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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
directing and controlling. labour. It co-ordinates the efforts of workers to achieve the goals of the organization. staffing. buoyant spirit and adequate work output. organizing. Distinct Process: Management is a distinct process consisting of such functions as planning. 7. These functions are so interwoven that it is not possible to lay down exactly the sequence of various functions or their relative significance. although they can¶t observe it during operation. All these resources are made available to those who manage. The success of management is measured by the extent to which the organizational goals are achieved. 4. They must motivate the subordinates for the accomplishment of the tasks assigned to them. 6. It is imperative that the organizational goals must be well-defined and properly understood by the mangers at various levels. 3. principles and techniques which have wide applications. A Science and an Art: Management has an organized body of knowledge consisting of welldefined concepts. Goal-oriented: Management is a purposeful activity. Integrative Force: The essence of management is integration of human and other resources to achieve the desired objectives. Thus. The application of these concepts. It is the most critical input in the success of any organized group activity. People often remark of the effectiveness (or ineffectiveness) of management on the basis of the end results. Its presence is evidenced by the result of its efforts-orderliness. Intangible Force: Management has been called an unseen force. So it is treated as a science. These factors do not by themselves ensure production. they require the catalyst of management to produce goods and services required by the society. 5. management is an essential ingredient of an organization. capital and materials. Results through Others: The managers cannot do everything themselves. They must have the necessary ability and skills to get work accomplished through the efforts of others. It is the force which assembles and integrates other resources. namely.3 Characteristics of Management Management is a distinct activity having the following salient features or characteristics: 1. informed employees. feeling of management is result-oriented. experience and management principles for getting the results from the workers by the use of non-human resources. Managers also seek to harmonize the individuals¶ goals with the organizational goals for the smooth working of the organization. principles and techniques requires specialized . One may not see with the naked eyes the functioning of management but its results are apparently known. Managers apply knowledge. the process of management involves decision-making and putting of decisions into practice.management is most often due to both inefficiency and ineffectiveness or to effectiveness achieved through inefficiency. labour and capital. 1. 2. Economic Resource: Management is one of the factors of production together with land. Thus. In essence.
According to Newman. It is bound together by a web of relationships between superiors and subordinates. Multi-disciplinary Subject: Management has grown as a field of study (i. materials. 8. management is the rule-making and rule-enforcing body. Anthropology. · Management as an economic resource Management is one of the factors of production along with land. it refers to three distinct ideas. System of Authority: Management as a team of managers represents a system of authority. how effectively and economically the five M¶s are combined together to produce desired results.e. Managers at different levels possess varying degrees of authority. ongoing concern. · Management as a system of authority According to Herbison and Myers.4 Scope of Management The scope of management is very wide. Sociology and Psychology. Authority enables the managers to perform their functions effectively. and (iii) a class or elite.knowledge and skills on the part of the manager.) interprets and explains the policies framed by the top management. government and hospital. Much of the management literature is the result of association of these disciplines. discipline) taking the help of so many other disciplines such as Engineering. (ii) a system of authority. According to Herbision and Myers. Top management determines objectives and provides direction to enterprise activities. Basically. The principles are working guidelines which are flexible and capable of adaptation to every organization where the efforts of human beings are to be co-ordinated. Middle management (departmental heads like work manage. the effective use of the five M¶s of management (money. In other words. finance manager. Henri Fayol suggested that principles of management would apply more or less in every situation. a hierarchy of command and control. management is required to covert the disorganized resources of men. as we move down in the managerial hierarchy. education. Instructions and decisions downward and carry the problem . Generally. management may be understood as (i) an economic resource. machinery and methods or ways of doing things) depends to a great extent on the quality of management. personnel manager etc. The principles and techniques of management are equally applicable in the fields of business. They transmit orders. Since the skills acquired by a manager are his personal possession. Sociology and Operations Research have also contributed to the development of management science. Universal Application: Management is universal in character. Similarly. labour and capital. 1. useful. Managers working at top levels enjoy more authority than people working at lower levels. military. manpower. money and machines into a productive. the degree of authority gets gradually reduced. management is viewed as an art. 9. materials. people are bound by authority relationships. For instance. 10. that is. productivity orientation drew its inspiration from Industrial Engineering and human relations orientation from Psychology. In modern organizations.
Managing Director. and the range of production. Administrative management is concerned with ³thinking´ functions such as laying down policy. The levels of management depend upon its size. etc. planning and setting up of standards. Board of Directors.and suggestions upward. or the Chief Executive. the term management refers to the group of individuals occupying managerial positions. his job is to see that the decisions are implemented. and directing the operations to attain the objectives of the enterprise. Financial Controller. wage and salary director of a company may assist in fixing wages and salary structure as a member of the Board of Directors.e. ranks. All the managers form the chief executive to the first line supervisors are collectively addressed as µManagement¶ which refers to the group. or. Production Manager. ii) Middle management of a company consists of heads of functional departments namely. 1. Levels of management refer to a line of demarcation between various managerial positions in an enterprise. It devotes more time on planning and co-ordinating . the upper level of management) and (ii) operating management (i... viz. We generally come across two broad levels of management.. · Management as a class or elite Sociologists view management as a distinct class in society having its own value system. As a separate group. The managerial class has become very important in modern organizations owing to its contribution to business success. 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. 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. the lower level of management). and Divisional Sectional Officers working under these Functional Heads. or the General Manager or Executive Committee having key officers. Lower management (first line supervisors) is concerned with routine. (i) administrative management (i. Top management: Top management is the ultimate source of authority and it lays down goals.e. technical facilities. Foremen. policies and plans for the enterprise. Supervisors. For instance. Marketing Manager. Levels of Management An enterprise may have different levels of management. Purchase Manager. its Chairman. But in actual practice. day-to-day matters. Considering the hierarchy of authority and responsibility. The real significance of levels is that they explain authority relationships in an organization. but as head of wages and salary department. etc. one can identify three levels of management namely: i) Top management of a company consists of owners/shareholders.
j) To report to top management. . d) To assemble the resources of money. e) To assign activities. They are responsible to the top management for the functioning of their department. The following are the main functions of middle management: a) To establish the objective or goals of the enterprise. It is also described as the policy-making group responsible for the overall direction and success of all company activities. machines and methods to put the plans into action. They devote more time on the organization and motivation functions of management. c) To set up an organizational framework to conduct the operations as per plans. It serves as an essential link between the top management and the lower level or operative management. g) To motivate personnel to attain higher productivity and to reward them properly. h) To co-operate with the other departments for ensuring a smooth functioning of the entire organization. b) To interpret the policies chalked out by top management. c) To prepare the organizational set up in their own departments for fulfilling the objectives implied in various business policies. f) To compile all the instructions and issue them to supervisors under their control. 2. It is accountable to the owners of the business of the overall management. i) To collect reports and information on performance in their departments. d) To recruit and select suitable operative and supervisory staff. men. Middle management: The job of middle management is to implement the policies and plans framed by the top management. f) To provide overall leadership to the enterprise. They provide the guidance and the structure for a purposeful enterprise. Without them the top management¶s plans and ambitious expectations will not be fruitfully realized. duties and responsibilities for timely implementation of the plans. b) To make policies and frame plans to attain the objectives laid. The important functions of top management include: a) To establish the objectives or goals of the enterprise. e) To exercise effective control of the operations.functions. materials.
They devote more time in the supervision of the workers. Management makes group effort more effective. and actual operations are the responsibility of this level of management. 3. Management is goal-oriented. (ii) Effective leadership and motivation: In the absence of management. To this end. Industrial peace is an essential requirement for increasing productivity. accounts officers and so on. the resources of production remain resources and never become production. The importance of management can be understood from the following points. They pass on the instructions of the middle management to workers. (i) Optimum use of resources: Management ensures optimum utilization of resources by attempting to avoid wastage of all kinds. evaluate their performance and report to the middle level management. money and material. supervisors. procedures and reward systems. They are in direct touch with the rank and file or workers. Objective can be achieved only when the human and non-human resources are combined in a proper way. They are also involved in the process of decisions-making. They initiate prompt actions whenever workers express dissatisfaction over organizational rules. Without management. the working of an enterprise will become random and haphazard in nature. an organization is merely a collection of men. It consists of foreman. sales officers. management is the dynamic lift-giving element in every organization. Management creates teamwork and motivates employees to work harder and better by providing necessary guidance. In its absence. Their authority and responsibility is limited. With a view to realize the . Lower or operative management: It is placed at the bottom of the hierarchy of management. They have to get the work done through the workers. It is the activating force that gets things done through people. A right climate is created for workers to put in their best and show superior performance. They allot various jobs to the workers. manager tries to strike a happy balance between the demands of employees and organizational requirements. It helps in putting the resources to the best advantage within the limitations set by the organization and its environment. methods. It enables employees to move cooperatively and achieve goals in a coordinated manner.5 Importance of Management According to Drucker. machines. They are concerned with direction and control functions of management. 1. They interpret and divide the plans of the management into short-range operating plans. (iv) Achievement of goals: Management plays an important role in the achievement of objectives of an organization. (iii) Establishers sound industrial relations: Management minimizes industrial disputes and contributes to sound industrial relations in an undertaking. counseling and effective leadership. 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.k) To make suitable recommendations to the top management for the better execution of plans and policies.
But unlike medicine or law. (v) Change and growth: Changes in technology. Organize the resources properly. a management degree is not a pre-requisite to become a manager.predetermined goals-managers plan carefully. According to McFarland. techniques. all these help in realizing goals with maximum efficiency. government policy. Thus unnecessary deviations. They try to put everything on the right tract. iii) The establishment of a representative organization with professiona-lizing as its goal. Failure to take note of customer¶s needs regarding full efficiently has spelt doom for µIdeal java¶ in the two-wheeler market in India. Overlapping efforts and waste motions are avoided. the Indian Institute of Management. forecasting combined with efficient use of resources) and taking appropriate steps. We have a number of institutes of management and university departments of management which provide formal education in this field. It is a profession in the sense that there is a systematized body of management. It has also developed a vast number of tools and techniques. A number of organizations such as the Administrative Staff College of India. competition. often threaten the survival of a firm. Management is also a profession in the sense that formalized methods of training is available to those who desire to be managers. and specialized knowledge. Training facilities are provided in most companies by their training divisions. identifiable discipline. (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. hire competent people and provide necessary guidance. Management is a profession to the extent it fulfils the above conditions. (b) Ensuring the survival of the firm in the face of continued changes. Management . ii) Formalized methods of acquiring training and experience. 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. etc. skills. a profession possesses the following characteristics: i) A body of principles. An enterprise has to take note of these changes and adapt itself quickly. Successful managers are the ones who anticipate and adjust to changing circumstances rather than being passively swept along or caught unprepared. In the final analysis. iv) The formation of ethical codes for the guidance of conduct. Managers help an organization by anticipating these changes (carefull planning. and v) The charging of fees based on the nature of services. and it is distinct. (vi) Improves standard of living : Management improves the standard of living of people by (a) using scarce resources efficiently and turning out profits.. Management as a profession By a professional manager.
and the university departments of management offer a variety of short-term management training programmes. etc. the American Management Association in U. Interpersonal Roles: All managers are required to perform duties that are ceremonial and symbolic in nature ± interpersonal roles. There is no ethical code of conduct for managers as for doctors and lawyers. managers in general.A. Mintberz found that his managers engaged in a large number of varied. he or she is acting in a figurehead role. however. and disciplining employees. Management partially fulfils the third characteristic of profession. All managers have a role as a leader. little regard is paid to the elevation of service over the desire for monetary compensation is evident by switching of jobs by managers. The third role within the interpersonal grouping is the . do not seem to adhere to the principle of ³service above self´. none of them has the professionalizing of the management as its goal. the transfer of information. Management does not fulfill the last two requirements of a profession. Mintzberg provided a categorization scheme for defining what managers do based on actual managers on the job. The term µmanagement roles¶ refers to specific categories of managerial behaviour. Half of these managers¶ activities lasted less than nine minutes each. It may be concluded from the above discussion that management is a science. 1. and decision-making. This role includes hiring. 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. try to develop a code of conduct for their own managers but there is no general and uniform code of conduct for all managers. Some individual business organizations. the All India Management Association. an art as well as a profession. Mintzberg concluded that managers perform ten different but highly interrelated roles. unpatterned. However.Development Institute.S. Furthermore. There was little time for reflective thinking because the managers encountered constant interruptions. These ten roles can be grouped as those primarily concerned with interpersonal relationships. training. But in addition to these insights. and it is not as fully a profession as medicine and law.6 Role of Management In the late 1960s. sabotaging trade unions. in contrast to the predominant views at the time that managers were reflective thinkers who carefully and systematically processed information before making decisions. However. For instance. What he discovered challenged several long-held notions about the manager¶s job. In fact. As a social science. bribing public officials to gain favours. and short-duration activities. There are a number of representative organizations of management practitioners almost in all countries such as the All India Management Association in India. manipulating prices and markets are by no means uncommon management practices. Indeed such mobile managers are regarded as more progressive and modern than others.. Henry Mintzberg did a careful study of five chief executives at work. management is not as exact as natural sciences. motivating.
duties of a legal or social nature. The sales manager who obtains information from the human resources manager in his or her same company has an internal liaison relationship. network of outside contacts and doing external board work.liaison role. manages also perform a spokesperson role. he or she has an outside liaison relationship. what competitors may be planning. and the like. they do so by reading magazines and talking with others to learn of changes in the public¶s tastes. informers who provide favors performing other activities and information.1: Mintzberg¶s Managerial Roles Role Interpersonal Figurehead Description Identifiable Activities Leader Liaison Symbolic head. training. understanding of organization and environment. Managers also act as a conduit to transmit information to organizational members. Seeks and receives wide variety Reading periodicals and of special information (much of reports. Informational Monitor Disseminator . to some degree. maintaining it current) to develop thorough personal contacts. Maintains self-developed Acknowledging mail. Mintzberg called this the monitor role. Table 1. that involve outsiders. and associated duties. Typically. Mintzberg described this activity as contacting external sources who provide the manager with information. obliged to Greeting visitors. emerges as nerve center of internal and external information about the organization. This is the disseminator role. Informational Roles: All managers. Transmits information received Holding informational from outsides or from other meetings. When they represent the organisation to outsiders. and may be inside or outside the organization. fulfill informational roles-receiving and collecting information from organizations and institutions outside their own. Responsible for the motivation Performing virtually all and activation of subordinates. signing perform a number of routine legal documents. activities that involve responsible for staffing. making phone subordinates to members of the calls to relay information. When that sales manager confers with other sales executives through a marketing trade association. These sources are individuals or groups outside the manager¶s unit. subordinates.
managers take corrective action in response to previously unforeseen problems. results. projects´ to bring about change. managers perform as negotiators when they discuss and bargain with other groups to gain advantages for their own units. negotiations. outsiders on organization¶s giving information of the plans. Searches organization and its Organizing strategy and environment for opportunities review sessions to develop and initiates ³improvement new programs. Decisional Entrepreneur Disturbance handler Resource allocator Negotiator Source: Henry Mintzberg. supervises design of certain projects as well. etc. Inc. performing all kinds ± in effect. the making any activity that involves or approval of all significant budgeting and the organizational decisions. requesting of organizational resources of authorization. media. managers initiate and oversee new projects that will improve their organization¶s performance. Responsible for corrective Organizing strategy and action when organization faces review sessions that important. pp 93-94 Copyright Ó 1973 by Hency Mintzberg. .Spokesperson organization ± some information is factual. unexpected involve disturbances and disturbances crises Responsible for the allocation Scheduling. actions. some involves interpretation and integration of diverse value positions of organizational influencers. Mintzberg identified four decisional roles which revolve around the making of choices. Publishers. Responsible for representing Participating in union the organization at major contract negotiations. physical and monetary resources. As entrepreneurs.. The Nature of Managerial Work (New York: Harper & Row. policies. managers are responsible for allocating human. Reprinted by permission of Harper & Row. Last. 1973). serves as expert on organization¶s industry. As resource allocators. Decisional Roles: Finally. As disturbance handlers. programming of subordinates work. Transmits information to Holding board meetings.
even top managers need some proficiency in the organization¶s speciality. research by Robert L. negotiator. finance. lead. For example. The evidence generally supports the idea that managers ± regardless of the type of organization or level in the organization-perform similar roles. 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. figurehead. Managers need certain skills to perform the duties and activities associated with being a manager. human. Since managers deal directly with people. the roles of disseminator. and inspire enthusiasm and trust. a manager¶s job is varied and complex. . Technical skills include knowledge of and proficiency in a certain specialized field. motivate. Katz found that managers need three essential skills or competencies: technical. such as engineering. and all managers are involved in making decisions. and conceptual. the leader role is more important for lower-level managers than it is for either middle-or-top-level managers. These types of conceptual skills are needed by all managers at all levels but become more important as they move up the organizational hierarchy. this skill is crucial. computers. the emphasis that managers give to the various roles seems to change with hierarchical level. During the early 1970. Conversely. Managerial Skills As you can see from the preceding discussion. liaison. and spokesperson are more important at the higher levels of the organization than at the lower ones. These abilities are essential to effective decision-making. as well as many middle managers. Specifically. Although technical skills become less important as manager moves into higher levels of management. Managers with good human skills can get the best out of their people.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. or manufacturing. Human Skills: The ability to work well with other people both individually and in a group is a human skill. In fact. Conceptual Skills: Managers also must have the ability to think and to conceptualize about abstract situations. are heavily involved in technical aspects of the organization¶s operations. They know how to communicate. However. 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. it remains just as important at the top levels of management as it is at the lower levels. 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.
It is a doing function. But some English authors like Brech are of the opinion that management is a wider term including administration. iii) There is no distinction between the terms µmanagement¶ and µadministration¶ and they are used interchangeably. on the other hand. Spriegel and Walter. Nature 3. Thus. Administration is a higher level function: Administration refers to policy-making. 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. Those who held management and administration distinct include Oliver Sheldon. while others maintain that administration and management are two different functions. Some writers do not see any difference between the two terms. Thus. ii) Management is a generic term and includes administration. administration is a higher level function.7 Administration and Management The use of two terms µmanagement¶ and µadministration¶ has been a controversial issue in the management literature. administration involves broad policy-making and management involves the execution of policies laid down by the administration. whereas management refers to execution of policies laid down by administration.2: Distinction between Administration and Management: Basic 1. Administrators are basically concerned with planning and control. management is a lower-level function and is concerned primarily with the execution of policies laid down by administration. Table 1. According to them. This view is held by Tead. Floerence and Tead. Scope . Management Management means getting the work done through and with others. Administration is a determinative function.1. 2. management as an executive function which is primarily concerned with carrying out of the broad policies laid down by the administration. Management relates to execution of decisions. Administration relates to the decision-making. It is a thinking function. plans and policies of the organisation. Spriegal and Lansburg. It is concerned with determination of major objectives and policies. Managers are concerned mainly with organisation and direction of human resources. Meaning Administration Administration is concerned with the formulation of objectives. Administration is the phase of business enterprise that concerns itself with the overall determination of institutional objectives and the policies necessary to be followed in achieving those objectives. It is concerned with the implementation of policies. etc.
2. Still management is not completely a profession. __________is principally the task of planning.. DecisionMaking Administration determines Management decides who what is to be done and when it shall implement the is to be done.8 Summary Management is concerned with getting things done through other people. motivating and controlling the efforts of others towards a specific objective.e. Managers perform different roles to discharge their responsibilities. Management creates ________ and motivates employees to work harder and better by providing necessary guidance. . 1. Five M¶s of management (________. counseling and effective leadership. It is the management which transforms physical resources of an organization into productive resources. Environment Administration has direct Management is mainly interaction with external concerned with internal environment of business and forces. machinery and methods or ways of doing things) depends to a great extent on the quality of management. administrative decisions. organisations. _________. Human skills are important at all managerial levels.4. Direction of It is concerned with leading It is concerned with Human Resources and motivation of middle level leading and motivation of executives. ___________. operative workforce for the execution of plans. middle and lower. Usage of Term The term µadministration¶ is The term µmanagement¶ is often associated with widely used in business government offices. Explain its characteristics. making strategic plans to deal plans and policies of the effectively with the organisation.9 Terminal Questions 1. public organisations in the private sector and non-business sector. objectives. There are three levels of management-top. lower levels of management. 6. 1. Status Administration refers to Management is relevant at higher levels of management. co-ordinating. Management is largely found at the middle and lower levels and administration is found at the higher levels. environmental forces. i. Lower level managers require and use a greater degree of technical skill and managers at higher levels use a greater degree of conceptual skill. Self Assessment Questions 1. 7. 8. Define management. 5. 3.
1. Money. Refer section 1.2. materials. Refer section 1.1.3 2.4 Organizing . Management 2.2.1 Introduction Objectives 2. 3. manpower 3.2 Process of Management 2. teamwork Answers to TQs: 1.3 Planning 2. Bring out the difference between Administration and Management.5 3.10 Answers to SAQs and TQs SAQs: 1. Refer section 1. MU0004-Unit-02-Management Process Unit-02-Management Process Structure: 2. Discuss the importance of management.7 Copyright © 2009 SMU Powered by Sikkim Manipal University .
Staffing.1 Introduction Follett (1933) defined management as "the art of getting things done through people´.5 Staffing 2. Motivating. Commanding 4. since the managerial tasks have become highly challenging a fluid in nature making distinctions redundant to certain extent. in recent time.8 Summary 2. Management functions are as follows (Fayol. management functions have been regrouped into four categories. · Explain different functions of management Process. One can also think of management functionally. Controlling However. Objectives: After this studying this unit. Coordinating 5. Directing.10 Answers to SAQs and TQs 2. Organizing 3. as the action of measuring a quantity on a regular basis and of adjusting some initial plan.6 Directing 2. .9 Terminal Questions 2.2. · Explain Planning. Organizing. Planning 2. 1949): 1.7 Motivating Self Assessment Questions 2. you will be able to: · Define Management process.
Through leadership and management often overlap. and then set out the method for achieving it. However. The tasks of the strategic planning process include the following steps: Define the mission: . 2. policies are the means to achieve those ends. overall goals.2 Management Process Peter Drucker said: ³Management is doing things right. and allocating resources. studies on passenger comfort. a process in which one chooses a course which one thinks is the best. Planning in order to be useful must be linked to the strategic intent of an organization. It is difficult to say where objectives end and policies begin. the two are not quite the same. it would be correct to assume that an objective is what you want to accomplish. it is not a decision in which any process is involved. kicking the ball with the left foot or right foot is a reflex action. 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.2. establishing strategies for achieving these goals. thus. There is a degree of overlap between the two. leadership is about setting the desirable goals. Policy Formulation We have noted earlier that all organizations have well-defined goals and objectives. Every organization needs to plan for change in order to reach its set goal. Planning also enhances the decisionmaking process.3 Planning It involves the process of defining goals. Objectives are the ends. All levels of management engage in planning in their own way for achieving their preset goals. general strategies. Management is about accomplishing a goal efficiently. should precede a good deal of research involving market surveys. In the football field. Even so. Strategic Planning: Top level managers engage chiefly in strategic planning or long range planning Strategic planning is the process of developing and analyzing the organization¶s mission. fuel and machine efficiency. Effective planning enables an organization adapt to change by identifying opportunities and avoiding problems. the decision to change the design of a product. or where you want go to. planning is often referred to as strategic in nature and also termed as strategic planning. and developing plans to integrate and coordinate activities. cost structure and so on. say a passenger car. Therefore. what distinguishers policies form objectives is that you first decide the objective. You might well ask what the need for a policy is when objectives are already defined. driving comfort. It provides the direction for the other functions of management and for effective teamwork. while a policy. Decision ± Making Taking decisions is a process. leadership is doing the right things³.
professional. For assessing the strengths of the organization the following questions are important: 1. Sources of information may include stakeholders like.A mission is the purpose of the organization. What makes the organization distinctive? 2. Do we have a superior reputation? For assessing the weaknesses of the organization the following questions are important: 1. federal. Are the facilities outdated? 3. The mission statement is broad. How efficient is our manufacturing? 3. state. 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. Opportunities. Threats) analysis is vital for the creation of any strategic plan. What is our market share? 5. Organizations need to examine their business situation in order to map out the opportunities and threats present in their environments. Thus. governments (local. international). What are the vulnerable areas of the organization that could be exploited? 2. The SWOT analysis begins with a scan of the external environment. and trade). summarizing what the organization does. customers (internal and external). How skilled is our workforce? 4. SWOT analysis provides the assumptions and facts on which a plan will be based. Conduct a situational or SWOT analysis A situation or SWOT (Strengths. Are the technologies obsolete? For identifying opportunities the following elements need to be looked at: . An explicit mission guides employees to work independently and yet collectively toward the realization of the organization¶s potential. Is research and development adequate? 4. professional or trade associations (conventions and exhibitions). journals and reports (scientific. Analyzing strengths and weaknesses comprises the internal assessment of the organization. Weaknesses. A mission statement should be short ± and should be easily understood and every employee should ideally be able to narrate it from memory. planning begins with clearly defining the mission of the organization. suppliers. What financing is available? 6.
Develop related strategies (tactical and operational) . What are the possible new markets? 3.1. In which areas is the competition not meeting customer needs? 2. organizations have longterm objectives for factors such as. return on investment. Objectives are also called performance goals. effectiveness. the best strategy is one that fits the organization¶s strengths to opportunities in the environment. Is there a shortage of resources? 4. Set goals and objectives Strategic goals and objectives are developed to fill the gap between current capability and the mission. Are there new competitors? 3. Are market tastes changing? 5. Are our rivals weak? 5. Comparing the organization to external benchmarks (the best practices) is used to assess current capabilities. Benchmarking systematically compares performance measures such as efficiency. What substitute products exist? In general terms. Generally. or outcomes of an organization against similar measures from other internal or external organizations. In which areas does the competition meet customer needs more effectively? 2. Is there a possibility of growth of existing market?) Identifying threats involves the following: 1. It also helps in setting minimum acceptable standards or common-sense minimums. etc. earnings per share. 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. What are the new regulations? 6. as well as gap analysis. The SWOT analysis is used as a baseline for future improvement. What are the emerging technologies? 6.
operational plans are based on the organization¶s tactical plans. It is the extent to which the units of the organization are explicitly defined and its policies. who reports to whom.4 Organizing It involves designing. List all tasks to be accomplished 3. and relationships between departments. The purpose of the organizing function is to make the best use of the organization¶s resources to achieve organizational goals. and goals are clearly stated. with ideas and resources.Tactical plans are based on the organization¶s strategic plan. Strategic. 2. and operational planning must be accompanied by controls to ensure proper implantation of the plans. necessary to maintain competitive advantage in the said market. An organization chart displays the organizational structure and shows job titles. Formalization is an important aspect of structure. and coordinating the work components to achieve organizational goal. short-term standards for key variables that will tend to validate and support the long-range estimates must be established. grouped. To develop an environmental monitoring procedure. The steps in the organizing process include: 1. It is the process of determining what tasks are to be done. Feedback is encouraged and incorporated to determine if goals and objectives are feasible. and coordinated. It is the official organizational structure conceived and built by top management. structuring. Group related jobs together in a logical and efficient manner 5. how the tasks are to be grouped. lines of authority. Delegate authority to establish relationships between jobs and groups of jobs. and where decisions are to be made.5 Staffing . Divide tasks into groups one person can accomplish ± a job 4. Organizational structure is the formal decision-making framework by which job tasks are divided. A key issue in accomplishing the goals identified in the planning process is structuring the work of the organization. This review is used for the next planning cycle and review. tactical. who is to do. procedures. Organizations are groups of people. Review plans 2. The formal organization can be seen and represented in chart form. Assign work to individuals 6. 2. working toward common goals. These are specific plans that are needed for each task or supportive activity comprising the whole. In turn. Monitor the plan A systematic method of monitoring the environment must be adopted to continuously improve the strategic planning process.
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. transfer and appraisal of personnel to fill the organizational positions. money. performance appraisal etc. It involves many sub-functions such as manpower planning. Deals with people: Staffing is a separate managerial function which deals with people in the organization. appraisal. Staffing refers to the managerial function of determining and improving the manpower requirements of an enterprise. placement. Definition: 1. 5. Therefore it is the responsibility of the management to secure and maintain competent and dedicated workforce including managers and operatives. Pervasiveness of Staffing: Effective execution of staffing function is the responsibility of all managers in the organization. Managers of the concerned departments are responsible for the selection and development of qualified people for their department and maintain them in their department. selection. training. selection. Koontz. growth and development of all those members of the organization whose function is to get things done through the efforts of other individuals´. . development. recruitment. 3. O¶Donnell & Weihrich have defined staffing as ³filling positions in the organization structure through identifying work force requirements.It is not the machines. This task has been referred to as staffing. inventorying the people available. 4. materials. It deals with future requirements: Staffing deals with current and future personnel requirements. It has many sub-functions: Staffing involves determination of the manpower requirement. placement. 2. 2. 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. Thus staffing deals with the future requirements also. compensation and training of needed people´. Theo Haimann ± ³Concerned with the placement. promotion. recruitment. 3. It aims at right man at right position: Staffing aims at selection of right person for right place at right time and retaining them in the organization. Present positions must be filled keeping in mind the future requirements.
induction. 7. 2. Direction has dual objectives. vacancies arise out of retirement. It emphasizes that a subordinate is to be directed by his own superior only. It is a continuous function: With the growth and expansion of business additional manpower is needed. 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. A manger needs to give orders to his subordinates. to provide superiors opportunities for some more important work which their subordinates cannot do. training development and maintenance of personnel. It is a process: it is a process having a logical sequence i. It is an important managerial function. Direction is the managerial function of guiding. on the other. Thus staffing is an ongoing process through ± out the life of an organization. Direction is continuous process and it continues throughout the life-time of the organization.e. recruitment. motivate them. 2. . 8. how to do and telling them to do to the best of their ability.6. promotion. overseeing and leading people. It is instructing people as to what to do. it aims at getting things done by subordinates and. Definition According to Koontz and O¶Donnel. Personnel policies and programs must be formulated as guides to perform the staffing function effectively. Direction imitates at the top level in the organization and follows to bottom through the hierarchy. resignation. 4. Direction is an important managerial function. identifying the manpower requirements. Direction function is performed at every level of management. lead them and guide them on a continuous basis. Characteristics of Direction The characteristic features of direction are as follow: 1. Through direction. management initiates actions in the organization. etc. 5. 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´. On the one hand. 3. selection.6 Directing Direction is one of the functions of management. It is a continuing function.
and external esteem factors. 2. humanness and psychological health a person will show. Essence of performance: Directing is the process around which all performances revolve. will vary depending upon his level. Maslow¶s Hierarchy of Needs Theory According to this theory. As Theo Haimann puts it. Theories X and Y. The needs are arranged in order of importance. 2. The amount of time and effort an executive spends in directing however. teach. self-respect. organizing and staffing on one hand and controlling on the other. The further they progress up the hierarchy. and the Two-Factor theory. shelter. guide. belongingness. Directing is the process around which all performances revolve. The manager never ceases to direct. such as. the number of subordinate he has and the other duties he is expected to perform. It is an important function of management: Directing is an important management function which provides a connecting link between planning. status. and attention . recognition. The five needs are: · Physiological: Includes hunger. thirst. and achievement. Pervasive function: Directing is a managerial function performed by all mangers at all levels of the organization. nothing or at the best very little would be accomplished´. human beings have wants and desires which influence their behaviour. coach and supervise his subordinates. only unsatisfied needs can influence behavior. The person advances to the next level of needs only after the lower level need is at least minimally satisfied. acceptance.Nature of Directing The nature of directing can be discussed under the following: 1. from the basic to the complex.7 Motivating Motivating In the 1950s three specific theories were formulated and are the best known: Hierarchy of Needs theory. sex. without guiding and overseeing subordinates. proposed by Maslow (1943). and friendship · Esteem: Includes internal esteem factors. and other bodily needs · Safety: Includes security and protection from physical and emotional harm · Social: Includes affection. satisfied needs cannot. the more individuality. such as. Continuous function: Directing is a continuous process. 4. ³without the issuance of directives. 3. autonomy.
. Presence of these factors ensure job satisfaction. recognition. company policy. Motivators are intrinsic factors. Social. responsibility. anxious to accept greater responsibility. achieving one¶s potential. and self-actualization are classified as higher-order needs. Lower-order needs are predominantly satisfied. self-direction. From the above. It is also assumed that workers generally place security above all other factors and will display little ambition. if given the chance employees have the desire to be creative and forward thinking in the workplace.· Self-actualization: The drive to become what one is capable of becoming. such as. esteem. advancement. and self-fulfillment Maslow separated the five needs into higher and lower orders. and achievement. The absence of hygiene factors can create job dissatisfaction. self-motivated. whereas. interpersonal relations. 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. 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. externally. 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. supervision. Extrinsic factors. but their presence does not motivate or create satisfaction. Theory X ± In this theory management assumes employees are inherently lazy and will avoid work. Theory Y assumes that higher-order needs dominate individuals. Herzberg¶s Two Factor Theory Herzberg (1959) constructed a two-dimensional paradigm of factors affecting people¶s attitudes about work. It is also believed that. includes growth. Physiological and safety needs are described as lower-order. Theory Y ± In this theory management assumes employees may be ambitious. if they can. such as. autonomy and empowerment. Higher-order needs are satisfied internally. it is clear that Theory X assumes that lower-order needs dominate individuals. Workers need to be closely supervised and a comprehensive system of controls and a hierarchical structure is needed to supervise the workers closely. and exercise self-control. working conditions. and salary are hygiene factors.
It involves many sub-functions such as manpower planning. 3.9 Terminal Questions 1. many related to the tasks being performed. When hygiene factors are adequate. It is the process of determining what tasks are to be done. Removing dissatisfying characteristics from a job does not necessarily make the job satisfying. and coordinating the work components to achieve organizational goal. _______refers to the managerial function of determining and improving the manpower requirements of an enterprise. how the tasks are to be grouped. and where decisions are to be made. structuring. motivators describe a person¶s relationship with what she or he does. establishing strategies for achieving these goals. 2. 2. Hygiene factors on the other hand. Every organization needs to plan for change in order to reach its set goal. The _____analysis begins with a scan of the external environment. What is planning? 2. emphasize factors intrinsically rewarding that are associated with the work itself or to outcomes directly derived from it. Planning involves the process of defining goals.In summary. have to do with a person¶s relationship to the context or environment in which she or he performs the job. who reports to whom.10 Answers to SAQs and TQs SAQs: . ____defined management as the art of getting things done through people. 2. and developing plans to integrate and coordinate activities. 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. Job satisfaction factors are separate and distinct from job dissatisfaction factors. 2. who is to do. recruitment. people will not be dissatisfied. Staffing refers to the managerial function of determining and improving the manpower requirements of an enterprise. To motivate people.8 Summary Management is the art of getting things done through people. performance appraisal etc. Organization involves designing. Self Assessment Questions 1. Write a short not on directing. 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. Explain Staffing in detail 3. neither will they be satisfied.
2 Definitions 3. SWOT 3. Staffing Answers to TQs: 1.1 Introduction Objectives 3.3 2.7 Role of OD 3.3 Characteristics of OD 3. Reference 2.8 Problems in OD .6 Copyright © 2009 SMU Powered by Sikkim Manipal University .1.5 Goals of OD 3.6 OD and Management Development 3. Follett 2.4 Categories of OD 3. Reference 2.5 3. MU0002-Unit-03-Organization Development: A Need Unit-03-Organization Development: A Need Structure: 3. Reference 2.
adapt.Self Assessment Questions 3. teams. and even prosper in these vexing times? Fortunately. OD focuses on issues related to the ³human side´ of organizations by finding ways to increase the effectiveness of individuals. organization development is a process of teaching people how to solve problems. take advantage of opportunities. conflict resolution. old jobs are being destroyed at an accelerating pace. ³Knowledge´ work is replacing ³muscle´ work. organization structure. strategy. fighting obsolescence of one¶s knowledge and skills. Are any strategies available to help people and organizations cope. Although new jobs are being created at record rates. increased competition. We predict that organization development will be preferred improvement strategy in future. Keeping organizations healthy and viable in today¶s world is a daunting task. and learn how to do that better and better over time. And organization development (OD) is one of them. and the like. challenges from turbulent environments. organization development represents one of the best strategies for coping with the rampant changes occurring in the marketplace and society. . culture. and changing customer demands. the answer is ³yes´. Early returns were encouraging.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. 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. In summary. and the organization¶s human and social processes. survive. strategy formulation and implementation. and profitability. efficiency. Organizations face multiple challenges and threats today ± threats to effectiveness. Basically. Individuals in organizations likewise face multiple challenges ± finding satisfaction in and through work. and achieving human connectedness and community in the workplace.10 Terminal Questions 3. Today. and processes. Simple survival ± continuing to have an adequate job ± is a major challenge today in the light of constant layoffs and cutbacks.11 Answers to SAQs and TQs 3. maintaining dignity and purpose in pursuit of organizational goals. 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 the constant challenge to maintain congruence among organizational dimensions such as technology.9 Summary 3. and attention was soon directed toward other human and social processes in organizations such as the design of work tasks. A variety of solutions exists. Organization development is a relatively recent invention. organizations and the individuals in them face an enormously demanding present and future.
values and structure of organization so that they can better adapt to new technologies.Objectives: After studying this unit. (Schmuck and Miles.change of an organization¶s culture from one which avoids an examination of social processes (especially decision making. and 3) Developing the organization¶s self-renewing capacity (Beer. and challenges. 1971) Organizational development is a process of planned change. planning and communication) to one which institutionalizes and legitimizes this examination. 3. markets. strategy. and the dizzying rate of change itself. A ³process for improving processes´ ± that is what OD has basically sought to be for approximately 25 years (Vaill. · Discuss the categories of OD programme. · Explain the characteristics of OD. and culture. 2) Developing new and creative organizational solutions.2 Definitions Organization Development (OD) is a response to change. people. 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«. · Distinguish between OD and Management Development · Explore the problems in OD. (Bennis. processes. 1969). OD can be defined as a planned and sustained effort to apply behavioural science for system improvement. · State the goals of OD. you will be able to: · Define organization development. a complex educational strategy intended to change the beliefs. (Burke and Hornstein. 1989) . self-analytic methods. 1972) The aims of OD are: 1) Enhancing congruence between organizational structure. attitudes. using reflexive. 1980).
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. structure. There is no ³quick fix´ when it comes to lasting organizational improvement.³Organizational development is a set of behavioural science-based theories. Now let¶s turn to our definition of organization development. it is more accurate to describe ³improvement´ as a never-ending journey of continuous change. 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.´ This definition is lengthy. Top management must initiate the improvement . and processes for improving an organization¶s effectiveness. but as one that includes characteristics we think are important for the present and future of the field. and contain several unique insights (that¶s enlightening). and theory. serious business. We will explain this definition in some detail. There is no set definition of OD and no agreement on the boundaries of the field. research. values. to improve an organization¶s visioning. 1994) As you can see. and problem-solving processes. these definitions overlap a great deal (that¶s encouraging).´ (Porras and Robertson. All authors agree that OD applies behavioural science to achieve planned change. By long-term effort.several years in most cases. that is.´ (Burke. empowerment. strategies. but it includes a number of components that we consider essential. In fact. But these are not serious constraints given that the field is still evolving.´ (Cummings and Worley. One program or initiative moves the organization to a higher plateau. through the alteration of organizational members¶ on-the-job behaviours. and techniques aimed at the planned change of the organizational work setting for the purpose of enhancing individual development and improving organizational performance. ³Organization development is a long-term effort. through an ongoing. 1992) ³OD is a systematic application of behavioral science knowledge to the planned development and reinforcement of organizational strategies. Likewise. Collectively. learning. it includes pain and setbacks as well as success. We do not propose it as the ³right´ definition. what practices should be included and excluded. 1993) ³Organization development is a planned process of change in an organization¶s culture through the utilization of behavioural science technologies. these definitions convey a sense of what organization development is and does. we mean that organizational change and development takes time. and that practitioners share a central core of understanding as shown in the preceding definitions. then another moves it to yet a higher plateau of effectiveness. They describe in broad outline the nature and methods of OD. including action research. The phrase led and supported by top management states an imperative: Top management must lead and actively encourage the change effort. Organizational change is hard.
and where people are continually learning how to learn together. in contrast to having only a select few involved. By empowerment processes. the ways those goods will be produced and delivered to customers. and processes makes each important. we mean. And second. and self-examining processes that facilitate individual. it must be built into the very fabric of the organization-its strategy. and what the organization and its members can expect from each other. We believe solutions to problems are enhanced by tapping deeply into the creativity. interactions. and common purposes of all members of the organization. and organizational learning. Peter Senge describes learning organizations as ³« organizations where people continually expand their capacity to create the results they truly desire. so is managing the culture. By ongoing collaborative management of the organization¶s culture. commitment. Just as visioning. we mean those interacting. and artifacts. vitality. learning. structure. 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. first.³journey´ and be committed to seeing it through. By including culture so prominently in our definition. or became distracted with other duties. sentiments. We further believe that having compelling. For empowerment to become fact of life. team. we affirm our belief that culture is the bedrock of behaviour in organizations. and each influences the others. expectations. beliefs. Empowerment means involving people in problems and decisions and letting them be responsible for results. culture is of . By learning processes. and making it happen. and culture. make decisions. norms. Michael Beer¶s definition called for ³developing new and creative organizational solutions´. where new and expansive patterns of thinking are nurtured. we mean those processes through which organization members develop a viable. By visioning processes. managing the culture should be a collaborative business. that one of the most important things to manage in organizations is the culture: the prevailing pattern of values. solve problems. 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 shared picture of the nature of the products and services the organization offers. not just a small group. opportunities.´ Problem-solving processes refer to the ways organization members diagnose situations. empowerment. widely shared vision of a desired future creates the best climate for effective problem-solving by all the organization¶s members. 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. The reciprocal influence among culture. structure. lost its commitment. Collaborative management of the culture means that everyone. Most OD programs that fail do so because top management was ambivalent. and challenges in the organization¶s environment and its internal functioning. Still. coherent. activities. By empowerment. attitudes. and problem-solving processes are opportunities for collaboration in organization development. where collective aspiration is set free. listening. assumptions. developing the strategy for getting there. processes. strategy. we mean involving large numbers of people in building the vision of tomorrow. and take actions on problems. has a stake in making the organization work.
and considerable antagonism among the separate functional specialists. and using management information. The results are usually highly gratifying both for the team members and for the organization. wasted time.primary importance. Over time. individuals and the organization function well. so they are the place OD programs often begin ± getting people to stop doing things one way and start doing them a different way. discovered. firing. team culture can be collaboratively managed to ensure effectiveness. The most prevalent form of teams in organizations is intact work teams consisting of superior and subordinates with a specific job to perform. and then disbanded with the people going on to new tasks. therefore (e) is to be taught to new members as the (f) correct way to perceive. . and norms of behaviour that are viewed as the correct way to perceive. and training. or developed by a given group. intact work teams do not have a boss in the traditional sense-the teams manage themselves. much rework. and feel-that is why culture change is necessary for true organizational improvement. hiring. We believe that when the culture promotes collaboration. So culture consists of basic assumptions. The old method was to have functional specialists work on the problem sequentially. We think teams are the basic building blocks of organizations. (c) as it learns to cope with its problems of external adaptation and internal integration. (d) that has worked well enough to be considered valid and. and we highlight the importance of visioning. values. and feel in relation to those problems. Processes are how things get done. maintaining quality control. such as design. the process ³threw the results over the wall´ to the next functional unit. By intact work teams and other configurations. When one function finished with its part of the project. engineering. Further. 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. self-directed teams control performance appraisals. In Liberation Management. we recognize that teams are central to accomplishing work in organizations. When teams function well. (b) invented. But change becomes permanent when the culture changes and people accept the new ways as the ³right´ ways. Processes are relatively easy to change. and continuous learning the organization is bound to succeed. In addition to team building and role and goal clarification. and problem-solving processes. Edgar Schein clarifies the nature and power of culture in his definition: ³Culture can now be defined as (a) a pattern of basic assumptions. But in many organizations today. members are trained in competencies such as planning. Team building and role and goal clarification interventions are standard activities in OD programs directed toward intact work teams. and procurement. empowerment. empowerment. Temporary. Today¶s organizations increasingly use ad hoc teams that perform a specific task and disband when the task is completed. Our definition also places considerable weight on organizational processes. learning. think. 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. He uses the terms µmultifunctional projectization¶ and µhorizontal systems¶ to describe these teams and their work. These self-directed teams assume complete responsibility for planning and executing work assignments. manufacturing. think. This method resulted in loss of synergy.
OD focuses on culture and processes. OD relies on an action research model with extensive participation by client system members. To summarize. 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. rather than focusing attention on individuals. 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. Attempting to create ³win-win´ solutions is standard practice in OD programs. 3. 9. according to Peters. collaborators. The concept of comprehensive change is based on the systems concept-open. OD views organization improvement as an ongoing process in the context of a constantly changing environment. 3. OD practitioners are facilitators. Comprehensive Change: OD efforts focus on comprehensive change in the organization. Specifically. here are the primary distinguishing characteristics of organization development: 1. OD . constantly shifting teams will be the dominant configuration for getting work done. OD takes a developmental view that seeks the betterment of both individuals and the organization. 8. 4. and co-learners with the client system. 10. 2. Planned Change: OD is a strategy of planned change for organizational improvement.multifunctional. 7. The definition we have just analyzed contains the elements we believe are important for OD. OD focuses on the human and social side of the organization and in so doing also intervenes in the technological and structural sides. so that change is easily observed. This µplanned¶ emphasis separates OD efforts from other kinds of more haphazard changes that are frequently undertaken by organizations. 6. 5. 2. OD encourages collaboration between organization leaders and members in managing culture and processes.3 Characteristics of OD 1. OD focuses on total system change and views organizations as complex social systems. dynamic and adaptive system. Participation and involvement in problem-solving and decision-making by all levels of the organization are hallmarks of OD. Teams of all kinds are particularly important for accomplishing tasks and are targets for OD activities.
They discourage µdo it yourself¶ approach. growth.4 Categories of OD Programmes In general. rather. 7. 3. Emphasis on Intervention and Action Research: OD approach results in an active intervention in the ongoing activities of the organization. 3. 5. and then. evaluates these data. Rather. participation. and cyclic processes. OD efforts are not one-shot actions. At the individual level. and mutual influence. A change agent in OD process does not just introspect the people and introduce changes. 4. He shares a social philosophy about human values. There is a close working relationship between the change agent and the target organizational members to be changed. takes actions for intervention. the importance and centrality of goals and objectives and the different role requirements . (b) Problems of human satisfaction and development. or isolated problems. Participation of Change Agent: Most OD experts emphasize the need for an outside. 6. Thus. temporary. collects relevant data. identity. Organization Development is inextricably linked with action. so the methods of attaining these goals should also change. Key areas are the normative type of model. further more.efforts take an organization as an interrelated whole and no part of it can be changed meaningfully without making corresponding changes in other parts. It recognizes that organizational goals change. Long-range Change: OD efforts are not meant for solving short-term. The relationship involves mutual trust. interactive. and integrate individual and organizational goals. rather. OD attempts to provide opportunities to be µhuman¶ and to increase awareness. or catalyst. joint goals and means. and adaptability for the organization as a whole. problem-solving. 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¶. they are ongoing. The change agent is a humanist seeking to get a humanistic philosophy in the organization. This is done to arrive at certain desirable outcomes that may be in the form of increased effectiveness. OD focuses on the elevation of an organization to a higher level of functioning by improving the performance and satisfaction. He designs intervention strategies based on these data. and revitalization. and (c) Problems of organizational effectiveness. all types of experience requiring Organization Development efforts may be grouped into three categories: (a) Problems of destiny. 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. it is a programme with a purpose that is to guide present and future action. he conducts surveys. third party change agent. Action research is the basis for such intervention.
of the consultant change agent vis-à-vis the clients. 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. Although Organization Development Programmes vary. We need to examine carefully the techniques of Organization Development. (e) To make competition more relevant to work goals and to maximize collaborative efforts. the collaborative relationships between the scientists. (c) The interventions are directed towards problem-solving and improved functioning for the client system. (d) To build trust among persons and groups throughout an organization. (b) The interventions are primarily directed towards problems and issues identified by the client group. (g) To increase the sense of µownership¶ or organization¶s objectives throughout the work force. . second. and (d) The interventions are based on behavioural science theory and technology. yet following features are common to most of the programmes: (a) The client is a total system or major subunit of total system. with the authority of knowledge and competence. 3. (b) To supplement the authority associated with role or status. This Organization Development progrmmes.5 Goals of Organization Development Following are the generally accepted goals of OD: (a) To create an open. like other normative re-educative programmes. problem solving climate throughout an organization. (f) To develop a reward system which recognizes both the achievement of the organization¶s goals (profit or service) and development of people. practitioners and the client laymen. Two important elements of Organization Development are. first. its underlying theory and assumptions and some of the pitfall and challenges in attempting to improve organizations through behavioural science. the element which links Organization Development with the scientific method of inquiry and. (c) To locate decision making and problem-solving responsibilities as close to sources of information as possible.
´ Organization development differs from management development. The term µdevelopment¶ refers broadly to the nature and direction of change induced in personnel through the process of training and education. (ii) competitiveness. 3. OD tries to fit the organization to the men. He feels that management development reinforces the above four qualities and helps managers cultivate and develop the will to manage. it is beneficial to make a comparison between OD and Management Development (MD) as both have some common objectives that betterment of an organization. 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. with their existing objectives and structure. (i) To increase self-control and self-direction for people within the organization.6 OD and Management Development At this stage. While the latter aims at developing the mangers individually for the accomplishment of better performance in organizational setting. Difference between Management Development and OD Factors Objectives Management Development Organization Development Increasing manager¶s Changing the nature of the contributions to goal organization. MD tries to fit the men to the organization. then would the results be functional for managing organization activity in a competitive world? Thus. let us define management development as we have seen the definition of OD. (j) To improve effectiveness of the organization. According to him. Miner has drawn difference between two processes. and greater display of feelings and emotions. according to him. 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. Before making a comparison between the two. (iii) assertiveness. and (iv) a sense of responsibility. there are four attributes of effective managers in large organization. However. 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. the former goes one step further and purports to change the entire organizational climate where the mangers work. Based on this. If OD efforts train people towards anti-authority value. . and techniques adopted in both may overlap to some extent. less individual competitiveness. more attention to peer-groups. Burke and Schmidt have made this difference more clear which is presented in the following table.(h) To help managers to manage according to relevant objectives rather than according to past practices or according to objectives which do not make sense for one¶s area of responsibility.
3. Since OD attempts to bring comprehensive change in the organization. 3. .8 Problems in Organization Development Organization development. however. has invited sharp criticism as a strategy to increase organizational viability and effectiveness because many OD programmes have failed. horizontally. To increase the level of self and group responsibility in planning and its implementation. Long-range strategy for organizational innovation and renewal. focus on achieving improvement in design. 7. OD became quite successful with many professional consultants offering high services and programmes to various organizations. Trained specialists required. To increase the level of enthusiasms and personal satisfaction at all levels of the organization. substantial disenchantment with OD became evident because of many controversial OD techniques like sensitivity training. Problem-solving approach. Focus on design. 2. To treat each human being as a complex person with a complex set of needs important in his work and his life.Focus Approach Time Specialist accomplishments. and laterally. plays key role in organizational improvement. 5. To create an environment in which authority of assigned role is augmented by authority based on knowledge and skills. To place emphasis on humanistic values and goals consistent with these vales. Educative and training Short-range. To increase the openness of communications in all directions-vertically. 6. 3. however. By 70s. No special requirement. To increase the level of trust and mutual emotional support among all organization members. In early 60s. 4. Thus. OD can be utilized for the following results in the organization: 1. Much of the enthusiasm created at the beginning of OD programmes vanished over the period of time.7 Role of Organization Development Organization development. 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. it is quite suitable for improving organizational performance on long-term basis. as a long-term strategy for organizational change. not on the managers. Train and equip employees and managers to perform better in existing organization.
it may be emphasized that OD programmes are likely to fail when these are not programmes and hence failure. Therefore. There is discrepancy between ideal and real situations. Resistance to change is a natural phenomenon and OD puts undue pressure to change. etc. There should be proper use of OD interventions. and (ii) failure to correctly model appropriate personnel behaviour in the programme. and (iii) failure to increase employee motivation through participation and development of personal growth and self-esteem. and only large organizations can afford this luxury without any guarantee of positive outcome. some specific efforts are required. For example. OD makes people unfit for the real organizations world because no organization can fully adopt open system concept. 2. Self Assessment Questions . It can be seen that many of these criticisms are based on reality and experience. There should be genuine support of OD programme from top management. Organization must formulate the objectives of OD programme very clearly and specifically. 3. If an organization is laden with these people. it can be visualized that OD itself may not be dysfunctional but application may be. OD tries to achieve ideal without taking into account real. it fails even as a long-term strategy. in order to make best use of OD efforts. Evans has identified three factors which have been responsible for the failure of OD programmes: (i) failure of the management consultant group to correctly tailor the programme to actual needs of the organization. Only fully competent OD consultant should be pressed for the service and he should develop understanding with internal change agents. These should be based on the specific needs of the organization. Therefore. Enough time should be allowed so that the effects of OD programme are realized. it is useless to try OD. OD programmes are often quite costly. Some of these efforts are as follows: 1. 2. OD is criticized on the following lines: 1. 3. 4. Hence.confrontation techniques. However. OD can not be taken as panacea for curing all organizational problems. 5. People realized its dysfunctional aspects only when many OD efforts failed. Thus. particularly in bottom-line ones. OD fails to motivate people with low level of achievement needs. 4. Research studies have also failed to conclude significant contributions of OD in all organizations. 5. In general.
3. 2. ±±±±±±±±± is a process which includes leadership behaviours and human resource practices. _____________is a short-term strategy. OD is the ultimate remedy for organizational improvements and developments. Distinguish between µorganizational development¶ and µmanagement development¶. 3. Tom Peters 3. Top management 2.10 Terminal Questions 1. collaborative. Organization development should be led and supported by ±±±±±±±. 4.1. The participative. 2. State the various roles of OD. Who is associated with the ³Learning Organizations´? 5. 3. 4. But OD aims at changing the entire organizational climate where the managers work. 5. ±±±±±±± is associated with ³Liberation Management´. OD focuses on culture and processes. Explain its salient features. 3.9 Summary The definitions clarify the distinctive features of OD and suggest why it is such a powerful change strategy. Explain the various characteristics of OD. What are the problems involved in the implementation of OD? 3. Peter Senge . Management development aims at developing the managers individually. It focuses on the human and social side of the organization and in so doing also intervenes in the technological and structural sides. problem-focused µnature of OD¶ marshals the experience and expertise of organization members for problem-solving and capitalizes the opportunities in the organization.11 Answers to SAQs and TQs SAQs: 1. There is no µquick fix¶ to organizations¶ problems. Empowerment 4. Define OD.
5.3 3.7 5. Refer section 3. Refer section 3. Refer section 3. Refer section 3. Management development Answers to TQs: 1.Organization Development ± Interventions Unit-04.5 Leadership Development 4. Refer section 3.6 4.1 Introduction Objectives 4.Organization Development ± Interventions Structure: 4. MU0002-Unit-04.6 Team-building .4 Grid Training 4.3 Process Consultation 4.8 Copyright © 2009 SMU Powered by Sikkim Manipal University .2 Survey Feedback 4.2 2.
techno-structural activities. Historically. the classification of OD interventions shows variation. French and Bell have suggested twelve families of OD interventions: diagnostic. various consultants and practitioners have different opinions about the activities which can be included in interventions. they make things happen. 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. Subsequently. interventions may be required to change people at all these levels. However.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. People¶s behaviour may be relevant to understand at individual level. and survey feedback method.12 Answers to SAQs and TQs 4. French and Bell have defined OD intervention as: ³Sets of structured activities in which selected organizational units (target groups or individuals) engage with a task or a sequence of tasks where the task goals are related directly or indirectly to organizational improvement. For example.4. 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. team-building. work group. inter-group level. A meaningful classification of OD interventions may be based on the improvement in the behaviour of people in the organization as OD is basically a behavioural approach.´ There are various OD interventions and they are classified in different ways. Thus. the classification appears to be more relevant because it may specify the range of change that an organization requires. Nevertheless. and organizational culture. mediation and negotiation activities. and organizational level. survey feedback. education and training. interpersonal level.9 Role of Change Agents Self Assessment Questions 4.11 Terminal Questions 4. Therefore. Further. management grid. other techniques like process .10 Summary 4.7 Inter Group Development 4. inter-group activities. grid training.8 Change Agents 4. OD efforts were attempted through sensitivity training. process consultation. group level. Interventions constitute the action thrust of organization development. many of them visualize data gathering as an intervention whereas it is treated as only preparatory work for OD by others.
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
To understand the importance and rationale of systematic change. and problemsolving are also developed. It utilizes a considerable number of instruments. significant correlation between the outcomes has not been found. and processes necessary for effectiveness at the individual. The skills relating to planning. The individuals try to learn to become managers by practice. inter-group. problem-solving. The whole orientation is to develop managerial style through the application of behavioural science knowledge. Process of Grid Training The basic content of grid organization development is managerial grid as discussed. focuses on skills. It is a comprehensive and systematic OD programme which aims at individuals. knowledge. and teamwork. To evaluate the styles of leadership and techniques of participation to produce desirable results. One basic reason for this phenomenon may be the consultant¶s inability to steer the organization out of troubles. Action steps to move towards the ideal are developed and assigned to individuals who may be engaged in building co-operative inter-group relationships. Each group separately analyses the ideal inter-group relations. and alike. like other OD intervention techniques. communication skills.organizational members to incorporate those changes. 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. 3. traditions. However. 2. the focus is on inter-group behaviour and relations. Inter-group Development: At this phase. group. P. The thrust is on moving groups from conflict to co-operation. Managerial grid: It covers various aspects of assessing managerial styles. However. 3.C programmes. Its specific objectives are as follows: 1. 4. both these problems may be overcome by engaging a suitable consultant and developing willingness among the members for change. The grid organization development consists of six phases. 2. 1.C is very effective intervention for organizational improvement. enabling individuals and groups to assess their own strengths and weaknesses. To study the organization as an interactive system and apply techniques of analysis in diagnosing its problems. groups. and total organizational levels. and the organization as a whole. From this point of view.C is also not free from criticisms. objective-setting. . P. In the review of various P.4 Grid Training Grid training is basically based on grid organization development developed by Blake and Mouton. Teamwork Development: The focus in this stage is to develop teamwork by analyzing team culture.
the focus shifts to the total organization and to develop skills necessary for organizational excellence. We will look more carefully at each of these. Systematic Critique: In this stage. and After Arrival. confident and effective decision-making. Further. while at the same time . In this light. The Role of Leadership In an organization where there is faith in the abilities of formal leaders. 5. The action is designed to identify the characteristics of the ideal organization. We can call these Preparing For the Journey. 6. and credibility of senior and middle management. in spite of these criticisms. they maintained the same stand. the various efforts from phase 1 to phase 5 are evaluated and critical analysis is made. clearly the most important determinant of "getting through the swamp". They have maintained that ³managerial and team effectiveness can be taught to managers with outside assistance. it discounts reality. Evaluation of Grid Training Most of the support of grid training has come from its originators-Blake and Mouton. Also during these times of change. 4. Though research studies on the application of grid training are not many.5 Leadership Development When change is imposed (as in downsizing scenarios). The members of the organization are trained for achieving this excellence. The analysis will bring out the shortcomings that may be there.4. is the ability of leadership to«well. grid training has some positive contributions for organizational effectiveness. If you are to manage change effectively. employees will expect effective and sensible planning. Slogging Through The Swamp. and regular. lead. Developing Ideal Strategic Corporate Model: At this stage. During drastic change times. it appears that this type of educational strategy can help to make significant contributions to organizational effectiveness. Grid training programme is criticized on the basis that it lacks contingency approach and. employees will perceive leadership as supportive. The literature on the subject indicates that the nature of the change is secondary to the perceptions that employees have regarding the ability. Each group may be given assignment to evolve strategy for making ideal organization with the help of the consultant. you need to be aware that there are three distinct times zones where leadership is important. employees will look towards the leaders for a number of things. therefore. some of them have not supported the claims made by Blake and Mouton. grid training is a non-rigorous method. competence. concerned and committed to their welfare.´ In a later work. Furthermore. the various programmes may be redesigned. The strategy is then implemented. complete communication that is timely. 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.
6 Team-building Various OD interventions discussed so far have their specific implications for OD and. The best way to summarize is that there is a climate of trust between leader and the rest of the team. they often pass through several stages as they learn to work together as a team. In organizations characterized by poor leadership. and that makes coping with drastic change much easier. widely accepted. but more importantly.1: Life Cycle of a Team Though these are not followed rigidly. problems in team-work. The existence of this trust. employees expect nothing positive. must labor under the weight of employees who have given up. they do represent a broad pattern that may be observed and predicted in many settings across team¶s time together. The organization must deal with the practical impact of unpleasant change. and adjourning as shown below: Fig. how synergy is generated through team-work. during and after change implementation is THE key to getting through the swamp. Unfortunately. norming. 4.´ 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. 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 . Before going through how team-building exercise can be undertaken to develop effective teams. For example. As against these. These stages are: forming. it may be too late. In a climate of distrust. therefore. which. and applied OD intervention for organizational improvement. Life Cycle of a Team When a number of individuals begin to work at interdependent jobs. teambuilding is the most important. and features of effective team so that team-building exercises focus more sharply on developing effective team.recognizing that tough decisions need to be made. 4. storming. results in an organization becoming completely nonfunctioning. let us consider the life cycle of a team. employees learn that leaders will act in indecipherable ways and in ways that do not seem to be in anyone¶s best interests. Poor leadership means an absence of hope. if haven¶t established a track record of effective leadership. brings hope for better times in the future. if allowed to go on for too long. Leadership before. 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. have no faith in the system or in the ability of leaders to turn the organization around. by the time you have to deal with difficult changes. are closely associated with a very few advocates and practitioners. performing.
This effect can be described as 2+2=5 effect. group norms emerge to guide individual behaviour which form the basis for co-operative feelings and behaviour among members. Storming: After the forming stage which is mostly related to perceiving and assessing each other. 4. 3. At this stage. After the adjournment of the team. each team has to be adjourned. team members start settling. intense social relationship among members comes to an end. interaction among team members is often cautious especially when they are new to one another. Forming: At the first stage of the life cycle. 5. because of individual differences. concept of stages is significant in the context of the nature of problem which team members are likely to face in team-work. and tasks are accompanied efficiently. 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. and arguing for appropriate strategies to be adopted for achieving team¶s goals. Norming: After storming stage.followed?´ ³How can conflicts among members be resolved?´ and so on. Other types of team like a department in an organization run on the basis of some permanency though there may be changes in team members. even the most successful teams as they have completed their mission. Adjourning: Adjourning is the end phase of cycle of a team. and begin to turn their attention to the group tasks. they learn to handle complex problems that come before the team. members start interaction among themselves in the form of competing for status. committee. These typical stages of life cycle of a team are described below: 1. 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. 2. Functional roles are performed and exchanged as needed. However. team members get introduced to each other if they have not interacted earlier. Performing: When team members interact among themselves on the basis of norms that have emerged in the team. 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. jockeying for relative control. The adjournment phase takes place in the case of those teams which are created for some special purposes like task force. etc. different members may experience varying degree of tension and anxiety out of this interaction pattern. Sooner or later. At this stage. The team begins to move in a co-operative fashion and a tentative balance among competing forces too is struck. start to accept others. They share personal information.´ .
that is. how a particular element affects another and is affected by it. The possibility of occurring of social loafing in a team-work increases because of the following reasons: 1. group efforts tend to slacken. 2. They rely on the fact the more reliable members will complete the project without their help. To the extent.Thus. the individual average dropped down still lower-68. This phenomenon may happen in teams in work organizations too. the complementarity among members is achieved. goals. 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. it appears that there are many . synergistic effect is not automatic but depends on the complementarity of different elements that are put together and the way they interact among themselves. other factors remaining the same. Putting the concept of synergy in teamwork means members of the team are complementary to each other and they contribute positively to one another. 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. and so on. Individuals were asked to pull alone as hard as possible on a rope attached to a strain gauge. 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. group of eight. and attitudes. Dropping of average output in group efforts indicates that some members of the group were not contributing as much as they did individually. it was found that individuals¶ total efforts were much higher than the group efforts. When the group is not cohesive with high output norms. From this statement. other factors remaining the same. team-work does not necessarily spurt group efforts.6 pound of pressure while tugging on the rope. In the above paragraph. A simple phenomenon of social loafing may be observed in a group assignment to students during their study. The phenomenon of social loafing can be minimized by constituting effective team for group performance. a team is created to undertake a task which requires a variety of skills and single individual cannot perform that task alone. 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. we have mentioned that team effectiveness depends on the complementarity of team members. students find that one or two students do not put their weight for the completion of the project. in one experiment. and still expect to share the credit and obtain the same marks from the professor since he will be concerned with determining who worked and who did not. In fact. the team would be effective. When the same individuals pulled on the rope of groups of three. For example. They averaged 138. fail to perform their assigned tasks. In such an assignment.2 pounds. individual members do not contribute to the fullest extent. When the division of work cannot be accomplished properly and individual efforts are hard to determine.
customer satisfaction. team members may tend to contribute positively to the teamwork. managers at higher levels particularly at the top level should set organizational climate and culture which enthuse team members to put their best. Therefore. management consultants.financial and nonfinancial-should be taken into consideration. These super-ordinate goals. . 2. and share the responsibility for completing a project on schedule. Let us see how these factors make a team effective. They define four characteristics of real teams: small size. Developing clear rules of conduct and challenging performance goals. Rewards of both types. The positive aspect of all these factors leads to team effectiveness and team members share common values regarding product quality. Skills and Role Clarity: For an effective team. supportive environment. Real teams can be created and sustained by: 1. Selecting members for their complementary skills and potentials. organizations need to achieve a careful balance between encouraging and rewarding individual initiative and growth and stimulating full contributions to team success. two things are required from its members. If the organizational climate is not in tune with high achievement. complementary skills. goals. super-ordinate goals and team rewards. Innovative non-financial team rewards for responsible behaviour may include the authority to select new members of the group. understanding of roles helps members to meet the requirement of one another thereby solving the problems which the team faces. 3. Katzenbatch and Smith. common purpose. Further. An individual works better if he is able to link how his goal attainment leads to the attainment of a higher-level goal. If team members perceive that reward to contingent on team performance. team members may not show high degree of enthusiasm and they will use only a part of their skills in performing the jobs. Even if one member lacks behind. While skills are relevant for job performance. Thus. Team Rewards: Team performance depends on how reward is linked to team performance and how members perceive this linkage. serve to focus attention. 4. they will put their maximum. skills which are complementary to the team requirement and understanding of one¶s own role as well as roles of other members. or propose discipline for team members. make recommendations regarding a new supervisor. Supportive Environment: A team loaded with skilled members cannot perform well if the organizational climate is not supportive for that. 2. then. and working approach: and willingness to be held mutually accountable. 3. 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. Super-ordinate Goals: Super-ordinate goals are those which are above the goals of a single team or a single individual. These factors are skills and role clarity. Establishing a sense of urgency right from the first meeting. 1. he may tend to affect others because of chain reaction just like a rotten apple injures its companions. and stimulate more cohesive team efforts.factors in an effective team. unify efforts.
In problem identification. the team-building exercise proceeds in a particular way as shown in figure. The view may be quite different ranging from the organizational problem. recognition. rather. Analyzing how team¶s goals and priorities are linked to those of the organization. the emphasis should be on consensus. The consensus-seeking part of the process necessitates that each person becomes thoroughly aware and understand clearly the basic concepts of team-development. Much of the problems may be solved through effective communication and training sessions. 3.4. their value systems. This problem can better be identified in terms of what is hindering group effectiveness. 1. they are repetitive and cyclical as indicated by arrows in the figure. Providing substantial time together in which new information is constantly shared. For achieving these. personality and attitudes. generally most of the members come forward with their arguments as to what the real problems are. Fig. and 5. Analyzing the relationships among the members who are performing the job. Team-building Process: Team-building attempts to improve effectiveness of the team by having team members to concentrate on: 1. 2. and 5. The role of communication is important in this context because it will help in clarifying the actual problems to the members. Problem-sensing: There are a number of ways in which problems of a team can be obtained. Setting goals and priorities for the team. Analyzing how the work is performed. and rewards. Providing positive feedback. . 4. Analyzing how the team is working. group problems to even personal problem. such as. 2. Often the team itself defines which aspects of team-building it wishes to work on. 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. 4. At this stage. Examining Differences: The perception of people on an issue differs because of their differing backgrounds.2: Process of Team-building Various steps of team-building process are not one-shot action.
. belittling. Follow-up Action: This is the final stage in team-building. etc. 4. The concept of Johari Window may also be applied. also provides opportunity to understand themselves. criticizing person. At the time of discussion of feedback. about the issue. (iv) Innovative: bringing in new relevant ideas. (ii) Bringing in: harmonizing. clarifying and setting differences in perception concerning responsibility and authority in the team. the way people talk about the issue. This is quite helpful in developing teamwork. Such feedback generally provides members to evaluate the values but at the same time. and who will be responsible for team projects in a group that has not developed a satisfactory division of responsibility. etc.3. members report about the painful feelings that they have at the time of evaluation of their feelings. feelings. information. who was trying to resolve the differences. If this process is adopted several times. The discussion should continue until all members of the team have commented. The feedback should be given to the members about their feelings. seeking relevant information. 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. with complex division of responsibility and authority among members. there is a strong possibility that members may learn constructive behaviours and leave negative behaviours. (iii) Clarifying: resting. who was talking more or who was talking less. At this stage. ensuring. the total team is convened to review what has been learned and to identify what the next step should be. (iii) Negative: cooling. undermining morale. talking together with speaker. 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. cynicism. It involves deciding who will take care of each area of the team¶s responsibilities. This suggests that even people are not fully aware of themselves. 5. Negative Behaviour (i) Over talk: interrupting. (ii) Attacking: deriding. people themselves take assignments to increase specific constructive behaviours and decrease specific negative behaviours. the stying with the topic or going off on tangents. Followup action also helps in overcoming the drawback involved at the initial stages of team-building. encouraging others to participate. Following are the examples of constructive and negative behaviours: Constructive Behaviour: (i) Building: developing and expanding the ideas of others. understanding. Often.
team-building contributes to the organizational performance in the following manner: 1.7 Inter-group Development A major area of concern is OD is the dysfunctional conflict that exists between groups. team-building has been termed as one-sided effort and it suffers from the following limitations: 1. It helps developing communication within the group and inter-group and overcoming many psychological barriers that block communication flow. team-building as an OD intervention has attracted maximum attention. However.These attempts bring co-operative and supportive feelings among people involved in the team functioning. it is not that effective in isolation. 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. 2. team-building has a positive outlook. 2. are not given adequate attention. Such actions will go a long way in shaping the organizational climate quite conducive to members for their efficient working. Many research studies have also confirmed the positive contributions of team-building on the organization¶s outcomes. one of the more . When this exercise is undertaken at the initial stage. 3. Evaluation of Team-building As mentioned earlier. Team-building becomes a complicated exercise when there is frequent change in team members. etc. it contributes positively towards the feelings of the people. and perceptions that groups have of each other. in different degrees. It helps in developing effective interpersonal relationships by stimulating the group members for that. It seeks to change to attitudes.. It improves the organization¶s problem-solving and decision-making ability. 4. this has been a subject to which change efforts have been directed. However. It focuses only on work groups and other major organizational variables such as technology. and feedback skills). structure. In general. monitoring. Therefore. though. there have been calls for combining team-building with organization behaviour modification approaches. management should take such actions at regular intervals so that members feel reinforced and sustain their positive behaviour. listening. As a result. However. to encourage and sustain such feelings. One such suggestion is to use a task hierarchy to reinforce the team as it progresses up a behaviour skill hierarchy (for example. communicating. In spite of these problems. stereotypes. Although there are several approaches for improving intergroup relations.
Trainer . In this method. culture. however. Outside consultants also may be prone to initiating more drastic changes ± which can be benefit or a disadvantage ± because they don¶t have to live with the repercussions after the change is implemented.These three roles are having been brief described below: Consultant A consultant is a professional (internal or external) who applies behavioral Science knowledge in an ongoing organization (or client system) with clear objectives of managing change and improving effectiveness. are disadvantaged because they usually have an inadequate understanding of the organization¶s history. Because they are from the outside these individuals an offer can offer an objective perspective often unavailable to insiders. the other group.Popular methods emphasize problem solving. as the shock absorber when the going is rough.9 Role of Change Agents The change agent may play different roles according to the need of organization development .8 Change Agents Change agents: Can be managers or nonmanagers. and how it believes the other group perceivers it. as the radiator absorbing some of the heat of the controversy. 4. can now be created for further diagnosis and to begin to formulate possible alternative actions that will improve relations. operating procedures. Outside consultants. For major change efforts. Subgroups. as the accelerator to build up momentum. as the break for too quick action. after which similarities and differences are discussed. enabling the client to let off steam: as the ignition to spark action. 4. employees of the organization. According to Curtis Mial: ³The Consultant may serve as the exhaust value. and the groups look for the causes of the disparities. The groups then share their lists. Once the causes of the difficulty have been identified. internal management often will hire the services or outside consultants to provide advice and assistance. Differences are clearly articulate. In contrast. each group meets independently to develop lists of its perception of itself. with members from each of the conflicting groups. may be more thoughtful (and possibly cautious) because they to live with the consequences of their actions. or outside consultants. or as fog lamp when the future is hazy. and personnel. The consultant may fulfill a variety of functions. the groups can move to the integration phase ± working to develop solutions that will improve relations. internal staff specialists or managers when acting as change agents. but one thing he/she is not the driver´.
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. Data collection. Training is used both in µcontent orientation¶ and process orientation¶. Training is required for enhancing knowledge. The first step in survey feedback is ______ usually by a consultant based on a structured questionnaire. Team-building is most important. In process consultation. inter-group and total organization levels. Self Assessment Questions 1. group discussions. Grid Training was developed by ±±±±±±±±±±±± 3. He has to educate people on the need and importance o change using a variety of methodologies ± lectures. developing action plans based on feedback and follow-up. widely accepted and applied OD intervention for organizational improvement. What is Grid Training? How does it help in improving individual performance in an organization? . The trainer role is most widely and intensively used at all stages of a change project: unfreezing. feedback of information. cases and experiential learning etc. attitudes and beliefs. 4. ________is antithesis of synergy in team-work which suggests that people working together on a common task may actually decrease their individual efforts. diagnosis. Sensitivity training focuses on small group ranging from ten to twelve. knowledge and processes necessary for effectiveness at the individual. presentations.11 Terminal Questions 1. group. films. 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.A change agent needs to be a trainer and educator. generation of new behavioral science knowledge. team-work does not necessarily spurt group efforts 4. role-plays and instruments.10 Summary OD intervention strategies are various activities which a consultant and client organization performs for improving organizational performance. 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. Grid training focuses on individuals and groups to assess their own strengths and weaknesses. skills and change in behavior. It focuses on skills. Useful hypothesis are to be formulated and tested. 2. changing (intervening) and refreezing. Survey feedback usually proceeds with sequential activities involving data collection.
Explain Change agents and discuss the role of change agents in detail. Refer section 4. Refer section 4.12 Answers to SAQs and TQs SAQs: 1. and Beliefs in Organization Development Structure: 5.1 Introduction . Refer section 4. Refer section 4. MU0002-Unit-05-Values. What is team-building? What are the stages of life cycle of a team? 4. and Beliefs in Organization Development Unit-05-Values. Data collection 2. Blake and Mouton.6 4. Assumptions. What is survey feedback as an intervention of OD? How does it provide base for other OD interventions? 3.8 Copyright © 2009 SMU Powered by Sikkim Manipal University . Assumptions.2 3. 3.2.4 2. 4. Social loafing Answers to TQs: 1.
· Give the statement of OD values and assumptions. 5. · List the chronology of events of values.3 Chronology of Events in Management and Organization Thought 5. Objectives: After studying this unit.2 Definitions .2 Implications for Dealing with Groups 5. Most of these beliefs were formulated early in the development of the field.5. · State the implications of OD values and assumptions.6 Summary Self Assessment Questions 5.5 Implications of OD Values and Assumptions 5. beliefs and assumptions.1 Introduction A set of values. assumptions.5. These values and assumptions have developed from research and theory by behavioural scientists and from the experiences and observations of practicing managers. beliefs and assumptions.4 Early Statements of OD Values and Assumptions 5.3 Implications for Designing and Running Organizations 5. and beliefs constitutes an integral part of organization development.5.7 Terminal Questions 5. you will be able to: · Explain the meaning of values.8 Answers to SAQs and TQs 5.2 Definitions 5.1 Implications for Dealing with Individuals 5. and they continue to evolve as the field itself evolves.Objectives 5. shaping the goals and methods of the field and distinguishing OD from other improvement strategies.
the human relations movement. and that rationality. that progress is possible and desirable in human affairs. treat people with respect and dignity. and the need for justice through the rule of law and due process. Evidence for the validity of these values and their supporting assumptions comes from many sources ± the Hawthorne studies. OD values tend to be humanistic. strongly held. research on the effects of different leadership styles. Simple. Values are also beliefs and are defined as: "Beliefs about what is desirable or µgood¶ (e. increasing awareness of the dysfunctions of bureaucracies. they were fashioned into a coherent value foundation for the theory and practice of organization development.. assume that everyone has intrinsic worth.. and the like. repetitive tasks in an attempt to find "the one best way" to do each job. relatively unexamined beliefs accepted as the truth. and democratic. assumptions. 5. Thus. it is a cognitive fact for the person." Assumptions are beliefs that are regarded as so valuable and obviously correct that they are taken for granted and rarely examined or questioned.g. dishonesty). view all people as having the potential for growth and development. Values and assumptions do not spring full grown from individuals or societies they are formed from the collective beliefs of an era-the zeitgeist. the laboratory training movement. and beliefs are all cognitive facts or propositions. Democratic values assert the sanctity of the individual. Piece-rate pay systems were designed to increase motivation and to prevent "soldiering. the clash between fascism and democracy in World War II. assumptions. optimistic.A belief is a proposition about how the world works that the individual accepts as true." or slacking off. the importance of fair and equitable treatment for all. the right of people to be free from arbitrary misuse of power. greater understanding of individual motivation and group dynamics.g. and goodwill are the tools for making progress. . As these ingredients accumulated. Taylor s methods quickly swept the country and the world as the way to organize work. and beliefs provide structure and stability for people as they attempt to understand the world around them. Major ingredients of the zeitgeist that influenced OD values and assumptions are presented here in a brief chronology. or spirit of the time. free speech) and what is undesirable or µbad¶ (e. Values. Humanistic values proclaim the importance of the individual: respect the whole person. reason. values. repetitive tasks minimized the skills required to do the job. with values being beliefs about good and bad. Expert engineers and supervisors designed each task and ensured it was done correctly. Optimistic values posit that people are basically good.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. and assumptions being.
and rigid procedures would create a well-oiled human machine called the organization. The Famous Hawthorne Studies (1927 to 1932) were conducted at the Hawthorne plant of Western Electric Company. These approaches possessed many desirable features. aggressiveness and poor performance. most efficient way to organize people. The Hawthorne Studies (1940s to 1960) spawned the human relations movement that was in full flower from the 1930s to the 1960s. apathy. People came to work as whole people. 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. A strong hierarchy of authority. organizations were not machines. and practice since the late 1920s have focused on the shortcomings of these two paradigms and how to overcome the limitations. and White demonstrated that democratic leadership was superior to authoritarian leadership and laissez-faire leadership in affecting group climate and group performance. greater attention to workers social needs. The human relations movement advocated participative management. Barnard viewed organizations as social systems that must be effective (achieve goals) and efficient (satisfy the needs of employees). wrote an article on The Giving of Orders advocating participative leadership and joint problem-solving by labour and management. Democratic leadership seemed to bring out the best in the groups. their feelings and attitudes about the work. Reports on these studies by Mayo in 1933 and 1945. and a general humanizing of the workplace. His acceptance theory of authority proposed that authority derives from the willingness of subordinates to comply with directions rather than from position power. the work environment. The research demonstrated the primacy of social factors on productivity and morale. repetitive jobs left them feeling alienated and dispirited. extensive division of labor. Some early experiments were conducted in the late 1930s. by Roethlisberger and Dickson in 1939. but also contained serious flaws that led to unintended consequences. Barnard (1938) presented insights from his experiences as President of the New Jersey Bell Telephone Company. Group Dynamics (1940) The scientific study of groups using experimental research methodswas launched by Kurt Lewin and his students. y y y y y y y . In a sense. Their simple. training in interpersonal skills for supervisors. Research by Lewin. Lippitt (1939).y The great German sociologist Max Weber (1922) introduced the concept of bureaucracy as the best. and by Homans in 1950 profoundly and irreversibly affected people s beliefs about organizational behaviour. The Functions of the Executive by Chester 1. authoritarian leadership caused dependency. and the supervisor determined their performance. theory. Mary Parker Follett (1926). Group norms had more powerful effects on productivity than economic incentives. impersonal rules. a management theorist and astute observer of labour-management relations. Much of her career was devoted to finding ways to reduce adversarial relationships between workers and management. People were not cogs. much of the research.
Laboratory training taught people how to improve interpersonal relations. Lester Coch and John R. resist change. proposed that the leadership functions of a group should be shared between the leader and group members and showed how that could be done. and introduced practicing managers to the concepts of need hierarchy and self-actualization. increase self-understanding. pioneers in laboratory training. Those who subscribe to Theory X assume that people are lazy. This article introduced the concept of organizations as socio-technical systems. The task of management is to change organizational structures. and to pursue organizational goals if given the chance and the social environment to do so. 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. 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. Rogers focus on effective interpersonal communications was applicable to superior-subordinate relations. French s (1948) article. Eric Trist and Ken Bamforth of the Tavistock Clinic (1951) published the results of their work in British coal mines. management practices. Overcoming Resistance to Change. to assume responsibility. Those who subscribe to Theory Y assume that people have the potential to develop. Humanistic and democratic values suffused the movement. The theory postulated that when lower-level needs are satisfied. a mechanistic organization y y y y y y y y . which holds that individuals have within themselves the capacity to assume responsibility for their behaviour and mental health when provided with a supportive. lack ambition. P.y These years witnessed the beginnings of the laboratory training movement (1946 and 1947). Burns and Stalker (1961) described two very different forms of organization structuremechanistic and organic. and understand group dynamics. caring social climate. In addition to presenting Theory X and Y. and need to be led. this book popularized Maslow s motivation theory. Carl Rogers Client-Centered Therapy (1951) demonstrated the efficacy of non-directive psychotherapy. Ken Benne and Paul Sheats (1948). a direct precursor of OD. healthy adults. and human resource practices to allow individual potential to be released. Douglas McGregor wrote The Human Side of Enterprise (1960) in which he described his famous Theory X and Theory Y assumptions. 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. In an environment of slow change. Motivation and Personality by Abraham Maslow (1954) presented a new view of human motivation. are self-centered. higherlevel needs become dominant. 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. indifferent to the organization s needs. dislike responsibility.
theory. more rational and open methods of conflict resolution are sought. the capacity for functional groups to work more competently. y y This chronology captures most of the significant influences from research. Writing in 1969. optimistic. 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. Tannenbaum and Davis presented their ideas in an article appearing in Industrial Management Review. The Addison-Wesley Publishing Company OD Six-Pack. an organic organization form is preferred. open communications. practice. humanistic. in an environment of high change. dysfunctions. These six books presented the theory. He listed these normative goals as follows: · Improvement in interpersonal competence. the initial enthusiasm for scientific management. This leadership style was contrasted with an authoritarian. Kahn (1966) presented the first comprehensive exposition of organizations as open systems." that is. and authoritarian leadership gave way to increasing doubts about these organizational practices as theory and research pointed up their limitations. and greater individual autonomy. To summarize the intellectual climate of this period. organization development practitioners formulated a set of values and assumptions regarding people. as we have said. · Development of more effective "team management. groups. compromise. and negative consequences. (1969) a set of six little books on OD by prominent practitioners. and observations utilized by OD practitioners. summarized the state of organization development a decade or so after its inception. and values of the field. Values have always been an integral part of OD. bureaucracy. Rather than the usual bureaucratic methods which rely mainly on suppression. · Development of increased understanding between and within working groups in order to reduce tensions. and shares decision-making with the work group. Organic structures encourage decentralized decision making and authority. · Development of better methods of conflict resolution. We will examine three early statements regarding OD values that had a significant impact on the field. goal-oriented. one-on-one leadership style.structure may be appropriate. The Social Psychology of Organizations by Daniel Katz and Robert L. . Warren Bennis proposed that OD practitioners (change agents) share a set of normative goals based on their humanistic/ democratic philosophy. Out of this zeitgeist. and organizations that is. The Bennis and Beckhard quotations come from their books in the Addison-Wesley Six-Pack. and democratic. · A shift in values so that human factors and feelings come to be considered legitimate. and unprincipled power.
Controls are interim measurements. mutual trust. more choices become available and hence better decisions are made.´ For example. sub-units of organizations. 4. 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. not individuals. 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. The basic building blocks of an organization are groups (teams). Another major player in the field was Richard Beckhard. presented their view of OD values in a 1969 article. and confidence between and across levels. M. 1. Through focused attention and through the collection and feedback of relevant data to relevant people. and individuals continuously manage their affairs against goals. the basic units of change are groups. The earlier work by Tom Burns and G. Decision-making in a healthy organization is located where the information sources are. Bennis clarified some of the salient differences between mechanical systems and organic systems. Robert Tannenbaum. Here is his list. Therefore. 5." Mechanical systems insist on "strict division of labour and hierarchical supervision" while organic systems foster "multi-group membership and responsibility. 6." like pushing buttons. In his 1969 book he described "several assumptions about the nature and functioning of organizations" held by OD practitioners. director of organization development. rather than in a particular role or level of hierarchy. 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. Organizations." Mechanical systems encourage "centralized decision-making" while organic systems encourage "wide sharing of responsibility and control.· Development of organic rather than mechanical systems. not the basis of managerial strategy. . Stalker used the term ³mechanistic´ in contrast to ³mechanical. "People support what they help create. One goal of a healthy organization is to develop generally open communication. mechanical systems rely on "authority-obedience relationships" while organic systems rely on "mutual confidence and trust. This is a strong reaction against the idea of organizations as mechanisms which managers "work on." 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. 3." People affected by a change must be allowed active participation and a sense of ownership in the planning and conduct of the change.
decentralized decision making. · Away from walling off the expression of feelings toward making possible both appropriate expression and effective use. participation and contribution by all organization members. · Away from resisting and fearing individual differences toward accepting and utilizing them.· Away from avoidance of negative evaluation of individuals toward confirming them as human beings. · Away from distrusting people toward trusting them. 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. · Away from a view of process work as being unproductive effort toward seeing it as essential to effective task accomplishment. · Away from a view of individuals as fixed. · Away from use of status for maintaining power and personal prestige toward use of status for organizationally relevant purposes. appropriate uses of power. · Away from maskmanship and game-playing toward authentic behaviour. open communication. autocratic. The humanistic values prompted a search for better ways to run organizations and develop the people in them. toward seeing them as being in process. the legitimacy of feelings. 5. authentic interpersonal relations. These values and assumptions may not seem profound today. Beliefs such as trust and respect for the individual.5 Implications of OD Values and Assumptions . and arbitrary management practices as well as the dysfunctions of bureaucracies. · Away from a primary emphasis on competition toward a much greater emphasis on collaboration. · Away from utilizing an individual primarily with reference to his or her job description toward viewing an individual as a whole person. The democratic values prompted a critique of authoritarian. but in the 1950s and 1960s they represented a radical departure from accepted beliefs and assumptions. and so forth were seldom espoused and rarely implemented in the vast majority of organizations at that time. · Away from avoidance of risk-taking toward willingness to risk. collaboration and co-operation. · Away from avoiding facing others with relevant data toward making appropriate confrontation.
The second assumption is that most people desire to make. a church or club group. and job satisfaction. the family.2 Implications for Dealing with Groups Several assumptions relate to the importance of work teams and the collaborative management of team culture. leaders need to give important work to teams. Let teams flourish because they are often the best way to get work done and. greatly influences feelings of satisfaction and competence. not a one-on-one leadership style. One implication is that group members should receive training in group effectiveness skills such as group problem-solving and decision-making. Third. including peers and boss. What occurs in the work group. The first assumption is that most individuals have drives toward personal growth and development if provided an environment that is both supportive and challenging. And because suppressed feelings and attitudes adversely affect problem-solving. and co-operation within the group.Let us examine specific assumptions and their implications for organization leaders and members. group members should be encouraged to learn to deal effectively with positive and negative feelings. and reward success. The people doing the work are generally experts on how to do it and how to do it better. 5. a greater contribution to attaining organization goals than most organizational environments permit. Dealing appropriately with feelings and attitudes increases the level of interpersonal trust. It is especially important that leaders adopt a team leadership style. in addition. not individuals. challenge. Most people want to develop their potential. We answer the question: What are some of the implications of OD assumptions and values for dealing with individuals. . A tremendous amount of constructive energy can be tapped if organizations realize and act on these assumptions. Another assumption is that the formal leader cannot perform all the leadership and maintenance functions required for a group to optimize its effectiveness. invest training time and money to increase group members¶ skills. support. group members should assist the leader with the multiple roles required for group effectiveness.5. support. permit failure. set high standards. at both the formal and informal levels. and are capable of making. most people are capable of making greater contributions to a group¶s effectiveness and development.5. personal growth. To do this. The implications of these two assumptions are straightforward: Ask. are the best way to satisfy social and emotional needs at work. This skill is a trainable one. facilitation. and so on. Hence. First. and interpersonal communication. give responsibility.1 Implications for Dealing with Individuals Two basic assumptions about individuals in organizations pervade organization development. Second. conflict management. Implications of these assumptions are several. give autonomy. most people wish to be accepted and to interact co-operatively with at least one small reference group. Also. one of the most psychologically relevant reference groups for most people is the work group. remove obstacles and barriers. listen. groups. invest energy and intelligence in creating a positive climate. leaders should invest in groups: Invest the time required for group development. and usually with more than one group. such as a work group. and organizations? 5. encourage risk-taking.
traditional hierarchical forms of organization-fairly steep pyramid. including how persons C. A key assumption in organization development is that the needs and aspirations of human beings are the reasons for organized effort in society. but how A and B can work together to modify their interactions toward the goal of B becoming more effective and A and B becoming more mutually effective. this 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. in which one side wins and the other side loses. Concluding Comment: . and profitability." as behavioural scientists and managers continue to develop better understanding of authority structures. By implication. it is possible to create organizations that on the one hand are humane. values are never static. quality of output. societal. The belief that people are important tends to result in their being important. adherence to the chain of command. Evidence for this assumption comes from numerous examples where ³putting people first´ paid off handsomely in profits and performance. Frequently the challenge is broader. developmental set of assumptions about people is likely to reap rewards beneficial to both the organization and its members. Such problems have the greatest chance of constructive solution if all parties in the system alter their mutual relationships. they change over time. and ways to optimize human potential. a growing awareness that ³win-lose´ organizational situations. and empowering. experimenting with new organization structures and new forms of authority is imperative. grouping by specialized function. D. the assumption is that many attitudinal and motivational problems in organizations require interactive and transactional solutions. The rapid technological.Finally. The implication is that people are an organization¶s most important resource. In addition.5. developmental. they are the source of productivity and profits and should be treated with care. organizing structures. By implication. They cannot meet the demands of the marketplace. formalized cross-functional communication. and E can support these changes. are dysfunctional over the long run and highlight the need for a ³win win´ attitude. and so on-are obsolete. Such an orientation creates a self-fulfilling prophecy. an optimistic. The question becomes not how A can get B to perform better. Creating co-operative rather than competitive organizational dynamics is a primary task of the organization¶s leaders.3 Implications for Designing and Running Organizations Clearly. This notion suggests it is good to have a developmental outlook and seek opportunities in which people can experience personal and professional growth. emphasis on topdown directives. and organizational changes taking place assure that tomorrow will bring new definitions of what is "true" and new beliefs about what is "good. 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. Finally. 5. Therefore. Still.
Cognitive . Taylor¶s principles of scientific management. 2. beliefs and assumptions are cognitive facts. Values. Values.W. 4. beliefs. The concept of ±±±±±±±±±± was introduced by MaxWeber. _______________ gave theory X and theory Y. 3. Self Assessment Questions 1. What are values and assumptions developed by Richard Bechard in the field of organizational development? 5. State the assumptions of Theory X and Theory Y. These OD values were considered revolutionary when they emerged in the 1950s. The outcome of ±±±±±±±± was that people were not cogs and organizations were not machines. What was the outcome of Hawthorne Experiments? 4. OD values tend to be humanistic. and assumptions are all ±±±±±±±±±± facts. Values are also beliefs. 2.6 Summary The field of OD rests on a foundation of values and assumptions about people and organizations. optimistic and democratic. 3. but are widely accepted today. 5. 5. 5.The field of organization development rests on a foundation of values and assumptions about people and organizations. Define concepts. __________ is associated with scientific management. This discussion was intended to articulate an appreciation of OD values and explain where they came from.8 Answers to SAQs and TQs SAQs: 1. Values. values. A belief is a proposition about how the world works that the individual accepts as true.7 Terminal Questions 1. Chronology of events in management and OD tremendously influenced OD practitioners. beliefs and assumptions. Write a note about F. 5. assumptions and beliefs help to define what OD is and guide its implementation. These beliefs help to define what OD is and guide its implementation.
2.3 5.3 Copyright © 2009 SMU Powered by Sikkim Manipal University . Refer section 5. Refer section 5.1 Introduction Objectives 6.2 Models and Theories of Planned Change 6.3 4.2 Beyond the Quick Fix . Refer section 5.2 2. Bureaucracy 4. W.2.3 3.1 Kurt Lewin and Friends 6. Douglas McGregor Answers to TQs: 1. F. Refer section 5.2. Taylor 3. MU0002-Unit-06-Foundations of Organization Development Unit-06-Foundations of Organization Development Structure: 6. Hawthorne experiments 5. Refer section 5.
you will learn what OD practitioners think and how they think as they engage in the complicated task of improving organizational functioning.2 Congruence among System Elements 6.7 A Normative ± Re-educative Strategy of Changing 6.4 Porras and Robertson Model of Organizational Change 6.8 Applied Behavioural Science 6.6 Parallel Learning Structures 6. In this discussion.2.1 Introduction This unit describes the foundations of organization development theory and practice.10 Summary 6.3 The Burke-Litwin Model of Organizational Change 6.1 The Nature of Systems 6.3.12 Answers to SAQs and TQs 6.11 Terminal Questions 6.4 Participation and Empowerment 6.3 Systems Theory 6.4 Open Systems Thinking 6. Objectives: After studying this unit. you will be able to: .22.214.171.124 Teams and Teamwork 6. Leaders and OD practitioners use this knowledge base to plan and implement effective change programs.9 Action Research Self Assessment Questions 6.3.3 Socio-technical Theory and Open Systems Planning 6.2. art and science which form the knowledge base upon which OD is constructed.
Several recent theories show great promise for increasing our understanding of what happens and how it happens in planned change. the important features of some phenomenon.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. · Realize the importance of teams and teamwork. describe those features as variables. Models and theories depict. Here we provide a framework for thinking about planned change by exploring several models from the literature. Planned change theories are rudimentary as far as explaining relationships among variables.· Explain various models and theories of planned change. That is. · Describe the parallel learning structures.1 Kurt Lewin and Friends Kurt Lewin introduced two ideas about change that have been influential since the 1940s. Here we describe what we believe are the most important underpinnings for the field. 6. the status quo-whatever is happening right now-is the result of forces pushing in . and specify the relationships among the variables.2. · Explain the terms µparticipation¶ and µempowerment¶. The first idea states that what is occurring at any point in time is a resultant in a field of opposing forces. 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. · Explain normative-re-educative strategy of changing The knowledge base of OD is extensive and is constantly growing. · Explain systems theory. in words or pictures. The development of models of planned change facilitated the development of OD.
that is. we can think of the production level of a manufacturing plant as a resultant equilibrium point in a field of forces. moving to new level of behaviour. A Three-Stage Model of the Change Process: Stage 1: Unfreezing: Creating motivation and readiness to change through a.non-smoking becomes the new equilibrium point. The three-stage model says he must first unfreeze the old behaviour of smoking. Next. Take the example of a man who smokes cigarettes and wants to quit. With a technique called the force-field analysis. and react to things differently based on a new point of view obtained through a. b. Disconfirmation or lack of confirmation b. etc. Creation of guilt or anxiety c. mentor. 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. Provision of psychological safety Stage 2: Changing through Cognitive Restructuring: Helping the client to see things. that is. he must move. Change entails moving from one equilibrium point to another. This concept is useful for thinking about the dynamics of change situations. Likewise. we can think of the level of morale in that plant as a resultant equilibrium point. it generally hovers around some equilibrium point that is the resultant in a field of forces. The production level tends to remain fairly constant because the field of forces remains fairly constant. Finally. with some forces pushing toward higher levels of production and some forces pushing toward lower levels of production. Edgar Schein took this excellent idea and improved it by specifying the psychological mechanisms involved in each stage. Lewin¶s three-stage model is a powerful tool for understanding change situations. He suggested that change is a three-stage process: Unfreezing the old behaviour (or situation). Scanning the environment for new relevant information . Identifying with a new role model. the non-smoking behaviour must become permanent. some forces pushing toward higher morale and some pushing toward lower morale. Refreezing the behaviour at the new level. Lewin¶s second idea was a model of the change process itself. judge things. believe that cigarette smoking is bad for him and that he should stop smoking. Refreezing the desired behaviour requires establishing a new field of forces to support the new behaviour. For example.opposing directions. change his behaviour from being a smoker to being a non-smoker. feel things. Although morale may get a little better or a little worse on occasion.
disconfirmation creates pain and discomfort. That is. and attitudes. But unless the person feels comfortable with dropping the old behaviours and acquiring new ones. which motivate the person to change. unfreezing. They expanded the three-stage model into a seven-stage model representing the consulting process. Jeanne Watson. stabilizing the changes requires testing to see if they fit-fit with the individual. Phase 2: Establishing a change relationship.Stage 3: Refreezing: Helping the client to integrate the new point of view into a. Phase 3: Clarifying or diagnosing the client system¶s problem. . This phase corresponds to Lewin¶s refreezing phase. In stage 1. The primary task in stage 3. This motivating evidence is gained by. That is. 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. Phases 3. moving. establishing goals and intentions of action. In this phase a client system in need of help and a change agent from outside the system establish a working relationship. In stage 2. b. change will not occur. 4. The total personality and self-concept. Phase 4: Examining alternative routes and goals. is to integrate the new behaviours into the person¶s personality. the person undergoes cognitive restructuring. refreezing. Significant relationships. which cause guilt and anxiety. Phase 6: Generalizing and stabilizing change. and Bruce Westley. Phase 5: Transforming intentions into actual change efforts. for example. the person must develop a sense of psychological safety in order to replace the old behaviours with new behaviours. that is. terminating the client-consultant relationship. This phase corresponds to Lewin¶s unfreezing phase. Their seven stages are as follows: Phase 1: Developing a need for change. identifying with ex-smokers and learning about the health risks of smoking. and 5 correspond ro Lewin¶s moving phase. The person acquires information and evidence showing that the change is desirable and possible. and fit with the individual¶s social surroundings. Phase 7: Achieving a terminal relationship.
4) The strategy-structure track. and so forth. Interventions include training programs. when functioning properly. 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. These "road maps" are useful for thinking about change. 3) The team-building track. These problems and opportunities will be the targets of later interventions. Change programs take from one to five years to complete. 2) Diagnosing the problems. Kilmann¶s five tracks are: 1) The culture track.2.2 Beyond the ³Quick Fix´ A comprehensive change model by Ralph Kilmann specifies the critical leverage points for organizational change. critique practices and procedures. 4) Implementing the "tracks" 5) Evaluating the results. Initiating the program entails securing commitment from top management. 2) The management skills track. This model has five sequential stages: 1) Initiating the program. called "tracks. cause the organization to be successful. 3) Scheduling the "tracks"." that. Scheduling and implementing the "tracks" involve intervening in five critical leverage points. 6. problem-solving sessions. Kilmann describes the five tracks: What does each track do for the organization? . and 5) The reward system track.This seven-stage model lays out the logical steps involved in OD consulting.
revolutionary. and co-operative team efforts within and among all work groups. First-order change goes by many different labels: transactional. beginning with the culture track.3 The Burke-Litwin Model of Organizational Change The next model to be examined is the Burke-Litwin model of individual and organizational performance. TRW. information sharing. 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. . OD programs are directed toward both first. 6. evolutionary. the nature of the organization is fundamentally and substantially altered ± the organization is transformed. Westinghouse. The strategy-structure track develops either a completely new or a revised strategic plan for the firm and then aligns divisions. incremental. or discontinuous change. and its holistic view of organization change and development. some features of the organization change but the fundamental nature of the organization remains the same. In second-order change. General Foods. jobs. and all resources with the new strategic direction. or continuous change. Eastman Kodak.2. In first-order change. developed by Warner Burke and George Litwin. the use of updated management skills. then moving to the team-building track. Kilmann has tested his model at AT&T. Second-order change goes by many different labels: transformational. and Xerox with good results. The reward-system track establishes a performance-based reward system that sustains all improvements by officially sanctioning the new culture. adaptive. departments.and second-order change. One likes this model because of its comprehensive nature. This model shows how to create first-order and second-order change (which the authors call ³transactional change´ and ³transformational change´). and so forth. An OD consultant implements the tracks in a phased sequence. communication. radical.The culture track enhances trust. The model distinguishes between organizational climate and organizational culture. its identification of the five tracks as critical leverage points. Ford General Electric. then moving to the management skills track. The management-skills track provides all management personnel with new ways of coping with complex problems and hidden assumptions. with an increasing emphasis on second-order transformational change. work groups. and willingness to change among members the conditions that must exist before any other improvement effort can succeed.
The model also makes a distinction between transactional and transformational leadership styles. Changing structure. These two concepts come from leadership research which found that some leaders are capable of obtaining extraordinary performance from followers while other leaders are not. Transactional leaders are "leaders who guide or motivate their followers in the direction of established goals by clarifying role and task requirements.Organizational climate is defined as people¶s perceptions and attitudes about the organizationwhether it is a good or bad place to work. 6. in turn. and beliefs that are enduring. and systems cause changes in work unit climate. management practices. Following figure shows the factors involved in first-order (transactional) change. individual and organizational performance. and so forth. leadership. These perceptions are relatively easy to change because they are built on employees¶ reactions to current managerial and organization practices.1: The Transactional Factors Involved in First ± Order Change . Changing culture is much more difficult than changing climate. hard-working or easy-going. We will do so in several steps. which change motivation and. often unconscious. The premise of the BurkeLitwin model is this: OD interventions directed toward structure. organizational culture is defined as deep-seated assumptions." Transformational leadership embodies inspiration which leads to new heights of performance. and difficult to change. On the other hand. Transactional leadership is sufficient for causing first-order change. Now let us look at the Burke-Litwin model. Transformational leadership is required for causing second-order change. 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." Transactional leadership embodies a fair exchange between leader and follower that leads to "normal" performance. Fig. Transactional leadership is required to make this change in organizational climate. and organization culture result in second-order change. interventions directed toward mission and strategy. values. and systems (policies and procedures) result in first-order change. friendly or unfriendly. management practices.
The OD practitioner sizes up the change situation. and then targets interventions toward factors of the organization that produce the desired change. and organization culture produce transformational change or fundamental change in the organization¶s culture. and organization culture. which produces changes in individual and organizational performance. and systems produce transactional change or change in organizational climate. 6. The bottom half of figure displays the factors involved in transactional change.2: The Transformational Factors Involved in Second ± Order Change On the other hand.Fig. Burke and Litwin propose that interventions directed toward leadership. sudden "leaps" in behaviour. leadership styles. Interventions directed toward management practices. The above two figures together yield the full Burke-Litwin model shown in the following figure. To summarize. structure. The second set of dynamics is concerned with processes of human transformation. Burke says: ³Thus there are two distinct sets of organizational dynamics. These factors are able to change the climate. The top half of figure displays the factors involved in transformational change. as shown in the above figure. Interventions directed toward these factors transform the organization and cause a permanent change in organization culture. we must change mission and strategy.´ We consider the Burke-Litwin model to be a significant advance in thinking about planned change. if we want to cause second-order (transformational) change. One set primarily is associated with the transactional level of human behaviour or the everyday interactions and exchanges that create the climate. these transformational processes are required for genuine change in the culture of an organization. mission and strategy. These factors are powerful enough to change the culture fundamentally. . Research by Burke and his students suggests the model performs as intended. that is. determines the kind of change required (transactional or transformational).
2. strategies. The premise modeled here is that work setting factors influence organizational members¶ cognitions (they learn what is expected. For example.Fig. which in turn lead to individual and organizational improvements. which determine organizational performance and individual development. Following figure shows the work setting in the larger organizational framework. Interventions that focus on culture. The basic premise is that OD interventions alter features of the work setting causing changes in individuals¶ behaviours.4 Porras and Robertson Model of Organizational Change Jerry Porras and his associates developed a model of how organization development works. management style. it is described in a discussion by Porras and Peter Robertson. .3: The Burke Litwin Model of Organizational Performance and Change 6. according to Porras and Robertson. The work setting plays a central role in this model and consists of four factors: organizing arrangements. and these behaviour changes occur when elements of the work setting have been modified by OD interventions. social factors. OD interventions that focus on goals. and interaction processes will affect social factors. and technology. Interventions that focus on job design and work flow design will affect technology. 6. required. rewarded). physical setting. Organizational change occurs only when individuals change their behaviour. This model shows how OD interventions can be linked to factors in the work setting. It is how OD works. and rewards will affect organizing arrangements. which influence on-the job behaviours.
Fig.3 Systems Theory A second foundation of organization development is systems theory.5: A Change-based Organizational Framework 6. Keep this framework in mind as you read the units on OD interventions because all interventions target one or more factors shown in figures. This section explains systems theory. 6. and shows how systems theory enhances the practice of OD. Systems . Ludwig Von Bertalanffy first articulated the principles of general systems theory in 1950. which views organizations as open systems in active exchange with their environment.4: Organizational Work-Setting Factors This model is extremely useful for OD practitioners and organizational leaders. Fig. and Katz and Kahn were the first to apply open systems theory to organizations in 1966. 6. describes the characteristics of systems.
1 The Nature of Systems The nature. we examine the characteristics of open systems drawing OD expositions by Katz and Kahn and Hanna.theory is one of the most powerful conceptual tools available for understanding the dynamics of organizations and organizational change. Boundaries of open systems are permeable. when taking a systems approach. money. and energy between system and environment. system denotes interdependency. A good rule of thumb for drawing the boundary is that more energy exchange occurs within the boundary than across the boundary. All open systems are input-throughput-output mechanisms." Kast and Rosenzweig define system as "an organized. Thus. Each of these three system processes must work well if the system is to be effective and survive. the organization will cease to exist." Von Bertalanffy refers to a system as a set of "elements standing in interaction. interconnectedness. people. These purposes must align with purposes or needs in the environment. and interrelatedness among elements in a set that constitutes an identifiable whole or gestalt. Organizations are open systems. or subsystems. the organization¶s purposes will be reflected in its outputs. What is inside the boundary is the system. and delineated by identifiable boundaries from its environmental supra. Here. and if the environment does not want these outputs. the reasons for their existence. one begins by identifying the individual parts and then seeks to understand the nature of their collective interaction. Therefore. in that they permit exchange of information. They do something to the inputs via throughput. unitary whole composed of two or more interdependent parts. Every system is delineated by a boundary.3. . raw material and so on. Open systems have purposes and goals. Systems take inputs from the environment in the form of energy. conversion. components. that is the system.system. and they export products to the environment in the form of outputs. or transformation processes that change the inputs. Fagen defines system as "a set of objects together with relationships between the objects and between their attributes. studying open systems leads to a good understanding of organizations. and what is outside the boundary is the environment. information." Hanna says: "A system is an arrangement of interrelated parts. resources. and characteristics of open systems are well-known. dynamics. The words µarrangement¶ and µinterrelated¶ describe interdependent elements forming an entity. 6. For example." To summarize.
Negative feedback measures whether or not the output is on course with the purpose and goals. For example. It is also known as deviation-correcting feedback. competitors. Positive feedback measures whether or not the purpose and goals are aligned with environmental needs. they usually ignore information about other industries such as electronics. it will signal whether the environment needs and/or wants buggy whips. By the same token. . 6. Systems are bombarded by all kinds of information: some are useful. Information is important to systems in several ways. If the mission (target) changes. and the production plan calls for 100 buggy whips per month. that information is called positive feedback. mining. and so on. Systems "code" useful information and incorporate it. negative and positive." Here is another example of negative and positive feedback. The usefulness of the two concepts is that they demonstrate that it is not enough to merely measure our outputs versus the intended targets. Say your company makes buggy whips. Feedback is information from the environment about system performance. organizations in the fast-food industry pay a lot of attention to information about their industry-nutrition. Survival of the system is equally influenced by whether or not the targets themselves are appropriate.Fig. aerospace. and the like. eating fads. and the system adjusts to a new goal. however. It is sometimes called deviationamplifying feed back. if a rocket ship traveling to the moon strays off its trajectory. while screening out other information.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. For example. but most are not useful. Systems require two kinds of feedback. "return to earth. say. Negative feedback tells you if you are on track with your scheduled production output. and makes a course correction. Organizations achieve negative entropy when they are able to exchange their outputs for enough inputs to keep the system from running down. it receives information to that effect in the form of negative feedback. Positive feedback comes from the environment.
Elements of the organization per se are labeled strategy. which imposes constraints and opportunities about what the organization can and can not do. Another characteristic of systems is equifinality. formal organization. and systems for performing the work. These subsystems can be arranged into a hierarchy of systems moving from less important to more important.3. processes. failures. knowledge. Systems achieve a steady state or equilibrium point and seek to maintain this equilibrium against disruptive forces.´ Also.Another characteristic of open systems is steady state or dynamic homeostasis. and informal organization. this process is called differentiation. knowledge. Outputs are performance at the total organization level. work. either internal or external. 6. which includes the organization¶s culture informal rules and understandings. such as capital. and critical decisions that still influence behaviour today. systems tend to get more elaborated. and how things really work (versus how they are supposed to work as defined by the formal organization). and the workforce¶s expectations. which includes skills. the tasks people perform to create products and service markets people. increased integration and co-ordination are necessary. specialized. With increased differentiation. differentiated. and complex over time. people. As Katz and Kahn say: ³The basic principle is the preservation of the character of the system. and technology. perceptions. and individual level. unit/group level. . Subsystems exist within larger systems. and 3) History which consists of memories of past successes. important events. the principle that there are multiple ways to arrive at a particular outcome or state ± systems have multiple paths to goals. This model depicts the organization as an input-throughput-output system. 2) Resources available to the organization. The three major input factors are: 1) The environment.2 Congruence among System Elements David Nadler and associates at Delta Consulting Group developed the congruence model for understanding organizational dynamics and change. what the organization is trying to accomplish and how it plans to do it. which includes formal structures.
training group members in multiple skills. to the workers doing the job. 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. To achieve high productivity and employee satisfaction. A number of design principles have been developed to implement socio-technical systems theory.socio-technical systems theory (STS) and open systems planning (OSP)-play an important role in organization development. if people don¶t have the skills and knowledge required to do the work. If the organization¶s culture (informal organization) praises individual accomplishments and the work requires teamwork and collaboration. Socio-technical systems theory was developed by Eric Trist. that is. performance will suffer.3. and others at the Tavistock Institute in the 1950s. For example. especially autonomous work groups (selfregulated teams or self-direct teams). multi-skilled teams. organizations must optimize both systems. You can use this model to analyze organizations with which you are familiar. and that changes in one system affect the other system. and identifying core tasks help STS consultants structure organizations and tasks for maximum effectiveness and efficiency. controlling variance at the source. and 2) Evaluating the "goodness of fit" or how well the elements "go together. Fred Emery.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. . In a company that is performing poorly." and which elements are poorly aligned? In companies showing outstanding performance.3 Socio-technical Systems Theory and Open Systems Planning Two major variations of open systems theory. Another important application of systems theory in organization development is open systems planning. performance will suffer. STS is the principal conceptual foundation for efforts in work redesign and organization restructuring. two active segments of OD today. Hanna writes: . and information to the point of action. fit) must be present among the system¶s components¶ for the organization to produce satisfactory outputs. The thesis of STS is that all organizations are comprised of two interdependent systems. which components are "not functioning correctly. forming autonomous work groups. Systems models are essential for the practice of OD. If the strategy calls for entrepreneurial quickness and risk-taking and the formal organization is bureaucratic and highly centralized. giving information and feedback to the people doing the work. High-performance organizations almost always use principles from socio-technical systems theory." The premise is that alignment (harmony. a social system and a technical system. Principles such as optimizing the social and technical systems. 6.Fig. performance will suffer. 6.
Second. from diagnosis to intervention to evaluation. OD practitioners expect multiple effects.3. and Will McWhinney developed a technology for addressing the interface between organization and the environment. Without a systemic orientation. It keeps them from being separate gimmicks or the latest organization change fads. 2) Developing scenarios of possible futures. and systems thinking. according to Peter Senge. changing one part of a system influences other parts. systems theory pervades the theory and practice of organization development. the fifth discipline. He says of systems thinking: ³It is the discipline that integrates the disciplines. a systems approach encourages analysis of events in terms of multiple causation rather than single causation. this combination is often used in designing high-performance organizations. not single effects.KI Jayaram. Their technology became known as Open systems Planning (OSP). events and forces. it continually reminds us that the whole can exceed the sum of its parts. G. Learning organizations can cope effectively with rapidly changing environmental demands. . issues. Most OD practitioners engaged in redesign projects use a combination of socio-technical systems theory and open systems planning. from their activities. and 3) Developing action plans to ensure that a desirable future occurs. Senge believes that five disciplines must be mastered to create a learning organization: personal mastery. and incidents are not viewed as isolated phenomena. events. mental models. Viewing organizations from this perspective has several consequences. Charles Krone. team learning. building shared vision. By enhancing each of the other disciplines. Of all these disciplines. there is no motivation to look at how the disciplines interrelate. is the most important. because most phenomena have more than one cause. Third. First. both realistic (likely to happen if the organization continues on its current course) and ideal (what the organization would like to see happen).4 Open Systems Thinking Open systems thinking is required for creating learning organizations. Open systems planning entails: 1) Scanning the environment to determine the expectations of external organizations and stakeholders. 6.In the late 1960s a small team of consultants led by James Clark. For example. 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. but seen in relation to other issues. systems thinking.´ In conclusion. fusing them into a coherent body of theory and practice. therefore. forces.
" These authors believe the organic view. personal initiative. For example. according to field theory (Kurt Lewin). search conferences. This research demonstrated that most people desire increased involvement and participation. treat those closest to the problem as the relevant experts. with its emphasis on risk-taking. This idea moves the practitioner away from analyzing historical events and toward examining contemporary events and forces. Participation enhances empowerment. autonomous work groups. and growth. is the more useful perspective. Empowerment meant trusting people and tolerating their imperfections. The entire field of OD is about empowerment. not just its component parts. To empower is to give someone power. The other view. to change a system. the forces in the field at the time of the event are the relevant forces for analysis. And fifth. Participation is a powerful elixir-it is good for people and performance. 6. OD interventions are basically methods for increasing participation. which is done by giving individuals the authority to make decisions. growth. survey feedback." and "Have decisions made by those who are closest to the problem. reduce stress levels." is a top-down delegation of decision-making with clear boundaries and strict accountability that increases managerial control." is bottom-up and less controlling. increase commitment to the organization.Fourth. Increased participation and empowerment have always been central goals and fundamental values of the field. Research on group dynamics began in the 1940s and achieved exponential growth in the 1950s and 1960s. one changes the system. Researchers found that group dynamics work to overcome resistance to change. it is extended broadly throughout the organization. The most important contrast between the two views involves the implicit but potentially volatile assumptions people make about trust and contro1. which they call "mechanistic. OD interventions are deliberately designed to increase involvement and participation by organization leaders and members. But . and generally make people feel better about themselves and their worlds. produce better solutions to problems. and to be responsible. One view. quality of work life programs. Further. called "organic. involvement and participation energize greater performance. Robert Quinn and Gretchen Spreitzer found two vastly different views of empowerment. and give more power to more people. and the culture audit are all predicated on the belief that increased participation will lead to better solutions. Participation is an especially effective form of empowerment. Rules of thumb such as "Involve all those who are part of the problem or part of the solution. to exert influence. and greatly enhance acceptance of decisions. They describe the organic view: "The other group of executives saw empowerment much differently. These pillars of OD practice are validated by both research and practice. Participation in OD programs is not restricted to elites or the top people. quality circles.4 Participation of Empowerment One of the most important foundations of organization development is a participation/ empowerment model." direct leaders to push decision-making lower in the organization. They believed that it was about risk-taking. and change. and empowerment in turn enhances performance and individual well-being. team building. to contribute their ideas.
A second fundamental belief is that teams must manage their culture. If the team. systems. Third. teams create synergy. Second. people must work together to accomplish them. processes. Quinn and Spreitzer conclude: ³Empowerment. While management can create a context that is more empowering.5 Team and Teamwork A fundamental belief in organization development is that work teams are the building blocks of organizations. They must see themselves as having freedom and discretion.both views contain valid ideas: for example. HPOs (high-performance organizations). and practice attest to the central role teams play in organizational success. The previous discussion focused on empowerment and concluded that the act of empowering individuals greatly increased their performance and satisfaction. teams at 3M generate the hundreds of innovations that keep 3M ahead of its competition. then. changes those norms and values. "The evidence is abundantly clear: Effective teams produce results far beyond the performance of unrelated individuals. the noun team has become a verb. Team Taurus developed Ford¶s best-selling automobile. and relationships if they are to be effective. HPWSs (high-performance work systems). . many tasks are so complex they cannot be performed by individuals. crossfunctional "design-build" teams developed the Boeing 777. the effects on individual behaviour are immediate and lasting. Teams and teamwork are among the "hottest" things happening in organizations today ± gurus extol the virtues of teams. the sum of the efforts of team members is far greater than the sum of the individual efforts of people working alone. but rather a mindset that employees have about their roles in the organization. Teams and teamwork are "in. STS (socio-technical systems). Synergy is a principal reason teams are so important. 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. Teams and teamwork are part of the foundation of organization development. research. that is. confident about their abilities.´ 6. and capable of having an impact on the system in which they are embedded. Teams are important for a number of reasons: First. QCs (quality circles). and team-related acronyms abound-SDTs (self-directed teams). they must if personally connected to the organization. Team Saturn produced the Saturn automobile. as a team. to name just a few. Teams at Motorola produced its bestselling cellular phones. employees must choose to be empowered. much individual behaviour is rooted in the socio-cultural norms and values of the work team. teaming. Theory. the organic approach unleashes talent and energy in people that are best channeled by providing clear guidelines and boundaries.
cross-functional teams. temporary teams. Teams periodically hold team-building meetings. A number of OD interventions are specifically designed to improve team performance. Team-building activities are now a way of life for many organizations. role negotiation technique. and others. In this section. Grid OD and techniques such as role analysis technique. quality circles. parallel learning structures. status. 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. Investigators are discovering why some teams are successful while others are not. we examine the potential of teams and teamwork. and set ever-higher goals. and the like. and explore ways to realize that potential. the crew of the USS Kitty Hawk. These interventions apply to formal work teams as well as startup teams. and respect-teams nurture human nature. socio-technical systems programs. 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.Fourth. inter-group team-building. Larson and LaFasto found eight characteristics always present: 1) A clear. that they achieve synergy. Examples are team-building. and individuals are trained as group leaders and group facilitators. teams satisfy people¶s needs for social interaction. including collegiate football national champions. 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. people are trained in group dynamics and group problem-solving skills. to determine the characteristics that make them successful. and responsibility charting. High-performance teams regulate the behaviour of team members. All these characteristics are required for superior team performance. find innovative ways around barriers. process consultation. . and that teamwork becomes more satisfying for team members. The net effect is that teams perform at increasingly higher levels. When any one feature is lost. help each other. team performance declines. Larson and LaFasto studied a number of high-performance teams. heart transplant surgical teams. recognition.
6. Parallel learning structures are a foundation of OD because they are prevalent in so many different OD programs. In essence. normal hierarchical considerations become obsolete for these project teams-you could be the boss of one team. you don¶t have a parallel structure. If you don¶t implement different norms and procedures. a steering committee and working groups were used to co-ordinate the employee involvement teams. managers. Interestingly. It isn¶t the supplemental structure that¶s important. and report to one of your subordinates on another team. Dale had introduced this concept in 1974 under the label collateral organization and defined it as ³a supplemental organization coexisting with the usual formal organization. 6. Considerable experimentation with collateral organizations occurred in the 1970s and 1980s. deciding. The quality of work life programs of the 1970s and 1980s used parallel structures composed of union leaders. He uses examples from EDS (Electronic Data Systems). especially when the change involves a fundamental shift in the organization¶s methods of work and/or culture. constitute another important foundation of organization development. Union Pacific Railroad. The most important and difficult task for the people creating the parallel learning structure is to create a different culture within it. Asea Brown Boveri. and continuous learning. talking. Parallel learning structures are often the best way to initiate change in large bureaucratic organizations. flexible response. and countless other organizations to demonstrate the ability of small project teams to produce high quality. autonomous.´ Parallel structures help people break free of the normal constraints imposed by the organization. and acting differently than normally takes place at work. 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. engage in genuine inquiry and experimentation. projects will be performed by teams. Titeflex. and then leading the process.6 Parallel Learning Structures Parallel learning structures. and employees. Projects are the work of the future. Most socio-technical systems redesign efforts and open systems planning programs use parallel structures.7 A Normative ± Re-educative Strategy of Changing . specially created organizational structures for planning and guiding change programs. clear objectives. empowered teams are what the best organizations are using right now to outdistance the competition. superior customer service. and high accountability drive these project teams to outperform traditional organization structures on every measurable dimension. High responsibility. At Ford Motor Company. Bushe and Shani say: ³The key thing about parallel structures is that they create a bounded space and time for thinking. and initiate needed changes. parallel structures are a vehicle for learning how to change the system.Tom Peters asserts in Liberation Management that cross-functional.´ The purpose of the collateral organization is to deal with "ill-structured" problems the formal organization is unable to resolve. What¶s important is that people act in a way that promotes learning and adaptation. High-performance organizations often use parallel structures to co-ordinate self-directed teams.
information. OD clearly falls within the normative-reeducative category. The third set of strategies is the power-coercive strategies. Chin and Benne suggest that a normative-re-educative. and significant relationships. attitudes.Organization development involves change. will follow their rational self-interest. and will change if and when they come to realize change is advantageous to them. values. rather than the OD practitioner. and it rests on a particular strategy for change that has implications for practitioners and organization members alike. that is. The first type is empirical rational strategies. doubts. Evaluated against these three change strategies. Socio-cultural norms are supported by the attitude and value systems of individuals-normative outlooks which undergird their commitments. strategy has the following implications for the practice of OD. . or intellectual rationales for action and practice. based on the assumption that change is compliance of those who have less power with the desires of those who have are power. and¶ negative feelings are surfaced for "working through. The norms to be changed and the form of re-education are decided by the client system members. These strategies build upon assumptions about human motivation different from those underlying the first. These implications give clients considerable control over the situation." Solutions to problems are not a priori assigned to greater technical information but may reside in values. The point here is that different strategies are available for effecting change. based on the assumptions that norms form the basis for behaviour. Patterns of action and practice are supported ± by sociocultural norms and by commitments on the part of the individuals to these norms. will occur only as the persons involved are brought to change their normative orientations to old patterns and develop commitments to new ones. based on the assumptions that people are rational. according to this view. and change comes through re-education in which old norms are discarded and supplanted by new ones. Chin and Benne indicate the nature of the normativereductive strategy as follows: A second group of strategies we call normative-re-educative. anxieties. and they give more options to both the clients and the practitioner. Change in a pattern of practice or action. the practitioner intervenes in a collaborative way with the clients. Chin and Benne describe three types of strategies for changing. The client system members define what changes and improvements they want to make. they impel a collaborative effort rather than a "doing something to" effort. skills. not just changes in knowledge. and OD is based primarily on a normative-re-educative strategy and secondarily on a rational-empirical strategy. although often OD represents a combination of the normative-re-eductive and the empirical-rational strategies. The rationality and intelligence of men are not denied. And changes in normative orientations involve changes in attitudes. relationships and customary ways of doing things. Anything hindering effective problem solving is brought to light and publicly examined. and together they define problems and seek solutions. The second group of strategies is normative-re-educative strategies.
norms can best be changed by focusing on the group. A conventional distinction is made between (1) "pure" or basic science. pressing problems." the OD practitioner works: first diagnosing the situation. OD emphasizes the latter. thereby solving the problem. on the basis of which he or she prescribes a solution that.e. . Thus. not the individual. OD practitioners know about these patterns through research and theory. by modifying a group norm or standards.Because norms are socially accepted beliefs held by groups about appropriate and inappropriate behaviours. placing it in a classification scheme or typology." Both diagnosis and treatment consist of observing a situation and. 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. and finally evaluating the effects of the treatments. The practitioner uses treatment as the empirical test of his diagnosis. and skills in ongoing systems in collaboration with system members. and (2) "technology. lawful patterns of events produce effectiveness and ineffectiveness.´ Norms help determine individual behaviour and a normative-re-educative strategy of changing pervades the practice of OD. OD is the application of behavioural science knowledge. 6. hopefully. practices. Greenwood discusses the activities of the practitioner as follows: "The problem that confronts a practitioner is customarily a state of disequilibrium that requires rectification. with their elaborations and implications constitute practice theory. then selecting and implementing treatments based on the diagnosis.8 Applied Behavioural Science This foundation of OD relates to the primary knowledge base of the field." applied science.. the object of which is knowledge for its own sake. The practitioner examines the problem situation. Each type description of the diagnostic typology contains implications for a certain type of treatment. re-establishes the equilibrium. The aim of this discussion is to look briefly at how behavioural science knowledge becomes applied behavioural science knowledge. 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. On this point. Although human behaviour in organizations is far from an exact science. for example. i. the major leverage point for change is at the group level. behavioural science knowledge. on the basis of selected variables. failure negating it and thus requiring re-diagnosis.´ From this "practice theory. This process is customarily referred to as diagnosis and treatment. applied science or practice. The principles of diagnosis and of treatment constitute the principles of practice. success corroborating the diagnosis. Greenwood states: ³The diagnostic and treatment typologies are employed together. the object of which is knowledge to solve practical. or practice. the treatment typology allows the practitioner to know what remedial efforts to apply to correct the problem. The diagnostic typology allows the practitioner to know what category of situation he or she has examined.
8: Composition of Applied Behavioural Science Organization development is both a result of applied behavioural science and a. Taken collectively. 6. and research leading to social action« This by no means implies that the research needed is in any respect less scientific or "lower" than what would be required for pure science in the field of social events. and action planning based on the data.´ Concluding Comments: These foundations of organization development form the theoretical and practice underpinnings of the field. the two top in puts. form of applied behavioural science. represent contributions from applied science. Action research is especially well-suited for planned change programs. Action research is a method that combines learning and doing ± learning about the dynamics of organizational change. and doing or implementing change efforts. Action research involves three processes: data collection. 6.Fig. It is a type of action-research.9 Action Research The action research model ± a data-based. The two bottom inputs. Self Assessment Questions . I am inclined to hold the opposite to be true. represent contributions from pure or basic science. who developed the concept of action research. problem-solving method that replicates the steps involved in the scientific method of inquiry underlies most OD activities. Kurt Lewin. Taken separately. practice research and practice theory. each is a powerful conceptual tool for thinking out and implementing change. 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. behavioural science research and two behavioural science theory. feedback of the data to the client system members. it is a program of applying behavioural science to organizations. they constitute the beginning of a theory of organization development and change that has enormous potential for improving organizational performance and individual development. perhaps more accurately.
What are the features of systems theory of organizational development? 5.´ 5. ±±±±±±±±±± gave the model ³Beyond the Quick Fix´. In parallel learning structures members have to think and behave in ways that are different from the normal roles and rules of the organization. The Burke-Litwin model emphasized on first-order and second-order change.1. 6.´ Comment on this statement. 2. 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. Explain Kurt Lewin¶s models and theories of planned organizational change. ³Work teams are building blocks of organizational development.11 Terminal Questions 1. 3. 3.12 Answers to SAQs and TQs SAQs: 1. 2. 6. Ralph Kilmann specified the critical leverage points for organizational change. What are first-order and second order change according to Burke-Litwin Model of organizational change? Explain.10 Summary The foundations of organizational development form the theoretical and practice underpinnings of the field. Transactional change . 4. ±±±±±±±±±± means moving to new level of behaviour. Action research model combines learning and doing. A _____________ is defined as ³a set of elements standing in interaction. Bring out the essence of ³managing beyond the quick fix´ model of organizational development. Ralph Kilmann 3. which in turn lead to individual and organizational improvements is the principle of Porras and Robertson model organizational change. Unfreezing 2. 4. 6. First²order change is also called ___________. Systems theory views organizations as open systems in active exchange with their environment. _____________ means sum of the efforts of team members is far greater than the sum of individual efforts of members. 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.
1 2. Refer section 6. 7.4 Organization Culture and Effectiveness 7.4. System 5. Synergy Answers to TQs: 1.2 Characteristics of Organization Culture 7.2. MU0002-Unit-07-Organization Culture and Climate Unit-07-Organization Culture and Climate Structure: 7.2 3.5 Developing and changing Organization Culture Self Assessment Questions 7.2.5 Copyright © 2009 SMU Powered by Sikkim Manipal University .3 5.3 4.2. Refer section 6.Refer section 6.3 Types of Organization Culture. Refer section 6.1 Introduction Objectives 7.6 Summary . Refer section 6.
Norms. Members of an organization soon come to sense the particular culture of an organization. 2. 1986). they use common language. including guidelines on how much work to do. discovered.8 Answers to SAQs and TQs 7. · Discuss about developing and changing organization culture. for-profit corporation is quite different than that of a hospital which is quite different than that of a university. Which in many organizations come down to ³Do not do too much.7. You can tell the culture of an organization by looking at the arrangement of furniture. · Describe different types of Organization Culture · Explain organization culture and effectiveness. When organizational participants interact with one another. thinking. despite the best-laid plans. norms and tangible signs (artifacts) of organization members and their behaviors. what they brag about. you will be able to: · Understand Organization Culture.1 Introduction Basically. terminology. Comprehensively organization culture is the pattern of basic assumptions that is invented. and rituals related to deference and demeanor. or developed by an organization as it learns to cope with its problems of external adaptation and internal integration. Objectives: After studying this unit. The concept of culture is particularly important when attempting to manage organization-wide change. Culture is one of those terms that¶s difficult to express distinctly. do not do too little?´ . 7. ± similar to what you can use to get a feeling about someone¶s personality. Observed behavioral regularities. and validated enough to be taught to new members as the correct ways of perceiving. Practitioners are coming to realize that. etc. and feeling in relation to these problems (Schein.7 Terminal Questions 7. what members wear. For example. Martin and Meyerson. Standards of behavior exist. but everyone knows it when they sense it. organizational culture is the personality of the organization. the culture of a large. values. Some of the most readily agreed upon are the following: 1. Culture is comprised of the assumptions. but also changing the corporate culture as well.2 Characteristics of Organization Culture Organizational culture has a number of important characteristics. organizational change must include not only changing structures and processes.
6. and the way members of the organization conduct themselves with customers or other outsiders.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. New-comers must learn those ³ropes´ in order to be accepted as full-fledged members of the group. They often have well-defined policies. Rather than strict rules and procedures. Low absenteeism and high efficiency. Note that the Market organization is not one which is focused just on marketing. For many years. but one where all transactions. the way participants interact. 4. Transactions are exchanges of value. Philosophy: These are policies that set forth the organization¶s beliefs about how employees and/or customers are to be treated. internal and external are viewed in market terms. and in particular taking note of transaction cost. Dominate value: These are major values that the organization advocates and expects the participants to share. In an efficient market organization. clans often have flat organizations and people and teams act more autonomousl. outputs and outcomes. this was considered the only effective way of organizing and is still a basic element of the vast majority of organizations. Hierarchical leaders are typically coordinators and organizers who keep a close eye on what is happening. In contrast to Hierarchies. Leaders in market cultures are often hard-driving competitors who seek always to deliver the goods. shared goals. It has an inward focus and a sense of family and people work well together. . processes and procedures. Rules: There are strict guidelines related to getting along in the organization. Typical examples are high product quality. Market The Market organization also seeks control but does so by looking outward. 5. Market cultures are outward looking.3. people are driven through vision. Clan The Clan organization has less focus on structure and control and a greater concern for flexibility. are particularly driven by results and are often very competitive. Hierarchies have respect for position and power. 7. value flows between people and stakeholders with minimal cost and delay. Organizational climate: This is an overall ³feeling´ that is conveyed by the physical layout.
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. · The observable behavior of its members (the way they talk. thinking. symbols. Rules. systems and subsystems. norms.4 Organization Culture and Effectiveness It is reflected in how things are done (Flanagan. Clan leaders act in a facilitative. invisible to the naked eye. It will use prototyping and experimenting rather than long. or developed by an organization as it learns to cope with its problems of external adaptation and internal integration. but critical to shaping its behavior. and validated enough to be taught to new members as the correct ways of perceiving. etc. rules. 7. big-bang projects and development. In biological terms. although not necessarily documented. innovative entrepreneurs who take calculated risks to make significant gains. . · Its rituals. plaques. the way they dress etc. which is necessary in a rapidly changing business climate. and procedures. 1986). Leaders in an adhocracy are visionary. Adhocracy The Adhocracy has even greater independence and flexibility than the Clan. the adhocracy will rapidly form teams to face new challenges. 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). affecting the performance of every-one within the culture in positive or negative ways. Comprehensively organization culture is the pattern of basic assumptions that is invented. culture is like the DNA of an organization. Artifacts: The visible manifestations of culture as seen in the physical and social environment of the organization such as: · Its structure. and feeling in relation to these problems (Schein. discovered. The set of basic assumptions evolve into values artifacts and norms in terms of which an organization culture may be examined and understood. supportive way and may take on a parental role. the jargon they use. 1993). Where market success goes to those with greatest speed and adaptability. Martin and Meyerson. do still exist and are often communicated and inculcated socially. · Public documents it releases and media reports and stories about it.strongly driven by loyalty to one another and the shared cause. 1995) and how problems are solved in an organization.
and what is right and what is wrong. and behaviour. and are generally not compromised for short-term benefits or financial gains.Values: These are the social principles. Though an organization espouses a series of values. IBM norms dictate that employees should actively listen and respond to customer demands and complaints. individually and collectively. there are numerous variables. . These are the essential and enduring tenets of an organization. believing. Organization Effectiveness Organizational effectiveness. is defined and conceptualized in different ways. Though each individual¶s effectiveness is significant but perhaps the most important aspect of effectiveness is its relationship to the entire organization. decisions. Identifying. organizational growth. goals. productivity. there is often contradiction in various approaches. 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. also called as organizational success or growth. its core value are limited to a few in number. from the basis of its policies and action. communicating. various terms such as efficiency. the personality of the organization). and doing. These causal variables include only those independent variables which can be altered or changed by the organization and its management. are often used interchangeably. They are reflected in the core capabilities of a company. For example.the informal rules of the fame telling employees what they are supposed to be saying. The various approaches are judgmental and open to question. These variables have been classified by Likert into three groups-causal. Likert states that causal variables are independent variables which determine the course of developments within an organization and the results achieved by the organization. the organizational analysis is incomplete for a practicing manager unless the factors underlying effectiveness are identifying. Causal variables include the structure of the organization and its management. Though a large volume of literature is available on the concept and working of organizational effectiveness. business and leadership strategies. reflecting what is important in the organization and determining how the organization ought to be (the ethos.which are useful in discussing organizational effectiveness over time. intervening and end result. profitability. to denote organizational effectiveness. Causal Variables: Causal variables are those factors that influence the course of development within an organization and its results or accomplishment. Grouping variables into these categories aids greatly in the correct interpretation of the data and their use for diagnostic and other purposes. Whatever the criteria adopted for organizational effectiveness. and no unanimity is found in different approaches. 1. From this point of view. or standards held by members of an organization. Values evolve out of the basic assumption and form the core (or heart) of the culture. Thus. Causal variables include the structure of the organization and management¶s policies. skills.
At this point. and earnings.g. 3. the loyalties. 4. costs. 2.5 Developing and Changing Organization Culture How Organizational Cultures Start Although organizational cultures can develop in a number of different ways. scrap loss. all in this core group believe that the idea is a good one. end-result variables are the dependent variables which reflect the achievements in the organization such as its productivity. if the appropriate organization culture is in place. The founder brings in one or more other key people and creates a core group that shares a common vision with the founder. That is. performance goals. obtaining patents. then such rapid change can be welcomed and accommodated with as little disruption and as few problems as possible. The founding core group beings to act in concert to create an organization by raising funds. and decision-making. and perceptions of all members and their collective capacity for effective interaction. communication. This is one part of effectiveness that many managers overlook because it emphasis long-term potential as well as short-term performance. is workable. The intervening variables may be divided into two broad categories: (i) the intervening attitudinal. building. A single person (founder) has an idea for a new enterprise. For example. 7. e. However. 3. Changing Organizational Culture Sometimes an organization determines that its culture has to be changed.2. New product development and information technology is changing so rapidly that any example would be soon out-of ±date. Intervening variables are concerned with building and developing the organization. and energy that will be required. and is worth the investment of time. Likert states that the intervening variables reflect the internal state and health of the organization. locating space. motivations. and perceptual cluster. and so on. the process usually involves some version of the following steps: 1. the current environmental context has undergone drastic change and either the organization must adapt to these new conditions or it may not survive. is worth running some risks for. Intervening Variables: Intervening variables are those factors which are reflected as the internal state of organization. and they tend to be longterm goals. . 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. motivational. money. others are brought into the organization.. incorporating. attitudes. and (ii) the intervening behavioral cluster. and a common history begins to be built. Many of these variables are caused by causal variables. According to Likert.
2. organizational cultures can be managed and changed over time. Predictable obstacles include entrenched skills. 3. 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?. Structure. Expect to have some problems and find people who would rather move than change with the culture and. powerful stakeholders such as unions. Make changes from the top down. roles. Assess the current culture. These factors from the two cultures include the size. 1. Recruit outside personnel with industry experience. 4. 2. Staffs. commitment. This attempt to change culture can take many different forms. These emotions will be a major input into the clash or compatibility of the two cultures. Guidelines for change Despite the significant barriers and resistance to change. the industry in which the partners come from and now reside. relationships. Politics. habits. 7. and how this plays out among the partners will be important to cultural compatibility. and history of two firms. and structures that work together to reinforce traditional cultural patterns. so that a consistent message is delivered from all management team members. if possible. In addition. Emotions. 6.Even through some firms have had a culture in place to anticipate change. attitudes. Take out all trappings that remind the personnel of the previous culture. 5. Include employees in the culture change process. and patterns of daily behavior. the geographic location. take these losses early. Simple guidelines such as the following can be helpful. Set realistic goals that impact on the bottom line. and whether products and/or services are involved. . age. 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. the ³culture contract´ that individuals have bought into to guide their day-to-day thoughts. The personal feelings. management. 3. so that they are able to interact well with the organizational personnel. or even customers may support the existing culture. Where does the power and managerial decision making really reside? Corporate cultures range from autocratic extremes to total employee empowerment. especially when making changes in rules and processes.
Organizations to be successful must be efficient and effective. intervening variables and end-result variables and there exists interrelationship among these variables. 2. ________cultures are outward looking. Causal variables Answers to TQs: . 3. Explain the characteristics of organization culture. Artifacts 2. ___________are those factors that influence the course of development within an organization and its results or accomplishment. 7. Market 3. _____are the visible manifestations of culture as seen in the physical and social environment of the organization. 9. Self Assessment Questions 1.7 Terminal Questions 1. Move quickly and decisively to build momentum and to defuse resistance to the new culture.8 Answers to SAQs and TQs SAQs: 1. Organizational effectiveness can be measured through various approaches. 2. 7. effectiveness through adaptive-coping cycle has been discussed. 7. Factors in organizational effectiveness include casual variables. Effectiveness of an organization can be increased through economic man approach and administrative man approach. and strategic constituencies approach.goal approach.8. Stay the course by being persistent. 3.6 Summary Organizational effectiveness is the degree to which organization is successful in accomplishing its goals. Finally. Briefly explain different types of organizational culture. Discuss the development and change of organizational development. system-resource approach. are particularly driven by results and are often very competitive. behavioural approach.
Refer section 7.5 Organizational Politics Defined and Explored 8.10 Terminal Questions .3 3.2 2. Politics and Organization Development Unit-08.4 Theories about the Sources of Social Power 8.Power. MU0002-Unit-08. Refer section 7.3 Two Faces of Power 8.7 Operating in a Political Environment 8.1.2 Power Defined and Explored 8.9 Summary 8.1 Introduction Objectives 8.6 The Role of Power and Politics in the Practice of OD 8. Politics and Organization Development Structure: 8.Power.5 Copyright © 2009 SMU Powered by Sikkim Manipal University . Refer section 7.8 Acquiring and using Power Skills Self Assessment Questions 8.
power must be exercised." "Power is defined in this unit simply as the capacity to effect (or affect) organizational outcomes. In this unit.2 Power Defined and Explored "Power is the intentional influence over the beliefs.8. · Explain the role of power and politics in the practice of OD. Recent years have seen a sizable outpouring of theory and research on power and politics from which OD practitioners have derived implications and applications for the field but we are still in the early stages of knowing how power and organization development should be related. The OD practitioner needs both knowledge and skill in the arenas of organizational power and politics. and for change to occur in an organization. you will be able to: · Define power and politics in organizations.´ ³A has power over B to the extent that he can get B to do something that B would otherwise not do. emotions.1 Introduction Power and politics.actions and the decisions that precede them. 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. and behaviours of people. but kinetic power is the act of doing so. indisputable facts of organizational life. must be understood if one is to be effective in organizations.11 Answers to SAQs and TQs 8. we examine power and politics in relation to organization development.¶ To have power is to be able to get desired things done. The French word µpouvoir¶ stands for both the noun µpower¶ and the verb µto be able.´ Organization development has been criticized for not taking into account power in organizations. That criticism was essentially correct for many years although it is less valid today. · Acquire skills to handle power and politics in organizations. Potential power is the capacity to do so. Objectives: After this studying this unit. One goal of this unit is to advance our understanding of the role of power in OD and the role of OD in a power setting. to effect outcomes." . As Warner Burke observes: "Organization development signifies change." ³Power is the ability of those who possess power to bring about the outcomes they desire. 8.
The phenomenon of power is ubiquitous. coercing-these are examples of negative uses of power.3 Two Faces of Power David McClelland proposed an important distinction when he identified "two faces of power" ± positive and negative. the necessity of social interaction between two or more parties. not the possession of power as such. humankind would not have much of the misery it does today. for organizations to function. This positive face of power enables others to reach their goals as well as lets the person exercising power reach his or her goals. the positive face of power seeks to empower self and others. 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. persuading-these are examples of positive uses of power. financial. 8. Without influence (power) people would have no cooperation and no society. We therefore define interpersonal power as the ability to get one¶s way in a social situation. bestowed. We think this distinction provides a good insight into the concept of power. both positive and negative. technological. power being the predominant mode. McClelland observed that while power has a negative connotation for most people. Roberts came to a similar conclusion in her study of "collective power" and "competitive power." Her research in four organizations showed both kinds of power. with collective." A moment¶s reflection. The negative face of power seeks to dominate and control others. however. and outcomes favoring one party over the other. influence. and organizational activities. It is especially salient in coordinated activities such as those found in organizations. or acquired? In this unit. influencing. or positive. hurting. In fact. spiritual. confiscation. The positive face of power is characterized by a socialized need to initiate. the act or ability of influencing others.4 Theories about the Sources of Social Power Power exists in virtually all social situations. political. Without leadership (power) directed toward warfare. Crushing. Power per se is probably neither good nor bad although Lord Acton observed that "power tends to corrupt. we will examine four different views about who gets power and how: · Emerson¶s "Power-Dependence theory. and lead. unsocialized need to dominate others. it is through the use of power that things get done in the world. How do some people come to possess power? How is power generated. suggests that many problems with power stem from the goals of persons with power and the means they use. In most organizations the positive face of power is much more prevalent than the negative face of power." . Without leadership (power) in medical. absolute power corrupts absolutely. being exercised.Analyzing these definitions shows some common elements: effectance-getting one¶s way. humankind would not have the standard of living it does today. Power-in-action may take many forms. forcing. According to him. an authority or power dimension is required. the negative face of power is characterized by a primitive. Leading. and repression. 8. selling.
we will continue the exchange relationship. 3. Closely related to these ideas is the classic statement by John R. Power-dependence theory states that power is inherent in any social relationship in which one person is dependent on another. information." · Mintzberg¶s Observations on the Genesis of Power in Organizations. we will terminate or alter the relationship. 2. rejection. 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. Social interaction represents an exchange of social goods and services. attraction." These authors suggested five sources. hate. blame. to give something negatively valued by the other. or bases. 5. giving someone power over us is the commodity we exchange when we are dependent on that person for something we want. Power-dependence theory is related to a broader framework of social interaction called social exchange theory. Referent power ± power based on the power-receiver having an identification with (attraction to. when the net balance for us is negative. to give something valued by the other. or feeling of oneness with) the power holder. 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. . influence. and desired by the other. that person has power over us. of social power as follows: 1. respect. 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." In other words. and so forth.· French and Raven¶s "Bases of Social Power. 4. Coercive power ± power based on the ability of the powerholder to punish another. that is." · Salancik and Pfeffer¶s "Strategic-Contingency Model of Power. that is. which posits that what goes on between persons is an exchange of social commodities: love. power. if a person has something we want badly and we cannot get it any other place. Reward power ± power based on the ability of the powerholder to reward another. P. The sociologist. French and Bertram Raven on "the bases of social power. Expert power ± power based on the powerholder possessing expert knowledge or expertise needed by the other. Viewed in this light. Informational power is a form of expert power where the powerholder possesses important facts or information needed by the other. When the net balance for us is positive. rewards) that are controlled by one party. goals. praise. and (2) inversely proportional to the availability of those goals to A outside of the A-B relation. The components of this theory are a social relation between two parties and resources (commodities.
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.
Success leads to credibility and stature. acceptability. Group support: If the OD group is strong internally. Rule One: Become a desired commodity. organization development practitioners operate from a potentially strong power base they can use to advantage. 5. What advice is available for OD practitioners who want to operate more effectively in a political environment? Several rules of thumb are implied by the fact that power accrues to persons who control valued resources or commodities. the OD consultant possesses power from the following bases: legitimate power (the OD program and consultant are authorized by the organization¶s decision makers). Michael Beer has identified additional means by which an OD group can gain and wield power in organizations: 1. preferably multiple sponsorship. Sponsorship: "Organization development groups will gain power to the extent that they have sponsorship. and ability to gain organizational support. Stature and credibility: Beer notes that power accrues to those who have been successful and effective. it will gain more power. Skills such as listening." 4. 2. . it will be strong externally. Early success in the OD program and its usefulness to key managers of the organization helps promote this reputation. If the OD group is cohesive and free of internal dissention. and expertise.7 Operating in a Political Environment We will present some general observations on operating in a political environment. in powerful places. Resource management: Power accrues to those who control resources-in this case.8. communicating. and possibly referent power (others may identify with and be attracted to the consultant). First. followed by some rules of thumb for the OD practitioner. expert power (the consultant possesses expert knowledge). problem solving. OD practitioners are likely to have high interpersonal competence by virtue of their training. Competence: Demonstrated competence is the most important source of power. informational power (the consultant has a wealth of information about the strengths and weaknesses of the organization). 3. Becoming a desired commodity as a person means being interpersonally competent and trustworthy. These sources of influence produce a substantial power base that will enhance the likelihood of success. experience. coaching. 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."34 This maxim has been recognized for years under the heading of "get top-level support for the program. Paying attention to these sources of power will enhance the likelihood of success of OD programs. both as a person and as a professional. According to the framework of French and Raven. 6. the resources of OD expertise and ability to help organizational subunits solve their pressing problems.
OD professionals who are skilled in conflict management techniques and OD programs that encompass conflict resolution activities become valued commodities. The preceding rules of thumb describe ways to increase or solidify one¶s power base. it gains an aura of respect and protection that sets it above most political entanglements. A valuable byproduct of this fact is that if the program runs into political turbulence. Rule Two: Make the OD program itself a desired commodity. The OD program belongs to the manager. The principle is simple but powerful: know your legitimate business and stick to it. Beer and Walton argue that organization development should move from being practitioner centered to being managercentered. OD consultants have a formal or informal contractual agreement with managers to help them do what they are trying to do-better. Rule Three: Make the OD program a valued commodity for multiple powerful people in the organization. and effective conflict management techniques are required to enhance stable. Many OD interventions promote win-win solutions for conflict situations. Another way the OD program becomes a desired commodity is by focusing on important issues. . Abiding by this rule keeps the consultant from becoming entangled in politics. the manager will vigorously defend it. OD programs should be results-oriented. and showing appreciation for the strengths of others are components of interpersonal competence. 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. When the OD program serves the needs of top executives. constructive social relationships. 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. not by getting involved in the answers.counseling. Rule Five: Mind your own business. which is to be an expert on process. while at the same time increasing his or her usefulness to the organization¶s powerholders. usually managers. not the OD consultant. The role of the OD consultant is to help others upon request. Rule Six: Mind your own business. The following rules describe ways to avoid becoming involved in one¶s own or in others¶ political struggles. Rule Four: Create win-win solutions. The nature of organizations and the nature of organization development suggest this rule. not content. which is to help someone else solve his or her major problems. Organizations are social systems in which members have both a history and a future of interacting. Each is derived from one general principle: Mind your own business. Sometimes OD practitioners overlook that they are hired by others. OD programs become desired commodities when they are instruments that allow individuals and organizations to reach their goals. to help them achieve their goals and solve their problems. those issues vital to the organization¶s success. Good OD practitioners will have learned and practiced these skills.
and educator. viable. A subtle phenomenon is involved here: when people engage in illegitimate behavior." "using social networks." which arouses defensive actions. Table 8.1: 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 . but that does not mean practitioners must be naive or incompetent in the political arena. 8.Rule Seven: Mind your own business because to do otherwise is to invite political trouble. thereby greatly expanding practitioner influence. and using contacts for information. not power activist or power broker. others¶ support. Earlier we stated that the OD practitioner should learn as much as possible about bargaining. Networking is recognized as a potent. As shown in the figure. We believe the legitimate role of the OD practitioner is that of facilitator. and the characteristics and behaviors of powerholders." OD practitioners have typically pursued a "playing it straight" strategy as their sole means of exerting power. One carries out such a strategy by participating in alliances and coalitions. and personality characteristics. We could propose more rules of thumb. Three successful power strategies are "playing it straight. catalyst. negotiations the nature of power and politics. Illegitimate behavior causes others to try to exert greater control over the situation. the strategy and tactics of influence. problem solver. dealing directly with powerholders and decision makers. such behavior is often interpreted as politically motivated.8 Acquiring and Using Power Skills The OD practitioner is neither power activist nor power broker. but these give the flavor of the issues one must consider when operating in a political environment. Illegitimate behavior encroaches on others¶ legitimate "turf. The authors propose adding the "using social networks" strategy to their repertoires. yet legitimate means of acquiring power." and "going around the formal system. individual power derives from knowledge. Attention to these rules can save OD practitioners time and energy that can be more profitably invested in the OD program.
a person¶s power comes from two main sources. personal power and position power. visibility-how much one¶s work is seen by influential people. (Legitimacy refers to abiding by and promoting the values of the organization. Networks are critical to effective performance for one compelling reason: Except for routine jobs. even those of little power. 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. Personal 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. personal attraction. 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´. which in turn will protect the interests of all concerned.) Position power derives from five sources: Centrality-access to information in a communication network. criticality-how important one¶s job is flexibility-the amount of discretion in the job. influence key powerholders to accept the OD program. ³One of the most important ways of gaining power in an organization is by establishing a broad network of task and interpersonal relationships.Personality y y y Going Around Formal System · Work around roadblocks · (Don¶t) use organization rules Charisma Reputation Professional credibility Finally. In this model. then utilize a facilitative OD process in which the powerholders work on strategic business issues using consensus decision making to develop a corporate strategy. effort. The power structure will realize that collaborative power is preferable to manipulation and deception. Whetton and Cameron¶s model is shown in following figure. . and legitimacy. This practical. and relevance-how important one¶s task is in relation to organizational priorities. arises from expertise. no one has the necessary information and resources to accomplish what¶s expected of them. in turn. how-to book on power and organization development is well worth studying. Indeed.
Retribution refers to coercion and threats. They write: "Influence entails actually securing the consent of others to work with you in accomplishing an objective. and retribution." Three things are involved in converting power into influence: (1) resisting other people¶s inappropriate influence attempts. According to these authors. Methods for empowering others are the following: (1) involve subordinates in assigning work. Usually reason is the preferred strategy. Reciprocity refers to exchange of favors. "Power is converted into influence when the target individual consents to behave according to the desires of the power holder. (4) express confidence (5) foster initiative and responsibility.1: Model of Power and Influence Networking is used to increase both personal power and position power. collaborative work environment. arise from known conditions. Having power is one thing. Our suggestions for . Power and politics are similar in nature. Concluding Comments: In this unit. power-in-use is called influence. Reason refers to persuasion by facts. Whetton and Cameron suggest several means of resisting others¶ influence attempts such as confrontation and using countervailing power. 8.Fig. and (6) build on success. Three influence strategies can be used to influence others-reason. (2) selecting the proper influence strategy. (3) reward and encourage others in visible and personal ways. and are amenable to positive control. and (3) empowering others." And. and reciprocity can be useful when reason fails. we have examined power and politics with the goals of understanding the phenomena and deriving implications for OD practitioners. (2) provide a positive. actually using it to get things done is another. reciprocity. Retribution is not recommended except in unusual cases.
Referent power 4. and how. Explain the role of power and politics in the practice of OD. 3. Harold Lasswell . 5. and are amenable to positive control. when. _____________ has identified two faces of power. units or departments is most important in solving organizational problems. arise from known conditions. Define power in an organizational context and explain types of power. 2. Power can be either positive or negative. Organizational politics is defined as the study of who gets what. emotions or behaviour of people.10 Terminal Questions 1.9 Summary Power and politics are inseparable facts of organizational life. 8. The OD practitioner needs both knowledge and skill in the arenas of organizational power and politics. reputation and professional credibility. ±±±±±±±± defined politics as the study of who gets what. Organizational power is the ability of those who possess power to bring about the outcomes they desire. ±±±±±±±±±± is made up of Charisma. Define organization politics. 8. Power based on the power-receiver having identification with the power holder is called ±±±± ±±±±±±±. ±±±±±± is the intentional influence over the beliefs. Power-dependence theory states that power is inherent in any social relationship in which one person is dependent on another. McClelland 3. Power 2. 8. Self Assessment Questions 1. 4. 2. Strategic-contingency model of power asserts that power that accrues to the individuals. Describe briefly various theories of power.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. when and how. 4.11 Answers to SAQs and TQs SAQs: 1. 5. Identify the bases of individual power and the respective strategies for their success.. Organizational politics involve intentional acts of influence to enhance or protect the self-interest of individuals or groups. 3. Power and politics are similar in nature.
2 Meaning and Definitions 9.5 4.4 Management By Objectives 9. Personality Answers to TQs: 1.2 2. Refer section 8.Refer section 8.4 3. Refer section 8.8 Copyright © 2009 SMU Powered by Sikkim Manipal University .6 Quality of Work Life Projects .5 Quality Circles 9. MU0002-Unit-09-Structural Interventions and Applicability of Organization Development Unit-09-Structural Interventions and Applicability of Organization Development Structure: 9.6 5. Refer section 8.5.1 Introduction Objectives 9. Refer section 8.3 Socio Technical Systems 9.
organizational problems may repeat. 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.10 Summary 9.9. .12 Answers to SAQs and TQs 9. Nothing is permanent except change because change is permanently changing. · Explain Reengineering. These programs are derived from careful diagnosis. · Explain Total Quality Management. you will be able to: · Explain the Socio technical change.8 Total Quality Management 9. In this dynamic and fluid environment.7 Parallel Learning Structures 9.9 Reengineering Self Assessment Questions 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. Objectives: After studying this unit.11 Terminal Questions 9. actions. events intended to help an organization improve its performance and effectiveness. · Discuss the Management By Objectives · Explain the Quality Circles. These interventions vary from standardized program that have been developed and sometimes tailored program.1 Introduction Organizations are increasingly realizing the fact that change is the price of the survival. how to produce product or service which is related to Employee involvement approaches and how to design work is related to Work design. An organization development intervention is a sequence of activities. These methods are receiving increasing attention in Organization Development. · Discuss the parallel Learning Structures.
9. Cost is Low. 1976. a predictable cost Implementation of group strategies involves significant long-term man-hour and consultant costs. This normally is a reasonable. Managers and administrators are notoriously pragmatic. structural Interventions compare quite favorably with all other alternatives. Basic reinforcement theories. Succession Doesn¶t Destroy Change Effort. Advantages of Structural Interventions There are a number of reasons why a consultant should consider employing a structural intervention.3 Socio Technical Systems Socio-technical systems design is better suited to meet the requirements of a changing external environment in comparison with traditional designs. meaning the major costs are associated with analysis and design of change. Changes can involve decentralization and centralization. The cost of structural change is generally ³front-end´ loaded. Organization Acceptance of Change. Greater Predictability. In addition.2 Meaning and Definitions Structural Intervention is related to the changes that relate elements of organization to one another. their attractiveness is also increased by the following advantages: 1. includes removing or adding layers to hierarchy. It endeavors to re-design the organization¶s structure. From a benefit cost analysis. and more critically. Once diagnosed and an appropriate correction developed. and OD practice enables the change agent to estimate the probable consequences of the change. It could involve the following steps (Foster. change can be introduced relatively rapidly by top management. 1988): Determining the environmental demands Creating a vision statement Educating organizational members . processes and functions to create a balance between the organization and its changing external environment. organization theory. 1967. Structural changes are consistent with their operating styles and are generally understood by practitioners. Downsizing associated with restructuring. 5. Weeks and months of group effort are saved. 9. 2. 4. Pasmore. Structure changes are normally ³institutionalized´ and less subject to this problem. Rapidity of change. Cummings. 3. One problem with behavioral/ group interventions is the tendency for new managers or employees to discount or fail to continue the change program.
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. many business and nonbusiness organizations have adopted this in some form or the other. its definitional aspect. operational managerial process for the effective utilization of material. its features can be identified as follows: 1. though not strictly an OD intervention in the sense in which other interventions have been discussed so far. it has been defined as follows: MBO is a comprehensive managerial system that integrates many key managerial activities in a systematic manner.´ The integration of individual and organizational objectives through MBO has been emphasized by Chakravarty when he has defined MBO as follows: ³MBO is a result-centered.4 Management by Objectives Management by objectives (MBO). As an approach to management. MBO employs several techniques but it is not merely the sum total of all these techniques. On the other hand. Since then. It is a particular way of thinking about management.´ Based on the definition of MBO. Though there are some variations in the practices of MBO and. consciously directed towards the effective and efficient achievement of organizational objectives. Its basic idea has been derived from the concept of participative goal setting as a technique of OD. with objective orientation as its essence. and human resources of the organization by integrating the individual with organization and organization with the environment. non-specialist. MBO is likely to affect every management practice in the organization. is a technique and system which helps in improving organizational performance. MBO is bound to have some relationship with every management technique. therefore. A management technique can be applied in selected parts of the organization and will have limited implications for its other parts. In fact. often MBO provides the stimulus for the introduction of new techniques of . The term MBO was coined by Drucker in 1964 when he emphasized the concept of managing by results. physical. 2. MBO is an approach and philosophy to management and not merely a technique. Certain degree of overlapping is there.
Similarly. Therefore. Periodic review of performance is an important feature of MBO. its subsystems and people. Process of MBO MBO is a system for achieving organizational objectives. This process clarifies the role very sharply in terms of what one is expected to achieve. are determined on the basis of objectives. Objectives are established for all the levels of the organization. It emphasises initiative and active role by the manger who is responsible for achieving objectives.. What business are we in?´ and what should be our business?´ provide guidelines for the statement of purpose. It works as an integrating device. This is possible because MBO tries to match objectives and resources. all the units or departments and individual manager.management and enhances the relevance and utility of the existing ones. each manager takes active part in setting objectives for himself and also in evaluating his performance as to how he is performing. The review is future-oriented because it provides basis for planning and corrective actions. 3. superiors and subordinates. such as. Managers need training and experience for developing the required skills. ³why does the organization exist?´. The total management process revolves round the objectives set jointly by the superior and the subordinate. the clarity and balance of objectives. Usually the objective setting starts at the top level of the organization and moves downward to the lowest managerial levels. 6. in interaction with external factors. MBO is also concerned with determining what these results and resources should be. Objectives in MBO provide guidelines for appropriate system and procedures. Setting of Organizational Purpose and Objectives: The first step in MBO is the definition of organizational purpose and objectives. Therefore. 4. delegation of authority. Questions. Objectives provide the means for integrating the organization with its environment. MBO is the joint application of a number of principles and techniques. This. Whereas the various techniques of management help in measurement of results in resources. enhancement of employee commitment and participation. Therefore. (ii) long-range . This will go in a sequence like this (i) defining the purpose of the organization. and participation of the managers with accountability for results. The MBO process is not as simple as it appears to be. including the corporate level. The MBO is characterized by the participation of concerned managers in objective setting and performance reviews. 1. reward and punishment system is attached with the achievement of the objectives. 5. The MBO process is characterized by the emphasis on the rigorous analysis. its process should facilitate translation of basic concepts into management practice. The basic emphasis of MBO is on objectives. managers have the opportunities for clarifying their job relationships with peers. (iii) what should be the degree of vertical integration and so on. The performance review is held regularly. 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. etc. Resource allocation. normally once a year.
a superior manager is better able to set the need and economy of allocating resources. Thereafter. there should be matching between objectives and resources. If not. (ii) market standing. this gap narrows because of narrowing down of perception of superior and subordinate about what can be done at a particular level. they also indicate the resource requirement. a superior manger is better able to see the need and economy of allocating resources. 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. In fact. what are the problems and how these problems can be overcome? Appraisal is undertaken as an ongoing process with a view to find out deficiency in the working and also to remove it promptly. the achievement in a particular KRA also provides the impetus for a new KRA in future. . 5. (vi) financial and physical resources. Setting Subordinates¶ Objectives: The organizational objectives are achieved through individuals. Therefore. the final objectives for the subordinate are set by the mutual negotiation between superior and subordinate. Every manager in the managerial hierarchy is both superior and subordinate except the person at the top level and lowest level. The allocation and movement of resources should be done in consultation with the subordinate manager. with the experience gained over the period of time. KRAs also indicate the present state of an organization¶s health and the top management perspective for the future. The process of objective setting begins with superior¶s proposed recommendations for his subordinate¶s objectives. 2. (v) worker performance. the list of KRAs gets considerably changed over the period in response to new needs and opportunities.and strategic objectives. and (viii) public responsibility. 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. Key Result Areas: Organizational objective and planning premises together provide the basis for the identification of key result areas (KRAs). Sometimes. (iii) innovation. resource availability becomes an important aspect of objective setting because it is the proper application of resources which ensures objective achievement. there is a series of superior and subordinate relationships. However. (vii) manager performance. Therefore. (iv) divisional/departmental/sectional objectives. In turn. (v) individual manager¶s objectives. Even though KRAs are most durable. (iii) short-term organizational objectives. It may be emphasized that KRAs are derived from the expectations of various stakeholders and indicate the priorities for organizational performance. It is not taken merely to punish the non-performer or to reward the performer. Examples of KRAs applicable to most of the business organizations are (i) profitability. (iv) productivity. By relating these to objectives. each individual manager must know in advance what he is expected to achieve. Matching Resources with Objectives: When objectives are set carefully. By relating these to objectives. the subordinate states his own objectives as perceived by him. In the beginning of MBO process in an organization. Therefore. Appraisal: Appraisal aspect of MBO tries to measure whether the subordinate is achieving his objective or not. 3. 4.
at the Tavistcock Institute of Human Relations in London. what happens at each level may affect other levels also. 9. quality groups are often compulsory and organized around specific work teams. and · Then monitor the resulting change efforts. or in people¶s heads) and distributing it to the people who need it in a timely and efficient way. Some organizations have even gone as far as setting targets for the number of suggestions quality groups are expected to come up with. it is used as an input for recycling objectives and other actions. . this approach looked both at technical and human sides of organizations and how they are interrelated. each having three to fifteen members. · Make recommendations for improvement. The most distinguishing feature of QWL program is the development of self-managing work groups which consist of multi-skilled workers. Objective setting is a joint process through interaction between superior and subordinate.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. information. 9. Objectives are neither set at the top and communicated to the bottom nor are they set at the bottom and go up. The original idea of quality circles involved small groups of volunteers meeting on a regular basis. Knowledge Management involves capturing the organization¶s collective expertise wherever it resides (in databases.Quality circle represents a participative approach to employee involvement in problem solving and productivity improvement.6 Quality of Work Life Based on the research of Eric Trist et al. QWL programs. 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. Groups representing various levels and functions work to open new channels of communication outside of and parallel to the normal. on paper. but in its contemporary form. Quality circle program consists of several circles. It Consists of a steering committee and a number of working groups that: · Study what changes are needed in the organization. Therefore. Parallel Learning Structures may be a form of Knowledge Management. appropriate feedback and employee discretion. It consists of small group of employees who meet voluntarily to identify and solve productivity problems. require joint participation by union and management in the process of work-designing.5 Quality Circles Quality circle is one of the most popular methods in the USA which was originally developed in Japan in 1950s. Quality circle requires a managerial philosophy and culture that promotes sharing power. hierarchical structure. knowledge. 9. Recycling: Though appraisal is the last aspect of MBO process. which consequently result into high level of task variety. in general. and rewards.6.
including the use of quality circles. 9.9. A combination of a number of organization improvement techniques and approaches. · Top management support on an ongoing basis. and extensive use of employee participation. such as cost. · Competitive benchmarking. eliminating. It is very popular in USA in 1990s. self-managed teams and task forces. and speed.9 Reengineering It is the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical. · An emphasis on measurement using both statistical quality control and statistical process control techniques.8 Total Quality Management It is a long term effort that orients all of an organization¶s activities around the concept of quality. · Continuous search for sources of defects with a goal of eliminating them entirely. assumes neither an upward flow of involvement nor that consensus decision making. · An emphasis on teams and teamwork. contemporary measures of performance. It seeks to make such processes more efficient by combining. It is also called continuous quality improvement. · A major emphasis on continuous learning. Reengineering focuses on visualizing and streamlining any or all business processes in the organization. · Participative management. Reengineering is a top-down process. statistical quality control. · Daily operational use of the concept of internal customers. Features that characterize TQM: · Primary emphasis on customers. provides relevant information to all employees. ties reward to performance and increase workers knowledge and skills through extensive training. or restructuring activities without regard to present hierarchical or control procedures.TQM pushes decision making power downwards in the organization. quality. service. Self Assessment Questions . statistical process control.
2.1. From a benefit cost analysis. Discuss Socio Technical Systems? 2.11 Terminal Questions 1. Quality circle represents a participative approach to employee involvement in problem solving and productivity improvement. 9. events intended to help an organization improve its performance and effectiveness. actions. Intervention 2. __________ represents a participative approach to employee involvement in problem solving and productivity improvement. It is also called continuous quality improvement. TQM pushes decision making power downwards in the organization. There are a number of reasons why a consultant should consider employing a structural intervention. Drucker 3. The term MBO was coined by _________ in 1964. MBO is a comprehensive managerial system that integrates many key managerial activities in a systematic manner.12 Answers to SAQs and TQS SAQs: 1. Explain Management By Objectives? 4. What are the advantages of structural interventions? 3. Sociotechnical systems design is better suited to meet the requirements of a changing external environment in comparison with traditional designs. 9.10 Summary An organization development intervention is a sequence of activities. Write a short note on Total Quality Management. structural Interventions compare quite favorably with all other alternatives. ties reward to performance and increase workers knowledge and skills through extensive training. provides relevant information to all employees. 3. An organization development __________ is a sequence of activities. actions. events intended to help an organization improve its performance and effectiveness. 9. Quality circle Answers to TQs: . It consists of small group of employees who meet voluntarily to identify and solve productivity problems. consciously directed towards the effective and efficient achievement of organizational objectives.
2 Nature of Change 10. Refer section 9.7 Summary 10.6 Methods of Reducing Resistance to Change.1.5 Impact of Change on the Future Manager 10. Refer section 9.2 3.3 Resistance to Change 10.Refer section 9.4 Causes for Resistance to Change. Refer section 9.8 Copyright © 2009 SMU Powered by Sikkim Manipal University .5 4.1 Introduction Objectives 10.8 Terminal Questions 10. MU0002-Unit-10-Managing Change in Organization Development Unit-10-Managing Change in Organization Development Structure: 10.3 2. 10. Self Assessment Questions 10.9 Answers to SAQs and TQs .
biological.whether physical. it disturbs the old equilibrium necessitating the development of a new equilibrium. and initiate new change so as to overtake the competitors one the one hand and delight the customers on the other. and others. Objectives: After studying this unit. less. Newstrom and Davis have explained the impact of a change in any part of the organization on the total organization. 10. job design and people. some parts may be affected directly. others. organizational problems may repeat.10. may require special change efforts. 3. structural arrangement. some parts of organization may be affected more. the mangers and other employees must be able to practically anticipate the changes (planned and unprecedented). Thus.2 Nature of Change The term µchange¶ refers to an alteration in a system. or social.1 Introduction Organizations are increasingly realizing the fact that change is the price of the survival. indirectly. However. · Impact of change on future managers. Any change may effect the whole organization. They have illustrated it by comparing an organization to an air-filled . cope with the ongoing changes successfully in the first instance. The type of new equilibrium depends on the degree of change and its impact on the organization. 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. you will be able to: · Explain the meaning of organization change. When change occurs in any part of the organization. Organizational change is a continuous process. In this dynamic and fluid environment. and others. It implies a new equilibrium between different components of the organization ± technology. · Discuss the nature of change · Explain resistance to change and the factors which resist change. organizational change may have the following features: 1. 2. Thus. which are major ones. organizational change is the alteration of work environment in an organization. some changes which are of minor type may be absorbed by the existing equilibrium. Nothing is permanent except change because change is permanently changing. Hence. · State the methods of reducing resistance to change.
10. the organizational may not be able to introduce new phenomena in order to adapt environmental requirement. commented. Madhur Bajaj. One example of Bajaj Auto Limited is relevant here. In order to increase its manufacturing capacity of two-wheelers. so is the resistance to change. there are two sides of resistance. When change is minor and within the scope of correcting programme.´ Resistance as Benefit: . and its basic survival may be jeopardized. While managers as change agents want to bring changes in the organization. many organizations have been forced to abandon change programmes because of resistance to such programmes. This leads to general proposition that people and their social systems will often resist change in organizations.as cost and as benefit. In fact. Before we trace out the reasons for résistance to change. that is. Similarly.3 Resistance to Change In the management of change effectively. employees want to maintain a status quo. we find that the shape of the entire balloon has changed. if we look minutely. adjustment is fairly routine. the change in organization does not occur purely on mechanical relationship. Many companies have been forced to do so in the past. let us discuss whether resistance is always bad as it is generally perceived to be. ³The Pune plant is fully saturated.balloon. people act to establish a steady state of need fulfillment and to secure themselves from disturbance of that balance. In fact. fear of change can be as significantly disrupting as change itself. social systems tend to resist change because of homeostasis. it becomes indented at the point of contact. Homeostasis implies selfcorrecting characteristics of organism to maintain equilibrium as a result of change. People tend to resist many types of changes because new habits or sacrifices are required. However. it has stretched slightly. When a finger (which represents external force) is forced against a point on the balloon (which represents the organization). they have concluded that the whole organization tends to be affected by change in any part of it. like shifting of the manufacturing plants at new locations. or they have been forced to adopt alternative strategies. because it produces identical symptoms. We shall take new workers at the new place. Resistance as Cost: Since all changes have some cost. However. the managers face the problem of resistance to change. 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. We saw resistance to change at the existing plant. We wanted a new culture and new layout. Thus. In fact. On this phenomenon. If people resist to change. Managing Director of Bajaj Auto. but when a change is major or unusual. more serious upsets may occur. the contour of the balloon visibly changes. 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. Though this phenomenon will be taken later.
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.
3. Sunk cost cannot be only in terms of various physical things. an organization has to adapt to its environment but the adaptation has its own cost. For example. Sunk Cost: Most of the organizations have sunk cost involved in various assets. 2. innovative. broad environmental scanning. and has zeal for progress. 1. In such a case. If it is risk-taking. It depends more on the style of top management. Let us see what someone has said long back: ³There are three types of companies: those who make things happen. analyzers. Analyzers act sometimes as defenders and sometimes as prospectors. organization has to pay for his services though these may not be as useful. the organization may take change programmes much more frequently. and put less emphasis on environmental scanning. forward-looking. those who wonder what happened. the organization may enter into agreement with labour union about not bringing any technological change. 5. prospectors. They go on searching new products/markets on regular basis. Resource Limitations: No doubt. It an individual is not making commensurate contribution. it will require resources to procure machine. the organization has to take into consideration the wishes of other organizations too. if new technology is adopted. those who watch things happen. Now. For example. and reactors. . if any change is to be incorporated. 3.defenders. Defenders: These are the firms which penetrate in a narrow market product domain and guard it. Based on the aggressiveness which various companies show in changing themselves. In this interaction process. what will happen to these assets? Naturally. They emphasize more on cost-effectiveness. It is necessary too that other organizations also agree to the change proposal. it is not necessary that his services are done away with. and reserve some resources unutilized for future use. if the change is required. 4.´ This is the true reflection of difference between change-initiating companies and changeresisting companies. This can be in the form of people also. 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. it may not be possible for the organization to bring necessary change. centralized control. Thus. If the organization is not fully equipped for meeting such demands. Analyzers: Above two are the extreme cases of choice-making modes in between the analyzers and reactors. these can be used for specific period. Prospectors: These firms use broad planning approaches. and commensurate expenses on other items also. building and training for its personnel. intensive planning. decentralized controls. Inter-organizational Agreements: The organization interacts with its environment. it may enter into agreement with other organizations over certain aspects of working. Once the assets are acquired. Miles and Snow have classified them into four categories.
Life is complex enough. this tendency to respond in our accustomed ways becomes a source of resistance. threatening to go on strike. and so on. when you go to work or school. we all rely on habits. When Boeing announces its laying off 10.000 people or Ford introduces new robotic equipment. Organizational resistance . implicit. The same applies to employee. So when your department is moved to a new office building across town. Fear of the Unknown: Change substitute ambiguity and uncertainty for the known. Security: People who have a high need for security are likely to resist change because it threatens their feeling of safety. And people in general don¶t like the unknown. It is easiest for management to deal with resistance when it is overt and immediate. it means you¶re likely to have to change many habits: waking up 10 minutes earlier. As human beings. they cannot survive. some may fear they¶ll be unable to do so. especially when pay is closely tied to productivity.4. taking a new set of streets to work. many employees at these firms may fear that their jobs are in jeopardy. the introduction of a quality management program requires that production workers learn statistical process control techniques. develop a negative attitude towards quality management or behave dysfunctionally if required to use statistical techniques. or deferred. For instance. To cope with this complexity. they have to behave in one of the above three ways. If for example. Let¶s look at the sources of resistance. engaging in a work showdown. do you continually use the same route and streets? Probably if you¶re like most people. When we are confronted with change.4 Cause for Resistance to Change Resistance to change doesn¶t necessarily surface in standardized ways. 10. Resistance can be overt. you find a single route and you use it regularly. finding a new parking place. a change is proposed and employees quickly respond by voicing complaints. we don¶t need to consider the full range of options for the hundreds of decisions we have to make every day. adjusting to the new office layout. or programmed responses. Otherwise. Economic Factors: Another source of individual resistance is concern that changes will lower one¶s income. developing a new lunchtime routine. Reactors: These organizations realize that their specific environment is changing but fail to relate themselves with the changing environment. Therefore. Habit Every day. therefore. For analytical purpose. we¶ve categorized them by individual and organizational sources. 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. They may. or the like. immediate. we¶re creatures of habit.
The recent move by some companies to outsource many of their human resource activities ± such as training. For example. and benefits administration ± has been resisted by many human resource departments.Structural Inertia: Organizations have built-in mechanisms to produce stability. People from one functional department are placed on terms with people from other functional areas. the way in which companies are configured today is changing. 10.5 Impact of Change on Future Manager Organizations are changing nearly daily. One area of organizations that continues its metamorphosis is the design itself. But if union norms dictate resisting any unilateral change made by management. They tend to be content with the way things are. may be willing to accept changes in his job suggested by management. he¶s likely to resist. Will the change. You can¶t change one without affecting the others. for instance. Training and other socialization techniques reinforce specific role requirements and skills. Formalization provides job description. for instance. Group Inertia: Even if individuals want to change their behavior. Changing Skill Sets More organizations are utilizing cross functional teams. Thereat to Established Power Relationships: Any redistribution of decision-making authority can threaten long-established power relationship within the organization. Threat to Expertise: Changes in organizational patterns may threaten the expertise of specialized groups. the change in technology is not likely to be accepted. accountants work with marketers. That is. Threat to Established Resource Allocations: the groups in the organization that control sizable resources often see change as a threat. rules and procedures for employees to follow. For example. if management changes the technological processes without simultaneously modifying the organization¶s structure to match. These teams are comprised of people from various areas within the company. group norms may act as a constraint. 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. So limited changes in subsystems tend to get nullified by the larger system. Limited Focus of Change: Organization is made up of interdependent subsystems. The only constant in organizational life today appears to be the presence of continuous change. human resource people with engineers and finance individuals with operations employees. An individual union member. For example. the selection process systematically selects certain people in and certain people out. The . development of pay plans. Why? Because this outsourcing is a threat to the specialized skills held by people in HR departments. 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.
In many cases. 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. For this purpose. strategic directions for the company must be identified in light of these changes. managers must be more skilled at reading the environment and grasping the big picture. More fluid structures require that managers improve their strategic orientation. at the level of individual and at the level of group.´ The newer organizational structures use term problem solving. It implies explanation and then discussion of the proposed changes. the problems can be solved at the same level. Therefore. typically by way of computer network links. Involvement: Involvement is a process through which those who are affected by the change are brought to understand the change. Problem solving now involves the people who are experts in the issue ± not necessarily those in high positions in the organization. It includes finding out from the members how they interpret the proposed changes and what they think about them. the following efforts can be taken: 1. both at the formal and informal levels. the role of formal authority in implementing a change may not be effective all the times. This requires that managers think differently and teach employees to think differently.´ Problem of overcoming resistance to change can be handled at two levels. The fundamental idea in this process is to encourage the person to say something about any aspect of the change. Both these attempts are complementary and sometimes these efforts may be overlapping because every individual is a member of some of the groups. Locavini observes that ³the secret of real success is effective management of the emotional vulnerability that accompanies organizational change. through group dynamics. it can make effectively by managing resistance effectively.ultimate goal is to improve organizational performance by cutting production time or time to market. For example. However. In addition. Stephen Robbins suggests that ³«« managers in virtual structures spend most of their time coordinating and controlling external relations. the effect of the change may not be as functional as envisaged by the management. People always have some . even the impact of change may be dysfunctional if change is imposed upon the people by the use of formal authority.6 Methods of Reducing Resistance to Change One of the basic problems in managing change is to overcome people¶s resistance to change successfully. 10. Efforts at Individual Level A change is likely to affect some people in some way. rather should be looked upon as a dialogue which continues over a period of time. They need to be adept at reading the trends in the environment and then determining what they mean specifically for their own organization. this is not a one-time action. Unless this problem is overcome properly. that is. As organizations must be better equipped to respond to change in their external environment. When the resistance comes from the people at individual levels. It may affect only a few while others may not be affected.
most of the times. (ii) In group. Such educational process can be aided by training classes. An effective leader tries to time a change to fit the psychological needs of his followers. there may be some person who may communicate to the same group. but a transformational leader can use personal reasons for change without arousing resistance. Group dynamics offers some basic help in this regard. Obtaining Commitment: Commitment is an agreement to take an active part in the actual mechanics of the change. sometimes. This helps in creating receptive environment in the organization. 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. 4. For this purpose. The group contact offers some specific advantages: (i) Through groups. However. . the group itself should be the point of contact. Thus. the manager can form strategies for overcoming resistance in the following manner: 1. (iii) Group can get at the basic problem very rapidly as compared to a single individual. more than one person is involved in the change. Training and Psychological Counseling: The management can change the basic values of the people by training and psychological counseling. is an important trust-building task. The decision to commit oneself is a dynamic process. A manager as weak leader presents change on the basis of the impersonal requirements of the situation. one can communicate with more people per unit of time. the level of resistance to change tends to decrease. instead of solving the problem at the individual level. Efforts at Group Level Although agreement to a change can be obtained individually. the leader tries to overcome this resistance by leadership process. It grows slowly along with relationship. education must be a part of the manager¶s everyday activity on the job. its process and working. Thus. They must be taught new skills. Getting opinions out in the open. The same is true of problem-solving. helped to change attitudes. to become effective. he expresses it through a group. Though each person interprets the change individually often. People should be educated to become familiar with change. As this process goes. Group Contact: Any effect to change is likely to succeed if the group accepts that change. understanding of change increases and personal involvement in the change increases. must be understood so that its effective use can be made. meetings. Based on these characteristics of group as a means of change. as discussed earlier. 3. so that they are looked at and evaluated. either the subordinates do not resist or if they resist. it is desirable at the group level to get better acceptability of change. its basic nature. 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. and indoctrinated in new relationships.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. Commitment to take part in the change programme can be obtained in private from each individual. it is more meaningful if it is done through group. However. 2. and conferences. Usually.
Such training techniques provide understanding of behaviour. mere participation may not help. Those people who are directly affected by the change should be given opportunity to participate in that change before the final decisions are reached. _________ helps to give people involved in the organizational change and inculcate a feeling of importance. taking whole of the group into confidence helps in maintaining a cooperative attitude. Research studies also support this aspect.7 Summary Change is inevitable. However. Changes may be influenced by external and internal factors. Even if only some of the members are affected by the change. The laboratory method provides a setting where group processes can be studied intensively. Group Dynamics Training for Change: Group dynamics also helps in providing various training programmes for accepting and implementing change. 2. It implies a new equilibrium between different components of the organization. It is easiest for management to deal with resistance when it is overt and immediate. Economic factors. 3. benefits of change. implicit. __________ are based on people¶s emotions. Self Assessment Questions 1. thereby the people can build up the climate based on mutual trust and understanding which are essential for bringing organizational changes successfully. sentiments and attitudes towards change.Through the group contact. and how the benefits of the meaningful and continuous dialogue are necessary. Participation: Participation helps to give people involved in the organizational change and inculcate a feeling of importance. It purports how the results are. immediate. It implies a new equilibrium between different components of the organization ± technology. Free flow of information helps people to understand the real picture of the change and many misunderstandings may be avoided. _________ is the alteration of work environment in an organization. Such training techniques include role playing. group resistance and vested interests. The organization must regard the participation as meaningful and share the results of the change with its members. social factors. 3. They must be made a party to the change rather than an agent for resistance to change. psychological factors. People tend to resist many types of changes because new habits or sacrifices are required. This is more important in the case of workers who themselves treat a separate group and do not identify with the management. a change is proposed and employees quickly respond by voicing . psychodrama. many things about change can be made clear.such aspects as the reasons for change. 2. and how members contribute. job design and people. Organizational change is the alteration of work environment in an organization. It makes people feel that the organization needs their opinions and ideas and is unwilling to go ahead without taking them into account. structural arrangement. Resistance can be overt. For instance. and sensitivity or T-group training. 10. It would be prudent for management to take labour representatives into confidence before implementing any change. or deferred.
8 Terminal Questions 1.6. Prentice-Hall of India Private Limited. at the level of individual and at the level of group. Modern Organization Development and Change. Organization Development & Change. French and Cecil H.Singh. engaging in a work showdown. Reference: · Wendell L. 10. Thomson South Western. through group dynamics. · Cummings & Worley.complaints. P.9 Answers to SAQs and TQS SAQs: 1. Bell. Both these attempts are complementary and sometimes these efforts may be overlapping because every individual is a member of some of the groups. Refer section 10. New Delhi.4 3.Response Books. Explain the nature of change? 2. Jain.management of Organization Change. or the like. Principles and Practices. Refer section 10. threatening to go on strike.. Problem of overcoming resistance to change can be handled at two levels.2 2. . · J. Participation Answers to TQs: 1.. Psychological factors 3. N. Thomson · Daft Richard L. P. Organization Development. · Harigopal K. Organization Theory and Design. eighth edition. Discuss the methods of reducing resistance to change. Organizational change 2. Why do organizations resist change? 3. that is. Jr. Refer section 10. New Delhi. 10. Regal Publications New Delhi. both at the formal and informal levels.
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