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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
People often remark of the effectiveness (or ineffectiveness) of management on the basis of the end results. buoyant spirit and adequate work output. feeling of management is result-oriented. organizing. although they can¶t observe it during operation. principles and techniques requires specialized . Thus. It is imperative that the organizational goals must be well-defined and properly understood by the mangers at various levels. they require the catalyst of management to produce goods and services required by the society. Integrative Force: The essence of management is integration of human and other resources to achieve the desired objectives. The success of management is measured by the extent to which the organizational goals are achieved. 5. They must motivate the subordinates for the accomplishment of the tasks assigned to them. 7.3 Characteristics of Management Management is a distinct activity having the following salient features or characteristics: 1. the process of management involves decision-making and putting of decisions into practice. One may not see with the naked eyes the functioning of management but its results are apparently known. The application of these concepts. 2. In essence. staffing. Its presence is evidenced by the result of its efforts-orderliness. management is an essential ingredient of an organization. 1. Intangible Force: Management has been called an unseen force. labour and capital. They must have the necessary ability and skills to get work accomplished through the efforts of others. Managers also seek to harmonize the individuals¶ goals with the organizational goals for the smooth working of the organization. Thus. Economic Resource: Management is one of the factors of production together with land. These factors do not by themselves ensure production. informed employees. Goal-oriented: Management is a purposeful activity. So it is treated as a science. It is the force which assembles and integrates other resources. A Science and an Art: Management has an organized body of knowledge consisting of welldefined concepts. 4. namely. 3. These functions are so interwoven that it is not possible to lay down exactly the sequence of various functions or their relative significance. capital and materials. It is the most critical input in the success of any organized group activity. Results through Others: The managers cannot do everything themselves. Managers apply knowledge. All these resources are made available to those who manage. principles and techniques which have wide applications. labour. experience and management principles for getting the results from the workers by the use of non-human resources. It co-ordinates the efforts of workers to achieve the goals of the organization. directing and controlling.management is most often due to both inefficiency and ineffectiveness or to effectiveness achieved through inefficiency. 6. Distinct Process: Management is a distinct process consisting of such functions as planning.
Multi-disciplinary Subject: Management has grown as a field of study (i. that is. how effectively and economically the five M¶s are combined together to produce desired results. Anthropology. it refers to three distinct ideas. and (iii) a class or elite. Sociology and Operations Research have also contributed to the development of management science. According to Herbision and Myers. Henri Fayol suggested that principles of management would apply more or less in every situation. Managers working at top levels enjoy more authority than people working at lower levels. 1. In other words. Generally. management is required to covert the disorganized resources of men. management may be understood as (i) an economic resource. materials. management is the rule-making and rule-enforcing body. materials. Basically. the degree of authority gets gradually reduced.knowledge and skills on the part of the manager. labour and capital. Authority enables the managers to perform their functions effectively. Similarly. Since the skills acquired by a manager are his personal possession. useful. personnel manager etc. (ii) a system of authority. In modern organizations. productivity orientation drew its inspiration from Industrial Engineering and human relations orientation from Psychology. ongoing concern. Universal Application: Management is universal in character. people are bound by authority relationships. discipline) taking the help of so many other disciplines such as Engineering. education. For instance.4 Scope of Management The scope of management is very wide. Middle management (departmental heads like work manage. Sociology and Psychology. as we move down in the managerial hierarchy. a hierarchy of command and control. 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. the effective use of the five M¶s of management (money. They transmit orders. The principles and techniques of management are equally applicable in the fields of business. · Management as a system of authority According to Herbison and Myers. It is bound together by a web of relationships between superiors and subordinates. machinery and methods or ways of doing things) depends to a great extent on the quality of management. 8. 9.) interprets and explains the policies framed by the top management. Managers at different levels possess varying degrees of authority. System of Authority: Management as a team of managers represents a system of authority. military. Much of the management literature is the result of association of these disciplines.e. management is viewed as an art. · Management as an economic resource Management is one of the factors of production along with land. manpower. finance manager. 10. According to Newman. Top management determines objectives and provides direction to enterprise activities. government and hospital. money and machines into a productive. Instructions and decisions downward and carry the problem .
Production Manager. policies and plans for the enterprise. Considering the hierarchy of authority and responsibility. We generally come across two broad levels of management. planning and setting up of standards. etc. Marketing Manager. It devotes more time on planning and co-ordinating . ranks. But in actual practice. or the Chief Executive.. For instance. etc.. 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. · Management as a class or elite Sociologists view management as a distinct class in society having its own value system. one can identify three levels of management namely: i) Top management of a company consists of owners/shareholders. The managerial class has become very important in modern organizations owing to its contribution to business success. The levels of management depend upon its size. technical facilities. viz. wage and salary director of a company may assist in fixing wages and salary structure as a member of the Board of Directors. Managing Director. ii) Middle management of a company consists of heads of functional departments namely. Levels of Management An enterprise may have different levels of management. The real significance of levels is that they explain authority relationships in an organization. or. the term management refers to the group of individuals occupying managerial positions.e. Supervisors.. Board of Directors. Operative management is concerned with the ³doing´ function such as implementation of policies. iii) Lower level or operative management of a company consists of Superintendents. or the General Manager or Executive Committee having key officers. Levels of management refer to a line of demarcation between various managerial positions in an enterprise. Purchase Manager. Foremen. his job is to see that the decisions are implemented. Financial Controller. but as head of wages and salary department. the lower level of management). day-to-day matters. As a separate group. Top management: Top management is the ultimate source of authority and it lays down goals. and Divisional Sectional Officers working under these Functional Heads. Lower management (first line supervisors) is concerned with routine. 1. and the range of production. its Chairman.e. the upper level of management) and (ii) operating management (i. and directing the operations to attain the objectives of the enterprise. Administrative management is concerned with ³thinking´ functions such as laying down policy.and suggestions upward. All the managers form the chief executive to the first line supervisors are collectively addressed as µManagement¶ which refers to the group. (i) administrative management (i.
b) To make policies and frame plans to attain the objectives laid. d) To recruit and select suitable operative and supervisory staff. c) To set up an organizational framework to conduct the operations as per plans. They are responsible to the top management for the functioning of their department. It is accountable to the owners of the business of the overall management. It serves as an essential link between the top management and the lower level or operative management. d) To assemble the resources of money. f) To provide overall leadership to the enterprise. machines and methods to put the plans into action. Without them the top management¶s plans and ambitious expectations will not be fruitfully realized. The important functions of top management include: a) To establish the objectives or goals of the enterprise. b) To interpret the policies chalked out by top management. . g) To motivate personnel to attain higher productivity and to reward them properly. f) To compile all the instructions and issue them to supervisors under their control. They provide the guidance and the structure for a purposeful enterprise.functions. c) To prepare the organizational set up in their own departments for fulfilling the objectives implied in various business policies. Middle management: The job of middle management is to implement the policies and plans framed by the top management. men. duties and responsibilities for timely implementation of the plans. The following are the main functions of middle management: a) To establish the objective or goals of the enterprise. h) To co-operate with the other departments for ensuring a smooth functioning of the entire organization. j) To report to top management. i) To collect reports and information on performance in their departments. e) To assign activities. They devote more time on the organization and motivation functions of management. e) To exercise effective control of the operations. It is also described as the policy-making group responsible for the overall direction and success of all company activities. materials. 2.
They interpret and divide the plans of the management into short-range operating plans. and actual operations are the responsibility of this level of management. (iii) Establishers sound industrial relations: Management minimizes industrial disputes and contributes to sound industrial relations in an undertaking. Employees feel a sense of security when they find a body of individual¶s working day and night for the continued growth of an organization. the resources of production remain resources and never become production. They are concerned with direction and control functions of management. an organization is merely a collection of men. management is the dynamic lift-giving element in every organization. It is the activating force that gets things done through people. (iv) Achievement of goals: Management plays an important role in the achievement of objectives of an organization. money and material. evaluate their performance and report to the middle level management. Industrial peace is an essential requirement for increasing productivity. methods. The importance of management can be understood from the following points. They initiate prompt actions whenever workers express dissatisfaction over organizational rules. the working of an enterprise will become random and haphazard in nature. Lower or operative management: It is placed at the bottom of the hierarchy of management. sales officers. Without management. Management is goal-oriented.k) To make suitable recommendations to the top management for the better execution of plans and policies. Objective can be achieved only when the human and non-human resources are combined in a proper way. Their authority and responsibility is limited. 1. 3. manager tries to strike a happy balance between the demands of employees and organizational requirements. It consists of foreman. counseling and effective leadership. It enables employees to move cooperatively and achieve goals in a coordinated manner. 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 are in direct touch with the rank and file or workers.5 Importance of Management According to Drucker. They devote more time in the supervision of the workers. procedures and reward systems. accounts officers and so on. To this end. Management creates teamwork and motivates employees to work harder and better by providing necessary guidance. They allot various jobs to the workers. (ii) Effective leadership and motivation: In the absence of management. machines. With a view to realize the . In its absence. It helps in putting the resources to the best advantage within the limitations set by the organization and its environment. They pass on the instructions of the middle management to workers. Management makes group effort more effective. A right climate is created for workers to put in their best and show superior performance. They are also involved in the process of decisions-making. supervisors.
. They try to put everything on the right tract. Failure to take note of customer¶s needs regarding full efficiently has spelt doom for µIdeal java¶ in the two-wheeler market in India. and specialized knowledge. (v) Change and growth: Changes in technology. It has also developed a vast number of tools and techniques. techniques. iv) The formation of ethical codes for the guidance of conduct. A number of organizations such as the Administrative Staff College of India. Managers help an organization by anticipating these changes (carefull planning. But unlike medicine or law. identifiable discipline. 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. government policy. hire competent people and provide necessary guidance. Organize the resources properly. Management as a profession By a professional manager. forecasting combined with efficient use of resources) and taking appropriate steps. In the final analysis. etc.predetermined goals-managers plan carefully. It is a profession in the sense that there is a systematized body of management. all these help in realizing goals with maximum efficiency. and it is distinct. a profession possesses the following characteristics: i) A body of principles. Management is also a profession in the sense that formalized methods of training is available to those who desire to be managers. a management degree is not a pre-requisite to become a manager. competition. and v) The charging of fees based on the nature of services. An enterprise has to take note of these changes and adapt itself quickly. Thus unnecessary deviations. Management is a profession to the extent it fulfils the above conditions. According to McFarland. (vi) Improves standard of living : Management improves the standard of living of people by (a) using scarce resources efficiently and turning out profits. iii) The establishment of a representative organization with professiona-lizing as its goal. skills. We have a number of institutes of management and university departments of management which provide formal education in this field. Management . the Indian Institute of Management. Training facilities are provided in most companies by their training divisions. ii) Formalized methods of acquiring training and experience. often threaten the survival of a firm. (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. Overlapping efforts and waste motions are avoided. (b) Ensuring the survival of the firm in the face of continued changes. Successful managers are the ones who anticipate and adjust to changing circumstances rather than being passively swept along or caught unprepared.
Indeed such mobile managers are regarded as more progressive and modern than others. There was little time for reflective thinking because the managers encountered constant interruptions. etc. As a social science. the transfer of information. and the university departments of management offer a variety of short-term management training programmes. and short-duration activities. do not seem to adhere to the principle of ³service above self´. But in addition to these insights. little regard is paid to the elevation of service over the desire for monetary compensation is evident by switching of jobs by managers. The term µmanagement roles¶ refers to specific categories of managerial behaviour.S. Interpersonal Roles: All managers are required to perform duties that are ceremonial and symbolic in nature ± interpersonal roles.6 Role of Management In the late 1960s. the American Management Association in U. However. management is not as exact as natural sciences. he or she is acting in a figurehead role. Mintberz found that his managers engaged in a large number of varied.. none of them has the professionalizing of the management as its goal. 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. bribing public officials to gain favours. 1. It may be concluded from the above discussion that management is a science. manipulating prices and markets are by no means uncommon management practices. What he discovered challenged several long-held notions about the manager¶s job. training. For instance. an art as well as a profession. These ten roles can be grouped as those primarily concerned with interpersonal relationships. however. unpatterned. and it is not as fully a profession as medicine and law. Management does not fulfill the last two requirements of a profession. There are a number of representative organizations of management practitioners almost in all countries such as the All India Management Association in India. Half of these managers¶ activities lasted less than nine minutes each. and disciplining employees. try to develop a code of conduct for their own managers but there is no general and uniform code of conduct for all managers. sabotaging trade unions. Management partially fulfils the third characteristic of profession. In fact.A. There is no ethical code of conduct for managers as for doctors and lawyers. and decision-making. in contrast to the predominant views at the time that managers were reflective thinkers who carefully and systematically processed information before making decisions. Furthermore. This role includes hiring. However. Mintzberg provided a categorization scheme for defining what managers do based on actual managers on the job. motivating. All managers have a role as a leader. Some individual business organizations. the All India Management Association. Henry Mintzberg did a careful study of five chief executives at work. Mintzberg concluded that managers perform ten different but highly interrelated roles. The third role within the interpersonal grouping is the .Development Institute. managers in general.
Seeks and receives wide variety Reading periodicals and of special information (much of reports. Informational Roles: All managers. Transmits information received Holding informational from outsides or from other meetings. The sales manager who obtains information from the human resources manager in his or her same company has an internal liaison relationship. making phone subordinates to members of the calls to relay information. what competitors may be planning. duties of a legal or social nature. When they represent the organisation to outsiders. and may be inside or outside the organization. This is the disseminator role.1: Mintzberg¶s Managerial Roles Role Interpersonal Figurehead Description Identifiable Activities Leader Liaison Symbolic head. that involve outsiders. he or she has an outside liaison relationship. they do so by reading magazines and talking with others to learn of changes in the public¶s tastes. activities that involve responsible for staffing. When that sales manager confers with other sales executives through a marketing trade association. Table 1. Informational Monitor Disseminator . informers who provide favors performing other activities and information. fulfill informational roles-receiving and collecting information from organizations and institutions outside their own. training. and associated duties. manages also perform a spokesperson role. obliged to Greeting visitors. subordinates. to some degree. signing perform a number of routine legal documents. These sources are individuals or groups outside the manager¶s unit. Maintains self-developed Acknowledging mail. Typically. Managers also act as a conduit to transmit information to organizational members. Mintzberg described this activity as contacting external sources who provide the manager with information. maintaining it current) to develop thorough personal contacts. network of outside contacts and doing external board work. Mintzberg called this the monitor role. emerges as nerve center of internal and external information about the organization. and the like. understanding of organization and environment.liaison role. Responsible for the motivation Performing virtually all and activation of subordinates.
Mintzberg identified four decisional roles which revolve around the making of choices. Searches organization and its Organizing strategy and environment for opportunities review sessions to develop and initiates ³improvement new programs. results. As disturbance handlers. The Nature of Managerial Work (New York: Harper & Row. 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. supervises design of certain projects as well. managers take corrective action in response to previously unforeseen problems. etc. Reprinted by permission of Harper & Row. As entrepreneurs. actions. Publishers.. policies. requesting of organizational resources of authorization. programming of subordinates work. projects´ to bring about change. negotiations. the making any activity that involves or approval of all significant budgeting and the organizational decisions. Inc. pp 93-94 Copyright Ó 1973 by Hency Mintzberg. Last. managers are responsible for allocating human. serves as expert on organization¶s industry. media. Decisional Roles: Finally. managers perform as negotiators when they discuss and bargain with other groups to gain advantages for their own units.Spokesperson organization ± some information is factual. Decisional Entrepreneur Disturbance handler Resource allocator Negotiator Source: Henry Mintzberg. physical and monetary resources. 1973). outsiders on organization¶s giving information of the plans. some involves interpretation and integration of diverse value positions of organizational influencers. managers initiate and oversee new projects that will improve their organization¶s performance. . Responsible for representing Participating in union the organization at major contract negotiations. performing all kinds ± in effect. Transmits information to Holding board meetings. As resource allocators.
Specifically. Katz found that managers need three essential skills or competencies: technical. Technical skills include knowledge of and proficiency in a certain specialized field. . motivate. as well as many middle managers. a manager¶s job is varied and complex. They know how to communicate. Although technical skills become less important as manager moves into higher levels of management. 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.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. it remains just as important at the top levels of management as it is at the lower levels. the roles of disseminator. These abilities are essential to effective decision-making. and spokesperson are more important at the higher levels of the organization than at the lower ones. During the early 1970. Managerial Skills As you can see from the preceding discussion. negotiator. the leader role is more important for lower-level managers than it is for either middle-or-top-level managers. and inspire enthusiasm and trust. Technical Skills: First-line managers. He also found that the relative importance of these skills varied according to the manager¶s level within the organization. computers. 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. even top managers need some proficiency in the organization¶s speciality. The evidence generally supports the idea that managers ± regardless of the type of organization or level in the organization-perform similar roles. and conceptual. Managers with good human skills can get the best out of their people. Human Skills: The ability to work well with other people both individually and in a group is a human skill. and all managers are involved in making decisions. such as engineering. the emphasis that managers give to the various roles seems to change with hierarchical level. are heavily involved in technical aspects of the organization¶s operations. Since managers deal directly with people. For example. Managers need certain skills to perform the duties and activities associated with being a manager. However. liaison. figurehead. or manufacturing. human. In fact. this skill is crucial. Conceptual Skills: Managers also must have the ability to think and to conceptualize about abstract situations. finance. lead. research by Robert L. These types of conceptual skills are needed by all managers at all levels but become more important as they move up the organizational hierarchy. Conversely.
administration involves broad policy-making and management involves the execution of policies laid down by the administration. etc. It is concerned with determination of major objectives and policies. plans and policies of the organisation. 2.7 Administration and Management The use of two terms µmanagement¶ and µadministration¶ has been a controversial issue in the management literature. This view is held by Tead. Management Management means getting the work done through and with others. Those who held management and administration distinct include Oliver Sheldon. Spriegel and Walter. It is a doing function. 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. Management relates to execution of decisions. Managers are concerned mainly with organisation and direction of human resources. But some English authors like Brech are of the opinion that management is a wider term including administration. Administration is a determinative function.1. Table 1. Spriegal and Lansburg. whereas management refers to execution of policies laid down by administration. Administrators are basically concerned with planning and control. iii) There is no distinction between the terms µmanagement¶ and µadministration¶ and they are used interchangeably. administration is a higher level function.2: Distinction between Administration and Management: Basic 1. It is a thinking function. It is concerned with the implementation of policies. management is a lower-level function and is concerned primarily with the execution of policies laid down by administration. Some writers do not see any difference between the two terms. Thus. Floerence and Tead. According to them. management as an executive function which is primarily concerned with carrying out of the broad policies laid down by the administration. ii) Management is a generic term and includes administration. while others maintain that administration and management are two different functions. Meaning Administration Administration is concerned with the formulation of objectives. on the other hand. Thus. 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. Nature 3. Administration relates to the decision-making. Scope .
9 Terminal Questions 1. 2. Status Administration refers to Management is relevant at higher levels of management. 3. counseling and effective leadership. DecisionMaking Administration determines Management decides who what is to be done and when it shall implement the is to be done. 8. Lower level managers require and use a greater degree of technical skill and managers at higher levels use a greater degree of conceptual skill. 7. operative workforce for the execution of plans. Management creates ________ and motivates employees to work harder and better by providing necessary guidance. middle and lower.e. machinery and methods or ways of doing things) depends to a great extent on the quality of management. Direction of It is concerned with leading It is concerned with Human Resources and motivation of middle level leading and motivation of executives. Self Assessment Questions 1. . Define management. __________is principally the task of planning. Human skills are important at all managerial levels. Managers perform different roles to discharge their responsibilities. public organisations in the private sector and non-business sector. motivating and controlling the efforts of others towards a specific objective. i. 1. Environment Administration has direct Management is mainly interaction with external concerned with internal environment of business and forces. Still management is not completely a profession. Five M¶s of management (________. Explain its characteristics. administrative decisions.. co-ordinating. objectives. 5. organisations. lower levels of management. ___________. _________. 6. Management is largely found at the middle and lower levels and administration is found at the higher levels. Usage of Term The term µadministration¶ is The term µmanagement¶ is often associated with widely used in business government offices. 1.8 Summary Management is concerned with getting things done through other people. making strategic plans to deal plans and policies of the effectively with the organisation.4. environmental forces. There are three levels of management-top. It is the management which transforms physical resources of an organization into productive resources.
4 Organizing . Refer section 1. 1. Money.1. MU0004-Unit-02-Management Process Unit-02-Management Process Structure: 2. teamwork Answers to TQs: 1. materials. Refer section 1.3 2. Management 2.2.3 Planning 2.5 3. Discuss the importance of management.10 Answers to SAQs and TQs SAQs: 1. Refer section 1.7 Copyright © 2009 SMU Powered by Sikkim Manipal University . 3.2. manpower 3. Bring out the difference between Administration and Management.1 Introduction Objectives 2.2 Process of Management 2.
Planning 2. as the action of measuring a quantity on a regular basis and of adjusting some initial plan. Objectives: After this studying this unit.1 Introduction Follett (1933) defined management as "the art of getting things done through people´. since the managerial tasks have become highly challenging a fluid in nature making distinctions redundant to certain extent. Commanding 4. in recent time. One can also think of management functionally. · Explain Planning. you will be able to: · Define Management process. Coordinating 5. Controlling However.8 Summary 2.10 Answers to SAQs and TQs 2.7 Motivating Self Assessment Questions 2. Motivating.2.6 Directing 2. Organizing. Management functions are as follows (Fayol. Directing.9 Terminal Questions 2. . · Explain different functions of management Process. 1949): 1. management functions have been regrouped into four categories. Organizing 3.5 Staffing 2. Staffing.
cost structure and so on. while a policy. It provides the direction for the other functions of management and for effective teamwork.2 Management Process Peter Drucker said: ³Management is doing things right. planning is often referred to as strategic in nature and also termed as strategic planning. and allocating resources. it would be correct to assume that an objective is what you want to accomplish. kicking the ball with the left foot or right foot is a reflex action. what distinguishers policies form objectives is that you first decide the objective. Planning in order to be useful must be linked to the strategic intent of an organization. Every organization needs to plan for change in order to reach its set goal. Planning also enhances the decisionmaking process. However. thus. or where you want go to. The tasks of the strategic planning process include the following steps: Define the mission: . 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.2. Effective planning enables an organization adapt to change by identifying opportunities and avoiding problems. and developing plans to integrate and coordinate activities. Policy Formulation We have noted earlier that all organizations have well-defined goals and objectives. it is not a decision in which any process is involved. a process in which one chooses a course which one thinks is the best. leadership is doing the right things³. Objectives are the ends. general strategies. Management is about accomplishing a goal efficiently. In the football field. fuel and machine efficiency. 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. It is difficult to say where objectives end and policies begin. policies are the means to achieve those ends. All levels of management engage in planning in their own way for achieving their preset goals. the decision to change the design of a product. the two are not quite the same. leadership is about setting the desirable goals. and then set out the method for achieving it.3 Planning It involves the process of defining goals. say a passenger car. 2. Therefore. should precede a good deal of research involving market surveys. overall goals. There is a degree of overlap between the two. Through leadership and management often overlap. You might well ask what the need for a policy is when objectives are already defined. Even so. driving comfort. studies on passenger comfort. Decision ± Making Taking decisions is a process. establishing strategies for achieving these goals.
suppliers. state. Threats) analysis is vital for the creation of any strategic plan. For assessing the strengths of the organization the following questions are important: 1. international). Opportunities. governments (local.A mission is the purpose of the organization. Weaknesses. 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. What makes the organization distinctive? 2. The SWOT analysis begins with a scan of the external environment. Organizations need to examine their business situation in order to map out the opportunities and threats present in their environments. customers (internal and external). Do we have a superior reputation? For assessing the weaknesses of the organization the following questions are important: 1. A mission statement should be short ± and should be easily understood and every employee should ideally be able to narrate it from memory. The mission statement is broad. and trade). What is our market share? 5. professional. journals and reports (scientific. How skilled is our workforce? 4. Conduct a situational or SWOT analysis A situation or SWOT (Strengths. summarizing what the organization does. Are the technologies obsolete? For identifying opportunities the following elements need to be looked at: . Thus. How efficient is our manufacturing? 3. What financing is available? 6. SWOT analysis provides the assumptions and facts on which a plan will be based. Are the facilities outdated? 3. planning begins with clearly defining the mission of the organization. Is research and development adequate? 4. Sources of information may include stakeholders like. federal. professional or trade associations (conventions and exhibitions). An explicit mission guides employees to work independently and yet collectively toward the realization of the organization¶s potential. Analyzing strengths and weaknesses comprises the internal assessment of the organization. What are the vulnerable areas of the organization that could be exploited? 2.
return on investment. In which areas does the competition meet customer needs more effectively? 2. Objectives are also called performance goals. What are the new regulations? 6. What are the emerging technologies? 6. Is there a shortage of resources? 4. The SWOT analysis is used as a baseline for future improvement. etc.1. the best strategy is one that fits the organization¶s strengths to opportunities in the environment. In which areas is the competition not meeting customer needs? 2. or outcomes of an organization against similar measures from other internal or external organizations. Develop related strategies (tactical and operational) . as well as gap analysis. What is the strength of the economy? 4. They are aligned with the mission and form the basis for the action plans of an organization. organizations have longterm objectives for factors such as. Is there a possibility of growth of existing market?) Identifying threats involves the following: 1. Are our rivals weak? 5. It also helps in setting minimum acceptable standards or common-sense minimums. Are there new competitors? 3. What substitute products exist? In general terms. What are the possible new markets? 3. Set goals and objectives Strategic goals and objectives are developed to fill the gap between current capability and the mission. earnings per share. effectiveness. Are market tastes changing? 5. Benchmarking systematically compares performance measures such as efficiency. Comparing the organization to external benchmarks (the best practices) is used to assess current capabilities. Generally.
and goals are clearly stated. List all tasks to be accomplished 3. These are specific plans that are needed for each task or supportive activity comprising the whole. In turn. and coordinating the work components to achieve organizational goal.5 Staffing . Assign work to individuals 6. Formalization is an important aspect of structure. A key issue in accomplishing the goals identified in the planning process is structuring the work of the organization. and relationships between departments. who reports to whom. procedures. Feedback is encouraged and incorporated to determine if goals and objectives are feasible. It is the extent to which the units of the organization are explicitly defined and its policies. working toward common goals. necessary to maintain competitive advantage in the said market. Review plans 2. To develop an environmental monitoring procedure. grouped. short-term standards for key variables that will tend to validate and support the long-range estimates must be established. with ideas and resources. Organizations are groups of people. It is the process of determining what tasks are to be done. tactical. and operational planning must be accompanied by controls to ensure proper implantation of the plans. Delegate authority to establish relationships between jobs and groups of jobs.4 Organizing It involves designing. The formal organization can be seen and represented in chart form. Monitor the plan A systematic method of monitoring the environment must be adopted to continuously improve the strategic planning process. operational plans are based on the organization¶s tactical plans. and coordinated. It is the official organizational structure conceived and built by top management. The steps in the organizing process include: 1. Strategic.Tactical plans are based on the organization¶s strategic plan. Divide tasks into groups one person can accomplish ± a job 4. who is to do. Organizational structure is the formal decision-making framework by which job tasks are divided. Group related jobs together in a logical and efficient manner 5. 2. The purpose of the organizing function is to make the best use of the organization¶s resources to achieve organizational goals. lines of authority. and where decisions are to be made. This review is used for the next planning cycle and review. An organization chart displays the organizational structure and shows job titles. how the tasks are to be grouped. 2. structuring.
training. growth and development of all those members of the organization whose function is to get things done through the efforts of other individuals´. 5. Theo Haimann ± ³Concerned with the placement. placement. 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. appraisal. materials. It has many sub-functions: Staffing involves determination of the manpower requirement. . 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. recruitment. Pervasiveness of Staffing: Effective execution of staffing function is the responsibility of all managers in the organization. Deals with people: Staffing is a separate managerial function which deals with people in the organization. money. It involves many sub-functions such as manpower planning. This task has been referred to as staffing. promotion. selection. recruitment. O¶Donnell & Weihrich have defined staffing as ³filling positions in the organization structure through identifying work force requirements. performance appraisal etc. Definition: 1. 2. 2. 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. placement. 3. Managers of the concerned departments are responsible for the selection and development of qualified people for their department and maintain them in their department. selection. It deals with future requirements: Staffing deals with current and future personnel requirements. development. Thus staffing deals with the future requirements also. Present positions must be filled keeping in mind the future requirements. 3. transfer and appraisal of personnel to fill the organizational positions. inventorying the people available. Koontz. Staffing refers to the managerial function of determining and improving the manpower requirements of an enterprise.It is not the machines. compensation and training of needed people´. Therefore it is the responsibility of the management to secure and maintain competent and dedicated workforce including managers and operatives. 4.
5.6. Personnel policies and programs must be formulated as guides to perform the staffing function effectively. recruitment. Characteristics of Direction The characteristic features of direction are as follow: 1. promotion. identifying the manpower requirements. on the other. training development and maintenance of personnel. It is a process: it is a process having a logical sequence i. selection. Direction is the managerial function of guiding. It is an important managerial function. 8. A manger needs to give orders to his subordinates. It is instructing people as to what to do. 7. management initiates actions in the organization. resignation. Direction imitates at the top level in the organization and follows to bottom through the hierarchy. induction. Direction is continuous process and it continues throughout the life-time of the organization. etc. Direction is an important managerial function.e. to provide superiors opportunities for some more important work which their subordinates cannot do. overseeing and leading people. Through direction. It emphasizes that a subordinate is to be directed by his own superior only. Direction has dual objectives. Direction function is performed at every level of management. vacancies arise out of retirement.6 Directing Direction is one of the functions of management. It is a continuous function: With the growth and expansion of business additional manpower is needed. On the one hand. 2. 2. . lead them and guide them on a continuous basis. 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. motivate them. It is a continuing function. 4. Definition According to Koontz and O¶Donnel. 3. how to do and telling them to do to the best of their ability. it aims at getting things done by subordinates and. 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.
Essence of performance: Directing is the process around which all performances revolve. As Theo Haimann puts it. the more individuality.7 Motivating Motivating In the 1950s three specific theories were formulated and are the best known: Hierarchy of Needs theory. from the basic to the complex. autonomy. sex. self-respect. acceptance. recognition. shelter. Pervasive function: Directing is a managerial function performed by all mangers at all levels of the organization. Maslow¶s Hierarchy of Needs Theory According to this theory. and external esteem factors. The person advances to the next level of needs only after the lower level need is at least minimally satisfied.Nature of Directing The nature of directing can be discussed under the following: 1. Continuous function: Directing is a continuous process. The needs are arranged in order of importance. The manager never ceases to direct. 3. teach. belongingness. such as. The amount of time and effort an executive spends in directing however. such as. humanness and psychological health a person will show. guide. nothing or at the best very little would be accomplished´. 2. satisfied needs cannot. ³without the issuance of directives. coach and supervise his subordinates. and achievement. organizing and staffing on one hand and controlling on the other. The further they progress up the hierarchy. will vary depending upon his level. and friendship · Esteem: Includes internal esteem factors. thirst. and other bodily needs · Safety: Includes security and protection from physical and emotional harm · Social: Includes affection. and attention . Directing is the process around which all performances revolve. and the Two-Factor theory. without guiding and overseeing subordinates. The five needs are: · Physiological: Includes hunger. 2. It is an important function of management: Directing is an important management function which provides a connecting link between planning. 4. the number of subordinate he has and the other duties he is expected to perform. proposed by Maslow (1943). only unsatisfied needs can influence behavior. status. human beings have wants and desires which influence their behaviour. Theories X and Y.
advancement. Lower-order needs are predominantly satisfied. if given the chance employees have the desire to be creative and forward thinking in the workplace. working conditions. includes growth. Theory X ± In this theory management assumes employees are inherently lazy and will avoid work. and achievement. such as. whereas. esteem. It is also assumed that workers generally place security above all other factors and will display little ambition. The absence of hygiene factors can create job dissatisfaction. responsibility. autonomy and empowerment. Social. Presence of these factors ensure job satisfaction. Physiological and safety needs are described as lower-order. achieving one¶s potential. if they can. company policy. It is also believed that. interpersonal relations. Higher-order needs are satisfied internally. but their presence does not motivate or create satisfaction. and self-actualization are classified as higher-order needs. Extrinsic factors. It is believed that employees enjoy their mental and physical work duties. These two factors are motivators and hygiene factors and this theory is also called motivation-hygiene theory. Motivators are intrinsic 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. externally. such as. and salary are hygiene factors. self-motivated. it is clear that Theory X assumes that lower-order needs dominate individuals. Herzberg¶s Two Factor Theory Herzberg (1959) constructed a two-dimensional paradigm of factors affecting people¶s attitudes about work. There is a chance for greater productivity by giving employees the freedom to perform to the best of their abilities without being bogged down by rules. Theory Y assumes that higher-order needs dominate individuals. and exercise self-control. From the above. Workers need to be closely supervised and a comprehensive system of controls and a hierarchical structure is needed to supervise the workers closely.· Self-actualization: The drive to become what one is capable of becoming. Theory Y ± In this theory management assumes employees may be ambitious. self-direction. anxious to accept greater responsibility. . supervision. recognition. and self-fulfillment Maslow separated the five needs into higher and lower orders.
Explain Staffing in detail 3.10 Answers to SAQs and TQs SAQs: . 2. motivators describe a person¶s relationship with what she or he does. and coordinating the work components to achieve organizational goal. Planning involves the process of defining goals. and developing plans to integrate and coordinate activities. who is to do. many related to the tasks being performed. Write a short not on directing. 2. When hygiene factors are adequate. 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. people will not be dissatisfied. 2. What is planning? 2. have to do with a person¶s relationship to the context or environment in which she or he performs the job. Staffing refers to the managerial function of determining and improving the manpower requirements of an enterprise. ____defined management as the art of getting things done through people. 3. It involves many sub-functions such as manpower planning. Organization involves designing. establishing strategies for achieving these goals. The _____analysis begins with a scan of the external environment. Removing dissatisfying characteristics from a job does not necessarily make the job satisfying. Job satisfaction factors are separate and distinct from job dissatisfaction factors. _______refers to the managerial function of determining and improving the manpower requirements of an enterprise. 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. 2. how the tasks are to be grouped. who reports to whom.9 Terminal Questions 1. Hygiene factors on the other hand. To motivate people. neither will they be satisfied. structuring.8 Summary Management is the art of getting things done through people. performance appraisal etc. Every organization needs to plan for change in order to reach its set goal. emphasize factors intrinsically rewarding that are associated with the work itself or to outcomes directly derived from it. It is the process of determining what tasks are to be done.In summary. and where decisions are to be made. recruitment. Self Assessment Questions 1.
6 Copyright © 2009 SMU Powered by Sikkim Manipal University .6 OD and Management Development 3.2 Definitions 3.7 Role of OD 3. Reference 2.5 3.3 2.8 Problems in OD .4 Categories of OD 3. Reference 2.5 Goals of OD 3. Reference 2. MU0002-Unit-03-Organization Development: A Need Unit-03-Organization Development: A Need Structure: 3.1.1 Introduction Objectives 3. SWOT 3.3 Characteristics of OD 3. Follett 2. Staffing Answers to TQs: 1.
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. and attention was soon directed toward other human and social processes in organizations such as the design of work tasks. Simple survival ± continuing to have an adequate job ± is a major challenge today in the light of constant layoffs and cutbacks. take advantage of opportunities. 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 processes. Are any strategies available to help people and organizations cope. A variety of solutions exists. challenges from turbulent environments.11 Answers to SAQs and TQs 3. Although new jobs are being created at record rates. We predict that organization development will be preferred improvement strategy in future. strategy formulation and implementation.10 Terminal Questions 3. In summary. OD focuses on issues related to the ³human side´ of organizations by finding ways to increase the effectiveness of individuals. Organizations face multiple challenges and threats today ± threats to effectiveness. Keeping organizations healthy and viable in today¶s world is a daunting task. adapt. efficiency. fighting obsolescence of one¶s knowledge and skills. and profitability. and the organization¶s human and social processes. conflict resolution.Self Assessment Questions 3. organization development is a process of teaching people how to solve problems. and the like. Today. the answer is ³yes´. old jobs are being destroyed at an accelerating pace. ³Knowledge´ work is replacing ³muscle´ work. Organization development is a relatively recent invention. and the constant challenge to maintain congruence among organizational dimensions such as technology. and achieving human connectedness and community in the workplace. organization structure. . Individuals in organizations likewise face multiple challenges ± finding satisfaction in and through work. strategy.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.9 Summary 3. organizations and the individuals in them face an enormously demanding present and future. teams. And organization development (OD) is one of them. and even prosper in these vexing times? Fortunately. Basically. organization development represents one of the best strategies for coping with the rampant changes occurring in the marketplace and society. Early returns were encouraging. culture. and learn how to do that better and better over time. maintaining dignity and purpose in pursuit of organizational goals. and changing customer demands. increased competition. survive.
planning and communication) to one which institutionalizes and legitimizes this examination. (Bennis.Objectives: After studying this unit. self-analytic methods. attitudes. OD can be defined as a planned and sustained effort to apply behavioural science for system improvement. you will be able to: · Define organization development.change of an organization¶s culture from one which avoids an examination of social processes (especially decision making. and culture. using reflexive. people. (Burke and Hornstein. and challenges. · Explain the characteristics of OD. 3. 1971) Organizational development is a process of planned change. values and structure of organization so that they can better adapt to new technologies. 1969). and 3) Developing the organization¶s self-renewing capacity (Beer. markets. strategy. 1972) The aims of OD are: 1) Enhancing congruence between organizational structure. · State the goals of OD. 2) Developing new and creative organizational solutions. a complex educational strategy intended to change the beliefs. A ³process for improving processes´ ± that is what OD has basically sought to be for approximately 25 years (Vaill. 1989) . 1980). processes. · Discuss the categories of OD programme. 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«. and the dizzying rate of change itself.2 Definitions Organization Development (OD) is a response to change. · Distinguish between OD and Management Development · Explore the problems in OD. (Schmuck and Miles.
and processes for improving an organization¶s effectiveness.´ (Burke. and techniques aimed at the planned change of the organizational work setting for the purpose of enhancing individual development and improving organizational performance.´ (Porras and Robertson.several years in most cases. empowerment. But these are not serious constraints given that the field is still evolving. One program or initiative moves the organization to a higher plateau. but it includes a number of components that we consider essential. Top management must initiate the improvement . 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. through an ongoing. then another moves it to yet a higher plateau of effectiveness. that is.³Organizational development is a set of behavioural science-based theories. Likewise. these definitions convey a sense of what organization development is and does. it includes pain and setbacks as well as success. We will explain this definition in some detail. strategies. including action research. led and supported by top management. they agree that the target of change is the total organization or system and that the goals are increased organizational effectiveness and individual development. ³Organization development is a long-term effort. and that practitioners share a central core of understanding as shown in the preceding definitions. it is more accurate to describe ³improvement´ as a never-ending journey of continuous change. In fact. learning. The phrase led and supported by top management states an imperative: Top management must lead and actively encourage the change effort. Now let¶s turn to our definition of organization development. Organizational change is hard. and problem-solving processes.´ This definition is lengthy. but as one that includes characteristics we think are important for the present and future of the field. these definitions overlap a great deal (that¶s encouraging). research. values. Collectively. and contain several unique insights (that¶s enlightening). 1992) ³OD is a systematic application of behavioral science knowledge to the planned development and reinforcement of organizational strategies. serious business. what practices should be included and excluded.´ (Cummings and Worley. By long-term effort. We do not propose it as the ³right´ definition. to improve an organization¶s visioning. They describe in broad outline the nature and methods of OD. and theory. 1993) ³Organization development is a planned process of change in an organization¶s culture through the utilization of behavioural science technologies. we mean that organizational change and development takes time. There is no ³quick fix´ when it comes to lasting organizational improvement. There is no set definition of OD and no agreement on the boundaries of the field. structure. All authors agree that OD applies behavioural science to achieve planned change. 1994) As you can see. through the alteration of organizational members¶ on-the-job behaviours.
By learning processes. attitudes. we mean those interacting. we affirm our belief that culture is the bedrock of behaviour in organizations. we mean involving large numbers of people in building the vision of tomorrow. By empowerment processes. By ongoing collaborative management of the organization¶s culture. activities. Empowerment means involving people in problems and decisions and letting them be responsible for results. Just as visioning. that one of the most important things to manage in organizations is the culture: the prevailing pattern of values. has a stake in making the organization work. 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. team. and challenges in the organization¶s environment and its internal functioning. developing the strategy for getting there. and common purposes of all members of the organization. norms.³journey´ and be committed to seeing it through. strategy. By including culture so prominently in our definition. For empowerment to become fact of life. Peter Senge describes learning organizations as ³« organizations where people continually expand their capacity to create the results they truly desire. lost its commitment. and processes makes each important. where collective aspiration is set free. culture is of . assumptions. and organizational learning. it must be built into the very fabric of the organization-its strategy. learning. make decisions. 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.´ Problem-solving processes refer to the ways organization members diagnose situations. beliefs. and culture. Still. By empowerment. where new and expansive patterns of thinking are nurtured. solve problems. opportunities. expectations. widely shared vision of a desired future creates the best climate for effective problem-solving by all the organization¶s members. The reciprocal influence among culture. vitality. and self-examining processes that facilitate individual. we mean. so is managing the culture. the ways those goods will be produced and delivered to customers. We believe solutions to problems are enhanced by tapping deeply into the creativity. Michael Beer¶s definition called for ³developing new and creative organizational solutions´. and shared picture of the nature of the products and services the organization offers. we mean those processes through which organization members develop a viable. first. and making it happen. We further believe that having compelling. 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. And second. Collaborative management of the culture means that everyone. and where people are continually learning how to learn together. or became distracted with other duties. commitment. not just a small group. empowerment. in contrast to having only a select few involved. Most OD programs that fail do so because top management was ambivalent. and problem-solving processes are opportunities for collaboration in organization development. listening. and each influences the others. By visioning processes. managing the culture should be a collaborative business. and what the organization and its members can expect from each other. sentiments. interactions. and artifacts. coherent. and take actions on problems. processes. structure. structure.
hiring. therefore (e) is to be taught to new members as the (f) correct way to perceive. values. team culture can be collaboratively managed to ensure effectiveness. The results are usually highly gratifying both for the team members and for the organization. . (b) invented. The old method was to have functional specialists work on the problem sequentially. or developed by a given group. 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. think. and using management information. intact work teams do not have a boss in the traditional sense-the teams manage themselves. and we highlight the importance of visioning. We think teams are the basic building blocks of organizations. But change becomes permanent when the culture changes and people accept the new ways as the ³right´ ways. (c) as it learns to cope with its problems of external adaptation and internal integration. So culture consists of basic assumptions. When teams function well.primary importance. empowerment. so they are the place OD programs often begin ± getting people to stop doing things one way and start doing them a different way. much rework. This method resulted in loss of synergy. empowerment. These self-directed teams assume complete responsibility for planning and executing work assignments. When one function finished with its part of the project. Our definition also places considerable weight on organizational processes. self-directed teams control performance appraisals. and continuous learning the organization is bound to succeed. The most prevalent form of teams in organizations is intact work teams consisting of superior and subordinates with a specific job to perform. In Liberation Management. wasted time. and norms of behaviour that are viewed as the correct way to perceive. and feel in relation to those problems. and considerable antagonism among the separate functional specialists. Team building and role and goal clarification interventions are standard activities in OD programs directed toward intact work teams. discovered. and then disbanded with the people going on to new tasks. individuals and the organization function well. He uses the terms µmultifunctional projectization¶ and µhorizontal systems¶ to describe these teams and their work. learning. think. We believe that when the culture promotes collaboration. and feel-that is why culture change is necessary for true organizational improvement. members are trained in competencies such as planning. Processes are relatively easy to change. Temporary. (d) that has worked well enough to be considered valid and. engineering. firing. we recognize that teams are central to accomplishing work in organizations. 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. Processes are how things get done. By intact work teams and other configurations. and procurement. Today¶s organizations increasingly use ad hoc teams that perform a specific task and disband when the task is completed. But in many organizations today. and problem-solving processes. Over time. and training. Edgar Schein clarifies the nature and power of culture in his definition: ³Culture can now be defined as (a) a pattern of basic assumptions. In addition to team building and role and goal clarification. Further. the process ³threw the results over the wall´ to the next functional unit. manufacturing. such as design. maintaining quality control.
The definition we have just analyzed contains the elements we believe are important for OD. and co-learners with the client system. 8. OD takes a developmental view that seeks the betterment of both individuals and the organization. 3. OD focuses on culture and processes. so that change is easily observed. OD views organization improvement as an ongoing process in the context of a constantly changing environment. 6. 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. Attempting to create ³win-win´ solutions is standard practice in OD programs. OD encourages collaboration between organization leaders and members in managing culture and processes. constantly shifting teams will be the dominant configuration for getting work done. 7. Participation and involvement in problem-solving and decision-making by all levels of the organization are hallmarks of OD.3 Characteristics of OD 1. 9.multifunctional. OD practitioners are facilitators. Teams of all kinds are particularly important for accomplishing tasks and are targets for OD activities. Specifically. 3. 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. To summarize. This µplanned¶ emphasis separates OD efforts from other kinds of more haphazard changes that are frequently undertaken by organizations. Comprehensive Change: OD efforts focus on comprehensive change in the organization. dynamic and adaptive system. 2. rather than focusing attention on individuals. Planned Change: OD is a strategy of planned change for organizational improvement. OD . 2. OD focuses on total system change and views organizations as complex social systems. OD focuses on the human and social side of the organization and in so doing also intervenes in the technological and structural sides. 4. 5. 10. The concept of comprehensive change is based on the systems concept-open. according to Peters. OD relies on an action research model with extensive participation by client system members. collaborators. here are the primary distinguishing characteristics of organization development: 1.
At the individual level. Rather. joint goals and means. He shares a social philosophy about human values. OD focuses on the elevation of an organization to a higher level of functioning by improving the performance and satisfaction. A change agent in OD process does not just introspect the people and introduce changes. participation. The relationship involves mutual trust. This is done to arrive at certain desirable outcomes that may be in the form of increased effectiveness. rather. Organization Development is inextricably linked with action. and mutual influence. 6. They discourage µdo it yourself¶ approach. Emphasis on Intervention and Action Research: OD approach results in an active intervention in the ongoing activities of the organization. 5. 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¶. OD attempts to provide opportunities to be µhuman¶ and to increase awareness. 7. interactive. third party change agent. and cyclic processes. Thus. collects relevant data. 3.efforts take an organization as an interrelated whole and no part of it can be changed meaningfully without making corresponding changes in other parts. and integrate individual and organizational goals. rather. identity. the importance and centrality of goals and objectives and the different role requirements . and then. and (c) Problems of organizational effectiveness. evaluates these data. 3. or catalyst.4 Categories of OD Programmes In general. they are ongoing. It recognizes that organizational goals change. further more. Key areas are the normative type of model. 4. He designs intervention strategies based on these data. There is a close working relationship between the change agent and the target organizational members to be changed. all types of experience requiring Organization Development efforts may be grouped into three categories: (a) Problems of destiny. The change agent is a humanist seeking to get a humanistic philosophy in the organization. and adaptability for the organization as a whole. (b) Problems of human satisfaction and development. takes actions for intervention. and revitalization. temporary. he conducts surveys. or isolated problems. growth. 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. so the methods of attaining these goals should also change. OD efforts are not one-shot actions. problem-solving. Long-range Change: OD efforts are not meant for solving short-term. Participation of Change Agent: Most OD experts emphasize the need for an outside. Action research is the basis for such intervention. it is a programme with a purpose that is to guide present and future action.
with the authority of knowledge and competence. its underlying theory and assumptions and some of the pitfall and challenges in attempting to improve organizations through behavioural science. This Organization Development progrmmes. practitioners and the client laymen. (c) To locate decision making and problem-solving responsibilities as close to sources of information as possible. We need to examine carefully the techniques of Organization Development. Although Organization Development Programmes vary. (e) To make competition more relevant to work goals and to maximize collaborative efforts. (c) The interventions are directed towards problem-solving and improved functioning for the client system. second. . like other normative re-educative programmes. the element which links Organization Development with the scientific method of inquiry and. Two important elements of Organization Development are. first. and (d) The interventions are based on behavioural science theory and technology.5 Goals of Organization Development Following are the generally accepted goals of OD: (a) To create an open. (f) To develop a reward system which recognizes both the achievement of the organization¶s goals (profit or service) and development of people. 3. yet following features are common to most of the programmes: (a) The client is a total system or major subunit of total system. (b) The interventions are primarily directed towards problems and issues identified by the client group.of the consultant change agent vis-à-vis the clients. problem solving climate throughout an organization. the collaborative relationships between the scientists. (g) To increase the sense of µownership¶ or organization¶s objectives throughout the work force. (d) To build trust among persons and groups throughout an organization. (b) To supplement the authority associated with role or status. 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.
Burke and Schmidt have made this difference more clear which is presented in the following table. Based on this. (i) To increase self-control and self-direction for people within the organization. MD tries to fit the men to the organization. there are four attributes of effective managers in large 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. 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. management development has been defined as follows: ³Management development is all those activities and programmes when recognized and controlled.6 OD and Management Development At this stage. and (iv) a sense of responsibility. more attention to peer-groups. (ii) competitiveness. less individual competitiveness. If OD efforts train people towards anti-authority value. with their existing objectives and structure. according to him. (j) To improve effectiveness of the organization. According to him. (iii) assertiveness. and techniques adopted in both may overlap to some extent. let us define management development as we have seen the definition of OD. However. and greater display of feelings and emotions. While the latter aims at developing the mangers individually for the accomplishment of better performance in organizational setting. it is beneficial to make a comparison between OD and Management Development (MD) as both have some common objectives that betterment of an organization. then would the results be functional for managing organization activity in a competitive world? Thus. These are: (i) a positive attitude towards authority. 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. 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. OD tries to fit the organization to the men. 3. Before making a comparison between the two. He feels that management development reinforces the above four qualities and helps managers cultivate and develop the will to manage. . the former goes one step further and purports to change the entire organizational climate where the mangers work. The term µdevelopment¶ refers broadly to the nature and direction of change induced in personnel through the process of training and education.´ Organization development differs from management development.
substantial disenchantment with OD became evident because of many controversial OD techniques like sensitivity training. 5. has invited sharp criticism as a strategy to increase organizational viability and effectiveness because many OD programmes have failed. Problem-solving approach. 3. Trained specialists required. 2. 4. it is quite suitable for improving organizational performance on long-term basis. To increase the level of self and group responsibility in planning and its implementation.7 Role of Organization Development Organization development. Since OD attempts to bring comprehensive change in the organization. 7. To increase the level of enthusiasms and personal satisfaction at all levels of the organization. Train and equip employees and managers to perform better in existing organization. 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. In early 60s. plays key role in organizational improvement. . 3. No special requirement. Educative and training Short-range. horizontally. OD can be utilized for the following results in the organization: 1. To create an environment in which authority of assigned role is augmented by authority based on knowledge and skills. By 70s. To increase the openness of communications in all directions-vertically. OD became quite successful with many professional consultants offering high services and programmes to various organizations.8 Problems in Organization Development Organization development. and laterally. To place emphasis on humanistic values and goals consistent with these vales. Long-range strategy for organizational innovation and renewal. 6. To increase the level of trust and mutual emotional support among all organization members.Focus Approach Time Specialist accomplishments. Thus. To treat each human being as a complex person with a complex set of needs important in his work and his life. however. however. Much of the enthusiasm created at the beginning of OD programmes vanished over the period of time. not on the managers. 3. as a long-term strategy for organizational change. Focus on design. focus on achieving improvement in design.
5. OD is criticized on the following lines: 1. Resistance to change is a natural phenomenon and OD puts undue pressure to change. Therefore. it fails even as a long-term strategy. 2. Thus. and only large organizations can afford this luxury without any guarantee of positive outcome. OD makes people unfit for the real organizations world because no organization can fully adopt open system concept. in order to make best use of OD efforts. 2. Research studies have also failed to conclude significant contributions of OD in all organizations. Only fully competent OD consultant should be pressed for the service and he should develop understanding with internal change agents. etc. There is discrepancy between ideal and real situations. it is useless to try OD. If an organization is laden with these people. OD programmes are often quite costly. However. Therefore. Self Assessment Questions . Some of these efforts are as follows: 1. 4. it may be emphasized that OD programmes are likely to fail when these are not programmes and hence failure. 3. 4. 5. Organization must formulate the objectives of OD programme very clearly and specifically.confrontation techniques. For example. In general. It can be seen that many of these criticisms are based on reality and experience. OD fails to motivate people with low level of achievement needs. There should be proper use of OD interventions. it can be visualized that OD itself may not be dysfunctional but application may be. and (iii) failure to increase employee motivation through participation and development of personal growth and self-esteem. There should be genuine support of OD programme from top management. 3. 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. OD tries to achieve ideal without taking into account real. OD can not be taken as panacea for curing all organizational problems. particularly in bottom-line ones. People realized its dysfunctional aspects only when many OD efforts failed. These should be based on the specific needs of the organization. Hence. some specific efforts are required. and (ii) failure to correctly model appropriate personnel behaviour in the programme. Enough time should be allowed so that the effects of OD programme are realized.
2. problem-focused µnature of OD¶ marshals the experience and expertise of organization members for problem-solving and capitalizes the opportunities in the organization.1. What are the problems involved in the implementation of OD? 3. Define OD. 3. Explain its salient features. _____________is a short-term strategy. OD is the ultimate remedy for organizational improvements and developments. 3. 3. Empowerment 4. Distinguish between µorganizational development¶ and µmanagement development¶. State the various roles of OD. 4. Explain the various characteristics of OD. Who is associated with the ³Learning Organizations´? 5. Organization development should be led and supported by ±±±±±±±. There is no µquick fix¶ to organizations¶ problems. collaborative. It focuses on the human and social side of the organization and in so doing also intervenes in the technological and structural sides. OD focuses on culture and processes. 5. 3. Tom Peters 3.11 Answers to SAQs and TQs SAQs: 1. But OD aims at changing the entire organizational climate where the managers work.9 Summary The definitions clarify the distinctive features of OD and suggest why it is such a powerful change strategy. Peter Senge . 2.10 Terminal Questions 1. Management development aims at developing the managers individually. The participative. ±±±±±±±±± is a process which includes leadership behaviours and human resource practices. ±±±±±±± is associated with ³Liberation Management´. Top management 2. 4.
5.5 Leadership Development 4.8 Copyright © 2009 SMU Powered by Sikkim Manipal University . Refer section 3.6 4.4 Grid Training 4. Refer section 3.2 2. Refer section 3. Management development Answers to TQs: 1.3 Process Consultation 4. MU0002-Unit-04.2 Survey Feedback 4.Organization Development ± Interventions Unit-04. Refer section 3.1 Introduction Objectives 4.6 Team-building .Organization Development ± Interventions Structure: 4. Refer section 3.3 3.7 5.
the classification appears to be more relevant because it may specify the range of change that an organization requires. inter-group activities. the classification of OD interventions shows variation. and organizational culture.8 Change Agents 4. education and training. process consultation. techno-structural activities.4. work group. interventions may be required to change people at all these levels. OD efforts were attempted through sensitivity training. 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. For example. Thus. many of them visualize data gathering as an intervention whereas it is treated as only preparatory work for OD by others.11 Terminal Questions 4. French and Bell have suggested twelve families of OD interventions: diagnostic. mediation and negotiation activities. However. they make things happen. Interventions constitute the action thrust of organization development.7 Inter Group Development 4.´ There are various OD interventions and they are classified in different ways. and organizational level. Historically. interpersonal level. inter-group level. Subsequently. and survey feedback method. other techniques like process . Nevertheless. group level. 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. Therefore. various consultants and practitioners have different opinions about the activities which can be included in interventions.12 Answers to SAQs and TQs 4. grid training.10 Summary 4. survey feedback. management grid.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. Further. team-building. 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. 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. People¶s behaviour may be relevant to understand at individual level.9 Role of Change Agents Self Assessment Questions 4.
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
It utilizes a considerable number of instruments. Teamwork Development: The focus in this stage is to develop teamwork by analyzing team culture. significant correlation between the outcomes has not been found. and problemsolving are also developed. both these problems may be overcome by engaging a suitable consultant and developing willingness among the members for change. traditions. To evaluate the styles of leadership and techniques of participation to produce desirable results. However. knowledge. The thrust is on moving groups from conflict to co-operation. and processes necessary for effectiveness at the individual. groups. The grid organization development consists of six phases. the focus is on inter-group behaviour and relations.4 Grid Training Grid training is basically based on grid organization development developed by Blake and Mouton. However. enabling individuals and groups to assess their own strengths and weaknesses. problem-solving. 1. Action steps to move towards the ideal are developed and assigned to individuals who may be engaged in building co-operative inter-group relationships. communication skills. To study the organization as an interactive system and apply techniques of analysis in diagnosing its problems. like other OD intervention techniques. It is a comprehensive and systematic OD programme which aims at individuals. 3. Managerial grid: It covers various aspects of assessing managerial styles. Its specific objectives are as follows: 1. Process of Grid Training The basic content of grid organization development is managerial grid as discussed. . P.C is also not free from criticisms. The individuals try to learn to become managers by practice. P. and teamwork. objective-setting. inter-group.C is very effective intervention for organizational improvement. 2. To understand the importance and rationale of systematic change. and the organization as a whole. group. 3.C programmes. The whole orientation is to develop managerial style through the application of behavioural science knowledge. 2. In the review of various P. The skills relating to planning. and total organizational levels. One basic reason for this phenomenon may be the consultant¶s inability to steer the organization out of troubles. Inter-group Development: At this phase. From this point of view. focuses on skills. Each group separately analyses the ideal inter-group relations. 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.organizational members to incorporate those changes. and alike. 4.
´ In a later work. the focus shifts to the total organization and to develop skills necessary for organizational excellence. you need to be aware that there are three distinct times zones where leadership is important. it discounts reality. The members of the organization are trained for achieving this excellence. Furthermore. 4. We will look more carefully at each of these. employees will perceive leadership as supportive. The strategy is then implemented. confident and effective decision-making. employees will look towards the leaders for a number of things. The Role of Leadership In an organization where there is faith in the abilities of formal leaders. and credibility of senior and middle management. while at the same time . Systematic Critique: In this stage. The analysis will bring out the shortcomings that may be there. competence. lead. is the ability of leadership to«well. the various efforts from phase 1 to phase 5 are evaluated and critical analysis is made. Each group may be given assignment to evolve strategy for making ideal organization with the help of the consultant. it appears that this type of educational strategy can help to make significant contributions to organizational effectiveness. The action is designed to identify the characteristics of the ideal organization.4. During drastic change times. grid training has some positive contributions for organizational effectiveness. Slogging Through The Swamp. some of them have not supported the claims made by Blake and Mouton. and regular. Also during these times of change. In this light. therefore. If you are to manage change effectively. They have maintained that ³managerial and team effectiveness can be taught to managers with outside assistance. they maintained the same stand. in spite of these criticisms. Though research studies on the application of grid training are not many. 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. the various programmes may be redesigned. concerned and committed to their welfare. and After Arrival.5 Leadership Development When change is imposed (as in downsizing scenarios). Developing Ideal Strategic Corporate Model: At this stage. Further. Evaluation of Grid Training Most of the support of grid training has come from its originators-Blake and Mouton. 6. complete communication that is timely. The literature on the subject indicates that the nature of the change is secondary to the perceptions that employees have regarding the ability. We can call these Preparing For the Journey. 5. Grid training programme is criticized on the basis that it lacks contingency approach and. employees will expect effective and sensible planning. grid training is a non-rigorous method. clearly the most important determinant of "getting through the swamp".
In a climate of distrust. In organizations characterized by poor leadership. which. The best way to summarize is that there is a climate of trust between leader and the rest of the team. 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. by the time you have to deal with difficult changes. Leadership before.recognizing that tough decisions need to be made. employees expect nothing positive. employees learn that leaders will act in indecipherable ways and in ways that do not seem to be in anyone¶s best interests. and applied OD intervention for organizational improvement. they do represent a broad pattern that may be observed and predicted in many settings across team¶s time together.1: Life Cycle of a Team Though these are not followed rigidly. 4. 4. The organization must deal with the practical impact of unpleasant change. results in an organization becoming completely nonfunctioning. Before going through how team-building exercise can be undertaken to develop effective teams. let us consider the life cycle of a team. The existence of this trust. must labor under the weight of employees who have given up. they often pass through several stages as they learn to work together as a team.6 Team-building Various OD interventions discussed so far have their specific implications for OD and. norming. brings hope for better times in the future. Poor leadership means an absence of hope. 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 . are closely associated with a very few advocates and practitioners. it may be too late. As against these. performing. and that makes coping with drastic change much easier. These stages are: forming. therefore. storming.´ 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. problems in team-work. Unfortunately. have no faith in the system or in the ability of leaders to turn the organization around. Life Cycle of a Team When a number of individuals begin to work at interdependent jobs. but more importantly. and features of effective team so that team-building exercises focus more sharply on developing effective team. if allowed to go on for too long. For example. and adjourning as shown below: Fig. if haven¶t established a track record of effective leadership. during and after change implementation is THE key to getting through the swamp. widely accepted. how synergy is generated through team-work. teambuilding is the most important.
Adjourning: Adjourning is the end phase of cycle of a team. each team has to be adjourned. etc. committee. They share personal information. team members get introduced to each other if they have not interacted earlier. team members start settling. intense social relationship among members comes to an end. At this stage. At this stage. interaction among team members is often cautious especially when they are new to one another. group norms emerge to guide individual behaviour which form the basis for co-operative feelings and behaviour among members. and arguing for appropriate strategies to be adopted for achieving team¶s goals. 2. The adjournment phase takes place in the case of those teams which are created for some special purposes like task force. different members may experience varying degree of tension and anxiety out of this interaction pattern. 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. concept of stages is significant in the context of the nature of problem which team members are likely to face in team-work. start to accept others. 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.´ . they learn to handle complex problems that come before the team. 3. because of individual differences. After the adjournment of the team. Storming: After the forming stage which is mostly related to perceiving and assessing each other. even the most successful teams as they have completed their mission.followed?´ ³How can conflicts among members be resolved?´ and so on. members start interaction among themselves in the form of competing for status. Forming: At the first stage of the life cycle. The team begins to move in a co-operative fashion and a tentative balance among competing forces too is struck. Performing: When team members interact among themselves on the basis of norms that have emerged in the team. Functional roles are performed and exchanged as needed. 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. 5. 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. Norming: After storming stage. This effect can be described as 2+2=5 effect. However. Sooner or later. and begin to turn their attention to the group tasks. 4. and tasks are accompanied efficiently. These typical stages of life cycle of a team are described below: 1.
we have mentioned that team effectiveness depends on the complementarity of team members. 2. From this statement. students find that one or two students do not put their weight for the completion of the project. group efforts tend to slacken. 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. 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. other factors remaining the same. The phenomenon of social loafing can be minimized by constituting effective team for group performance. This phenomenon may happen in teams in work organizations too. 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.2 pounds. and attitudes. Social Loafing Social loafing is antithesis of synergy in team-work which suggests that people working together on a common task may actually decrease their individual efforts. They rely on the fact the more reliable members will complete the project without their help. In the above paragraph. In fact. For example. When the division of work cannot be accomplished properly and individual efforts are hard to determine. The possibility of occurring of social loafing in a team-work increases because of the following reasons: 1. the team would be effective.6 pound of pressure while tugging on the rope. team-work does not necessarily spurt group efforts. 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. group of eight. synergistic effect is not automatic but depends on the complementarity of different elements that are put together and the way they interact among themselves. that is. Putting the concept of synergy in teamwork means members of the team are complementary to each other and they contribute positively to one another. it was found that individuals¶ total efforts were much higher than the group efforts. the individual average dropped down still lower-68. A simple phenomenon of social loafing may be observed in a group assignment to students during their study. goals. individual members do not contribute to the fullest extent. a team is created to undertake a task which requires a variety of skills and single individual cannot perform that task alone. Effective Team An effective team is one which contributes to the achievement of organizational objectives by performing the task assigned to it and providing satisfaction to its members. When the group is not cohesive with high output norms. it appears that there are many . They averaged 138. the complementarity among members is achieved. In such an assignment. fail to perform their assigned tasks.Thus. how a particular element affects another and is affected by it. Individuals were asked to pull alone as hard as possible on a rope attached to a strain gauge. other factors remaining the same. and so on. When the same individuals pulled on the rope of groups of three. in one experiment.
Further. or propose discipline for team members. skills which are complementary to the team requirement and understanding of one¶s own role as well as roles of other members. Super-ordinate Goals: Super-ordinate goals are those which are above the goals of a single team or a single individual. and share the responsibility for completing a project on schedule. . While skills are relevant for job performance. Thus. understanding of roles helps members to meet the requirement of one another thereby solving the problems which the team faces. customer satisfaction. they will put their maximum. and working approach: and willingness to be held mutually accountable. team members may tend to contribute positively to the teamwork. Real teams can be created and sustained by: 1.financial and nonfinancial-should be taken into consideration. common purpose. 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. serve to focus attention. supportive environment. 3. complementary skills. If team members perceive that reward to contingent on team performance. Selecting members for their complementary skills and potentials. 2. and stimulate more cohesive team efforts. super-ordinate goals and team rewards. 4. Rewards of both types. 2. Therefore. 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. he may tend to affect others because of chain reaction just like a rotten apple injures its companions. Katzenbatch and Smith. The positive aspect of all these factors leads to team effectiveness and team members share common values regarding product quality.factors in an effective team. They define four characteristics of real teams: small size. make recommendations regarding a new supervisor. 3. Let us see how these factors make a team effective. Supportive Environment: A team loaded with skilled members cannot perform well if the organizational climate is not supportive for that. team members may not show high degree of enthusiasm and they will use only a part of their skills in performing the jobs. An individual works better if he is able to link how his goal attainment leads to the attainment of a higher-level goal. two things are required from its members. Innovative non-financial team rewards for responsible behaviour may include the authority to select new members of the group. then. management consultants. goals. These super-ordinate goals. Even if one member lacks behind. Skills and Role Clarity: For an effective team. managers at higher levels particularly at the top level should set organizational climate and culture which enthuse team members to put their best. unify efforts. Developing clear rules of conduct and challenging performance goals. Team Rewards: Team performance depends on how reward is linked to team performance and how members perceive this linkage. 1. These factors are skills and role clarity. If the organizational climate is not in tune with high achievement.
Examining Differences: The perception of people on an issue differs because of their differing backgrounds.4. the emphasis should be on consensus. they are repetitive and cyclical as indicated by arrows in the figure. 1. The consensus-seeking part of the process necessitates that each person becomes thoroughly aware and understand clearly the basic concepts of team-development. rather. Team-building Process: Team-building attempts to improve effectiveness of the team by having team members to concentrate on: 1. Setting goals and priorities for the team. recognition. Analyzing how the team is working. group problems to even personal problem. Much of the problems may be solved through effective communication and training sessions. The role of communication is important in this context because it will help in clarifying the actual problems to the members. Providing positive feedback. 4. For achieving these. Analyzing how the work is performed. and rewards. This problem can better be identified in terms of what is hindering group effectiveness. 2. and 5. personality and attitudes. 2. such as. Providing substantial time together in which new information is constantly shared. The view may be quite different ranging from the organizational problem. 3. 4. the team-building exercise proceeds in a particular way as shown in figure. Fig. Problem-sensing: There are a number of ways in which problems of a team can be obtained. Analyzing how team¶s goals and priorities are linked to those of the organization. and 5. 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. their value systems. . generally most of the members come forward with their arguments as to what the real problems are. At this stage.2: Process of Team-building Various steps of team-building process are not one-shot action. Analyzing the relationships among the members who are performing the job. Often the team itself defines which aspects of team-building it wishes to work on. In problem identification.
etc. At the time of discussion of feedback. The feedback should be given to the members about their feelings. Often. etc. also provides opportunity to understand themselves. 4. criticizing person. (iii) Clarifying: resting. the way people talk about the issue. At this stage. . This is quite helpful in developing teamwork. 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. 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. The discussion should continue until all members of the team have commented.3. who was trying to resolve the differences. It involves deciding who will take care of each area of the team¶s responsibilities. with complex division of responsibility and authority among members. 5. (iii) Negative: cooling. Negative Behaviour (i) Over talk: interrupting. members report about the painful feelings that they have at the time of evaluation of their feelings. feelings. seeking relevant information. cynicism. encouraging others to participate. the stying with the topic or going off on tangents. belittling. (iv) Innovative: bringing in new relevant ideas. about the issue. Follow-up Action: This is the final stage in team-building. understanding. (ii) Attacking: deriding. This suggests that even people are not fully aware of themselves. If this process is adopted several times. Followup action also helps in overcoming the drawback involved at the initial stages of team-building. people themselves take assignments to increase specific constructive behaviours and decrease specific negative behaviours. and who will be responsible for team projects in a group that has not developed a satisfactory division of responsibility. undermining morale. there is a strong possibility that members may learn constructive behaviours and leave negative behaviours. talking together with speaker. (ii) Bringing in: harmonizing. Such feedback generally provides members to evaluate the values but at the same time. clarifying and setting differences in perception concerning responsibility and authority in the team. who was talking more or who was talking less. information. ensuring. Following are the examples of constructive and negative behaviours: Constructive Behaviour: (i) Building: developing and expanding the ideas of others. The concept of Johari Window may also be applied.
team-building has been termed as one-sided effort and it suffers from the following limitations: 1. 3.7 Inter-group Development A major area of concern is OD is the dysfunctional conflict that exists between groups. It improves the organization¶s problem-solving and decision-making ability. 4. one of the more . structure. Many research studies have also confirmed the positive contributions of team-building on the organization¶s outcomes. management should take such actions at regular intervals so that members feel reinforced and sustain their positive behaviour. there have been calls for combining team-building with organization behaviour modification approaches. to encourage and sustain such feelings. It focuses only on work groups and other major organizational variables such as technology.These attempts bring co-operative and supportive feelings among people involved in the team functioning. it contributes positively towards the feelings of the people. listening. team-building as an OD intervention has attracted maximum attention.. monitoring. Although there are several approaches for improving intergroup relations. When this exercise is undertaken at the initial stage. though. It helps in developing effective interpersonal relationships by stimulating the group members for that. are not given adequate attention. stereotypes. One such suggestion is to use a task hierarchy to reinforce the team as it progresses up a behaviour skill hierarchy (for example. It helps developing communication within the group and inter-group and overcoming many psychological barriers that block communication flow. However. and feedback skills). 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. etc. However. Team-building becomes a complicated exercise when there is frequent change in team members. this has been a subject to which change efforts have been directed. Such actions will go a long way in shaping the organizational climate quite conducive to members for their efficient working. it is not that effective in isolation. In general. communicating. Therefore. In spite of these problems. However. and perceptions that groups have of each other. As a result. team-building contributes to the organizational performance in the following manner: 1. It seeks to change to attitudes. 2. team-building has a positive outlook. in different degrees. 2. Evaluation of Team-building As mentioned earlier.
enabling the client to let off steam: as the ignition to spark action. In contrast. each group meets independently to develop lists of its perception of itself. may be more thoughtful (and possibly cautious) because they to live with the consequences of their actions. as the radiator absorbing some of the heat of the controversy. as the accelerator to build up momentum. as the break for too quick action. or as fog lamp when the future is hazy. culture. Subgroups. 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. but one thing he/she is not the driver´. For major change efforts. or outside consultants. internal management often will hire the services or outside consultants to provide advice and assistance.Popular methods emphasize problem solving. however.9 Role of Change Agents The change agent may play different roles according to the need of organization development . the groups can move to the integration phase ± working to develop solutions that will improve relations. 4. as the shock absorber when the going is rough. Once the causes of the difficulty have been identified. According to Curtis Mial: ³The Consultant may serve as the exhaust value. Because they are from the outside these individuals an offer can offer an objective perspective often unavailable to insiders.8 Change Agents Change agents: Can be managers or nonmanagers. The groups then share their lists. 4. can now be created for further diagnosis and to begin to formulate possible alternative actions that will improve relations. Trainer . after which similarities and differences are discussed. and the groups look for the causes of the disparities.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. and how it believes the other group perceivers it. employees of the organization. Differences are clearly articulate. with members from each of the conflicting groups. internal staff specialists or managers when acting as change agents. The consultant may fulfill a variety of functions. In this method. are disadvantaged because they usually have an inadequate understanding of the organization¶s history. and personnel. Outside consultants. the other group. operating procedures.
________is antithesis of synergy in team-work which suggests that people working together on a common task may actually decrease their individual efforts. films. generation of new behavioral science knowledge. 2. inter-group and total organization levels. In process consultation. 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. Data collection. group. attitudes and beliefs. Useful hypothesis are to be formulated and tested. diagnosis. group discussions. feedback of information. Self Assessment Questions 1. 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. widely accepted and applied OD intervention for organizational improvement. What is Grid Training? How does it help in improving individual performance in an organization? . 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. presentations.A change agent needs to be a trainer and educator. team-work does not necessarily spurt group efforts 4. changing (intervening) and refreezing. Training is used both in µcontent orientation¶ and process orientation¶. Grid Training was developed by ±±±±±±±±±±±± 3. He has to educate people on the need and importance o change using a variety of methodologies ± lectures.10 Summary OD intervention strategies are various activities which a consultant and client organization performs for improving organizational performance. Grid training focuses on individuals and groups to assess their own strengths and weaknesses. cases and experiential learning etc. The trainer role is most widely and intensively used at all stages of a change project: unfreezing. It focuses on skills. 4. The first step in survey feedback is ______ usually by a consultant based on a structured questionnaire. Sensitivity training focuses on small group ranging from ten to twelve.11 Terminal Questions 1. knowledge and processes necessary for effectiveness at the individual. role-plays and instruments. developing action plans based on feedback and follow-up. skills and change in behavior. Training is required for enhancing knowledge. Team-building is most important. Survey feedback usually proceeds with sequential activities involving data collection.
What is team-building? What are the stages of life cycle of a team? 4. 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.4 2. Explain Change agents and discuss the role of change agents in detail. Refer section 4.8 Copyright © 2009 SMU Powered by Sikkim Manipal University . and Beliefs in Organization Development Structure: 5. Data collection 2. 3.2 3.12 Answers to SAQs and TQs SAQs: 1. MU0002-Unit-05-Values.6 4. Assumptions. Refer section 4. Assumptions.2. Refer section 4. Social loafing Answers to TQs: 1. 4. Refer section 4. Blake and Mouton.1 Introduction .
and beliefs constitutes an integral part of organization development.Objectives 5.2 Definitions 5.1 Implications for Dealing with Individuals 5.5.2 Definitions . These values and assumptions have developed from research and theory by behavioural scientists and from the experiences and observations of practicing managers.3 Chronology of Events in Management and Organization Thought 5. Most of these beliefs were formulated early in the development of the field. beliefs and assumptions.6 Summary Self Assessment Questions 5.5. Objectives: After studying this unit. assumptions. · List the chronology of events of values. and they continue to evolve as the field itself evolves.8 Answers to SAQs and TQs 5.2 Implications for Dealing with Groups 5.7 Terminal Questions 5.5. shaping the goals and methods of the field and distinguishing OD from other improvement strategies. · State the implications of OD values and assumptions. 5. beliefs and assumptions. · Give the statement of OD values and assumptions.3 Implications for Designing and Running Organizations 5.5 Implications of OD Values and Assumptions 5.4 Early Statements of OD Values and Assumptions 5. you will be able to: · Explain the meaning of values.1 Introduction A set of values.
and beliefs provide structure and stability for people as they attempt to understand the world around them. Piece-rate pay systems were designed to increase motivation and to prevent "soldiering. Evidence for the validity of these values and their supporting assumptions comes from many sources ± the Hawthorne studies.A belief is a proposition about how the world works that the individual accepts as true. values. assume that everyone has intrinsic worth. and that rationality. OD values tend to be humanistic. repetitive tasks in an attempt to find "the one best way" to do each job. Values are also beliefs and are defined as: "Beliefs about what is desirable or µgood¶ (e.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. optimistic." or slacking off. Humanistic values proclaim the importance of the individual: respect the whole person.g. the clash between fascism and democracy in World War II. . increasing awareness of the dysfunctions of bureaucracies. that progress is possible and desirable in human affairs. Major ingredients of the zeitgeist that influenced OD values and assumptions are presented here in a brief chronology. strongly held. and assumptions being. the human relations movement. and democratic. Values and assumptions do not spring full grown from individuals or societies they are formed from the collective beliefs of an era-the zeitgeist.. assumptions. and goodwill are the tools for making progress. view all people as having the potential for growth and development. Optimistic values posit that people are basically good. the importance of fair and equitable treatment for all. treat people with respect and dignity. Simple. repetitive tasks minimized the skills required to do the job. 5. Thus. Taylor s methods quickly swept the country and the world as the way to organize work. they were fashioned into a coherent value foundation for the theory and practice of organization development. dishonesty).. Democratic values assert the sanctity of the individual. and the need for justice through the rule of law and due process. and beliefs are all cognitive facts or propositions. Values. As these ingredients accumulated. the right of people to be free from arbitrary misuse of power. with values being beliefs about good and bad. it is a cognitive fact for the person.g. or spirit of the time." Assumptions are beliefs that are regarded as so valuable and obviously correct that they are taken for granted and rarely examined or questioned. reason. and the like. the laboratory training movement. assumptions. Expert engineers and supervisors designed each task and ensured it was done correctly. relatively unexamined beliefs accepted as the truth. free speech) and what is undesirable or µbad¶ (e. research on the effects of different leadership styles. greater understanding of individual motivation and group dynamics.
extensive division of labor. greater attention to workers social needs. theory. organizations were not machines. a management theorist and astute observer of labour-management relations. Scientific management as the way to organize work and bureaucracy as the way to organize people were the prevailing paradigms for organizations in the early 1900s. their feelings and attitudes about the work. and the supervisor determined their performance. The research demonstrated the primacy of social factors on productivity and morale. authoritarian leadership caused dependency. Research by Lewin. and by Homans in 1950 profoundly and irreversibly affected people s beliefs about organizational behaviour. and practice since the late 1920s have focused on the shortcomings of these two paradigms and how to overcome the limitations. Group Dynamics (1940) The scientific study of groups using experimental research methodswas launched by Kurt Lewin and his students. Barnard (1938) presented insights from his experiences as President of the New Jersey Bell Telephone Company. much of the research. A strong hierarchy of authority. most efficient way to organize people. aggressiveness and poor performance. and a general humanizing of the workplace. Lippitt (1939). Mary Parker Follett (1926). training in interpersonal skills for supervisors. People were not cogs. by Roethlisberger and Dickson in 1939. apathy. The Functions of the Executive by Chester 1. y y y y y y y . Reports on these studies by Mayo in 1933 and 1945. Their simple. Some early experiments were conducted in the late 1930s. Group norms had more powerful effects on productivity than economic incentives. the work environment. but also contained serious flaws that led to unintended consequences. and rigid procedures would create a well-oiled human machine called the organization. The human relations movement advocated participative management. The Famous Hawthorne Studies (1927 to 1932) were conducted at the Hawthorne plant of Western Electric Company. wrote an article on The Giving of Orders advocating participative leadership and joint problem-solving by labour and management. Much of her career was devoted to finding ways to reduce adversarial relationships between workers and management. People came to work as whole people. His acceptance theory of authority proposed that authority derives from the willingness of subordinates to comply with directions rather than from position power. These approaches possessed many desirable features. Democratic leadership seemed to bring out the best in the groups. repetitive jobs left them feeling alienated and dispirited. Barnard viewed organizations as social systems that must be effective (achieve goals) and efficient (satisfy the needs of employees). and White demonstrated that democratic leadership was superior to authoritarian leadership and laissez-faire leadership in affecting group climate and group performance. impersonal rules.y The great German sociologist Max Weber (1922) introduced the concept of bureaucracy as the best. In a sense. The Hawthorne Studies (1940s to 1960) spawned the human relations movement that was in full flower from the 1930s to the 1960s.
P. this book popularized Maslow s motivation theory. In addition to presenting Theory X and Y. higherlevel needs become dominant. Burns and Stalker (1961) described two very different forms of organization structuremechanistic and organic. resist change. which postulates that organizations are comprised of a social system and a technological system and that changes in one system will produce changes in the other system. and human resource practices to allow individual potential to be released. increase self-understanding. Those who subscribe to Theory Y assume that people have the potential to develop. healthy adults. Those who subscribe to Theory X assume that people are lazy. 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. a direct precursor of OD. lack ambition. proposed that the leadership functions of a group should be shared between the leader and group members and showed how that could be done. Ken Benne and Paul Sheats (1948). and to pursue organizational goals if given the chance and the social environment to do so. a mechanistic organization y y y y y y y y . Motivation and Personality by Abraham Maslow (1954) presented a new view of human motivation. dislike responsibility. indifferent to the organization s needs. Carl Rogers Client-Centered Therapy (1951) demonstrated the efficacy of non-directive psychotherapy. Overcoming Resistance to Change. 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. French s (1948) article. management practices. pioneers in laboratory training. which holds that individuals have within themselves the capacity to assume responsibility for their behaviour and mental health when provided with a supportive. Laboratory training taught people how to improve interpersonal relations. Lester Coch and John R. to assume responsibility. Douglas McGregor wrote The Human Side of Enterprise (1960) in which he described his famous Theory X and Theory Y assumptions. In an environment of slow change. caring social climate. and need to be led. Eric Trist and Ken Bamforth of the Tavistock Clinic (1951) published the results of their work in British coal mines. are self-centered. This article introduced the concept of organizations as socio-technical systems. and understand group dynamics.y These years witnessed the beginnings of the laboratory training movement (1946 and 1947). 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. Humanistic and democratic values suffused the movement. The task of management is to change organizational structures. Rogers focus on effective interpersonal communications was applicable to superior-subordinate relations. The theory postulated that when lower-level needs are satisfied. and introduced practicing managers to the concepts of need hierarchy and self-actualization.
as we have said. more rational and open methods of conflict resolution are sought. Warren Bennis proposed that OD practitioners (change agents) share a set of normative goals based on their humanistic/ democratic philosophy. groups. Values have always been an integral part of OD. one-on-one leadership style. · Development of more effective "team management. y y This chronology captures most of the significant influences from research. humanistic. goal-oriented. He listed these normative goals as follows: · Improvement in interpersonal competence. We will examine three early statements regarding OD values that had a significant impact on the field. dysfunctions. and values of the field. Out of this zeitgeist. and observations utilized by OD practitioners. an organic organization form is preferred. · A shift in values so that human factors and feelings come to be considered legitimate. To summarize the intellectual climate of this period. and unprincipled power. The Bennis and Beckhard quotations come from their books in the Addison-Wesley Six-Pack." that is. · Development of better methods of conflict resolution. and democratic. Organic structures encourage decentralized decision making and authority. compromise.structure may be appropriate. Tannenbaum and Davis presented their ideas in an article appearing in Industrial Management Review. and organizations that is. Writing in 1969. optimistic. the initial enthusiasm for scientific management. The Social Psychology of Organizations by Daniel Katz and Robert L. Rather than the usual bureaucratic methods which rely mainly on suppression. summarized the state of organization development a decade or so after its inception. practice. open communications. This leadership style was contrasted with an authoritarian. and negative consequences. the capacity for functional groups to work more competently. and authoritarian leadership gave way to increasing doubts about these organizational practices as theory and research pointed up their limitations. These six books presented the theory. bureaucracy. . · Development of increased understanding between and within working groups in order to reduce tensions. theory. and greater individual autonomy. organization development practitioners formulated a set of values and assumptions regarding people. The Addison-Wesley Publishing Company OD Six-Pack. 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. and shares decision-making with the work group. Kahn (1966) presented the first comprehensive exposition of organizations as open systems. (1969) a set of six little books on OD by prominent practitioners. in an environment of high change.
not the basis of managerial strategy. This is a strong reaction against the idea of organizations as mechanisms which managers "work on. Another major player in the field was Richard Beckhard. 4. director of organization development." like pushing buttons. presented their view of OD values in a 1969 article." Mechanical systems insist on "strict division of labour and hierarchical supervision" while organic systems foster "multi-group membership and responsibility. sub-units of organizations.· Development of organic rather than mechanical systems. Here is his list. mechanical systems rely on "authority-obedience relationships" while organic systems rely on "mutual confidence and trust. In his 1969 book he described "several assumptions about the nature and functioning of organizations" held by OD practitioners. Robert Tannenbaum. mutual trust. and confidence between and across levels.´ For example. a professor and Sheldon Davis. An always relevant change goal is the reduction of inappropriate competition between parts of the organization and the development of a more collaborative condition. Through focused attention and through the collection and feedback of relevant data to relevant people. 5. 6. more choices become available and hence better decisions are made." 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. 2. 1. not individuals. Bennis clarified some of the salient differences between mechanical systems and organic systems. Stalker used the term ³mechanistic´ in contrast to ³mechanical. 3. rather than in a particular role or level of hierarchy. Therefore." Mechanical systems encourage "centralized decision-making" while organic systems encourage "wide sharing of responsibility and control. Organizations. the basic units of change are groups. Decision-making in a healthy organization is located where the information sources are. 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. The earlier work by Tom Burns and G. The basic building blocks of an organization are groups (teams). 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. and individuals continuously manage their affairs against goals. M. One goal of a healthy organization is to develop generally open communication." People affected by a change must be allowed active participation and a sense of ownership in the planning and conduct of the change. "People support what they help create. . Controls are interim measurements.
Beliefs such as trust and respect for the individual. but in the 1950s and 1960s they represented a radical departure from accepted beliefs and assumptions. 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. The democratic values prompted a critique of authoritarian. collaboration and co-operation. These values and assumptions may not seem profound today. the legitimacy of feelings. and arbitrary management practices as well as the dysfunctions of bureaucracies. · Away from avoiding facing others with relevant data toward making appropriate confrontation. participation and contribution by all organization members. · Away from a view of individuals as fixed. · Away from utilizing an individual primarily with reference to his or her job description toward viewing an individual as a whole person. · Away from walling off the expression of feelings toward making possible both appropriate expression and effective use. · Away from distrusting people toward trusting them. · 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. open communication. decentralized decision making. · Away from avoidance of risk-taking toward willingness to risk. · Away from maskmanship and game-playing toward authentic behaviour. The humanistic values prompted a search for better ways to run organizations and develop the people in them. and so forth were seldom espoused and rarely implemented in the vast majority of organizations at that time. toward seeing them as being in process. 5.· Away from avoidance of negative evaluation of individuals toward confirming them as human beings.5 Implications of OD Values and Assumptions . 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 a primary emphasis on competition toward a much greater emphasis on collaboration. appropriate uses of power.
not a one-on-one leadership style. The second assumption is that most people desire to make.2 Implications for Dealing with Groups Several assumptions relate to the importance of work teams and the collaborative management of team culture. listen. and usually with more than one group. Dealing appropriately with feelings and attitudes increases the level of interpersonal trust. permit failure.Let us examine specific assumptions and their implications for organization leaders and members. most people are capable of making greater contributions to a group¶s effectiveness and development. 5. and are capable of making. Let teams flourish because they are often the best way to get work done and. and organizations? 5. We answer the question: What are some of the implications of OD assumptions and values for dealing with individuals. invest training time and money to increase group members¶ skills. personal growth. not individuals. To do this. leaders need to give important work to teams. remove obstacles and barriers. such as a work group. and interpersonal communication. including peers and boss. support. challenge. a church or club group.5. conflict management. And because suppressed feelings and attitudes adversely affect problem-solving. in addition. Second. group members should assist the leader with the multiple roles required for group effectiveness. First. Most people want to develop their potential. group members should be encouraged to learn to deal effectively with positive and negative feelings. One implication is that group members should receive training in group effectiveness skills such as group problem-solving and decision-making. give responsibility. support. encourage risk-taking. It is especially important that leaders adopt a team leadership style. most people wish to be accepted and to interact co-operatively with at least one small reference group. and so on. A tremendous amount of constructive energy can be tapped if organizations realize and act on these assumptions. set high standards.1 Implications for Dealing with Individuals Two basic assumptions about individuals in organizations pervade organization development. leaders should invest in groups: Invest the time required for group development. give autonomy. a greater contribution to attaining organization goals than most organizational environments permit. and reward success. Hence. Implications of these assumptions are several. Also. facilitation.5. Third. greatly influences feelings of satisfaction and competence. groups. . and job satisfaction. are the best way to satisfy social and emotional needs at work. and co-operation within the group. Another assumption is that the formal leader cannot perform all the leadership and maintenance functions required for a group to optimize its effectiveness. The first assumption is that most individuals have drives toward personal growth and development if provided an environment that is both supportive and challenging. What occurs in the work group. The people doing the work are generally experts on how to do it and how to do it better. at both the formal and informal levels. the family. one of the most psychologically relevant reference groups for most people is the work group. invest energy and intelligence in creating a positive climate. This skill is a trainable one. The implications of these two assumptions are straightforward: Ask.
3 Implications for Designing and Running Organizations Clearly. The rapid technological. are dysfunctional over the long run and highlight the need for a ³win win´ attitude. D. and empowering. and profitability.Finally. The belief that people are important tends to result in their being important. formalized cross-functional communication. By implication. Such an orientation creates a self-fulfilling prophecy. experimenting with new organization structures and new forms of authority is imperative. developmental set of assumptions about people is likely to reap rewards beneficial to both the organization and its members. they are the source of productivity and profits and should be treated with care. and ways to optimize human potential. Frequently the challenge is broader. Still. The question becomes not how A can get B to perform better. Such problems have the greatest chance of constructive solution if all parties in the system alter their mutual relationships. and E can support these changes.5. it is possible to create organizations that on the one hand are humane. in which one side wins and the other side loses. 5. Concluding Comment: . Evidence for this assumption comes from numerous examples where ³putting people first´ paid off handsomely in profits and performance. Creating co-operative rather than competitive organizational dynamics is a primary task of the organization¶s leaders. The implication is that people are an organization¶s most important resource. This notion suggests it is good to have a developmental outlook and seek opportunities in which people can experience personal and professional growth. Finally. adherence to the chain of command. By implication. the assumption is that many attitudinal and motivational problems in organizations require interactive and transactional solutions. values are never static. Therefore. an optimistic. they change over time. A key assumption in organization development is that the needs and aspirations of human beings are the reasons for organized effort in society. a growing awareness that ³win-lose´ organizational situations. quality of output. including how persons C. developmental. 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. They cannot meet the demands of the marketplace. emphasis on topdown directives. and on the other hand are high performing in terms of productivity. The belief that people can grow and develop in terms of personal and organizational competency tends to produce that result. organizing structures. In addition." as behavioural scientists and managers continue to develop better understanding of authority structures. and so on-are obsolete. traditional hierarchical forms of organization-fairly steep pyramid. grouping by specialized function. 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. societal. and organizational changes taking place assure that tomorrow will bring new definitions of what is "true" and new beliefs about what is "good.
2. State the assumptions of Theory X and Theory Y. assumptions and beliefs help to define what OD is and guide its implementation. Values are also beliefs.7 Terminal Questions 1. This discussion was intended to articulate an appreciation of OD values and explain where they came from. 5. 5. 3. Self Assessment Questions 1. These OD values were considered revolutionary when they emerged in the 1950s.The field of organization development rests on a foundation of values and assumptions about people and organizations.6 Summary The field of OD rests on a foundation of values and assumptions about people and organizations. Define concepts. OD values tend to be humanistic. These beliefs help to define what OD is and guide its implementation. Values. 5. values. 2. What are values and assumptions developed by Richard Bechard in the field of organizational development? 5. A belief is a proposition about how the world works that the individual accepts as true. What was the outcome of Hawthorne Experiments? 4. beliefs. Write a note about F. Values.W. Chronology of events in management and OD tremendously influenced OD practitioners. beliefs and assumptions are cognitive facts. but are widely accepted today.8 Answers to SAQs and TQs SAQs: 1. and assumptions are all ±±±±±±±±±± facts. _______________ gave theory X and theory Y. The outcome of ±±±±±±±± was that people were not cogs and organizations were not machines. optimistic and democratic. 4. beliefs and assumptions. Taylor¶s principles of scientific management. 3. The concept of ±±±±±±±±±± was introduced by MaxWeber. 5. Cognitive . __________ is associated with scientific management. Values.
F.3 4.3 3. Bureaucracy 4. Taylor 3.2 Models and Theories of Planned Change 6. MU0002-Unit-06-Foundations of Organization Development Unit-06-Foundations of Organization Development Structure: 6. W. Refer section 5. Refer section 5.2 2. Douglas McGregor Answers to TQs: 1.2.1 Introduction Objectives 6. Refer section 5.2 Beyond the Quick Fix .1 Kurt Lewin and Friends 6. Refer section 5.2.3 5.2.3 Copyright © 2009 SMU Powered by Sikkim Manipal University . Refer section 5. Hawthorne experiments 5.
11 Terminal Questions 6. art and science which form the knowledge base upon which OD is constructed.3 The Burke-Litwin Model of Organizational Change 6.1 Introduction This unit describes the foundations of organization development theory and practice.3.1 The Nature of Systems 6.6 Parallel Learning Structures 6.2.7 A Normative ± Re-educative Strategy of Changing 6.5 Teams and Teamwork 6. Objectives: After studying this unit.3.3 Socio-technical Theory and Open Systems Planning 6. you will be able to: .8 Applied Behavioural Science 6. In this discussion.3 Systems Theory 6.12 Answers to SAQs and TQs 6.2 Congruence among System Elements 6.9 Action Research Self Assessment Questions 6. you will learn what OD practitioners think and how they think as they engage in the complicated task of improving organizational functioning.6.3.10 Summary 22.214.171.124 Porras and Robertson Model of Organizational Change 6.4 Participation and Empowerment 6.4 Open Systems Thinking 6. Leaders and OD practitioners use this knowledge base to plan and implement effective change programs.
1 Kurt Lewin and Friends Kurt Lewin introduced two ideas about change that have been influential since the 1940s. That is. · Describe the parallel learning structures. the status quo-whatever is happening right now-is the result of forces pushing in . and specify the relationships among the variables. · Explain the terms µparticipation¶ and µempowerment¶. Several recent theories show great promise for increasing our understanding of what happens and how it happens in planned change.2.· Explain various models and theories of planned change. · Explain systems theory. Here we describe what we believe are the most important underpinnings for the field. Here we provide a framework for thinking about planned change by exploring several models from the literature. The development of models of planned change facilitated the development of OD. · Realize the importance of teams and teamwork. describe those features as variables. Models and theories depict. 6.2 Models and Theories of Planned Change Organization development is planned change in an organizational context. but pretty good for identifying the important variables involved. Planned change theories are rudimentary as far as explaining relationships among variables. · Explain normative-re-educative strategy of changing The knowledge base of OD is extensive and is constantly growing. the important features of some phenomenon. 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. in words or pictures. The first idea states that what is occurring at any point in time is a resultant in a field of opposing forces.
Scanning the environment for new relevant information . Refreezing the behaviour at the new level. For example. Creation of guilt or anxiety c.non-smoking becomes the new equilibrium point. it generally hovers around some equilibrium point that is the resultant in a field of forces. etc. b. Although morale may get a little better or a little worse on occasion. Lewin¶s three-stage model is a powerful tool for understanding change situations. he must move. judge things. Identifying with a new role model. moving to new level of behaviour. that is. The production level tends to remain fairly constant because the field of forces remains fairly constant. with some forces pushing toward higher levels of production and some forces pushing toward lower levels of production. we can think of the level of morale in that plant as a resultant equilibrium point. the non-smoking behaviour must become permanent. that is. Change entails moving from one equilibrium point to another. Next. He suggested that change is a three-stage process: Unfreezing the old behaviour (or situation). believe that cigarette smoking is bad for him and that he should stop smoking. we can think of the production level of a manufacturing plant as a resultant equilibrium point in a field of forces. Lewin¶s second idea was a model of the change process itself. Disconfirmation or lack of confirmation b. feel things. Take the example of a man who smokes cigarettes and wants to quit. This concept is useful for thinking about the dynamics of change situations. A Three-Stage Model of the Change Process: Stage 1: Unfreezing: Creating motivation and readiness to change through a. mentor. The three-stage model says he must first unfreeze the old behaviour of smoking. some forces pushing toward higher morale and some pushing toward lower morale. Provision of psychological safety Stage 2: Changing through Cognitive Restructuring: Helping the client to see things.opposing directions. With a technique called the force-field analysis. and react to things differently based on a new point of view obtained through a. 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. Refreezing the desired behaviour requires establishing a new field of forces to support the new behaviour. change his behaviour from being a smoker to being a non-smoker. Likewise. Edgar Schein took this excellent idea and improved it by specifying the psychological mechanisms involved in each stage. Finally.
Phase 4: Examining alternative routes and goals. Phases 3. . is to integrate the new behaviours into the person¶s personality. terminating the client-consultant relationship. That is. That is. 4. which cause guilt and anxiety. establishing goals and intentions of action. change will not occur. and attitudes. But unless the person feels comfortable with dropping the old behaviours and acquiring new ones. Phase 5: Transforming intentions into actual change efforts. and fit with the individual¶s social surroundings. They expanded the three-stage model into a seven-stage model representing the consulting process. The person acquires information and evidence showing that the change is desirable and possible. 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 person undergoes cognitive restructuring. This phase corresponds to Lewin¶s refreezing phase. This phase corresponds to Lewin¶s unfreezing phase. disconfirmation creates pain and discomfort. and 5 correspond ro Lewin¶s moving phase. b. that is. refreezing. This motivating evidence is gained by. The total personality and self-concept. for example. Jeanne Watson. unfreezing. the person must develop a sense of psychological safety in order to replace the old behaviours with new behaviours. Phase 7: Achieving a terminal relationship. Phase 3: Clarifying or diagnosing the client system¶s problem. Their seven stages are as follows: Phase 1: Developing a need for change.Stage 3: Refreezing: Helping the client to integrate the new point of view into a. stabilizing the changes requires testing to see if they fit-fit with the individual. The primary task in stage 3. Phase 2: Establishing a change relationship. Significant relationships. In stage 2. and Bruce Westley. moving. Phase 6: Generalizing and stabilizing change. identifying with ex-smokers and learning about the health risks of smoking. which motivate the person to change. In stage 1. In this phase a client system in need of help and a change agent from outside the system establish a working relationship.
2) Diagnosing the problems." that. These "road maps" are useful for thinking about change.This seven-stage model lays out the logical steps involved in OD consulting. and so forth. cause the organization to be successful. Initiating the program entails securing commitment from top management. Scheduling and implementing the "tracks" involve intervening in five critical leverage points. critique practices and procedures. called "tracks. when functioning properly. 2) The management skills track. and 5) The reward system track. 3) Scheduling the "tracks". 4) The strategy-structure track. Change programs take from one to five years to complete. 6. Interventions include training programs. Kilmann describes the five tracks: What does each track do for the organization? . These problems and opportunities will be the targets of later interventions. 3) The team-building track. Diagnosing the problems requires a thorough analysis of the problems and opportunities facing the organization. Similar models have been developed by Kolb and Frohman and by Burke. This model has five sequential stages: 1) Initiating the program.2.2 Beyond the ³Quick Fix´ A comprehensive change model by Ralph Kilmann specifies the critical leverage points for organizational change. Kilmann¶s five tracks are: 1) The culture track. 4) Implementing the "tracks" 5) Evaluating the results. problem-solving sessions.
and its holistic view of organization change and development. One likes this model because of its comprehensive nature. In second-order change. OD programs are directed toward both first. and willingness to change among members the conditions that must exist before any other improvement effort can succeed. The management-skills track provides all management personnel with new ways of coping with complex problems and hidden assumptions. then moving to the team-building track. some features of the organization change but the fundamental nature of the organization remains the same. evolutionary.The culture track enhances trust. then moving to the management skills track. Second-order change goes by many different labels: transformational.2. .3 The Burke-Litwin Model of Organizational Change The next model to be examined is the Burke-Litwin model of individual and organizational performance. the use of updated management skills. the nature of the organization is fundamentally and substantially altered ± the organization is transformed. The model distinguishes between organizational climate and organizational culture. radical. information sharing. developed by Warner Burke and George Litwin. The reward-system track establishes a performance-based reward system that sustains all improvements by officially sanctioning the new culture. communication.and second-order change. work groups. beginning with the culture track. and so forth. jobs. adaptive. incremental. 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. An OD consultant implements the tracks in a phased sequence. and co-operative team efforts within and among all work groups. First-order change goes by many different labels: transactional. departments. or discontinuous change. revolutionary. General Foods. its identification of the five tracks as critical leverage points. 6. and Xerox with good results. Eastman Kodak. with an increasing emphasis on second-order transformational change. TRW. and all resources with the new strategic direction. This model shows how to create first-order and second-order change (which the authors call ³transactional change´ and ³transformational change´). In first-order change. or continuous change. Ford General Electric. Kilmann has tested his model at AT&T. The strategy-structure track develops either a completely new or a revised strategic plan for the firm and then aligns divisions. Westinghouse.
and systems cause changes in work unit climate. in turn. Changing structure." Transformational leadership embodies inspiration which leads to new heights of performance. and organization culture result in second-order change. and difficult to change. Following figure shows the factors involved in first-order (transactional) change. Changing culture is much more difficult than changing climate. and systems (policies and procedures) result in first-order change. Transformational leadership is required for causing second-order change. interventions directed toward mission and strategy. 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. organizational culture is defined as deep-seated assumptions. often unconscious. management practices. Transactional leadership is required to make this change in organizational climate. friendly or unfriendly. We will do so in several steps. Fig. Transactional leadership is sufficient for causing first-order change. leadership. On the other hand.Organizational climate is defined as people¶s perceptions and attitudes about the organizationwhether it is a good or bad place to work. These perceptions are relatively easy to change because they are built on employees¶ reactions to current managerial and organization practices. values. The premise of the BurkeLitwin model is this: OD interventions directed toward structure. individual and organizational performance." Transactional leadership embodies a fair exchange between leader and follower that leads to "normal" performance. Transactional leaders are "leaders who guide or motivate their followers in the direction of established goals by clarifying role and task requirements. and beliefs that are enduring. 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. which change motivation and. 6. The model also makes a distinction between transactional and transformational leadership styles. Now let us look at the Burke-Litwin model. management practices. and so forth. hard-working or easy-going.1: The Transactional Factors Involved in First ± Order Change .
2: The Transformational Factors Involved in Second ± Order Change On the other hand. Research by Burke and his students suggests the model performs as intended. which produces changes in individual and organizational performance. mission and strategy. The OD practitioner sizes up the change situation. One set primarily is associated with the transactional level of human behaviour or the everyday interactions and exchanges that create the climate.Fig. The second set of dynamics is concerned with processes of human transformation. Burke and Litwin propose that interventions directed toward leadership. These factors are able to change the climate. and organization culture produce transformational change or fundamental change in the organization¶s culture. we must change mission and strategy. these transformational processes are required for genuine change in the culture of an organization. The bottom half of figure displays the factors involved in transactional change. sudden "leaps" in behaviour. 6. determines the kind of change required (transactional or transformational). leadership styles. . To summarize. and organization culture. Burke says: ³Thus there are two distinct sets of organizational dynamics. These factors are powerful enough to change the culture fundamentally. that is. Interventions directed toward management practices. if we want to cause second-order (transformational) change. structure. The above two figures together yield the full Burke-Litwin model shown in the following figure. and then targets interventions toward factors of the organization that produce the desired change. The top half of figure displays the factors involved in transformational change.´ We consider the Burke-Litwin model to be a significant advance in thinking about planned change. as shown in the above figure. Interventions directed toward these factors transform the organization and cause a permanent change in organization culture. and systems produce transactional change or change in organizational climate.
strategies. and technology. Interventions that focus on job design and work flow design will affect technology. For example. according to Porras and Robertson. and rewards will affect organizing arrangements.Fig. required. physical setting. OD interventions that focus on goals. The basic premise is that OD interventions alter features of the work setting causing changes in individuals¶ behaviours. Following figure shows the work setting in the larger organizational framework. The premise modeled here is that work setting factors influence organizational members¶ cognitions (they learn what is expected. Organizational change occurs only when individuals change their behaviour. and interaction processes will affect social factors. which influence on-the job behaviours. . It is how OD works. Interventions that focus on culture. it is described in a discussion by Porras and Peter Robertson. rewarded). and these behaviour changes occur when elements of the work setting have been modified by OD interventions. This model shows how OD interventions can be linked to factors in the work setting. management style. which in turn lead to individual and organizational improvements. which determine organizational performance and individual development.3: The Burke Litwin Model of Organizational Performance and Change 6.2. 6. The work setting plays a central role in this model and consists of four factors: organizing arrangements.4 Porras and Robertson Model of Organizational Change Jerry Porras and his associates developed a model of how organization development works. social factors.
5: A Change-based Organizational Framework 6. and Katz and Kahn were the first to apply open systems theory to organizations in 1966. 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. Systems . 6. Ludwig Von Bertalanffy first articulated the principles of general systems theory in 1950. 6. which views organizations as open systems in active exchange with their environment. Fig. and shows how systems theory enhances the practice of OD. This section explains systems theory.4: Organizational Work-Setting Factors This model is extremely useful for OD practitioners and organizational leaders.Fig. describes the characteristics of systems.
For example. and if the environment does not want these outputs." Kast and Rosenzweig define system as "an organized. resources. components." Von Bertalanffy refers to a system as a set of "elements standing in interaction. Thus. the organization¶s purposes will be reflected in its outputs. 6. Boundaries of open systems are permeable. Fagen defines system as "a set of objects together with relationships between the objects and between their attributes. information. or transformation processes that change the inputs. raw material and so on. These purposes must align with purposes or needs in the environment. and they export products to the environment in the form of outputs. The words µarrangement¶ and µinterrelated¶ describe interdependent elements forming an entity. What is inside the boundary is the system. Every system is delineated by a boundary. and energy between system and environment. Here.theory is one of the most powerful conceptual tools available for understanding the dynamics of organizations and organizational change. or subsystems. Systems take inputs from the environment in the form of energy. in that they permit exchange of information. Therefore. the reasons for their existence. and interrelatedness among elements in a set that constitutes an identifiable whole or gestalt. money. the organization will cease to exist. people. Open systems have purposes and goals." To summarize.1 The Nature of Systems The nature. All open systems are input-throughput-output mechanisms. one begins by identifying the individual parts and then seeks to understand the nature of their collective interaction. studying open systems leads to a good understanding of organizations. . that is the system. and delineated by identifiable boundaries from its environmental supra." Hanna says: "A system is an arrangement of interrelated parts. and characteristics of open systems are well-known. A good rule of thumb for drawing the boundary is that more energy exchange occurs within the boundary than across the boundary. system denotes interdependency. we examine the characteristics of open systems drawing OD expositions by Katz and Kahn and Hanna. interconnectedness.3. when taking a systems approach. dynamics. and what is outside the boundary is the environment. Each of these three system processes must work well if the system is to be effective and survive. conversion.system. unitary whole composed of two or more interdependent parts. They do something to the inputs via throughput. Organizations are open systems.
negative and positive." Here is another example of negative and positive feedback. eating fads. . If the mission (target) changes. if a rocket ship traveling to the moon strays off its trajectory. that information is called positive feedback. organizations in the fast-food industry pay a lot of attention to information about their industry-nutrition. By the same token. it receives information to that effect in the form of negative feedback. 6. but most are not useful. competitors. "return to earth. it will signal whether the environment needs and/or wants buggy whips. and the like. For example. while screening out other information. aerospace. and makes a course correction. and so on. It is sometimes called deviationamplifying feed back. Survival of the system is equally influenced by whether or not the targets themselves are appropriate. and the system adjusts to a new goal. Negative feedback tells you if you are on track with your scheduled production output. Positive feedback comes from the environment. Say your company makes buggy whips. say. Systems "code" useful information and incorporate it. Feedback is information from the environment about system performance. Positive feedback measures whether or not the purpose and goals are aligned with environmental needs.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. Organizations achieve negative entropy when they are able to exchange their outputs for enough inputs to keep the system from running down. Systems require two kinds of feedback. Systems are bombarded by all kinds of information: some are useful. Information is important to systems in several ways.Fig. however. It is also known as deviation-correcting feedback. mining. they usually ignore information about other industries such as electronics. For example. and the production plan calls for 100 buggy whips per month. Negative feedback measures whether or not the output is on course with the purpose and goals. The usefulness of the two concepts is that they demonstrate that it is not enough to merely measure our outputs versus the intended targets.
The three major input factors are: 1) The environment. . which includes formal structures. specialized. Systems achieve a steady state or equilibrium point and seek to maintain this equilibrium against disruptive forces. which includes the organization¶s culture informal rules and understandings. differentiated. processes. systems tend to get more elaborated. This model depicts the organization as an input-throughput-output system. unit/group level. what the organization is trying to accomplish and how it plans to do it. either internal or external. people. such as capital. Subsystems exist within larger systems. These subsystems can be arranged into a hierarchy of systems moving from less important to more important. 6. work. and informal organization.Another characteristic of open systems is steady state or dynamic homeostasis. this process is called differentiation. and 3) History which consists of memories of past successes. increased integration and co-ordination are necessary. Outputs are performance at the total organization level. knowledge. formal organization. and technology. and the workforce¶s expectations. which includes skills. and individual level. the principle that there are multiple ways to arrive at a particular outcome or state ± systems have multiple paths to goals. As Katz and Kahn say: ³The basic principle is the preservation of the character of the system. Another characteristic of systems is equifinality. Elements of the organization per se are labeled strategy. and systems for performing the work. failures. the tasks people perform to create products and service markets people. important events. which imposes constraints and opportunities about what the organization can and can not do. 2) Resources available to the organization. and how things really work (versus how they are supposed to work as defined by the formal organization).3. With increased differentiation.´ Also.2 Congruence among System Elements David Nadler and associates at Delta Consulting Group developed the congruence model for understanding organizational dynamics and change. and complex over time. perceptions. and critical decisions that still influence behaviour today. knowledge.
A number of design principles have been developed to implement socio-technical systems theory. and others at the Tavistock Institute in the 1950s. Principles such as optimizing the social and technical systems.3 Socio-technical Systems Theory and Open Systems Planning Two major variations of open systems theory. especially autonomous work groups (selfregulated teams or self-direct teams). if people don¶t have the skills and knowledge required to do the work. Socio-technical systems theory was developed by Eric Trist. which components are "not functioning correctly. STS is the principal conceptual foundation for efforts in work redesign and organization restructuring. If the organization¶s culture (informal organization) praises individual accomplishments and the work requires teamwork and collaboration. and information to the point of action. a social system and a technical system." The premise is that alignment (harmony. fit) must be present among the system¶s components¶ for the organization to produce satisfactory outputs. performance will suffer. performance will suffer. In a company that is performing poorly. Systems models are essential for the practice of OD.3. to the workers doing the job. and identifying core tasks help STS consultants structure organizations and tasks for maximum effectiveness and efficiency. multi-skilled teams. You can use this model to analyze organizations with which you are familiar." and which elements are poorly aligned? In companies showing outstanding performance. that is.Fig. The thesis of STS is that all organizations are comprised of two interdependent systems. Another important application of systems theory in organization development is open systems planning. Hanna writes: .socio-technical systems theory (STS) and open systems planning (OSP)-play an important role in organization development. performance will suffer. For example. Fred Emery. To achieve high productivity and employee satisfaction. two active segments of OD today. and 2) Evaluating the "goodness of fit" or how well the elements "go together. training group members in multiple skills. 6. . giving information and feedback to the people doing the work. 6. High-performance organizations almost always use principles from socio-technical systems theory. If the strategy calls for entrepreneurial quickness and risk-taking and the formal organization is bureaucratic and highly centralized. and that changes in one system affect the other system. forming autonomous work groups. 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.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. organizations must optimize both systems. controlling variance at the source.
and incidents are not viewed as isolated phenomena. and Will McWhinney developed a technology for addressing the interface between organization and the environment. events and forces. according to Peter Senge. therefore. changing one part of a system influences other parts. It keeps them from being separate gimmicks or the latest organization change fads. Second. Most OD practitioners engaged in redesign projects use a combination of socio-technical systems theory and open systems planning. Charles Krone. 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. By enhancing each of the other disciplines. both realistic (likely to happen if the organization continues on its current course) and ideal (what the organization would like to see happen). issues. there is no motivation to look at how the disciplines interrelate. systems thinking. G. it continually reminds us that the whole can exceed the sum of its parts. this combination is often used in designing high-performance organizations. For example. not single effects. . Viewing organizations from this perspective has several consequences.´ In conclusion. Senge believes that five disciplines must be mastered to create a learning organization: personal mastery. and systems thinking. He says of systems thinking: ³It is the discipline that integrates the disciplines. and 3) Developing action plans to ensure that a desirable future occurs. Their technology became known as Open systems Planning (OSP). events. fusing them into a coherent body of theory and practice. from their activities. but seen in relation to other issues.3. building shared vision.KI Jayaram.4 Open Systems Thinking Open systems thinking is required for creating learning organizations. systems theory pervades the theory and practice of organization development. because most phenomena have more than one cause. Open systems planning entails: 1) Scanning the environment to determine the expectations of external organizations and stakeholders. is the most important. from diagnosis to intervention to evaluation. Of all these disciplines. OD practitioners expect multiple effects. 2) Developing scenarios of possible futures. First. Learning organizations can cope effectively with rapidly changing environmental demands. Third. Without a systemic orientation. the fifth discipline.In the late 1960s a small team of consultants led by James Clark. mental models. forces. a systems approach encourages analysis of events in terms of multiple causation rather than single causation. 6. team learning.
with its emphasis on risk-taking. and give more power to more people." and "Have decisions made by those who are closest to the problem. according to field theory (Kurt Lewin)." direct leaders to push decision-making lower in the organization. the forces in the field at the time of the event are the relevant forces for analysis. called "organic. which is done by giving individuals the authority to make decisions. and greatly enhance acceptance of decisions. treat those closest to the problem as the relevant experts. it is extended broadly throughout the organization. and the culture audit are all predicated on the belief that increased participation will lead to better solutions. involvement and participation energize greater performance. not just its component parts. Further. which they call "mechanistic.Fourth. But . These pillars of OD practice are validated by both research and practice. They believed that it was about risk-taking. growth. They describe the organic view: "The other group of executives saw empowerment much differently. The most important contrast between the two views involves the implicit but potentially volatile assumptions people make about trust and contro1. and growth. Participation enhances empowerment." is bottom-up and less controlling. Researchers found that group dynamics work to overcome resistance to change. OD interventions are deliberately designed to increase involvement and participation by organization leaders and members." is a top-down delegation of decision-making with clear boundaries and strict accountability that increases managerial control. And fifth. Participation is a powerful elixir-it is good for people and performance. produce better solutions to problems." These authors believe the organic view. Increased participation and empowerment have always been central goals and fundamental values of the field. autonomous work groups. and to be responsible. to contribute their ideas. Empowerment meant trusting people and tolerating their imperfections. reduce stress levels. Participation in OD programs is not restricted to elites or the top people. OD interventions are basically methods for increasing participation. The entire field of OD is about empowerment. Rules of thumb such as "Involve all those who are part of the problem or part of the solution. For example. one changes the system. Research on group dynamics began in the 1940s and achieved exponential growth in the 1950s and 1960s. team building.4 Participation of Empowerment One of the most important foundations of organization development is a participation/ empowerment model. survey feedback. This idea moves the practitioner away from analyzing historical events and toward examining contemporary events and forces. and empowerment in turn enhances performance and individual well-being. and change. and generally make people feel better about themselves and their worlds. to change a system. search conferences. Participation is an especially effective form of empowerment. The other view. To empower is to give someone power. One view. personal initiative. to exert influence. This research demonstrated that most people desire increased involvement and participation. increase commitment to the organization. Robert Quinn and Gretchen Spreitzer found two vastly different views of empowerment. 6. quality circles. is the more useful perspective. quality of work life programs.
. Theory. the effects on individual behaviour are immediate and lasting. and capable of having an impact on the system in which they are embedded. They must see themselves as having freedom and discretion. people must work together to accomplish them. and practice attest to the central role teams play in organizational success. processes. teams at 3M generate the hundreds of innovations that keep 3M ahead of its competition. many tasks are so complex they cannot be performed by individuals. the noun team has become a verb. QCs (quality circles). The message of this section is that putting those empowered individuals into teams creates extraordinary effects on performance and satisfaction. is not something that management does to employees. the organic approach unleashes talent and energy in people that are best channeled by providing clear guidelines and boundaries. While management can create a context that is more empowering. STS (socio-technical systems). HPOs (high-performance organizations). If the team. teaming. "The evidence is abundantly clear: Effective teams produce results far beyond the performance of unrelated individuals. as a team. crossfunctional "design-build" teams developed the Boeing 777. then.´ 6. HPWSs (high-performance work systems). employees must choose to be empowered. Teams at Motorola produced its bestselling cellular phones. to name just a few.5 Team and Teamwork A fundamental belief in organization development is that work teams are the building blocks of organizations. research. teams create synergy. systems. that is. Teams are important for a number of reasons: First. but rather a mindset that employees have about their roles in the organization. and team-related acronyms abound-SDTs (self-directed teams). Quinn and Spreitzer conclude: ³Empowerment. Synergy is a principal reason teams are so important. The previous discussion focused on empowerment and concluded that the act of empowering individuals greatly increased their performance and satisfaction. Teams and teamwork are among the "hottest" things happening in organizations today ± gurus extol the virtues of teams. Team Taurus developed Ford¶s best-selling automobile. A second fundamental belief is that teams must manage their culture. Teams and teamwork are "in. changes those norms and values. Third. and relationships if they are to be effective. they must if personally connected to the organization.both views contain valid ideas: for example. much individual behaviour is rooted in the socio-cultural norms and values of the work team. Second. Team Saturn produced the Saturn automobile. confident about their abilities. the sum of the efforts of team members is far greater than the sum of the individual efforts of people working alone. Teams and teamwork are part of the foundation of organization development.
and the like. and that teamwork becomes more satisfying for team members. role negotiation technique. . socio-technical systems programs. people are trained in group dynamics and group problem-solving skills. and respect-teams nurture human nature. 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. These interventions apply to formal work teams as well as startup teams. and set ever-higher goals. inter-group team-building. the crew of the USS Kitty Hawk.Fourth. status. parallel learning structures. find innovative ways around barriers. cross-functional teams. All these characteristics are required for superior team performance. that they achieve synergy. heart transplant surgical teams. Team-building activities are now a way of life for many organizations. to determine the characteristics that make them successful. recognition. and others. we examine the potential of teams and teamwork. A number of OD interventions are specifically designed to improve team performance. When any one feature is lost. Examples are team-building. In this section. team performance declines. quality circles. The net effect is that teams perform at increasingly higher levels. temporary teams. Larson and LaFasto studied a number of high-performance teams. Teams periodically hold team-building meetings. 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. and explore ways to realize that potential. Investigators are discovering why some teams are successful while others are not. Larson and LaFasto found eight characteristics always present: 1) A clear. and responsibility charting. High-performance teams regulate the behaviour of team members. help each other. process consultation. teams satisfy people¶s needs for social interaction. and individuals are trained as group leaders and group facilitators. Grid OD and techniques such as role analysis technique. 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. including collegiate football national champions.
At Ford Motor Company.7 A Normative ± Re-educative Strategy of Changing . empowered teams are what the best organizations are using right now to outdistance the competition. Most socio-technical systems redesign efforts and open systems planning programs use parallel structures. autonomous. specially created organizational structures for planning and guiding change programs.6 Parallel Learning Structures Parallel learning structures. High responsibility. and initiate needed changes. and employees. and countless other organizations to demonstrate the ability of small project teams to produce high quality. managers. 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 quality of work life programs of the 1970s and 1980s used parallel structures composed of union leaders. Considerable experimentation with collateral organizations occurred in the 1970s and 1980s. Union Pacific Railroad. especially when the change involves a fundamental shift in the organization¶s methods of work and/or culture. superior customer service. and report to one of your subordinates on another team. Asea Brown Boveri. deciding.´ Parallel structures help people break free of the normal constraints imposed by the organization. and acting differently than normally takes place at work.´ The purpose of the collateral organization is to deal with "ill-structured" problems the formal organization is unable to resolve. Interestingly. normal hierarchical considerations become obsolete for these project teams-you could be the boss of one team. In essence. clear objectives. Parallel learning structures are a foundation of OD because they are prevalent in so many different OD programs. He uses examples from EDS (Electronic Data Systems). High-performance organizations often use parallel structures to co-ordinate self-directed teams. constitute another important foundation of organization development. projects will be performed by teams. Parallel learning structures are often the best way to initiate change in large bureaucratic organizations. It isn¶t the supplemental structure that¶s important. you don¶t have a parallel structure. If you don¶t implement different norms and procedures. Bushe and Shani say: ³The key thing about parallel structures is that they create a bounded space and time for thinking. parallel structures are a vehicle for learning how to change the system. 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. and high accountability drive these project teams to outperform traditional organization structures on every measurable dimension.Tom Peters asserts in Liberation Management that cross-functional. The most important and difficult task for the people creating the parallel learning structure is to create a different culture within it. talking. and then leading the process. What¶s important is that people act in a way that promotes learning and adaptation. Titeflex. flexible response. 6. a steering committee and working groups were used to co-ordinate the employee involvement teams. and continuous learning. 6. engage in genuine inquiry and experimentation. Projects are the work of the future.
Evaluated against these three change strategies. values. information. The client system members define what changes and improvements they want to make." Solutions to problems are not a priori assigned to greater technical information but may reside in values. based on the assumptions that norms form the basis for behaviour. will occur only as the persons involved are brought to change their normative orientations to old patterns and develop commitments to new ones. These implications give clients considerable control over the situation. These strategies build upon assumptions about human motivation different from those underlying the first. attitudes. Chin and Benne indicate the nature of the normativereductive strategy as follows: A second group of strategies we call normative-re-educative.Organization development involves change. they impel a collaborative effort rather than a "doing something to" effort. Patterns of action and practice are supported ± by sociocultural norms and by commitments on the part of the individuals to these norms. and change comes through re-education in which old norms are discarded and supplanted by new ones. based on the assumption that change is compliance of those who have less power with the desires of those who have are power. the practitioner intervenes in a collaborative way with the clients. Anything hindering effective problem solving is brought to light and publicly examined. Change in a pattern of practice or action. rather than the OD practitioner. and will change if and when they come to realize change is advantageous to them. relationships and customary ways of doing things. The norms to be changed and the form of re-education are decided by the client system members. based on the assumptions that people are rational. doubts. The first type is empirical rational strategies. strategy has the following implications for the practice of OD. anxieties. . that is. or intellectual rationales for action and practice. Socio-cultural norms are supported by the attitude and value systems of individuals-normative outlooks which undergird their commitments. and together they define problems and seek solutions. OD clearly falls within the normative-reeducative category. The second group of strategies is normative-re-educative strategies. The rationality and intelligence of men are not denied. will follow their rational self-interest. although often OD represents a combination of the normative-re-eductive and the empirical-rational strategies. according to this view. Chin and Benne describe three types of strategies for changing. and it rests on a particular strategy for change that has implications for practitioners and organization members alike. and they give more options to both the clients and the practitioner. Chin and Benne suggest that a normative-re-educative. not just changes in knowledge. The point here is that different strategies are available for effecting change. The third set of strategies is the power-coercive strategies. skills. and significant relationships. And changes in normative orientations involve changes in attitudes. and OD is based primarily on a normative-re-educative strategy and secondarily on a rational-empirical strategy. and¶ negative feelings are surfaced for "working through.
and finally evaluating the effects of the treatments. by modifying a group norm or standards. with their elaborations and implications constitute practice theory. . OD is the application of behavioural science knowledge.e. i. re-establishes the equilibrium. The practitioner examines the problem situation. for example. OD emphasizes the latter. The practitioner uses treatment as the empirical test of his diagnosis. or practice. The aim of this discussion is to look briefly at how behavioural science knowledge becomes applied behavioural science knowledge. thereby solving the problem. the major leverage point for change is at the group level. On this point. failure negating it and thus requiring re-diagnosis. placing it in a classification scheme or typology. Thus..8 Applied Behavioural Science This foundation of OD relates to the primary knowledge base of the field. 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. lawful patterns of events produce effectiveness and ineffectiveness.´ From this "practice theory." Both diagnosis and treatment consist of observing a situation and. practices. the object of which is knowledge to solve practical. success corroborating the diagnosis.´ Norms help determine individual behaviour and a normative-re-educative strategy of changing pervades the practice of OD. applied science or practice. and skills in ongoing systems in collaboration with system members. 6. on the basis of which he or she prescribes a solution that. Greenwood discusses the activities of the practitioner as follows: "The problem that confronts a practitioner is customarily a state of disequilibrium that requires rectification. The principles of diagnosis and of treatment constitute the principles of practice. This process is customarily referred to as diagnosis and treatment. pressing problems. The diagnostic typology allows the practitioner to know what category of situation he or she has examined. on the basis of selected variables. behavioural science knowledge. the object of which is knowledge for its own sake. hopefully." the OD practitioner works: first diagnosing the situation. OD practitioners know about these patterns through research and theory. not the individual." applied science. Although human behaviour in organizations is far from an exact science. and (2) "technology. Each type description of the diagnostic typology contains implications for a certain type of treatment. Greenwood states: ³The diagnostic and treatment typologies are employed together. then selecting and implementing treatments based on the diagnosis. norms can best be changed by focusing on the group. the treatment typology allows the practitioner to know what remedial efforts to apply to correct the problem. A conventional distinction is made between (1) "pure" or basic science. 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.Because norms are socially accepted beliefs held by groups about appropriate and inappropriate behaviours.
6. The two bottom inputs.Fig.8: Composition of Applied Behavioural Science Organization development is both a result of applied behavioural science and a. Action research is especially well-suited for planned change programs. the two top in puts. who developed the concept of action research.9 Action Research The action research model ± a data-based. Kurt Lewin. practice research and practice theory. it is a program of applying behavioural science to organizations. It is a type of action-research. represent contributions from applied science.´ Concluding Comments: These foundations of organization development form the theoretical and practice underpinnings of the field. perhaps more accurately. Taken collectively. and doing or implementing change efforts. Self Assessment Questions . Action research is a method that combines learning and doing ± learning about the dynamics of organizational change. and action planning based on the data. represent contributions from pure or basic science. I am inclined to hold the opposite to be true. Action research involves three processes: data collection. a comparative search on the conditions and effects of various forms of social action. had this to say about it: ³The research needed for social practice can best be characterized as research for social management or social engineering. each is a powerful conceptual tool for thinking out and implementing change. 6. they constitute the beginning of a theory of organization development and change that has enormous potential for improving organizational performance and individual development. problem-solving method that replicates the steps involved in the scientific method of inquiry underlies most OD activities. behavioural science research and two behavioural science theory. 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. Taken separately. feedback of the data to the client system members. form of applied behavioural science.
6. Systems theory views organizations as open systems in active exchange with their environment. 2. Ralph Kilmann 3. What are first-order and second order change according to Burke-Litwin Model of organizational change? Explain.1. 4. which in turn lead to individual and organizational improvements is the principle of Porras and Robertson model organizational change. 3. 4. First²order change is also called ___________. ±±±±±±±±±± means moving to new level of behaviour. What are the features of systems theory of organizational development? 5. A _____________ is defined as ³a set of elements standing in interaction. OD interventions alter features of the work setting causing changes in individuals¶ behaviours. A fundamental belief in OD is that work teams are the building blocks of organizations.12 Answers to SAQs and TQs SAQs: 1. _____________ means sum of the efforts of team members is far greater than the sum of individual efforts of members. 6. Ralph Kilmann specified the critical leverage points for organizational change. Bring out the essence of ³managing beyond the quick fix´ model of organizational development. Explain Kurt Lewin¶s models and theories of planned organizational change. 2. Unfreezing 2. Action research model combines learning and doing. In parallel learning structures members have to think and behave in ways that are different from the normal roles and rules of the organization. Transactional change . ³Work teams are building blocks of organizational development. ±±±±±±±±±± gave the model ³Beyond the Quick Fix´. 3.10 Summary The foundations of organizational development form the theoretical and practice underpinnings of the field. 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.´ Comment on this statement. 6. The Burke-Litwin model emphasized on first-order and second-order change.´ 5.11 Terminal Questions 1.
2.5 Developing and changing Organization Culture Self Assessment Questions 7. System 5.2.Refer section 6. MU0002-Unit-07-Organization Culture and Climate Unit-07-Organization Culture and Climate Structure: 7.4.2 Characteristics of Organization Culture 7.1 2. Refer section 6.2.5 Copyright © 2009 SMU Powered by Sikkim Manipal University . Refer section 6.3 5.3 4.3 Types of Organization Culture.2 3.6 Summary . Refer section 6. 7.1 Introduction Objectives 7.4 Organization Culture and Effectiveness 7. Synergy Answers to TQs: 1. Refer section 6.
and rituals related to deference and demeanor. despite the best-laid plans. and validated enough to be taught to new members as the correct ways of perceiving. you will be able to: · Understand Organization Culture. When organizational participants interact with one another. For example. 2. · Discuss about developing and changing organization culture. · Describe different types of Organization Culture · Explain organization culture and effectiveness. etc. including guidelines on how much work to do. Members of an organization soon come to sense the particular culture of an organization.7. ± similar to what you can use to get a feeling about someone¶s personality. You can tell the culture of an organization by looking at the arrangement of furniture. Martin and Meyerson. Which in many organizations come down to ³Do not do too much. 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. 7. or developed by an organization as it learns to cope with its problems of external adaptation and internal integration. but everyone knows it when they sense it. organizational culture is the personality of the organization.1 Introduction Basically.8 Answers to SAQs and TQs 7. 1986). thinking. what they brag about.2 Characteristics of Organization Culture Organizational culture has a number of important characteristics. do not do too little?´ . organizational change must include not only changing structures and processes. Comprehensively organization culture is the pattern of basic assumptions that is invented. Culture is one of those terms that¶s difficult to express distinctly. norms and tangible signs (artifacts) of organization members and their behaviors. Culture is comprised of the assumptions. The concept of culture is particularly important when attempting to manage organization-wide change. Practitioners are coming to realize that. and feeling in relation to these problems (Schein. terminology. Norms. the culture of a large. values. Some of the most readily agreed upon are the following: 1. they use common language. Standards of behavior exist. discovered.7 Terminal Questions 7. Objectives: After studying this unit. Observed behavioral regularities. what members wear.
They often have well-defined policies. 5. Low absenteeism and high efficiency. value flows between people and stakeholders with minimal cost and delay. Leaders in market cultures are often hard-driving competitors who seek always to deliver the goods. Hierarchies have respect for position and power. New-comers must learn those ³ropes´ in order to be accepted as full-fledged members of the group. the way participants interact. Transactions are exchanges of value. Dominate value: These are major values that the organization advocates and expects the participants to share. For many years. this was considered the only effective way of organizing and is still a basic element of the vast majority of organizations. are particularly driven by results and are often very competitive. 6. In an efficient market organization. internal and external are viewed in market terms. and the way members of the organization conduct themselves with customers or other outsiders. In contrast to Hierarchies. Typical examples are high product quality. people are driven through vision. Organizational climate: This is an overall ³feeling´ that is conveyed by the physical layout. and in particular taking note of transaction cost. Market cultures are outward looking. Rather than strict rules and procedures. Note that the Market organization is not one which is focused just on marketing. 7. . Clan The Clan organization has less focus on structure and control and a greater concern for flexibility. shared goals.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. Market The Market organization also seeks control but does so by looking outward. clans often have flat organizations and people and teams act more autonomousl. Hierarchical leaders are typically coordinators and organizers who keep a close eye on what is happening. It has an inward focus and a sense of family and people work well together. Philosophy: These are policies that set forth the organization¶s beliefs about how employees and/or customers are to be treated. 4. outputs and outcomes. processes and procedures.3. Rules: There are strict guidelines related to getting along in the organization. but one where all transactions.
. Artifacts: The visible manifestations of culture as seen in the physical and social environment of the organization such as: · Its structure. and validated enough to be taught to new members as the correct ways of perceiving. 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. · Its rituals. culture is like the DNA of an organization. 1995) and how problems are solved in an organization. systems and subsystems. the adhocracy will rapidly form teams to face new challenges. which is necessary in a rapidly changing business climate. Rules. In biological terms. rules. norms. thinking. etc. Where market success goes to those with greatest speed and adaptability. 7. · Public documents it releases and media reports and stories about it. the way they dress etc. and procedures. or developed by an organization as it learns to cope with its problems of external adaptation and internal integration. Adhocracy The Adhocracy has even greater independence and flexibility than the Clan. Clan leaders act in a facilitative. plaques. Comprehensively organization culture is the pattern of basic assumptions that is invented. 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). do still exist and are often communicated and inculcated socially.strongly driven by loyalty to one another and the shared cause. 1993). Leaders in an adhocracy are visionary. supportive way and may take on a parental role. 1986). and feeling in relation to these problems (Schein. Martin and Meyerson. affecting the performance of every-one within the culture in positive or negative ways. discovered. big-bang projects and development. but critical to shaping its behavior. invisible to the naked eye. innovative entrepreneurs who take calculated risks to make significant gains. The set of basic assumptions evolve into values artifacts and norms in terms of which an organization culture may be examined and understood. symbols. It will use prototyping and experimenting rather than long. · The observable behavior of its members (the way they talk. although not necessarily documented. the jargon they use.4 Organization Culture and Effectiveness It is reflected in how things are done (Flanagan.
communicating. Causal variables include the structure of the organization and management¶s policies. 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. decisions. business and leadership strategies. and behaviour. intervening and end result. . various terms such as efficiency. Likert states that causal variables are independent variables which determine the course of developments within an organization and the results achieved by the organization. These variables have been classified by Likert into three groups-causal. skills. the personality of the organization). reflecting what is important in the organization and determining how the organization ought to be (the ethos. Whatever the criteria adopted for organizational effectiveness.which are useful in discussing organizational effectiveness over time. These are the essential and enduring tenets of an organization. Identifying. organizational growth. From this point of view. Though each individual¶s effectiveness is significant but perhaps the most important aspect of effectiveness is its relationship to the entire organization. The various approaches are judgmental and open to question. and no unanimity is found in different approaches. profitability. For example. and what is right and what is wrong. Causal Variables: Causal variables are those factors that influence the course of development within an organization and its results or accomplishment. 1. individually and collectively. its core value are limited to a few in number. from the basis of its policies and action. These causal variables include only those independent variables which can be altered or changed by the organization and its management. They are reflected in the core capabilities of a company. Grouping variables into these categories aids greatly in the correct interpretation of the data and their use for diagnostic and other purposes. Though an organization espouses a series of values. Values evolve out of the basic assumption and form the core (or heart) of the culture. Causal variables include the structure of the organization and its management. or standards held by members of an organization. there is often contradiction in various approaches. the organizational analysis is incomplete for a practicing manager unless the factors underlying effectiveness are identifying. to denote organizational effectiveness. IBM norms dictate that employees should actively listen and respond to customer demands and complaints. are often used interchangeably. and are generally not compromised for short-term benefits or financial gains. and doing. productivity. Though a large volume of literature is available on the concept and working of organizational effectiveness. is defined and conceptualized in different ways.the informal rules of the fame telling employees what they are supposed to be saying. believing. Organization Effectiveness Organizational effectiveness. goals. there are numerous variables. Thus. also called as organizational success or growth.Values: These are the social principles.
others are brought into the organization. costs. e.g. 3. attitudes. obtaining patents. The intervening variables may be divided into two broad categories: (i) the intervening attitudinal. Changing Organizational Culture Sometimes an organization determines that its culture has to be changed. incorporating. 2. and energy that will be required. Intervening variables are concerned with building and developing the organization. Intervening Variables: Intervening variables are those factors which are reflected as the internal state of organization. and they tend to be longterm goals. New product development and information technology is changing so rapidly that any example would be soon out-of ±date. 4. the current environmental context has undergone drastic change and either the organization must adapt to these new conditions or it may not survive. 7. money. building.. then such rapid change can be welcomed and accommodated with as little disruption and as few problems as possible. The founder brings in one or more other key people and creates a core group that shares a common vision with the founder. The founding core group beings to act in concert to create an organization by raising funds. is workable. At this point.5 Developing and Changing Organization Culture How Organizational Cultures Start Although organizational cultures can develop in a number of different ways. is worth running some risks for. and is worth the investment of time. if the appropriate organization culture is in place. and a common history begins to be built. all in this core group believe that the idea is a good one. the loyalties. A single person (founder) has an idea for a new enterprise. Many of these variables are caused by causal variables. end-result variables are the dependent variables which reflect the achievements in the organization such as its productivity. locating space. and so on. That is. and perceptual cluster. motivational. motivations. scrap loss.2. Likert states that the intervening variables reflect the internal state and health of the organization. 3. . and decision-making. the process usually involves some version of the following steps: 1. and perceptions of all members and their collective capacity for effective interaction. However. 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. and (ii) the intervening behavioral cluster. This is one part of effectiveness that many managers overlook because it emphasis long-term potential as well as short-term performance. performance goals. For example. According to Likert. and earnings. communication.
Take out all trappings that remind the personnel of the previous culture. Predictable obstacles include entrenched skills. This attempt to change culture can take many different forms. Structure.Even through some firms have had a culture in place to anticipate change. powerful stakeholders such as unions. Assess the current culture. Recruit outside personnel with industry experience. commitment. 2. roles. and history of two firms. The personal feelings. 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. Include employees in the culture change process. and structures that work together to reinforce traditional cultural patterns. Emotions. Staffs. and whether products and/or services are involved. Set realistic goals that impact on the bottom line. 7. and patterns of daily behavior. 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?. the geographic location. or even customers may support the existing culture. especially when making changes in rules and processes. 1. 3. These factors from the two cultures include the size. so that a consistent message is delivered from all management team members. Expect to have some problems and find people who would rather move than change with the culture and. management. habits. In addition. the industry in which the partners come from and now reside. 5. Make changes from the top down. attitudes. Where does the power and managerial decision making really reside? Corporate cultures range from autocratic extremes to total employee empowerment. Simple guidelines such as the following can be helpful. 6. organizational cultures can be managed and changed over time. Guidelines for change Despite the significant barriers and resistance to change. These emotions will be a major input into the clash or compatibility of the two cultures. and how this plays out among the partners will be important to cultural compatibility. relationships. Politics. the ³culture contract´ that individuals have bought into to guide their day-to-day thoughts. 2. so that they are able to interact well with the organizational personnel. . take these losses early. age. 4. 3. if possible.
8 Answers to SAQs and TQs SAQs: 1. Causal variables Answers to TQs: . are particularly driven by results and are often very competitive. _____are the visible manifestations of culture as seen in the physical and social environment of the organization. system-resource approach. ________cultures are outward looking. 7. Finally. 3. Explain the characteristics of organization culture. ___________are those factors that influence the course of development within an organization and its results or accomplishment.7 Terminal Questions 1. 2. intervening variables and end-result variables and there exists interrelationship among these variables. Discuss the development and change of organizational development. effectiveness through adaptive-coping cycle has been discussed.8.6 Summary Organizational effectiveness is the degree to which organization is successful in accomplishing its goals. Self Assessment Questions 1. Organizational effectiveness can be measured through various approaches. Organizations to be successful must be efficient and effective. 9. Effectiveness of an organization can be increased through economic man approach and administrative man approach. Stay the course by being persistent. and strategic constituencies approach. 7. Market 3. Briefly explain different types of organizational culture.goal approach. 7. Factors in organizational effectiveness include casual variables. Artifacts 2. Move quickly and decisively to build momentum and to defuse resistance to the new culture. behavioural approach. 2. 3.
8 Acquiring and using Power Skills Self Assessment Questions 8. Refer section 7. Refer section 7.6 The Role of Power and Politics in the Practice of OD 8. MU0002-Unit-08.5 Organizational Politics Defined and Explored 8.2 2.3 3.3 Two Faces of Power 8.10 Terminal Questions .2 Power Defined and Explored 8. Refer section 7. Politics and Organization Development Unit-08.1.4 Theories about the Sources of Social Power 8.7 Operating in a Political Environment 8.5 Copyright © 2009 SMU Powered by Sikkim Manipal University .Power.Power.9 Summary 8. Politics and Organization Development Structure: 8.1 Introduction Objectives 8.
we examine power and politics in relation to organization development.8.actions and the decisions that precede them. indisputable facts of organizational life. Objectives: After this studying this unit. must be understood if one is to be effective in organizations. As Warner Burke observes: "Organization development signifies change.¶ To have power is to be able to get desired things done. and behaviours of people. emotions. Potential power is the capacity to do so.´ ³A has power over B to the extent that he can get B to do something that B would otherwise not do.´ Organization development has been criticized for not taking into account power in organizations." . to effect outcomes. · Explain the role of power and politics in the practice of OD.1 Introduction Power and politics.11 Answers to SAQs and TQs 8." "Power is defined in this unit simply as the capacity to effect (or affect) organizational outcomes. The OD practitioner needs both knowledge and skill in the arenas of organizational power and politics." ³Power is the ability of those who possess power to bring about the outcomes they desire. In this unit. · Acquire skills to handle power and politics in organizations. power must be exercised.2 Power Defined and Explored "Power is the intentional influence over the beliefs. One person exerts power over another to the degree that he is able to exact compliance as desired. · Explain theories about the sources of power. 8. but kinetic power is the act of doing so. 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. and for change to occur in an organization. That criticism was essentially correct for many years although it is less valid today. The French word µpouvoir¶ stands for both the noun µpower¶ and the verb µto be able. you will be able to: · Define power and politics 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.
In fact.Analyzing these definitions shows some common elements: effectance-getting one¶s way. it is through the use of power that things get done in the world. we will examine four different views about who gets power and how: · Emerson¶s "Power-Dependence theory. confiscation. The phenomenon of power is ubiquitous. however. Without leadership (power) directed toward warfare. Without leadership (power) in medical. and organizational activities. hurting. the positive face of power seeks to empower self and others. Power per se is probably neither good nor bad although Lord Acton observed that "power tends to corrupt. technological. absolute power corrupts absolutely. 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. influencing. or acquired? In this unit. Roberts came to a similar conclusion in her study of "collective power" and "competitive power. It is especially salient in coordinated activities such as those found in organizations. Leading. and lead.3 Two Faces of Power David McClelland proposed an important distinction when he identified "two faces of power" ± positive and negative. persuading-these are examples of positive uses of power. humankind would not have the standard of living it does today. Power-in-action may take many forms. for organizations to function. Without influence (power) people would have no cooperation and no society. an authority or power dimension is required. and outcomes favoring one party over the other. In most organizations the positive face of power is much more prevalent than the negative face of power. political. unsocialized need to dominate others. power being the predominant mode. McClelland observed that while power has a negative connotation for most people. financial. We think this distinction provides a good insight into the concept of power. and repression. or positive. suggests that many problems with power stem from the goals of persons with power and the means they use. not the possession of power as such. the necessity of social interaction between two or more parties. spiritual. According to him. bestowed. We therefore define interpersonal power as the ability to get one¶s way in a social situation. The positive face of power is characterized by a socialized need to initiate. This positive face of power enables others to reach their goals as well as lets the person exercising power reach his or her goals. influence. Crushing. the negative face of power is characterized by a primitive." . the act or ability of influencing others. coercing-these are examples of negative uses of power. forcing. humankind would not have much of the misery it does today. both positive and negative." A moment¶s reflection. 8. 8. The negative face of power seeks to dominate and control others. with collective. selling. being exercised." Her research in four organizations showed both kinds of power. How do some people come to possess power? How is power generated.4 Theories about the Sources of Social Power Power exists in virtually all social situations.
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.· French and Raven¶s "Bases of Social Power. when the net balance for us is negative. we will continue the exchange relationship. giving someone power over us is the commodity we exchange when we are dependent on that person for something we want. Reward power ± power based on the ability of the powerholder to reward another. hate. influence. 3. goals. 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. that person has power over us. rewards) that are controlled by one party. to give something valued by the other. French and Bertram Raven on "the bases of social power. we will terminate or alter the relationship. Referent power ± power based on the power-receiver having an identification with (attraction to. 2. . information. P. When the net balance for us is positive." · Mintzberg¶s Observations on the Genesis of Power in Organizations. to give something negatively valued by the other. and so forth. or bases. Coercive power ± power based on the ability of the powerholder to punish another. 5. Social interaction represents an exchange of social goods and services. and (2) inversely proportional to the availability of those goals to A outside of the A-B relation. Power-dependence theory is related to a broader framework of social interaction called social exchange theory. which posits that what goes on between persons is an exchange of social commodities: love. of social power as follows: 1. Informational power is a form of expert power where the powerholder possesses important facts or information needed by the other. power. that is. attraction. Power-dependence theory states that power is inherent in any social relationship in which one person is dependent on another." · Salancik and Pfeffer¶s "Strategic-Contingency Model of Power. rejection. Viewed in this light." These authors suggested five sources. blame. The sociologist. praise. The components of this theory are a social relation between two parties and resources (commodities. or feeling of oneness with) the power holder. respect. Closely related to these ideas is the classic statement by John R. and desired by the other. Expert power ± power based on the powerholder possessing expert knowledge or expertise needed by the other." In other words. if a person has something we want badly and we cannot get it any other place. 4. that is. 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.
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.
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. both as a person and as a professional. Becoming a desired commodity as a person means being interpersonally competent and trustworthy. Skills such as listening. preferably multiple sponsorship. . coaching. communicating. in powerful places. the resources of OD expertise and ability to help organizational subunits solve their pressing problems. Michael Beer has identified additional means by which an OD group can gain and wield power in organizations: 1." 4. First. Resource management: Power accrues to those who control resources-in this case. Stature and credibility: Beer notes that power accrues to those who have been successful and effective. informational power (the consultant has a wealth of information about the strengths and weaknesses of the organization). 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. Sponsorship: "Organization development groups will gain power to the extent that they have sponsorship. Early success in the OD program and its usefulness to key managers of the organization helps promote this reputation.7 Operating in a Political Environment We will present some general observations on operating in a political environment."34 This maxim has been recognized for years under the heading of "get top-level support for the program.8. acceptability. Rule One: Become a desired commodity. Group support: If the OD group is strong internally. and ability to gain organizational support. Competence: Demonstrated competence is the most important source of power. 6. problem solving. and possibly referent power (others may identify with and be attracted to the consultant). followed by some rules of thumb for the OD practitioner. OD practitioners are likely to have high interpersonal competence by virtue of their training. it will gain more power. it will be strong externally. If the OD group is cohesive and free of internal dissention. 2. According to the framework of French and Raven. Paying attention to these sources of power will enhance the likelihood of success of OD programs. organization development practitioners operate from a potentially strong power base they can use to advantage. 5. 3. These sources of influence produce a substantial power base that will enhance the likelihood of success. Success leads to credibility and stature. the OD consultant possesses power from the following bases: legitimate power (the OD program and consultant are authorized by the organization¶s decision makers). expert power (the consultant possesses expert knowledge). and expertise. experience.
while at the same time increasing his or her usefulness to the organization¶s powerholders. it gains an aura of respect and protection that sets it above most political entanglements. which is to be an expert on process. When the OD program serves the needs of top executives. The principle is simple but powerful: know your legitimate business and stick to it. The nature of organizations and the nature of organization development suggest this rule. usually managers. 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. OD programs become desired commodities when they are instruments that allow individuals and organizations to reach their goals. Sometimes OD practitioners overlook that they are hired by others. Rule Three: Make the OD program a valued commodity for multiple powerful people in the organization. not content. Rule Six: Mind your own business. which is to help someone else solve his or her major problems. The role of the OD consultant is to help others upon request. The following rules describe ways to avoid becoming involved in one¶s own or in others¶ political struggles. The preceding rules of thumb describe ways to increase or solidify one¶s power base. The OD program belongs to the manager. Beer and Walton argue that organization development should move from being practitioner centered to being managercentered. . constructive social relationships. Each is derived from one general principle: Mind your own business. Many OD interventions promote win-win solutions for conflict situations. and showing appreciation for the strengths of others are components of interpersonal competence. not by getting involved in the answers. Rule Five: Mind your own business. OD consultants have a formal or informal contractual agreement with managers to help them do what they are trying to do-better. OD professionals who are skilled in conflict management techniques and OD programs that encompass conflict resolution activities become valued commodities. Another way the OD program becomes a desired commodity is by focusing on important issues.counseling. the manager will vigorously defend it. A valuable byproduct of this fact is that if the program runs into political turbulence. 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. Abiding by this rule keeps the consultant from becoming entangled in politics. to help them achieve their goals and solve their problems. OD programs should be results-oriented. and effective conflict management techniques are required to enhance stable. Rule Two: Make the OD program itself a desired commodity. Organizations are social systems in which members have both a history and a future of interacting. Rule Four: Create win-win solutions. Good OD practitioners will have learned and practiced these skills. those issues vital to the organization¶s success. not the OD consultant.
Table 8." OD practitioners have typically pursued a "playing it straight" strategy as their sole means of exerting power. 8. Illegitimate behavior causes others to try to exert greater control over the situation.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 . viable.Rule Seven: Mind your own business because to do otherwise is to invite political trouble. the strategy and tactics of influence. but that does not mean practitioners must be naive or incompetent in the political arena." "using social networks. A subtle phenomenon is involved here: when people engage in illegitimate behavior. but these give the flavor of the issues one must consider when operating in a political environment. and educator. negotiations the nature of power and politics. Networking is recognized as a potent. Earlier we stated that the OD practitioner should learn as much as possible about bargaining. not power activist or power broker. individual power derives from knowledge. dealing directly with powerholders and decision makers.8 Acquiring and Using Power Skills The OD practitioner is neither power activist nor power broker. yet legitimate means of acquiring power." and "going around the formal system. Three successful power strategies are "playing it straight. One carries out such a strategy by participating in alliances and coalitions. Attention to these rules can save OD practitioners time and energy that can be more profitably invested in the OD program. such behavior is often interpreted as politically motivated. others¶ support. We could propose more rules of thumb. catalyst. We believe the legitimate role of the OD practitioner is that of facilitator. and the characteristics and behaviors of powerholders. Illegitimate behavior encroaches on others¶ legitimate "turf. thereby greatly expanding practitioner influence." which arouses defensive actions. The authors propose adding the "using social networks" strategy to their repertoires. and personality characteristics. and using contacts for information. As shown in the figure. problem solver.
which in turn will protect the interests of all concerned. arises from expertise. personal power and position power. 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´. visibility-how much one¶s work is seen by influential people.) Position power derives from five sources: Centrality-access to information in a communication network. in turn. In this model. Whetton and Cameron¶s model is shown in following figure. Personal power. This practical. even those of little power. 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. Networks are critical to effective performance for one compelling reason: Except for routine jobs. influence key powerholders to accept the OD program. The power structure will realize that collaborative power is preferable to manipulation and deception.Personality y y y Going Around Formal System · Work around roadblocks · (Don¶t) use organization rules Charisma Reputation Professional credibility Finally. ³One of the most important ways of gaining power in an organization is by establishing a broad network of task and interpersonal relationships. . and relevance-how important one¶s task is in relation to organizational priorities. criticality-how important one¶s job is flexibility-the amount of discretion in the job. personal attraction. (Legitimacy refers to abiding by and promoting the values of the organization. and legitimacy. how-to book on power and organization development is well worth studying. a person¶s power comes from two main sources. effort. no one has the necessary information and resources to accomplish what¶s expected of them. then utilize a facilitative OD process in which the powerholders work on strategic business issues using consensus decision making to develop a corporate strategy. 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. Indeed.
reciprocity. we have examined power and politics with the goals of understanding the phenomena and deriving implications for OD practitioners. and (3) empowering others. Three influence strategies can be used to influence others-reason. Our suggestions for . 8. Reciprocity refers to exchange of favors. Having power is one thing." Three things are involved in converting power into influence: (1) resisting other people¶s inappropriate influence attempts. actually using it to get things done is another.Fig. and reciprocity can be useful when reason fails. (2) provide a positive. They write: "Influence entails actually securing the consent of others to work with you in accomplishing an objective. (2) selecting the proper influence strategy." And. arise from known conditions. Retribution is not recommended except in unusual cases. (3) reward and encourage others in visible and personal ways. Whetton and Cameron suggest several means of resisting others¶ influence attempts such as confrontation and using countervailing power. Methods for empowering others are the following: (1) involve subordinates in assigning work.1: Model of Power and Influence Networking is used to increase both personal power and position power. and are amenable to positive control. According to these authors. Concluding Comments: In this unit. Usually reason is the preferred strategy. and (6) build on success. collaborative work environment. Retribution refers to coercion and threats. Power and politics are similar in nature. power-in-use is called influence. Reason refers to persuasion by facts. (4) express confidence (5) foster initiative and responsibility. and retribution. "Power is converted into influence when the target individual consents to behave according to the desires of the power holder.
Define power in an organizational context and explain types of power. emotions or behaviour of people. 8. reputation and professional credibility. ±±±±±± is the intentional influence over the beliefs. Power based on the power-receiver having identification with the power holder is called ±±±± ±±±±±±±. Strategic-contingency model of power asserts that power that accrues to the individuals. 3. Describe briefly various theories of power. The OD practitioner needs both knowledge and skill in the arenas of organizational power and politics. Power 2. Organizational politics is defined as the study of who gets what. 4. Power and politics are similar in nature. units or departments is most important in solving organizational problems.. and how.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.11 Answers to SAQs and TQs SAQs: 1. 2. 8. 4. 3.9 Summary Power and politics are inseparable facts of organizational life. Self Assessment Questions 1. 5. ±±±±±±±± defined politics as the study of who gets what. when and how.10 Terminal Questions 1. Identify the bases of individual power and the respective strategies for their success. _____________ has identified two faces of power. and are amenable to positive control. Organizational politics involve intentional acts of influence to enhance or protect the self-interest of individuals or groups. 2. Explain the role of power and politics in the practice of OD. Define organization politics. Organizational power is the ability of those who possess power to bring about the outcomes they desire. McClelland 3. arise from known conditions. Power can be either positive or negative. Power-dependence theory states that power is inherent in any social relationship in which one person is dependent on another. ±±±±±±±±±± is made up of Charisma. Harold Lasswell . Referent power 4. when. 5. 8.
2 2. Refer section 8. Refer section 8. Refer section 8.5.8 Copyright © 2009 SMU Powered by Sikkim Manipal University .3 Socio Technical Systems 9. Refer section 8.1 Introduction Objectives 9.4 3.5 4. Personality Answers to TQs: 1.4 Management By Objectives 9.6 Quality of Work Life Projects .5 Quality Circles 9.2 Meaning and Definitions 9. MU0002-Unit-09-Structural Interventions and Applicability of Organization Development Unit-09-Structural Interventions and Applicability of Organization Development Structure: 9.Refer section 8.6 5.
1 Introduction Organizations are increasingly realizing the fact that change is the price of the survival. organizational problems may repeat. actions. These interventions vary from standardized program that have been developed and sometimes tailored program. Nothing is permanent except change because change is permanently changing. These methods are receiving increasing attention in Organization Development. . Objectives: After studying this unit.10 Summary 9. 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. An organization development intervention is a sequence of activities.7 Parallel Learning Structures 9.9 Reengineering Self Assessment Questions 9. how to produce product or service which is related to Employee involvement approaches and how to design work is related to Work design. events intended to help an organization improve its performance and effectiveness.11 Terminal Questions 9.9. These programs are derived from careful diagnosis. · Discuss the parallel Learning Structures.12 Answers to SAQs and TQs 9. · Explain Reengineering. · Discuss the Management By Objectives · Explain the Quality Circles. 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. In this dynamic and fluid environment.8 Total Quality Management 9. · Explain Total Quality Management. you will be able to: · Explain the Socio technical change.
and more critically. Weeks and months of group effort are saved. Organization Acceptance of Change.9. 1967. meaning the major costs are associated with analysis and design of change. Structural changes are consistent with their operating styles and are generally understood by practitioners. 5. Rapidity of change. Managers and administrators are notoriously pragmatic. and OD practice enables the change agent to estimate the probable consequences of the change. Structure changes are normally ³institutionalized´ and less subject to this problem. 9. Advantages of Structural Interventions There are a number of reasons why a consultant should consider employing a structural intervention. 4. Downsizing associated with restructuring. Pasmore. organization theory. structural Interventions compare quite favorably with all other alternatives. One problem with behavioral/ group interventions is the tendency for new managers or employees to discount or fail to continue the change program. processes and functions to create a balance between the organization and its changing external environment. 3. Once diagnosed and an appropriate correction developed. Greater Predictability. Basic reinforcement theories. It could involve the following steps (Foster. This normally is a reasonable.2 Meaning and Definitions Structural Intervention is related to the changes that relate elements of organization to one another. 1976. It endeavors to re-design the organization¶s structure. a predictable cost Implementation of group strategies involves significant long-term man-hour and consultant costs. 2.3 Socio Technical Systems Socio-technical systems design is better suited to meet the requirements of a changing external environment in comparison with traditional designs. includes removing or adding layers to hierarchy. Succession Doesn¶t Destroy Change Effort. their attractiveness is also increased by the following advantages: 1. Changes can involve decentralization and centralization. 1988): Determining the environmental demands Creating a vision statement Educating organizational members . Cost is Low. Cummings. In addition. change can be introduced relatively rapidly by top management. From a benefit cost analysis. The cost of structural change is generally ³front-end´ loaded.
In fact. MBO is an approach and philosophy to management and not merely a technique. Since then. A management technique can be applied in selected parts of the organization and will have limited implications for its other parts. its definitional aspect. non-specialist. MBO is bound to have some relationship with every management technique.´ 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. MBO is likely to affect every management practice in the organization. It is a particular way of thinking about management. physical. 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. operational managerial process for the effective utilization of material. is a technique and system which helps in improving organizational performance. Though there are some variations in the practices of MBO and.4 Management by Objectives Management by objectives (MBO). often MBO provides the stimulus for the introduction of new techniques of . many business and nonbusiness organizations have adopted this in some form or the other.´ Based on the definition of MBO. On the other hand. MBO employs several techniques but it is not merely the sum total of all these techniques. Certain degree of overlapping is there. with objective orientation as its essence. 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. 2. its features can be identified as follows: 1. consciously directed towards the effective and efficient achievement of organizational objectives. therefore. As an approach to management. it has been defined as follows: MBO is a comprehensive managerial system that integrates many key managerial activities in a systematic manner. The term MBO was coined by Drucker in 1964 when he emphasized the concept of managing by results. though not strictly an OD intervention in the sense in which other interventions have been discussed so far.
Usually the objective setting starts at the top level of the organization and moves downward to the lowest managerial levels. It works as an integrating device. This. Therefore. Process of MBO MBO is a system for achieving organizational objectives. 6. including the corporate level. etc. The MBO is characterized by the participation of concerned managers in objective setting and performance reviews. normally once a year. and participation of the managers with accountability for results. each manager takes active part in setting objectives for himself and also in evaluating his performance as to how he is performing. 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. The MBO process is characterized by the emphasis on the rigorous analysis. Objectives provide the means for integrating the organization with its environment. What business are we in?´ and what should be our business?´ provide guidelines for the statement of purpose. delegation of authority. It emphasises initiative and active role by the manger who is responsible for achieving objectives. This will go in a sequence like this (i) defining the purpose of the organization. reward and punishment system is attached with the achievement of the objectives. (ii) long-range . 1. Therefore. This process clarifies the role very sharply in terms of what one is expected to achieve. the clarity and balance of objectives.. managers have the opportunities for clarifying their job relationships with peers. (iii) what should be the degree of vertical integration and so on. 4. The review is future-oriented because it provides basis for planning and corrective actions. The MBO process is not as simple as it appears to be. The performance review is held regularly. Setting of Organizational Purpose and Objectives: The first step in MBO is the definition of organizational purpose and objectives. Objectives in MBO provide guidelines for appropriate system and procedures. Periodic review of performance is an important feature of MBO.management and enhances the relevance and utility of the existing ones. its process should facilitate translation of basic concepts into management practice. Similarly. enhancement of employee commitment and participation. This is possible because MBO tries to match objectives and resources. Managers need training and experience for developing the required skills. superiors and subordinates. such as. are determined on the basis of objectives. 3. Questions. Objectives are established for all the levels of the organization. MBO is also concerned with determining what these results and resources should be. The total management process revolves round the objectives set jointly by the superior and the subordinate. ³why does the organization exist?´. all the units or departments and individual manager. 5. in interaction with external factors. The basic emphasis of MBO is on objectives. its subsystems and people. Whereas the various techniques of management help in measurement of results in resources. Resource allocation. MBO is the joint application of a number of principles and techniques. Therefore.
there is a series of superior and subordinate relationships. (ii) market standing. The allocation and movement of resources should be done in consultation with the subordinate manager. Key Result Areas: Organizational objective and planning premises together provide the basis for the identification of key result areas (KRAs). Matching Resources with Objectives: When objectives are set carefully. and (viii) public responsibility. However. By relating these to objectives. there should be matching between objectives and resources. each individual manager must know in advance what he is expected to achieve. 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. In the beginning of MBO process in an organization. In turn. 4. KRAs also indicate the present state of an organization¶s health and the top management perspective for the future. resource availability becomes an important aspect of objective setting because it is the proper application of resources which ensures objective achievement. . (iv) divisional/departmental/sectional objectives. If not. Every manager in the managerial hierarchy is both superior and subordinate except the person at the top level and lowest level.and strategic objectives. (iv) productivity. (iii) short-term organizational objectives. Even though KRAs are most durable. 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. they also indicate the resource requirement. By relating these to objectives. Examples of KRAs applicable to most of the business organizations are (i) profitability. It may be emphasized that KRAs are derived from the expectations of various stakeholders and indicate the priorities for organizational performance. this gap narrows because of narrowing down of perception of superior and subordinate about what can be done at a particular level. a superior manager is better able to set the need and economy of allocating resources. 3. Thereafter. (v) worker performance. (v) individual manager¶s objectives. a superior manger is better able to see the need and economy of allocating resources. Therefore. In fact. Therefore. 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. the final objectives for the subordinate are set by the mutual negotiation between superior and subordinate. Setting Subordinates¶ Objectives: The organizational objectives are achieved through individuals. (iii) innovation. (vi) financial and physical resources. the achievement in a particular KRA also provides the impetus for a new KRA in future. Therefore. 5. It is not taken merely to punish the non-performer or to reward the performer. The process of objective setting begins with superior¶s proposed recommendations for his subordinate¶s objectives. with the experience gained over the period of time. the list of KRAs gets considerably changed over the period in response to new needs and opportunities. the subordinate states his own objectives as perceived by him. (vii) manager performance. 2. Appraisal: Appraisal aspect of MBO tries to measure whether the subordinate is achieving his objective or not.
quality groups are often compulsory and organized around specific work teams. and · Then monitor the resulting change efforts. Objectives are neither set at the top and communicated to the bottom nor are they set at the bottom and go up. each having three to fifteen members. Objective setting is a joint process through interaction between superior and subordinate. Some organizations have even gone as far as setting targets for the number of suggestions quality groups are expected to come up with. 9. QWL programs. what happens at each level may affect other levels also. Quality circle program consists of several circles. appropriate feedback and employee discretion. and rewards. or in people¶s heads) and distributing it to the people who need it in a timely and efficient way. knowledge. 9. Quality circle requires a managerial philosophy and culture that promotes sharing power. It Consists of a steering committee and a number of working groups that: · Study what changes are needed in the organization. Groups representing various levels and functions work to open new channels of communication outside of and parallel to the normal. · Make recommendations for improvement. . but in its contemporary form. in general. Therefore. information.Quality circle represents a participative approach to employee involvement in problem solving and productivity improvement. on paper.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. this approach looked both at technical and human sides of organizations and how they are interrelated. Parallel Learning Structures may be a form of Knowledge Management. at the Tavistcock Institute of Human Relations in London. The original idea of quality circles involved small groups of volunteers meeting on a regular basis. The most distinguishing feature of QWL program is the development of self-managing work groups which consist of multi-skilled workers. It consists of small group of employees who meet voluntarily to identify and solve productivity problems.6 Quality of Work Life Based on the research of Eric Trist et al. Recycling: Though appraisal is the last aspect of MBO process. Knowledge Management involves capturing the organization¶s collective expertise wherever it resides (in databases.6. which consequently result into high level of task variety. it is used as an input for recycling objectives and other actions. 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. hierarchical structure. 9.5 Quality Circles Quality circle is one of the most popular methods in the USA which was originally developed in Japan in 1950s. require joint participation by union and management in the process of work-designing.
8 Total Quality Management It is a long term effort that orients all of an organization¶s activities around the concept of quality. ties reward to performance and increase workers knowledge and skills through extensive training. Reengineering is a top-down process. · Daily operational use of the concept of internal customers. · A major emphasis on continuous learning. · An emphasis on teams and teamwork. · Continuous search for sources of defects with a goal of eliminating them entirely. or restructuring activities without regard to present hierarchical or control procedures. · Top management support on an ongoing basis. · An emphasis on measurement using both statistical quality control and statistical process control techniques. A combination of a number of organization improvement techniques and approaches. service.9. statistical quality control. self-managed teams and task forces. including the use of quality circles. 9. quality. assumes neither an upward flow of involvement nor that consensus decision making. Features that characterize TQM: · Primary emphasis on customers. and extensive use of employee participation.9 Reengineering It is the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical. It seeks to make such processes more efficient by combining.TQM pushes decision making power downwards in the organization. Self Assessment Questions . provides relevant information to all employees. and speed. It is very popular in USA in 1990s. · Competitive benchmarking. It is also called continuous quality improvement. statistical process control. such as cost. · Participative management. eliminating. contemporary measures of performance. Reengineering focuses on visualizing and streamlining any or all business processes in the organization.
There are a number of reasons why a consultant should consider employing a structural intervention. Intervention 2. structural Interventions compare quite favorably with all other alternatives.12 Answers to SAQs and TQS SAQs: 1. It is also called continuous quality improvement. 9.10 Summary An organization development intervention is a sequence of activities. actions. ties reward to performance and increase workers knowledge and skills through extensive training. 9. It consists of small group of employees who meet voluntarily to identify and solve productivity problems. Quality circle represents a participative approach to employee involvement in problem solving and productivity improvement. 9. __________ represents a participative approach to employee involvement in problem solving and productivity improvement. provides relevant information to all employees. Discuss Socio Technical Systems? 2. The term MBO was coined by _________ in 1964. events intended to help an organization improve its performance and effectiveness. Write a short note on Total Quality Management. What are the advantages of structural interventions? 3. 2. An organization development __________ is a sequence of activities. Explain Management By Objectives? 4.1. consciously directed towards the effective and efficient achievement of organizational objectives. actions. MBO is a comprehensive managerial system that integrates many key managerial activities in a systematic manner.11 Terminal Questions 1. Drucker 3. Sociotechnical systems design is better suited to meet the requirements of a changing external environment in comparison with traditional designs. 3. TQM pushes decision making power downwards in the organization. From a benefit cost analysis. Quality circle Answers to TQs: . events intended to help an organization improve its performance and effectiveness.
2 Nature of Change 10.3 Resistance to Change 10.5 4. Refer section 9.3 2.8 Copyright © 2009 SMU Powered by Sikkim Manipal University . 10.7 Summary 10. MU0002-Unit-10-Managing Change in Organization Development Unit-10-Managing Change in Organization Development Structure: 10.6 Methods of Reducing Resistance to Change.5 Impact of Change on the Future Manager 10.2 3.1 Introduction Objectives 10.Refer section 9. Self Assessment Questions 10.4 Causes for Resistance to Change. Refer section 9.9 Answers to SAQs and TQs .1. Refer section 9.8 Terminal Questions 10.
Objectives: After studying this unit.2 Nature of Change The term µchange¶ refers to an alteration in a system. which are major ones. 3. 10. you will be able to: · Explain the meaning of organization change. cope with the ongoing changes successfully in the first instance. organizational change is the alteration of work environment in an organization. However. It implies a new equilibrium between different components of the organization ± technology. indirectly.1 Introduction Organizations are increasingly realizing the fact that change is the price of the survival. may require special change efforts. some changes which are of minor type may be absorbed by the existing equilibrium. Thus. Newstrom and Davis have explained the impact of a change in any part of the organization on the total organization. structural arrangement. or social. the mangers and other employees must be able to practically anticipate the changes (planned and unprecedented). biological. The type of new equilibrium depends on the degree of change and its impact on the organization. some parts may be affected directly.10. Any change may effect the whole organization. Hence. 2. less. In this dynamic and fluid environment. Nothing is permanent except change because change is permanently changing. Organizational change is a continuous process. and others. and others. others. · Discuss the nature of change · Explain resistance to change and the factors which resist change. · Impact of change on future managers. 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. Thus. some parts of organization may be affected more. · State the methods of reducing resistance to change. organizational problems may repeat. it disturbs the old equilibrium necessitating the development of a new equilibrium. job design and people. When change occurs in any part of the organization. They have illustrated it by comparing an organization to an air-filled . and initiate new change so as to overtake the competitors one the one hand and delight the customers on the other.whether physical. organizational change may have the following features: 1.
³The Pune plant is fully saturated. While managers as change agents want to bring changes in the organization. fear of change can be as significantly disrupting as change itself. adjustment is fairly routine. the change in organization does not occur purely on mechanical relationship. Before we trace out the reasons for résistance to change. commented. We saw resistance to change at the existing plant. that is. they have concluded that the whole organization tends to be affected by change in any part of it. However. let us discuss whether resistance is always bad as it is generally perceived to be. Homeostasis implies selfcorrecting characteristics of organism to maintain equilibrium as a result of change. In fact. people act to establish a steady state of need fulfillment and to secure themselves from disturbance of that balance. If people resist to change. the managers face the problem of resistance to change.as cost and as benefit. When change is minor and within the scope of correcting programme. because it produces identical symptoms. In fact. Similarly. On this phenomenon. social systems tend to resist change because of homeostasis. we find that the shape of the entire balloon has changed. This leads to general proposition that people and their social systems will often resist change in organizations. When a finger (which represents external force) is forced against a point on the balloon (which represents the organization). 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. 10. Resistance as Cost: Since all changes have some cost. However. Madhur Bajaj. Many companies have been forced to do so in the past. In fact. the organizational may not be able to introduce new phenomena in order to adapt environmental requirement. the contour of the balloon visibly changes. many organizations have been forced to abandon change programmes because of resistance to such programmes. 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. more serious upsets may occur. so is the resistance to change.3 Resistance to Change In the management of change effectively. employees want to maintain a status quo. like shifting of the manufacturing plants at new locations. Thus. or they have been forced to adopt alternative strategies. We shall take new workers at the new place.balloon. it has stretched slightly. In order to increase its manufacturing capacity of two-wheelers. One example of Bajaj Auto Limited is relevant here. it becomes indented at the point of contact.´ Resistance as Benefit: . Managing Director of Bajaj Auto. but when a change is major or unusual. We wanted a new culture and new layout. and its basic survival may be jeopardized. Though this phenomenon will be taken later. there are two sides of resistance. People tend to resist many types of changes because new habits or sacrifices are required. if we look minutely.
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.
Let us see what someone has said long back: ³There are three types of companies: those who make things happen. if any change is to be incorporated. the organization may take change programmes much more frequently. it may not be possible for the organization to bring necessary change. it may enter into agreement with other organizations over certain aspects of working. It is necessary too that other organizations also agree to the change proposal. For example. centralized control. If it is risk-taking. and has zeal for progress. the organization has to take into consideration the wishes of other organizations too. They emphasize more on cost-effectiveness. prospectors. intensive planning. an organization has to adapt to its environment but the adaptation has its own cost. It an individual is not making commensurate contribution. In this interaction process.´ This is the true reflection of difference between change-initiating companies and changeresisting companies. these can be used for specific period. it is not necessary that his services are done away with. building and training for its personnel.defenders. forward-looking. and commensurate expenses on other items also. Miles and Snow have classified them into four categories. In such a case. organization has to pay for his services though these may not be as useful. Analyzers act sometimes as defenders and sometimes as prospectors. broad environmental scanning. Sunk cost cannot be only in terms of various physical things. They go on searching new products/markets on regular basis. It depends more on the style of top management. Prospectors: These firms use broad planning approaches. . Inter-organizational Agreements: The organization interacts with its environment. what will happen to these assets? Naturally. 4. and put less emphasis on environmental scanning. those who watch things happen. decentralized controls. 1. 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. analyzers. and reactors. Defenders: These are the firms which penetrate in a narrow market product domain and guard it. it will require resources to procure machine. Analyzers: Above two are the extreme cases of choice-making modes in between the analyzers and reactors. innovative. if new technology is adopted.3. if the change is required. and reserve some resources unutilized for future use. those who wonder what happened. 3. Now. 5. This can be in the form of people also. the organization may enter into agreement with labour union about not bringing any technological change. Based on the aggressiveness which various companies show in changing themselves. If the organization is not fully equipped for meeting such demands. Thus. Sunk Cost: Most of the organizations have sunk cost involved in various assets. Resource Limitations: No doubt. Once the assets are acquired. For example. 2.
Fear of the Unknown: Change substitute ambiguity and uncertainty for the known. they cannot survive. For instance. 10. The same applies to employee.4. adjusting to the new office layout. or deferred. we all rely on habits. you find a single route and you use it regularly. So when your department is moved to a new office building across town. Resistance can be overt. immediate. Security: People who have a high need for security are likely to resist change because it threatens their feeling of safety. Life is complex enough. developing a new lunchtime routine. It is easiest for management to deal with resistance when it is overt and immediate. threatening to go on strike. do you continually use the same route and streets? Probably if you¶re like most people. Economic Factors: Another source of individual resistance is concern that changes will lower one¶s income. Habit Every day. a change is proposed and employees quickly respond by voicing complaints. finding a new parking place. Reactors: These organizations realize that their specific environment is changing but fail to relate themselves with the changing environment. They may. When we are confronted with change. engaging in a work showdown. the introduction of a quality management program requires that production workers learn statistical process control techniques. this tendency to respond in our accustomed ways becomes a source of resistance. 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. and so on. or programmed responses. And people in general don¶t like the unknown. develop a negative attitude towards quality management or behave dysfunctionally if required to use statistical techniques. we¶re creatures of habit. Therefore. As human beings. implicit. For analytical purpose. some may fear they¶ll be unable to do so. when you go to work or school. many employees at these firms may fear that their jobs are in jeopardy. When Boeing announces its laying off 10. Let¶s look at the sources of resistance. or the like. Organizational resistance . they have to behave in one of the above three ways.4 Cause for Resistance to Change Resistance to change doesn¶t necessarily surface in standardized ways. therefore. it means you¶re likely to have to change many habits: waking up 10 minutes earlier. we don¶t need to consider the full range of options for the hundreds of decisions we have to make every day. taking a new set of streets to work. especially when pay is closely tied to productivity. If for example.000 people or Ford introduces new robotic equipment. we¶ve categorized them by individual and organizational sources. Otherwise. To cope with this complexity.
Training and other socialization techniques reinforce specific role requirements and skills. The recent move by some companies to outsource many of their human resource activities ± such as training. he¶s likely to resist. may be willing to accept changes in his job suggested by management. 10. So limited changes in subsystems tend to get nullified by the larger system. for instance. group norms may act as a constraint. For example.5 Impact of Change on Future Manager Organizations are changing nearly daily. 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. For example. Formalization provides job description. Threat to Expertise: Changes in organizational patterns may threaten the expertise of specialized groups. accountants work with marketers. Will the change. if management changes the technological processes without simultaneously modifying the organization¶s structure to match. They tend to be content with the way things are. These teams are comprised of people from various areas within the company. 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. 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. the way in which companies are configured today is changing. Limited Focus of Change: Organization is made up of interdependent subsystems.Structural Inertia: Organizations have built-in mechanisms to produce stability. rules and procedures for employees to follow. But if union norms dictate resisting any unilateral change made by management. The . Group Inertia: Even if individuals want to change their behavior. Changing Skill Sets More organizations are utilizing cross functional teams. for instance. People from one functional department are placed on terms with people from other functional areas. That is. Why? Because this outsourcing is a threat to the specialized skills held by people in HR departments. development of pay plans. and benefits administration ± has been resisted by many human resource departments. The only constant in organizational life today appears to be the presence of continuous change. For example. One area of organizations that continues its metamorphosis is the design itself. human resource people with engineers and finance individuals with operations employees. the selection process systematically selects certain people in and certain people out. An individual union member. Threat to Established Resource Allocations: the groups in the organization that control sizable resources often see change as a threat. You can¶t change one without affecting the others.
Involvement: Involvement is a process through which those who are affected by the change are brought to understand the change. It may affect only a few while others may not be affected. 10. The fundamental idea in this process is to encourage the person to say something about any aspect of the change. both at the formal and informal levels.´ The newer organizational structures use term problem solving. Therefore. that is. For example. even the impact of change may be dysfunctional if change is imposed upon the people by the use of formal authority. this is not a one-time action. More fluid structures require that managers improve their strategic orientation. As organizations must be better equipped to respond to change in their external environment. the role of formal authority in implementing a change may not be effective all the times. typically by way of computer network links. It implies explanation and then discussion of the proposed changes. 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. In addition. People always have some . through group dynamics. It includes finding out from the members how they interpret the proposed changes and what they think about them. Both these attempts are complementary and sometimes these efforts may be overlapping because every individual is a member of some of the groups. This requires that managers think differently and teach employees to think differently. it can make effectively by managing resistance effectively. strategic directions for the company must be identified in light of these changes. They need to be adept at reading the trends in the environment and then determining what they mean specifically for their own organization. Problem solving now involves the people who are experts in the issue ± not necessarily those in high positions in the organization. For this purpose.ultimate goal is to improve organizational performance by cutting production time or time to market. managers must be more skilled at reading the environment and grasping the big picture. Stephen Robbins suggests that ³«« managers in virtual structures spend most of their time coordinating and controlling external relations. Locavini observes that ³the secret of real success is effective management of the emotional vulnerability that accompanies organizational change. rather should be looked upon as a dialogue which continues over a period of time. Efforts at Individual Level A change is likely to affect some people in some way. the problems can be solved at the same level.6 Methods of Reducing Resistance to Change One of the basic problems in managing change is to overcome people¶s resistance to change successfully. at the level of individual and at the level of group. In many cases. the following efforts can be taken: 1. When the resistance comes from the people at individual levels. the effect of the change may not be as functional as envisaged by the management. However.´ Problem of overcoming resistance to change can be handled at two levels. Unless this problem is overcome properly.
more than one person is involved in the change. to become effective. 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. Based on these characteristics of group as a means of change. Efforts at Group Level Although agreement to a change can be obtained individually. instead of solving the problem at the individual level. Group dynamics offers some basic help in this regard. so that they are looked at and evaluated. must be understood so that its effective use can be made. meetings. and conferences. as discussed earlier. 3. (ii) In group. For this purpose. People should be educated to become familiar with change. there may be some person who may communicate to the same group. Usually. Thus. Obtaining Commitment: Commitment is an agreement to take an active part in the actual mechanics of the change. The same is true of problem-solving. education must be a part of the manager¶s everyday activity on the job. (iii) Group can get at the basic problem very rapidly as compared to a single individual. one can communicate with more people per unit of time. the manager can form strategies for overcoming resistance in the following manner: 1. They must be taught new skills. As this process goes. either the subordinates do not resist or if they resist. understanding of change increases and personal involvement in the change increases. its basic nature. Such educational process can be aided by training classes. Group Contact: Any effect to change is likely to succeed if the group accepts that change. most of the times. The group contact offers some specific advantages: (i) Through groups. and indoctrinated in new relationships. 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. but a transformational leader can use personal reasons for change without arousing resistance. Though each person interprets the change individually often. However. sometimes. helped to change attitudes. The decision to commit oneself is a dynamic process. It grows slowly along with relationship. This helps in creating receptive environment in the organization. Training and Psychological Counseling: The management can change the basic values of the people by training and psychological counseling. Commitment to take part in the change programme can be obtained in private from each individual. 4. 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. the level of resistance to change tends to decrease. he expresses it through a group. its process and working. it is desirable at the group level to get better acceptability of change. is an important trust-building task. Getting opinions out in the open. it is more meaningful if it is done through group.ideas and opinions about what is going on in the world and more specially if touches them personally. For using group as a means of overcoming resistance to change. 2. However. the group itself should be the point of contact. Thus. the leader tries to overcome this resistance by leadership process.
3. sentiments and attitudes towards change. For instance. thereby the people can build up the climate based on mutual trust and understanding which are essential for bringing organizational changes successfully. Group Dynamics Training for Change: Group dynamics also helps in providing various training programmes for accepting and implementing change. Such training techniques provide understanding of behaviour. Research studies also support this aspect. psychodrama. The organization must regard the participation as meaningful and share the results of the change with its members. many things about change can be made clear. They must be made a party to the change rather than an agent for resistance to change. and how the benefits of the meaningful and continuous dialogue are necessary. However. structural arrangement. Such training techniques include role playing. It would be prudent for management to take labour representatives into confidence before implementing any change. __________ are based on people¶s emotions. 2. mere participation may not help. social factors. job design and people. It purports how the results are. Free flow of information helps people to understand the real picture of the change and many misunderstandings may be avoided. Changes may be influenced by external and internal factors. and how members contribute. This is more important in the case of workers who themselves treat a separate group and do not identify with the management. Those people who are directly affected by the change should be given opportunity to participate in that change before the final decisions are reached. benefits of change. _________ helps to give people involved in the organizational change and inculcate a feeling of importance. It implies a new equilibrium between different components of the organization. 10.Through the group contact. It makes people feel that the organization needs their opinions and ideas and is unwilling to go ahead without taking them into account. Economic factors. 2.such aspects as the reasons for change. The laboratory method provides a setting where group processes can be studied intensively. immediate. _________ is the alteration of work environment in an organization. taking whole of the group into confidence helps in maintaining a cooperative attitude. Organizational change is the alteration of work environment in an organization. Resistance can be overt.7 Summary Change is inevitable. It implies a new equilibrium between different components of the organization ± technology. implicit. and sensitivity or T-group training. Even if only some of the members are affected by the change. a change is proposed and employees quickly respond by voicing . 3. It is easiest for management to deal with resistance when it is overt and immediate. Participation: Participation helps to give people involved in the organizational change and inculcate a feeling of importance. or deferred. Self Assessment Questions 1. psychological factors. group resistance and vested interests. People tend to resist many types of changes because new habits or sacrifices are required.
Jr. Thomson · Daft Richard L. threatening to go on strike. Organization Development & Change. Reference: · Wendell L. Organization Theory and Design. French and Cecil H. Thomson South Western. Organizational change 2. Refer section 10. or the like.. both at the formal and informal levels. eighth edition. Organization Development. Refer section 10. Jain.8 Terminal Questions 1.complaints. Bell. New Delhi.Singh. .9 Answers to SAQs and TQS SAQs: 1. Explain the nature of change? 2.6.Response Books. Principles and Practices. engaging in a work showdown. · J.2 2.4 3. 10. P. Psychological factors 3. Prentice-Hall of India Private Limited. Regal Publications New Delhi. 10. through group dynamics. at the level of individual and at the level of group.management of Organization Change. that is. Refer section 10. Both these attempts are complementary and sometimes these efforts may be overlapping because every individual is a member of some of the groups. Why do organizations resist change? 3. N. Problem of overcoming resistance to change can be handled at two levels. · Cummings & Worley. Discuss the methods of reducing resistance to change. New Delhi. Modern Organization Development and Change. · Harigopal K. P. Participation Answers to TQs: 1..
· Stephen P.bus. Prentice-Hall of India.com/articles/leadchange. Prasad.lib.cfm http://www.uk/search/article/634958/the-ceos-role-managing-change/ http://www.pdf http://www.org/org_chng/org_chng. Stoner and R. Ltd.edu/journals/portal_libraries_and_the_academy/v005/5. Prentice-Hall of India.pdf http://www. Principles & Practice of Management. Robbbins. · Stephens P.com/opm/grtl/OLS/ols6. · L.co.pdf http://www. Edward Freeman.edu/groups/learning/wp8. New Delhi. New Delhi. Management. Dhanpat Rai & Co. Organizational Behaviour. . Chhabra. F. 12th edition.pdf www.umich. M. · T. Ltd.kurims.oup. Management.edu/cameronk/CULTURE%20BOOK-CHAPTER%201.managementhelp.htm#TopOfPage http://www. Anmol Publications Pvt. New Delhi.htm www. Robbins.uk/pdf/bt/fincham/Chapter15.humtech.managementtoday.co.wdi.kyoto-u. Organizational Behaviour. N. · Laxmi Devi.1lowry.umich.ac.· James A. Organizational Development. Prentice-Hall India. Sultan Chand & Sons.umd.jp/~kyodo/kokyuroku/contents/pdf/1461-15.jhu.fao.edu/files/Publications/WorkingPapers/wp598. Educatiional Publishers. E References y y y y y y y y y y y http://fds.org/docrep/w7503e/w7503e05. Pvt.com/www.work911.pdf http://webuser.oup. New Delhi.htm#anchor73776 Copyright © 2009 SMU Powered by Sikkim Manipal University .html http://muse.
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