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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
Thus. buoyant spirit and adequate work output. One may not see with the naked eyes the functioning of management but its results are apparently known. management is an essential ingredient of an organization. They must have the necessary ability and skills to get work accomplished through the efforts of others. 1. informed employees. namely. they require the catalyst of management to produce goods and services required by the society. 7. Intangible Force: Management has been called an unseen force. So it is treated as a science. principles and techniques requires specialized . In essence. Distinct Process: Management is a distinct process consisting of such functions as planning. The application of these concepts. 4. Its presence is evidenced by the result of its efforts-orderliness. labour and capital. directing and controlling. experience and management principles for getting the results from the workers by the use of non-human resources. The success of management is measured by the extent to which the organizational goals are achieved. principles and techniques which have wide applications. Economic Resource: Management is one of the factors of production together with land. 6. organizing. staffing. Integrative Force: The essence of management is integration of human and other resources to achieve the desired objectives.management is most often due to both inefficiency and ineffectiveness or to effectiveness achieved through inefficiency. These functions are so interwoven that it is not possible to lay down exactly the sequence of various functions or their relative significance. labour. All these resources are made available to those who manage. A Science and an Art: Management has an organized body of knowledge consisting of welldefined concepts. It is the most critical input in the success of any organized group activity. capital and materials. Goal-oriented: Management is a purposeful activity. feeling of management is result-oriented. the process of management involves decision-making and putting of decisions into practice. It co-ordinates the efforts of workers to achieve the goals of the organization. 3. 5. People often remark of the effectiveness (or ineffectiveness) of management on the basis of the end results. These factors do not by themselves ensure production. Results through Others: The managers cannot do everything themselves. It is the force which assembles and integrates other resources. although they can¶t observe it during operation. Thus. Managers also seek to harmonize the individuals¶ goals with the organizational goals for the smooth working of the organization. They must motivate the subordinates for the accomplishment of the tasks assigned to them. Managers apply knowledge. It is imperative that the organizational goals must be well-defined and properly understood by the mangers at various levels.3 Characteristics of Management Management is a distinct activity having the following salient features or characteristics: 1. 2.
useful. Much of the management literature is the result of association of these disciplines. management may be understood as (i) an economic resource. management is viewed as an art. that is. Managers at different levels possess varying degrees of authority. 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. It is bound together by a web of relationships between superiors and subordinates. · Management as a system of authority According to Herbison and Myers. military. Top management determines objectives and provides direction to enterprise activities. the degree of authority gets gradually reduced. ongoing concern. personnel manager etc. 1. money and machines into a productive. Generally. Managers working at top levels enjoy more authority than people working at lower levels. finance manager. management is required to covert the disorganized resources of men. According to Herbision and Myers. productivity orientation drew its inspiration from Industrial Engineering and human relations orientation from Psychology. materials. In other words. According to Newman. labour and capital. Sociology and Operations Research have also contributed to the development of management science. · Management as an economic resource Management is one of the factors of production along with land.knowledge and skills on the part of the manager. government and hospital. 9.) interprets and explains the policies framed by the top management. machinery and methods or ways of doing things) depends to a great extent on the quality of management. Middle management (departmental heads like work manage. Universal Application: Management is universal in character. Instructions and decisions downward and carry the problem . In modern organizations. it refers to three distinct ideas.4 Scope of Management The scope of management is very wide. Anthropology. discipline) taking the help of so many other disciplines such as Engineering. Authority enables the managers to perform their functions effectively. education. people are bound by authority relationships.e. (ii) a system of authority. Basically. materials. System of Authority: Management as a team of managers represents a system of authority. They transmit orders. how effectively and economically the five M¶s are combined together to produce desired results. Since the skills acquired by a manager are his personal possession. Similarly. Sociology and Psychology. management is the rule-making and rule-enforcing body. Multi-disciplinary Subject: Management has grown as a field of study (i. The principles and techniques of management are equally applicable in the fields of business. the effective use of the five M¶s of management (money. as we move down in the managerial hierarchy. 10. a hierarchy of command and control. For instance. Henri Fayol suggested that principles of management would apply more or less in every situation. and (iii) a class or elite. 8. manpower.
e.e. It devotes more time on planning and co-ordinating . Considering the hierarchy of authority and responsibility. Financial Controller. viz. Managing Director. Production Manager. Administrative management is concerned with ³thinking´ functions such as laying down policy. Levels of Management An enterprise may have different levels of management. policies and plans for the enterprise. planning and setting up of standards.. technical facilities. Lower management (first line supervisors) is concerned with routine. Foremen.. etc. The levels of management depend upon its size. and the range of production. Top management: Top management is the ultimate source of authority and it lays down goals. Operative management is concerned with the ³doing´ function such as implementation of policies. The real significance of levels is that they explain authority relationships in an organization. or. (i) administrative management (i. ii) Middle management of a company consists of heads of functional departments namely. 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. the lower level of management). ranks. 1. and directing the operations to attain the objectives of the enterprise. · Management as a class or elite Sociologists view management as a distinct class in society having its own value system. We generally come across two broad levels of management. day-to-day matters. For instance. Purchase Manager. and Divisional Sectional Officers working under these Functional Heads.and suggestions upward. Levels of management refer to a line of demarcation between various managerial positions in an enterprise. its Chairman. one can identify three levels of management namely: i) Top management of a company consists of owners/shareholders. As a separate group. Marketing Manager. or the General Manager or Executive Committee having key officers. iii) Lower level or operative management of a company consists of Superintendents. The managerial class has become very important in modern organizations owing to its contribution to business success. but as head of wages and salary department. But in actual practice. the term management refers to the group of individuals occupying managerial positions. All the managers form the chief executive to the first line supervisors are collectively addressed as µManagement¶ which refers to the group. Supervisors.. the upper level of management) and (ii) operating management (i. his job is to see that the decisions are implemented. Board of Directors. wage and salary director of a company may assist in fixing wages and salary structure as a member of the Board of Directors. or the Chief Executive. etc.
d) To recruit and select suitable operative and supervisory staff. Middle management: The job of middle management is to implement the policies and plans framed by the top management. b) To make policies and frame plans to attain the objectives laid. It is accountable to the owners of the business of the overall management. They are responsible to the top management for the functioning of their department. j) To report to top management. i) To collect reports and information on performance in their departments. h) To co-operate with the other departments for ensuring a smooth functioning of the entire organization. e) To assign activities. c) To prepare the organizational set up in their own departments for fulfilling the objectives implied in various business policies. Without them the top management¶s plans and ambitious expectations will not be fruitfully realized. men. f) To compile all the instructions and issue them to supervisors under their control. duties and responsibilities for timely implementation of the plans. It serves as an essential link between the top management and the lower level or operative management. The following are the main functions of middle management: a) To establish the objective or goals of the enterprise. e) To exercise effective control of the operations. g) To motivate personnel to attain higher productivity and to reward them properly. It is also described as the policy-making group responsible for the overall direction and success of all company activities. c) To set up an organizational framework to conduct the operations as per plans. d) To assemble the resources of money. They provide the guidance and the structure for a purposeful enterprise. b) To interpret the policies chalked out by top management.functions. materials. machines and methods to put the plans into action. The important functions of top management include: a) To establish the objectives or goals of the enterprise. They devote more time on the organization and motivation functions of management. 2. . f) To provide overall leadership to the enterprise.
They allot various jobs to the workers. (i) Optimum use of resources: Management ensures optimum utilization of resources by attempting to avoid wastage of all kinds. Management is goal-oriented. the working of an enterprise will become random and haphazard in nature. They pass on the instructions of the middle management to workers. It enables employees to move cooperatively and achieve goals in a coordinated manner. 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. It helps in putting the resources to the best advantage within the limitations set by the organization and its environment.k) To make suitable recommendations to the top management for the better execution of plans and policies. an organization is merely a collection of men. A right climate is created for workers to put in their best and show superior performance. (iv) Achievement of goals: Management plays an important role in the achievement of objectives of an organization. (iii) Establishers sound industrial relations: Management minimizes industrial disputes and contributes to sound industrial relations in an undertaking. Without management. They are concerned with direction and control functions of management. accounts officers and so on. With a view to realize the . They interpret and divide the plans of the management into short-range operating plans. 3. machines. Management makes group effort more effective. money and material. Objective can be achieved only when the human and non-human resources are combined in a proper way. procedures and reward systems. They devote more time in the supervision of the workers. They have to get the work done through the workers. Lower or operative management: It is placed at the bottom of the hierarchy of management. counseling and effective leadership. sales officers. Their authority and responsibility is limited. To this end. (ii) Effective leadership and motivation: In the absence of management. It is the activating force that gets things done through people. They are in direct touch with the rank and file or workers. In its absence. It consists of foreman. methods. management is the dynamic lift-giving element in every organization.5 Importance of Management According to Drucker. They initiate prompt actions whenever workers express dissatisfaction over organizational rules. Industrial peace is an essential requirement for increasing productivity. manager tries to strike a happy balance between the demands of employees and organizational requirements. evaluate their performance and report to the middle level management. the resources of production remain resources and never become production. 1. They are also involved in the process of decisions-making. and actual operations are the responsibility of this level of management. supervisors. The importance of management can be understood from the following points. Management creates teamwork and motivates employees to work harder and better by providing necessary guidance.
Successful managers are the ones who anticipate and adjust to changing circumstances rather than being passively swept along or caught unprepared. We have a number of institutes of management and university departments of management which provide formal education in this field. etc. It is a profession in the sense that there is a systematized body of management. 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. But unlike medicine or law. all these help in realizing goals with maximum efficiency. and it is distinct. identifiable discipline. Management . (b) Ensuring the survival of the firm in the face of continued changes. Organize the resources properly. hire competent people and provide necessary guidance. Failure to take note of customer¶s needs regarding full efficiently has spelt doom for µIdeal java¶ in the two-wheeler market in India. Management is a profession to the extent it fulfils the above conditions. (v) Change and growth: Changes in technology. (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. iii) The establishment of a representative organization with professiona-lizing as its goal. They try to put everything on the right tract. According to McFarland.. Managers help an organization by anticipating these changes (carefull planning. Thus unnecessary deviations. and v) The charging of fees based on the nature of services. competition.predetermined goals-managers plan carefully. It has also developed a vast number of tools and techniques. skills. government policy. a management degree is not a pre-requisite to become a manager. An enterprise has to take note of these changes and adapt itself quickly. (vi) Improves standard of living : Management improves the standard of living of people by (a) using scarce resources efficiently and turning out profits. ii) Formalized methods of acquiring training and experience. Management as a profession By a professional manager. techniques. Overlapping efforts and waste motions are avoided. Management is also a profession in the sense that formalized methods of training is available to those who desire to be managers. the Indian Institute of Management. In the final analysis. Training facilities are provided in most companies by their training divisions. A number of organizations such as the Administrative Staff College of India. iv) The formation of ethical codes for the guidance of conduct. forecasting combined with efficient use of resources) and taking appropriate steps. often threaten the survival of a firm. and specialized knowledge. a profession possesses the following characteristics: i) A body of principles.
This role includes hiring. As a social science. training. the transfer of information. For instance. 1. All managers have a role as a leader. Some individual business organizations. There is no ethical code of conduct for managers as for doctors and lawyers. and disciplining employees.S. However. he or she is acting in a figurehead role.. do not seem to adhere to the principle of ³service above self´. and decision-making. The third role within the interpersonal grouping is the . little regard is paid to the elevation of service over the desire for monetary compensation is evident by switching of jobs by managers. Management does not fulfill the last two requirements of a profession. There was little time for reflective thinking because the managers encountered constant interruptions. sabotaging trade unions. Half of these managers¶ activities lasted less than nine minutes each. manipulating prices and markets are by no means uncommon management practices. What he discovered challenged several long-held notions about the manager¶s job. the American Management Association in U. bribing public officials to gain favours.6 Role of Management In the late 1960s. But in addition to these insights. management is not as exact as natural sciences. The term µmanagement roles¶ refers to specific categories of managerial behaviour. in contrast to the predominant views at the time that managers were reflective thinkers who carefully and systematically processed information before making decisions.A. However. and it is not as fully a profession as medicine and law. unpatterned. Mintzberg provided a categorization scheme for defining what managers do based on actual managers on the job. motivating. managers in general. an art as well as a profession. There are a number of representative organizations of management practitioners almost in all countries such as the All India Management Association in India. It may be concluded from the above discussion that management is a science. however. and short-duration activities. These ten roles can be grouped as those primarily concerned with interpersonal relationships. try to develop a code of conduct for their own managers but there is no general and uniform code of conduct for all managers. the All India Management Association.Development Institute. Mintberz found that his managers engaged in a large number of varied. and the university departments of management offer a variety of short-term management training programmes. In fact. Furthermore. Management partially fulfils the third characteristic of profession. Henry Mintzberg did a careful study of five chief executives at work. etc. Interpersonal Roles: All managers are required to perform duties that are ceremonial and symbolic in nature ± interpersonal roles. Mintzberg concluded that managers perform ten different but highly interrelated roles. none of them has the professionalizing of the management as its goal. Indeed such mobile managers are regarded as more progressive and modern than others. 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.
When they represent the organisation to outsiders.1: Mintzberg¶s Managerial Roles Role Interpersonal Figurehead Description Identifiable Activities Leader Liaison Symbolic head. signing perform a number of routine legal documents. training. activities that involve responsible for staffing. he or she has an outside liaison relationship. making phone subordinates to members of the calls to relay information. Transmits information received Holding informational from outsides or from other meetings. duties of a legal or social nature. informers who provide favors performing other activities and information. Informational Monitor Disseminator . and may be inside or outside the organization. Managers also act as a conduit to transmit information to organizational members. Mintzberg called this the monitor role. to some degree. Informational Roles: All managers. Maintains self-developed Acknowledging mail. what competitors may be planning. maintaining it current) to develop thorough personal contacts. Table 1. they do so by reading magazines and talking with others to learn of changes in the public¶s tastes. obliged to Greeting visitors. Mintzberg described this activity as contacting external sources who provide the manager with information. that involve outsiders. Typically. This is the disseminator role. emerges as nerve center of internal and external information about the organization. The sales manager who obtains information from the human resources manager in his or her same company has an internal liaison relationship. Responsible for the motivation Performing virtually all and activation of subordinates. understanding of organization and environment.liaison role. and associated duties. manages also perform a spokesperson role. subordinates. fulfill informational roles-receiving and collecting information from organizations and institutions outside their own. network of outside contacts and doing external board work. Seeks and receives wide variety Reading periodicals and of special information (much of reports. 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. and the like.
Transmits information to Holding board meetings. serves as expert on organization¶s industry. requesting of organizational resources of authorization. media. Decisional Roles: Finally. Searches organization and its Organizing strategy and environment for opportunities review sessions to develop and initiates ³improvement new programs. negotiations. managers take corrective action in response to previously unforeseen problems. As entrepreneurs. pp 93-94 Copyright Ó 1973 by Hency Mintzberg. physical and monetary resources. Inc. Responsible for representing Participating in union the organization at major contract negotiations. results. etc. Reprinted by permission of Harper & Row. Responsible for corrective Organizing strategy and action when organization faces review sessions that important. unexpected involve disturbances and disturbances crises Responsible for the allocation Scheduling. Publishers. some involves interpretation and integration of diverse value positions of organizational influencers. As resource allocators. the making any activity that involves or approval of all significant budgeting and the organizational decisions. projects´ to bring about change. managers perform as negotiators when they discuss and bargain with other groups to gain advantages for their own units. managers are responsible for allocating human.. As disturbance handlers. managers initiate and oversee new projects that will improve their organization¶s performance. actions. The Nature of Managerial Work (New York: Harper & Row. Decisional Entrepreneur Disturbance handler Resource allocator Negotiator Source: Henry Mintzberg. outsiders on organization¶s giving information of the plans.Spokesperson organization ± some information is factual. Last. . Mintzberg identified four decisional roles which revolve around the making of choices. performing all kinds ± in effect. programming of subordinates work. 1973). policies. supervises design of certain projects as well.
The evidence generally supports the idea that managers ± regardless of the type of organization or level in the organization-perform similar roles. a manager¶s job is varied and complex. and spokesperson are more important at the higher levels of the organization than at the lower ones. finance. motivate. He also found that the relative importance of these skills varied according to the manager¶s level within the organization. Since managers deal directly with people. Managers need certain skills to perform the duties and activities associated with being a manager. For example. Technical Skills: First-line managers. and conceptual.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. Katz found that managers need three essential skills or competencies: technical. the roles of disseminator. this skill is crucial. and all managers are involved in making decisions. Managerial Skills As you can see from the preceding discussion. or manufacturing. Specifically. Technical skills include knowledge of and proficiency in a certain specialized field. Conversely. computers. negotiator. These types of conceptual skills are needed by all managers at all levels but become more important as they move up the organizational hierarchy. it remains just as important at the top levels of management as it is at the lower levels. During the early 1970. human. lead. even top managers need some proficiency in the organization¶s speciality. In fact. such as engineering. liaison. Human Skills: The ability to work well with other people both individually and in a group is a human skill. Conceptual Skills: Managers also must have the ability to think and to conceptualize about abstract situations. They must be able to see the organization as a whole and the relationships among its various subunits and to visualize how the organization fits into its broader environment. and inspire enthusiasm and trust. figurehead. They know how to communicate. 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. These abilities are essential to effective decision-making. the leader role is more important for lower-level managers than it is for either middle-or-top-level managers. as well as many middle managers. Managers with good human skills can get the best out of their people. . the emphasis that managers give to the various roles seems to change with hierarchical level. research by Robert L. Although technical skills become less important as manager moves into higher levels of management. are heavily involved in technical aspects of the organization¶s operations. However.
2. Administration relates to the decision-making. administration involves broad policy-making and management involves the execution of policies laid down by the administration. Administration is a determinative function. management as an executive function which is primarily concerned with carrying out of the broad policies laid down by the administration. 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. plans and policies of the organisation. It is concerned with determination of major objectives and policies. Spriegel and Walter. It is a doing function. whereas management refers to execution of policies laid down by administration.1. It is concerned with the implementation of policies. ii) Management is a generic term and includes administration. This view is held by Tead. Floerence and Tead. Thus. etc. Those who held management and administration distinct include Oliver Sheldon.2: Distinction between Administration and Management: Basic 1. Thus. management is a lower-level function and is concerned primarily with the execution of policies laid down by administration. Scope . Administration is a higher level function: Administration refers to policy-making. Nature 3. iii) There is no distinction between the terms µmanagement¶ and µadministration¶ and they are used interchangeably. But some English authors like Brech are of the opinion that management is a wider term including administration. Administrators are basically concerned with planning and control. 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. Spriegal and Lansburg. while others maintain that administration and management are two different functions. Management relates to execution of decisions. Management Management means getting the work done through and with others. According to them. administration is a higher level function. Managers are concerned mainly with organisation and direction of human resources.7 Administration and Management The use of two terms µmanagement¶ and µadministration¶ has been a controversial issue in the management literature. It is a thinking function. Table 1. Some writers do not see any difference between the two terms. on the other hand. Meaning Administration Administration is concerned with the formulation of objectives.
e. 1. making strategic plans to deal plans and policies of the effectively with the organisation. _________. public organisations in the private sector and non-business sector.8 Summary Management is concerned with getting things done through other people. middle and lower. environmental forces. Define management. Direction of It is concerned with leading It is concerned with Human Resources and motivation of middle level leading and motivation of executives. 3. organisations. 2. Status Administration refers to Management is relevant at higher levels of management. co-ordinating. Environment Administration has direct Management is mainly interaction with external concerned with internal environment of business and forces. operative workforce for the execution of plans. objectives. Human skills are important at all managerial levels. It is the management which transforms physical resources of an organization into productive resources. Management creates ________ and motivates employees to work harder and better by providing necessary guidance. 6. Five M¶s of management (________. motivating and controlling the efforts of others towards a specific objective. lower levels of management. counseling and effective leadership. Explain its characteristics. __________is principally the task of planning. There are three levels of management-top. Still management is not completely a profession. 8. 5. machinery and methods or ways of doing things) depends to a great extent on the quality of management. Lower level managers require and use a greater degree of technical skill and managers at higher levels use a greater degree of conceptual skill. i. DecisionMaking Administration determines Management decides who what is to be done and when it shall implement the is to be done.4. 1. . Self Assessment Questions 1. Management is largely found at the middle and lower levels and administration is found at the higher levels. Managers perform different roles to discharge their responsibilities.9 Terminal Questions 1. ___________.. 7. Usage of Term The term µadministration¶ is The term µmanagement¶ is often associated with widely used in business government offices. administrative decisions.
Bring out the difference between Administration and Management. manpower 3.1 Introduction Objectives 184.108.40.206 3. Money. Refer section 1.7 Copyright © 2009 SMU Powered by Sikkim Manipal University . Refer section 1. 1.2.10 Answers to SAQs and TQs SAQs: 1. MU0004-Unit-02-Management Process Unit-02-Management Process Structure: 2.3 Planning 2.2 Process of Management 2.4 Organizing . Discuss the importance of management. Management 2. 3. Refer section 1. teamwork Answers to TQs: 1.3 2. materials.
7 Motivating Self Assessment Questions 2. you will be able to: · Define Management process. One can also think of management functionally. Management functions are as follows (Fayol.6 Directing 2. Planning 2. management functions have been regrouped into four categories. Organizing. · Explain Planning. as the action of measuring a quantity on a regular basis and of adjusting some initial plan. Directing. Motivating.2. Objectives: After this studying this unit.9 Terminal Questions 2. Staffing. · Explain different functions of management Process.8 Summary 2. Commanding 4. Controlling However.5 Staffing 2.10 Answers to SAQs and TQs 2. in recent time. 1949): 1. Coordinating 5. . since the managerial tasks have become highly challenging a fluid in nature making distinctions redundant to certain extent.1 Introduction Follett (1933) defined management as "the art of getting things done through people´. Organizing 3.
You might well ask what the need for a policy is when objectives are already defined. overall goals. should precede a good deal of research involving market surveys. Management is about accomplishing a goal efficiently. However. The tasks of the strategic planning process include the following steps: Define the mission: . Policy Formulation We have noted earlier that all organizations have well-defined goals and objectives. In the football field. Objectives are the ends. It is difficult to say where objectives end and policies begin. driving comfort.2. the two are not quite the same. and then set out the method for achieving it. a process in which one chooses a course which one thinks is the best. and allocating resources. leadership is doing the right things³. Therefore. Decision ± Making Taking decisions is a process. Planning in order to be useful must be linked to the strategic intent of an organization. say a passenger car. Planning also enhances the decisionmaking process. fuel and machine efficiency. and developing plans to integrate and coordinate activities. thus. 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. leadership is about setting the desirable goals. general strategies. planning is often referred to as strategic in nature and also termed as strategic planning. or where you want go to. what distinguishers policies form objectives is that you first decide the objective. 2. Even so. policies are the means to achieve those ends. It provides the direction for the other functions of management and for effective teamwork. while a policy. studies on passenger comfort.2 Management Process Peter Drucker said: ³Management is doing things right. establishing strategies for achieving these goals. it is not a decision in which any process is involved. cost structure and so on. There is a degree of overlap between the two. the decision to change the design of a product. Effective planning enables an organization adapt to change by identifying opportunities and avoiding problems. 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. Through leadership and management often overlap. kicking the ball with the left foot or right foot is a reflex action. Every organization needs to plan for change in order to reach its set goal. it would be correct to assume that an objective is what you want to accomplish. All levels of management engage in planning in their own way for achieving their preset goals.3 Planning It involves the process of defining goals.
For assessing the strengths of the organization the following questions are important: 1. An explicit mission guides employees to work independently and yet collectively toward the realization of the organization¶s potential. Are the facilities outdated? 3. suppliers. The mission statement is broad. How efficient is our manufacturing? 3. Threats) analysis is vital for the creation of any strategic plan. customers (internal and external). Conduct a situational or SWOT analysis A situation or SWOT (Strengths. A mission statement should be short ± and should be easily understood and every employee should ideally be able to narrate it from memory. and trade). Analyzing strengths and weaknesses comprises the internal assessment of the organization. federal. Is research and development adequate? 4. What financing is available? 6. Organizations need to examine their business situation in order to map out the opportunities and threats present in their environments.A mission is the purpose of the organization. Sources of information may include stakeholders like. journals and reports (scientific. 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. professional. What makes the organization distinctive? 2. governments (local. What are the vulnerable areas of the organization that could be exploited? 2. Thus. planning begins with clearly defining the mission of the organization. international). SWOT analysis provides the assumptions and facts on which a plan will be based. summarizing what the organization does. professional or trade associations (conventions and exhibitions). Opportunities. state. The SWOT analysis begins with a scan of the external environment. Are the technologies obsolete? For identifying opportunities the following elements need to be looked at: . What is our market share? 5. Weaknesses. How skilled is our workforce? 4. Do we have a superior reputation? For assessing the weaknesses of the organization the following questions are important: 1.
Set goals and objectives Strategic goals and objectives are developed to fill the gap between current capability and the mission. etc. Generally. Are our rivals weak? 5. It also helps in setting minimum acceptable standards or common-sense minimums. as well as gap analysis. What substitute products exist? In general terms. Are there new competitors? 3. effectiveness. organizations have longterm objectives for factors such as. Is there a shortage of resources? 4. Benchmarking systematically compares performance measures such as efficiency. Comparing the organization to external benchmarks (the best practices) is used to assess current capabilities. Are market tastes changing? 5. What are the possible new markets? 3. What are the emerging technologies? 6. the best strategy is one that fits the organization¶s strengths to opportunities in the environment. In which areas does the competition meet customer needs more effectively? 2.1. They are aligned with the mission and form the basis for the action plans of an organization. What are the new regulations? 6. return on investment. The SWOT analysis is used as a baseline for future improvement. Is there a possibility of growth of existing market?) Identifying threats involves the following: 1. What is the strength of the economy? 4. In which areas is the competition not meeting customer needs? 2. earnings per share. Develop related strategies (tactical and operational) . or outcomes of an organization against similar measures from other internal or external organizations. Objectives are also called performance goals.
lines of authority. It is the extent to which the units of the organization are explicitly defined and its policies. and relationships between departments.Tactical plans are based on the organization¶s strategic plan. Monitor the plan A systematic method of monitoring the environment must be adopted to continuously improve the strategic planning process. with ideas and resources. necessary to maintain competitive advantage in the said market. Feedback is encouraged and incorporated to determine if goals and objectives are feasible. In turn. To develop an environmental monitoring procedure.5 Staffing . and coordinating the work components to achieve organizational goal. and coordinated. structuring. short-term standards for key variables that will tend to validate and support the long-range estimates must be established. who is to do. tactical. Divide tasks into groups one person can accomplish ± a job 4. and where decisions are to be made. The formal organization can be seen and represented in chart form. operational plans are based on the organization¶s tactical plans. procedures. It is the process of determining what tasks are to be done. Organizational structure is the formal decision-making framework by which job tasks are divided. Delegate authority to establish relationships between jobs and groups of jobs. It is the official organizational structure conceived and built by top management. Strategic. This review is used for the next planning cycle and review. 2. An organization chart displays the organizational structure and shows job titles. and operational planning must be accompanied by controls to ensure proper implantation of the plans. Group related jobs together in a logical and efficient manner 5. Formalization is an important aspect of structure. Review plans 2. Assign work to individuals 6. working toward common goals. grouped. who reports to whom. and goals are clearly stated. The steps in the organizing process include: 1. 2. how the tasks are to be grouped.4 Organizing It involves designing. These are specific plans that are needed for each task or supportive activity comprising the whole. The purpose of the organizing function is to make the best use of the organization¶s resources to achieve organizational goals. List all tasks to be accomplished 3. A key issue in accomplishing the goals identified in the planning process is structuring the work of the organization. Organizations are groups of people.
Staffing refers to the managerial function of determining and improving the manpower requirements of an enterprise. 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. . Present positions must be filled keeping in mind the future requirements. It has many sub-functions: Staffing involves determination of the manpower requirement. recruitment. 5. development. appraisal. placement. 2. 3. O¶Donnell & Weihrich have defined staffing as ³filling positions in the organization structure through identifying work force requirements. It aims at right man at right position: Staffing aims at selection of right person for right place at right time and retaining them in the organization. money. Definition: 1. Managers of the concerned departments are responsible for the selection and development of qualified people for their department and maintain them in their department. 4. 3. Deals with people: Staffing is a separate managerial function which deals with people in the organization. transfer and appraisal of personnel to fill the organizational positions. It deals with future requirements: Staffing deals with current and future personnel requirements. It involves many sub-functions such as manpower planning. recruitment. compensation and training of needed people´.It is not the machines. performance appraisal etc. 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. selection. Theo Haimann ± ³Concerned with the placement. transport system and other physical resources that make the organization to achieve its goals but it is the competency and efficiency of the people who handle resources contributes for the accomplishment of objectives of the enterprise. placement. promotion. This task has been referred to as staffing. selection. growth and development of all those members of the organization whose function is to get things done through the efforts of other individuals´. Thus staffing deals with the future requirements also. inventorying the people available. training. materials. Koontz.
It is instructing people as to what to do. overseeing and leading people. Direction is continuous process and it continues throughout the life-time of the organization. On the one hand. A manger needs to give orders to his subordinates.e. how to do and telling them to do to the best of their ability. Through direction. It emphasizes that a subordinate is to be directed by his own superior only. 3. Direction has dual objectives. 7. it aims at getting things done by subordinates and. Definition According to Koontz and O¶Donnel. It is performed in the context of superior-subordinate relationship and every manager in the organization performs his duties both as a superior and subordinate. Direction is an important managerial function. 8. 4. directing is the ³interpersonal aspect of managing by which subordinates are led to understand and co-ordinate effectively and efficiently to the attainment of enterprises goals´. . Thus staffing is an ongoing process through ± out the life of an organization. It is an important managerial function. selection. management initiates actions in the organization. 5. etc. promotion. 2. vacancies arise out of retirement. to provide superiors opportunities for some more important work which their subordinates cannot do. identifying the manpower requirements. Direction imitates at the top level in the organization and follows to bottom through the hierarchy. on the other. induction. motivate them. Personnel policies and programs must be formulated as guides to perform the staffing function effectively. It is a continuous function: With the growth and expansion of business additional manpower is needed. 2. Characteristics of Direction The characteristic features of direction are as follow: 1. Direction is the managerial function of guiding. training development and maintenance of personnel. resignation.6 Directing Direction is one of the functions of management. recruitment. lead them and guide them on a continuous basis. It is a continuing function. Direction function is performed at every level of management. It is a process: it is a process having a logical sequence i.6.
The manager never ceases to direct. As Theo Haimann puts it. recognition. without guiding and overseeing subordinates. The amount of time and effort an executive spends in directing however. and attention . The five needs are: · Physiological: Includes hunger. ³without the issuance of directives. guide. self-respect. such as. 2.Nature of Directing The nature of directing can be discussed under the following: 1. and friendship · Esteem: Includes internal esteem factors. will vary depending upon his level. thirst. autonomy. and the Two-Factor theory. from the basic to the complex. satisfied needs cannot. human beings have wants and desires which influence their behaviour. 3. sex. teach. Theories X and Y. Directing is the process around which all performances revolve. The further they progress up the hierarchy. the more individuality. the number of subordinate he has and the other duties he is expected to perform. Pervasive function: Directing is a managerial function performed by all mangers at all levels of the organization. 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. 4. such as. humanness and psychological health a person will show. organizing and staffing on one hand and controlling on the other. The needs are arranged in order of importance. It is an important function of management: Directing is an important management function which provides a connecting link between planning. Maslow¶s Hierarchy of Needs Theory According to this theory. acceptance. belongingness. coach and supervise his subordinates. and other bodily needs · Safety: Includes security and protection from physical and emotional harm · Social: Includes affection. nothing or at the best very little would be accomplished´. and external esteem factors. and achievement. proposed by Maslow (1943). Continuous function: Directing is a continuous process. status. 2. shelter. Essence of performance: Directing is the process around which all performances revolve.7 Motivating Motivating In the 1950s three specific theories were formulated and are the best known: Hierarchy of Needs theory.
interpersonal relations. Theory Y ± In this theory management assumes employees may be ambitious. Herzberg¶s Two Factor Theory Herzberg (1959) constructed a two-dimensional paradigm of factors affecting people¶s attitudes about work. These two factors are motivators and hygiene factors and this theory is also called motivation-hygiene theory. and self-actualization are classified as higher-order needs. It is believed that employees enjoy their mental and physical work duties. 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. if given the chance employees have the desire to be creative and forward thinking in the workplace. Workers need to be closely supervised and a comprehensive system of controls and a hierarchical structure is needed to supervise the workers closely. achieving one¶s potential. and salary are hygiene factors. supervision.· Self-actualization: The drive to become what one is capable of becoming. The absence of hygiene factors can create job dissatisfaction. autonomy and empowerment. such as. self-direction. esteem. such as. Presence of these factors ensure job satisfaction. company policy. recognition. Physiological and safety needs are described as lower-order. 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. Extrinsic factors. and exercise self-control. externally. Motivators are intrinsic factors. Higher-order needs are satisfied internally. It is also assumed that workers generally place security above all other factors and will display little ambition. if they can. Social. includes growth. Lower-order needs are predominantly satisfied. anxious to accept greater responsibility. It is also believed that. it is clear that Theory X assumes that lower-order needs dominate individuals. advancement. and achievement. and self-fulfillment Maslow separated the five needs into higher and lower orders. but their presence does not motivate or create satisfaction. From the above. self-motivated. Theory Y assumes that higher-order needs dominate individuals. responsibility. whereas. working conditions. . Theory X ± In this theory management assumes employees are inherently lazy and will avoid work.
2. structuring. who is to do. Write a short not on directing. When hygiene factors are adequate. 2. 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. neither will they be satisfied. Planning involves the process of defining goals. Job satisfaction factors are separate and distinct from job dissatisfaction factors. The _____analysis begins with a scan of the external environment. who reports to whom. It involves many sub-functions such as manpower planning. and coordinating the work components to achieve organizational goal. Self Assessment Questions 1. how the tasks are to be grouped. recruitment.9 Terminal Questions 1. motivators describe a person¶s relationship with what she or he does. Removing dissatisfying characteristics from a job does not necessarily make the job satisfying. Hygiene factors on the other hand. Organization involves designing. To motivate people.10 Answers to SAQs and TQs SAQs: . 2. have to do with a person¶s relationship to the context or environment in which she or he performs the job. emphasize factors intrinsically rewarding that are associated with the work itself or to outcomes directly derived from it. 2. and where decisions are to be made. Explain Staffing in detail 3. _______refers to the managerial function of determining and improving the manpower requirements of an enterprise.In summary. establishing strategies for achieving these goals. and developing plans to integrate and coordinate activities. What is planning? 2. Staffing refers to the managerial function of determining and improving the manpower requirements of an enterprise. 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. It is the process of determining what tasks are to be done. ____defined management as the art of getting things done through people. Every organization needs to plan for change in order to reach its set goal. performance appraisal etc. people will not be dissatisfied. 3.8 Summary Management is the art of getting things done through people. many related to the tasks being performed.
3 2.5 3. Staffing Answers to TQs: 1. Reference 2.8 Problems in OD .5 Goals of OD 3.1.2 Definitions 3.4 Categories of OD 3.3 Characteristics of OD 3. Reference 2. SWOT 3. MU0002-Unit-03-Organization Development: A Need Unit-03-Organization Development: A Need Structure: 3.6 Copyright © 2009 SMU Powered by Sikkim Manipal University . Reference 2.7 Role of OD 3. Follett 2.1 Introduction Objectives 3.6 OD and Management Development 3.
Basically. challenges from turbulent environments. A variety of solutions exists. We predict that organization development will be preferred improvement strategy in future. Organizations face multiple challenges and threats today ± threats to effectiveness. and the like. teams. and the constant challenge to maintain congruence among organizational dimensions such as technology. conflict resolution.11 Answers to SAQs and TQs 3. Individuals in organizations likewise face multiple challenges ± finding satisfaction in and through work. 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. ³Knowledge´ work is replacing ³muscle´ work. efficiency. . And organization development (OD) is one of them.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. survive. Although new jobs are being created at record rates. Organization development is a relatively recent invention. fighting obsolescence of one¶s knowledge and skills. adapt. organization structure. and the organization¶s human and social processes. organization development is a process of teaching people how to solve problems. organizations and the individuals in them face an enormously demanding present and future. Keeping organizations healthy and viable in today¶s world is a daunting task. Today. strategy formulation and implementation. Simple survival ± continuing to have an adequate job ± is a major challenge today in the light of constant layoffs and cutbacks. Early returns were encouraging. and changing customer demands. the answer is ³yes´. OD focuses on issues related to the ³human side´ of organizations by finding ways to increase the effectiveness of individuals. maintaining dignity and purpose in pursuit of organizational goals. and achieving human connectedness and community in the workplace. and learn how to do that better and better over time. organization development represents one of the best strategies for coping with the rampant changes occurring in the marketplace and society.Self Assessment Questions 3. 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. Are any strategies available to help people and organizations cope.10 Terminal Questions 3. take advantage of opportunities. increased competition. and attention was soon directed toward other human and social processes in organizations such as the design of work tasks. and processes. old jobs are being destroyed at an accelerating pace.9 Summary 3. In summary. culture. strategy. and profitability. and even prosper in these vexing times? Fortunately.
strategy. (Schmuck and Miles. 1972) The aims of OD are: 1) Enhancing congruence between organizational structure. · Discuss the categories of OD programme. (Burke and Hornstein. · State the goals of OD. 1980). 2) Developing new and creative organizational solutions. you will be able to: · Define organization development. markets. and 3) Developing the organization¶s self-renewing capacity (Beer. people.change of an organization¶s culture from one which avoids an examination of social processes (especially decision making. 1989) . and the dizzying rate of change itself. · Distinguish between OD and Management Development · Explore the problems in OD. · Explain the characteristics of OD. using reflexive. attitudes. values and structure of organization so that they can better adapt to new technologies.Objectives: After studying this unit.2 Definitions Organization Development (OD) is a response to change. planning and communication) to one which institutionalizes and legitimizes this examination. OD can be defined as a planned and sustained effort to apply behavioural science for system improvement. 3. Organization development is an organizational process for understanding and improving any and all substantive processes an organization may develop for performing any task and pursuing any objectives«. a complex educational strategy intended to change the beliefs. A ³process for improving processes´ ± that is what OD has basically sought to be for approximately 25 years (Vaill. and challenges. processes. (Bennis. and culture. 1969). self-analytic methods. 1971) Organizational development is a process of planned change.
All authors agree that OD applies behavioural science to achieve planned change. Likewise. There is no ³quick fix´ when it comes to lasting organizational improvement. Organizational change is hard. They describe in broad outline the nature and methods of OD. and contain several unique insights (that¶s enlightening). There is no set definition of OD and no agreement on the boundaries of the field. Collectively. including action research. that is.several years in most cases. and that practitioners share a central core of understanding as shown in the preceding definitions. empowerment. We do not propose it as the ³right´ definition. values. In fact. 1993) ³Organization development is a planned process of change in an organization¶s culture through the utilization of behavioural science technologies. they agree that the target of change is the total organization or system and that the goals are increased organizational effectiveness and individual development. we mean that organizational change and development takes time. One program or initiative moves the organization to a higher plateau. it is more accurate to describe ³improvement´ as a never-ending journey of continuous change. research.´ (Cummings and Worley. serious business. But these are not serious constraints given that the field is still evolving. 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. these definitions convey a sense of what organization development is and does.´ (Porras and Robertson. and techniques aimed at the planned change of the organizational work setting for the purpose of enhancing individual development and improving organizational performance. 1992) ³OD is a systematic application of behavioral science knowledge to the planned development and reinforcement of organizational strategies. ³Organization development is a long-term effort. through the alteration of organizational members¶ on-the-job behaviours. what practices should be included and excluded. but it includes a number of components that we consider essential. and processes for improving an organization¶s effectiveness. structure. through an ongoing. Top management must initiate the improvement . By long-term effort.³Organizational development is a set of behavioural science-based theories. The phrase led and supported by top management states an imperative: Top management must lead and actively encourage the change effort.´ (Burke. strategies. led and supported by top management. then another moves it to yet a higher plateau of effectiveness. and problem-solving processes. learning. it includes pain and setbacks as well as success. but as one that includes characteristics we think are important for the present and future of the field.´ This definition is lengthy. 1994) As you can see. to improve an organization¶s visioning. and theory. We will explain this definition in some detail. Now let¶s turn to our definition of organization development. these definitions overlap a great deal (that¶s encouraging).
and what the organization and its members can expect from each other. norms. By ongoing collaborative management of the organization¶s culture. and organizational learning. we mean. Just as visioning. where new and expansive patterns of thinking are nurtured. opportunities. By empowerment. structure. and where people are continually learning how to learn together. 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.³journey´ and be committed to seeing it through. Still. By empowerment processes. beliefs. Peter Senge describes learning organizations as ³« organizations where people continually expand their capacity to create the results they truly desire. By including culture so prominently in our definition. or became distracted with other duties. we mean involving large numbers of people in building the vision of tomorrow. and problem-solving processes are opportunities for collaboration in organization development. processes. vitality. and self-examining processes that facilitate individual. we mean those interacting. listening. Michael Beer¶s definition called for ³developing new and creative organizational solutions´. By visioning processes. where collective aspiration is set free. and artifacts. coherent. and common purposes of all members of the organization. Empowerment means involving people in problems and decisions and letting them be responsible for results. sentiments. culture is of . And second.´ Problem-solving processes refer to the ways organization members diagnose situations. managing the culture should be a collaborative business. and processes makes each important. and shared picture of the nature of the products and services the organization offers. and challenges in the organization¶s environment and its internal functioning. make decisions. Collaborative management of the culture means that everyone. and take actions on problems. not just a small group. strategy. Most OD programs that fail do so because top management was ambivalent. solve problems. expectations. widely shared vision of a desired future creates the best climate for effective problem-solving by all the organization¶s members. empowerment. it must be built into the very fabric of the organization-its strategy. 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. the ways those goods will be produced and delivered to customers. has a stake in making the organization work. activities. attitudes. 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. interactions. We believe solutions to problems are enhanced by tapping deeply into the creativity. and culture. lost its commitment. team. structure. we mean those processes through which organization members develop a viable. For empowerment to become fact of life. we affirm our belief that culture is the bedrock of behaviour in organizations. By learning processes. in contrast to having only a select few involved. and making it happen. that one of the most important things to manage in organizations is the culture: the prevailing pattern of values. We further believe that having compelling. first. learning. and each influences the others. developing the strategy for getting there. assumptions. commitment. so is managing the culture. The reciprocal influence among culture.
think. The old method was to have functional specialists work on the problem sequentially. and procurement. The results are usually highly gratifying both for the team members and for the organization. members are trained in competencies such as planning. Over time. hiring. so they are the place OD programs often begin ± getting people to stop doing things one way and start doing them a different way. But in many organizations today. Further. team culture can be collaboratively managed to ensure effectiveness. So culture consists of basic assumptions. Edgar Schein clarifies the nature and power of culture in his definition: ³Culture can now be defined as (a) a pattern of basic assumptions. manufacturing. maintaining quality control. and we highlight the importance of visioning. These self-directed teams assume complete responsibility for planning and executing work assignments. and considerable antagonism among the separate functional specialists. engineering. The most prevalent form of teams in organizations is intact work teams consisting of superior and subordinates with a specific job to perform. In addition to team building and role and goal clarification. (d) that has worked well enough to be considered valid and. When one function finished with its part of the project. and problem-solving processes. . By intact work teams and other configurations. and using management information. and feel-that is why culture change is necessary for true organizational improvement. Our definition also places considerable weight on organizational processes. We think teams are the basic building blocks of organizations. Temporary. When teams function well. 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. (b) invented. This method resulted in loss of synergy. empowerment. empowerment. we recognize that teams are central to accomplishing work in organizations. firing. and training. self-directed teams control performance appraisals. and then disbanded with the people going on to new tasks. 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. wasted time. much rework. the process ³threw the results over the wall´ to the next functional unit. or developed by a given group. and norms of behaviour that are viewed as the correct way to perceive. such as design. think. discovered. Processes are relatively easy to change. We believe that when the culture promotes collaboration. In Liberation Management. Team building and role and goal clarification interventions are standard activities in OD programs directed toward intact work teams. Processes are how things get done. He uses the terms µmultifunctional projectization¶ and µhorizontal systems¶ to describe these teams and their work. (c) as it learns to cope with its problems of external adaptation and internal integration. and feel in relation to those problems. Today¶s organizations increasingly use ad hoc teams that perform a specific task and disband when the task is completed. But change becomes permanent when the culture changes and people accept the new ways as the ³right´ ways. therefore (e) is to be taught to new members as the (f) correct way to perceive. learning. intact work teams do not have a boss in the traditional sense-the teams manage themselves.primary importance. individuals and the organization function well. values. and continuous learning the organization is bound to succeed.
collaborators. Comprehensive Change: OD efforts focus on comprehensive change in the organization. dynamic and adaptive system. The definition we have just analyzed contains the elements we believe are important for OD. 4. 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. OD focuses on culture and processes.multifunctional. and co-learners with the client system. 9. 7. OD encourages collaboration between organization leaders and members in managing culture and processes. 2. 5. OD practitioners are facilitators. 10. OD focuses on total system change and views organizations as complex social systems.3 Characteristics of OD 1. 3. Attempting to create ³win-win´ solutions is standard practice in OD programs. To summarize. here are the primary distinguishing characteristics of organization development: 1. OD . 6. Planned Change: OD is a strategy of planned change for organizational improvement. 2. This µplanned¶ emphasis separates OD efforts from other kinds of more haphazard changes that are frequently undertaken by organizations. The concept of comprehensive change is based on the systems concept-open. so that change is easily observed. 3. OD views organization improvement as an ongoing process in the context of a constantly changing environment. Participation and involvement in problem-solving and decision-making by all levels of the organization are hallmarks of OD. 8. constantly shifting teams will be the dominant configuration for getting work done. rather than focusing attention on individuals. Specifically. OD relies on an action research model with extensive participation by client system members. 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. according to Peters. OD takes a developmental view that seeks the betterment of both individuals and the organization. OD focuses on the human and social side of the organization and in so doing also intervenes in the technological and structural sides. Teams of all kinds are particularly important for accomplishing tasks and are targets for OD activities.
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. OD efforts are not one-shot actions. The relationship involves mutual trust. joint goals and means. it is a programme with a purpose that is to guide present and future action. OD attempts to provide opportunities to be µhuman¶ and to increase awareness. takes actions for intervention. He shares a social philosophy about human values. Thus. or catalyst. they are ongoing. and integrate individual and organizational goals. growth. A change agent in OD process does not just introspect the people and introduce changes. or isolated problems. 4. identity. third party change agent. 6. and mutual influence. There is a close working relationship between the change agent and the target organizational members to be changed. (b) Problems of human satisfaction and development. Participation of Change Agent: Most OD experts emphasize the need for an outside. Emphasis on Intervention and Action Research: OD approach results in an active intervention in the ongoing activities of the organization. he conducts surveys.4 Categories of OD Programmes In general. further more. Organization Development is inextricably linked with action. 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 then. rather. interactive. temporary. It recognizes that organizational goals change. This is done to arrive at certain desirable outcomes that may be in the form of increased effectiveness. Action research is the basis for such intervention. Long-range Change: OD efforts are not meant for solving short-term. problem-solving. They discourage µdo it yourself¶ approach. 3. and cyclic processes. The change agent is a humanist seeking to get a humanistic philosophy in the organization. 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¶. participation. collects relevant data. and adaptability for the organization as a whole. so the methods of attaining these goals should also change. 7. the importance and centrality of goals and objectives and the different role requirements . evaluates these data. and revitalization. Key areas are the normative type of model. 5. 3. At the individual level. and (c) Problems of organizational effectiveness. all types of experience requiring Organization Development efforts may be grouped into three categories: (a) Problems of destiny. Rather. rather.efforts take an organization as an interrelated whole and no part of it can be changed meaningfully without making corresponding changes in other parts.
3. its underlying theory and assumptions and some of the pitfall and challenges in attempting to improve organizations through behavioural science. We need to examine carefully the techniques of Organization Development. first. and (d) The interventions are based on behavioural science theory and technology. (c) The interventions are directed towards problem-solving and improved functioning for the client system. 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. (b) To supplement the authority associated with role or status. (b) The interventions are primarily directed towards problems and issues identified by the client group. This Organization Development progrmmes. Two important elements of Organization Development are. the collaborative relationships between the scientists.of the consultant change agent vis-à-vis the clients. second. yet following features are common to most of the programmes: (a) The client is a total system or major subunit of total system.5 Goals of Organization Development Following are the generally accepted goals of OD: (a) To create an open. (d) To build trust among persons and groups throughout an organization. . (c) To locate decision making and problem-solving responsibilities as close to sources of information as possible. with the authority of knowledge and competence. (e) To make competition more relevant to work goals and to maximize collaborative efforts. (f) To develop a reward system which recognizes both the achievement of the organization¶s goals (profit or service) and development of people. problem solving climate throughout an organization. (g) To increase the sense of µownership¶ or organization¶s objectives throughout the work force. Although Organization Development Programmes vary. practitioners and the client laymen. the element which links Organization Development with the scientific method of inquiry and. like other normative re-educative programmes.
and (iv) a sense of responsibility. (j) To improve effectiveness of the organization. Difference between Management Development and OD Factors Objectives Management Development Organization Development Increasing manager¶s Changing the nature of the contributions to goal organization. according to him. He feels that management development reinforces the above four qualities and helps managers cultivate and develop the will to manage. he appears to be biased against OD and the real distinction between OD and MD lies in between these two extremes. Miner has drawn difference between two processes. If OD efforts train people towards anti-authority value. 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. OD tries to fit the organization to the men. it is beneficial to make a comparison between OD and Management Development (MD) as both have some common objectives that betterment of an organization. then would the results be functional for managing organization activity in a competitive world? Thus. more attention to peer-groups. 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. less individual competitiveness. and techniques adopted in both may overlap to some extent. (iii) assertiveness. According to him. and greater display of feelings and emotions. (ii) competitiveness. MD tries to fit the men to the organization.(h) To help managers to manage according to relevant objectives rather than according to past practices or according to objectives which do not make sense for one¶s area of responsibility. the former goes one step further and purports to change the entire organizational climate where the mangers work. Based on this.6 OD and Management Development At this stage. . Burke and Schmidt have made this difference more clear which is presented in the following table. (i) To increase self-control and self-direction for people within the organization. Before making a comparison between the two. with their existing objectives and structure. 3.´ Organization development differs from management development. While the latter aims at developing the mangers individually for the accomplishment of better performance in organizational setting. let us define management development as we have seen the definition of OD. management development has been defined as follows: ³Management development is all those activities and programmes when recognized and controlled. The term µdevelopment¶ refers broadly to the nature and direction of change induced in personnel through the process of training and education. there are four attributes of effective managers in large organization. These are: (i) a positive attitude towards authority.
not on the managers. 3. 4. it is quite suitable for improving organizational performance on long-term basis. To increase the level of self and group responsibility in planning and its implementation. . as a long-term strategy for organizational change. OD can be utilized for the following results in the organization: 1. 3. plays key role in organizational improvement.8 Problems in Organization Development Organization development. 6. 3. however. OD became quite successful with many professional consultants offering high services and programmes to various organizations. has invited sharp criticism as a strategy to increase organizational viability and effectiveness because many OD programmes have failed. To increase the openness of communications in all directions-vertically. and laterally. horizontally. To treat each human being as a complex person with a complex set of needs important in his work and his life. To increase the level of trust and mutual emotional support among all organization members. In early 60s. Since OD attempts to bring comprehensive change in the organization. however. focus on achieving improvement in design. Long-range strategy for organizational innovation and renewal. 5. To create an environment in which authority of assigned role is augmented by authority based on knowledge and skills. Much of the enthusiasm created at the beginning of OD programmes vanished over the period of time. Trained specialists required. 2. To increase the level of enthusiasms and personal satisfaction at all levels of the organization. To place emphasis on humanistic values and goals consistent with these vales. Problem-solving approach. No special requirement. Thus.7 Role of Organization Development Organization development.Focus Approach Time Specialist accomplishments. The basic problem in a change effort which is not comprehensive is that it does not work properly unless there is a proper change in the internal environment of the organization in which people work. Educative and training Short-range. Train and equip employees and managers to perform better in existing organization. substantial disenchantment with OD became evident because of many controversial OD techniques like sensitivity training. Focus on design. By 70s. 7.
It can be seen that many of these criticisms are based on reality and experience. These should be based on the specific needs of the organization. 5. For example. OD makes people unfit for the real organizations world because no organization can fully adopt open system concept. 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. Enough time should be allowed so that the effects of OD programme are realized. Only fully competent OD consultant should be pressed for the service and he should develop understanding with internal change agents. There is discrepancy between ideal and real situations. Thus. Therefore. If an organization is laden with these people. 3. OD programmes are often quite costly. There should be genuine support of OD programme from top management. 3. Organization must formulate the objectives of OD programme very clearly and specifically. it fails even as a long-term strategy. it is useless to try OD. etc. 2. Hence. 4. in order to make best use of OD efforts. In general. and only large organizations can afford this luxury without any guarantee of positive outcome. However. it can be visualized that OD itself may not be dysfunctional but application may be. OD fails to motivate people with low level of achievement needs. There should be proper use of OD interventions. OD is criticized on the following lines: 1. People realized its dysfunctional aspects only when many OD efforts failed. particularly in bottom-line ones. Some of these efforts are as follows: 1. OD tries to achieve ideal without taking into account real. some specific efforts are required. Self Assessment Questions . 2. OD can not be taken as panacea for curing all organizational problems. 4. 5. and (ii) failure to correctly model appropriate personnel behaviour in the programme. Resistance to change is a natural phenomenon and OD puts undue pressure to change. and (iii) failure to increase employee motivation through participation and development of personal growth and self-esteem.confrontation techniques. Therefore. it may be emphasized that OD programmes are likely to fail when these are not programmes and hence failure. Research studies have also failed to conclude significant contributions of OD in all organizations.
3. 3. Management development aims at developing the managers individually. What are the problems involved in the implementation of OD? 3. OD is the ultimate remedy for organizational improvements and developments. _____________is a short-term strategy. Organization development should be led and supported by ±±±±±±±. The participative. Who is associated with the ³Learning Organizations´? 5.9 Summary The definitions clarify the distinctive features of OD and suggest why it is such a powerful change strategy. Peter Senge . 5. 4.10 Terminal Questions 1. Top management 2. Explain its salient features.1.11 Answers to SAQs and TQs SAQs: 1. 3. Explain the various characteristics of OD. There is no µquick fix¶ to organizations¶ problems. 4. Define OD. State the various roles of OD. 2. Empowerment 4. collaborative. ±±±±±±±±± is a process which includes leadership behaviours and human resource practices. ±±±±±±± is associated with ³Liberation Management´. It focuses on the human and social side of the organization and in so doing also intervenes in the technological and structural sides. Tom Peters 3. 2. problem-focused µnature of OD¶ marshals the experience and expertise of organization members for problem-solving and capitalizes the opportunities in the organization. Distinguish between µorganizational development¶ and µmanagement development¶. 3. OD focuses on culture and processes. But OD aims at changing the entire organizational climate where the managers work.
6 4. Management development Answers to TQs: 1.7 5.5 Leadership Development 4.3 3.4 Grid Training 4.2 2. Refer section 3.8 Copyright © 2009 SMU Powered by Sikkim Manipal University . Refer section 3. MU0002-Unit-04.Organization Development ± Interventions Unit-04.Organization Development ± Interventions Structure: 4.6 Team-building .3 Process Consultation 4.2 Survey Feedback 4. Refer section 3. Refer section 3. Refer section 3.5.1 Introduction Objectives 4.
9 Role of Change Agents Self Assessment Questions 4. Nevertheless. and organizational level. mediation and negotiation activities.8 Change Agents 4. other techniques like process . the classification of OD interventions shows variation. management grid. interventions may be required to change people at all these levels. team-building.12 Answers to SAQs and TQs 4. Thus. and organizational culture. process consultation. grid training. Subsequently. 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. work group. group level. People¶s behaviour may be relevant to understand at individual 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. education and training.10 Summary 4. This classification of OD interventions is very comprehensive and many activities do not strictly form the part of OD as process of organizational improvement but other methods of improving the performance of the organization. However. inter-group level. Historically. and survey feedback method.´ There are various OD interventions and they are classified in different ways. survey feedback. French and Bell have suggested twelve families of OD interventions: diagnostic. they make things happen. Further.1 Introduction OD interventions refer to various activities which a consultant and client organization perform for improving organizational performance through enabling organizational members better manage their behaviour. 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.11 Terminal Questions 4. the classification appears to be more relevant because it may specify the range of change that an organization requires. inter-group activities. OD efforts were attempted through sensitivity training. interpersonal level. techno-structural activities.7 Inter Group Development 4. Therefore. various consultants and practitioners have different opinions about the activities which can be included in interventions. For example. many of them visualize data gathering as an intervention whereas it is treated as only preparatory work for OD by others.4. Interventions constitute the action thrust of organization development.
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
C programmes. One basic reason for this phenomenon may be the consultant¶s inability to steer the organization out of troubles. objective-setting. enabling individuals and groups to assess their own strengths and weaknesses. However. 2. Managerial grid: It covers various aspects of assessing managerial styles. like other OD intervention techniques. 3. P.4 Grid Training Grid training is basically based on grid organization development developed by Blake and Mouton. Action steps to move towards the ideal are developed and assigned to individuals who may be engaged in building co-operative inter-group relationships. Process of Grid Training The basic content of grid organization development is managerial grid as discussed. From this point of view. significant correlation between the outcomes has not been found. and processes necessary for effectiveness at the individual. 4. It is a comprehensive and systematic OD programme which aims at individuals. The skills relating to planning. To understand the importance and rationale of systematic change. the focus is on inter-group behaviour and relations.C is also not free from criticisms. and alike. groups. Each group separately analyses the ideal inter-group relations.C is very effective intervention for organizational improvement. Its specific objectives are as follows: 1. However.organizational members to incorporate those changes. Teamwork Development: The focus in this stage is to develop teamwork by analyzing team culture. The whole orientation is to develop managerial style through the application of behavioural science knowledge. In the review of various P. P. inter-group. communication skills. 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. knowledge. and problemsolving are also developed. To study the organization as an interactive system and apply techniques of analysis in diagnosing its problems. 1. Inter-group Development: At this phase. . focuses on skills. problem-solving. 2. and the organization as a whole. and teamwork. The individuals try to learn to become managers by practice. It utilizes a considerable number of instruments. The thrust is on moving groups from conflict to co-operation. The grid organization development consists of six phases. 3. and total organizational levels. traditions. To evaluate the styles of leadership and techniques of participation to produce desirable results. both these problems may be overcome by engaging a suitable consultant and developing willingness among the members for change. group.
Grid training programme is criticized on the basis that it lacks contingency approach and. The analysis will bring out the shortcomings that may be there.´ In a later work. The literature on the subject indicates that the nature of the change is secondary to the perceptions that employees have regarding the ability. Systematic Critique: In this stage. They have maintained that ³managerial and team effectiveness can be taught to managers with outside assistance. 5. it discounts reality. confident and effective decision-making. grid training has some positive contributions for organizational effectiveness. The Role of Leadership In an organization where there is faith in the abilities of formal leaders. Further. therefore. employees will expect effective and sensible planning. the focus shifts to the total organization and to develop skills necessary for organizational excellence. The strategy is then implemented. in spite of these criticisms. 4. clearly the most important determinant of "getting through the swamp". Developing Ideal Strategic Corporate Model: At this stage. while at the same time . concerned and committed to their welfare. The members of the organization are trained for achieving this excellence. the various programmes may be redesigned. and credibility of senior and middle management. employees will look towards the leaders for a number of things. During drastic change times. We will look more carefully at each of these. In this light. Furthermore.4. Also during these times of change.5 Leadership Development When change is imposed (as in downsizing scenarios). is the ability of leadership to«well. Slogging Through The Swamp. and After Arrival. The action is designed to identify the characteristics of the ideal organization. Each group may be given assignment to evolve strategy for making ideal organization with the help of the consultant. competence. it appears that this type of educational strategy can help to make significant contributions to organizational effectiveness. the various efforts from phase 1 to phase 5 are evaluated and critical analysis is made. lead. complete communication that is timely. We can call these Preparing For the Journey. and regular. If you are to manage change effectively. you need to be aware that there are three distinct times zones where leadership is important. Evaluation of Grid Training Most of the support of grid training has come from its originators-Blake and Mouton. some of them have not supported the claims made by Blake and Mouton. 6. they maintained the same stand. Though research studies on the application of grid training are not many. grid training is a non-rigorous method. 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. employees will perceive leadership as supportive.
which. Poor leadership means an absence of hope. therefore. The existence of this trust. if haven¶t established a track record of effective leadership. 4. norming. These stages are the result of a variety of questions and issues that team members face such as ³who will be members of the team?´ ³Who will perform what functions?´ ³Who will contribute what?´ ³What rules will be . during and after change implementation is THE key to getting through the swamp. teambuilding is the most important. it may be too late. employees learn that leaders will act in indecipherable ways and in ways that do not seem to be in anyone¶s best interests. and adjourning as shown below: Fig. Unfortunately.recognizing that tough decisions need to be made. Before going through how team-building exercise can be undertaken to develop effective teams. how synergy is generated through team-work. These stages are: forming. For example. Life Cycle of a Team When a number of individuals begin to work at interdependent jobs. performing. and features of effective team so that team-building exercises focus more sharply on developing effective team. but more importantly. As against these. In organizations characterized by poor leadership. and applied OD intervention for organizational improvement. are closely associated with a very few advocates and practitioners. problems in team-work. The organization must deal with the practical impact of unpleasant change. they often pass through several stages as they learn to work together as a team.1: Life Cycle of a Team Though these are not followed rigidly. The best way to summarize is that there is a climate of trust between leader and the rest of the team. by the time you have to deal with difficult changes. widely accepted. let us consider the life cycle of a team. employees expect nothing positive. In a climate of distrust. brings hope for better times in the future. must labor under the weight of employees who have given up. have no faith in the system or in the ability of leaders to turn the organization around. if allowed to go on for too long. 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. and that makes coping with drastic change much easier. storming. they do represent a broad pattern that may be observed and predicted in many settings across team¶s time together. 4.6 Team-building Various OD interventions discussed so far have their specific implications for OD and. results in an organization becoming completely nonfunctioning. Leadership before.´ 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.
etc. and begin to turn their attention to the group tasks. Other types of team like a department in an organization run on the basis of some permanency though there may be changes in team members. It is not necessary that all teams follow the rigid pattern prescribed here and the similar problems they face at each stage because each team is different in some respect based on the type of members and problems and functions assigned. The adjournment phase takes place in the case of those teams which are created for some special purposes like task force. committee.followed?´ ³How can conflicts among members be resolved?´ and so on. 5. 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. because of individual differences. However. Forming: At the first stage of the life cycle. and arguing for appropriate strategies to be adopted for achieving team¶s goals. team members get introduced to each other if they have not interacted earlier. At this stage. they learn to handle complex problems that come before the team. and tasks are accompanied efficiently. different members may experience varying degree of tension and anxiety out of this interaction pattern. 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. 4. Performing: When team members interact among themselves on the basis of norms that have emerged in the team. The team begins to move in a co-operative fashion and a tentative balance among competing forces too is struck. After the adjournment of the team. Adjourning: Adjourning is the end phase of cycle of a team. concept of stages is significant in the context of the nature of problem which team members are likely to face in team-work. start to accept others. team members start settling. At this stage. even the most successful teams as they have completed their mission. members start interaction among themselves in the form of competing for status. Functional roles are performed and exchanged as needed. interaction among team members is often cautious especially when they are new to one another. They share personal information. These typical stages of life cycle of a team are described below: 1. 3. each team has to be adjourned. Sooner or later. group norms emerge to guide individual behaviour which form the basis for co-operative feelings and behaviour among members. Norming: After storming stage. Storming: After the forming stage which is mostly related to perceiving and assessing each other. jockeying for relative control.´ . 2. This effect can be described as 2+2=5 effect. intense social relationship among members comes to an end.
we have mentioned that team effectiveness depends on the complementarity of team members.2 pounds. Individuals were asked to pull alone as hard as possible on a rope attached to a strain gauge. fail to perform their assigned tasks. how a particular element affects another and is affected by it. synergistic effect is not automatic but depends on the complementarity of different elements that are put together and the way they interact among themselves. group of eight. They rely on the fact the more reliable members will complete the project without their help. in one experiment. 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. 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. individual members do not contribute to the fullest extent. other factors remaining the same. When the same individuals pulled on the rope of groups of three. goals. To the extent. In fact. The phenomenon of social loafing can be minimized by constituting effective team for group performance. the team would be effective. 2. When the group is not cohesive with high output norms. They averaged 138. 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. From this statement. it was found that individuals¶ total efforts were much higher than the group efforts. This phenomenon may happen in teams in work organizations too. a team is created to undertake a task which requires a variety of skills and single individual cannot perform that task alone. In the above paragraph. other factors remaining the same. 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.6 pound of pressure while tugging on the rope. A simple phenomenon of social loafing may be observed in a group assignment to students during their study.Thus. 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. it appears that there are many . team-work does not necessarily spurt group efforts. and so on. When the division of work cannot be accomplished properly and individual efforts are hard to determine. students find that one or two students do not put their weight for the completion of the project. group efforts tend to slacken. The possibility of occurring of social loafing in a team-work increases because of the following reasons: 1. Dropping of average output in group efforts indicates that some members of the group were not contributing as much as they did individually. For example. Putting the concept of synergy in teamwork means members of the team are complementary to each other and they contribute positively to one another. the complementarity among members is achieved. that is. In such an assignment. and attitudes. the individual average dropped down still lower-68.
. serve to focus attention. They define four characteristics of real teams: small size. Let us see how these factors make a team effective. or propose discipline for team members. Thus. super-ordinate goals and team rewards. Therefore. understanding of roles helps members to meet the requirement of one another thereby solving the problems which the team faces. 1. and stimulate more cohesive team efforts. 2. managers at higher levels particularly at the top level should set organizational climate and culture which enthuse team members to put their best. complementary skills. Katzenbatch and Smith. Super-ordinate Goals: Super-ordinate goals are those which are above the goals of a single team or a single individual. If the organizational climate is not in tune with high achievement. Skills and Role Clarity: For an effective team. skills which are complementary to the team requirement and understanding of one¶s own role as well as roles of other members. common purpose. If team members perceive that reward to contingent on team performance. supportive environment.factors in an effective team. then. Rewards of both types. and working approach: and willingness to be held mutually accountable. and share the responsibility for completing a project on schedule. organizations need to achieve a careful balance between encouraging and rewarding individual initiative and growth and stimulating full contributions to team success. team members may tend to contribute positively to the teamwork. 4. The positive aspect of all these factors leads to team effectiveness and team members share common values regarding product quality. customer satisfaction. they will put their maximum. 3.financial and nonfinancial-should be taken into consideration. Establishing a sense of urgency right from the first meeting. 2. he may tend to affect others because of chain reaction just like a rotten apple injures its companions. Developing clear rules of conduct and challenging performance goals. goals. management consultants. make recommendations regarding a new supervisor. Selecting members for their complementary skills and potentials. An individual works better if he is able to link how his goal attainment leads to the attainment of a higher-level goal. unify efforts. Even if one member lacks behind. These factors are skills and role clarity. Innovative non-financial team rewards for responsible behaviour may include the authority to select new members of the group. Team Rewards: Team performance depends on how reward is linked to team performance and how members perceive this linkage. 3. Further. While skills are relevant for job performance. Supportive Environment: A team loaded with skilled members cannot perform well if the organizational climate is not supportive for that. These super-ordinate goals. Real teams can be created and sustained by: 1. team members may not show high degree of enthusiasm and they will use only a part of their skills in performing the jobs. 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. two things are required from its members.
the emphasis should be on consensus. Analyzing how the team is working. In problem identification. and rewards. The view may be quite different ranging from the organizational problem. Analyzing how team¶s goals and priorities are linked to those of the organization. At this stage. Often the team itself defines which aspects of team-building it wishes to work on. Examining Differences: The perception of people on an issue differs because of their differing backgrounds. rather. The role of communication is important in this context because it will help in clarifying the actual problems to the members. Analyzing the relationships among the members who are performing the job. 3.4. 4. generally most of the members come forward with their arguments as to what the real problems are. 2. For achieving these. 2. Problem-sensing: There are a number of ways in which problems of a team can be obtained. The consensus-seeking part of the process necessitates that each person becomes thoroughly aware and understand clearly the basic concepts of team-development.2: Process of Team-building Various steps of team-building process are not one-shot action. recognition. 1. Providing substantial time together in which new information is constantly shared. such as. group problems to even personal problem. personality and attitudes. and 5. . they are repetitive and cyclical as indicated by arrows in the figure. the team-building exercise proceeds in a particular way as shown in figure. Fig. their value systems. and 5. Setting goals and priorities for the team. Analyzing how the work is performed. This problem can better be identified in terms of what is hindering group effectiveness. Much of the problems may be solved through effective communication and training sessions. Providing positive feedback. Team-building Process: Team-building attempts to improve effectiveness of the team by having team members to concentrate on: 1. 4. 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.
feelings.3. (ii) Attacking: deriding. people themselves take assignments to increase specific constructive behaviours and decrease specific negative behaviours. 5. about the issue. encouraging others to participate. with complex division of responsibility and authority among members. Negative Behaviour (i) Over talk: interrupting. Often. seeking relevant information. The feedback should be given to the members about their feelings. Followup action also helps in overcoming the drawback involved at the initial stages of team-building. The concept of Johari Window may also be applied. Giving and Receiving Feedback: The step of perceiving things and listening to each other may be relayed back to the members as there is a possibility that such processes may create tense situation in the group. Developing Interactive Skills: The basic objective of this process is to increase the ability among the people as to how they should interact with others and engage in constructive behaviour. At the time of discussion of feedback. the stying with the topic or going off on tangents. members report about the painful feelings that they have at the time of evaluation of their feelings. who was trying to resolve the differences. etc. undermining morale. etc. This is quite helpful in developing teamwork. Following are the examples of constructive and negative behaviours: Constructive Behaviour: (i) Building: developing and expanding the ideas of others. (iv) Innovative: bringing in new relevant ideas. the total team is convened to review what has been learned and to identify what the next step should be. Such feedback generally provides members to evaluate the values but at the same time. understanding. cynicism. (iii) Negative: cooling. This suggests that even people are not fully aware of themselves. Follow-up Action: This is the final stage in team-building. clarifying and setting differences in perception concerning responsibility and authority in the team. there is a strong possibility that members may learn constructive behaviours and leave negative behaviours. (iii) Clarifying: resting. The discussion should continue until all members of the team have commented. and who will be responsible for team projects in a group that has not developed a satisfactory division of responsibility. information. If this process is adopted several times. ensuring. also provides opportunity to understand themselves. talking together with speaker. the way people talk about the issue. (ii) Bringing in: harmonizing. 4. At this stage. belittling. criticizing person. It involves deciding who will take care of each area of the team¶s responsibilities. who was talking more or who was talking less. .
it is not that effective in isolation. It improves the organization¶s problem-solving and decision-making ability. It helps in developing effective interpersonal relationships by stimulating the group members for that. team-building contributes to the organizational performance in the following manner: 1. Therefore. structure. However. One such suggestion is to use a task hierarchy to reinforce the team as it progresses up a behaviour skill hierarchy (for example. though. management should take such actions at regular intervals so that members feel reinforced and sustain their positive behaviour. etc. and feedback skills). It seeks to change to attitudes. Many research studies have also confirmed the positive contributions of team-building on the organization¶s outcomes. 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. As a result. and perceptions that groups have of each other. in different degrees. team-building has a positive outlook. team-building as an OD intervention has attracted maximum attention. 2. this has been a subject to which change efforts have been directed. monitoring. Such actions will go a long way in shaping the organizational climate quite conducive to members for their efficient working. are not given adequate attention. It focuses only on work groups and other major organizational variables such as technology. 4. stereotypes. It helps developing communication within the group and inter-group and overcoming many psychological barriers that block communication flow. When this exercise is undertaken at the initial stage.. there have been calls for combining team-building with organization behaviour modification approaches. However. to encourage and sustain such feelings. However. Although there are several approaches for improving intergroup relations. In general. one of the more . it contributes positively towards the feelings of the people. team-building has been termed as one-sided effort and it suffers from the following limitations: 1. communicating. 2. In spite of these problems. Team-building becomes a complicated exercise when there is frequent change in team members. 3.These attempts bring co-operative and supportive feelings among people involved in the team functioning.7 Inter-group Development A major area of concern is OD is the dysfunctional conflict that exists between groups. listening. Evaluation of Team-building As mentioned earlier.
or outside consultants. and the groups look for the causes of the disparities. According to Curtis Mial: ³The Consultant may serve as the exhaust value.Popular methods emphasize problem solving. however. but one thing he/she is not the driver´. 4. The consultant may fulfill a variety of functions. Differences are clearly articulate. as the radiator absorbing some of the heat of the controversy. or as fog lamp when the future is hazy. Because they are from the outside these individuals an offer can offer an objective perspective often unavailable to insiders. after which similarities and differences are discussed. For major change efforts. internal staff specialists or managers when acting as change agents. the other group.These three roles are having been brief described below: Consultant A consultant is a professional (internal or external) who applies behavioral Science knowledge in an ongoing organization (or client system) with clear objectives of managing change and improving effectiveness. and how it believes the other group perceivers it. Trainer . and personnel. with members from each of the conflicting groups. Once the causes of the difficulty have been identified. employees of the organization. In contrast. are disadvantaged because they usually have an inadequate understanding of the organization¶s history. The groups then share their lists. operating procedures. 4. the groups can move to the integration phase ± working to develop solutions that will improve relations. internal management often will hire the services or outside consultants to provide advice and assistance. Subgroups. may be more thoughtful (and possibly cautious) because they to live with the consequences of their actions.9 Role of Change Agents The change agent may play different roles according to the need of organization development . culture. as the shock absorber when the going is rough. as the break for too quick action. as the accelerator to build up momentum. each group meets independently to develop lists of its perception of itself. can now be created for further diagnosis and to begin to formulate possible alternative actions that will improve relations. Outside consultants. enabling the client to let off steam: as the ignition to spark action. In this method.8 Change Agents Change agents: Can be managers or nonmanagers. 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.
attitudes and beliefs. Survey feedback usually proceeds with sequential activities involving data collection. Training is used both in µcontent orientation¶ and process orientation¶. 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. cases and experiential learning etc. knowledge and processes necessary for effectiveness at the individual. Training is required for enhancing knowledge. inter-group and total organization levels. 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. 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. In process consultation. changing (intervening) and refreezing. films. team-work does not necessarily spurt group efforts 4. group discussions. widely accepted and applied OD intervention for organizational improvement. Data collection. feedback of information. diagnosis. presentations. role-plays and instruments. Sensitivity training focuses on small group ranging from ten to twelve. 2. skills and change in behavior. Grid training focuses on individuals and groups to assess their own strengths and weaknesses. group. Self Assessment Questions 1. Grid Training was developed by ±±±±±±±±±±±± 3. 4.A change agent needs to be a trainer and educator. He has to educate people on the need and importance o change using a variety of methodologies ± lectures. ________is antithesis of synergy in team-work which suggests that people working together on a common task may actually decrease their individual efforts. developing action plans based on feedback and follow-up. The trainer role is most widely and intensively used at all stages of a change project: unfreezing. The first step in survey feedback is ______ usually by a consultant based on a structured questionnaire.11 Terminal Questions 1. What is Grid Training? How does it help in improving individual performance in an organization? . It focuses on skills. Useful hypothesis are to be formulated and tested. generation of new behavioral science knowledge. Team-building is most important.10 Summary OD intervention strategies are various activities which a consultant and client organization performs for improving organizational performance.
8 Copyright © 2009 SMU Powered by Sikkim Manipal University . Social loafing Answers to TQs: 1. What is survey feedback as an intervention of OD? How does it provide base for other OD interventions? 3.2.6 4. 3. Explain Change agents and discuss the role of change agents in detail.2 3.4 2. Refer section 4. 4. and Beliefs in Organization Development Structure: 5. and Beliefs in Organization Development Unit-05-Values. Refer section 4. MU0002-Unit-05-Values.1 Introduction . Assumptions. Data collection 2.12 Answers to SAQs and TQs SAQs: 1. Assumptions. Refer section 4. Refer section 4. What is team-building? What are the stages of life cycle of a team? 4. Blake and Mouton.
8 Answers to SAQs and TQs 5.5.5 Implications of OD Values and Assumptions 5.Objectives 5.1 Introduction A set of values. beliefs and assumptions. · Give the statement of OD values and assumptions. assumptions. Most of these beliefs were formulated early in the development of the field. shaping the goals and methods of the field and distinguishing OD from other improvement strategies.2 Definitions . you will be able to: · Explain the meaning of values.5. Objectives: After studying this unit. · State the implications of OD values and assumptions.2 Definitions 5.6 Summary Self Assessment Questions 5. and they continue to evolve as the field itself evolves.3 Implications for Designing and Running Organizations 5. beliefs and assumptions.3 Chronology of Events in Management and Organization Thought 5. and beliefs constitutes an integral part of organization development.1 Implications for Dealing with Individuals 5.2 Implications for Dealing with Groups 5. 5.5.7 Terminal Questions 5. These values and assumptions have developed from research and theory by behavioural scientists and from the experiences and observations of practicing managers.4 Early Statements of OD Values and Assumptions 5. · List the chronology of events of values.
A belief is a proposition about how the world works that the individual accepts as true. the human relations movement.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 the need for justice through the rule of law and due process. assume that everyone has intrinsic worth. As these ingredients accumulated. the laboratory training movement.. free speech) and what is undesirable or µbad¶ (e. the importance of fair and equitable treatment for all. that progress is possible and desirable in human affairs. Values are also beliefs and are defined as: "Beliefs about what is desirable or µgood¶ (e. the clash between fascism and democracy in World War II. and democratic. relatively unexamined beliefs accepted as the truth. Expert engineers and supervisors designed each task and ensured it was done correctly. 5. Taylor s methods quickly swept the country and the world as the way to organize work. Values. strongly held. Evidence for the validity of these values and their supporting assumptions comes from many sources ± the Hawthorne studies. view all people as having the potential for growth and development. and beliefs provide structure and stability for people as they attempt to understand the world around them. the right of people to be free from arbitrary misuse of power. . research on the effects of different leadership styles. reason." or slacking off. Optimistic values posit that people are basically good. they were fashioned into a coherent value foundation for the theory and practice of organization development. increasing awareness of the dysfunctions of bureaucracies. dishonesty).g. or spirit of the time. assumptions. Humanistic values proclaim the importance of the individual: respect the whole person.. and that rationality. Thus. greater understanding of individual motivation and group dynamics. Simple." Assumptions are beliefs that are regarded as so valuable and obviously correct that they are taken for granted and rarely examined or questioned. Democratic values assert the sanctity of the individual. OD values tend to be humanistic.g. it is a cognitive fact for the person. and assumptions being. values. treat people with respect and dignity. Values and assumptions do not spring full grown from individuals or societies they are formed from the collective beliefs of an era-the zeitgeist. and goodwill are the tools for making progress. repetitive tasks in an attempt to find "the one best way" to do each job. and the like. optimistic. assumptions. Piece-rate pay systems were designed to increase motivation and to prevent "soldiering. Major ingredients of the zeitgeist that influenced OD values and assumptions are presented here in a brief chronology. and beliefs are all cognitive facts or propositions. with values being beliefs about good and bad. repetitive tasks minimized the skills required to do the job.
by Roethlisberger and Dickson in 1939. and rigid procedures would create a well-oiled human machine called the organization. Barnard (1938) presented insights from his experiences as President of the New Jersey Bell Telephone Company. theory. A strong hierarchy of authority. In a sense. the work environment. authoritarian leadership caused dependency. aggressiveness and poor performance. Barnard viewed organizations as social systems that must be effective (achieve goals) and efficient (satisfy the needs of employees). These approaches possessed many desirable features. but also contained serious flaws that led to unintended consequences. wrote an article on The Giving of Orders advocating participative leadership and joint problem-solving by labour and management. apathy. People came to work as whole people. Their simple. Mary Parker Follett (1926). Reports on these studies by Mayo in 1933 and 1945. The research demonstrated the primacy of social factors on productivity and morale. impersonal rules. Group Dynamics (1940) The scientific study of groups using experimental research methodswas launched by Kurt Lewin and his students. His acceptance theory of authority proposed that authority derives from the willingness of subordinates to comply with directions rather than from position power. y y y y y y y . Research by Lewin. greater attention to workers social needs. Scientific management as the way to organize work and bureaucracy as the way to organize people were the prevailing paradigms for organizations in the early 1900s. Some early experiments were conducted in the late 1930s. and White demonstrated that democratic leadership was superior to authoritarian leadership and laissez-faire leadership in affecting group climate and group performance. and the supervisor determined their performance. and practice since the late 1920s have focused on the shortcomings of these two paradigms and how to overcome the limitations. People were not cogs. training in interpersonal skills for supervisors. Lippitt (1939). The Hawthorne Studies (1940s to 1960) spawned the human relations movement that was in full flower from the 1930s to the 1960s. most efficient way to organize people. Much of her career was devoted to finding ways to reduce adversarial relationships between workers and management. extensive division of labor. their feelings and attitudes about the work. and by Homans in 1950 profoundly and irreversibly affected people s beliefs about organizational behaviour.y The great German sociologist Max Weber (1922) introduced the concept of bureaucracy as the best. much of the research. Democratic leadership seemed to bring out the best in the groups. The Functions of the Executive by Chester 1. The Famous Hawthorne Studies (1927 to 1932) were conducted at the Hawthorne plant of Western Electric Company. a management theorist and astute observer of labour-management relations. The human relations movement advocated participative management. and a general humanizing of the workplace. Group norms had more powerful effects on productivity than economic incentives. repetitive jobs left them feeling alienated and dispirited. organizations were not machines.
indifferent to the organization s needs. caring social climate. Those who subscribe to Theory Y assume that people have the potential to develop. Motivation and Personality by Abraham Maslow (1954) presented a new view of human motivation. management practices. dislike responsibility.y These years witnessed the beginnings of the laboratory training movement (1946 and 1947). In addition to presenting Theory X and Y. pioneers in laboratory training. proposed that the leadership functions of a group should be shared between the leader and group members and showed how that could be done. which holds that individuals have within themselves the capacity to assume responsibility for their behaviour and mental health when provided with a supportive. Lester Coch and John R. a mechanistic organization y y y y y y y y . to assume responsibility. Eric Trist and Ken Bamforth of the Tavistock Clinic (1951) published the results of their work in British coal mines. 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. The theory postulated that when lower-level needs are satisfied. this book popularized Maslow s motivation theory. a direct precursor of OD. Burns and Stalker (1961) described two very different forms of organization structuremechanistic and organic. resist change. The task of management is to change organizational structures. Those who subscribe to Theory X assume that people are lazy. higherlevel needs become dominant. and need to be led. 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. and introduced practicing managers to the concepts of need hierarchy and self-actualization. increase self-understanding. and to pursue organizational goals if given the chance and the social environment to do so. Ken Benne and Paul Sheats (1948). Rogers focus on effective interpersonal communications was applicable to superior-subordinate relations. Laboratory training taught people how to improve interpersonal relations. This article introduced the concept of organizations as socio-technical systems. are self-centered. 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. Overcoming Resistance to Change. Humanistic and democratic values suffused the movement. lack ambition. French s (1948) article. and understand group dynamics. P. Chris Argyrif s Personality and Organization (1957) was the first of several books in which he stated that there is an inherent conflict between the needs of organizations and the needs of mature. and human resource practices to allow individual potential to be released. healthy adults. Carl Rogers Client-Centered Therapy (1951) demonstrated the efficacy of non-directive psychotherapy. In an environment of slow change. Douglas McGregor wrote The Human Side of Enterprise (1960) in which he described his famous Theory X and Theory Y assumptions.
Out of this zeitgeist. · Development of more effective "team management. To summarize the intellectual climate of this period. Rather than the usual bureaucratic methods which rely mainly on suppression. The Bennis and Beckhard quotations come from their books in the Addison-Wesley Six-Pack. open communications. · Development of better methods of conflict resolution. Writing in 1969. The Addison-Wesley Publishing Company OD Six-Pack.structure may be appropriate." that is. as we have said. organization development practitioners formulated a set of values and assumptions regarding people. We will examine three early statements regarding OD values that had a significant impact on the field. practice. (1969) a set of six little books on OD by prominent practitioners. and unprincipled power. This leadership style was contrasted with an authoritarian. the capacity for functional groups to work more competently. in an environment of high change. one-on-one leadership style. 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. humanistic. goal-oriented. dysfunctions. · A shift in values so that human factors and feelings come to be considered legitimate. and greater individual autonomy. bureaucracy. the initial enthusiasm for scientific management. and authoritarian leadership gave way to increasing doubts about these organizational practices as theory and research pointed up their limitations. and observations utilized by OD practitioners. Values have always been an integral part of OD. Warren Bennis proposed that OD practitioners (change agents) share a set of normative goals based on their humanistic/ democratic philosophy. These six books presented the theory. and negative consequences. more rational and open methods of conflict resolution are sought. The Social Psychology of Organizations by Daniel Katz and Robert L. and organizations that is. groups. . Organic structures encourage decentralized decision making and authority. summarized the state of organization development a decade or so after its inception. and shares decision-making with the work group. y y This chronology captures most of the significant influences from research. He listed these normative goals as follows: · Improvement in interpersonal competence. and democratic. · Development of increased understanding between and within working groups in order to reduce tensions. compromise. optimistic. Tannenbaum and Davis presented their ideas in an article appearing in Industrial Management Review. an organic organization form is preferred. Kahn (1966) presented the first comprehensive exposition of organizations as open systems. theory. and values of the field.
4. 2. the basic units of change are groups.´ For example." Mechanical systems insist on "strict division of labour and hierarchical supervision" while organic systems foster "multi-group membership and responsibility. In his 1969 book he described "several assumptions about the nature and functioning of organizations" held by OD practitioners.· Development of organic rather than mechanical systems. more choices become available and hence better decisions are made. Organizations. Here is his list. The basic building blocks of an organization are groups (teams). Therefore. This is a strong reaction against the idea of organizations as mechanisms which managers "work on. presented their view of OD values in a 1969 article. not the basis of managerial strategy. Decision-making in a healthy organization is located where the information sources are. director of organization development." Mechanical systems encourage "centralized decision-making" while organic systems encourage "wide sharing of responsibility and control." People affected by a change must be allowed active participation and a sense of ownership in the planning and conduct of the change. "People support what they help create. 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. and individuals continuously manage their affairs against goals. One goal of a healthy organization is to develop generally open communication. and confidence between and across levels. Robert Tannenbaum. a professor and Sheldon Davis. mutual trust. sub-units of organizations." like pushing buttons. Another major player in the field was Richard Beckhard. They asserted that an important shift in values was occurring and that this shift signaled a more appropriate and accurate view of people in organizations. The earlier work by Tom Burns and G. An always relevant change goal is the reduction of inappropriate competition between parts of the organization and the development of a more collaborative condition. 1. Through focused attention and through the collection and feedback of relevant data to relevant people. Stalker used the term ³mechanistic´ in contrast to ³mechanical. mechanical systems rely on "authority-obedience relationships" while organic systems rely on "mutual confidence and trust. M. 3. not individuals. . 5. Bennis clarified some of the salient differences between mechanical systems and organic systems. Controls are interim measurements. 6." 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.
· Away from distrusting people toward trusting them. · Away from avoiding facing others with relevant data toward making appropriate confrontation. collaboration and co-operation. and so forth were seldom espoused and rarely implemented in the vast majority of organizations at that time. and arbitrary management practices as well as the dysfunctions of bureaucracies. · Away from resisting and fearing individual differences toward accepting and utilizing them. 5. Beliefs such as trust and respect for the individual. · Away from a primary emphasis on competition toward a much greater emphasis on collaboration. The democratic values prompted a critique of authoritarian. authentic interpersonal relations.5 Implications of OD Values and Assumptions . autocratic. open communication. appropriate uses of power.· Away from avoidance of negative evaluation of individuals toward confirming them as human beings. · Away from a view of process work as being unproductive effort toward seeing it as essential to effective task accomplishment. · Away from utilizing an individual primarily with reference to his or her job description toward viewing an individual as a whole person. 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. decentralized decision making. These values and assumptions may not seem profound today. · Away from walling off the expression of feelings toward making possible both appropriate expression and effective use. but in the 1950s and 1960s they represented a radical departure from accepted beliefs and assumptions. toward seeing them as being in process. · Away from use of status for maintaining power and personal prestige toward use of status for organizationally relevant purposes. · Away from maskmanship and game-playing toward authentic behaviour. the legitimacy of feelings. The humanistic values prompted a search for better ways to run organizations and develop the people in them. · Away from avoidance of risk-taking toward willingness to risk. · Away from a view of individuals as fixed. participation and contribution by all organization members.
group members should assist the leader with the multiple roles required for group effectiveness. at both the formal and informal levels. such as a work group. and interpersonal communication. leaders should invest in groups: Invest the time required for group development. conflict management.2 Implications for Dealing with Groups Several assumptions relate to the importance of work teams and the collaborative management of team culture. First. Dealing appropriately with feelings and attitudes increases the level of interpersonal trust. To do this. greatly influences feelings of satisfaction and competence. a greater contribution to attaining organization goals than most organizational environments permit. The implications of these two assumptions are straightforward: Ask. and are capable of making. and organizations? 5. A tremendous amount of constructive energy can be tapped if organizations realize and act on these assumptions. support. . Also. And because suppressed feelings and attitudes adversely affect problem-solving. most people wish to be accepted and to interact co-operatively with at least one small reference group. a church or club group. 5. group members should be encouraged to learn to deal effectively with positive and negative feelings. give autonomy. and so on. support. groups. listen. not a one-on-one leadership style.5.1 Implications for Dealing with Individuals Two basic assumptions about individuals in organizations pervade organization development. Third. are the best way to satisfy social and emotional needs at work. Another assumption is that the formal leader cannot perform all the leadership and maintenance functions required for a group to optimize its effectiveness. This skill is a trainable one. The first assumption is that most individuals have drives toward personal growth and development if provided an environment that is both supportive and challenging. personal growth. Most people want to develop their potential. One implication is that group members should receive training in group effectiveness skills such as group problem-solving and decision-making. set high standards. leaders need to give important work to teams. The second assumption is that most people desire to make. one of the most psychologically relevant reference groups for most people is the work group. including peers and boss. Implications of these assumptions are several. and co-operation within the group.Let us examine specific assumptions and their implications for organization leaders and members. We answer the question: What are some of the implications of OD assumptions and values for dealing with individuals. remove obstacles and barriers. It is especially important that leaders adopt a team leadership style. challenge. give responsibility. and reward success. and usually with more than one group. and job satisfaction. most people are capable of making greater contributions to a group¶s effectiveness and development. in addition. invest training time and money to increase group members¶ skills. invest energy and intelligence in creating a positive climate. The people doing the work are generally experts on how to do it and how to do it better. encourage risk-taking. Let teams flourish because they are often the best way to get work done and. the family. facilitation.5. What occurs in the work group. permit failure. Hence. Second. not individuals.
In addition. emphasis on topdown directives. Frequently the challenge is broader. A key assumption in organization development is that the needs and aspirations of human beings are the reasons for organized effort in society. The implication is that people are an organization¶s most important resource. and ways to optimize human potential. This notion suggests it is good to have a developmental outlook and seek opportunities in which people can experience personal and professional growth. they change over time. and organizational changes taking place assure that tomorrow will bring new definitions of what is "true" and new beliefs about what is "good. By implication. and so on-are obsolete. Such an orientation creates a self-fulfilling prophecy. in which one side wins and the other side loses. organizing structures. and on the other hand are high performing in terms of productivity.3 Implications for Designing and Running Organizations Clearly. Therefore. societal.5. Such problems have the greatest chance of constructive solution if all parties in the system alter their mutual relationships. They cannot meet the demands of the marketplace. Finally. and E can support these changes.Finally. 5. traditional hierarchical forms of organization-fairly steep pyramid. and empowering. The belief that people can grow and develop in terms of personal and organizational competency tends to produce that result. formalized cross-functional communication. 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. developmental. an optimistic. they are the source of productivity and profits and should be treated with care." as behavioural scientists and managers continue to develop better understanding of authority structures. quality of output. including how persons C. a growing awareness that ³win-lose´ organizational situations. it is possible to create organizations that on the one hand are humane. D. By implication. grouping by specialized function. the assumption is that many attitudinal and motivational problems in organizations require interactive and transactional solutions. this group perspective requires a shift from viewing problems as "within the problem person" to viewing problems and solutions as transactional and as embedded in a system. The question becomes not how A can get B to perform better. adherence to the chain of command. The rapid technological. Creating co-operative rather than competitive organizational dynamics is a primary task of the organization¶s leaders. and profitability. experimenting with new organization structures and new forms of authority is imperative. Concluding Comment: . values are never static. Still. developmental set of assumptions about people is likely to reap rewards beneficial to both the organization and its members. Evidence for this assumption comes from numerous examples where ³putting people first´ paid off handsomely in profits and performance. are dysfunctional over the long run and highlight the need for a ³win win´ attitude. The belief that people are important tends to result in their being important.
3.W.The field of organization development rests on a foundation of values and assumptions about people and organizations. Values. 5. OD values tend to be humanistic. Values. optimistic and democratic. State the assumptions of Theory X and Theory Y. What was the outcome of Hawthorne Experiments? 4. 3. beliefs and assumptions. 5. beliefs and assumptions are cognitive facts. and assumptions are all ±±±±±±±±±± facts.7 Terminal Questions 1. __________ is associated with scientific management. 4.8 Answers to SAQs and TQs SAQs: 1. 5. beliefs. Define concepts. These OD values were considered revolutionary when they emerged in the 1950s. Values are also beliefs. Values. Taylor¶s principles of scientific management. A belief is a proposition about how the world works that the individual accepts as true. What are values and assumptions developed by Richard Bechard in the field of organizational development? 5. _______________ gave theory X and theory Y. Cognitive . assumptions and beliefs help to define what OD is and guide its implementation. Write a note about F. 2. values. This discussion was intended to articulate an appreciation of OD values and explain where they came from. 2. The concept of ±±±±±±±±±± was introduced by MaxWeber.6 Summary The field of OD rests on a foundation of values and assumptions about people and organizations. 5. Chronology of events in management and OD tremendously influenced OD practitioners. Self Assessment Questions 1. but are widely accepted today. These beliefs help to define what OD is and guide its implementation. The outcome of ±±±±±±±± was that people were not cogs and organizations were not machines.
Hawthorne experiments 5.2.2 Beyond the Quick Fix .2. Refer section 5. W.2 2. Refer section 5.1 Kurt Lewin and Friends 6.1 Introduction Objectives 6. Refer section 5.3 5. Bureaucracy 4.3 3. Taylor 3.3 Copyright © 2009 SMU Powered by Sikkim Manipal University . Refer section 5.3 4. Refer section 5. Douglas McGregor Answers to TQs: 1.2 Models and Theories of Planned Change 6.2. F. MU0002-Unit-06-Foundations of Organization Development Unit-06-Foundations of Organization Development Structure: 6.
3.3 Socio-technical Theory and Open Systems Planning 6.2.1 The Nature of Systems 6. Leaders and OD practitioners use this knowledge base to plan and implement effective change programs.3 The Burke-Litwin Model of Organizational Change 6.9 Action Research Self Assessment Questions 6.11 Terminal Questions 220.127.116.11 Teams and Teamwork 6.2. art and science which form the knowledge base upon which OD is constructed.4 Participation and Empowerment 6.4 Open Systems Thinking 6.3.4 Porras and Robertson Model of Organizational Change 6.7 A Normative ± Re-educative Strategy of Changing 6.12 Answers to SAQs and TQs 6. you will be able to: . In this discussion.3 Systems Theory 6.8 Applied Behavioural Science 6.6.6 Parallel Learning Structures 6.10 Summary 6.1 Introduction This unit describes the foundations of organization development theory and practice. Objectives: After studying this unit.2 Congruence among System Elements 6. you will learn what OD practitioners think and how they think as they engage in the complicated task of improving organizational functioning.
but pretty good for identifying the important variables involved. · Explain systems theory. That is. · Explain the terms µparticipation¶ and µempowerment¶. 6. The first idea states that what is occurring at any point in time is a resultant in a field of opposing forces. Here we describe what we believe are the most important underpinnings for the field.2 Models and Theories of Planned Change Organization development is planned change in an organizational context. and specify the relationships among the variables. · Realize the importance of teams and teamwork. Planned change theories are rudimentary as far as explaining relationships among variables. Models and theories depict. Here we provide a framework for thinking about planned change by exploring several models from the literature. The development of models of planned change facilitated the development of OD. · Describe the parallel learning structures. describe those features as variables. the status quo-whatever is happening right now-is the result of forces pushing in . · Explain normative-re-educative strategy of changing The knowledge base of OD is extensive and is constantly growing. Several recent theories show great promise for increasing our understanding of what happens and how it happens in planned change.1 Kurt Lewin and Friends Kurt Lewin introduced two ideas about change that have been influential since the 1940s.· Explain various models and theories of planned change. in words or pictures. 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. the important features of some phenomenon.2.
This concept is useful for thinking about the dynamics of change situations. we can think of the production level of a manufacturing plant as a resultant equilibrium point in a field of forces. etc. feel things. Although morale may get a little better or a little worse on occasion. A Three-Stage Model of the Change Process: Stage 1: Unfreezing: Creating motivation and readiness to change through a. it generally hovers around some equilibrium point that is the resultant in a field of forces. we can think of the level of morale in that plant as a resultant equilibrium point. b. The production level tends to remain fairly constant because the field of forces remains fairly constant. moving to new level of behaviour. Refreezing the desired behaviour requires establishing a new field of forces to support the new behaviour. change his behaviour from being a smoker to being a non-smoker. Next. believe that cigarette smoking is bad for him and that he should stop smoking. Take the example of a man who smokes cigarettes and wants to quit. Scanning the environment for new relevant information . with some forces pushing toward higher levels of production and some forces pushing toward lower levels of production. Change entails moving from one equilibrium point to another. Likewise. some forces pushing toward higher morale and some pushing toward lower morale. He suggested that change is a three-stage process: Unfreezing the old behaviour (or situation). 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. For example.non-smoking becomes the new equilibrium point. mentor.opposing directions. Finally. and react to things differently based on a new point of view obtained through a. judge things. Provision of psychological safety Stage 2: Changing through Cognitive Restructuring: Helping the client to see things. that is. that is. Refreezing the behaviour at the new level. Edgar Schein took this excellent idea and improved it by specifying the psychological mechanisms involved in each stage. Creation of guilt or anxiety c. Identifying with a new role model. Lewin¶s three-stage model is a powerful tool for understanding change situations. he must move. With a technique called the force-field analysis. The three-stage model says he must first unfreeze the old behaviour of smoking. the non-smoking behaviour must become permanent. Lewin¶s second idea was a model of the change process itself. Disconfirmation or lack of confirmation b.
In stage 1. Phase 6: Generalizing and stabilizing change. This phase corresponds to Lewin¶s unfreezing phase. unfreezing. The total personality and self-concept. which cause guilt and anxiety. stabilizing the changes requires testing to see if they fit-fit with the individual. establishing goals and intentions of action. This phase corresponds to Lewin¶s refreezing phase. 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. The person acquires information and evidence showing that the change is desirable and possible. . 4. for example. The primary task in stage 3. Phase 7: Achieving a terminal relationship. disconfirmation creates pain and discomfort. Phase 2: Establishing a change relationship. That is. and Bruce Westley. is to integrate the new behaviours into the person¶s personality. But unless the person feels comfortable with dropping the old behaviours and acquiring new ones. and 5 correspond ro Lewin¶s moving phase. They expanded the three-stage model into a seven-stage model representing the consulting process. change will not occur. Significant relationships. Their seven stages are as follows: Phase 1: Developing a need for change. In stage 2. which motivate the person to change. That is. that is. terminating the client-consultant relationship. and fit with the individual¶s social surroundings. refreezing. moving. b.Stage 3: Refreezing: Helping the client to integrate the new point of view into a. the person must develop a sense of psychological safety in order to replace the old behaviours with new behaviours. Phase 4: Examining alternative routes and goals. Phase 3: Clarifying or diagnosing the client system¶s problem. Jeanne Watson. In this phase a client system in need of help and a change agent from outside the system establish a working relationship. Phase 5: Transforming intentions into actual change efforts. and attitudes. the person undergoes cognitive restructuring. identifying with ex-smokers and learning about the health risks of smoking. This motivating evidence is gained by.
critique practices and procedures. 3) The team-building track. 2) Diagnosing the problems. 4) Implementing the "tracks" 5) Evaluating the results. Scheduling and implementing the "tracks" involve intervening in five critical leverage points. 3) Scheduling the "tracks".2 Beyond the ³Quick Fix´ A comprehensive change model by Ralph Kilmann specifies the critical leverage points for organizational change.This seven-stage model lays out the logical steps involved in OD consulting. cause the organization to be successful. 4) The strategy-structure track. Initiating the program entails securing commitment from top management. Kilmann describes the five tracks: What does each track do for the organization? . These "road maps" are useful for thinking about change. Change programs take from one to five years to complete. and so forth. This model has five sequential stages: 1) Initiating the program. Kilmann¶s five tracks are: 1) The culture track. 2) The management skills track. problem-solving sessions. 6. Diagnosing the problems requires a thorough analysis of the problems and opportunities facing the organization.2. Similar models have been developed by Kolb and Frohman and by Burke. Interventions include training programs. These problems and opportunities will be the targets of later interventions. and 5) The reward system track. called "tracks. when functioning properly." that.
beginning with the culture track. OD programs are directed toward both first. information sharing. Eastman Kodak.and second-order change. The model distinguishes between organizational climate and organizational culture. 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. General Foods. The strategy-structure track develops either a completely new or a revised strategic plan for the firm and then aligns divisions. The reward-system track establishes a performance-based reward system that sustains all improvements by officially sanctioning the new culture. An OD consultant implements the tracks in a phased sequence. Second-order change goes by many different labels: transformational. or continuous change. and willingness to change among members the conditions that must exist before any other improvement effort can succeed. some features of the organization change but the fundamental nature of the organization remains the same. and all resources with the new strategic direction. In first-order change. Westinghouse. One likes this model because of its comprehensive nature. 6. then moving to the team-building track. The management-skills track provides all management personnel with new ways of coping with complex problems and hidden assumptions. revolutionary.The culture track enhances trust. developed by Warner Burke and George Litwin. and Xerox with good results. and its holistic view of organization change and development. TRW. incremental. then moving to the management skills track. work groups. First-order change goes by many different labels: transactional. and so forth. with an increasing emphasis on second-order transformational change. In second-order change. Ford General Electric. evolutionary. or discontinuous change. the nature of the organization is fundamentally and substantially altered ± the organization is transformed. its identification of the five tracks as critical leverage points. and co-operative team efforts within and among all work groups.3 The Burke-Litwin Model of Organizational Change The next model to be examined is the Burke-Litwin model of individual and organizational performance. This model shows how to create first-order and second-order change (which the authors call ³transactional change´ and ³transformational change´). . Kilmann has tested his model at AT&T. departments. communication. jobs. adaptive. radical. the use of updated management skills.2.
individual and organizational performance. and so forth. 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 is sufficient for causing first-order change. 6. On the other hand. and difficult to change. Transactional leaders are "leaders who guide or motivate their followers in the direction of established goals by clarifying role and task requirements. interventions directed toward mission and strategy. These two concepts come from leadership research which found that some leaders are capable of obtaining extraordinary performance from followers while other leaders are not. and systems cause changes in work unit climate. These perceptions are relatively easy to change because they are built on employees¶ reactions to current managerial and organization practices. management practices. Changing structure. often unconscious. Transformational leadership is required for causing second-order change. and beliefs that are enduring. management practices. We will do so in several steps. Following figure shows the factors involved in first-order (transactional) change. Changing culture is much more difficult than changing climate. in turn. Now let us look at the Burke-Litwin model." Transformational leadership embodies inspiration which leads to new heights of performance. leadership.Organizational climate is defined as people¶s perceptions and attitudes about the organizationwhether it is a good or bad place to work. The model also makes a distinction between transactional and transformational leadership styles. friendly or unfriendly. Fig. The premise of the BurkeLitwin model is this: OD interventions directed toward structure. and organization culture result in second-order change. and systems (policies and procedures) result in first-order change. values. organizational culture is defined as deep-seated assumptions." Transactional leadership embodies a fair exchange between leader and follower that leads to "normal" performance. hard-working or easy-going. which change motivation and. Transactional leadership is required to make this change in organizational climate.1: The Transactional Factors Involved in First ± Order Change .
Burke says: ³Thus there are two distinct sets of organizational dynamics. These factors are able to change the climate. The bottom half of figure displays the factors involved in transactional change. sudden "leaps" in behaviour. and systems produce transactional change or change in organizational climate. leadership styles. The second set of dynamics is concerned with processes of human transformation. Interventions directed toward these factors transform the organization and cause a permanent change in organization culture. if we want to cause second-order (transformational) change. that is. . determines the kind of change required (transactional or transformational). which produces changes in individual and organizational performance. To summarize. we must change mission and strategy. The top half of figure displays the factors involved in transformational change. These factors are powerful enough to change the culture fundamentally. One set primarily is associated with the transactional level of human behaviour or the everyday interactions and exchanges that create the climate. as shown in the above figure. The above two figures together yield the full Burke-Litwin model shown in the following figure. and organization culture.2: The Transformational Factors Involved in Second ± Order Change On the other hand. and then targets interventions toward factors of the organization that produce the desired change. structure. and organization culture produce transformational change or fundamental change in the organization¶s culture. Research by Burke and his students suggests the model performs as intended. The OD practitioner sizes up the change situation. these transformational processes are required for genuine change in the culture of an organization. Interventions directed toward management practices. mission and strategy.´ We consider the Burke-Litwin model to be a significant advance in thinking about planned change. 6. Burke and Litwin propose that interventions directed toward leadership.Fig.
it is described in a discussion by Porras and Peter Robertson. The basic premise is that OD interventions alter features of the work setting causing changes in individuals¶ behaviours. . and interaction processes will affect social factors. management style.4 Porras and Robertson Model of Organizational Change Jerry Porras and his associates developed a model of how organization development works. OD interventions that focus on goals. Following figure shows the work setting in the larger organizational framework. The work setting plays a central role in this model and consists of four factors: organizing arrangements.3: The Burke Litwin Model of Organizational Performance and Change 6. It is how OD works.2. The premise modeled here is that work setting factors influence organizational members¶ cognitions (they learn what is expected. and rewards will affect organizing arrangements. which in turn lead to individual and organizational improvements. and technology. social factors. This model shows how OD interventions can be linked to factors in the work setting.Fig. required. according to Porras and Robertson. Interventions that focus on culture. and these behaviour changes occur when elements of the work setting have been modified by OD interventions. which influence on-the job behaviours. rewarded). which determine organizational performance and individual development. Organizational change occurs only when individuals change their behaviour. Interventions that focus on job design and work flow design will affect technology. strategies. physical setting. For example. 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. Ludwig Von Bertalanffy first articulated the principles of general systems theory in 1950.3 Systems Theory A second foundation of organization development is systems theory. Fig.Fig. describes the characteristics of systems. Systems . and shows how systems theory enhances the practice of OD.4: Organizational Work-Setting Factors This model is extremely useful for OD practitioners and organizational leaders.5: A Change-based Organizational Framework 6. which views organizations as open systems in active exchange with their environment. 6. and Katz and Kahn were the first to apply open systems theory to organizations in 1966. 6.
3. the organization¶s purposes will be reflected in its outputs. conversion. money. and interrelatedness among elements in a set that constitutes an identifiable whole or gestalt. A good rule of thumb for drawing the boundary is that more energy exchange occurs within the boundary than across the boundary. in that they permit exchange of information. Every system is delineated by a boundary. and energy between system and environment. dynamics." Von Bertalanffy refers to a system as a set of "elements standing in interaction. raw material and so on. the reasons for their existence. information. What is inside the boundary is the system. and characteristics of open systems are well-known. All open systems are input-throughput-output mechanisms.system. For example. the organization will cease to exist.theory is one of the most powerful conceptual tools available for understanding the dynamics of organizations and organizational change. 6. The words µarrangement¶ and µinterrelated¶ describe interdependent elements forming an entity. ." Hanna says: "A system is an arrangement of interrelated parts. or subsystems. interconnectedness. They do something to the inputs via throughput. These purposes must align with purposes or needs in the environment. Boundaries of open systems are permeable. one begins by identifying the individual parts and then seeks to understand the nature of their collective interaction. resources. Fagen defines system as "a set of objects together with relationships between the objects and between their attributes. Systems take inputs from the environment in the form of energy. Organizations are open systems. and if the environment does not want these outputs. components. Therefore. and what is outside the boundary is the environment." Kast and Rosenzweig define system as "an organized. system denotes interdependency. people." To summarize. studying open systems leads to a good understanding of organizations. Thus. we examine the characteristics of open systems drawing OD expositions by Katz and Kahn and Hanna. unitary whole composed of two or more interdependent parts. when taking a systems approach. or transformation processes that change the inputs. that is the system.1 The Nature of Systems The nature. Here. and delineated by identifiable boundaries from its environmental supra. and they export products to the environment in the form of outputs. Open systems have purposes and goals. Each of these three system processes must work well if the system is to be effective and survive.
organizations in the fast-food industry pay a lot of attention to information about their industry-nutrition. but most are not useful. Positive feedback comes from the environment. Say your company makes buggy whips. aerospace. . say.6: A System in Interaction with its Environment The law of entropy states that all systems ³run down´ and disintegrate unless they reverse the entropic process by importing more energy than they use. negative and positive. they usually ignore information about other industries such as electronics. Systems are bombarded by all kinds of information: some are useful. Negative feedback measures whether or not the output is on course with the purpose and goals. it will signal whether the environment needs and/or wants buggy whips. For example. For example. and the like." Here is another example of negative and positive feedback. If the mission (target) changes.Fig. It is also known as deviation-correcting feedback. Negative feedback tells you if you are on track with your scheduled production output. while screening out other information. however. and the system adjusts to a new goal. eating fads. that information is called positive feedback. competitors. it receives information to that effect in the form of negative feedback. and makes a course correction. mining. and so on. Systems "code" useful information and incorporate it. "return to earth. The usefulness of the two concepts is that they demonstrate that it is not enough to merely measure our outputs versus the intended targets. if a rocket ship traveling to the moon strays off its trajectory. Organizations achieve negative entropy when they are able to exchange their outputs for enough inputs to keep the system from running down. and the production plan calls for 100 buggy whips per month. Feedback is information from the environment about system performance. Survival of the system is equally influenced by whether or not the targets themselves are appropriate. Systems require two kinds of feedback. It is sometimes called deviationamplifying feed back. 6. Information is important to systems in several ways. By the same token. Positive feedback measures whether or not the purpose and goals are aligned with environmental needs.
and how things really work (versus how they are supposed to work as defined by the formal organization). the principle that there are multiple ways to arrive at a particular outcome or state ± systems have multiple paths to goals. 6. Subsystems exist within larger systems. Systems achieve a steady state or equilibrium point and seek to maintain this equilibrium against disruptive forces. As Katz and Kahn say: ³The basic principle is the preservation of the character of the system. formal organization. and critical decisions that still influence behaviour today. and complex over time. knowledge. . important events. which includes skills.3. Elements of the organization per se are labeled strategy. what the organization is trying to accomplish and how it plans to do it. either internal or external. which includes formal structures. differentiated.Another characteristic of open systems is steady state or dynamic homeostasis. knowledge.´ Also. and 3) History which consists of memories of past successes. This model depicts the organization as an input-throughput-output system. people. 2) Resources available to the organization. perceptions. and the workforce¶s expectations. Another characteristic of systems is equifinality. These subsystems can be arranged into a hierarchy of systems moving from less important to more important. the tasks people perform to create products and service markets people. systems tend to get more elaborated. The three major input factors are: 1) The environment. increased integration and co-ordination are necessary. processes. Outputs are performance at the total organization level. such as capital. and individual level. work. this process is called differentiation. specialized. which includes the organization¶s culture informal rules and understandings. which imposes constraints and opportunities about what the organization can and can not do. and technology. unit/group level.2 Congruence among System Elements David Nadler and associates at Delta Consulting Group developed the congruence model for understanding organizational dynamics and change. failures. and systems for performing the work. and informal organization. With increased differentiation.
The thesis of STS is that all organizations are comprised of two interdependent systems. especially autonomous work groups (selfregulated teams or self-direct teams). organizations must optimize both systems. two active segments of OD today. Socio-technical systems theory was developed by Eric Trist. giving information and feedback to the people doing the work. if people don¶t have the skills and knowledge required to do the work." and which elements are poorly aligned? In companies showing outstanding performance." The premise is that alignment (harmony.Fig.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. Systems models are essential for the practice of OD. performance will suffer.3. Hanna writes: . If the strategy calls for entrepreneurial quickness and risk-taking and the formal organization is bureaucratic and highly centralized. and information to the point of action. You can use this model to analyze organizations with which you are familiar. to the workers doing the job.3 Socio-technical Systems Theory and Open Systems Planning Two major variations of open systems theory. To achieve high productivity and employee satisfaction. 6. If the organization¶s culture (informal organization) praises individual accomplishments and the work requires teamwork and collaboration. and that changes in one system affect the other system. performance will suffer. 6. 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. that is. fit) must be present among the system¶s components¶ for the organization to produce satisfactory outputs. a social system and a technical system. training group members in multiple skills. and identifying core tasks help STS consultants structure organizations and tasks for maximum effectiveness and efficiency. STS is the principal conceptual foundation for efforts in work redesign and organization restructuring. performance will suffer. Fred Emery. and 2) Evaluating the "goodness of fit" or how well the elements "go together. which components are "not functioning correctly. . multi-skilled teams. Principles such as optimizing the social and technical systems. forming autonomous work groups. A number of design principles have been developed to implement socio-technical systems theory. and others at the Tavistock Institute in the 1950s.socio-technical systems theory (STS) and open systems planning (OSP)-play an important role in organization development. Another important application of systems theory in organization development is open systems planning. For example. controlling variance at the source. High-performance organizations almost always use principles from socio-technical systems theory.
therefore. It keeps them from being separate gimmicks or the latest organization change fads. and incidents are not viewed as isolated phenomena. from diagnosis to intervention to evaluation. Of all these disciplines. is the most important. For example. Learning organizations can cope effectively with rapidly changing environmental demands. changing one part of a system influences other parts. systems theory pervades the theory and practice of organization development. Second. G. because most phenomena have more than one cause.´ In conclusion. Viewing organizations from this perspective has several consequences. Without a systemic orientation. team learning.3. By enhancing each of the other disciplines. there is no motivation to look at how the disciplines interrelate. First. events and forces. from their activities. Most OD practitioners engaged in redesign projects use a combination of socio-technical systems theory and open systems planning. events. both realistic (likely to happen if the organization continues on its current course) and ideal (what the organization would like to see happen). He says of systems thinking: ³It is the discipline that integrates the disciplines. and systems thinking. building shared vision. a systems approach encourages analysis of events in terms of multiple causation rather than single causation. it continually reminds us that the whole can exceed the sum of its parts. but seen in relation to other issues.KI Jayaram. . according to Peter Senge. Senge believes that five disciplines must be mastered to create a learning organization: personal mastery. 2) Developing scenarios of possible futures. Open systems planning entails: 1) Scanning the environment to determine the expectations of external organizations and stakeholders. 6. Third. mental models. fusing them into a coherent body of theory and practice. issues. OD practitioners expect multiple effects. this combination is often used in designing high-performance organizations. systems thinking. the fifth discipline. and 3) Developing action plans to ensure that a desirable future occurs. and Will McWhinney developed a technology for addressing the interface between organization and the environment. not single effects. forces. Their technology became known as Open systems Planning (OSP). Charles Krone.In the late 1960s a small team of consultants led by James Clark.4 Open Systems Thinking Open systems thinking is required for creating learning organizations. 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.
4 Participation of Empowerment One of the most important foundations of organization development is a participation/ empowerment model. to exert influence. to contribute their ideas. which they call "mechanistic. not just its component parts. quality circles. This research demonstrated that most people desire increased involvement and participation. search conferences. and generally make people feel better about themselves and their worlds. One view. is the more useful perspective. and greatly enhance acceptance of decisions." These authors believe the organic view.Fourth. involvement and participation energize greater performance. increase commitment to the organization. and to be responsible. it is extended broadly throughout the organization. These pillars of OD practice are validated by both research and practice. Participation is a powerful elixir-it is good for people and performance. OD interventions are basically methods for increasing participation." direct leaders to push decision-making lower in the organization. autonomous work groups. But . To empower is to give someone power. team building. reduce stress levels. growth. Participation in OD programs is not restricted to elites or the top people. 6. Robert Quinn and Gretchen Spreitzer found two vastly different views of empowerment. treat those closest to the problem as the relevant experts. which is done by giving individuals the authority to make decisions. Participation enhances empowerment." is a top-down delegation of decision-making with clear boundaries and strict accountability that increases managerial control. and change. quality of work life programs. Further. This idea moves the practitioner away from analyzing historical events and toward examining contemporary events and forces. Empowerment meant trusting people and tolerating their imperfections. one changes the system. And fifth. called "organic. They believed that it was about risk-taking. Research on group dynamics began in the 1940s and achieved exponential growth in the 1950s and 1960s. survey feedback. OD interventions are deliberately designed to increase involvement and participation by organization leaders and members. The other view." is bottom-up and less controlling. produce better solutions to problems. according to field theory (Kurt Lewin). to change a system. Participation is an especially effective form of empowerment." and "Have decisions made by those who are closest to the problem. and the culture audit are all predicated on the belief that increased participation will lead to better solutions. Rules of thumb such as "Involve all those who are part of the problem or part of the solution. and growth. The entire field of OD is about empowerment. personal initiative. the forces in the field at the time of the event are the relevant forces for analysis. Researchers found that group dynamics work to overcome resistance to change. and give more power to more people. and empowerment in turn enhances performance and individual well-being. For example. with its emphasis on risk-taking. The most important contrast between the two views involves the implicit but potentially volatile assumptions people make about trust and contro1. They describe the organic view: "The other group of executives saw empowerment much differently. Increased participation and empowerment have always been central goals and fundamental values of the field.
Second. Team Saturn produced the Saturn automobile. the effects on individual behaviour are immediate and lasting. that is. Quinn and Spreitzer conclude: ³Empowerment. much individual behaviour is rooted in the socio-cultural norms and values of the work team. many tasks are so complex they cannot be performed by individuals. teams at 3M generate the hundreds of innovations that keep 3M ahead of its competition. research. Teams at Motorola produced its bestselling cellular phones. employees must choose to be empowered. and relationships if they are to be effective. The previous discussion focused on empowerment and concluded that the act of empowering individuals greatly increased their performance and satisfaction. Theory. and capable of having an impact on the system in which they are embedded. they must if personally connected to the organization. as a team. to name just a few. crossfunctional "design-build" teams developed the Boeing 777. A second fundamental belief is that teams must manage their culture. people must work together to accomplish them. Team Taurus developed Ford¶s best-selling automobile. and practice attest to the central role teams play in organizational success. Teams and teamwork are among the "hottest" things happening in organizations today ± gurus extol the virtues of teams. but rather a mindset that employees have about their roles in the organization. QCs (quality circles). HPWSs (high-performance work systems). . then. the noun team has become a verb. STS (socio-technical systems). teams create synergy.´ 6.both views contain valid ideas: for example. systems. teaming. and team-related acronyms abound-SDTs (self-directed teams). Teams are important for a number of reasons: First. confident about their abilities. changes those norms and values. Synergy is a principal reason teams are so important. the organic approach unleashes talent and energy in people that are best channeled by providing clear guidelines and boundaries. Third.5 Team and Teamwork A fundamental belief in organization development is that work teams are the building blocks of organizations. HPOs (high-performance organizations). 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 "in. processes. Teams and teamwork are part of the foundation of organization development. While management can create a context that is more empowering. If the team. the sum of the efforts of team members is far greater than the sum of the individual efforts of people working alone. "The evidence is abundantly clear: Effective teams produce results far beyond the performance of unrelated individuals. They must see themselves as having freedom and discretion.
Teams periodically hold team-building meetings. These interventions apply to formal work teams as well as startup teams. 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. . role negotiation technique. Examples are team-building. and set ever-higher goals. and individuals are trained as group leaders and group facilitators. inter-group team-building. recognition. we examine the potential of teams and teamwork. Larson and LaFasto studied a number of high-performance teams. Grid OD and techniques such as role analysis technique. status. High-performance teams regulate the behaviour of team members. and the like. people are trained in group dynamics and group problem-solving skills. find innovative ways around barriers. Team-building activities are now a way of life for many organizations. When any one feature is lost. heart transplant surgical teams. help each other. process consultation. Larson and LaFasto found eight characteristics always present: 1) A clear. 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. 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. and responsibility charting. parallel learning structures. to determine the characteristics that make them successful. and explore ways to realize that potential. and respect-teams nurture human nature. A number of OD interventions are specifically designed to improve team performance.Fourth. the crew of the USS Kitty Hawk. All these characteristics are required for superior team performance. In this section. The net effect is that teams perform at increasingly higher levels. and others. cross-functional teams. quality circles. and that teamwork becomes more satisfying for team members. including collegiate football national champions. socio-technical systems programs. Investigators are discovering why some teams are successful while others are not. teams satisfy people¶s needs for social interaction. temporary teams. that they achieve synergy. team performance declines.
deciding. Parallel learning structures are often the best way to initiate change in large bureaucratic organizations. and acting differently than normally takes place at work. Bushe and Shani say: ³The key thing about parallel structures is that they create a bounded space and time for thinking. talking. and employees. and countless other organizations to demonstrate the ability of small project teams to produce high quality. superior customer service. High responsibility. and then leading the process. He uses examples from EDS (Electronic Data Systems). 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. 6. Union Pacific Railroad. Interestingly. constitute another important foundation of organization development. Projects are the work of the future. At Ford Motor Company. and high accountability drive these project teams to outperform traditional organization structures on every measurable dimension. If you don¶t implement different norms and procedures. and continuous learning. The quality of work life programs of the 1970s and 1980s used parallel structures composed of union leaders. High-performance organizations often use parallel structures to co-ordinate self-directed teams. managers.´ Parallel structures help people break free of the normal constraints imposed by the organization. a steering committee and working groups were used to co-ordinate the employee involvement teams. engage in genuine inquiry and experimentation. Most socio-technical systems redesign efforts and open systems planning programs use parallel structures. Titeflex. It isn¶t the supplemental structure that¶s important. clear objectives. Asea Brown Boveri. projects will be performed by teams. In essence. What¶s important is that people act in a way that promotes learning and adaptation. parallel structures are a vehicle for learning how to change the system. flexible response. Parallel learning structures are a foundation of OD because they are prevalent in so many different OD programs. and initiate needed changes. autonomous. 6. 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.7 A Normative ± Re-educative Strategy of Changing . Considerable experimentation with collateral organizations occurred in the 1970s and 1980s. empowered teams are what the best organizations are using right now to outdistance the competition. specially created organizational structures for planning and guiding change programs. normal hierarchical considerations become obsolete for these project teams-you could be the boss of one team.Tom Peters asserts in Liberation Management that cross-functional. especially when the change involves a fundamental shift in the organization¶s methods of work and/or culture.´ The purpose of the collateral organization is to deal with "ill-structured" problems the formal organization is unable to resolve.6 Parallel Learning Structures Parallel learning structures. and report to one of your subordinates on another team. you don¶t have a parallel structure. The most important and difficult task for the people creating the parallel learning structure is to create a different culture within it.
based on the assumptions that people are rational. attitudes. and change comes through re-education in which old norms are discarded and supplanted by new ones. according to this view. anxieties. doubts. not just changes in knowledge. the practitioner intervenes in a collaborative way with the clients. will occur only as the persons involved are brought to change their normative orientations to old patterns and develop commitments to new ones. These strategies build upon assumptions about human motivation different from those underlying the first. that is. The first type is empirical rational strategies. based on the assumptions that norms form the basis for behaviour." Solutions to problems are not a priori assigned to greater technical information but may reside in values. and it rests on a particular strategy for change that has implications for practitioners and organization members alike. strategy has the following implications for the practice of OD.Organization development involves change. and will change if and when they come to realize change is advantageous to them. These implications give clients considerable control over the situation. based on the assumption that change is compliance of those who have less power with the desires of those who have are power. and significant relationships. And changes in normative orientations involve changes in attitudes. Patterns of action and practice are supported ± by sociocultural norms and by commitments on the part of the individuals to these norms. The third set of strategies is the power-coercive strategies. and OD is based primarily on a normative-re-educative strategy and secondarily on a rational-empirical strategy. Socio-cultural norms are supported by the attitude and value systems of individuals-normative outlooks which undergird their commitments. . relationships and customary ways of doing things. OD clearly falls within the normative-reeducative category. The rationality and intelligence of men are not denied. Chin and Benne describe three types of strategies for changing. Change in a pattern of practice or action. rather than the OD practitioner. Chin and Benne suggest that a normative-re-educative. and together they define problems and seek solutions. The client system members define what changes and improvements they want to make. information. 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. The point here is that different strategies are available for effecting change. The second group of strategies is normative-re-educative strategies. and they give more options to both the clients and the practitioner. values. or intellectual rationales for action and practice. skills. will follow their rational self-interest. Evaluated against these three change strategies. they impel a collaborative effort rather than a "doing something to" effort. although often OD represents a combination of the normative-re-eductive and the empirical-rational strategies. Anything hindering effective problem solving is brought to light and publicly examined. Chin and Benne indicate the nature of the normativereductive strategy as follows: A second group of strategies we call normative-re-educative.
norms can best be changed by focusing on the group. On this point. thereby solving the problem. or practice. The practitioner uses treatment as the empirical test of his diagnosis. for example. Each type description of the diagnostic typology contains implications for a certain type of treatment. OD is the application of behavioural science knowledge. and finally evaluating the effects of the treatments. failure negating it and thus requiring re-diagnosis. 6." the OD practitioner works: first diagnosing the situation. The aim of this discussion is to look briefly at how behavioural science knowledge becomes applied behavioural science knowledge. behavioural science knowledge." Both diagnosis and treatment consist of observing a situation and.Because norms are socially accepted beliefs held by groups about appropriate and inappropriate behaviours. practices. the major leverage point for change is at the group level. not the individual. with their elaborations and implications constitute practice theory. The practitioner examines the problem situation." applied science.. on the basis of which he or she prescribes a solution that. and (2) "technology. Thus. This process is customarily referred to as diagnosis and treatment. . The principles of diagnosis and of treatment constitute the principles of practice.e. success corroborating the diagnosis. i.´ From this "practice theory. OD emphasizes the latter. A conventional distinction is made between (1) "pure" or basic science. the object of which is knowledge for its own sake. pressing problems. the treatment typology allows the practitioner to know what remedial efforts to apply to correct the problem. applied science or practice. on the basis of selected variables. 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. Greenwood discusses the activities of the practitioner as follows: "The problem that confronts a practitioner is customarily a state of disequilibrium that requires rectification.´ Norms help determine individual behaviour and a normative-re-educative strategy of changing pervades the practice of OD. the object of which is knowledge to solve practical. Although human behaviour in organizations is far from an exact science. hopefully. OD practitioners know about these patterns through research and theory. Greenwood states: ³The diagnostic and treatment typologies are employed together. re-establishes the equilibrium. 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.8 Applied Behavioural Science This foundation of OD relates to the primary knowledge base of the field. and skills in ongoing systems in collaboration with system members. by modifying a group norm or standards. then selecting and implementing treatments based on the diagnosis. placing it in a classification scheme or typology. The diagnostic typology allows the practitioner to know what category of situation he or she has examined. lawful patterns of events produce effectiveness and ineffectiveness.
practice research and practice theory. Action research involves three processes: data collection. represent contributions from pure or basic science. and action planning based on the data. It is a type of action-research. and doing or implementing change efforts. represent contributions from applied science. Taken separately. Action research is a method that combines learning and doing ± learning about the dynamics of organizational change. problem-solving method that replicates the steps involved in the scientific method of inquiry underlies most OD activities. had this to say about it: ³The research needed for social practice can best be characterized as research for social management or social engineering. Action research is especially well-suited for planned change programs. the two top in puts. each is a powerful conceptual tool for thinking out and implementing change. perhaps more accurately. it is a program of applying behavioural science to organizations.9 Action Research The action research model ± a data-based. feedback of the data to the client system members. behavioural science research and two behavioural science theory. 6. Self Assessment Questions . form of applied behavioural science. who developed the concept of action research. Kurt Lewin. a comparative search on the conditions and effects of various forms of social action. and research leading to social action« This by no means implies that the research needed is in any respect less scientific or "lower" than what would be required for pure science in the field of social events. Taken collectively. I am inclined to hold the opposite to be true.´ Concluding Comments: These foundations of organization development form the theoretical and practice underpinnings of the field. 6.Fig.8: Composition of Applied Behavioural Science Organization development is both a result of applied behavioural science and a. The two bottom inputs. they constitute the beginning of a theory of organization development and change that has enormous potential for improving organizational performance and individual development.
In parallel learning structures members have to think and behave in ways that are different from the normal roles and rules of the organization. First²order change is also called ___________. What are first-order and second order change according to Burke-Litwin Model of organizational change? Explain. A fundamental belief in OD is that work teams are the building blocks of organizations. ±±±±±±±±±± means moving to new level of behaviour. OD interventions alter features of the work setting causing changes in individuals¶ behaviours. ³Work teams are building blocks 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. 3. 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. 6. Transactional change . 3. A _____________ is defined as ³a set of elements standing in interaction.1. Unfreezing 2. Ralph Kilmann specified the critical leverage points for organizational change. Systems theory views organizations as open systems in active exchange with their environment.12 Answers to SAQs and TQs SAQs: 1.´ 5. Action research model combines learning and doing.10 Summary The foundations of organizational development form the theoretical and practice underpinnings of the field.´ Comment on this statement. 6. The Burke-Litwin model emphasized on first-order and second-order change. 2.11 Terminal Questions 1. Bring out the essence of ³managing beyond the quick fix´ model of organizational development. ±±±±±±±±±± gave the model ³Beyond the Quick Fix´. 4. 2. 6. 4. _____________ means sum of the efforts of team members is far greater than the sum of individual efforts of members. What are the features of systems theory of organizational development? 5. Explain Kurt Lewin¶s models and theories of planned organizational change.
Refer section 6.1 Introduction Objectives 7. System 5.6 Summary . Refer section 6.2.3 Types of Organization Culture.3 5. Refer section 6. Refer section 6.2.5 Developing and changing Organization Culture Self Assessment Questions 7. 7.2 Characteristics of Organization Culture 7.3 4.2.4 Organization Culture and Effectiveness 7.Refer section 6.1 2.5 Copyright © 2009 SMU Powered by Sikkim Manipal University .2 3. Synergy Answers to TQs: 1. MU0002-Unit-07-Organization Culture and Climate Unit-07-Organization Culture and Climate Structure: 7.4.
For example. · Describe different types of Organization Culture · Explain organization culture and effectiveness. Some of the most readily agreed upon are the following: 1. When organizational participants interact with one another.7. or developed by an organization as it learns to cope with its problems of external adaptation and internal integration. The concept of culture is particularly important when attempting to manage organization-wide change. · Discuss about developing and changing organization culture. what members wear. terminology. Culture is one of those terms that¶s difficult to express distinctly. including guidelines on how much work to do. ± similar to what you can use to get a feeling about someone¶s personality. the culture of a large. despite the best-laid plans. Norms.2 Characteristics of Organization Culture Organizational culture has a number of important characteristics. norms and tangible signs (artifacts) of organization members and their behaviors. thinking. for-profit corporation is quite different than that of a hospital which is quite different than that of a university. 1986). values. Observed behavioral regularities.8 Answers to SAQs and TQs 7. you will be able to: · Understand Organization Culture. and validated enough to be taught to new members as the correct ways of perceiving. Which in many organizations come down to ³Do not do too much. Practitioners are coming to realize that. they use common language. discovered. but everyone knows it when they sense it. and rituals related to deference and demeanor. Comprehensively organization culture is the pattern of basic assumptions that is invented. Martin and Meyerson. but also changing the corporate culture as well. and feeling in relation to these problems (Schein. Members of an organization soon come to sense the particular culture of an organization. 7.1 Introduction Basically. Culture is comprised of the assumptions.7 Terminal Questions 7. organizational culture is the personality of the organization. etc. Objectives: After studying this unit. what they brag about. do not do too little?´ . 2. Standards of behavior exist. organizational change must include not only changing structures and processes. You can tell the culture of an organization by looking at the arrangement of furniture.
are particularly driven by results and are often very competitive. Low absenteeism and high efficiency. but one where all transactions. Clan The Clan organization has less focus on structure and control and a greater concern for flexibility. Hierarchical leaders are typically coordinators and organizers who keep a close eye on what is happening. this was considered the only effective way of organizing and is still a basic element of the vast majority of organizations. internal and external are viewed in market terms.3. Market The Market organization also seeks control but does so by looking outward. clans often have flat organizations and people and teams act more autonomousl. It has an inward focus and a sense of family and people work well together. 7. shared goals. Organizational climate: This is an overall ³feeling´ that is conveyed by the physical layout. value flows between people and stakeholders with minimal cost and delay. Note that the Market organization is not one which is focused just on marketing. Market cultures are outward looking.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. Rather than strict rules and procedures. outputs and outcomes. the way participants interact. 4. In an efficient market organization. Typical examples are high product quality. people are driven through vision. . and in particular taking note of transaction cost. processes and procedures. 5. and the way members of the organization conduct themselves with customers or other outsiders. In contrast to Hierarchies. For many years. Philosophy: These are policies that set forth the organization¶s beliefs about how employees and/or customers are to be treated. Hierarchies have respect for position and power. New-comers must learn those ³ropes´ in order to be accepted as full-fledged members of the group. Leaders in market cultures are often hard-driving competitors who seek always to deliver the goods. Transactions are exchanges of value. Dominate value: These are major values that the organization advocates and expects the participants to share. 6. Rules: There are strict guidelines related to getting along in the organization. They often have well-defined policies.
Where market success goes to those with greatest speed and adaptability. thinking. · Its rituals. 1986). It will use prototyping and experimenting rather than long. big-bang projects and development. which is necessary in a rapidly changing business climate. Comprehensively organization culture is the pattern of basic assumptions that is invented. although not necessarily documented. the way they dress etc. rules. symbols. plaques. culture is like the DNA of an organization. . discovered.4 Organization Culture and Effectiveness It is reflected in how things are done (Flanagan. Leaders in an adhocracy are visionary. do still exist and are often communicated and inculcated socially. · The observable behavior of its members (the way they talk. Clan leaders act in a facilitative. Artifacts: The visible manifestations of culture as seen in the physical and social environment of the organization such as: · Its structure. 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. 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). etc. affecting the performance of every-one within the culture in positive or negative ways. the jargon they use. innovative entrepreneurs who take calculated risks to make significant gains. 7. invisible to the naked eye. Adhocracy The Adhocracy has even greater independence and flexibility than the Clan.strongly driven by loyalty to one another and the shared cause. or developed by an organization as it learns to cope with its problems of external adaptation and internal integration. norms. and procedures. 1995) and how problems are solved in an organization. · Public documents it releases and media reports and stories about it. In biological terms. and validated enough to be taught to new members as the correct ways of perceiving. Rules. the adhocracy will rapidly form teams to face new challenges. systems and subsystems. but critical to shaping its behavior. The set of basic assumptions evolve into values artifacts and norms in terms of which an organization culture may be examined and understood. 1993). and feeling in relation to these problems (Schein. supportive way and may take on a parental role. Martin and Meyerson.
Identifying. These causal variables include only those independent variables which can be altered or changed by the organization and its management. Though an organization espouses a series of values. skills. Causal variables include the structure of the organization and management¶s policies. goals. These are the essential and enduring tenets of an organization. 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. believing. Values evolve out of the basic assumption and form the core (or heart) of the culture. IBM norms dictate that employees should actively listen and respond to customer demands and complaints. and are generally not compromised for short-term benefits or financial gains. 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. 1. the organizational analysis is incomplete for a practicing manager unless the factors underlying effectiveness are identifying. the personality of the organization). organizational growth. Causal variables include the structure of the organization and its management. and doing. For example. reflecting what is important in the organization and determining how the organization ought to be (the ethos. From this point of view. individually and collectively. communicating. intervening and end result.Values: These are the social principles. Organization Effectiveness Organizational effectiveness. Causal Variables: Causal variables are those factors that influence the course of development within an organization and its results or accomplishment. productivity. and behaviour. and what is right and what is wrong. decisions. . They are reflected in the core capabilities of a company.the informal rules of the fame telling employees what they are supposed to be saying. Whatever the criteria adopted for organizational effectiveness. business and leadership strategies. Thus. and no unanimity is found in different approaches. its core value are limited to a few in number. are often used interchangeably. also called as organizational success or growth.which are useful in discussing organizational effectiveness over time. or standards held by members of an organization. Though a large volume of literature is available on the concept and working of organizational effectiveness. Grouping variables into these categories aids greatly in the correct interpretation of the data and their use for diagnostic and other purposes. various terms such as efficiency. there are numerous variables. from the basis of its policies and action. The various approaches are judgmental and open to question. profitability. 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. there is often contradiction in various approaches. to denote organizational effectiveness.
The founder brings in one or more other key people and creates a core group that shares a common vision with the founder. locating space. performance goals.g. That is. However. and earnings. then such rapid change can be welcomed and accommodated with as little disruption and as few problems as possible. Likert states that the intervening variables reflect the internal state and health of the organization. is worth running some risks for. End ± result Variables: End-result variable are those factors which are caused by causal and intervening variable and are often in terms of the factors in which managers are interested or measure their effectiveness. communication. the process usually involves some version of the following steps: 1. 7. 3. 2.. and energy that will be required. 4. New product development and information technology is changing so rapidly that any example would be soon out-of ±date. motivational. The intervening variables may be divided into two broad categories: (i) the intervening attitudinal. A single person (founder) has an idea for a new enterprise. According to Likert. Intervening variables are concerned with building and developing the organization. the loyalties.2. all in this core group believe that the idea is a good one. scrap loss. Many of these variables are caused by causal variables. Intervening Variables: Intervening variables are those factors which are reflected as the internal state of organization. This is one part of effectiveness that many managers overlook because it emphasis long-term potential as well as short-term performance. motivations. costs. obtaining patents. attitudes. if the appropriate organization culture is in place. and (ii) the intervening behavioral cluster. building. and perceptual cluster. The founding core group beings to act in concert to create an organization by raising funds. and is worth the investment of time. and they tend to be longterm goals. the current environmental context has undergone drastic change and either the organization must adapt to these new conditions or it may not survive. end-result variables are the dependent variables which reflect the achievements in the organization such as its productivity. incorporating. is workable.5 Developing and Changing Organization Culture How Organizational Cultures Start Although organizational cultures can develop in a number of different ways. and a common history begins to be built. 3. Changing Organizational Culture Sometimes an organization determines that its culture has to be changed. For example. . others are brought into the organization. and perceptions of all members and their collective capacity for effective interaction. and so on. and decision-making. money. e. At this point.
Guidelines for change Despite the significant barriers and resistance to change. habits. Politics. take these losses early. especially when making changes in rules and processes. Simple guidelines such as the following can be helpful. . Staffs. These factors from the two cultures include the size. Include employees in the culture change process. 3. 4. commitment. roles. and history of two firms. 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?. In addition. and how this plays out among the partners will be important to cultural compatibility. the industry in which the partners come from and now reside. organizational cultures can be managed and changed over time. Recruit outside personnel with industry experience. 7. Predictable obstacles include entrenched skills. Expect to have some problems and find people who would rather move than change with the culture and. This attempt to change culture can take many different forms. and patterns of daily behavior. Structure. 2. if possible. the ³culture contract´ that individuals have bought into to guide their day-to-day thoughts. Make changes from the top down. 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. Emotions. so that they are able to interact well with the organizational personnel. powerful stakeholders such as unions. so that a consistent message is delivered from all management team members. Assess the current culture. and structures that work together to reinforce traditional cultural patterns. attitudes. 6. Set realistic goals that impact on the bottom line. Where does the power and managerial decision making really reside? Corporate cultures range from autocratic extremes to total employee empowerment. 5.Even through some firms have had a culture in place to anticipate change. management. These emotions will be a major input into the clash or compatibility of the two cultures. 3. Take out all trappings that remind the personnel of the previous culture. The personal feelings. or even customers may support the existing culture. and whether products and/or services are involved. 1. the geographic location. 2. relationships. age.
8. ________cultures are outward looking. effectiveness through adaptive-coping cycle has been discussed. 2. intervening variables and end-result variables and there exists interrelationship among these variables. Factors in organizational effectiveness include casual variables.goal approach. Artifacts 2. 3. ___________are those factors that influence the course of development within an organization and its results or accomplishment.6 Summary Organizational effectiveness is the degree to which organization is successful in accomplishing its goals. Finally. Market 3. Causal variables Answers to TQs: . _____are the visible manifestations of culture as seen in the physical and social environment of the organization. Stay the course by being persistent. 9. behavioural approach. and strategic constituencies approach. Explain the characteristics of organization culture. Self Assessment Questions 1.7 Terminal Questions 1. Briefly explain different types of organizational culture. system-resource approach. Move quickly and decisively to build momentum and to defuse resistance to the new culture. 7. 3. Effectiveness of an organization can be increased through economic man approach and administrative man approach. Organizations to be successful must be efficient and effective. Discuss the development and change of organizational development. 2. are particularly driven by results and are often very competitive. 7. 7. Organizational effectiveness can be measured through various approaches.8 Answers to SAQs and TQs SAQs: 1.
1 Introduction Objectives 8. Refer section 7.9 Summary 8.Power.1.8 Acquiring and using Power Skills Self Assessment Questions 8.Power.4 Theories about the Sources of Social Power 8.6 The Role of Power and Politics in the Practice of OD 8. Politics and Organization Development Structure: 8.3 3. Refer section 7.2 Power Defined and Explored 8.10 Terminal Questions .7 Operating in a Political Environment 8. Refer section 7.5 Copyright © 2009 SMU Powered by Sikkim Manipal University . Politics and Organization Development Unit-08.3 Two Faces of Power 8.2 2.5 Organizational Politics Defined and Explored 8. MU0002-Unit-08.
but kinetic power is the act of doing so. indisputable facts of organizational life. · Explain theories about the sources of power. · Acquire skills to handle power and politics in organizations.2 Power Defined and Explored "Power is the intentional influence over the beliefs.¶ To have power is to be able to get desired things done.actions and the decisions that precede them." "Power is defined in this unit simply as the capacity to effect (or affect) organizational outcomes. 8. you will be able to: · Define power and politics in organizations. and for change to occur in an organization.´ Organization development has been criticized for not taking into account power in organizations.8. to effect outcomes. The OD practitioner needs both knowledge and skill in the arenas of organizational power and politics. Potential power is the capacity to do so. and behaviours of people. must be understood if one is to be effective in organizations. emotions. As Warner Burke observes: "Organization development signifies change.1 Introduction Power and politics.11 Answers to SAQs and TQs 8. The French word µpouvoir¶ stands for both the noun µpower¶ and the verb µto be able. That criticism was essentially correct for many years although it is less valid today. Objectives: After this studying this unit. In this unit.´ ³A has power over B to the extent that he can get B to do something that B would otherwise not do. · Explain the role of power and politics in the practice of OD." ³Power is the ability of those who possess power to bring about the outcomes they desire. One person exerts power over another to the degree that he is able to exact compliance as desired." . we examine power and politics in relation to organization development. 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. power must be exercised. 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.
for organizations to function. Without leadership (power) directed toward warfare. however. or positive. spiritual." Her research in four organizations showed both kinds of power. technological." . Without influence (power) people would have no cooperation and no society. 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. with collective. we will examine four different views about who gets power and how: · Emerson¶s "Power-Dependence theory.3 Two Faces of Power David McClelland proposed an important distinction when he identified "two faces of power" ± positive and negative. humankind would not have much of the misery it does today. It is especially salient in coordinated activities such as those found in organizations. This positive face of power enables others to reach their goals as well as lets the person exercising power reach his or her goals.4 Theories about the Sources of Social Power Power exists in virtually all social situations. According to him. an authority or power dimension is required. Crushing. In most organizations the positive face of power is much more prevalent than the negative face of power. and organizational activities. political. or acquired? In this unit. The positive face of power is characterized by a socialized need to initiate. influence. the negative face of power is characterized by a primitive. McClelland observed that while power has a negative connotation for most people. persuading-these are examples of positive uses of power. 8. Power-in-action may take many forms. and lead." A moment¶s reflection. The negative face of power seeks to dominate and control others. both positive and negative. confiscation. power being the predominant mode. selling. bestowed. it is through the use of power that things get done in the world. humankind would not have the standard of living it does today. In fact. influencing. absolute power corrupts absolutely. and outcomes favoring one party over the other. the positive face of power seeks to empower self and others. the necessity of social interaction between two or more parties. Power per se is probably neither good nor bad although Lord Acton observed that "power tends to corrupt. 8. Roberts came to a similar conclusion in her study of "collective power" and "competitive power. Leading.Analyzing these definitions shows some common elements: effectance-getting one¶s way. unsocialized need to dominate others. not the possession of power as such. We think this distinction provides a good insight into the concept of power. forcing. coercing-these are examples of negative uses of power. financial. and repression. hurting. the act or ability of influencing others. How do some people come to possess power? How is power generated. being exercised. We therefore define interpersonal power as the ability to get one¶s way in a social situation. suggests that many problems with power stem from the goals of persons with power and the means they use. The phenomenon of power is ubiquitous. Without leadership (power) in medical.
goals. praise. respect. that is. or feeling of oneness with) the power holder. attraction. that person has power over us. Reward power ± power based on the ability of the powerholder to reward another." · Mintzberg¶s Observations on the Genesis of Power in Organizations. we will continue the exchange relationship. power.· French and Raven¶s "Bases of Social Power. The components of this theory are a social relation between two parties and resources (commodities. information. rewards) that are controlled by one party. French and Bertram Raven on "the bases of social power. Social interaction represents an exchange of social goods and services. 4. ." These authors suggested five sources. we will terminate or alter the relationship. We enter into and continue in exchange relationships when what we receive from others is equivalent to or in excess of what we must give to others. Legitimate power ± power based on everyone¶s belief that the powerholder has a legitimate right to exert influence and that the power-receiver has a legitimate obligation to accept the influence. P. Closely related to these ideas is the classic statement by John R." · Salancik and Pfeffer¶s "Strategic-Contingency Model of Power. Informational power is a form of expert power where the powerholder possesses important facts or information needed by the other. if a person has something we want badly and we cannot get it any other place. 3. of social power as follows: 1. When the net balance for us is positive. influence. when the net balance for us is negative. 5. rejection. which posits that what goes on between persons is an exchange of social commodities: love. and so forth. Coercive power ± power based on the ability of the powerholder to punish another. Power-dependence theory states that power is inherent in any social relationship in which one person is dependent on another. to give something valued by the other. Referent power ± power based on the power-receiver having an identification with (attraction to. giving someone power over us is the commodity we exchange when we are dependent on that person for something we want. that is. or bases. and desired by the other. Richard Emerson states that "the dependence of Actor A upon Actor B is (1) directly proportional to A¶s motivational investment in the goals mediated by B. 2. hate. The sociologist." In other words. Expert power ± power based on the powerholder possessing expert knowledge or expertise needed by the other. Viewed in this light. Power-dependence theory is related to a broader framework of social interaction called social exchange theory. to give something negatively valued by the other. blame. and (2) inversely proportional to the availability of those goals to A outside of the A-B relation.
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.
Stature and credibility: Beer notes that power accrues to those who have been successful and effective. These sources of influence produce a substantial power base that will enhance the likelihood of success. If the OD group is cohesive and free of internal dissention. 5. Competence: Demonstrated competence is the most important source of power. According to the framework of French and Raven. Skills such as listening. the resources of OD expertise and ability to help organizational subunits solve their pressing problems. 6. 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. informational power (the consultant has a wealth of information about the strengths and weaknesses of the organization). 2.7 Operating in a Political Environment We will present some general observations on operating in a political environment. First. experience. . the OD consultant possesses power from the following bases: legitimate power (the OD program and consultant are authorized by the organization¶s decision makers). organization development practitioners operate from a potentially strong power base they can use to advantage. preferably multiple sponsorship. acceptability. 3. it will gain more power. Paying attention to these sources of power will enhance the likelihood of success of OD programs. followed by some rules of thumb for the OD practitioner. Success leads to credibility and stature. Resource management: Power accrues to those who control resources-in this case. and ability to gain organizational support. in powerful places. Early success in the OD program and its usefulness to key managers of the organization helps promote this reputation.8. problem solving. Sponsorship: "Organization development groups will gain power to the extent that they have sponsorship. Group support: If the OD group is strong internally. OD practitioners are likely to have high interpersonal competence by virtue of their training. both as a person and as a professional. Rule One: Become a desired commodity. Becoming a desired commodity as a person means being interpersonally competent and trustworthy. 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." 4. Michael Beer has identified additional means by which an OD group can gain and wield power in organizations: 1. expert power (the consultant possesses expert knowledge). communicating. and expertise. it will be strong externally. coaching. and possibly referent power (others may identify with and be attracted to the consultant).
those issues vital to the organization¶s success. Another way the OD program becomes a desired commodity is by focusing on important issues. and effective conflict management techniques are required to enhance stable. usually managers. Beer and Walton argue that organization development should move from being practitioner centered to being managercentered. Each is derived from one general principle: Mind your own business. which is to help someone else solve his or her major problems. Good OD practitioners will have learned and practiced these skills. while at the same time increasing his or her usefulness to the organization¶s powerholders. Rule Six: Mind your own business. The following rules describe ways to avoid becoming involved in one¶s own or in others¶ political struggles. The preceding rules of thumb describe ways to increase or solidify one¶s power base. Many OD interventions promote win-win solutions for conflict situations. and showing appreciation for the strengths of others are components of interpersonal competence. The role of the OD consultant is to help others upon request. The OD program belongs to the manager. Rule Three: Make the OD program a valued commodity for multiple powerful people in the organization. constructive social relationships. OD professionals who are skilled in conflict management techniques and OD programs that encompass conflict resolution activities become valued commodities. OD programs should be results-oriented. it gains an aura of respect and protection that sets it above most political entanglements. the manager will vigorously defend it. . not the OD consultant. which is to be an expert on process.counseling. to help them achieve their goals and solve their problems. not by getting involved in the answers. not content. Organizations are social systems in which members have both a history and a future of interacting. A valuable byproduct of this fact is that if the program runs into political turbulence. Sometimes OD practitioners overlook that they are hired by others. When the OD program serves the needs of top executives. The principle is simple but powerful: know your legitimate business and stick to it. Rule Four: Create win-win solutions. Abiding by this rule keeps the consultant from becoming entangled in politics. The nature of organizations and the nature of organization development suggest this rule. OD programs become desired commodities when they are instruments that allow individuals and organizations to reach their goals. 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. 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. OD consultants have a formal or informal contractual agreement with managers to help them do what they are trying to do-better. Rule Two: Make the OD program itself a desired commodity. Rule Five: Mind your own business.
yet legitimate means of acquiring power. negotiations the nature of power and politics.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 . As shown in the figure." and "going around the formal system. but these give the flavor of the issues one must consider when operating in a political environment. We could propose more rules of thumb.8 Acquiring and Using Power Skills The OD practitioner is neither power activist nor power broker. Networking is recognized as a potent. but that does not mean practitioners must be naive or incompetent in the political arena. problem solver." "using social networks. and personality characteristics. and the characteristics and behaviors of powerholders. Earlier we stated that the OD practitioner should learn as much as possible about bargaining. dealing directly with powerholders and decision makers. viable. such behavior is often interpreted as politically motivated. the strategy and tactics of influence. not power activist or power broker. A subtle phenomenon is involved here: when people engage in illegitimate behavior. others¶ support.Rule Seven: Mind your own business because to do otherwise is to invite political trouble." which arouses defensive actions." OD practitioners have typically pursued a "playing it straight" strategy as their sole means of exerting power. individual power derives from knowledge. We believe the legitimate role of the OD practitioner is that of facilitator. and using contacts for information. and educator. Illegitimate behavior causes others to try to exert greater control over the situation. thereby greatly expanding practitioner influence. The authors propose adding the "using social networks" strategy to their repertoires. 8. One carries out such a strategy by participating in alliances and coalitions. Illegitimate behavior encroaches on others¶ legitimate "turf. Table 8. Three successful power strategies are "playing it straight. catalyst. Attention to these rules can save OD practitioners time and energy that can be more profitably invested in the OD program.
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´.) Position power derives from five sources: Centrality-access to information in a communication network. This practical. personal power and position power. ³One of the most important ways of gaining power in an organization is by establishing a broad network of task and interpersonal relationships. Personal power. Networks are critical to effective performance for one compelling reason: Except for routine jobs. even those of little power. The four stages are: Phase I Consolidating Power to Prepare for Change Phase ll Focusing Power on Strategic Consensus Phase Ill Aligning Power with Structure and People Phase IV Realizing Power through leadership and Collaboration These stages are the means the OD consultant uses to "take the high road" mentioned in the previous quotation-build a power base. influence key powerholders to accept the OD program. arises from expertise. personal attraction. how-to book on power and organization development is well worth studying. no one has the necessary information and resources to accomplish what¶s expected of them. . a person¶s power comes from two main sources. Indeed. Whetton and Cameron¶s model is shown in following figure. (Legitimacy refers to abiding by and promoting the values of the organization. The power structure will realize that collaborative power is preferable to manipulation and deception. in turn. 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. effort.Personality y y y Going Around Formal System · Work around roadblocks · (Don¶t) use organization rules Charisma Reputation Professional credibility Finally. In this model. which in turn will protect the interests of all concerned. and relevance-how important one¶s task is in relation to organizational priorities. criticality-how important one¶s job is flexibility-the amount of discretion in the job. and legitimacy. visibility-how much one¶s work is seen by influential people. then utilize a facilitative OD process in which the powerholders work on strategic business issues using consensus decision making to develop a corporate strategy.
Retribution refers to coercion and threats. arise from known conditions. According to these authors. Reciprocity refers to exchange of favors.1: Model of Power and Influence Networking is used to increase both personal power and position power. and are amenable to positive control. collaborative work environment.Fig." And. and (3) empowering others. power-in-use is called influence. Our suggestions for . and (6) build on success. 8. Three influence strategies can be used to influence others-reason. Concluding Comments: In this unit. reciprocity." Three things are involved in converting power into influence: (1) resisting other people¶s inappropriate influence attempts. They write: "Influence entails actually securing the consent of others to work with you in accomplishing an objective. and retribution. Usually reason is the preferred strategy. Whetton and Cameron suggest several means of resisting others¶ influence attempts such as confrontation and using countervailing power. Reason refers to persuasion by facts. we have examined power and politics with the goals of understanding the phenomena and deriving implications for OD practitioners. Methods for empowering others are the following: (1) involve subordinates in assigning work. actually using it to get things done is another. (2) selecting the proper influence strategy. Retribution is not recommended except in unusual cases. Power and politics are similar in nature. and reciprocity can be useful when reason fails. "Power is converted into influence when the target individual consents to behave according to the desires of the power holder. Having power is one thing. (2) provide a positive. (4) express confidence (5) foster initiative and responsibility. (3) reward and encourage others in visible and personal ways.
10 Terminal Questions 1.9 Summary Power and politics are inseparable facts of organizational life. _____________ has identified two faces of power. Define power in an organizational context and explain types of power. Power 2. 3. Organizational politics is defined as the study of who gets what. 5. 8. and how. when. ±±±±±±±± defined politics as the study of who gets what. 2. Harold Lasswell . ±±±±±± is the intentional influence over the beliefs. emotions or behaviour of people. 4. Strategic-contingency model of power asserts that power that accrues to the individuals. Power can be either positive or negative. The OD practitioner needs both knowledge and skill in the arenas of organizational power and politics. Organizational politics involve intentional acts of influence to enhance or protect the self-interest of individuals or groups. 5. McClelland 3. 8.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. 8. Describe briefly various theories of power. and are amenable to positive control. Explain the role of power and politics in the practice of OD. 3. arise from known conditions. when and how. Self Assessment Questions 1. Organizational power is the ability of those who possess power to bring about the outcomes they desire. Identify the bases of individual power and the respective strategies for their success. Power-dependence theory states that power is inherent in any social relationship in which one person is dependent on another. Power based on the power-receiver having identification with the power holder is called ±±±± ±±±±±±±. 2. units or departments is most important in solving organizational problems. Power and politics are similar in nature. Referent power 4. ±±±±±±±±±± is made up of Charisma. 4. reputation and professional credibility.11 Answers to SAQs and TQs SAQs: 1. Define organization politics..
Refer section 8.5 4.4 3.5. Refer section 8.5 Quality Circles 9.6 Quality of Work Life Projects . 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.Refer section 8.3 Socio Technical Systems 9. Personality Answers to TQs: 1.1 Introduction Objectives 9.4 Management By Objectives 9.2 2.8 Copyright © 2009 SMU Powered by Sikkim Manipal University .2 Meaning and Definitions 9. Refer section 8.
12 Answers to SAQs and TQs 9. These interventions vary from standardized program that have been developed and sometimes tailored program.10 Summary 9. An organization development intervention is a sequence of activities. you will be able to: · Explain the Socio technical change. These methods are receiving increasing attention in Organization Development. These programs are derived from careful diagnosis. how to produce product or service which is related to Employee involvement approaches and how to design work is related to Work design. .9. · Explain Reengineering.11 Terminal Questions 9. events intended to help an organization improve its performance and effectiveness.9 Reengineering Self Assessment Questions 9. · Explain Total Quality Management.1 Introduction Organizations are increasingly realizing the fact that change is the price of the survival. 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. actions.7 Parallel Learning Structures 9. organizational problems may repeat. · Discuss the parallel Learning Structures. · Discuss the Management By Objectives · Explain the Quality Circles. Objectives: After studying this unit. 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.8 Total Quality Management 9. Nothing is permanent except change because change is permanently changing. In this dynamic and fluid environment.
Weeks and months of group effort are saved. Structure changes are normally ³institutionalized´ and less subject to this problem. Succession Doesn¶t Destroy Change Effort. It endeavors to re-design the organization¶s structure. Managers and administrators are notoriously pragmatic. 1976. Basic reinforcement theories. processes and functions to create a balance between the organization and its changing external environment. organization theory. 5. includes removing or adding layers to hierarchy. meaning the major costs are associated with analysis and design of change. 9. Rapidity of change. Organization Acceptance of Change. Downsizing associated with restructuring.9.2 Meaning and Definitions Structural Intervention is related to the changes that relate elements of organization to one another. Greater Predictability. In addition. 3. Once diagnosed and an appropriate correction developed. This normally is a reasonable. 2. Cost is Low. Changes can involve decentralization and centralization. a predictable cost Implementation of group strategies involves significant long-term man-hour and consultant costs. From a benefit cost analysis. Pasmore. Advantages of Structural Interventions There are a number of reasons why a consultant should consider employing a structural intervention. structural Interventions compare quite favorably with all other alternatives. It could involve the following steps (Foster. their attractiveness is also increased by the following advantages: 1. One problem with behavioral/ group interventions is the tendency for new managers or employees to discount or fail to continue the change program. 1988): Determining the environmental demands Creating a vision statement Educating organizational members . and OD practice enables the change agent to estimate the probable consequences of the change.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. and more critically. Structural changes are consistent with their operating styles and are generally understood by practitioners. 4. change can be introduced relatively rapidly by top management. 1967. The cost of structural change is generally ³front-end´ loaded. Cummings.
physical. with objective orientation as its essence.´ 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. On the other hand. non-specialist. therefore. A management technique can be applied in selected parts of the organization and will have limited implications for its other parts. Since then. The term MBO was coined by Drucker in 1964 when he emphasized the concept of managing by results. MBO is an approach and philosophy to management and not merely a technique. operational managerial process for the effective utilization of material. its features can be identified as follows: 1. As an approach to management. consciously directed towards the effective and efficient achievement of organizational objectives.´ Based on the definition of MBO. often MBO provides the stimulus for the introduction of new techniques of . many business and nonbusiness organizations have adopted this in some form or the other. Though there are some variations in the practices of MBO and. In fact.4 Management by Objectives Management by objectives (MBO). is a technique and system which helps in improving organizational performance. Its basic idea has been derived from the concept of participative goal setting as a technique of OD. MBO is likely to affect every management practice in the organization. 2. It is a particular way of thinking about management. and human resources of the organization by integrating the individual with organization and organization with the environment. MBO is bound to have some relationship with every management technique. it has been defined as follows: MBO is a comprehensive managerial system that integrates many key managerial activities in a systematic manner. 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. MBO employs several techniques but it is not merely the sum total of all these techniques. its definitional aspect. though not strictly an OD intervention in the sense in which other interventions have been discussed so far. Certain degree of overlapping is there.
3. reward and punishment system is attached with the achievement of the objectives. 6. Questions. enhancement of employee commitment and participation. its subsystems and people. Usually the objective setting starts at the top level of the organization and moves downward to the lowest managerial levels. Managers need training and experience for developing the required skills. the clarity and balance of objectives. 4. are determined on the basis of objectives. each manager takes active part in setting objectives for himself and also in evaluating his performance as to how he is performing. The total management process revolves round the objectives set jointly by the superior and the subordinate. Whereas the various techniques of management help in measurement of results in resources. This is possible because MBO tries to match objectives and resources. Therefore. The MBO process is not as simple as it appears to be. Therefore. Objectives provide the means for integrating the organization with its environment. MBO is also concerned with determining what these results and resources should be. Objectives in MBO provide guidelines for appropriate system and procedures. The MBO process is characterized by the emphasis on the rigorous analysis. managers have the opportunities for clarifying their job relationships with peers. Resource allocation. (iii) what should be the degree of vertical integration and so on. This.management and enhances the relevance and utility of the existing ones. MBO is the joint application of a number of principles and techniques. and participation of the managers with accountability for results. Process of MBO MBO is a system for achieving organizational objectives. Objectives are established for all the levels of the organization. Setting of Organizational Purpose and Objectives: The first step in MBO is the definition of organizational purpose and objectives. The MBO is characterized by the participation of concerned managers in objective setting and performance reviews. etc. ³why does the organization exist?´. in interaction with external factors. It works as an integrating device. 5. such as. This process clarifies the role very sharply in terms of what one is expected to achieve. including the corporate level. all the units or departments and individual manager. superiors and subordinates. delegation of authority. then determines the long-range strategic objectives like (i) whether to achieve growth through expansion in the same line of business or diversity: (ii) what should be blending of trading and manufacturing activities. Similarly. The review is future-oriented because it provides basis for planning and corrective actions. What business are we in?´ and what should be our business?´ provide guidelines for the statement of purpose.. its process should facilitate translation of basic concepts into management practice. (ii) long-range . Therefore. 1. normally once a year. Periodic review of performance is an important feature of MBO. The basic emphasis of MBO is on objectives. The performance review is held regularly. This will go in a sequence like this (i) defining the purpose of the organization. It emphasises initiative and active role by the manger who is responsible for achieving objectives.
a superior manger is better able to see the need and economy of allocating resources. resource availability becomes an important aspect of objective setting because it is the proper application of resources which ensures objective achievement.and strategic objectives. Therefore. the subordinate states his own objectives as perceived by him. there is a series of superior and subordinate relationships. (v) individual manager¶s objectives. (iv) productivity. Even though KRAs are most durable. However. (ii) market standing. Setting Subordinates¶ Objectives: The organizational objectives are achieved through individuals. a superior manager is better able to set the need and economy of allocating resources. KRAs also indicate the present state of an organization¶s health and the top management perspective for the future. 5. Therefore. (vii) manager performance. It is taken as a matter of system to ensure that everything is going as planned and the organization is able to achieve its objectives. they also indicate the resource requirement. and (viii) public responsibility. Key Result Areas: Organizational objective and planning premises together provide the basis for the identification of key result areas (KRAs). 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. Sometimes. . In fact. By relating these to objectives. the list of KRAs gets considerably changed over the period in response to new needs and opportunities. It is not taken merely to punish the non-performer or to reward the performer. the final objectives for the subordinate are set by the mutual negotiation between superior and subordinate. the achievement in a particular KRA also provides the impetus for a new KRA in future. By relating these to objectives. The process of objective setting begins with superior¶s proposed recommendations for his subordinate¶s objectives. (iii) innovation. each individual manager must know in advance what he is expected to achieve. with the experience gained over the period of time. Therefore. Thereafter. Appraisal: Appraisal aspect of MBO tries to measure whether the subordinate is achieving his objective or not. The allocation and movement of resources should be done in consultation with the subordinate manager. In turn. (iv) divisional/departmental/sectional objectives. 3. It may be emphasized that KRAs are derived from the expectations of various stakeholders and indicate the priorities for organizational performance. there should be matching between objectives and resources. Every manager in the managerial hierarchy is both superior and subordinate except the person at the top level and lowest level. Matching Resources with Objectives: When objectives are set carefully. 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. 4. In the beginning of MBO process in an organization. (iii) short-term organizational objectives. this gap narrows because of narrowing down of perception of superior and subordinate about what can be done at a particular level. (v) worker performance. (vi) financial and physical resources. 2. If not. Examples of KRAs applicable to most of the business organizations are (i) profitability.
this approach looked both at technical and human sides of organizations and how they are interrelated. 9.6. but in its contemporary form. 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. Objective setting is a joint process through interaction between superior and subordinate. it is used as an input for recycling objectives and other actions.6 Quality of Work Life Based on the research of Eric Trist et al. Groups representing various levels and functions work to open new channels of communication outside of and parallel to the normal.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. Some organizations have even gone as far as setting targets for the number of suggestions quality groups are expected to come up with. It consists of small group of employees who meet voluntarily to identify and solve productivity problems. on paper. which consequently result into high level of task variety. and · Then monitor the resulting change efforts. 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. in general. · Make recommendations for improvement. Therefore.Quality circle represents a participative approach to employee involvement in problem solving and productivity improvement. hierarchical structure. at the Tavistcock Institute of Human Relations in London. . or in people¶s heads) and distributing it to the people who need it in a timely and efficient way. Recycling: Though appraisal is the last aspect of MBO process. Objectives are neither set at the top and communicated to the bottom nor are they set at the bottom and go up. It Consists of a steering committee and a number of working groups that: · Study what changes are needed in the organization. The most distinguishing feature of QWL program is the development of self-managing work groups which consist of multi-skilled workers. 9. QWL programs. information. Quality circle program consists of several circles. and rewards. each having three to fifteen members. quality groups are often compulsory and organized around specific work teams. appropriate feedback and employee discretion. Quality circle requires a managerial philosophy and culture that promotes sharing power. knowledge. 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. what happens at each level may affect other levels also. 9. Parallel Learning Structures may be a form of Knowledge Management.
contemporary measures of performance. Features that characterize TQM: · Primary emphasis on customers. It seeks to make such processes more efficient by combining. · Top management support on an ongoing basis. · Daily operational use of the concept of internal customers. · Participative management. It is very popular in USA in 1990s. · A major emphasis on continuous learning. such as cost.9. Self Assessment Questions . It is also called continuous quality improvement. quality. assumes neither an upward flow of involvement nor that consensus decision making. or restructuring activities without regard to present hierarchical or control procedures.9 Reengineering It is the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical. service. · An emphasis on measurement using both statistical quality control and statistical process control techniques. · An emphasis on teams and teamwork. Reengineering focuses on visualizing and streamlining any or all business processes in the organization.TQM pushes decision making power downwards in the organization. statistical quality control. · Continuous search for sources of defects with a goal of eliminating them entirely. · Competitive benchmarking. ties reward to performance and increase workers knowledge and skills through extensive training. eliminating.8 Total Quality Management It is a long term effort that orients all of an organization¶s activities around the concept of quality. and speed. 9. provides relevant information to all employees. A combination of a number of organization improvement techniques and approaches. statistical process control. Reengineering is a top-down process. including the use of quality circles. self-managed teams and task forces. and extensive use of employee participation.
actions. 9. actions. Explain Management By Objectives? 4. consciously directed towards the effective and efficient achievement of organizational objectives. MBO is a comprehensive managerial system that integrates many key managerial activities in a systematic manner. provides relevant information to all employees. TQM pushes decision making power downwards in the organization. 3. The term MBO was coined by _________ in 1964. structural Interventions compare quite favorably with all other alternatives. 9. From a benefit cost analysis. Sociotechnical systems design is better suited to meet the requirements of a changing external environment in comparison with traditional designs.12 Answers to SAQs and TQS SAQs: 1. Discuss Socio Technical Systems? 2. An organization development __________ is a sequence of activities. What are the advantages of structural interventions? 3. It is also called continuous quality improvement. 9. events intended to help an organization improve its performance and effectiveness. Intervention 2.11 Terminal Questions 1.1. ties reward to performance and increase workers knowledge and skills through extensive training. It consists of small group of employees who meet voluntarily to identify and solve productivity problems. Write a short note on Total Quality Management. Quality circle Answers to TQs: . __________ represents a participative approach to employee involvement in problem solving and productivity improvement. There are a number of reasons why a consultant should consider employing a structural intervention. Quality circle represents a participative approach to employee involvement in problem solving and productivity improvement.10 Summary An organization development intervention is a sequence of activities. 2. events intended to help an organization improve its performance and effectiveness. Drucker 3.
8 Copyright © 2009 SMU Powered by Sikkim Manipal University .5 4.9 Answers to SAQs and TQs .2 Nature of Change 10.3 Resistance to Change 10.4 Causes for Resistance to Change.3 2. Refer section 9.5 Impact of Change on the Future Manager 10. Refer section 9. MU0002-Unit-10-Managing Change in Organization Development Unit-10-Managing Change in Organization Development Structure: 10. 10.1.Refer section 9.8 Terminal Questions 10. Self Assessment Questions 10. Refer section 9.1 Introduction Objectives 10.2 3.6 Methods of Reducing Resistance to Change.7 Summary 10.
some changes which are of minor type may be absorbed by the existing equilibrium. Thus. Any change may effect the whole organization.1 Introduction Organizations are increasingly realizing the fact that change is the price of the survival. · Impact of change on future managers. organizational change may have the following features: 1. job design and people. In this dynamic and fluid environment. and others. you will be able to: · Explain the meaning of organization change. and others. When change occurs in any part of the organization. They have illustrated it by comparing an organization to an air-filled . It implies a new equilibrium between different components of the organization ± technology. 3. Thus. some parts of organization may be affected more. · Discuss the nature of change · Explain resistance to change and the factors which resist change. Hence. less.2 Nature of Change The term µchange¶ refers to an alteration in a system. others. indirectly. organizational problems may repeat. the mangers and other employees must be able to practically anticipate the changes (planned and unprecedented). 2. which are major ones. and initiate new change so as to overtake the competitors one the one hand and delight the customers on the other. Organizational change is a continuous process. Newstrom and Davis have explained the impact of a change in any part of the organization on the total organization. some parts may be affected directly. it disturbs the old equilibrium necessitating the development of a new equilibrium. The type of new equilibrium depends on the degree of change and its impact on the organization. Objectives: After studying this unit. Nothing is permanent except change because change is permanently changing. cope with the ongoing changes successfully in the first instance. may require special change efforts. biological. or social.10. · State the methods of reducing resistance to change. However.whether physical. but solutions to the same problems which worked out very well in the past may not be of any use to tackle the same problems at present or in the foreseeable future. organizational change is the alteration of work environment in an organization. structural arrangement. 10.
In fact. like shifting of the manufacturing plants at new locations.balloon. if we look minutely. This leads to general proposition that people and their social systems will often resist change in organizations. it has stretched slightly. and its basic survival may be jeopardized. more serious upsets may occur. 10. 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. In order to increase its manufacturing capacity of two-wheelers.as cost and as benefit. but when a change is major or unusual. Thus. 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. the managers face the problem of resistance to change. Managing Director of Bajaj Auto. so is the resistance to change. When change is minor and within the scope of correcting programme. let us discuss whether resistance is always bad as it is generally perceived to be. We wanted a new culture and new layout. Homeostasis implies selfcorrecting characteristics of organism to maintain equilibrium as a result of change. many organizations have been forced to abandon change programmes because of resistance to such programmes. the contour of the balloon visibly changes. Before we trace out the reasons for résistance to change. adjustment is fairly routine. Many companies have been forced to do so in the past. In fact. One example of Bajaj Auto Limited is relevant here. On this phenomenon.´ Resistance as Benefit: . We saw resistance to change at the existing plant. employees want to maintain a status quo. Resistance as Cost: Since all changes have some cost. it becomes indented at the point of contact. they have concluded that the whole organization tends to be affected by change in any part of it. we find that the shape of the entire balloon has changed. because it produces identical symptoms.3 Resistance to Change In the management of change effectively. Though this phenomenon will be taken later. People tend to resist many types of changes because new habits or sacrifices are required. If people resist to change. that is. In fact. commented. While managers as change agents want to bring changes in the organization. fear of change can be as significantly disrupting as change itself. the organizational may not be able to introduce new phenomena in order to adapt environmental requirement. people act to establish a steady state of need fulfillment and to secure themselves from disturbance of that balance. We shall take new workers at the new place. ³The Pune plant is fully saturated. However. When a finger (which represents external force) is forced against a point on the balloon (which represents the organization). However. the change in organization does not occur purely on mechanical relationship. Similarly. or they have been forced to adopt alternative strategies. there are two sides of resistance. social systems tend to resist change because of homeostasis. Madhur Bajaj.
On the one hand, resistance to change is costly affair, and on the other, it provides some benefits to the organization as its change agent. Resistance by some members of the organization provides an opportunity to the change agents to weigh the pros and cons of introducing change more carefully. While on negative side, the reality lies in between. Resistance to change forces management to find out this reality which helps in managing change more effectively. Thus, resistance to change provides help in managing change in two ways: 1. It may signal the need for more effective communication about the meaning and purpose of a change or need to rethink precisely how a proposed change will affect the organization and its members. 2. It also highlights real inadequacies in the proposed change and suggests better ways for developing and introducing changes. Factors in Resistance to Change People tend to evaluate the effect of change individually but they express it through group in collective form. Therefore, the reasons underlying resistance to change may be identified at these two levels: Individual Resistance There are many factors operating at the individual level which are responsible for resistance. Degree of force in resistance depends on how people feel about change. These feeling may be based either on reality or there may be emotional feeling towards the change. These feelings, either real or emotional, may be seen in the context of three types of factors: economic, psychological and social. Economic Factors People feel attached to the organization for satisfying their needs and economic needsphysiological, job security etc. precede over other needs. People may perceive that they will be adversely affected by the change in terms of their needs satisfaction in the following ways: 1. Skill Obsolescence: A change is generally meant for better methods of working which may involve new techniques, technology, etc., whenever people sense that new machinery (change) poses a threat of replacing or degrading them, they simply resist such a change. When computer was introduced in the business sector in India, it attracted a lot of resistance because of this reason. 2. Fear of Economic Loss: A change may create fear of economic loss in the sense that it may affect economic compensation adversely, reduce job options, and turn into technological unemployment. This feeling is created because people feel that those who can match the new requirements will be better off than those who cannot match.
3. Reduced Opportunities for Incentives: Employees are generally offered incentives linked to their output in the form of incentive schemes, bonus, etc. All these are well-established in the old system. Whenever there is change, people may feel that in the new system, they will have lower opportunity to earn incentives and bonus as the new system requires additional skills. Psychological Factors Psychological factors are based on people¶s emotions, sentiments and attitudes towards change. These are qualitative and, therefore, may be logical from people¶s point of view but may be illogical from the change agent¶s point of view. Major psychological factors responsible for resistance are: ego defensiveness, status quo, lack of trust in change agent, low tolerance for change, and fear of unknown. 1. Ego Defensiveness: A change may affect the ego of the people affected by the change and in order to defend their ego, people resist change. A change in itself suggests that everything is not right at a particular level. Thus, the change may be perceived as an instrument for exposing the weakness of the people. 2. Status Quo: People want status quo. i.e. they do not want any disturbance in their existing equilibrium of life and work pattern. The change initiated by the organization disturbs such equilibrium and people have to obtain another equilibrium which is a painful exercise. Therefore, everyone tries to avoid it. 3. Low Tolerance for Change: In the context of maintaining status quo, people may differ. Some people have very low level of tolerance for change and ambiguity as compared to others. Therefore, these people resist any new idea. 4. Lack of Trust in Change Agent: The effect of change is perceived in the context of change agent, that is, the person who initiates change. If people have low degree of confidence in the change agent, they show resistance to change efforts. This is the reason why labour union resists changes initiated by management because of the feeling that labour and management are two different interest groups in the organization. 5. Fear of Unknown: A change may be perceived as entering into unchartered area which is unknown. The change will bring results in future, which is always uncertain. This lack of certainty creates anxiety and stress in the minds of people and they want to avoid it. The lack of adequate information about the likely impact of change further complicates the problems. Social Factors People derive need satisfaction, particularly social needs, through their mutual compatible interactions. They form their own social groups at the work place for the satisfaction of their social needs. To the extent the satisfaction of these needs is affected by a change, people resist it. The major factors causing resistance to change are: desire to retain existing social interaction and feeling of outside interference.
1. Desire to Maintain Existing Social Interaction: People desire to maintain existing social interaction since it is a satisfying one. When there is any change, their existing social interactions are likely to be changed, which people do not want. Therefore, they resist change. 2. Feeling of Outside Interference: A change brought about by the change agent is considered to be interference in the working of people. This phenomenon is heightened if the change agent belongs to another social class, e.g., change initiated by managers affecting workers. The latter my feel that managers try to make workers an instrument for higher productivity but the outcome of this productivity will be retained by them. Organizational Resistance to Change: Not only individuals and groups within an organization resist change, even the organization itself resists many changes because of certain reasons. Many organizations are designed to be innovation-resisting. Many powerful organizations of the past have failed to change and they have developed into routines. For example, Sumantra Ghoshal, a professor of strategic leadership who is considered to be a management Guru, has commented as follows: ³Nothing fails like success; nothing fails as spectacularly as spectacular success. Whether it is IBM, Digital Equipment Corporation, Caterpillar, Zerox or nearer home-TI cycles, all these companies have been victims of corporate disease. It is called µThe Failure of Success¶. Strategies, values, resources and processes of the most successful companies have in the past ossified into clichés, dogmas, millstones and routines.´ This statement suggests that organizations tend to stabilize at a particular level and if the change efforts are not brought, these organizations start falling. The major reasons for organizational failure to change are: counting past successes, stability of systems, resource limitations, sunk cost, and inter-organizational agreement. Some of these reasons are basic while others are byproducts of those. For example, first two reasons are basic and others are by-products of the first two. 1. Counting Past Successes: A major problem before the organizations which have past success stories is how to face challenges of the changing environment. Since these organizations have achieved success by following a particular set of management practices, they become too rigid to change and they hide their failure to change in the guise of past successes. This is the reason why many old industrial houses are languishing far behind and their places are being taken away by newer organizations. 2. Stability of Systems: The organization may design a system through which it may derive many benefits. The system is stabilized and any change may be perceived as a threat by the organization itself. For example, a bureaucratic organization has certain fixed rules, prescribes rigid authority relationships, and institutes reward and punishment system. All these work in some circumstances. It a change is required in these aspects, the organization may not bring it easily because it is accustomed to a particular system.
Let us see what someone has said long back: ³There are three types of companies: those who make things happen. In such a case. if the change is required. It an individual is not making commensurate contribution. It is necessary too that other organizations also agree to the change proposal. if any change is to be incorporated. and has zeal for progress. the organization has to take into consideration the wishes of other organizations too. what will happen to these assets? Naturally. and put less emphasis on environmental scanning.´ This is the true reflection of difference between change-initiating companies and changeresisting companies. broad environmental scanning. 3. decentralized controls. If it is risk-taking. Defenders: These are the firms which penetrate in a narrow market product domain and guard it. Once the assets are acquired. 4. the organization may take change programmes much more frequently. Thus. and commensurate expenses on other items also. those who wonder what happened. Based on the aggressiveness which various companies show in changing themselves. Miles and Snow have classified them into four categories. Sunk Cost: Most of the organizations have sunk cost involved in various assets. For example. They emphasize more on cost-effectiveness. 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. and reserve some resources unutilized for future use. it may enter into agreement with other organizations over certain aspects of working. This can be in the form of people also. Analyzers: Above two are the extreme cases of choice-making modes in between the analyzers and reactors. It depends more on the style of top management. those who watch things happen. . 1. building and training for its personnel. 2. innovative. these can be used for specific period. Inter-organizational Agreements: The organization interacts with its environment. an organization has to adapt to its environment but the adaptation has its own cost. Analyzers act sometimes as defenders and sometimes as prospectors. intensive planning. If the organization is not fully equipped for meeting such demands. it will require resources to procure machine. the organization may enter into agreement with labour union about not bringing any technological change.defenders. They go on searching new products/markets on regular basis. For example. Prospectors: These firms use broad planning approaches. analyzers. it is not necessary that his services are done away with. prospectors. Now. In this interaction process. if new technology is adopted. centralized control. Resource Limitations: No doubt. it may not be possible for the organization to bring necessary change. 5. Sunk cost cannot be only in terms of various physical things. and reactors. forward-looking. organization has to pay for his services though these may not be as useful.3.
000 people or Ford introduces new robotic equipment. implicit. Therefore. Economic Factors: Another source of individual resistance is concern that changes will lower one¶s income. For instance. Fear of the Unknown: Change substitute ambiguity and uncertainty for the known. Life is complex enough. immediate. For analytical purpose. It is easiest for management to deal with resistance when it is overt and immediate. finding a new parking place. Reactors: These organizations realize that their specific environment is changing but fail to relate themselves with the changing environment. we¶ve categorized them by individual and organizational sources. And people in general don¶t like the unknown. To cope with this complexity. it means you¶re likely to have to change many habits: waking up 10 minutes earlier. Habit Every day. we¶re creatures of habit. and so on. Otherwise. the introduction of a quality management program requires that production workers learn statistical process control techniques. you find a single route and you use it regularly. Organizational resistance . therefore. If for example. this tendency to respond in our accustomed ways becomes a source of resistance. we don¶t need to consider the full range of options for the hundreds of decisions we have to make every day. threatening to go on strike. or deferred. we all rely on habits. taking a new set of streets to work. The same applies to employee.4. develop a negative attitude towards quality management or behave dysfunctionally if required to use statistical techniques. when you go to work or school.4 Cause for Resistance to Change Resistance to change doesn¶t necessarily surface in standardized ways. When Boeing announces its laying off 10. So when your department is moved to a new office building across town. As human beings. Resistance can be overt. When we are confronted with change. Let¶s look at the sources of resistance. Changes in job tasks or established work routines also can arouse economic fear if people are concerned they won¶t be able to perform the new tasks or routines to their previous standards. especially when pay is closely tied to productivity. 10. some may fear they¶ll be unable to do so. they have to behave in one of the above three ways. or programmed responses. engaging in a work showdown. Security: People who have a high need for security are likely to resist change because it threatens their feeling of safety. they cannot survive. They may. many employees at these firms may fear that their jobs are in jeopardy. adjusting to the new office layout. a change is proposed and employees quickly respond by voicing complaints. or the like. developing a new lunchtime routine. do you continually use the same route and streets? Probably if you¶re like most people.
That is. rules and procedures for employees to follow. People from one functional department are placed on terms with people from other functional areas.5 Impact of Change on Future Manager Organizations are changing nearly daily. development of pay plans. You can¶t change one without affecting the others. Limited Focus of Change: Organization is made up of interdependent subsystems. Why? Because this outsourcing is a threat to the specialized skills held by people in HR departments. One area of organizations that continues its metamorphosis is the design itself. may be willing to accept changes in his job suggested by management. For example. accountants work with marketers. group norms may act as a constraint. But if union norms dictate resisting any unilateral change made by management. The . if management changes the technological processes without simultaneously modifying the organization¶s structure to match. 10. For example. and benefits administration ± has been resisted by many human resource departments. So limited changes in subsystems tend to get nullified by the larger system. the way in which companies are configured today is changing. Changing Skill Sets More organizations are utilizing cross functional teams. Threat to Expertise: Changes in organizational patterns may threaten the expertise of specialized groups. For example. Threat to Established Resource Allocations: the groups in the organization that control sizable resources often see change as a threat. 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. Training and other socialization techniques reinforce specific role requirements and skills. the selection process systematically selects certain people in and certain people out. Will the change. for instance. These teams are comprised of people from various areas within the company. An individual union member. human resource people with engineers and finance individuals with operations employees. Group Inertia: Even if individuals want to change their behavior. The recent move by some companies to outsource many of their human resource activities ± such as training. Thereat to Established Power Relationships: Any redistribution of decision-making authority can threaten long-established power relationship within the organization. They tend to be content with the way things are.Structural Inertia: Organizations have built-in mechanisms to produce stability. The only constant in organizational life today appears to be the presence of continuous change. he¶s likely to resist. for instance. 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. Formalization provides job description. the change in technology is not likely to be accepted.
However. Unless this problem is overcome properly. Therefore. 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. even the impact of change may be dysfunctional if change is imposed upon the people by the use of formal authority. Locavini observes that ³the secret of real success is effective management of the emotional vulnerability that accompanies organizational change. Stephen Robbins suggests that ³«« managers in virtual structures spend most of their time coordinating and controlling external relations. at the level of individual and at the level of group. managers must be more skilled at reading the environment and grasping the big picture. both at the formal and informal levels.ultimate goal is to improve organizational performance by cutting production time or time to market. People always have some . The fundamental idea in this process is to encourage the person to say something about any aspect of the change. They need to be adept at reading the trends in the environment and then determining what they mean specifically for their own organization. the effect of the change may not be as functional as envisaged by the management.6 Methods of Reducing Resistance to Change One of the basic problems in managing change is to overcome people¶s resistance to change successfully.´ The newer organizational structures use term problem solving. When the resistance comes from the people at individual levels. It includes finding out from the members how they interpret the proposed changes and what they think about them. this is not a one-time action. Efforts at Individual Level A change is likely to affect some people in some way. This requires that managers think differently and teach employees to think differently. In addition. Involvement: Involvement is a process through which those who are affected by the change are brought to understand the change. It may affect only a few while others may not be affected. the role of formal authority in implementing a change may not be effective all the times. More fluid structures require that managers improve their strategic orientation. It implies explanation and then discussion of the proposed changes. Both these attempts are complementary and sometimes these efforts may be overlapping because every individual is a member of some of the groups. rather should be looked upon as a dialogue which continues over a period of time. it can make effectively by managing resistance effectively. For example. For this purpose. the problems can be solved at the same level. Problem solving now involves the people who are experts in the issue ± not necessarily those in high positions in the organization. typically by way of computer network links. In many cases. strategic directions for the company must be identified in light of these changes. through group dynamics. that is. As organizations must be better equipped to respond to change in their external environment.´ Problem of overcoming resistance to change can be handled at two levels. the following efforts can be taken: 1. 10.
(ii) In group. one can communicate with more people per unit of time. more than one person is involved in the change. the leader tries to overcome this resistance by leadership process. must be understood so that its effective use can be made. Training and Psychological Counseling: The management can change the basic values of the people by training and psychological counseling. its basic nature. 3. either the subordinates do not resist or if they resist. For this purpose. Thus. Obtaining Commitment: Commitment is an agreement to take an active part in the actual mechanics of the change. as discussed earlier. education must be a part of the manager¶s everyday activity on the job. sometimes. and indoctrinated in new relationships. so that they are looked at and evaluated. However. instead of solving the problem at the individual level. People should be educated to become familiar with change. it is desirable at the group level to get better acceptability of change. Getting opinions out in the open. getting a man to commit himself in private to change programme may yield fewer results than if he voluntarily and publicly gives his commitment to an idea of change. the manager can form strategies for overcoming resistance in the following manner: 1. is an important trust-building task. 2. They must be taught new skills. Such educational process can be aided by training classes. Group dynamics offers some basic help in this regard. the group itself should be the point of contact. helped to change attitudes. The group contact offers some specific advantages: (i) Through groups. most of the times. Commitment to take part in the change programme can be obtained in private from each individual. 4. the level of resistance to change tends to decrease. Efforts at Group Level Although agreement to a change can be obtained individually. The decision to commit oneself is a dynamic process. The same is true of problem-solving. meetings. Usually. 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. . This helps in creating receptive environment in the organization. and conferences. It grows slowly along with relationship. Thus. A manager as weak leader presents change on the basis of the impersonal requirements of the situation. it is more meaningful if it is done through group. to become effective. However. Though each person interprets the change individually often. its process and working. As this process goes. he expresses it through a group. An effective leader tries to time a change to fit the psychological needs of his followers. Group Contact: Any effect to change is likely to succeed if the group accepts that change.ideas and opinions about what is going on in the world and more specially if touches them personally. (iii) Group can get at the basic problem very rapidly as compared to a single individual. For using group as a means of overcoming resistance to change. 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. understanding of change increases and personal involvement in the change increases. Based on these characteristics of group as a means of change.
and how the benefits of the meaningful and continuous dialogue are necessary. implicit. The organization must regard the participation as meaningful and share the results of the change with its members. mere participation may not help.Through the group contact. However. Self Assessment Questions 1. taking whole of the group into confidence helps in maintaining a cooperative attitude. _________ is the alteration of work environment in an organization. 2. a change is proposed and employees quickly respond by voicing . job design and people. Even if only some of the members are affected by the change. or deferred. _________ helps to give people involved in the organizational change and inculcate a feeling of importance. 3. Research studies also support this aspect. structural arrangement. For instance. It implies a new equilibrium between different components of the organization. psychological factors. thereby the people can build up the climate based on mutual trust and understanding which are essential for bringing organizational changes successfully. This is more important in the case of workers who themselves treat a separate group and do not identify with the management. and sensitivity or T-group training. Such training techniques provide understanding of behaviour. 10. 3. Participation: Participation helps to give people involved in the organizational change and inculcate a feeling of importance. many things about change can be made clear. Economic factors. It purports how the results are. Group Dynamics Training for Change: Group dynamics also helps in providing various training programmes for accepting and implementing change. The laboratory method provides a setting where group processes can be studied intensively. It is easiest for management to deal with resistance when it is overt and immediate.7 Summary Change is inevitable.such aspects as the reasons for change. 2. immediate. It implies a new equilibrium between different components of the organization ± technology. It would be prudent for management to take labour representatives into confidence before implementing any change. Changes may be influenced by external and internal factors. and how members contribute. People tend to resist many types of changes because new habits or sacrifices are required. group resistance and vested interests. Resistance can be overt. They must be made a party to the change rather than an agent for resistance to change. Such training techniques include role playing. social factors. It makes people feel that the organization needs their opinions and ideas and is unwilling to go ahead without taking them into account. benefits of change. Those people who are directly affected by the change should be given opportunity to participate in that change before the final decisions are reached. sentiments and attitudes towards change. __________ are based on people¶s emotions. psychodrama. Organizational change is the alteration of work environment in an organization. Free flow of information helps people to understand the real picture of the change and many misunderstandings may be avoided.
Organization Theory and Design. New Delhi. Both these attempts are complementary and sometimes these efforts may be overlapping because every individual is a member of some of the groups. P. Modern Organization Development and Change. 10. at the level of individual and at the level of group.4 3. both at the formal and informal levels.. threatening to go on strike. Regal Publications New Delhi.2 2.Response Books. Organization Development. engaging in a work showdown. Principles and Practices. . Participation Answers to TQs: 1. N. Problem of overcoming resistance to change can be handled at two levels. · Cummings & Worley.9 Answers to SAQs and TQS SAQs: 1. Jain. Discuss the methods of reducing resistance to change.8 Terminal Questions 1. or the like. that is. Refer section 10. · Harigopal K. New Delhi. Refer section 10. Refer section 10. Why do organizations resist change? 3. Reference: · Wendell L. eighth edition. Thomson · Daft Richard L. French and Cecil H.management of Organization Change. Organizational change 2. Organization Development & Change. Bell. 10. Psychological factors 3. Explain the nature of change? 2. · J. through group dynamics.Singh. Prentice-Hall of India Private Limited.6.complaints.. Jr. P. Thomson South Western.
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