How to Develop Company About

Organization Development
Steps
1- Prepare Organization Chart
2- Jop Evaluation between Comp & Pen
3-Competences Models
4-Prepare Kpis & KRA
5-Performance Management
6- Prepare Jop Desgin & Jop Descriptions
DMAIC :
Define /Measure/Analyze/Improve/Control
 Organization Chart Sturcture
• Prepare Demand Organization Chart
Sturcture
• 1 - design jobs
• 2- departmentalization
• 3-establish reporting relationships,
• 4-distribute authority
• 5- coordinating activities,
• 6-differentiating among positions.
 Tools designing jobs are;

• Job Specialization
• Job characteristics model (JCM)
• Work Teams
• Job Rotation
• Job Enlargement
• Job Enrichment
 departmentalization
• Departmentalization is a grouping of jobs according to some logical
arrangement, the second building block of organization structure.
• Types Departmentalization
• 1- Functional Departmentalization
• 2- Customer Departmentalization
• Departmentalization by Process
•
Departmentalization by the process is preferable when the machinery
or equipment used requires special skill for operating, or is of a large
capacity which eliminates organizational dividing, or has technical
facilities which strongly suggest a concentrated location.
• 1- Departmentalization by Task Force
• 2- Matrix Departmentalization
 Establishing Reporting Relationships between jobs
• The establishment of reporting relationships among positions is the
third basic element of organizing.
•

• Establishment of reporting relationships indicates; clarifying the

chain of command and the span of management.
•

• The chain of the command shows a clear distinct line of author

among the positions and span of management indicates the
number of people who report to a particular manager.
•

• Here; the organization’s hierarchy, its positions, and its lines are
defined.
 Distributing Authority
• Distributing Authority is another important building block in structuring organizations. Authority
in the organization is the right in a position and, through it, the right of the person occupying the
position to exercise discretion in making decisions affecting others.
•

• Authority is the power that has been legitimized by the organization. Here; the determination of
how authority is to be distributed among positions.
•

• Distributing authority in the organization means; giving decision power to employees.

•

• A warehouse-manager must have the authority to check the quality of the material coming and
stored, to record the events in the storage, to check and report on the quantity of material and
much more.
•

• But he cannot decide on deciding the selling price for them. That’s why the proper distribution of
authority throughout the organization is required for the smooth sailing of the organization.
•

• Two specific issues that managers must address when distributing authority they are; delegation
and decentralization.
 Coordinating Activities
• Coordination is essential for management and structuring organizations.
Achievement of the harmony of individual effort towards the accomplishment of
group goals is the purpose of coordination.
•

• Modern organizations depend upon specialization of functions arid activities

delegated to different individuals.
•

• If each individual is allowed to perform his function efficiently without taking

note of the connected function performed by another individual, it will create
chaos in the organization.
•

• It is essential that there be complete coordination, so that unity of action on the

part of all is achieved. Also, the conflict between the line executives and the staff
poses the problem of coordination by the chief executive.
•

• Hence, the chief executive has to coordinate not only functions and activities but
also individuals performing different functions.
 Differentiating Between Positions
• Differentiating between line and staff positions in the organization is the
last building block of organization structure. A line position is in the
direct chain of command also responsible for the achievement of an
organization’s goal.
•

• On the contrary; a staff position is there only to provide expert advice,

and support for line positions. However; in modern organizations, these
differences are very less; in some cases, the difference is eliminated.
•

• Organization structure is the formal pattern of interactions and

coordination designed by management to link the tasks of individuals
and groups in achieving organizational goals.
•

• To establish a structure one must mix all the six elements of the
organizing,
 Job evaluation
• Job evaluation is a complicated but important process in
achieving pay equality. In this article, we will explain
what job evaluation is, discuss the four key methods of
job evaluation, and we will take you through the full job
evaluation process. Let’s dive in!
• Contents
What is job evaluation? A definition
Job evaluation methods
The job evaluation process – 4 steps
Step 1 – Planning & diagnosis
Step 2 – Design & development
Step 3 – Validation & modeling
Step 4 – Communication & roll-out
 Job evaluation methods
• Job evaluation methods
There are different methods that can be used for job evaluation. The easiest way
to split these up is to make a distinction between qualitative and quantitative
methods.
• Four common job evaluation methods

• Qualitative Quantitative
Point-factor method
• Of all job evaluation methods, the point-factor method is probably the best
known. On a high level, the steps for this approach are as follows
• 1-Job to job comparison Ranking method/ pair comparison ranking Factor-
comparison method
2-Job to pre-determined grade comparison 3-Job classification Point-factor
method
Jobs are listed
4-Evaluation factors are defined
5-Scoring degrees on these factors are determined
Per job, points are allocated for each factor
6-A wage structure is defined
 The job evaluation process
• The job evaluation process: 4 steps
The job evaluation process involves four steps.
These steps are planning and diagnosis, design
& development, validation & modeling, and
communication & roll-out.
• Phase 1. Planning & diagnosis
• Phase 2. Design & development
Phase 3. Validation & modeling
Phase 4. Communication & roll-out
 Competency Model
• A competency model is a guideline developed by a Human
Resource department that sets out the specific skills, knowledge
and behavioral requirements that enable an employee to perform
their job successfully.
• Competency models define what performance success should look
like within the organization for each individual job. The model is
applied to recruitment practices, talent management, training and
performance assessment. What is the difference between a job
description and a competency model?
• A job description and a competency model sound almost alike
because they both seem to describe what an employee is required
to do in the job. What is the difference?
• The difference is that a job description is a general summary of the
skills required for a job, whereas a competency model provides
specific behaviors that an employee must do on the job in order to
be successful.
• What are the benefits of using a competency model?
• Greater performance success has been attributed to organizations
with thoroughly defined competency models. In a competency surv
 The types of competencies that make up the
model
• . Core competencies
• Core competencies include the baseline skills required by the organization for all
employees; these are the basic things that employees must fulfill. This will vary
from company to company, as it depends on the values, philosophy and goals of
each organization, but can include basic requirements like communication skills or
teamwork. Most jobs require a basic element of being able to work with other
people to some degree.

• The goals of the organization are reflected in broad competencies that reflect the
strength and uniqueness of the organization. For a company that specializes in
international parcel delivery, the core competency would be logistics. Drilling
down to an employee’s job within this type of organization, a core competency for
an employee could be on-time delivery of customer parcels.
• 2. Functional competencies
• Functional competencies are job-specific skills and behaviors that are unique for
each role. For example, a competency for a restaurant waiter may be the ability to
effectively handle customer complaints, where a competency for an accountant
may be the ability to analyze a specific type of financial data in order to prepare
reports.
• Functional competencies should describe what behaviors or skills need to be
performed in order for the employee to be a top-performer in their position.
 The types of competencies that make up the model
• 3. Leadership competencies
• Leadership competencies are often used for supervisory and management related roles,
although can be applied to any job position that requires an employee to lead others.
They include leadership skills and behaviors like decision-making abilities.

• How are competency models used?

• Competency models are used for a variety of HR practices, including:

• Recruitment - Fully developed competency models are often used for the development
of job postings. When they are well-defined and clear, organizations have a better
chance of finding more closely matched candidates.

• Talent/Performance Management - Defining what success should look like within the
organization boils down to the performance of the workforce; a competency model can
define what performance success should look like for each role within an organization.
This benchmark helps HR to connect the function of each job with organizational goals
and also ensure that the talent of employees is developed.

• Performance Appraisal - Competency models provide the framework needed to

properly assess employees during a performance review; both the employee and
employer have a clearly defined list of behaviors and skills to work from.
 How to develop effective competency models
• 1. Determine what kind of process works for your organization
• The research and development involved in creating well-defined competencies for a position can be
lengthy; it takes time to understand what is needed for each position. Due to today’s fast-paced and
ever-changing business environment, it could be beneficial for some organizations to have a shorter
and more intensive method of development. Competency models that are also designed as flexible
can likewise accommodate future changes.

• 2. Research available competency information

• Developing competencies requires more than vague statements about what the job position will
entail. As well, the functional competencies need to reflect what “great” performance should be,
not just the baseline skills for “acceptable” performance.

• Previously developed competencies for similar roles should be identified and used as a guideline, as
well as related role documentation, background information and organizational core competencies.

• 3. Interview relevant business units and executives

• Interviews with relevant stakeholders provide the insight needed for the role’s required
competencies. Executives can provide the key organizational core competencies needed for the role
that reflect both the values, philosophy and goals of the organization. Managers and high-
performers from relevant business departments can be interviewed to find out the key skills and
behaviors that are necessary and successful for those roles. When interviewing, the focus should be
on what skills and behaviors make for a top-performing employee in that role.
 How to develop effective competency models
• .4- Establish the core competencies
• The core competencies should reflect the baseline
behaviors and skills required by the organization. How
should employees act and contribute as part of the
organization so that they can integrate into the
company’s work culture and philosophy? Utilize the
research and interview content from executives and
relevant organizational stakeholders.

• 5. Establish job-specific competencies

• Job-specific competencies should reflect the unique role
skills and behaviors as outlined by departmental
managers and top-performers at the research stage.
What did these individuals need to know and do to
perform well in their role?
 How to develop effective competency
models
• 6. Establish leadership competencies, where needed
• When management-related competencies need to be drafted, it
should be assumed that the individuals are already familiar with the
core competencies set out by the organization. The focus should be
on unique leadership attributes and skills. These can be determined
by the executive and senior management level at the research
stage.

• 7. Finalize the competency list

• Organize the findings, but avoid being unrealistic with narrowing
down competencies. If the list is too far-fetched, it could hinder
recruitment initiatives and scare away potential applicants. If the
list is too vague or not specific-enough, it could result in an influx of
candidates that are not perfectly suited to the position; it will also
not help employees to achieve organizational goals.
 KPIs
• What is a KPI?
• Measure your performance against key business
objectives.
• What is a KPI
• Key Performance Indicator (KPI) Definition
• A Key Performance Indicator is a measurable value that
demonstrates how effectively a company is achieving key
business objectives. Organizations use KPIs at multiple
levels to evaluate their success at reaching targets. High-
level KPIs may focus on the overall performance of the
business, while low-level KPIs may focus on processes in
departments such as sales, marketing, HR, support and
others.
 KPIs
• The role of KPIs in employee engagement Here are the three main ways that
adopting some KPIs can help your organization build a better team.

• They get everyone pulling in the same direction

• One problem with which team-builders perpetually struggle is bringing
together the disparate elements of an organization to focus on key goals. Sales
is worried about the minutiae of drawing in new clients and converting them
into customers. Your product development team is focused in on the latest
technology and trying to get it to market. Your human resources team is
concerned with filling any openings and keeping your workplace engaged.

• Adopting some KPIs can help bring it all together.

• By focusing in on the key metrics that really underscore business success,
you’ll be able to show your employees the role their work plays beyond just
what they do on behalf of their particular departments.
 KPIs
• Street signs
• They help connect employees’ work to organization-wide goals
• KPIs are a great way to communicate strategy to your employees. They help
wade through the at-times messy, cryptic and ambiguous world of tactics and
connect them to the end goals of your organization.

• Many of us have experienced this. We get so caught up in our own little work
bubbles, trying as hard as possible to ensure we stay on top of our own
specific set of tasks, that we frequently fail to see why we’re doing it in the
first place.

• Is it any wonder that frustration and, eventually, disengagement sets in?

• KPIs help cut through this muddle. They take a step back from the chaotic
world of tactics to identify the end goals towards which everyone is working.
 KPIs
• More effectively reach key goals
• Micromanagement creates a lot of problems for employee morale. But one of the worst is
the brake it puts on employees’ creativity.

• Say you’re a manager who’s in charge of the launch of a major new product. That you want to
make the product launch a success should be self-evident. But there’s a big difference
between telling your team about the sales numbers you’d like to achieve and diving right into
the nitty gritty of what you want the website to look like, which marketing channels you’d like
to use and even when to send out social media posts.

• Some managers might think they are just doing their job or even being helpful with
employees by offering their “suggestions”. In reality what they’re doing is choking off their
workforce’s creativity and likely frustrating them to no end.

• No one expects managers to stay completely hands off with what their employees are doing.
But the line between setting an end goal and telling your employees how to get there is a
fine one.

• The advantage with setting KPIs is that they allow you to set an expectation for what you
want accomplished, while leaving the specifics up to the creativity and ingenuity of your
team
 Performance Management System
• A performance management system is a continuous methodical
process by which the human resources arm of a company makes
personnel participatory in advancing the effectiveness of the
company, by achieving the stated vision, mission, and objectives of
the organization. Performance management encapsulates key
human resource functions like frequent communication, employee
training for improved performance, acknowledgment of good work,
presentation of benefits for improved performance, goal-setting,
continuous progress review, and real-time feedback.

• Also Read: Importance of Performance Management in an

Organization
• What is an effective performance management system?
• An effective performance management system is one in which the
following are done:
 Performance Management System
• The performance management cycle is continuous and not annual
• Leadership, executive and upper-level management buy-in to performance
management has been secured
• Making certain verbal performance exchanges and reviews are significant and not
just routine
• Verifying your managers, are both willing and capable of delivering result-oriented
performance management on a daily basis
• Utilizing user-friendly performance management software which grants you
visibility of performance management activity
• Also Read: The Other Critical Elements of an Efficient PMS
• Purpose of a performance management system
• To improve the company profit margin: Performance management improves
business performance by reducing staff turnover which helps to boost the
company profit margin thus generating great business results.
• To guide personnel along a suitable career path: In line with best practices
worldwide for performance management, personnel in a supervisory role are
expected to guide the staff under them along a clearly defined and progressive
career route.
 Performance Management System
• guide the staff under them along a clearly defined and
progressive career route.
• To furnish staff with valuable progressive
feedback:Prompt real-time feedback makes performance
management systems run by HR more engaging and
proactive.
• To ensure staff attains their SMART goals: Company staff
can only attain goals set for them and surpass
expectations when they are absolutely clear about what
exactly is expected of them. Goals that are regularly set,
that are short-term, and which are frequently discussed
are often more effective.
 Performance Management System
• Types of a Performance Management System General Appraisal: A constant
interaction between the manager and employee all year round.
• 360-Degree Appraisal: Feedback from employees about other employees.
• Technological Performance Appraisal: Evaluation of an employee’s technical
proficiency.
• Employee Self-Assessment: Employee’s self-appraisal as compared with that of
his direct line manager.
• Manager Performance Appraisal: Evaluation of the manager involving
feedback from both the team and clientele.
• Project Evaluation Review: Appraisal to ascertain the level of an employee’s
expertise on the job.
• Sales Performance Appraisal: Judgment of a salesperson’s goals versus results
obtained via targets met.
• Also Read: 6 Purposes of Performance Management in HRM
• Performance Management System Stages
 Performance Management System
• Plan:
• Reach a consensus on SMART goals
• Generate a private development plan
• Re-assess personnel’s job description and revise the role profile where required
• Act:
• Attain set objectives
• Execute role
• Put into effect personal development plans
• Track:
• Frequently monitor progress made
• Get regular feedback
• Counter obstacles
• Instruct and guide
• Review:
• Re-evaluate accomplishments
• Pinpoint lessons learned
• Deliberate on career objectives
• Concur on future action steps
• Implementing a performance management system
• Undoubtedly, a modern performance management system helps to improve the individual
productivity of a team. However, the key to achieving that is proper implementation. These
are ways you can implement a performance management system:
 Performance Management System
• Clarify expectations: Clearly state in specific terms the
output and attitudes expected of employees.
• Observe and Assist Performance: Watch attentively as
the plan is put into action and intervene where and when
necessary to ensure compliance.
• Evaluate Performance: Assess outcomes and/or behavior
in the process of task execution.
• Interact and Positively Review: Discuss performance,
share observations, request for employee feedback and
jointly innovate on how to improve in the future.
 components of a performance
management system
• 1-Setting goals
• 2-Communication and collaboration
• 3-Performance reviews
• 4-Feedback
• 5-Improved consistency
• 6-Employee retention
• 7-Full performance reviews
• 8-Performance appraisal fairness
 KRA and Kpis
• KRA or Key Results Areas are the things which are critical
for an organization or employee to achieve. You need to
identify what are the things that are most critical for an
employee to be successful. You have to consider a lot of
things in order to determine this. One of which is
identifying "who are the employees customers" and
asking "how can I best serve them". Common KRA’s for
an individual level are Quantity, Quality and Use of Time.
• Once you have identified what are those Key Results
Areas, next thing to do is put in a quantifiable measure.
This is where KPI’s come into play. Key Performance
Indicators normally written in numbers, percentages,
units and/or observable indicators.
 KRA and Kpis
• Below are some samples of cascaded KRA:
• Company level – Increase Net Profit by 20%
• Department level (Sales dept) – Increase market share by 35%
• Individual level – KRA | KPI | Target
• Quantity – Increase Clients | # of new clients | 20 new clients
• Quality – Reduce customer complaints | # of customer
complaints | 0
• Make sure that employee’s KRA are aligned with the
departmental objectives. If the company uses Balance
Scorecard, KRA must be aligned with the 4 perspectives. KRA
are the results while KPI are the measures of results.
 Program OD To Development my Company
• 1-Foucs and confirmed from Jop description and jop sepsfctions is clear
2-Confirmed Mission and Vision and Values is clear
3- Division Values to (Productivity and non productivity) until outcome ( Truple
makers and low performance and Productivity performance)
4-Comfirmed strategy plan (short term and long term ) And start short term until
appracne performance Initialization through PMIS and Specify Objectives statgic
plan
This until the main plan which contains
1-Jop Description and jop sepsfctions clear through jop analysis
2-Manpower planning and workforce until Measures load analysis clear
3- performance evaluate clear
4-link between evaluate and KPIS
5-TNA Clear until upload performance employee
6-Careers paths clear until upload and measure positive energy through effeciency
7-Foucs Team work through Activetes and rotation in internal departments until
gain different experience
•
8-supplies tools until measure positive energy in eneveriment in our company
And focus in achievement about said work
We sucess not I sucess
• This program Successful OD Development
 Prepare Recruitment process
• Prepare from Jop description and jop sep
sepsfctions Form Jop analysis
Prepare Man power Planning and Budget
prepare Hiring Steps
prepare Sourcing / Job Adds
Interviews to filtering Selection
prepare Job Offer/Hiring Document
Orientation /on Board
Exit interviews
 Manpower Planning
• Manpower Planning which is also called as Human
Resource Planning consists of putting right number of
people, right kind of people at the right place, right time,
doing the right things for which they are suited for the
achievement of goals of the organization. Human
Resource Planning has got an important place in the
arena of industrialization. Human Resource Planning has
to be a systems approach and is carried out in a set
procedure. The procedure is as follows:

• Analysing the current manpower inventory

• Making future manpower forecasts
• Developing employment programmes
• Design training programmes
 Manpower Planning

• Steps in Manpower Planning

• Analysing the current manpower inventory- Before a manager makes
forecast of future manpower, the current manpower status has to be
analysed. For this the following things have to be noted-
• Type of organization
• Number of departments
• Number and quantity of such departments
• Employees in these work units
• Once these factors are registered by a manager, he goes for the future
forecasting.
• Manpower Planning
• Making future manpower forecasts- Once the factors affecting the
future manpower forecasts are known, planning can be done for the
future manpower requirements in several work units.
• The Manpower forecasting techniques commonly employed by the
organizations are as follows:
 Manpower Planning
• Expert Forecasts: This includes informal decisions, formal expert surveys and Delphi
technique.
• Trend Analysis: Manpower needs can be projected through extrapolation (projecting
past trends), indexation (using base year as basis), and statistical analysis (central
tendency measure).
• Work Load Analysis: It is dependent upon the nature of work load in a department, in a
branch or in a division.
• Work Force Analysis: Whenever production and time period has to be analysed, due
allowances have to be made for getting net manpower requirements.
• Other methods: Several Mathematical models, with the aid of computers are used to
forecast manpower needs, like budget and planning analysis, regression, new venture
analysis.
• Developing employment programmes- Once the current inventory is compared with
future forecasts, the employment programmes can be framed and developed
accordingly, which will include recruitment, selection procedures and placement plans.
• Design training programmes- These will be based upon extent of diversification,
expansion plans, development programmes,etc. Training programmes depend upon the
extent of improvement in technology and advancement to take place. It is also done to
improve upon the skills, capabilities, knowledge of the workers.
• Importance of Manpower Planning
 Manpower Planning

• Key to managerial functions- The four managerial

functions, i.e., planning, organizing, directing and
controlling are based upon the manpower. Human
resources help in the implementation of all these
managerial activities. Therefore, staffing becomes a
key to all managerial functions.
• Efficient utilization- Efficient management of
personnels becomes an important function in the
industrialization world of today. Seting of large scale
enterprises require management of large scale
manpower. It can be effectively done through staffing
function.
 Manpower Planning
• Motivation- Staffing function not only includes putting right men on right job, but
it also comprises of motivational programmes, i.e., incentive plans to be framed
for further participation and employment of employees in a concern. Therefore, all
types of incentive plans becomes an integral part of staffing function.
• Better human relations- A concern can stabilize itself if human relations develop
and are strong. Human relations become strong trough effective control, clear
communication, effective supervision and leadership in a concern. Staffing
function also looks after training and development of the work force which leads
to co-operation and better human relations.
• Higher productivity- Productivity level increases when resources are utilized in best
possible manner. higher productivity is a result of minimum wastage of time,
money, efforts and energies. This is possible through the staffing and it's related
activities ( Performance appraisal, training and development, remuneration)
• Need of Manpower Planning
• Manpower Planning is a two-phased process because manpower planning not only
analyses the current human resources but also makes manpower forecasts and
thereby draw employment programmes. Manpower Planning is advantageous to
firm in following manner:
 Prepare T AND Development
• ADDIE
• 1-Analysis (TNA) until target Obejectives
• 2- Desgin
• 3- Development
• 4-Implementation
• 5-Evaluation (ROI)