD from other improvement strategies.2 Implications for Dealing with Groups 5.5. Most of these beliefs were formulated early in the development of the field.4 Early Statements of OD Values and Assumptions 5. 5.5 Implications of OD Values and Assumptions 5.5.6 Summary Self Assessment Questions 5.2 Definitions .
Simple. and beliefs provide structure and stability for people as they attempt to understand the world around them.. and democratic. Taylor s methods quickly swept the country and the world as the way to organize work. and beliefs are all cognitive facts or propositions. with values being beliefs about good and bad. or spirit of the time. assumptions. Optimistic values posit that people are basically good. and the like. Piece-rate pay systems were designed to increase motivation and to prevent "soldiering. treat people with respect and dignity. Expert engineers and supervisors designed each task and ensured it was done correctly. and assumptions being. assume that everyone has intrinsic worth. As these ingredients accumulated. free speech) and what is undesirable or µbad¶ (e. and goodwill are the tools for making progress. the laboratory training movement." or slacking off. repetitive tasks in an attempt to find "the one best way" to do each job.A belief is a proposition about how the world works that the individual accepts as true. Major ingredients of the zeitgeist that influenced OD values and assumptions are presented here in a brief chronology. OD values tend to be humanistic. view all people as having the potential for growth and development.g. and the need for justice through the rule of law and due process. . research on the effects of different leadership styles. the clash between fascism and democracy in World War II. Values and assumptions do not spring full grown from individuals or societies they are formed from the collective beliefs of an era-the zeitgeist.g." Assumptions are beliefs that are regarded as so valuable and obviously correct that they are taken for granted and rarely examined or questioned. Thus. dishonesty). assumptions. and that rationality. strongly held. Democratic values assert the sanctity of the individual. Evidence for the validity of these values and their supporting assumptions comes from many sources ± the Hawthorne studies. Values are also beliefs and are defined as: "Beliefs about what is desirable or µgood¶ (e. the human relations movement. increasing awareness of the dysfunctions of bureaucracies. the importance of fair and equitable treatment for all.3 Chronology of Events in Management and Organization Thought y 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. values. they were fashioned into a coherent value foundation for the theory and practice of organization development. Humanistic values proclaim the importance of the individual: respect the whole person.. it is a cognitive fact for the person. greater understanding of individual motivation and group dynamics. reason. Values. 5. the right of people to be free from arbitrary misuse of power. optimistic. relatively unexamined beliefs accepted as the truth. that progress is possible and desirable in human affairs. repetitive tasks minimized the skills required to do the job.
These approaches possessed many desirable features. The Famous Hawthorne Studies (1927 to 1932) were conducted at the Hawthorne plant of Western Electric Company. extensive division of labor. Their simple. Much of her career was devoted to finding ways to reduce adversarial relationships between workers and management. greater attention to workers social needs. 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. Group norms had more powerful effects on productivity than economic incentives. the work environment. In a sense. training in interpersonal skills for supervisors. and a general humanizing of the workplace. authoritarian leadership caused dependency. aggressiveness and poor performance. impersonal rules. their feelings and attitudes about the work. by Roethlisberger and Dickson in 1939. Mary Parker Follett (1926). Democratic leadership seemed to bring out the best in the groups. much of the research. and rigid procedures would create a well-oiled human machine called the organization. and the supervisor determined their performance. wrote an article on The Giving of Orders advocating participative leadership and joint problem-solving by labour and management. organizations were not machines. The human relations movement advocated participative management. apathy. Research by Lewin. repetitive jobs left them feeling alienated and dispirited. His acceptance theory of authority proposed that authority derives from the willingness of subordinates to comply with directions rather than from position power. The research demonstrated the primacy of social factors on productivity and morale. People were not cogs.y The great German sociologist Max Weber (1922) introduced the concept of bureaucracy as the best. most efficient way to organize people. y y y y y y y . but also contained serious flaws that led to unintended consequences. Lippitt (1939). Group Dynamics (1940) The scientific study of groups using experimental research methodswas launched by Kurt Lewin and his students. a management theorist and astute observer of labour-management relations. theory. Some early experiments were conducted in the late 1930s. Barnard (1938) presented insights from his experiences as President of the New Jersey Bell Telephone Company. and by Homans in 1950 profoundly and irreversibly affected people s beliefs about organizational behaviour. The Hawthorne Studies (1940s to 1960) spawned the human relations movement that was in full flower from the 1930s to the 1960s. Barnard viewed organizations as social systems that must be effective (achieve goals) and efficient (satisfy the needs of employees). and practice since the late 1920s have focused on the shortcomings of these two paradigms and how to overcome the limitations. and White demonstrated that democratic leadership was superior to authoritarian leadership and laissez-faire leadership in affecting group climate and group performance. The Functions of the Executive by Chester 1. Reports on these studies by Mayo in 1933 and 1945. People came to work as whole people. A strong hierarchy of authority.
French s (1948) article. which holds that individuals have within themselves the capacity to assume responsibility for their behaviour and mental health when provided with a supportive. This article introduced the concept of organizations as socio-technical systems. 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. a mechanistic organization y y y y y y y y . The task of management is to change organizational structures. and understand group dynamics. and human resource practices to allow individual potential to be released. dislike responsibility. 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. higherlevel needs become dominant. a direct precursor of OD. In an environment of slow change. pioneers in laboratory training. The theory postulated that when lower-level needs are satisfied. P. lack ambition. Ken Benne and Paul Sheats (1948). Those who subscribe to Theory Y assume that people have the potential to develop. healthy adults. indifferent to the organization s needs. Carl Rogers Client-Centered Therapy (1951) demonstrated the efficacy of non-directive psychotherapy.y These years witnessed the beginnings of the laboratory training movement (1946 and 1947). caring social climate. Humanistic and democratic values suffused the movement. 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. Burns and Stalker (1961) described two very different forms of organization structuremechanistic and organic. Lester Coch and John R. increase self-understanding. management practices. Laboratory training taught people how to improve interpersonal relations. Motivation and Personality by Abraham Maslow (1954) presented a new view of human motivation. proposed that the leadership functions of a group should be shared between the leader and group members and showed how that could be done. Overcoming Resistance to Change. In addition to presenting Theory X and Y. and need to be led. are self-centered. Eric Trist and Ken Bamforth of the Tavistock Clinic (1951) published the results of their work in British coal mines. and to pursue organizational goals if given the chance and the social environment to do so. and introduced practicing managers to the concepts of need hierarchy and self-actualization. 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. resist change. this book popularized Maslow s motivation theory. to assume responsibility. Rogers focus on effective interpersonal communications was applicable to superior-subordinate relations. 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.
Out of this zeitgeist. The Bennis and Beckhard quotations come from their books in the Addison-Wesley Six-Pack. (1969) a set of six little books on OD by prominent practitioners. as we have said. and unprincipled power. open communications. y y This chronology captures most of the significant influences from research. . Organic structures encourage decentralized decision making and authority. and negative consequences. · Development of more effective "team management. This leadership style was contrasted with an authoritarian. practice. Warren Bennis proposed that OD practitioners (change agents) share a set of normative goals based on their humanistic/ democratic philosophy. These six books presented the theory. groups. · A shift in values so that human factors and feelings come to be considered legitimate. and organizations that is. organization development practitioners formulated a set of values and assumptions regarding people. and greater individual autonomy. and authoritarian leadership gave way to increasing doubts about these organizational practices as theory and research pointed up their limitations. more rational and open methods of conflict resolution are sought. Tannenbaum and Davis presented their ideas in an article appearing in Industrial Management Review. · Development of increased understanding between and within working groups in order to reduce tensions. and shares decision-making with the work group. bureaucracy. · Development of better methods of conflict resolution. and values of the field. one-on-one leadership style. compromise. Values have always been an integral part of OD. optimistic." that is. humanistic. We will examine three early statements regarding OD values that had a significant impact on the field. the capacity for functional groups to work more competently. goal-oriented. The Addison-Wesley Publishing Company OD Six-Pack.structure may be appropriate. Writing in 1969. theory. an organic organization form is preferred. summarized the state of organization development a decade or so after its inception. and democratic. The Social Psychology of Organizations by Daniel Katz and Robert L. To summarize the intellectual climate of this period. y 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. He listed these normative goals as follows: · Improvement in interpersonal competence. dysfunctions. the initial enthusiasm for scientific management. in an environment of high change. Rather than the usual bureaucratic methods which rely mainly on suppression. Kahn (1966) presented the first comprehensive exposition of organizations as open systems. and observations utilized by OD practitioners.
not the basis of managerial strategy. more choices become available and hence better decisions are made. This is a strong reaction against the idea of organizations as mechanisms which managers "work on. the basic units of change are groups. M.´ For example." like pushing buttons. The earlier work by Tom Burns and G. They listed these ³values in transition´ as follows: · Away from a view of people as essentially bad toward a view of people as basically good. An always relevant change goal is the reduction of inappropriate competition between parts of the organization and the development of a more collaborative condition. Stalker used the term ³mechanistic´ in contrast to ³mechanical. Controls are interim measurements. "People support what they help create. sub-units of organizations. rather than in a particular role or level of hierarchy. mechanical systems rely on "authority-obedience relationships" while organic systems rely on "mutual confidence and trust. Robert Tannenbaum. and individuals continuously manage their affairs against goals.· Development of organic rather than mechanical systems." People affected by a change must be allowed active participation and a sense of ownership in the planning and conduct of the change. Organizations. One goal of a healthy organization is to develop generally open communication. Here is his list. Bennis clarified some of the salient differences between mechanical systems and organic systems. director of organization development." Mechanical systems insist on "strict division of labour and hierarchical supervision" while organic systems foster "multi-group membership and responsibility. mutual trust. . not individuals. In his 1969 book he described "several assumptions about the nature and functioning of organizations" held by OD practitioners. 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." Mechanical systems encourage "centralized decision-making" while organic systems encourage "wide sharing of responsibility and control. a professor and Sheldon Davis. 5. Decision-making in a healthy organization is located where the information sources are." 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. 1. 4. 2. The basic building blocks of an organization are groups (teams). and confidence between and across levels. Therefore. Through focused attention and through the collection and feedback of relevant data to relevant people. 3. Another major player in the field was Richard Beckhard. 6. presented their view of OD values in a 1969 article.
· Away from avoidance of negative evaluation of individuals toward confirming them as human beings. the legitimacy of feelings.5 Implications of OD Values and Assumptions . · Away from distrusting people toward trusting them. toward seeing them as being in process. · Away from avoiding facing others with relevant data toward making appropriate confrontation. open communication. · Away from a view of individuals as fixed. · Away from walling off the expression of feelings toward making possible both appropriate expression and effective use. and arbitrary management practices as well as the dysfunctions of bureaucracies. appropriate uses of power. · Away from use of status for maintaining power and personal prestige toward use of status for organizationally relevant purposes. · Away from resisting and fearing individual differences toward accepting and utilizing them. autocratic. but in the 1950s and 1960s they represented a radical departure from accepted beliefs and assumptions. Beliefs such as trust and respect for the individual. · Away from a primary emphasis on competition toward a much greater emphasis on collaboration. and so forth were seldom espoused and rarely implemented in the vast majority of organizations at that time. · Away from avoidance of risk-taking toward willingness to risk. 5. 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. The humanistic values prompted a search for better ways to run organizations and develop the people in them. authentic interpersonal relations. · Away from a view of process work as being unproductive effort toward seeing it as essential to effective task accomplishment. · Away from maskmanship and game-playing toward authentic behaviour. The democratic values prompted a critique of authoritarian. These values and assumptions may not seem profound today. · Away from utilizing an individual primarily with reference to his or her job description toward viewing an individual as a whole person. collaboration and co-operation. decentralized decision making.
including peers and boss. a greater contribution to attaining organization goals than most organizational environments permit. set high standards. Implications of these assumptions are several.2 Implications for Dealing with Groups Several assumptions relate to the importance of work teams and the collaborative management of team culture. First. A tremendous amount of constructive energy can be tapped if organizations realize and act on these assumptions. and co-operation within the group. The second assumption is that most people desire to make. are the best way to satisfy social and emotional needs at work. and so on. invest energy and intelligence in creating a positive climate. listen.Let us examine specific assumptions and their implications for organization leaders and members. most people wish to be accepted and to interact co-operatively with at least one small reference group. leaders should invest in groups: Invest the time required for group development. Hence.1 Implications for Dealing with Individuals Two basic assumptions about individuals in organizations pervade organization development. group members should be encouraged to learn to deal effectively with positive and negative feelings. a church or club group. and usually with more than one group. most people are capable of making greater contributions to a group¶s effectiveness and development. one of the most psychologically relevant reference groups for most people is the work group. Also. And because suppressed feelings and attitudes adversely affect problem-solving. in addition. give autonomy. and organizations? 5. challenge. One implication is that group members should receive training in group effectiveness skills such as group problem-solving and decision-making. Second. such as a work group. give responsibility. This skill is a trainable one. support. group members should assist the leader with the multiple roles required for group effectiveness. not individuals. It is especially important that leaders adopt a team leadership style.5. conflict management. and are capable of making. encourage risk-taking. the family. invest training time and money to increase group members¶ skills. groups. 5. Dealing appropriately with feelings and attitudes increases the level of interpersonal trust. Third. facilitation. at both the formal and informal levels. personal growth. We answer the question: What are some of the implications of OD assumptions and values for dealing with individuals. remove obstacles and barriers. Another assumption is that the formal leader cannot perform all the leadership and maintenance functions required for a group to optimize its effectiveness. To do this. not a one-on-one leadership style. What occurs in the work group. The implications of these two assumptions are straightforward: Ask. and job satisfaction. The people doing the work are generally experts on how to do it and how to do it better. leaders need to give important work to teams. and reward success.5. permit failure. The first assumption is that most individuals have drives toward personal growth and development if provided an environment that is both supportive and challenging. support. . greatly influences feelings of satisfaction and competence. and interpersonal communication. Most people want to develop their potential. Let teams flourish because they are often the best way to get work done and.
and organizational changes taking place assure that tomorrow will bring new definitions of what is "true" and new beliefs about what is "good. traditional hierarchical forms of organization-fairly steep pyramid. and empowering. grouping by specialized function. and profitability. in which one side wins and the other side loses. it is possible to create organizations that on the one hand are humane. The question becomes not how A can get B to perform better. Such an orientation creates a self-fulfilling prophecy. 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. This notion suggests it is good to have a developmental outlook and seek opportunities in which people can experience personal and professional growth. experimenting with new organization structures and new forms of authority is imperative. and ways to optimize human potential." as behavioural scientists and managers continue to develop better understanding of authority structures. quality of output. developmental set of assumptions about people is likely to reap rewards beneficial to both the organization and its members. Still. 5. Such problems have the greatest chance of constructive solution if all parties in the system alter their mutual relationships. including how persons C. The rapid technological. 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. The belief that people can grow and develop in terms of personal and organizational competency tends to produce that result. a growing awareness that ³win-lose´ organizational situations. emphasis on topdown directives. an optimistic. The implication is that people are an organization¶s most important resource. and so on-are obsolete. the assumption is that many attitudinal and motivational problems in organizations require interactive and transactional solutions. and on the other hand are high performing in terms of productivity.Finally. They cannot meet the demands of the marketplace. adherence to the chain of command. Concluding Comment: . formalized cross-functional communication. By implication. and E can support these changes. are dysfunctional over the long run and highlight the need for a ³win win´ attitude. organizing structures. Finally. they are the source of productivity and profits and should be treated with care.3 Implications for Designing and Running Organizations Clearly.5. In addition. Frequently the challenge is broader. societal. By implication. developmental. Evidence for this assumption comes from numerous examples where ³putting people first´ paid off handsomely in profits and performance. A key assumption in organization development is that the needs and aspirations of human beings are the reasons for organized effort in society. they change over time. D. values are never static. Therefore. Creating co-operative rather than competitive organizational dynamics is a primary task of the organization¶s leaders. The belief that people are important tends to result in their being important.
This discussion was intended to articulate an appreciation of OD values and explain where they came from. Values. _______________ gave theory X and theory Y. beliefs. 5. Values. 3.8 Answers to SAQs and TQs SAQs: 1. 5. Write a note about F. A belief is a proposition about how the world works that the individual accepts as true.6 Summary The field of OD rests on a foundation of values and assumptions about people and organizations. These beliefs help to define what OD is and guide its implementation. State the assumptions of Theory X and Theory Y. optimistic and democratic. What are values and assumptions developed by Richard Bechard in the field of organizational development? 5.7 Terminal Questions 1. 3.The field of organization development rests on a foundation of values and assumptions about people and organizations. OD values tend to be humanistic. beliefs and assumptions. Self Assessment Questions 1. values. __________ is associated with scientific management. 5. Taylor¶s principles of scientific management. Cognitive .W. Chronology of events in management and OD tremendously influenced OD practitioners. Values are also beliefs. assumptions and beliefs help to define what OD is and guide its implementation. but are widely accepted today. and assumptions are all ±±±±±±±±±± facts. 5. Values. 4. The concept of ±±±±±±±±±± was introduced by MaxWeber. The outcome of ±±±±±±±± was that people were not cogs and organizations were not machines. beliefs and assumptions are cognitive facts. What was the outcome of Hawthorne Experiments? 4. Define concepts. These OD values were considered revolutionary when they emerged in the 1950s. 2. 2.
1 Introduction Objectives 6.2.2 Models and Theories of Planned Change 6. Bureaucracy 4. MU0002-Unit-06-Foundations of Organization Development Unit-06-Foundations of Organization Development Structure: 6. Douglas McGregor Answers to TQs: 1. F.3 Copyright © 2009 SMU Powered by Sikkim Manipal University .3 5.2 2. Taylor 3. Refer section 5. Hawthorne experiments 5. Refer section 5.3 3.2 Beyond the Quick Fix . Refer section 5.3 4.2. Refer section 5.2.1 Kurt Lewin and Friends 6. Refer section 5. W.
3 The Burke-Litwin Model of Organizational Change 6. you will learn what OD practitioners think and how they think as they engage in the complicated task of improving organizational functioning.3. art and science which form the knowledge base upon which OD is constructed.2 Congruence among System Elements 6.4 Porras and Robertson Model of Organizational Change 6.8 Applied Behavioural Science 6.2.10 Summary 6.3 Systems Theory 6.4 Open Systems Thinking 6.12 Answers to SAQs and TQs 6.2.4 Participation and Empowerment 6.6. In this discussion.9 Action Research Self Assessment Questions 6. Leaders and OD practitioners use this knowledge base to plan and implement effective change programs.3. you will be able to: . Objectives: After studying this unit.6 Parallel Learning Structures 6.1 Introduction This unit describes the foundations of organization development theory and practice.3 Socio-technical Theory and Open Systems Planning 6.3.11 Terminal Questions 6.7 A Normative ± Re-educative Strategy of Changing 6.3.1 The Nature of Systems 6.5 Teams and Teamwork 6.
Here we describe what we believe are the most important underpinnings for the field. · Explain normative-re-educative strategy of changing The knowledge base of OD is extensive and is constantly growing. · Describe the parallel learning structures. but pretty good for identifying the important variables involved.· Explain various models and theories of planned change. Here we provide a framework for thinking about planned change by exploring several models from the literature. Several recent theories show great promise for increasing our understanding of what happens and how it happens in planned change. · Explain the terms µparticipation¶ and µempowerment¶. · Realize the importance of teams and teamwork. We will examine the following concepts: · 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. and specify the relationships among the variables.1 Kurt Lewin and Friends Kurt Lewin introduced two ideas about change that have been influential since the 1940s. Planned change theories are rudimentary as far as explaining relationships among variables. describe those features as variables.2 Models and Theories of Planned Change Organization development is planned change in an organizational context. The development of models of planned change facilitated the development of OD.2. the important features of some phenomenon. the status quo-whatever is happening right now-is the result of forces pushing in . Models and theories depict. · Explain systems theory. The first idea states that what is occurring at any point in time is a resultant in a field of opposing forces. in words or pictures. That is. 6.
the non-smoking behaviour must become permanent.opposing directions. that is. Finally.non-smoking becomes the new equilibrium point. Creation of guilt or anxiety c. believe that cigarette smoking is bad for him and that he should stop smoking. Disconfirmation or lack of confirmation b. moving to new level of behaviour. mentor. some forces pushing toward higher morale and some pushing toward lower morale. The three-stage model says he must first unfreeze the old behaviour of smoking. 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 level of morale in that plant as a resultant equilibrium point. This concept is useful for thinking about the dynamics of change situations. Lewin¶s second idea was a model of the change process itself. he must move. Edgar Schein took this excellent idea and improved it by specifying the psychological mechanisms involved in each stage. it generally hovers around some equilibrium point that is the resultant in a field of forces. He suggested that change is a three-stage process: Unfreezing the old behaviour (or situation). Likewise. Provision of psychological safety Stage 2: Changing through Cognitive Restructuring: Helping the client to see things. Refreezing the desired behaviour requires establishing a new field of forces to support the new behaviour. The production level tends to remain fairly constant because the field of forces remains fairly constant. Although morale may get a little better or a little worse on occasion. feel things. with some forces pushing toward higher levels of production and some forces pushing toward lower levels of production. Next. For example. A Three-Stage Model of the Change Process: Stage 1: Unfreezing: Creating motivation and readiness to change through a. and react to things differently based on a new point of view obtained through a. that is. we can think of the production level of a manufacturing plant as a resultant equilibrium point in a field of forces. Change entails moving from one equilibrium point to another. change his behaviour from being a smoker to being a non-smoker. Refreezing the behaviour at the new level. Scanning the environment for new relevant information . etc. With a technique called the force-field analysis. Lewin¶s three-stage model is a powerful tool for understanding change situations. Take the example of a man who smokes cigarettes and wants to quit. judge things. b. Identifying with a new role model.
This phase corresponds to Lewin¶s refreezing phase. Phase 2: Establishing a change relationship. In this phase a client system in need of help and a change agent from outside the system establish a working relationship. They expanded the three-stage model into a seven-stage model representing the consulting process. Phases 3. is to integrate the new behaviours into the person¶s personality. which motivate the person to change. and fit with the individual¶s social surroundings. Significant relationships. This motivating evidence is gained by. identifying with ex-smokers and learning about the health risks of smoking. and 5 correspond ro Lewin¶s moving phase. Phase 3: Clarifying or diagnosing the client system¶s problem. The person acquires information and evidence showing that the change is desirable and possible. In stage 1. the person must develop a sense of psychological safety in order to replace the old behaviours with new behaviours. disconfirmation creates pain and discomfort. This phase corresponds to Lewin¶s unfreezing phase. 4. Phase 6: Generalizing and stabilizing change. 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. The total personality and self-concept. the person undergoes cognitive restructuring. That is. that is. The primary task in stage 3. establishing goals and intentions of action. b. unfreezing. Phase 7: Achieving a terminal relationship. for example. and attitudes. stabilizing the changes requires testing to see if they fit-fit with the individual. .Stage 3: Refreezing: Helping the client to integrate the new point of view into a. Their seven stages are as follows: Phase 1: Developing a need for change. In stage 2. terminating the client-consultant relationship. Phase 5: Transforming intentions into actual change efforts. But unless the person feels comfortable with dropping the old behaviours and acquiring new ones. refreezing. and Bruce Westley. That is. which cause guilt and anxiety. Phase 4: Examining alternative routes and goals. change will not occur. moving. Jeanne Watson.
3) The team-building track. Similar models have been developed by Kolb and Frohman and by Burke. Change programs take from one to five years to complete. Interventions include training programs. 2) Diagnosing the problems. These "road maps" are useful for thinking about change. 6. 4) The strategy-structure track. Diagnosing the problems requires a thorough analysis of the problems and opportunities facing the organization. problem-solving sessions. Kilmann describes the five tracks: What does each track do for the organization? . Scheduling and implementing the "tracks" involve intervening in five critical leverage points.This seven-stage model lays out the logical steps involved in OD consulting. This model has five sequential stages: 1) Initiating the program. Kilmann¶s five tracks are: 1) The culture track. These problems and opportunities will be the targets of later interventions. 3) Scheduling the "tracks". Initiating the program entails securing commitment from top management. cause the organization to be successful. called "tracks. 4) Implementing the "tracks" 5) Evaluating the results." that. and 5) The reward system track. and so forth. critique practices and procedures. 2) The management skills track.2 Beyond the ³Quick Fix´ A comprehensive change model by Ralph Kilmann specifies the critical leverage points for organizational change.2. when functioning properly.
jobs. The model distinguishes between organizational climate and organizational culture. incremental. and all resources with the new strategic direction.and second-order change. its identification of the five tracks as critical leverage points.3 The Burke-Litwin Model of Organizational Change The next model to be examined is the Burke-Litwin model of individual and organizational performance. information sharing. or continuous change. communication. then moving to the team-building track. and Xerox with good results. This model shows how to create first-order and second-order change (which the authors call ³transactional change´ and ³transformational change´). Ford General Electric. radical. One likes this model because of its comprehensive nature. work groups. the nature of the organization is fundamentally and substantially altered ± the organization is transformed. and co-operative team efforts within and among all work groups. Kilmann has tested his model at AT&T. In first-order change. and willingness to change among members the conditions that must exist before any other improvement effort can succeed. and its holistic view of organization change and development. or discontinuous change. then moving to the management skills track. developed by Warner Burke and George Litwin.The culture track enhances trust. departments. TRW. First-order change goes by many different labels: transactional. General Foods. In second-order change. with an increasing emphasis on second-order transformational change. the use of updated management skills. The reward-system track establishes a performance-based reward system that sustains all improvements by officially sanctioning the new culture.2. evolutionary. some features of the organization change but the fundamental nature of the organization remains the same. . 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. Second-order change goes by many different labels: transformational. revolutionary. beginning with the culture track. Eastman Kodak. Westinghouse. An OD consultant implements the tracks in a phased sequence. The management-skills track provides all management personnel with new ways of coping with complex problems and hidden assumptions. adaptive. The strategy-structure track develops either a completely new or a revised strategic plan for the firm and then aligns divisions. and so forth. OD programs are directed toward both first. 6.
individual and organizational performance. 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. and so forth. and organization culture result in second-order change. in turn. Now let us look at the Burke-Litwin model.Organizational climate is defined as people¶s perceptions and attitudes about the organizationwhether it is a good or bad place to work. 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. On the other hand. Changing structure. management practices." Transformational leadership embodies inspiration which leads to new heights of performance. Changing culture is much more difficult than changing climate." Transactional leadership embodies a fair exchange between leader and follower that leads to "normal" performance. interventions directed toward mission and strategy. Following figure shows the factors involved in first-order (transactional) change. These perceptions are relatively easy to change because they are built on employees¶ reactions to current managerial and organization practices. hard-working or easy-going. Transformational leadership is required for causing second-order change. organizational culture is defined as deep-seated assumptions. and beliefs that are enduring. The model also makes a distinction between transactional and transformational leadership styles. leadership. Transactional leaders are "leaders who guide or motivate their followers in the direction of established goals by clarifying role and task requirements.1: The Transactional Factors Involved in First ± Order Change . The premise of the BurkeLitwin model is this: OD interventions directed toward structure. often unconscious. and difficult to change. friendly or unfriendly. which change motivation and. and systems (policies and procedures) result in first-order change. 6. We will do so in several steps. Transactional leadership is sufficient for causing first-order change. values. management practices. and systems cause changes in work unit climate. Fig.
´ We consider the Burke-Litwin model to be a significant advance in thinking about planned change. if we want to cause second-order (transformational) change. determines the kind of change required (transactional or transformational). The bottom half of figure displays the factors involved in transactional change. leadership styles. Interventions directed toward management practices. Interventions directed toward these factors transform the organization and cause a permanent change in organization culture. Burke says: ³Thus there are two distinct sets of organizational dynamics. and organization culture produce transformational change or fundamental change in the organization¶s culture. these transformational processes are required for genuine change in the culture of an organization. The second set of dynamics is concerned with processes of human transformation. These factors are able to change the climate. as shown in the above figure. and organization culture. we must change mission and strategy. Research by Burke and his students suggests the model performs as intended.2: The Transformational Factors Involved in Second ± Order Change On the other hand. and then targets interventions toward factors of the organization that produce the desired change. Burke and Litwin propose that interventions directed toward leadership. To summarize. mission and strategy. sudden "leaps" in behaviour. The above two figures together yield the full Burke-Litwin model shown in the following figure. .Fig. and systems produce transactional change or change in organizational climate. One set primarily is associated with the transactional level of human behaviour or the everyday interactions and exchanges that create the climate. 6. The top half of figure displays the factors involved in transformational change. structure. The OD practitioner sizes up the change situation. These factors are powerful enough to change the culture fundamentally. which produces changes in individual and organizational performance. that is.
according to Porras and Robertson.Fig. strategies. The work setting plays a central role in this model and consists of four factors: organizing arrangements. required. which influence on-the job behaviours. which in turn lead to individual and organizational improvements. It is how OD works. which determine organizational performance and individual development. Interventions that focus on job design and work flow design will affect technology. OD interventions that focus on goals. physical setting. management style. it is described in a discussion by Porras and Peter Robertson. social factors. 6. . Interventions that focus on culture. and technology. Following figure shows the work setting in the larger organizational framework. Organizational change occurs only when individuals change their behaviour. and interaction processes will affect social factors. The basic premise is that OD interventions alter features of the work setting causing changes in individuals¶ behaviours. and these behaviour changes occur when elements of the work setting have been modified by OD interventions.3: The Burke Litwin Model of Organizational Performance and Change 6.2. The premise modeled here is that work setting factors influence organizational members¶ cognitions (they learn what is expected. For example. This model shows how OD interventions can be linked to factors in the work setting.4 Porras and Robertson Model of Organizational Change Jerry Porras and his associates developed a model of how organization development works. and rewards will affect organizing arrangements. rewarded).
which views organizations as open systems in active exchange with their environment. This section explains systems theory.4: Organizational Work-Setting Factors This model is extremely useful for OD practitioners and organizational leaders. 6. 6. describes the characteristics of systems.5: A Change-based Organizational Framework 6. and Katz and Kahn were the first to apply open systems theory to organizations in 1966.Fig. Systems . Keep this framework in mind as you read the units on OD interventions because all interventions target one or more factors shown in figures.3 Systems Theory A second foundation of organization development is systems theory. and shows how systems theory enhances the practice of OD. Ludwig Von Bertalanffy first articulated the principles of general systems theory in 1950. Fig.
Boundaries of open systems are permeable. 6. resources. and they export products to the environment in the form of outputs. Open systems have purposes and goals." Kast and Rosenzweig define system as "an organized. dynamics. in that they permit exchange of information. All open systems are input-throughput-output mechanisms. system denotes interdependency. For example. and energy between system and environment. Here. What is inside the boundary is the system. one begins by identifying the individual parts and then seeks to understand the nature of their collective interaction. or subsystems. Therefore. when taking a systems approach. raw material and so on. components. The words µarrangement¶ and µinterrelated¶ describe interdependent elements forming an entity. and characteristics of open systems are well-known. that is the system. and what is outside the boundary is the environment. unitary whole composed of two or more interdependent parts. interconnectedness. These purposes must align with purposes or needs in the environment. Systems take inputs from the environment in the form of energy." Von Bertalanffy refers to a system as a set of "elements standing in interaction. Fagen defines system as "a set of objects together with relationships between the objects and between their attributes. They do something to the inputs via throughput.1 The Nature of Systems The nature. studying open systems leads to a good understanding of organizations. or transformation processes that change the inputs. and delineated by identifiable boundaries from its environmental supra. people. we examine the characteristics of open systems drawing OD expositions by Katz and Kahn and Hanna.system. information. Every system is delineated by a boundary." To summarize. conversion. Organizations are open systems. the organization¶s purposes will be reflected in its outputs.theory is one of the most powerful conceptual tools available for understanding the dynamics of organizations and organizational change. . money. Each of these three system processes must work well if the system is to be effective and survive. and if the environment does not want these outputs. the organization will cease to exist. Thus.3. and interrelatedness among elements in a set that constitutes an identifiable whole or gestalt. A good rule of thumb for drawing the boundary is that more energy exchange occurs within the boundary than across the boundary. the reasons for their existence." Hanna says: "A system is an arrangement of interrelated parts.
Positive feedback measures whether or not the purpose and goals are aligned with environmental needs. Negative feedback tells you if you are on track with your scheduled production output. aerospace. they usually ignore information about other industries such as electronics. and the production plan calls for 100 buggy whips per month. Positive feedback comes from the environment. It is also known as deviation-correcting feedback. it receives information to that effect in the form of negative feedback. if a rocket ship traveling to the moon strays off its trajectory. while screening out other information. Feedback is information from the environment about system performance. For example. and the system adjusts to a new goal.Fig. however. but most are not useful. Information is important to systems in several ways. . Organizations achieve negative entropy when they are able to exchange their outputs for enough inputs to keep the system from running down. and so on. and makes a course correction." Here is another example of negative and positive feedback. 6. organizations in the fast-food industry pay a lot of attention to information about their industry-nutrition. Systems "code" useful information and incorporate it. The usefulness of the two concepts is that they demonstrate that it is not enough to merely measure our outputs versus the intended targets. Say your company makes buggy whips. Survival of the system is equally influenced by whether or not the targets themselves are appropriate. and the like. say. mining. "return to earth. eating fads. it will signal whether the environment needs and/or wants buggy whips. Systems require two kinds of feedback. competitors. negative and positive.6: A System in Interaction with its Environment The law of entropy states that all systems ³run down´ and disintegrate unless they reverse the entropic process by importing more energy than they use. Negative feedback measures whether or not the output is on course with the purpose and goals. Systems are bombarded by all kinds of information: some are useful. It is sometimes called deviationamplifying feed back. For example. If the mission (target) changes. that information is called positive feedback. By the same token.
knowledge. 2) Resources available to the organization. Systems achieve a steady state or equilibrium point and seek to maintain this equilibrium against disruptive forces. As Katz and Kahn say: ³The basic principle is the preservation of the character of the system. Elements of the organization per se are labeled strategy. the tasks people perform to create products and service markets people. and the workforce¶s expectations. specialized.3. either internal or external. work.´ Also. and technology. This model depicts the organization as an input-throughput-output system. and informal organization. With increased differentiation. which includes skills. Outputs are performance at the total organization level. and complex over time. what the organization is trying to accomplish and how it plans to do it. and how things really work (versus how they are supposed to work as defined by the formal organization). processes. increased integration and co-ordination are necessary. Another characteristic of systems is equifinality. Subsystems exist within larger systems. the principle that there are multiple ways to arrive at a particular outcome or state ± systems have multiple paths to goals. which includes the organization¶s culture informal rules and understandings. The three major input factors are: 1) The environment.2 Congruence among System Elements David Nadler and associates at Delta Consulting Group developed the congruence model for understanding organizational dynamics and change. failures. These subsystems can be arranged into a hierarchy of systems moving from less important to more important. . knowledge. perceptions. people. which includes formal structures. such as capital. this process is called differentiation. differentiated. and 3) History which consists of memories of past successes. and systems for performing the work. and individual level. formal organization. unit/group level. which imposes constraints and opportunities about what the organization can and can not do.Another characteristic of open systems is steady state or dynamic homeostasis. systems tend to get more elaborated. important events. 6. and critical decisions that still influence behaviour today.
The thesis of STS is that all organizations are comprised of two interdependent systems. especially autonomous work groups (selfregulated teams or self-direct teams). organizations must optimize both systems. and identifying core tasks help STS consultants structure organizations and tasks for maximum effectiveness and efficiency. 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. Principles such as optimizing the social and technical systems. that is.Fig. to the workers doing the job. giving information and feedback to the people doing the work. Socio-technical systems theory was developed by Eric Trist. . if people don¶t have the skills and knowledge required to do the work. fit) must be present among the system¶s components¶ for the organization to produce satisfactory outputs. multi-skilled teams. STS is the principal conceptual foundation for efforts in work redesign and organization restructuring.3. You can use this model to analyze organizations with which you are familiar. Hanna writes: . In a company that is performing poorly. and information to the point of action. and 2) Evaluating the "goodness of fit" or how well the elements "go together. High-performance organizations almost always use principles from socio-technical systems theory. Fred Emery. For example. which components are "not functioning correctly. Another important application of systems theory in organization development is open systems planning. and that changes in one system affect the other system. forming autonomous work groups. 6. training group members in multiple skills.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. controlling variance at the source.3 Socio-technical Systems Theory and Open Systems Planning Two major variations of open systems theory." and which elements are poorly aligned? In companies showing outstanding performance. performance will suffer. 6. performance will suffer. A number of design principles have been developed to implement socio-technical systems theory." The premise is that alignment (harmony. a social system and a technical system. performance will suffer. To achieve high productivity and employee satisfaction. two active segments of OD today. and others at the Tavistock Institute in the 1950s. If the organization¶s culture (informal organization) praises individual accomplishments and the work requires teamwork and collaboration.socio-technical systems theory (STS) and open systems planning (OSP)-play an important role in organization development. Systems models are essential for the practice of OD. If the strategy calls for entrepreneurial quickness and risk-taking and the formal organization is bureaucratic and highly centralized.
forces. therefore. fusing them into a coherent body of theory and practice. but seen in relation to other issues. systems theory pervades the theory and practice of organization development. G. and systems thinking.In the late 1960s a small team of consultants led by James Clark. Second. Charles Krone. 2) Developing scenarios of possible futures. and incidents are not viewed as isolated phenomena. not single effects. . Learning organizations can cope effectively with rapidly changing environmental demands. Of all these disciplines. from diagnosis to intervention to evaluation. from their activities. is the most important.´ In conclusion. according to Peter Senge. systems thinking. It keeps them from being separate gimmicks or the latest organization change fads.3. 6.KI Jayaram. changing one part of a system influences other parts. because most phenomena have more than one cause. a systems approach encourages analysis of events in terms of multiple causation rather than single causation. 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. Without a systemic orientation. First. both realistic (likely to happen if the organization continues on its current course) and ideal (what the organization would like to see happen). He says of systems thinking: ³It is the discipline that integrates the disciplines. team learning. For example. Third. the fifth discipline. and 3) Developing action plans to ensure that a desirable future occurs. Most OD practitioners engaged in redesign projects use a combination of socio-technical systems theory and open systems planning. OD practitioners expect multiple effects. issues.4 Open Systems Thinking Open systems thinking is required for creating learning organizations. Open systems planning entails: 1) Scanning the environment to determine the expectations of external organizations and stakeholders. building shared vision. it continually reminds us that the whole can exceed the sum of its parts. and Will McWhinney developed a technology for addressing the interface between organization and the environment. this combination is often used in designing high-performance organizations. Senge believes that five disciplines must be mastered to create a learning organization: personal mastery. there is no motivation to look at how the disciplines interrelate. Viewing organizations from this perspective has several consequences. By enhancing each of the other disciplines. mental models. events. Their technology became known as Open systems Planning (OSP). events and forces.
and give more power to more people. which they call "mechanistic. reduce stress levels. and the culture audit are all predicated on the belief that increased participation will lead to better solutions. personal initiative. and empowerment in turn enhances performance and individual well-being. The other view. to exert influence. To empower is to give someone power. Robert Quinn and Gretchen Spreitzer found two vastly different views of empowerment. the forces in the field at the time of the event are the relevant forces for analysis. Participation is an especially effective form of empowerment. Participation is a powerful elixir-it is good for people and performance. But ." and "Have decisions made by those who are closest to the problem. One view. They describe the organic view: "The other group of executives saw empowerment much differently.Fourth. quality of work life programs. This research demonstrated that most people desire increased involvement and participation. Increased participation and empowerment have always been central goals and fundamental values of the field. according to field theory (Kurt Lewin). Further. Participation in OD programs is not restricted to elites or the top people." is bottom-up and less controlling. with its emphasis on risk-taking. and growth.4 Participation of Empowerment One of the most important foundations of organization development is a participation/ empowerment model. The most important contrast between the two views involves the implicit but potentially volatile assumptions people make about trust and contro1. search conferences." is a top-down delegation of decision-making with clear boundaries and strict accountability that increases managerial control. increase commitment to the organization. one changes the system. growth. treat those closest to the problem as the relevant experts. 6. Empowerment meant trusting people and tolerating their imperfections. Participation enhances empowerment. This idea moves the practitioner away from analyzing historical events and toward examining contemporary events and forces. involvement and participation energize greater performance. Researchers found that group dynamics work to overcome resistance to change. and greatly enhance acceptance of decisions. Research on group dynamics began in the 1940s and achieved exponential growth in the 1950s and 1960s. Rules of thumb such as "Involve all those who are part of the problem or part of the solution. team building. not just its component parts. The entire field of OD is about empowerment. it is extended broadly throughout the organization. autonomous work groups. produce better solutions to problems. called "organic. to contribute their ideas. and to be responsible. These pillars of OD practice are validated by both research and practice. to change a system. quality circles." direct leaders to push decision-making lower in the organization. OD interventions are deliberately designed to increase involvement and participation by organization leaders and members." These authors believe the organic view. For example. survey feedback. They believed that it was about risk-taking. which is done by giving individuals the authority to make decisions. and change. And fifth. and generally make people feel better about themselves and their worlds. OD interventions are basically methods for increasing participation. is the more useful perspective.
STS (socio-technical systems). teams create synergy. the organic approach unleashes talent and energy in people that are best channeled by providing clear guidelines and boundaries. systems. QCs (quality circles). teams at 3M generate the hundreds of innovations that keep 3M ahead of its competition. and relationships if they are to be effective. employees must choose to be empowered.both views contain valid ideas: for example. HPWSs (high-performance work systems). is not something that management does to employees. and capable of having an impact on the system in which they are embedded. confident about their abilities. many tasks are so complex they cannot be performed by individuals. They must see themselves as having freedom and discretion. . teaming. Teams are important for a number of reasons: First. Teams and teamwork are among the "hottest" things happening in organizations today ± gurus extol the virtues of teams. as a team. that is. then. and practice attest to the central role teams play in organizational success. Team Saturn produced the Saturn automobile.5 Team and Teamwork A fundamental belief in organization development is that work teams are the building blocks of organizations. they must if personally connected to the organization. Quinn and Spreitzer conclude: ³Empowerment. If the team. HPOs (high-performance organizations). The previous discussion focused on empowerment and concluded that the act of empowering individuals greatly increased their performance and satisfaction. Teams and teamwork are "in. A second fundamental belief is that teams must manage their culture. people must work together to accomplish them. much individual behaviour is rooted in the socio-cultural norms and values of the work team. to name just a few. crossfunctional "design-build" teams developed the Boeing 777. Teams at Motorola produced its bestselling cellular phones. the effects on individual behaviour are immediate and lasting. Third. "The evidence is abundantly clear: Effective teams produce results far beyond the performance of unrelated individuals. Team Taurus developed Ford¶s best-selling automobile. changes those norms and values. the noun team has become a verb. research. processes. but rather a mindset that employees have about their roles in the organization. Teams and teamwork are part of the foundation of organization development. Synergy is a principal reason teams are so important. the sum of the efforts of team members is far greater than the sum of the individual efforts of people working alone. Theory. and team-related acronyms abound-SDTs (self-directed teams). Second. The message of this section is that putting those empowered individuals into teams creates extraordinary effects on performance and satisfaction. While management can create a context that is more empowering.´ 6.
including collegiate football national champions. team performance declines. find innovative ways around barriers. inter-group team-building. and individuals are trained as group leaders and group facilitators. Larson and LaFasto found eight characteristics always present: 1) A clear. recognition. Investigators are discovering why some teams are successful while others are not. In this section. we examine the potential of teams and teamwork. High-performance teams regulate the behaviour of team members. 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. status. that they achieve synergy. 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. role negotiation technique. . cross-functional teams. These interventions apply to formal work teams as well as startup teams. Team-building activities are now a way of life for many organizations. people are trained in group dynamics and group problem-solving skills. and set ever-higher goals. and explore ways to realize that potential. help each other. to determine the characteristics that make them successful. When any one feature is lost. Larson and LaFasto studied a number of high-performance teams. and others. All these characteristics are required for superior team performance. parallel learning structures. 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. socio-technical systems programs. Examples are team-building. the crew of the USS Kitty Hawk. and the like. and that teamwork becomes more satisfying for team members. quality circles. and responsibility charting.Fourth. temporary teams. Teams periodically hold team-building meetings. and respect-teams nurture human nature. The net effect is that teams perform at increasingly higher levels. Grid OD and techniques such as role analysis technique. heart transplant surgical teams. A number of OD interventions are specifically designed to improve team performance. process consultation. teams satisfy people¶s needs for social interaction.
7 A Normative ± Re-educative Strategy of Changing . empowered teams are what the best organizations are using right now to outdistance the competition. and employees. and initiate needed changes. Union Pacific Railroad. At Ford Motor Company. 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. Interestingly. a steering committee and working groups were used to co-ordinate the employee involvement teams. Parallel learning structures are often the best way to initiate change in large bureaucratic organizations. What¶s important is that people act in a way that promotes learning and adaptation. parallel structures are a vehicle for learning how to change the system. and report to one of your subordinates on another team. deciding. He uses examples from EDS (Electronic Data Systems). and acting differently than normally takes place at work. projects will be performed by teams. High responsibility. The quality of work life programs of the 1970s and 1980s used parallel structures composed of union leaders. constitute another important foundation of organization development. autonomous. 6. Bushe and Shani say: ³The key thing about parallel structures is that they create a bounded space and time for thinking. 6. flexible response. you don¶t have a parallel structure. talking. superior customer service.6 Parallel Learning Structures Parallel learning structures. It isn¶t the supplemental structure that¶s important. especially when the change involves a fundamental shift in the organization¶s methods of work and/or culture. normal hierarchical considerations become obsolete for these project teams-you could be the boss of one team. Dale had introduced this concept in 1974 under the label collateral organization and defined it as ³a supplemental organization coexisting with the usual formal organization.´ The purpose of the collateral organization is to deal with "ill-structured" problems the formal organization is unable to resolve. In essence. Asea Brown Boveri.Tom Peters asserts in Liberation Management that cross-functional. Projects are the work of the future. If you don¶t implement different norms and procedures. Parallel learning structures are a foundation of OD because they are prevalent in so many different OD programs. and then leading the process. High-performance organizations often use parallel structures to co-ordinate self-directed teams. and high accountability drive these project teams to outperform traditional organization structures on every measurable dimension. specially created organizational structures for planning and guiding change programs. engage in genuine inquiry and experimentation. managers. and countless other organizations to demonstrate the ability of small project teams to produce high quality. Considerable experimentation with collateral organizations occurred in the 1970s and 1980s. and continuous learning. Titeflex.´ Parallel structures help people break free of the normal constraints imposed by the organization. Most socio-technical systems redesign efforts and open systems planning programs use parallel structures. clear objectives. The most important and difficult task for the people creating the parallel learning structure is to create a different culture within it.
The first type is empirical rational strategies. OD clearly falls within the normative-reeducative category. The norms to be changed and the form of re-education are decided by the client system members. Change in a pattern of practice or action. anxieties. and will change if and when they come to realize change is advantageous to them. and it rests on a particular strategy for change that has implications for practitioners and organization members alike. These strategies build upon assumptions about human motivation different from those underlying the first. according to this view. and significant relationships. skills. and¶ negative feelings are surfaced for "working through. although often OD represents a combination of the normative-re-eductive and the empirical-rational strategies. The point here is that different strategies are available for effecting change. information. based on the assumptions that norms form the basis for behaviour. Chin and Benne describe three types of strategies for changing. will occur only as the persons involved are brought to change their normative orientations to old patterns and develop commitments to new ones. not just changes in knowledge. they impel a collaborative effort rather than a "doing something to" effort. will follow their rational self-interest. Socio-cultural norms are supported by the attitude and value systems of individuals-normative outlooks which undergird their commitments. attitudes." Solutions to problems are not a priori assigned to greater technical information but may reside in values. The second group of strategies is normative-re-educative strategies. The client system members define what changes and improvements they want to make. that is. These implications give clients considerable control over the situation. Chin and Benne indicate the nature of the normativereductive strategy as follows: A second group of strategies we call normative-re-educative. doubts. The third set of strategies is the power-coercive strategies. relationships and customary ways of doing things. the practitioner intervenes in a collaborative way with the clients. based on the assumption that change is compliance of those who have less power with the desires of those who have are power. strategy has the following implications for the practice of OD. Patterns of action and practice are supported ± by sociocultural norms and by commitments on the part of the individuals to these norms. and they give more options to both the clients and the practitioner. or intellectual rationales for action and practice. values. rather than the OD practitioner. Anything hindering effective problem solving is brought to light and publicly examined. Evaluated against these three change strategies. based on the assumptions that people are rational. Chin and Benne suggest that a normative-re-educative. and change comes through re-education in which old norms are discarded and supplanted by new ones. and together they define problems and seek solutions. and OD is based primarily on a normative-re-educative strategy and secondarily on a rational-empirical strategy. . And changes in normative orientations involve changes in attitudes. The rationality and intelligence of men are not denied.Organization development involves change.
pressing problems. on the basis of selected variables.´ Norms help determine individual behaviour and a normative-re-educative strategy of changing pervades the practice of OD. OD is the application of behavioural science knowledge. i. the object of which is knowledge for its own sake. The diagnostic typology allows the practitioner to know what category of situation he or she has examined. and (2) "technology. placing it in a classification scheme or typology. the major leverage point for change is at the group level. The practitioner uses treatment as the empirical test of his diagnosis. on the basis of which he or she prescribes a solution that. re-establishes the equilibrium. . norms can best be changed by focusing on the group.e. Although human behaviour in organizations is far from an exact science. for example. 6. A conventional distinction is made between (1) "pure" or basic science.´ From this "practice theory." applied science.. then selecting and implementing treatments based on the diagnosis. thereby solving the problem.Because norms are socially accepted beliefs held by groups about appropriate and inappropriate behaviours." Both diagnosis and treatment consist of observing a situation and. The principles of diagnosis and of treatment constitute the principles of practice. hopefully. by modifying a group norm or standards. lawful patterns of events produce effectiveness and ineffectiveness. 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. This process is customarily referred to as diagnosis and treatment. Each type description of the diagnostic typology contains implications for a certain type of treatment. Burke writes: ³If one attempts to change an attitude or the behaviour of an individual without attempting to change the same attitude or behaviour in the group to which the individual belongs. The practitioner examines the problem situation. OD emphasizes the latter. the object of which is knowledge to solve practical. not the individual. Greenwood states: ³The diagnostic and treatment typologies are employed together. or practice. failure negating it and thus requiring re-diagnosis. with their elaborations and implications constitute practice theory. On this point. success corroborating the diagnosis. the treatment typology allows the practitioner to know what remedial efforts to apply to correct the problem. Thus. Greenwood discusses the activities of the practitioner as follows: "The problem that confronts a practitioner is customarily a state of disequilibrium that requires rectification. practices. applied science or practice. behavioural science knowledge. and finally evaluating the effects of the treatments. The aim of this discussion is to look briefly at how behavioural science knowledge becomes applied behavioural science knowledge.8 Applied Behavioural Science This foundation of OD relates to the primary knowledge base of the field. OD practitioners know about these patterns through research and theory. and skills in ongoing systems in collaboration with system members." the OD practitioner works: first diagnosing the situation.
Taken collectively. who developed the concept of action research. represent contributions from applied science. it is a program of applying behavioural science to organizations. each is a powerful conceptual tool for thinking out and implementing change. Action research is a method that combines learning and doing ± learning about the dynamics of organizational change. they constitute the beginning of a theory of organization development and change that has enormous potential for improving organizational performance and individual development. Kurt Lewin. 6. and doing or implementing change efforts. represent contributions from pure or basic science. form of applied behavioural science. and action planning based on the data. It is a type of action-research. The two bottom inputs.9 Action Research The action research model ± a data-based. practice research and practice theory.´ Concluding Comments: These foundations of organization development form the theoretical and practice underpinnings of the field. the two top in puts. behavioural science research and two behavioural science theory. Action research is especially well-suited for planned change programs.8: Composition of Applied Behavioural Science Organization development is both a result of applied behavioural science and a. problem-solving method that replicates the steps involved in the scientific method of inquiry underlies most OD activities. Self Assessment Questions . a comparative search on the conditions and effects of various forms of social action. 6. perhaps more accurately. I am inclined to hold the opposite to be true.Fig. had this to say about it: ³The research needed for social practice can best be characterized as research for social management or social engineering. Taken separately. Action research involves three processes: data collection. feedback of the data to the client system members. 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.
2. which in turn lead to individual and organizational improvements is the principle of Porras and Robertson model organizational change. 6. ±±±±±±±±±± gave the model ³Beyond the Quick Fix´. The Burke-Litwin model emphasized on first-order and second-order change. 6. What are first-order and second order change according to Burke-Litwin Model of organizational change? Explain. First²order change is also called ___________. Transactional change .1. 6. Explain Kurt Lewin¶s models and theories of planned organizational change. 4. Ralph Kilmann 3.11 Terminal Questions 1. Unfreezing 2.10 Summary The foundations of organizational development form the theoretical and practice underpinnings of the field. 3. In parallel learning structures members have to think and behave in ways that are different from the normal roles and rules of the organization. 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. 4. OD interventions alter features of the work setting causing changes in individuals¶ behaviours.´ Comment on this statement. 3.´ 5. _____________ means sum of the efforts of team members is far greater than the sum of individual efforts of members. What are the features of systems theory of organizational development? 5. ³Work teams are building blocks of organizational development. A _____________ is defined as ³a set of elements standing in interaction. 2. A fundamental belief in OD is that work teams are the building blocks of organizations. ±±±±±±±±±± means moving to new level of behaviour. Bring out the essence of ³managing beyond the quick fix´ model of organizational development. Action research model combines learning and doing. Ralph Kilmann specified the critical leverage points for organizational change. Systems theory views organizations as open systems in active exchange with their environment.12 Answers to SAQs and TQs SAQs: 1.
Refer section 6. 7.4.2. Synergy Answers to TQs: 1.4 Organization Culture and Effectiveness 7.6 Summary .3 5.5 Developing and changing Organization Culture Self Assessment Questions 7.2.5 Copyright © 2009 SMU Powered by Sikkim Manipal University . MU0002-Unit-07-Organization Culture and Climate Unit-07-Organization Culture and Climate Structure: 7. System 5.3 4. Refer section 6.3 Types of Organization Culture. Refer section 6.1 Introduction Objectives 7.1 2. Refer section 6. Refer section 6.2 3.2.2 Characteristics of Organization Culture 7.
thinking. etc. You can tell the culture of an organization by looking at the arrangement of furniture.2 Characteristics of Organization Culture Organizational culture has a number of important characteristics. you will be able to: · Understand Organization Culture. what members wear. and rituals related to deference and demeanor. for-profit corporation is quite different than that of a hospital which is quite different than that of a university. but also changing the corporate culture as well. organizational change must include not only changing structures and processes. and validated enough to be taught to new members as the correct ways of perceiving. · Discuss about developing and changing organization culture. do not do too little?´ . Observed behavioral regularities. values. Comprehensively organization culture is the pattern of basic assumptions that is invented. For example. 7. and feeling in relation to these problems (Schein. organizational culture is the personality of the organization.1 Introduction Basically. · Describe different types of Organization Culture · Explain organization culture and effectiveness. norms and tangible signs (artifacts) of organization members and their behaviors. The concept of culture is particularly important when attempting to manage organization-wide change.7 Terminal Questions 7. what they brag about. Norms.7. but everyone knows it when they sense it. Culture is comprised of the assumptions. or developed by an organization as it learns to cope with its problems of external adaptation and internal integration. discovered. Standards of behavior exist. Objectives: After studying this unit. they use common language. Martin and Meyerson. Practitioners are coming to realize that. 2. When organizational participants interact with one another. ± similar to what you can use to get a feeling about someone¶s personality. including guidelines on how much work to do. the culture of a large.8 Answers to SAQs and TQs 7. 1986). Culture is one of those terms that¶s difficult to express distinctly. terminology. despite the best-laid plans. Which in many organizations come down to ³Do not do too much. Some of the most readily agreed upon are the following: 1. Members of an organization soon come to sense the particular culture of an organization.
Note that the Market organization is not one which is focused just on marketing. Transactions are exchanges of value.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. outputs and outcomes. processes and procedures. 5. and in particular taking note of transaction cost. Low absenteeism and high efficiency. Organizational climate: This is an overall ³feeling´ that is conveyed by the physical layout. Hierarchical leaders are typically coordinators and organizers who keep a close eye on what is happening. Rather than strict rules and procedures. are particularly driven by results and are often very competitive. people are driven through vision. Rules: There are strict guidelines related to getting along in the organization. New-comers must learn those ³ropes´ in order to be accepted as full-fledged members of the group. Hierarchies have respect for position and power. but one where all transactions. and the way members of the organization conduct themselves with customers or other outsiders. shared goals. Typical examples are high product quality. Dominate value: These are major values that the organization advocates and expects the participants to share. . In contrast to Hierarchies. Leaders in market cultures are often hard-driving competitors who seek always to deliver the goods. They often have well-defined policies. value flows between people and stakeholders with minimal cost and delay. Philosophy: These are policies that set forth the organization¶s beliefs about how employees and/or customers are to be treated. In an efficient market organization. For many years. It has an inward focus and a sense of family and people work well together. Market cultures are outward looking. the way participants interact. 6. this was considered the only effective way of organizing and is still a basic element of the vast majority of organizations. clans often have flat organizations and people and teams act more autonomousl. 7. Market The Market organization also seeks control but does so by looking outward. Clan The Clan organization has less focus on structure and control and a greater concern for flexibility.3. internal and external are viewed in market terms. 4.
It will use prototyping and experimenting rather than long. but critical to shaping its behavior. thinking. norms. systems and subsystems. Artifacts: The visible manifestations of culture as seen in the physical and social environment of the organization such as: · Its structure. the way they dress etc. 1986). invisible to the naked eye. big-bang projects and development. 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. affecting the performance of every-one within the culture in positive or negative ways. 1993). Adhocracy The Adhocracy has even greater independence and flexibility than the Clan.strongly driven by loyalty to one another and the shared cause. culture is like the DNA of an organization. Martin and Meyerson. In biological terms. Clan leaders act in a facilitative. 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). 7. · Public documents it releases and media reports and stories about it. plaques. The set of basic assumptions evolve into values artifacts and norms in terms of which an organization culture may be examined and understood. rules. which is necessary in a rapidly changing business climate. and procedures.4 Organization Culture and Effectiveness It is reflected in how things are done (Flanagan. · The observable behavior of its members (the way they talk. Where market success goes to those with greatest speed and adaptability. etc. supportive way and may take on a parental role. Leaders in an adhocracy are visionary. discovered. innovative entrepreneurs who take calculated risks to make significant gains. symbols. although not necessarily documented. . Comprehensively organization culture is the pattern of basic assumptions that is invented. the jargon they use. and validated enough to be taught to new members as the correct ways of perceiving. and feeling in relation to these problems (Schein. · Its rituals. Rules. do still exist and are often communicated and inculcated socially. 1995) and how problems are solved in an organization. or developed by an organization as it learns to cope with its problems of external adaptation and internal integration. the adhocracy will rapidly form teams to face new challenges.
Grouping variables into these categories aids greatly in the correct interpretation of the data and their use for diagnostic and other purposes. For example. there are numerous variables. and what is right and what is wrong. and behaviour. These variables have been classified by Likert into three groups-causal. there is often contradiction in various approaches. 1. believing. its core value are limited to a few in number. Likert states that causal variables are independent variables which determine the course of developments within an organization and the results achieved by the organization. reflecting what is important in the organization and determining how the organization ought to be (the ethos. Identifying. Values evolve out of the basic assumption and form the core (or heart) of the culture. communicating. They are reflected in the core capabilities of a company. and no unanimity is found in different approaches. . or standards held by members of an organization. and are generally not compromised for short-term benefits or financial gains. organizational growth. the personality of the organization).Values: These are the social principles. and doing. These causal variables include only those independent variables which can be altered or changed by the organization and its management. is defined and conceptualized in different ways. individually and collectively. skills. business and leadership strategies. IBM norms dictate that employees should actively listen and respond to customer demands and complaints.the informal rules of the fame telling employees what they are supposed to be saying. intervening and end result. From this point of view. Whatever the criteria adopted for organizational effectiveness. Though a large volume of literature is available on the concept and working of organizational effectiveness.which are useful in discussing organizational effectiveness over time. from the basis of its policies and action. Though each individual¶s effectiveness is significant but perhaps the most important aspect of effectiveness is its relationship to the entire organization. productivity. Causal Variables: Causal variables are those factors that influence the course of development within an organization and its results or accomplishment. 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. are often used interchangeably. the organizational analysis is incomplete for a practicing manager unless the factors underlying effectiveness are identifying. These are the essential and enduring tenets of an organization. goals. profitability. Thus. The various approaches are judgmental and open to question. Causal variables include the structure of the organization and its management. also called as organizational success or growth. Causal variables include the structure of the organization and management¶s policies. to denote organizational effectiveness. decisions. Organization Effectiveness Organizational effectiveness. various terms such as efficiency. Though an organization espouses a series of values.
. A single person (founder) has an idea for a new enterprise. 7. money. others are brought into the organization. end-result variables are the dependent variables which reflect the achievements in the organization such as its productivity.. scrap loss. performance goals. and is worth the investment of time. Intervening variables are concerned with building and developing the organization.5 Developing and Changing Organization Culture How Organizational Cultures Start Although organizational cultures can develop in a number of different ways. motivational. and earnings. and a common history begins to be built. obtaining patents. Changing Organizational Culture Sometimes an organization determines that its culture has to be changed. is workable. the process usually involves some version of the following steps: 1. The intervening variables may be divided into two broad categories: (i) the intervening attitudinal. and perceptions of all members and their collective capacity for effective interaction. 4. 3. New product development and information technology is changing so rapidly that any example would be soon out-of ±date. then such rapid change can be welcomed and accommodated with as little disruption and as few problems as possible. incorporating. if the appropriate organization culture is in place. costs. Many of these variables are caused by causal variables. motivations. Intervening Variables: Intervening variables are those factors which are reflected as the internal state of organization. the current environmental context has undergone drastic change and either the organization must adapt to these new conditions or it may not survive. locating space. all in this core group believe that the idea is a good one. and (ii) the intervening behavioral cluster. and decision-making. At this point. However. communication. e. and they tend to be longterm goals. The founder brings in one or more other key people and creates a core group that shares a common vision with the founder. building. and energy that will be required. and so on. The founding core group beings to act in concert to create an organization by raising funds. 3.2. Likert states that the intervening variables reflect the internal state and health of the organization. According to Likert. is worth running some risks for. 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. That is. 2. the loyalties. and perceptual cluster. attitudes.g. For example. This is one part of effectiveness that many managers overlook because it emphasis long-term potential as well as short-term performance.
These emotions will be a major input into the clash or compatibility of the two cultures. Set realistic goals that impact on the bottom line. In addition. so that a consistent message is delivered from all management team members. 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?. take these losses early. 3. organizational cultures can be managed and changed over time. Structure. or even customers may support the existing culture. and structures that work together to reinforce traditional cultural patterns. commitment. 4. the geographic location. Take out all trappings that remind the personnel of the previous culture. so that they are able to interact well with the organizational personnel. Where does the power and managerial decision making really reside? Corporate cultures range from autocratic extremes to total employee empowerment. Assess the current culture. Expect to have some problems and find people who would rather move than change with the culture and. Predictable obstacles include entrenched skills. and history of two firms. if possible. Simple guidelines such as the following can be helpful. age.Even through some firms have had a culture in place to anticipate change. habits. attitudes. the ³culture contract´ that individuals have bought into to guide their day-to-day thoughts. powerful stakeholders such as unions. and how this plays out among the partners will be important to cultural compatibility. Emotions. 2. This attempt to change culture can take many different forms. 7. Include employees in the culture change process. . especially when making changes in rules and processes. Recruit outside personnel with industry experience. and patterns of daily behavior. 2. relationships. roles. 1. the industry in which the partners come from and now reside. and whether products and/or services are involved. 6. Make changes from the top down. Staffs. 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. 5. Guidelines for change Despite the significant barriers and resistance to change. Politics. management. The personal feelings. These factors from the two cultures include the size. 3.
Self Assessment Questions 1. 7. and strategic constituencies approach. Effectiveness of an organization can be increased through economic man approach and administrative man approach.goal approach. Move quickly and decisively to build momentum and to defuse resistance to the new culture. system-resource approach. Factors in organizational effectiveness include casual variables. Stay the course by being persistent. effectiveness through adaptive-coping cycle has been discussed. Discuss the development and change of organizational development. Market 3. 7. 2.7 Terminal Questions 1. ___________are those factors that influence the course of development within an organization and its results or accomplishment. Finally. 9.8.6 Summary Organizational effectiveness is the degree to which organization is successful in accomplishing its goals. Briefly explain different types of organizational culture. _____are the visible manifestations of culture as seen in the physical and social environment of the organization. Organizations to be successful must be efficient and effective. 3. 3. Organizational effectiveness can be measured through various approaches. are particularly driven by results and are often very competitive. Artifacts 2. 2. Causal variables Answers to TQs: .8 Answers to SAQs and TQs SAQs: 1. Explain the characteristics of organization culture. 7. ________cultures are outward looking. behavioural approach. intervening variables and end-result variables and there exists interrelationship among these variables.
Politics and Organization Development Unit-08.3 Two Faces of Power 8. Refer section 7.9 Summary 8.Power.6 The Role of Power and Politics in the Practice of OD 8. MU0002-Unit-08.3 3. Politics and Organization Development Structure: 8.1 Introduction Objectives 8.7 Operating in a Political Environment 8.10 Terminal Questions .8 Acquiring and using Power Skills Self Assessment Questions 8.2 2.5 Organizational Politics Defined and Explored 8.Power.1. Refer section 7.5 Copyright © 2009 SMU Powered by Sikkim Manipal University . Refer section 7.4 Theories about the Sources of Social Power 8.2 Power Defined and Explored 8.
and for change to occur in an organization. we examine power and politics in relation to organization development.2 Power Defined and Explored "Power is the intentional influence over the beliefs. The French word µpouvoir¶ stands for both the noun µpower¶ and the verb µto be able. In this unit. That criticism was essentially correct for many years although it is less valid today. Potential power is the capacity to do so. Objectives: After this studying this unit. 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.´ Organization development has been criticized for not taking into account power in organizations. emotions. must be understood if one is to be effective in organizations." . 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. The OD practitioner needs both knowledge and skill in the arenas of organizational power and politics. indisputable facts of organizational life. and behaviours of people. you will be able to: · Define power and politics in organizations. · Explain theories about the sources of power." ³Power is the ability of those who possess power to bring about the outcomes they desire.actions and the decisions that precede them.8.´ ³A has power over B to the extent that he can get B to do something that B would otherwise not do.11 Answers to SAQs and TQs 8. One person exerts power over another to the degree that he is able to exact compliance as desired. power must be exercised." "Power is defined in this unit simply as the capacity to effect (or affect) organizational outcomes.¶ To have power is to be able to get desired things done.1 Introduction Power and politics. As Warner Burke observes: "Organization development signifies change. but kinetic power is the act of doing so. 8. · Acquire skills to handle power and politics in organizations. to effect outcomes. · Explain the role of power and politics in the practice of OD.
spiritual. This positive face of power enables others to reach their goals as well as lets the person exercising power reach his or her goals. We therefore define interpersonal power as the ability to get one¶s way in a social situation. Power per se is probably neither good nor bad although Lord Acton observed that "power tends to corrupt. power being the predominant mode. The positive face of power is characterized by a socialized need to initiate. The phenomenon of power is ubiquitous.Analyzing these definitions shows some common elements: effectance-getting one¶s way. the negative face of power is characterized by a primitive. Without influence (power) people would have no cooperation and no society. influencing." Her research in four organizations showed both kinds of power. it is through the use of power that things get done in the world. or positive.3 Two Faces of Power David McClelland proposed an important distinction when he identified "two faces of power" ± positive and negative. humankind would not have much of the misery it does today. and outcomes favoring one party over the other. unsocialized need to dominate others. persuading-these are examples of positive uses of power. and lead. political. being exercised. Without leadership (power) in medical. we will examine four different views about who gets power and how: · Emerson¶s "Power-Dependence theory. selling. for organizations to function. confiscation. It is especially salient in coordinated activities such as those found in organizations. In most organizations the positive face of power is much more prevalent than the negative face of power. According to him. or acquired? In this unit. How do some people come to possess power? How is power generated. 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." ." A moment¶s reflection. the positive face of power seeks to empower self and others. an authority or power dimension is required. Crushing. and organizational activities. the act or ability of influencing others.4 Theories about the Sources of Social Power Power exists in virtually all social situations. Leading. Roberts came to a similar conclusion in her study of "collective power" and "competitive power. The negative face of power seeks to dominate and control others. influence. and repression. bestowed. suggests that many problems with power stem from the goals of persons with power and the means they use. however. Without leadership (power) directed toward warfare. In fact. absolute power corrupts absolutely. hurting. technological. the necessity of social interaction between two or more parties. humankind would not have the standard of living it does today. McClelland observed that while power has a negative connotation for most people. not the possession of power as such. financial. We think this distinction provides a good insight into the concept of power. coercing-these are examples of negative uses of power. Power-in-action may take many forms. with collective. 8. forcing. both positive and negative. 8.
Expert power ± power based on the powerholder possessing expert knowledge or expertise needed by the other. 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. that person has power over us. 5. hate. Reward power ± power based on the ability of the powerholder to reward another.· French and Raven¶s "Bases of Social Power. 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. 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. power. blame. Social interaction represents an exchange of social goods and services. 3. The components of this theory are a social relation between two parties and resources (commodities. Informational power is a form of expert power where the powerholder possesses important facts or information needed by the other. or bases. Closely related to these ideas is the classic statement by John R. to give something negatively valued by the other. French and Bertram Raven on "the bases of social power. When the net balance for us is positive. information. Viewed in this light. The sociologist. we will terminate or alter the relationship. Referent power ± power based on the power-receiver having an identification with (attraction to. Power-dependence theory states that power is inherent in any social relationship in which one person is dependent on another. when the net balance for us is negative. rejection. and so forth. of social power as follows: 1. we will continue the exchange relationship. or feeling of oneness with) the power holder. P. influence. 2. that is. and desired by the other. that is." These authors suggested five sources. 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. which posits that what goes on between persons is an exchange of social commodities: love. respect." In other words." · Salancik and Pfeffer¶s "Strategic-Contingency Model of Power. to give something valued by the other." · Mintzberg¶s Observations on the Genesis of Power in Organizations. praise. goals. and (2) inversely proportional to the availability of those goals to A outside of the A-B relation. . attraction. giving someone power over us is the commodity we exchange when we are dependent on that person for something we want. 4. if a person has something we want badly and we cannot get it any other place. rewards) that are controlled by one party.
In this theory, power belongs to those persons who control or mediate desired commodities. Exchange theory and power-dependence theory are quite compatible with the ideas proposed by French and Raven. The strategic-contingency model of power asserts that power in organizations accrues to the subunits (individuals, units, or departments) most important for solving the organization¶s most critical problems. These critical problems are generally "uncertainties" posed by the environment. This theory, like the ones discussed previously, supports the notion that those who have something highly valued by- others-in this case, the special expertise needed for the organization¶s survival-have power. Salancik and Pfeffer further suggest how power is used: "Power is used by subunits, indeed, used by all who have it, to enhance their own survival through control of scarce critical resources, through the placement of allies in key positions, and through the definition of organizational problems and policies." These authors view organizational power as a good thing, for power in the hands of the critical problem solvers helps the organization cope with the various realities it faces. Henry Mintzberg has developed a theory of organizational power drawn from the organization theory literature and his own creative synthesis abilities. This theory, "is built on the premise that organizational behavior is a power game in which various players, called influencers, seek to control the organization¶s decisions and actions." The three basic conditions for the exercise of power are 1) Some source or basis of power, coupled with 2) The expenditure of energy in a 3) Politically skillful way. According to Mintzberg, the five possible bases of power are, first, control of a resource; second, control of a technical skill; and, third, control of a body of knowledge. All of these must be critical to the organization. The fourth basis is legal prerogatives-being given exclusive rights to impose choices. A fifth basis of power is access to those who have power based on the first four bases. In addition to a base of power, the influencer must have both the "will" and the "skill" to use it. An organization has many potential influencers, such as the board of directors, the managers, the top executives, the employees, the unions, suppliers, customers, regulators, and so forth. The important aspects of Mintzberg¶s theory are that the sources of power derive from possession of a commodity desired by others, that power-in-action requires will and skill, and that the organization is the context for the exercise of power. In summary, these four views of the sources of power are remarkably similar ± power stems from possession of or mediation of desired resources. The resources may be ability to reward and
punish, being in control of critical skills, knowledge, or information, the ability to solve critical problems or exigencies-anything that creates dependence of one actor or set of actors on another. 8.5 Organizational Politics Defined and Explored Harold Lasswell defined ³politics simply as the study of who gets what, when, and how´. ³Organizational politics involve those activities taken within organizations to acquire, develop and use power and other resources to obtain one¶s preferred outcomes in a situation in which there is uncertainty about choices´. ³Organizational politics involve intentional acts of influence to enhance or protect the selfinterest of individuals or groups´. ³Organizational politics is the management of influence to obtain ends not sanctioned by the organization or to obtain ends through non-sanctioned influence means´. Thus, we view politics as a subset of power, treating it as informal power, illegitimate in nature. Likewise we also treat authority as a subset of power, but in this sense, formal power, the power vested in office, the capacity to get things done by virtue of the position held. Analyzing these definitions suggests that the concepts of power and politics are similar. Both relate to getting one¶s way-effectance. Both relate to pursuit of self-interest and overcoming the resistance of others. For our purposes, organizational politics is power-in-action in organizations; it is engaging in activities to get one¶s way. One important feature in these definitions should be examined further. The first three definitions treat politics as a neutral set of activities; the last two definitions view politics as illegitimate or unsanctioned activities. We are inclined to consider politics as neither good nor bad per se but believe that politics, like power, has two faces. The negative face of politics is characterized by extreme pursuit of self-interest; unsocialized needs to dominate others; a tendency to view situations in win-lose terms-what I win, you must lose-rather than win-win terms; and predominant use of the tactics of fighting-secrecy, surprise, holding hidden agendas, withholding information, deceiving. The positive face is characterized by a balanced pursuit of self-interest and the interests of others; viewing situations in win-win terms as much as possible; engaging in open problem solving followed by action and influencing; a relative absence of the tactics of fighting; and a socialized need to lead, initiate, and influence others. Organizational politics tend to be associated with decision-making, resource allocation, and conflict resolution processes. These key areas are the battlefields where actors win and lose; they are where the "goods" are distributed and the goals decided. In fact, one gains a quick understanding of the overall "political climate" of an organization by studying its methods of resource allocation, conflict resolution, and choosing among alternative means and goals.
8.6 The Role of Power and Politics in the Practice OD We have discussed a number of ideas concerning power and politics. 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. Virtually, all OD interventions promote problem-solving, not politics, as a preferred way to get things accomplished. OD interventions increase problem-solving, collaboration, co-operation, fact-finding, and effective pursuit of goals while decreasing reliance on the negative faces of power and politics. We know of no OD interventions designed to increase coercion or unilateral power. For example, OD interventions typically generate valid, public data about the organization¶s culture, processes, strengths, and weaknesses. Valid, public data are indispensable-for problem solving but anathema for organizational politics. OD interventions do not deny or attempt to abolish the reality of power in organizations; rather, they enhance the positive face of power, thereby making the negative face of power less prevalent and/or necessary. Not only is organization development not a power/political intervention strategy, it is instead a rational problem-solving approach that is incompatible with extreme power-oriented situations. OD values are consistent with the positive face of power, but not with the negative face of power. Values such as trust, openness, collaboration, individual dignity, and promoting individual and organizational competence are part of the foundation of organization development. These values are congruent with rational problem solving and incongruent with extremely political modes of operating. "Power equalization" has long been described as one of the values of organization development. 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; second, power equalization, being one aspect of the positive face of power, increases the amount of power available to organization members, and by so doing adds power to the organization. The role of the OD practitioner is that of a facilitator, catalyst, problem solver, and educator. The practitioner is not a political activist or power broker. According to Chris Argyris, the "interventionist" has three primary tasks: (1) to generate valid useful information, (2) to promote free, informed choice, and (3) to promote the client¶s internal commitment to the choices made. The practitioner works to strengthen skills and knowledge in the organization. But organization members are free to accept or reject the practitioner, his or her program, and his or her values, methods, and expertise. The OD consultant, like all consultants, provides a service that the organization is free to "buy" or "not buy." 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, as we discussed earlier. Cobb and Margulies caution that OD practitioners can get into trouble if they move from a facilitator role to a political role. In summary, organization development represents an approach and method to enable organization members to go beyond the negative face of power and politics. This major strength of OD derives from the strategy of change, the technology, the values, and the roles of OD practitioners.
" 4. 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. and expertise. Resource management: Power accrues to those who control resources-in this case. Paying attention to these sources of power will enhance the likelihood of success of OD programs. 6. OD practitioners are likely to have high interpersonal competence by virtue of their training.7 Operating in a Political Environment We will present some general observations on operating in a political environment. and ability to gain organizational support. communicating. it will be strong externally. followed by some rules of thumb for the OD practitioner. coaching. Sponsorship: "Organization development groups will gain power to the extent that they have sponsorship. Stature and credibility: Beer notes that power accrues to those who have been successful and effective. and possibly referent power (others may identify with and be attracted to the consultant). the resources of OD expertise and ability to help organizational subunits solve their pressing problems. Skills such as listening. organization development practitioners operate from a potentially strong power base they can use to advantage. 3. Rule One: Become a desired commodity. . 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.8. According to the framework of French and Raven. Group support: If the OD group is strong internally. in powerful places. Michael Beer has identified additional means by which an OD group can gain and wield power in organizations: 1. the OD consultant possesses power from the following bases: legitimate power (the OD program and consultant are authorized by the organization¶s decision makers). informational power (the consultant has a wealth of information about the strengths and weaknesses of the organization). 5. experience."34 This maxim has been recognized for years under the heading of "get top-level support for the program. problem solving. Success leads to credibility and stature. If the OD group is cohesive and free of internal dissention. acceptability. These sources of influence produce a substantial power base that will enhance the likelihood of success. Early success in the OD program and its usefulness to key managers of the organization helps promote this reputation. expert power (the consultant possesses expert knowledge). both as a person and as a professional. preferably multiple sponsorship. Becoming a desired commodity as a person means being interpersonally competent and trustworthy. it will gain more power. Competence: Demonstrated competence is the most important source of power. First. 2.
Good OD practitioners will have learned and practiced these skills. Many OD interventions promote win-win solutions for conflict situations.counseling. Abiding by this rule keeps the consultant from becoming entangled in politics. constructive social relationships. while at the same time increasing his or her usefulness to the organization¶s powerholders. Sometimes OD practitioners overlook that they are hired by others. to help them achieve their goals and solve their problems. Organizations are social systems in which members have both a history and a future of interacting. Another way the OD program becomes a desired commodity is by focusing on important issues. 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. the manager will vigorously defend it. Rule Three: Make the OD program a valued commodity for multiple powerful people in the organization. Rule Four: Create win-win solutions. it gains an aura of respect and protection that sets it above most political entanglements. OD programs should be results-oriented. The preceding rules of thumb describe ways to increase or solidify one¶s power base. not by getting involved in the answers. usually managers. 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. The principle is simple but powerful: know your legitimate business and stick to it. which is to help someone else solve his or her major problems. OD consultants have a formal or informal contractual agreement with managers to help them do what they are trying to do-better. and showing appreciation for the strengths of others are components of interpersonal competence. and effective conflict management techniques are required to enhance stable. OD programs become desired commodities when they are instruments that allow individuals and organizations to reach their goals. A valuable byproduct of this fact is that if the program runs into political turbulence. those issues vital to the organization¶s success. . Rule Five: Mind your own business. OD professionals who are skilled in conflict management techniques and OD programs that encompass conflict resolution activities become valued commodities. The nature of organizations and the nature of organization development suggest this rule. Beer and Walton argue that organization development should move from being practitioner centered to being managercentered. Rule Two: Make the OD program itself a desired commodity. not content. The OD program belongs to the manager. 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. Rule Six: Mind your own business. which is to be an expert on process. Each is derived from one general principle: Mind your own business. The role of the OD consultant is to help others upon request. not the OD consultant.
and the characteristics and behaviors of powerholders." "using social networks. The authors propose adding the "using social networks" strategy to their repertoires. Illegitimate behavior causes others to try to exert greater control over the situation. We believe the legitimate role of the OD practitioner is that of facilitator. and personality characteristics. As shown in the figure. individual power derives from knowledge. Three successful power strategies are "playing it straight. One carries out such a strategy by participating in alliances and coalitions. but that does not mean practitioners must be naive or incompetent in the political arena. negotiations the nature of power and politics. We could propose more rules of thumb. viable. but these give the flavor of the issues one must consider when operating in a political environment.8 Acquiring and Using Power Skills The OD practitioner is neither power activist nor power broker. Earlier we stated that the OD practitioner should learn as much as possible about bargaining. dealing directly with powerholders and decision makers. thereby greatly expanding practitioner influence. the strategy and tactics of influence. 8. problem solver." and "going around the formal system.1: Power Base and Power Strategy Connection Individual Power Bases Knowledge · Expertise · Information · Tradition Others¶ Support y y Strategies for Success Playing It Straight · Use data to convince · Focus on target group · Be persistent Using Social Networks · Alliances and coalitions · Deal with decision maker · Contacts for information Political access Staff support . and using contacts for information. A subtle phenomenon is involved here: when people engage in illegitimate behavior. Networking is recognized as a potent. Illegitimate behavior encroaches on others¶ legitimate "turf. Table 8. catalyst. and educator." OD practitioners have typically pursued a "playing it straight" strategy as their sole means of exerting power. Attention to these rules can save OD practitioners time and energy that can be more profitably invested in the OD program. others¶ support. such behavior is often interpreted as politically motivated. yet legitimate means of acquiring power.Rule Seven: Mind your own business because to do otherwise is to invite political trouble." which arouses defensive actions. not power activist or power broker.
(Legitimacy refers to abiding by and promoting the values of the organization. personal attraction. then utilize a facilitative OD process in which the powerholders work on strategic business issues using consensus decision making to develop a corporate strategy. a person¶s power comes from two main sources. and legitimacy.) Position power derives from five sources: Centrality-access to information in a communication network. no one has the necessary information and resources to accomplish what¶s expected of them. In this model. influence key powerholders to accept the OD program. Personal power. ³One of the most important ways of gaining power in an organization is by establishing a broad network of task and interpersonal relationships. even those of little power. personal power and position power. Whetton and Cameron¶s model is shown in following figure. The power structure will realize that collaborative power is preferable to manipulation and deception. 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. how-to book on power and organization development is well worth studying. arises from expertise. 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.Personality y y y Going Around Formal System · Work around roadblocks · (Don¶t) use organization rules Charisma Reputation Professional credibility Finally. Networks are critical to effective performance for one compelling reason: Except for routine jobs. . which in turn will protect the interests of all concerned. effort. visibility-how much one¶s work is seen by influential people. 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´. This practical. criticality-how important one¶s job is flexibility-the amount of discretion in the job. and relevance-how important one¶s task is in relation to organizational priorities. Indeed. in turn.
power-in-use is called influence. "Power is converted into influence when the target individual consents to behave according to the desires of the power holder. we have examined power and politics with the goals of understanding the phenomena and deriving implications for OD practitioners. Concluding Comments: In this unit. reciprocity. arise from known conditions. and retribution. Retribution refers to coercion and threats. and are amenable to positive control. Methods for empowering others are the following: (1) involve subordinates in assigning work. Having power is one thing. 8. (4) express confidence (5) foster initiative and responsibility. Reason refers to persuasion by facts. Reciprocity refers to exchange of favors. Whetton and Cameron suggest several means of resisting others¶ influence attempts such as confrontation and using countervailing power. and reciprocity can be useful when reason fails. collaborative work environment." Three things are involved in converting power into influence: (1) resisting other people¶s inappropriate influence attempts. According to these authors. and (6) build on success. Three influence strategies can be used to influence others-reason. (3) reward and encourage others in visible and personal ways. Power and politics are similar in nature. and (3) empowering others. actually using it to get things done is another. Retribution is not recommended except in unusual cases." And. (2) provide a positive.Fig. Our suggestions for . (2) selecting the proper influence strategy.1: Model of Power and Influence Networking is used to increase both personal power and position power. They write: "Influence entails actually securing the consent of others to work with you in accomplishing an objective. Usually reason is the preferred strategy.
Power 2. emotions or behaviour of people. Power and politics are similar in nature. Organizational power is the ability of those who possess power to bring about the outcomes they desire. 4. 2.10 Terminal Questions 1. _____________ has identified two faces of power. Define power in an organizational context and explain types of power.11 Answers to SAQs and TQs SAQs: 1. Power-dependence theory states that power is inherent in any social relationship in which one person is dependent on another. ±±±±±± is the intentional influence over the beliefs. and are amenable to positive control. Organizational politics involve intentional acts of influence to enhance or protect the self-interest of individuals or groups.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. and how. 2. ±±±±±±±±±± is made up of Charisma. Strategic-contingency model of power asserts that power that accrues to the individuals. reputation and professional credibility. ±±±±±±±± defined politics as the study of who gets what. Harold Lasswell . when and how. Define organization politics. when. 8. 8. Self Assessment Questions 1. The OD practitioner needs both knowledge and skill in the arenas of organizational power and politics.. arise from known conditions. 3. Identify the bases of individual power and the respective strategies for their success. McClelland 3. Referent power 4. 5. 4.9 Summary Power and politics are inseparable facts of organizational life. Organizational politics is defined as the study of who gets what. 5. Explain the role of power and politics in the practice of OD. 3. 8. Describe briefly various theories of power. Power based on the power-receiver having identification with the power holder is called ±±±± ±±±±±±±. Power can be either positive or negative. units or departments is most important in solving organizational problems.
Refer section 8.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: 9.5 4.4 3.5 Quality Circles 9.2 2.1 Introduction Objectives 9.2 Meaning and Definitions 9.5. Refer section 8.6 Quality of Work Life Projects .8 Copyright © 2009 SMU Powered by Sikkim Manipal University .6 5. Refer section 8. Personality Answers to TQs: 1.4 Management By Objectives 9.3 Socio Technical Systems 9.
1 Introduction Organizations are increasingly realizing the fact that change is the price of the survival. An organization development intervention is a sequence of activities.12 Answers to SAQs and TQs 9. These programs are derived from careful diagnosis.9. events intended to help an organization improve its performance and effectiveness.11 Terminal Questions 9. 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. · Explain Reengineering. · Discuss the parallel Learning Structures. · Discuss the Management By Objectives · Explain the Quality Circles. In this dynamic and fluid environment. actions. you will be able to: · Explain the Socio technical change. 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.7 Parallel Learning Structures 9. · Explain Total Quality Management.8 Total Quality Management 9. Objectives: After studying this unit. 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. . organizational problems may repeat.10 Summary 9. These interventions vary from standardized program that have been developed and sometimes tailored program. how to produce product or service which is related to Employee involvement approaches and how to design work is related to Work design.
1976. 1988): Determining the environmental demands Creating a vision statement Educating organizational members . In addition. their attractiveness is also increased by the following advantages: 1. Basic reinforcement theories. Succession Doesn¶t Destroy Change Effort. Structure changes are normally ³institutionalized´ and less subject to this problem.2 Meaning and Definitions Structural Intervention is related to the changes that relate elements of organization to one another. Greater Predictability. The cost of structural change is generally ³front-end´ loaded. From a benefit cost analysis. organization theory. Managers and administrators are notoriously pragmatic. It endeavors to re-design the organization¶s structure. includes removing or adding layers to hierarchy. Structural changes are consistent with their operating styles and are generally understood by practitioners. Cummings. 3. Organization Acceptance of Change. It could involve the following steps (Foster. Pasmore. Once diagnosed and an appropriate correction developed. and OD practice enables the change agent to estimate the probable consequences of the change. 5. and more critically. change can be introduced relatively rapidly by top management. Downsizing associated with restructuring. 2. meaning the major costs are associated with analysis and design of change. This normally is a reasonable. processes and functions to create a balance between the organization and its changing external environment.9. 4. Advantages of Structural Interventions There are a number of reasons why a consultant should consider employing a structural intervention.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. Cost is Low. a predictable cost Implementation of group strategies involves significant long-term man-hour and consultant costs. Weeks and months of group effort are saved. Rapidity of change. 1967. structural Interventions compare quite favorably with all other alternatives. 9. One problem with behavioral/ group interventions is the tendency for new managers or employees to discount or fail to continue the change program. Changes can involve decentralization and centralization.
many business and nonbusiness organizations have adopted this in some form or the other. its features can be identified as follows: 1. It is a particular way of thinking about management. consciously directed towards the effective and efficient achievement of organizational objectives. MBO is an approach and philosophy to management and not merely a technique. and human resources of the organization by integrating the individual with organization and organization with the environment. Its basic idea has been derived from the concept of participative goal setting as a technique of OD. therefore. with objective orientation as its essence. Though there are some variations in the practices of MBO and. physical. though not strictly an OD intervention in the sense in which other interventions have been discussed so far. Certain degree of overlapping is there. MBO employs several techniques but it is not merely the sum total of all these techniques. As an approach to management. 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 9.4 Management by Objectives Management by objectives (MBO). MBO is bound to have some relationship with every management technique. In fact. it has been defined as follows: MBO is a comprehensive managerial system that integrates many key managerial activities in a systematic manner.´ The integration of individual and organizational objectives through MBO has been emphasized by Chakravarty when he has defined MBO as follows: ³MBO is a result-centered. is a technique and system which helps in improving organizational performance. A management technique can be applied in selected parts of the organization and will have limited implications for its other parts. The term MBO was coined by Drucker in 1964 when he emphasized the concept of managing by results. Since then. often MBO provides the stimulus for the introduction of new techniques of . non-specialist. On the other hand. its definitional aspect. MBO is likely to affect every management practice in the organization.´ Based on the definition of MBO. 2. operational managerial process for the effective utilization of material.
MBO is also concerned with determining what these results and resources should be. This is possible because MBO tries to match objectives and resources. and participation of the managers with accountability for results. Therefore. The review is future-oriented because it provides basis for planning and corrective actions. The basic emphasis of MBO is on objectives. Resource allocation. Setting of Organizational Purpose and Objectives: The first step in MBO is the definition of organizational purpose and objectives. reward and punishment system is attached with the achievement of the objectives. delegation of authority.management and enhances the relevance and utility of the existing ones. 1. 6. The MBO process is not as simple as it appears to be. Process of MBO MBO is a system for achieving organizational objectives. in interaction with external factors. Usually the objective setting starts at the top level of the organization and moves downward to the lowest managerial levels. including the corporate level. Managers need training and experience for developing the required skills. Questions. 4. its process should facilitate translation of basic concepts into management practice. (ii) long-range . The MBO is characterized by the participation of concerned managers in objective setting and performance reviews. This. The MBO process is characterized by the emphasis on the rigorous analysis. the clarity and balance of objectives. This process clarifies the role very sharply in terms of what one is expected to achieve. 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. Similarly. managers have the opportunities for clarifying their job relationships with peers. What business are we in?´ and what should be our business?´ provide guidelines for the statement of purpose. normally once a year. all the units or departments and individual manager. MBO is the joint application of a number of principles and techniques. This will go in a sequence like this (i) defining the purpose of the organization. enhancement of employee commitment and participation. Therefore. 3. The total management process revolves round the objectives set jointly by the superior and the subordinate. superiors and subordinates. The performance review is held regularly. Objectives are established for all the levels of the organization. 5. each manager takes active part in setting objectives for himself and also in evaluating his performance as to how he is performing. Whereas the various techniques of management help in measurement of results in resources. are determined on the basis of objectives. Therefore. Periodic review of performance is an important feature of MBO.. Objectives in MBO provide guidelines for appropriate system and procedures. ³why does the organization exist?´. It emphasises initiative and active role by the manger who is responsible for achieving objectives. Objectives provide the means for integrating the organization with its environment. It works as an integrating device. such as. its subsystems and people. (iii) what should be the degree of vertical integration and so on. etc.
If not. By relating these to objectives. However. It may be emphasized that KRAs are derived from the expectations of various stakeholders and indicate the priorities for organizational performance. a superior manger is better able to see the need and economy of allocating resources. (v) worker performance. Sometimes. 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. (iii) innovation. Matching Resources with Objectives: When objectives are set carefully. Even though KRAs are most durable. this gap narrows because of narrowing down of perception of superior and subordinate about what can be done at a particular level. The process of objective setting begins with superior¶s proposed recommendations for his subordinate¶s objectives. the list of KRAs gets considerably changed over the period in response to new needs and opportunities. the final objectives for the subordinate are set by the mutual negotiation between superior and subordinate. (iv) divisional/departmental/sectional objectives. 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. The allocation and movement of resources should be done in consultation with the subordinate manager. Appraisal: Appraisal aspect of MBO tries to measure whether the subordinate is achieving his objective or not. . (vii) manager performance. 2. By relating these to objectives. 4. the achievement in a particular KRA also provides the impetus for a new KRA in future. Setting Subordinates¶ Objectives: The organizational objectives are achieved through individuals. the subordinate states his own objectives as perceived by him. with the experience gained over the period of time. Every manager in the managerial hierarchy is both superior and subordinate except the person at the top level and lowest level. Therefore. It is not taken merely to punish the non-performer or to reward the performer. resource availability becomes an important aspect of objective setting because it is the proper application of resources which ensures objective achievement. Thereafter. KRAs also indicate the present state of an organization¶s health and the top management perspective for the future. (ii) market standing. Therefore. they also indicate the resource requirement. there should be matching between objectives and resources. In fact. 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. Therefore. (v) individual manager¶s objectives. and (viii) public responsibility. (iv) productivity. (iii) short-term organizational objectives. Key Result Areas: Organizational objective and planning premises together provide the basis for the identification of key result areas (KRAs). In turn. In the beginning of MBO process in an organization. there is a series of superior and subordinate relationships. Examples of KRAs applicable to most of the business organizations are (i) profitability. each individual manager must know in advance what he is expected to achieve. 3. (vi) financial and physical resources.and strategic objectives. 5. a superior manager is better able to set the need and economy of allocating resources.
hierarchical structure. what happens at each level may affect other levels also.Quality circle represents a participative approach to employee involvement in problem solving and productivity improvement. · Make recommendations for improvement. require joint participation by union and management in the process of work-designing. 9. Therefore.5 Quality Circles Quality circle is one of the most popular methods in the USA which was originally developed in Japan in 1950s. Objective setting is a joint process through interaction between superior and subordinate.6. in general. The most distinguishing feature of QWL program is the development of self-managing work groups which consist of multi-skilled workers. 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.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. 9. . and rewards. appropriate feedback and employee discretion. It Consists of a steering committee and a number of working groups that: · Study what changes are needed in the organization. Quality circle program consists of several circles. Groups representing various levels and functions work to open new channels of communication outside of and parallel to the normal. but in its contemporary form. Knowledge Management involves capturing the organization¶s collective expertise wherever it resides (in databases. it is used as an input for recycling objectives and other actions. on paper. and · Then monitor the resulting change efforts. Quality circle requires a managerial philosophy and culture that promotes sharing power. or in people¶s heads) and distributing it to the people who need it in a timely and efficient way. knowledge. Recycling: Though appraisal is the last aspect of MBO process. Objectives are neither set at the top and communicated to the bottom nor are they set at the bottom and go up. The original idea of quality circles involved small groups of volunteers meeting on a regular basis. QWL programs. Some organizations have even gone as far as setting targets for the number of suggestions quality groups are expected to come up with.6 Quality of Work Life Based on the research of Eric Trist et al. this approach looked both at technical and human sides of organizations and how they are interrelated. 9. which consequently result into high level of task variety. information. quality groups are often compulsory and organized around specific work teams. Parallel Learning Structures may be a form of Knowledge Management. each having three to fifteen members. It consists of small group of employees who meet voluntarily to identify and solve productivity problems. at the Tavistcock Institute of Human Relations in London.
· Top management support on an ongoing basis. ties reward to performance and increase workers knowledge and skills through extensive training. quality.9 Reengineering It is the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical. · Participative management. contemporary measures of performance. · Competitive benchmarking. provides relevant information to all employees. Features that characterize TQM: · Primary emphasis on customers. 9. statistical process control. It is very popular in USA in 1990s. statistical quality control. Reengineering is a top-down process. Reengineering focuses on visualizing and streamlining any or all business processes in the organization.9. Self Assessment Questions . eliminating. A combination of a number of organization improvement techniques and approaches.TQM pushes decision making power downwards in the organization.8 Total Quality Management It is a long term effort that orients all of an organization¶s activities around the concept of quality. · A major emphasis on continuous learning. including the use of quality circles. and speed. It is also called continuous quality improvement. · An emphasis on teams and teamwork. and extensive use of employee participation. · An emphasis on measurement using both statistical quality control and statistical process control techniques. · Daily operational use of the concept of internal customers. such as cost. service. assumes neither an upward flow of involvement nor that consensus decision making. · Continuous search for sources of defects with a goal of eliminating them entirely. or restructuring activities without regard to present hierarchical or control procedures. It seeks to make such processes more efficient by combining. self-managed teams and task forces.
It is also called continuous quality improvement. Intervention 2. The term MBO was coined by _________ in 1964. Quality circle Answers to TQs: .11 Terminal Questions 1. ties reward to performance and increase workers knowledge and skills through extensive training. consciously directed towards the effective and efficient achievement of organizational objectives. Drucker 3. From a benefit cost analysis. Quality circle represents a participative approach to employee involvement in problem solving and productivity improvement. 3.10 Summary An organization development intervention is a sequence of activities. events intended to help an organization improve its performance and effectiveness. Sociotechnical systems design is better suited to meet the requirements of a changing external environment in comparison with traditional designs. An organization development __________ is a sequence of activities. actions. It consists of small group of employees who meet voluntarily to identify and solve productivity problems. 9. TQM pushes decision making power downwards in the organization. provides relevant information to all employees. There are a number of reasons why a consultant should consider employing a structural intervention. What are the advantages of structural interventions? 3. MBO is a comprehensive managerial system that integrates many key managerial activities in a systematic manner. 9. structural Interventions compare quite favorably with all other alternatives. 2. Explain Management By Objectives? 4. Write a short note on Total Quality Management.12 Answers to SAQs and TQS SAQs: 1. 9. actions. Discuss Socio Technical Systems? 2. __________ represents a participative approach to employee involvement in problem solving and productivity improvement.1. events intended to help an organization improve its performance and effectiveness.
5 Impact of Change on the Future Manager 10.4 Causes for Resistance to Change. MU0002-Unit-10-Managing Change in Organization Development Unit-10-Managing Change in Organization Development Structure: 10. Self Assessment Questions 10. Refer section 9.5 4.6 Methods of Reducing Resistance to Change. Refer section 9.Refer section 9.1.3 Resistance to Change 10.7 Summary 10.2 Nature of Change 10.8 Terminal Questions 10.8 Copyright © 2009 SMU Powered by Sikkim Manipal University . 10.9 Answers to SAQs and TQs .3 2.2 3. Refer section 9.1 Introduction Objectives 10.
or social. Objectives: After studying this unit. structural arrangement. may require special change efforts. some parts of organization may be affected more. The type of new equilibrium depends on the degree of change and its impact on the organization. and initiate new change so as to overtake the competitors one the one hand and delight the customers on the other. Nothing is permanent except change because change is permanently changing. Organizational change is a continuous process. · State the methods of reducing resistance to change.whether physical. Any change may effect the whole organization.2 Nature of Change The term µchange¶ refers to an alteration in a system. However. Thus. cope with the ongoing changes successfully in the first instance. In this dynamic and fluid environment. the mangers and other employees must be able to practically anticipate the changes (planned and unprecedented). 10. some changes which are of minor type may be absorbed by the existing equilibrium. When change occurs in any part of the organization. others. and others. 3. organizational change may have the following features: 1. and others. Newstrom and Davis have explained the impact of a change in any part of the organization on the total organization.1 Introduction Organizations are increasingly realizing the fact that change is the price of the survival. you will be able to: · Explain the meaning of organization change. 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. organizational problems may repeat. · Impact of change on future managers. indirectly. They have illustrated it by comparing an organization to an air-filled . some parts may be affected directly. which are major ones. Hence. it disturbs the old equilibrium necessitating the development of a new equilibrium.10. It implies a new equilibrium between different components of the organization ± technology. 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. less. 2. job design and people. Thus. biological.
it becomes indented at the point of contact. Thus. We saw resistance to change at the existing plant. the change in organization does not occur purely on mechanical relationship. let us discuss whether resistance is always bad as it is generally perceived to be. because it produces identical symptoms. When a finger (which represents external force) is forced against a point on the balloon (which represents the organization). fear of change can be as significantly disrupting as change itself. In fact. Homeostasis implies selfcorrecting characteristics of organism to maintain equilibrium as a result of change. Many companies have been forced to do so in the past. 10. We shall take new workers at the new place. Managing Director of Bajaj Auto. employees want to maintain a status quo. In fact.as cost and as benefit.´ Resistance as Benefit: . Madhur Bajaj. Before we trace out the reasons for résistance to change. or they have been forced to adopt alternative strategies. However. people act to establish a steady state of need fulfillment and to secure themselves from disturbance of that balance. social systems tend to resist change because of homeostasis. One example of Bajaj Auto Limited is relevant here. Similarly. In fact. we find that the shape of the entire balloon has changed. However.balloon. the organizational may not be able to introduce new phenomena in order to adapt environmental requirement. but when a change is major or unusual. We wanted a new culture and new layout. In order to increase its manufacturing capacity of two-wheelers. so is the resistance to change. many organizations have been forced to abandon change programmes because of resistance to such programmes. Though this phenomenon will be taken later. and its basic survival may be jeopardized. that is. While managers as change agents want to bring changes in the organization. it has stretched slightly. 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. 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. adjustment is fairly routine. ³The Pune plant is fully saturated.3 Resistance to Change In the management of change effectively. the managers face the problem of resistance to change. If people resist to change. When change is minor and within the scope of correcting programme. if we look minutely. This leads to general proposition that people and their social systems will often resist change in organizations. People tend to resist many types of changes because new habits or sacrifices are required. there are two sides of resistance. they have concluded that the whole organization tends to be affected by change in any part of it. commented. like shifting of the manufacturing plants at new locations. Resistance as Cost: Since all changes have some cost. more serious upsets may occur. the contour of the balloon visibly changes. On this phenomenon.
On the one hand, resistance to change is costly affair, and on the other, 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. While on negative side, the reality lies in between. Resistance to change forces management to find out this reality which helps in managing change more effectively. Thus, resistance to change provides help in managing change in two ways: 1. 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. 2. It also highlights real inadequacies in the proposed change and suggests better ways for developing and introducing changes. Factors in Resistance to Change People tend to evaluate the effect of change individually but they express it through group in collective form. Therefore, 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. Degree of force in resistance depends on how people feel about change. These feeling may be based either on reality or there may be emotional feeling towards the change. These feelings, either real or emotional, may be seen in the context of three types of factors: economic, psychological and social. Economic Factors People feel attached to the organization for satisfying their needs and economic needsphysiological, job security etc. precede over other needs. People may perceive that they will be adversely affected by the change in terms of their needs satisfaction in the following ways: 1. Skill Obsolescence: A change is generally meant for better methods of working which may involve new techniques, technology, etc., whenever people sense that new machinery (change) poses a threat of replacing or degrading them, they simply resist such a change. When computer was introduced in the business sector in India, it attracted a lot of resistance because of this reason. 2. Fear of Economic Loss: A change may create fear of economic loss in the sense that it may affect economic compensation adversely, reduce job options, and turn into technological unemployment. This feeling is created because people feel that those who can match the new requirements will be better off than those who cannot match.
3. Reduced Opportunities for Incentives: Employees are generally offered incentives linked to their output in the form of incentive schemes, bonus, etc. All these are well-established in the old system. Whenever there is change, people may feel that in the new system, they will have lower opportunity to earn incentives and bonus as the new system requires additional skills. Psychological Factors Psychological factors are based on people¶s emotions, sentiments and attitudes towards change. These are qualitative and, therefore, may be logical from people¶s point of view but may be illogical from the change agent¶s point of view. Major psychological factors responsible for resistance are: ego defensiveness, status quo, lack of trust in change agent, low tolerance for change, and fear of unknown. 1. Ego Defensiveness: A change may affect the ego of the people affected by the change and in order to defend their ego, people resist change. A change in itself suggests that everything is not right at a particular level. Thus, the change may be perceived as an instrument for exposing the weakness of the people. 2. Status Quo: People want status quo. i.e. they do not want any disturbance in their existing equilibrium of life and work pattern. The change initiated by the organization disturbs such equilibrium and people have to obtain another equilibrium which is a painful exercise. Therefore, everyone tries to avoid it. 3. Low Tolerance for Change: In the context of maintaining status quo, people may differ. Some people have very low level of tolerance for change and ambiguity as compared to others. Therefore, these people resist any new idea. 4. Lack of Trust in Change Agent: The effect of change is perceived in the context of change agent, that is, the person who initiates change. If people have low degree of confidence in the change agent, they show resistance to change efforts. 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. 5. Fear of Unknown: A change may be perceived as entering into unchartered area which is unknown. The change will bring results in future, which is always uncertain. This lack of certainty creates anxiety and stress in the minds of people and they want to avoid it. The lack of adequate information about the likely impact of change further complicates the problems. Social Factors People derive need satisfaction, particularly social needs, through their mutual compatible interactions. They form their own social groups at the work place for the satisfaction of their social needs. To the extent the satisfaction of these needs is affected by a change, people resist it. The major factors causing resistance to change are: desire to retain existing social interaction and feeling of outside interference.
1. Desire to Maintain Existing Social Interaction: People desire to maintain existing social interaction since it is a satisfying one. When there is any change, their existing social interactions are likely to be changed, which people do not want. Therefore, they resist change. 2. Feeling of Outside Interference: A change brought about by the change agent is considered to be interference in the working of people. This phenomenon is heightened if the change agent belongs to another social class, e.g., change initiated by managers affecting workers. 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. Organizational Resistance to Change: Not only individuals and groups within an organization resist change, even the organization itself resists many changes because of certain reasons. Many organizations are designed to be innovation-resisting. Many powerful organizations of the past have failed to change and they have developed into routines. For example, Sumantra Ghoshal, a professor of strategic leadership who is considered to be a management Guru, has commented as follows: ³Nothing fails like success; nothing fails as spectacularly as spectacular success. Whether it is IBM, Digital Equipment Corporation, Caterpillar, Zerox or nearer home-TI cycles, all these companies have been victims of corporate disease. It is called µThe Failure of Success¶. Strategies, values, resources and processes of the most successful companies have in the past ossified into clichés, dogmas, millstones and routines.´ This statement suggests that organizations tend to stabilize at a particular level and if the change efforts are not brought, these organizations start falling. The major reasons for organizational failure to change are: counting past successes, stability of systems, resource limitations, sunk cost, and inter-organizational agreement. Some of these reasons are basic while others are byproducts of those. For example, first two reasons are basic and others are by-products of the first two. 1. Counting Past Successes: A major problem before the organizations which have past success stories is how to face challenges of the changing environment. Since these organizations have achieved success by following a particular set of management practices, they become too rigid to change and they hide their failure to change in the guise of past successes. This is the reason why many old industrial houses are languishing far behind and their places are being taken away by newer organizations. 2. Stability of Systems: The organization may design a system through which it may derive many benefits. The system is stabilized and any change may be perceived as a threat by the organization itself. For example, a bureaucratic organization has certain fixed rules, prescribes rigid authority relationships, and institutes reward and punishment system. All these work in some circumstances. It a change is required in these aspects, the organization may not bring it easily because it is accustomed to a particular system.
Thus. It is necessary too that other organizations also agree to the change proposal. Prospectors: These firms use broad planning approaches. For example. If the organization is not fully equipped for meeting such demands. those who watch things happen. building and training for its personnel. 1.defenders. They go on searching new products/markets on regular basis. Sunk cost cannot be only in terms of various physical things. Defenders: These are the firms which penetrate in a narrow market product domain and guard it. these can be used for specific period. Analyzers: Above two are the extreme cases of choice-making modes in between the analyzers and reactors. It depends more on the style of top management. This can be in the form of people also. broad environmental scanning. It an individual is not making commensurate contribution. intensive planning. In such a case. and reserve some resources unutilized for future use. decentralized controls. and put less emphasis on environmental scanning. Now. 3. Inter-organizational Agreements: The organization interacts with its environment. if new technology is adopted. innovative. Based on the aggressiveness which various companies show in changing themselves. what will happen to these assets? Naturally. If it is risk-taking. it may not be possible for the organization to bring necessary change. and reactors. For example. 5. an organization has to adapt to its environment but the adaptation has its own cost. it will require resources to procure machine.´ This is the true reflection of difference between change-initiating companies and changeresisting companies. and has zeal for progress. those who wonder what happened. and commensurate expenses on other items also. the organization may enter into agreement with labour union about not bringing any technological change. Let us see what someone has said long back: ³There are three types of companies: those who make things happen. the organization has to take into consideration the wishes of other organizations too. if any change is to be incorporated. They emphasize more on cost-effectiveness. it may enter into agreement with other organizations over certain aspects of working. if the change is required. the organization may take change programmes much more frequently. . 4. Analyzers act sometimes as defenders and sometimes as prospectors. Sunk Cost: Most of the organizations have sunk cost involved in various assets. prospectors. In this interaction process. it is not necessary that his services are done away with. centralized control. Resource Limitations: No doubt.3. forward-looking. analyzers. Once the assets are acquired. Miles and Snow have classified them into four categories. 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. organization has to pay for his services though these may not be as useful. 2.
Security: People who have a high need for security are likely to resist change because it threatens their feeling of safety. So when your department is moved to a new office building across town. Economic Factors: Another source of individual resistance is concern that changes will lower one¶s income. Habit Every day. Life is complex enough. they cannot survive. For analytical purpose. Reactors: These organizations realize that their specific environment is changing but fail to relate themselves with the changing environment. and so on. therefore. taking a new set of streets to work. They may. adjusting to the new office layout. 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 don¶t need to consider the full range of options for the hundreds of decisions we have to make every day. finding a new parking place. It is easiest for management to deal with resistance when it is overt and immediate. Let¶s look at the sources of resistance. And people in general don¶t like the unknown. When we are confronted with change. some may fear they¶ll be unable to do so. If for example. a change is proposed and employees quickly respond by voicing complaints.4. when you go to work or school. we all rely on habits. you find a single route and you use it regularly. or programmed responses. or the like. Organizational resistance . When Boeing announces its laying off 10. Otherwise. Therefore. this tendency to respond in our accustomed ways becomes a source of resistance. developing a new lunchtime routine. As human beings. it means you¶re likely to have to change many habits: waking up 10 minutes earlier. do you continually use the same route and streets? Probably if you¶re like most people. immediate. we¶ve categorized them by individual and organizational sources. they have to behave in one of the above three ways. especially when pay is closely tied to productivity. develop a negative attitude towards quality management or behave dysfunctionally if required to use statistical techniques.4 Cause for Resistance to Change Resistance to change doesn¶t necessarily surface in standardized ways. threatening to go on strike. The same applies to employee. 10. For instance.000 people or Ford introduces new robotic equipment. Fear of the Unknown: Change substitute ambiguity and uncertainty for the known. many employees at these firms may fear that their jobs are in jeopardy. the introduction of a quality management program requires that production workers learn statistical process control techniques. engaging in a work showdown. we¶re creatures of habit. implicit. or deferred. To cope with this complexity. Resistance can be overt.
The recent move by some companies to outsource many of their human resource activities ± such as training. But if union norms dictate resisting any unilateral change made by management. Formalization provides job description. he¶s likely to resist. People from one functional department are placed on terms with people from other functional areas. An individual union member. for instance. So limited changes in subsystems tend to get nullified by the larger system. the selection process systematically selects certain people in and certain people out. for instance. The . group norms may act as a constraint. Threat to Established Resource Allocations: the groups in the organization that control sizable resources often see change as a threat. For example. These teams are comprised of people from various areas within the company. 10. rules and procedures for employees to follow. One area of organizations that continues its metamorphosis is the design itself.5 Impact of Change on Future Manager Organizations are changing nearly daily. Training and other socialization techniques reinforce specific role requirements and skills. Threat to Expertise: Changes in organizational patterns may threaten the expertise of specialized groups. Limited Focus of Change: Organization is made up of interdependent subsystems. 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. Group Inertia: Even if individuals want to change their behavior. the change in technology is not likely to be accepted. Thereat to Established Power Relationships: Any redistribution of decision-making authority can threaten long-established power relationship within the organization. Why? Because this outsourcing is a threat to the specialized skills held by people in HR departments. the way in which companies are configured today is changing. 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. may be willing to accept changes in his job suggested by management. You can¶t change one without affecting the others. human resource people with engineers and finance individuals with operations employees. if management changes the technological processes without simultaneously modifying the organization¶s structure to match. accountants work with marketers. That is.Structural Inertia: Organizations have built-in mechanisms to produce stability. They tend to be content with the way things are. Changing Skill Sets More organizations are utilizing cross functional teams. For example. For example. The only constant in organizational life today appears to be the presence of continuous change. Will the change. development of pay plans. and benefits administration ± has been resisted by many human resource departments.
typically by way of computer network links. Both these attempts are complementary and sometimes these efforts may be overlapping because every individual is a member of some of the groups. 10. In addition. For example. When the resistance comes from the people at individual levels. It may affect only a few while others may not be affected. This requires that managers think differently and teach employees to think differently. Locavini observes that ³the secret of real success is effective management of the emotional vulnerability that accompanies organizational change. Stephen Robbins suggests that ³«« managers in virtual structures spend most of their time coordinating and controlling external relations. As organizations must be better equipped to respond to change in their external environment. even the impact of change may be dysfunctional if change is imposed upon the people by the use of formal authority.ultimate goal is to improve organizational performance by cutting production time or time to market. However.6 Methods of Reducing Resistance to Change One of the basic problems in managing change is to overcome people¶s resistance to change successfully. For this purpose. Involvement: Involvement is a process through which those who are affected by the change are brought to understand the change. the effect of the change may not be as functional as envisaged by the management. both at the formal and informal levels. the problems can be solved at the same level. the following efforts can be taken: 1. Therefore. the role of formal authority in implementing a change may not be effective all the times. Unless this problem is overcome properly. through group dynamics. It includes finding out from the members how they interpret the proposed changes and what they think about them. Efforts at Individual Level A change is likely to affect some people in some way. this is not a one-time action. They need to be adept at reading the trends in the environment and then determining what they mean specifically for their own organization. It implies explanation and then discussion of the proposed changes. it can make effectively by managing resistance effectively. More fluid structures require that managers improve their strategic orientation. The fundamental idea in this process is to encourage the person to say something about any aspect of the change. People always have some . 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. at the level of individual and at the level of group. that is. managers must be more skilled at reading the environment and grasping the big picture. rather should be looked upon as a dialogue which continues over a period of time. strategic directions for the company must be identified in light of these changes.´ Problem of overcoming resistance to change can be handled at two levels.´ The newer organizational structures use term problem solving. Problem solving now involves the people who are experts in the issue ± not necessarily those in high positions in the organization. In many cases.
Such educational process can be aided by training classes. Thus. its process and working. People should be educated to become familiar with change. its basic nature. instead of solving the problem at the individual level. the leader tries to overcome this resistance by leadership process. 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. he expresses it through a group. Based on these characteristics of group as a means of change. 4. Efforts at Group Level Although agreement to a change can be obtained individually. meetings. but a transformational leader can use personal reasons for change without arousing resistance. Commitment to take part in the change programme can be obtained in private from each individual. Usually. 3. The same is true of problem-solving. it is more meaningful if it is done through group. most of the times. For this purpose. more than one person is involved in the change. Getting opinions out in the open. The decision to commit oneself is a dynamic process. However. so that they are looked at and evaluated. 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. sometimes. education must be a part of the manager¶s everyday activity on the job. As this process goes. Group Contact: Any effect to change is likely to succeed if the group accepts that change. An effective leader tries to time a change to fit the psychological needs of his followers. A manager as weak leader presents change on the basis of the impersonal requirements of the situation. understanding of change increases and personal involvement in the change increases. the manager can form strategies for overcoming resistance in the following manner: 1. the group itself should be the point of contact. Group dynamics offers some basic help in this regard. it is desirable at the group level to get better acceptability of change. However. Though each person interprets the change individually often. (iii) Group can get at the basic problem very rapidly as compared to a single individual. to become effective. and conferences. must be understood so that its effective use can be made. and indoctrinated in new relationships. as discussed earlier. This helps in creating receptive environment in the organization. is an important trust-building task. Obtaining Commitment: Commitment is an agreement to take an active part in the actual mechanics of the change. 2. . The group contact offers some specific advantages: (i) Through groups. Training and Psychological Counseling: The management can change the basic values of the people by training and psychological counseling. one can communicate with more people per unit of time. either the subordinates do not resist or if they resist. there may be some person who may communicate to the same group. helped to change attitudes. It grows slowly along with relationship. They must be taught new skills. Thus. For using group as a means of overcoming resistance to change. the level of resistance to change tends to decrease.ideas and opinions about what is going on in the world and more specially if touches them personally. (ii) In group.
It would be prudent for management to take labour representatives into confidence before implementing any change. many things about change can be made clear. or deferred. and how the benefits of the meaningful and continuous dialogue are necessary. Self Assessment Questions 1. _________ is the alteration of work environment in an organization.such aspects as the reasons for change. 3. __________ are based on people¶s emotions. _________ helps to give people involved in the organizational change and inculcate a feeling of importance. social factors. psychological factors. This is more important in the case of workers who themselves treat a separate group and do not identify with the management. 10. Even if only some of the members are affected by the change. It makes people feel that the organization needs their opinions and ideas and is unwilling to go ahead without taking them into account. psychodrama. They must be made a party to the change rather than an agent for resistance to change. Group Dynamics Training for Change: Group dynamics also helps in providing various training programmes for accepting and implementing change. Resistance can be overt. Organizational change is the alteration of work environment in an organization. Free flow of information helps people to understand the real picture of the change and many misunderstandings may be avoided.Through the group contact.7 Summary Change is inevitable. structural arrangement. Research studies also support this aspect. group resistance and vested interests. immediate. and sensitivity or T-group training. taking whole of the group into confidence helps in maintaining a cooperative attitude. benefits of change. sentiments and attitudes towards change. Participation: Participation helps to give people involved in the organizational change and inculcate a feeling of importance. It is easiest for management to deal with resistance when it is overt and immediate. The laboratory method provides a setting where group processes can be studied intensively. implicit. 3. For instance. It purports how the results are. However. The organization must regard the participation as meaningful and share the results of the change with its members. Economic factors. and how members contribute. Such training techniques include role playing. Those people who are directly affected by the change should be given opportunity to participate in that change before the final decisions are reached. It implies a new equilibrium between different components of the organization ± technology. Changes may be influenced by external and internal factors. job design and people. People tend to resist many types of changes because new habits or sacrifices are required. 2. mere participation may not help. Such training techniques provide understanding of behaviour. a change is proposed and employees quickly respond by voicing . thereby the people can build up the climate based on mutual trust and understanding which are essential for bringing organizational changes successfully. It implies a new equilibrium between different components of the organization. 2.
threatening to go on strike. N.8 Terminal Questions 1. · Cummings & Worley. Modern Organization Development and Change. Jain. Why do organizations resist change? 3. Refer section 10.2 2. through group dynamics.. 10. Thomson · Daft Richard L. Discuss the methods of reducing resistance to change. .management of Organization Change. New Delhi. French and Cecil H. Participation Answers to TQs: 1. engaging in a work showdown. Jr. Psychological factors 3. Refer section 10. or the like. Organizational change 2. P. at the level of individual and at the level of group. 10. New Delhi. both at the formal and informal levels. Bell.. Refer section 10. that is. Organization Theory and Design.6. Organization Development. Regal Publications New Delhi.complaints.4 3. Explain the nature of change? 2. Problem of overcoming resistance to change can be handled at two levels.9 Answers to SAQs and TQS SAQs: 1.Singh. Thomson South Western. eighth edition. Organization Development & Change. · J. · Harigopal K. Reference: · Wendell L. Principles and Practices. Both these attempts are complementary and sometimes these efforts may be overlapping because every individual is a member of some of the groups.Response Books. P. Prentice-Hall of India Private Limited.
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