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Understanding Organization Development: From Assumptions to Real-World Applications

Organization development 

Organization development (OD) is a conceptual, organization-wide effort to increase an organization's effectiveness and viability. OD as a response to change, a complex educational strategy intended to change the beliefs, attitudes, values, and structure of an organization so that it can better adapt to new technologies, markets, challenges, and the dizzying rate of change itself. OD is neither "anything done to better an organization" nor is it "the training function of the organization"; it is a particular kind of change process designed to bring about a particular kind of end result. OD can involve interventions in the organization's "processes," using behavioural science knowledge organizational reflection, system improvement, planning and self-analysis. Organization development is an ongoing, systematic process to implement effective change in an organization. Organization development is also known as Organizational Effectiveness.

    Understanding_Organization_Development_From_Assumptions_to_Real-World_Applications

    Definition of Organization development

    Organization development is a "contractual relationship between a change agent and a sponsoring organization entered into for the purpose of using applied behavioural science and or other organizational change perspectives in a systems context to improve organizational performance and the capacity of the organization to improve itself"

    Organization development, according to Richard Beck hard, is defined as:
    1. A planned effort
    2. Organization wide
    3. Managed from the top
    4. To increase organization effectiveness and health
    5. Through planned interventions in the organization’s ‘processes’, using behavioural science knowledge.

    Assumptions of OD

    1. Highest productivity can be achieved when the individual goals are integrated with the organizational goals.
    2. Suppression of feelings adversely affects problem solving, personal growth and satisfaction with one’s work. Accordingly, free expression of feelings is an important ingredient for commitment to work.
    3. Growth of individuals is facilitated by relationships which are open, supportive, and trusting. According, the level of interpersonal trust, support and cooperation should be as high as possible.
    4. The difference between commitment and agreement must be fully understood, agreeing to do something totally different from being committed to do something. Sense of commitment makes it easier when this commitment is based upon participation in the process.
    5. Organization development must be reinforced by the organization’s total human-resources system.

    OD techniques

    1. Sensitivity training - Sensitivity training is supplemented with self-administered instruments. It involves growth in effective membership. It helps to developing ability to learn.
    2. Grid Training - Grid training is an outgrowth of the managerial grid approach to leadership. It is an instrumental approach to laboratory training. This technique is widely used and has proved effective.
    3. Survey Feedback - Survey feedback is based on the study (survey) of the unit of analysis (such as work group, a department or a whole organization) by using questionnaires The resulting data are then used to identify and analyses problems and propose a suitable action plan to overcome them.

    Approaches to OD

    1. Group Dynamics - This is a historical and traditional method of OD based on the assumption. In this approach, an expert works at a small-group level, using group methods, sensitivity training and other related approaches.
    2. The Behaviour Modification School – Its attempts to rearrange the reward system in the organization so as to strengthen selected 'target' behaviour on the part of employees.
    3. The Systems Approach - The system can some components and function that processes to perform relationship among components that make them a system. This approach aims at enhancing the overall effectiveness of the organization.
      • This approach is based on the assumption: Technical system, social system, administrative system, strategic system
      • The systems approach has four sequential stages: assessment, problem solving, implementation and evaluation.
    4. The Socio-Technical Approach - The social system uses tools, techniques, and knowledge. The technical system produces goods and services which are valued by customers in the external environment.
    5. The Environment Approach - The environment is an agent of change. Environmental changes are the primary incitement and stimulus for organizational betterment. The environment can change in both predictable and unpredictable ways. The external environment can be relatively stable or rapidly changing.

    The OD process

    1. Process Analysis Activities, referring to applications of behavioural science perspectives to fathom complete and dynamic situations
    2. Skill-building Activities, involving various designs for eliciting behaviours in congruence with OD values. This includes giving and receiving feedback, listening, and settling conflicts
    3. Diagnostic Activities, including process analysis to generate data through interviews, psychological instruments or opinion surveys
    4. Coaching or Counselling Activities to help in resolving conflicts through third-party consultation
    5. Team Building Activities, enhancing the efficiency and effectiveness of task groups
    6. Inter-group Activities, attempting to create effective and satisfying linkages between two or more task groups or departments in the organization
    7. Techno-Structural Activities, aiming at building need-fulfilling roles, jobs and structures
    8. System-Building or System-Renewal Activities, seeking exhaustive changes in a large organization's climate and values using combinations of the various OD interventions listed above.

    Benefits of OD

    1. Provides opportunities for people to function as human beings rather than mere resources in the productive process.
    2. Gives each member of the organisation opportunities to develop to his full potential.
    3. Seeks to make the organization more effective in meeting all its goals.
    4. Tries to create an environment in which exciting and challenging work can be found.
    5. Gives people in organization the chance to influence how they relate to work, the organization, and the work environment.
    6. Treats each human being as a person with a complex set of needs, all of which are important in his or her work and life.

    Limitations of Organization Development

    1. OD can be no more powerful than the behaviour science concepts on which it is based. Behavioural science has many limitations which are applicable to organisation development also.
    2. OD requires use of certain persons who can take initiative to bring about change. Complacement people cannot be helpful in implementing organisation development.
    3. OD cannot be applied without giving due consideration to the local circumstances existing within the organisation. The local circumstances may pose a problem in adapting to change.

    Sandeep Ghatuary

    Sandeep Ghatuary

    Finance & Accounting blogger simplifying complex topics.

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